1532 Federal Register / Vol. 80, No. 7 / Monday, January 12, 2015 / Notices 

26 15 U.S.C. 78s(b)(3)(A)(ii). 

27 17 CFR 240.19b–4(f)(2). 

28 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3 ‘‘MIAX Market Maker’’ for purposes of the 

proposed sliding scale means any MIAX Market 

Maker including RMM, LMM, PLMM, DLMM, and 

DPLMM. 

4See Securities Exchange Act Release Nos. 55193 

(January 30, 2007), 72 FR 5476 (February 6, 2007) 

(SR–CBOE–2006–111); 57191 (January 24, 2008), 73 

FR 5611 (January 30, 2008); 58321 (August 6, 2008), 

73 FR 46955 (SR–CBOE–2008–78). See also CBOE 

Fees Schedule, p. 3. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants or Others 

No written comments were solicited 

or received with respect to the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act 26 and 

paragraph (f)(2) of Rule 19b–4 

thereunder.27 At any time within 60 

days of the filing of the proposed rule 

change, the Commission summarily may 

temporarily suspend such rule change if 

it appears to the Commission that such 

action is necessary or appropriate in the 

public interest, for the protection of 

investors, or otherwise in furtherance of 

the purposes of the Act. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

NYSEArca–2014–147 on the subject 

line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 

Commission, 100 F Street NE., 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NYSEArca–2014–147. This 

file number should be included on the 

subject line if email is used. To help the 

Commission process and review your 

comments more efficiently, please use 

only one method. The Commission will 

post all comments on the Commission’s 

Internet Web site (http://www.sec.gov/

rules/sro.shtml). Copies of the 

submission, all subsequent 

amendments, all written statements 

with respect to the proposed rule 

change that are filed with the 

Commission, and all written 

communications relating to the 

proposed rule change between the 

Commission and any person, other than 

those that may be withheld from the 

public in accordance with the 

provisions of 5 U.S.C. 552, will be 

available for Web site viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street NE., 

Washington, DC 20549, on official 

business days between the hours of 

10:00 a.m. and 3:00 p.m. Copies of the 

filing also will be available for 

inspection and copying at the principal 

office of NYSE Arca. All comments 

received will be posted without change; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. All submissions 

should refer to File Number SR– 

NYSEArca–2014–147 and should be 

submitted on or before February 2, 2015. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.28

Brent J. Fields, 

Secretary. 

[FR Doc. 2015–00212 Filed 1–9–15; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–74008; File No. SR–MIAX– 

2014–70] 

Self-Regulatory Organizations; Miami 

International Securities Exchange LLC; 

Notice of Filing and Immediate 

Effectiveness of a Proposed Rule 

Change To Amend Its Fee Schedule 

January 6, 2015. 

Pursuant to the provisions of Section 

19(b)(1) of the Securities Exchange Act 

of 1934 (‘‘Act’’) 1 and Rule 19b–4 

thereunder,2 notice is hereby given that 

on December 24, 2014, Miami 

International Securities Exchange LLC 

(‘‘MIAX’’ or ‘‘Exchange’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) a proposed rule change 

as described in Items I, II, and III below, 

which Items have been prepared by the 

Exchange. The Commission is 

publishing this notice to solicit 

comments on the proposed rule change 

from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange is filing a proposal to 

amend its Fee Schedule. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://www.miaxoptions.com/filter/

wotitle/rule_filing, at MIAX’s principal 

office, and at the Commission’s Public 

Reference Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, the 

Exchange included statements 

concerning the purpose of and basis for 

the proposed rule change and discussed 

any comments it received on the 

proposed rule change. The text of these 

statements may be examined at the 

places specified in Item IV below. The 

Exchange has prepared summaries, set 

forth in sections A, B, and C below, of 

the most significant aspects of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

current MIAX Market Maker 3 sliding 

scale for transaction fees to: (i) Add an 

additional volume tier; (ii) modify the 

volume thresholds in the tiers; and (iii) 

add an additional tier to the Priority 

Customer rebate incentive. 

