[Federal Register Volume 89, Number 76 (Thursday, April 18, 2024)]
[Notices]
[Pages 27824-27828]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-08240]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-99954; File No. SR-PEARL-2024-17]


Self-Regulatory Organizations; MIAX PEARL, LLC; Notice of Filing 
and Immediate Effectiveness of a Proposed Rule Change to Amend the 
Operation of the Trading Collar under Exchange Rule 2618(b)

April 12, 2024.
    Pursuant to 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 April 4, 2024, MIAX PEARL, LLC (``MIAX Pearl'' or ``Exchange'') 
filed with the Securities and Exchange Commission (``SEC'' or 
``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.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 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 its existing Trading Collar risk 
control for Equity Members \3\ when trading equity securities on the 
Exchange's equity trading platform (referred to herein as ``MIAX Pearl 
Equities'').
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    \3\ The term ``Equity Member'' is a Member authorized by the 
Exchange to transact business on MIAX Pearl Equities. See Exchange 
Rule 1901.
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    The text of the proposed rule change is available on the Exchange's 
website at https://www.miaxglobal.com/markets/us-equities/pearl-equities/rule-filings, at MIAX Pearl'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

[[Page 27825]]

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 prevents all incoming orders, including those marked 
as Intermarket Sweep Orders (``ISO''), from executing at a price 
outside the Trading Collar price range as described in Exchange Rule 
2618(b). The Trading Collar prevents buy orders from trading or routing 
at prices above the collar and prevents sell orders from trading or 
routing at prices below the collar. The Exchange proposes to expand the 
ability of Equity Members to adjust the Trading Collar.
    The Exchange's default behavior is to calculate the Trading Collar 
price range for a security by applying the numerical guidelines for 
Clearly Erroneous Executions or a specified dollar value established by 
the Exchange.\4\ The result is added to the Trading Collar Reference 
Price to determine the Trading Collar Price for buy orders, while the 
result is subtracted from the Trading Collar Reference Price to 
determine the Trading Collar Price for sell orders. Exchange Rule 
2618(b)(1)(B) provides that the Trading Collar Reference Price is equal 
to the following: (i) consolidated last sale price disseminated during 
the Regular Trading Hours on trade date; or (ii) if (i) is not 
available, the prior day's Official Closing Price identified as such by 
the primary listing exchange, adjusted to account for events such as 
corporate actions and news events. Exchange Rule 2618(b)(1)(F) provides 
Equity Members the ability to override the Exchange's default behavior 
and provides that for Market Orders \5\ only, Equity Members may 
override the above default behavior on an order-by-order basis by 
selecting a custom dollar value lower than the Exchange specified 
percentages and dollar value.
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    \4\ Although the Exchange applies the numerical guidelines for 
Clearly Erroneous Executions, no order would be executed outside of 
the prescribed Price Bands pursuant to the Plan to Address 
Extraordinary Market Volatility, as described below. See infra note 
9 and accompanying text.
    \5\ See Exchange Rule 2614(a)(2).
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    In less liquid securities, the Trading Collar has, in a few 
instances, prevented Equity Members from accessing an order resting on 
the MIAX Pearl Equities Book \6\ at a price at or near the Exchange's 
top of book because that order was resting at a price outside of the 
Trading Collar. This impacted not just incoming Market Orders, but also 
incoming Limit Orders \7\ and Pegged Orders \8\ looking to remove 
liquidity from the MIAX Pearl Equities Book. In the Exchange's 
experience and based on Equity Members' feedback, this occurs when the 
prior day's Official Closing Price is used as the Trading Collar 
Reference Price because no consolidated last sale price was 
disseminated during the Regular Trading Hours on trade date. In such 
case, the Official Closing Price used to calculate the Trading Collar 
may be stale and not accurately reflect the current trading 
characteristics of the security. In turn, this has resulted in orders 
in a small number of less liquid securities resting at a price outside 
