[Federal Register Volume 83, Number 246 (Wednesday, December 26, 2018)]
[Notices]
[Pages 66325-66326]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-27821]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-84846; File No. SR-BX-2014-048]
Self-Regulatory Organizations; Nasdaq BX, Inc.; Order Granting an
Extension to Limited Exemptions From Rule 612(c) of Regulation NMS In
Connection With the Exchange's Retail Price Improvement Program Until
June 30, 2019
December 18, 2018.
On November 28, 2014, the Securities and Exchange Commission
(``Commission'') issued an order pursuant to its authority under Rule
612(c) of Regulation NMS (``Sub-Penny Rule'') \1\ that granted The
NASDAQ OMX BX, Inc., n/k/a Nasdaq BX, Inc. (``BX'' or ``Exchange''), a
limited exemption from the Sub-Penny Rule in connection with the
operation of the Exchange's Retail Price Improvement Program (the ``RPI
Program'').\2\ The limited exemption was granted concurrently with the
Commission's approval of the Exchange's proposal to adopt its RPI
Program for a one-year pilot term.\3\ On November 20, 2015, the
Commission extended the temporary exemption until December 2016
concurrently with an immediately effective filing that extended the
operation of the RPI Program until December 1, 2016.\4\ On December 1,
2016, the Commission extended the temporary exemption until December 1,
2017 concurrently with an immediately effective filing that extended
the operation of the RPI Program until December 1, 2017.\5\ On December
1, 2017, the Commission extended the temporary exemption until June 30,
2018 concurrently with an immediately effective filing that extended
the operation of the RPI Program until June 30, 2018.\6\ On June 28,
2018, the Commission again extended the temporary exemption until
December 31, 2018 concurrently with an immediately effective filing
that extended the operation of the RPI Program until December 31,
2018.\7\
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\1\ 17 CFR 242.612(c).
\2\ See Securities Exchange Act Release No. 73702, 79 FR 72049
(December 4, 2014) (SR-BX-2014-048) (``RPI Approval Order'').
\3\ See id.
\4\ See Securities Exchange Act Release No. 76490 (November 20,
2015), 80 FR 74165 (November 27, 2015) (SR-BX-2015-073).
\5\ See Securities Exchange Act Release No. 79446 (December 1,
2016), 81 FR 88290 (December 7, 2016) (SR-BX-2016-065).
\6\ See Securities Exchange Act Release No. 82192 (December 1,
2017), 82 FR 57809 (December 7, 2017) (SR-BX-2017-055).
\7\ See Securities Exchange Act Release No. 83539 (June 28,
2018), 83 FR 31203 (July 3, 2018) (SR-BX-2018-026).
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The Exchange now seeks to extend the exemption until June 30,
2019.\8\ The Exchange's request was made in conjunction with an
immediately effective filing that extends the operation of the RPI
Program through the same date.\9\ In its request to extend the
exemption, the Exchange notes that given the gradual implementation of
the RPI Program and the preliminary participation and results,
extending the exemption would provide additional opportunities for
greater participation and assessment of the results.\10\ Accordingly,
the Exchange has asked additional time to allow it and the Commission
to analyze data concerning the RPI Program, which the Exchange
committed to provide to the Commission.\11\ For this reason and the
reasons stated in the RPI Approval Order originally granting the
limited exemption, the Commission, pursuant to its authority under Rule
612(c) of Regulation NMS, finds that pursuant to its authority under
Rule 612(c) of Regulation NMS, extending the exemption is appropriate
in the public interest and consistent with the protection of investors.
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\8\ See Letter from Jeffrey S. Davis, Vice President and Deputy
General Counsel and Secretary, Nasdaq BX, Inc. to Eduardo A. Aleman,
Assistant Secretary, Securities and Exchange Commission, dated
December 11, 2018 (``BX Letter'').
\9\ See SR-BX-2018-063.
\10\ See, e.g., BX Letter at 3; RPI Approval Order, supra note
2.
\11\ See, id.
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Therefore, it is hereby ordered that, pursuant to Rule 612(c) of
Regulation NMS, the Exchange is granted a limited exemption from Rule
612 of Regulation NMS that allows the Exchange to accept and rank
orders priced equal to or greater than $1.00 per share in increments of
$0.001, in connection with the operation of its RPI Program, until June
30, 2019.
The limited and temporary exemption extended by this Order is
subject to modification or revocation if at any time the Commission
determines that such action is necessary or appropriate in furtherance
of the purposes of the Securities Exchange Act of 1934. Responsibility
for compliance with any applicable provisions of the Federal securities
laws must rest with the persons relying on the exemptions that are the
subject of this Order.
[[Page 66326]]
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
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\12\ 17 CFR 200.30-3(a)(83).
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Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2018-27821 Filed 12-21-18; 8:45 am]
BILLING CODE 8011-01-P