The sliding scale for MIAX Market 

Maker transaction fees is based on the 

substantially similar fees of the Chicago 

Board Options Exchange, Incorporated 

(‘‘CBOE’’).4 Specifically, the program 

reduces a MIAX Market Maker’s per 

contract transaction fee based on 

percentages of total national Market 

Maker volume of any options classes 

that trade on the exchange during the 

calendar month, based on the following 

scale: 

Tier Percentage of national 

Market Maker volume 

Transaction 

fee per 

contract 

1 ...... 0.00%–0.03% .............. $0.23 

2 ...... Above 0.03%–0.40% ... 0.17 

3 ...... Above 0.40%–0.80% ... 0.12 

4 ...... Above 0.80%–1.50% ... 0.07 

5 ...... Above 1.50% ............... 0.05 

The sliding scale would apply to all 

MIAX Market Makers for transactions in 

all products except mini-options. By 


tkelley on DSK3SPTVN1PROD with NOTICES
Federal Register / Vol. 80, No. 7 / Monday, January 12, 2015 / Notices 1533 

5See Securities Exchange Act Release Nos. 55193 

(January 30, 2007), 72 FR 5476 (February 6, 2007) 

(SR–CBOE–2006–111); 58321 (August 6, 2008), 73 

FR 46955 (SR–CBOE–2008–78); 71295 (January 14, 

2014), 79 FR 3443 (January 21, 2014) (SR–CBOE– 

2013–129). 

6See Securities Exchange Act Release Nos. 55193 

(January 30, 2007), 72 FR 5476 (February 6, 2007) 

(SR–CBOE–2006–111); 58321 (August 6, 2008), 73 

FR 46955 (SR–CBOE–2008–78); 71295 (January 14, 

2014), 79 FR 3443 (January 21, 2014) (SR–CBOE– 

2013–129). 

7See, e.g., International Securities Exchange, 

LLC, Schedule of Fees, Section VI, C; NASDAQ 

Options Market, Chapter XV, Section 2. 

8 15 U.S.C. 78f(b). 

9 15 U.S.C. 78f(b)(4). 10 15 U.S.C. 78s(b)(3)(A)(ii). 

amending the volume tier calculations 

and adding a new volume tier, the 

sliding scale will more closely align 

with that of CBOE.5 A MIAX Market 

Maker’s initial $0.23 per contract rate 

will be reduced if the MIAX Market 

Maker reaches the volume thresholds 

set forth in the sliding scale in a month. 

As a MIAX Market Maker’s monthly 

volume increases, its per contract 

transaction fee would decrease. The 

Market Maker sliding scale will 

continue to apply to MIAX Market 

Maker (RMM, LMM, DLMM, PLMM, 

DPLMM) transaction fees in all products 

except mini-options. MIAX Market 

Makers will continue to be assessed a 

$0.02 per executed contract fee for 

transactions in mini-options. 

The Exchange believes the proposed 

sliding scale is objective in that the fee 

reductions are based solely on reaching 

stated volume thresholds. The specific 

volume thresholds of the tiers were set 

based upon business determinations 

and an analysis of current volume 

levels. The specific volume thresholds 

and rates were set in order to encourage 

MIAX Market Makers to reach for higher 

tiers. The Exchange believes that the 

proposed changes to the tiered fee 

schedule may incent firms to display 

their orders on the Exchange and 

increase the volume of contracts traded 

here. 