the Trading Collar, preventing an incoming order from executing against 
that resting order.
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    \6\ See Exchange Rule 1901.
    \7\ See Exchange Rule 2614(a)(1).
    \8\ See Exchange Rule 2614(a)(3).
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    In response to Equity Member feedback, the Exchange proposes to 
expand the ability to override the Exchange's default behavior to 
address the scenario outlined above. Specifically, the Exchange 
proposes to expand Exchange Rule 2618(b)(1)(F) to include Limit Orders 
and Pegged Orders, in addition to Market Orders (current behavior). The 
Exchange proposes to also amend Exchange Rule 2618(b)(1)(F) to allow 
Equity Members to select a dollar value lower (current behavior), 
higher, or equal to the Exchange-specified percentages and dollar value 
on an order-by-order basis. In other words, Equity Members may select a 
dollar value equal to, more, or less conservative than the Exchange's 
specified percentages and dollar value. This proposed rule change would 
allow Equity Members to select their own dollar value to calculate the 
Trading Collar, enabling them to access an order that may otherwise be 
outside the Trading Collar if the Trading Collar was calculated based 
on the Exchange's specified percentages and dollar value. Importantly, 
the proposed rule change would not only allow Equity Members to select 
a dollar value more aggressive than the Exchange's defaults, but also 
more conservative in cases where they seek to apply a tighter Trading 
Collar in line with their risk appetite. The ability to override the 
Exchange's specified percentages and dollar value would be completely 
voluntary and all orders would continue to be subject to other risk 
protections provided by the Exchange regardless of the width of the 
Trading Collar, as described below.
    As a preliminary matter, the Exchange notes that no order would be 
executed outside of the prescribed Price Bands pursuant to the Plan to 
Address Extraordinary Market Volatility (the ``LULD Plan'').\9\ 
Exchange Rule 2622(e) sets forth the Exchange's mechanism for complying 
with the LULD Plan. Broadly, the LULD Plan prevents trades from 
happening at prices where one party to the trade would be considered 
``aggrieved'' under the Exchange's Clearly Erroneous Rule 2621. Any 
trade that takes place within the LULD Price Bands would stand and not 
be broken.\10\
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    \9\ See Securities Exchange Act Release Nos. 67091, 77 FR 33498 
(June 6, 2012) (File No. 4-631) (``LULD Plan Approval Order'') 
(approving the LULD Plan as amended); and 85623, 84 FR 16086 (Apr. 
17, 2019) (approving, among other things, the operation of the LULD 
Plan on a permanent basis).
    \10\ No trades were deemed clearly erroneous by any exchange 
during the second half of 2023. See the third and fourth quarter CEE 
Reports available at https://www.luldplan.com/studies.
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    In addition, to help Equity Members manage their risk, the Exchange 
also offers other risk controls that authorize the Exchange to take 
automated action if a designated limit for an Equity Member is 
breached. Each of these risk controls are described under Exchange Rule 
2618 and provide Equity Members with enhanced abilities to manage their 
risk when trading on the Exchange. The Exchange also requires Limit 
Order Price Protection for all Limit Orders. Under Exchange Rule 
2614(a)(1)(ix), Limit Order Price Protection provides that a Limit 
Order to buy (sell) will be rejected if it is priced at or above 
(below) the greater of a specified dollar and percentage away from a 
certain reference described in the Rule. Equity Members may customize 
the specified dollar and percentage values on an MPID and/or per 
session basis. If an Equity Member does not provide a specified dollar 
and percentage values for their order(s), the Exchange's specified 
dollar and percentage values will be applied. Limit Order Price 
Protection will be applied when an order is first eligible to trade. In 
other words, a Limit Order would be rejected and not placed on the MIAX 
Pearl Equities Book where it would be priced outside of the Limit Order 
Price Protection range described above. Meanwhile, all order types are 
subject to the Trading Collar. Like Limit Order Price Protection, the 
Trading Collar is applied upon entry. Unlike Limit Order Price 
Protection, under which an order would be rejected, an order subject to 
the Trading Collar may be accepted upon entry and routed or executed at

