[Federal Register Volume 84, Number 109 (Thursday, June 6, 2019)]
[Notices]
[Pages 26456-26457]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-11826]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-85975; File No. 013-00052]
Initial Form ATS-N Filing; Notice of Extension of Commission
Review Period
May 31, 2019.
On February 6, 2019, SuperX ATS filed an initial Form ATS-N (``Form
ATS-N'') with the Securities and Exchange Commission (``Commission'').
Pursuant to Rule 304 under the Securities and Exchange Act of 1934
(``Act''), the Commission may, after notice and an opportunity for
hearing, declare an initial Form ATS-N ineffective no later than 120
days from the date of filing with the Commission, or, if applicable,
the extended review period. June 6, 2019 is 120 calendar days from the
date of filing. Pursuant to Rule 304(a)(1)(iv)(B), the Commission may
extend the initial Form ATS-N review period for up to an additional 120
calendar days if the initial Form ATS-N is unusually lengthy or raises
novel or complex issues that require additional time for review.
SuperX ATS was operating pursuant to an initial operation report on
Form ATS on file with the Commission as of January 7, 2019.\1\ SuperX
ATS filed an initial Form ATS-N on February 6, 2019. During the initial
120 calendar day review period, the Commission staff has been reviewing
the disclosures on SuperX ATS's initial Form ATS-N. In addition, the
staff has been engaged in ongoing discussions with SuperX ATS about its
disclosures and manner of operations, as well as the requirements of
Form ATS-N, to facilitate complete and comprehensible disclosures that
reflect the complexities of those operations.
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\1\ An NMS Stock ATS (as defined in Rule 300(k) of Regulation
ATS) that was operating pursuant to an initial operation report on
Form ATS on file with the Commission as of January 7, 2019 is a
``Legacy NMS Stock ATS.'' 17 CFR 242.301(b)(2)(viii).
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Form ATS-N requires NMS Stock ATSs to file with the Commission, and
disclose to the public for the first time, certain information,
including descriptions by the NMS Stock ATSs of their fees, the trading
activities by their broker-dealer operators and their affiliates in the
NMS Stock ATSs, their use of market data, their written standards for
granting access to trading on the NMS Stock ATSs, and their written
safeguards and procedures for protecting their subscribers'
confidential trading information required by revised Rule 301(b)(10) of
Regulation ATS. The initial Form ATS-N disclosures and discussions with
Commission staff have revealed complexities about the operations of
Legacy NMS Stock ATSs including, among other things, matching
functionalities, means of order entry, order interaction and execution
procedures, conditional order processes, segmentation of orders, and
counterparty selection protocols. The Commission staff needs additional
time to review novel and complex issues such as these, which Commission
staff has discussed with SuperX ATS. Extending the initial Form ATS-N
Commission review period for an additional 120 calendar days will
provide Commission staff an opportunity to continue its review of the
[[Page 26457]]
initial Form ATS-N disclosures and discussions with SuperX ATS.
In the conversations between SuperX ATS and Commission staff about
the initial Form ATS-N disclosures and the ATS operations, Commission
staff and SuperX ATS have discussed a potential amendment to update
SuperX ATS's disclosures regarding the complexities of its operations.
Extending the review period will enable the NMS Stock ATS to amend its
disclosures, if appropriate, and allow Commission staff to conduct a
thorough review of amendments to the initial disclosures provided on
the initial Form ATS-N.
For the reasons given above, the Commission is extending the review
period of the initial Form ATS-N submitted by SuperX ATS. Accordingly,
pursuant to Rule 304(a)(1)(iv)(B), October 4, 2019 is the date by which
the Commission may declare the initial Form ATS-N submitted by SuperX
ATS ineffective.
By the Commission.
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2019-11826 Filed 6-5-19; 8:45 am]
BILLING CODE 8011-01-P