Document ID: SEC-2015-1332-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE MKT, LLC
Posted Date: 2015-08-11T04:00Z

[Federal Register Volume 80, Number 154 (Tuesday, August 11, 2015)]
[Notices]
[Pages 48129-48131]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-19647]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75614; File No. SR-NYSEMKT-2015-62]

Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and 
Immediate Effectiveness of Proposed Rule Change Amending the NYSE Amex 
Options Fee Schedule To Modify the Securities That Are Subject to the 
NYSE Amex Options Market Maker Premium Product Fees

August 5, 2015.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the

[[Page 48130]]

``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given that, 
on August 4, 2015, NYSE MKT LLC (the ``Exchange'' or ``NYSE MKT'') 
filed with the Securities and Exchange Commission (the ``Commission'') 
the proposed rule change as described in Items I, II, and III 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.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend the NYSE Amex Options Fee Schedule 
(``Fee Schedule'') to modify the securities that are subject to the 
NYSE Amex Options Market Maker Premium Product Fees. The Exchange 
proposes to implement the fee change effective August 4, 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 purpose of this filing is to modify the securities that are 
subject to the NYSE Amex Options Market Maker Premium Product Fees. The 
Exchange proposes to implement the fee change effective August 4, 2015.
    In August, 2012, the Exchange introduced the Premium Product Fees, 
which charges a monthly fee to any NYSE Amex Options Market Maker 
transacting in the most active issues trading on the Exchange.\4\ 
Section III.D. of the Fee Schedule sets forth the list of 10 Premium 
Products--SPY, AAPL, IWM, QQQ, BAC, EEM, GLD, JPM, XLF, and VXX. 
Subject to exceptions, NYSE Amex Options Marker Makers that transact in 
these issues are subject to a fee of $1,000 per product traded with a 
monthly cap of $7,000.\5\
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    \4\ See Securities Exchange Act Release No. 67634 (August 9, 
2012), 77 FR 49038 (August 15, 2012) (SR-NYSEMKT-2012-33) (``Premium 
Product Filing'').
    \5\ The Premium Product Fees do not apply to Market Makers that 
qualify as NYSE Amex Options Floor Market Makers as described in 
note 1 to Section III.A of the Fee Schedule. See Fee Schedule, 
Section III.D. and III.A.
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    The Exchange proposes to amend the list of Premium Products to 
reflect the most actively traded securities on the Exchange today, 
which have changed since the fees were introduced in 2012.\6\ 
Specifically, the Exchange proposes to remove GLD, JPM, and XLF from 
the list of Premium Products and to replace them with BABA, FB and USO. 
The Exchange believes that the proposed change would continue to 
encourage meaningful Market Maker participation in the most active 
issues on the Exchange. In this regard, the Exchange proposes to amend 
Section III.D. to the Fee Schedule to reflect the proposed changes to 
the list of Premium Product.
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    \6\ The Exchange represented in the Premium Product Filing that 
``any change to the list of Premium Products would be done through a 
fee filing.'' See supra n. 4, 77 FR at 49038.
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2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act,\7\ in general, and furthers the 
objectives of Sections 6(b)(4) and (5) of the Act,\8\ in particular, 
because it provides for the equitable allocation of reasonable dues, 
fees, and other charges among its members, issuers and other persons 
using its facilities and does not unfairly discriminate between 
customers, issuers, brokers or dealers.
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    \7\ 15 U.S.C. 78f(b).
    \8\ 15 U.S.C. 78f(b)(4) and (5).
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    The Exchange believes that the change to the list of Premium 
Products is reasonable, equitable, and not unfairly discriminatory 
because the proposed change applies to all NYSE Amex Options Market 
Makers equally, except for those market makers who qualify as NYSE Amex 
Floor Market Makers and achieve 75% or more of their volumes in open or 
public outcry, which Marker Makers are exempt because the Exchange 
believes that public outcry markets serve an important role in the 
price discovery process that benefits all participants on the Exchange 
and in the marketplace.\9\ As the Exchange noted in 2012 in the Premium 
Products Filing, because the Exchange does not limit the number of 
participants who may act as market makers, either electronically or in 
public outcry, the Exchange has more than sufficient liquidity in the 
most active options on the Exchange. The proposed change simply updates 
the list of Premium Products to include those names most actively 
traded on the Exchange.
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    \9\ See supra n. 5.
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    For these reasons, the Exchange believes that the proposal is 
consistent with the Act.

B. Self-Regulatory Organization's Statement on Burden on Competition

    In accordance with Section 6(b)(8) of the Act,\10\ the Exchange 
does not believe that the proposed rule change will impose any burden 
on competition that is not necessary or appropriate in furtherance of 
the purposes of the Act.
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    \10\ 15 U.S.C. 78f(b)(8).
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    The Exchange notes that it operates in a highly competitive market 
in which market participants can readily favor competing venues. In 
such an environment, the Exchange must continually review, and consider 
adjusting, its fees and credits to remain competitive with other 
exchanges. For the reasons described above, the Exchange believes that 
the proposed rule change reflects this competitive environment.

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 is effective upon filing pursuant to 
Section 19(b)(3)(A) \11\ of the Act and subparagraph (f)(2) of Rule 
19b-4 \12\ thereunder, because it establishes a due, fee, or other 
charge imposed by the Exchange.
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    \11\ 15 U.S.C. 78s(b)(3)(A).
    \12\ 17 CFR 240.19b-4(f)(2).
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    At any time within 60 days of the filing of such 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

[[Page 48131]]

the purposes of the Act. If the Commission takes such action, the 
Commission shall institute proceedings under Section 19(b)(2)(B) \13\ 
of the Act to determine whether the proposed rule change should be 
approved or disapproved.
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    \13\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSEMKT-2015-62 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-NYSEMKT-2015-62. 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 Section, 100 F Street 
NE., Washington, DC 20549-1090. Copies of the filing will also be 
available for inspection and copying at the NYSE's principal office and 
on its Internet Web site at www.nyse.com. 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-NYSEMKT-2015-62 and should be submitted 
on or before September 1, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\14\
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    \14\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015-19647 Filed 8-10-15; 8:45 am]
 BILLING CODE 8011-01-P