[[Page 27826]]

prices at or within the Trading Collar range. Any remaining portion of 
that order that is about to be posted to the MIAX Pearl Equities Book, 
executed, or routed at a price outside of the Trading Collar would be 
cancelled.
    The following examples describe the proposed functionality and how 
it would interact with the Limit Order Price Protection. Assume for all 
of the below examples that the previous day's official closing price of 
$1.00 is being used as the Trading Collar Reference Price because there 
is no consolidated last sale. Also assume the Trading Collar dollar 
value is $0.15 resulting in a Trading Collar range of $0.85 to $1.15, 
and there is no national best bid or offer for the security.
    The first example shows how the proposed functionality would allow 
an incoming order to access a resting order that would otherwise have 
been blocked by the Trading Collar. The Exchange receives a displayed 
Limit Order to buy 10 shares at $0.83 (Order 1). Order 1 is posted to 
the MIAX Pearl Equities Book and displayed at $0.83. The Exchange then 
receives a second displayed Limit Order to buy 10 shares at $0.84 
(Order 2). Order 2 is posted to the MIAX Pearl Equities Book and 
displayed at $0.84. The Exchange now receives a Limit Order to sell 20 
shares at $0.80 (Order 3), with custom Trading Collar dollar value of 
$0.17, resulting in a Trading Collar range of $0.83 to $1.17 ($0.02 
wider than the Exchange specified Trading Collar dollar value of 
$0.15). Assume that Orders 1, 2, and 3 all pass the Limit Order Price 
Protection check. Order 3 would execute against Order 2 at $0.84 for 10 
shares and then execute against Order 1 at $0.83 for 10 shares. Order 3 
is able to execute against Orders 1 and 2 because they are within range 
of Order 3's custom Trading Collar dollar value. If the Exchange's 
specified Trading Collar value has been used, Order 3 would not have 
been able to execute against Orders 1 and 2 because they would have 
been outside the Trading Collar range.
    This second example shows an incoming order failing the Limit Order 
Price Protection check and being rejected, although its custom Trading 
Collar dollar value would have allowed it to trade with contra-side 
interest on the MIAX Pearl Equities Book. Assume the same facts as the 
above example with the only difference being Order 3 also includes a 
specified Limit Order Price Protection dollar and percentage values of 
$0.05 and 10%, respectively, as provided by Exchange Rule 
2614(a)(1)(ix)(B). Order 3's Limit Order Price Protection range is 
calculated as follows: Official Closing Price minus the greater of the 
dollar-based value ($0.05) or the Official Closing Price multiplied by 
the percentage value ($1.00 +/- $0.10 = $0.90 to $1.10). Although Order 
3's custom Trading Collar dollar value would have allowed it to trade 
with Orders 1 and O2, Order 3 would fail the Limit Order Price 
Protection check and be rejected.
* * * * *
    The Exchange proposes, however, to not allow Equity Members to 
select their own dollar value to calculate the Trading Collar for 
orders eligible to participate in the Exchange's Opening Process. The 
Exchange recently proposed to apply the Trading Collar to the Opening 
Process under Exchange Rule 2615,\11\ and will begin to apply the 
Trading Collar to the Opening Process in February 2024.\12\ Once 
implemented, Equity Members would not be permitted to override the 
Exchange's default behavior during the Opening Process and the Trading 
Collar price range for a security would be calculated by applying the 
specified percentages and dollar value described in Exchange Rule 
2618(b)(1)(E). As a result, the Exchange proposes to amend Exchange 
Rule 2618(b)(1)(F) to provide that Exchange Rule 2618(b)(1)(F) would 
not apply to orders that are eligible for the Opening Process under 
Exchange Rule 2615. In such case, the specified percentages and dollar 
value described under Exchange Rule 2618(b)(1)(E) would be applied. The 
Exchange believes this is reasonable because no orders rest on the MIAX 
Pearl Equities Book until the completion of the Opening Process and 
continuous trading has begun. Until that time, there would be no orders 
resting on the MIAX Pearl Equities Book at a price that would otherwise 
be outside of the Trading Collar that an Equity Member may seek to 
access.
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    \11\ See Securities Exchange Act Release No. 98825 (Oct. 30, 