As mentioned above, the Exchange 

notes that the proposed sliding fee scale 

for MIAX Market Makers structured on 

contract volume thresholds is based on 

the substantially similar fees of the 

CBOE.6 The Exchange also notes that a 

number of other exchanges have tiered 

fee schedules which offer different 

transaction fee rates depending on the 

monthly ADV of liquidity providing 

executions on their facilities.7

The Exchange also proposes to add an 

additional tier to the rebate incentive for 

Priority Customer orders. The Exchange 

offers MIAX Market Makers the 

opportunity to reduce transaction fees 

by $0.02 per contract in standard 

options if the Member or its affiliates of 

at least 75% common ownership 

between the firms as reflected on each 

firm’s Form BD, Schedule A, qualifies in 

a given month for Priority Customer 

Rebate Program volume tiers 3, 4, or 5 

in the Fee Schedule. The Exchange 

proposes to amend the rebate incentive 

for Priority Customer orders in order to 

extend the rebate incentive to the new 

volume tier of the MIAX Market Maker 

sliding scale. As proposed, any Member 

or its affiliates of at least 75% common 

ownership between the firms as 

reflected on each firm’s Form BD, 

Schedule A, that qualifies for Priority 

Customer Rebate Program volume tiers 

3, 4, or 5 and is a MIAX Market Maker 

will be assessed $0.21 per contract for 

tier 1, $0.15 per contract for tier 2, $0.10 

per contract for tier 3, $0.05 per contract 

for tier 4, and $0.03 per contract for tier 

5 for transactions in standard options in 

lieu of the applicable transaction fees in 

the Market Maker sliding scale. 

The Exchange believes that these 

incentives will encourage MIAX Market 

Makers to transact a greater number of 

orders on the Exchange. 

The proposed changes will become 

operative on January 1, 2015. 

2. Statutory Basis 

The Exchange believes that its 

proposal to amend its fee schedule is 

consistent with Section 6(b) of the Act 8

in general, and furthers the objectives of 

Section 6(b)(4) of the Act 9 in particular, 

in that it is an equitable allocation of 

reasonable fees and other charges among 

Exchange members. 

The proposed volume based discount 

fee structure is not discriminatory in 

that all MIAX Market Makers are 

eligible to submit (or not submit) 

liquidity, and may do so at their 

discretion in the daily volumes they 

choose during the course of the billing 

period. All similarly situated MIAX 

Market Makers are subject to the same 

fee structure, and access to the 

Exchange is offered on terms that are 

not unfairly discriminatory. Volume 

based discounts have been widely 

adopted by options and equities 

markets, and are equitable because they 

are open to all MIAX Market Makers on 

an equal basis and provide discounts 

that are reasonably related to the value 

of an exchange’s market quality 

associated with higher volumes. The 

proposed fee levels and volume 

thresholds are reasonably designed to be 

comparable to those of other options 

exchanges employing similar fee 

programs, and also to attract additional 

liquidity and order flow to the 

Exchange. 

The Exchange’s proposal to offer an 

additional tier to provide MIAX Market 

Makers the opportunity to reduce 

transaction fees by $0.02 per contract in 

standard options, provided certain 

criteria are met, is reasonable because 

the Exchange desires to offer all such 

market participants an opportunity to 

lower their transaction fees. The 

Exchange’s proposal to offer MIAX 

Market Makers the opportunity to 

reduce transaction fees by $0.02 per 

contract in standard options, provided 

certain criteria are met, is equitable and 

not unfairly discriminatory because the 

Exchange offers all market participants, 

excluding Priority Customers, a means 

to reduce transaction fees by qualifying 

for volume tiers in the Priority Customer 

Rebate Program. The Exchange believes 

that offering all such market 

participants the opportunity to lower 

transaction fees by incentivizing them to 

transact Priority Customer order flow in 

turn benefits all market participants. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on competition not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

Exchange notes that it operates in a 

highly competitive market in which 

market participants can readily favor 

competing venues if they deem fee 

levels at a particular venue to be 

excessive. In such an environment, the 

Exchange must continually adjust its 

fees to remain competitive with other 

exchanges and to attract order flow. The 

Exchange believes that the proposed 

rule change reflects this competitive 

environment because it modifies the 

Exchange’s fees in a manner that 

encourages market participants to 

provide liquidity and to send order flow 

to the Exchange. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

Written comments were neither 

solicited nor received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act.10 At any time 

within 60 days of the filing of the 

proposed rule change, the Commission 

summarily may temporarily suspend 

such rule change if it appears to the 


tkelley on DSK3SPTVN1PROD with NOTICES
1534 Federal Register / Vol. 80, No. 7 / Monday, January 12, 2015 / Notices 

11 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4For a trading license that is in place for 15 

calendar days or less in a calendar month, proration 

for that month would be at a flat rate of $100 per 

day with no tier pricing involved. For a trading 

license that is in place for 16 calendar days or more 

in a calendar month, proration for that month 

would be computed based on the number of days 

as applied to the applicable annual fee for the 

trading license. See Price List at current n. 16. 

Commission that such action is 

necessary or appropriate in the public 

interest, for the protection of investors, 

or otherwise in furtherance of the 

purposes of the Act. If the Commission 

takes such action, the Commission shall 

institute proceedings to determine 

whether the proposed rule should be 

approved or disapproved. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

MIAX–2014–70 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Brent J. Fields, Secretary, Securities 

and Exchange Commission, 100 F Street 

NE., Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–MIAX–2014–70. This file 

number should be included on the 

subject line if email is used. To help the 

Commission process and review your 

comments more efficiently, please use 

only one method. The Commission will 

post all comments on the Commission’s 

Internet Web site (http://www.sec.gov/

rules/sro.shtml). Copies of the 

submission, all subsequent 

amendments, all written statements 

with respect to the proposed rule 

change that are filed with the 

Commission, and all written 

communications relating to the 

proposed rule change between the 

Commission and any person, other than 

those that may be withheld from the 

public in accordance with the 

provisions of 5 U.S.C. 552, will be 

available for Web site viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street NE., 

Washington, DC 20549, on official 

business days between the hours of 

10:00 a.m. and 3:00 p.m. Copies of the 

filing also will be available for 

inspection and copying at the principal 

office of the Exchange. All comments 

received will be posted without change; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. 

All submissions should refer to File 

Number SR–MIAX–2014–70 and should 

be submitted on or before February 2, 

2015. For the Commission, by the 

Division of Trading and Markets, 

pursuant to delegated authority.11

Brent J. Fields, 

Secretary. 

[FR Doc. 2015–00224 Filed 1–9–15; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73996; File No. SR–NYSE– 

2014–74] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Amending Its 

Price List Related to Fees for Trading 

Licenses To Extend the Current Fee 

Schedule to February 27, 2015 and To 

Implement New Trading License Fees 

Effective March 1, 2015 

January 6, 2015. 

Pursuant to Section 19(b)(1) 1 of the 

Securities Exchange Act of 1934 

(‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that on December 

23, 2014, New York Stock Exchange 

LLC (‘‘NYSE’’ or ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) the 

proposed rule change as described in 

Items I, and II below, which Items have 

been prepared by the self-regulatory 

organization. The Commission is 

publishing this notice to solicit 

comments on the proposed rule change 

from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to amend its 

Price List related to fees for trading 

licenses to extend the current fee 

schedule to February 27, 2015 and to 

implement new trading license fees 

effective March 1, 2015. The text of the 

proposed rule change is available on the 

Exchange’s Web site at www.nyse.com, 

at the principal office of the Exchange, 

and at the Commission’s Public 

Reference Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, the 

self-regulatory organization included 

statements concerning the purpose of, 

and basis for, the proposed rule change 

and discussed any comments it received 

on the proposed rule change. The text 

of those statements may be examined at 

the places specified in Item IV below. 

The Exchange has prepared summaries, 

set forth in sections A, B, and C below, 

of the most significant parts of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

Price List to extend the current fee 

schedule to February 27, 2015 and to 

implement new trading license fees 

effective March 1, 2015. 

NYSE Rule 300(b) provides that, in 

each annual offering, up to 1,366 trading 

licenses for the following calendar year 

will be sold annually at a price per 

trading license to be established each 

year by the Exchange pursuant to a rule 

filing submitted to the Securities and 

Exchange Commission (‘‘Commission’’) 

and that the price per trading license 

will be published each year in the 

Exchange’s Price List. Currently, the 

Exchange charges an annual fee of 

$40,000 per license for the first two 

trading licenses held by a member 

organization and $25,000 for each 

additional trading license. For trading 

licenses issued after July 1, 2013, fees 

are prorated for the portion of the 

calendar year that the trading license is 

outstanding.4 However, if a member 

organization is issued additional trading 

licenses between July 1, 2013 and 

December 31, 2014, and the total 

number of trading licenses held by the 

member organization between July 1, 

2013 and December 31, 2014 is greater 

than the total number of trading licenses 

held by the member organization on 

July 1, 2013, the member organization 

would not be charged a prorated fee for 

the period from July 3, 2013 to 

December 31, 2014 for those additional 

trading licenses above the number the 


tkelley on DSK3SPTVN1PROD with NOTICES