2023), 88 FR 75338 (Nov. 2, 2023) (SR-PEARL-2023-58).
    \12\ See MIAX Pearl Equities Exchange Regulatory Circular 2024-
02, Updated Implementation Dates for Changes to Certain Risk 
Controls on MIAX Pearl Equities, dated Jan. 17, 2024.
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Non-Substantive Corrections
    The Exchange also proposes to make non-substantive corrections to 
Exchange Rule 2618. First, the Exchange proposes to capitalize a 
reference to ``Numerical Guidelines'' in Exchange Rule 2618(b)(1). 
Second, the Exchange proposes to correct a cross-reference in Exchange 
Rule 2618(b)(1)(D). Third, the Exchange proposes to make references to 
the term ``dollar values'' singular in Exchange Rule 2618(b)(1)(F). 
This is because the Exchange only uses a single dollar value when 
calculating the Trading Collar. None of these changes impact or alter 
the operation of Exchange Rule 2618(b). Each is designed solely to 
correct non-substantive errors, making the rule easier to understand 
and avoid potential investor confusion.
* * * * *
    The Exchange does not guarantee that the risk settings in this 
proposal are sufficiently comprehensive to meet all of an Equity 
Member's risk management needs. Pursuant to Rule 15c3-5 under the 
Act,\13\ a broker-dealer with market access must perform appropriate 
due diligence to assure that controls are reasonably designed to be 
effective, and otherwise consistent with the rule.\14\ Use of the 
Exchange's risk settings included in Exchange Rule 2618 will not 
automatically constitute compliance with Exchange or federal rules and 
responsibility for compliance with all Exchange and SEC rules remains 
with the Equity Member.
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    \13\ 17 CFR 240.15c3-5.
    \14\ See Division of Trading and Markets, Responses to 
Frequently Asked Questions Concerning Risk Management Controls for 
Brokers or Dealers with Market Access, available at https://www.sec.gov/divisions/marketreg/faq-15c-5-risk-management-controls-bd.htm.
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Implementation
    Due to the technological changes associated with this proposed 
change, the Exchange will issue a trading alert publicly announcing the 
implementation date of the proposed enhancements to its risk controls 
set forth herein. The Exchange anticipates that the implementation date 
will be in the second or third quarter of 2024.
2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) of the 
Act,\15\ in general, and furthers the objectives of Section 
6(b)(5),\16\ in particular, because it is designed to prevent 
fraudulent and manipulative acts and practices, to promote just and 
equitable principles of trade, to foster cooperation and coordination 
with persons engaged in regulating, clearing, settling, processing 
information with respect to, and facilitating transactions in 
securities, to remove impediments to and perfect the mechanism of a 
free and open market and a national market system, and, in general, to 
protect investors and the public interest. Specifically, the Exchange 
believes the proposed amendments will remove impediments to and perfect 
the mechanism of a free and open market and a national market system 
because

[[Page 27827]]

the augmented functionality is being proposed in response to Equity 
Member feedback as part of their efforts to appropriately manage their 
risk.
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    \15\ 15 U.S.C. 78f(b).
    \16\ 15 U.S.C. 78f(b)(5).
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    Exchange Rule 2618(b)(1)(F) currently provides the ability to 
override the Exchange's default behavior for Market Orders only, where 
Equity Members may select on an order-by-order basis a dollar value 
lower than the Exchange specified percentages and dollar value. This 
proposal seeks to expand that ability under Exchange Rule 2618(b)(1)(F) 
to include Limit Orders and Pegged Orders and allow Equity Members to 
select a dollar value lower (current behavior), higher, or equal to the 
Exchange specified percentages and dollar value on an order-by-order 
basis. Importantly, the proposed rule change would not only allow 
Equity Members to select a dollar value more aggressive than the 
Exchange's defaults, but also more conservative in cases where they 
seek to apply a tighter Trading Collar in line with their risk 
appetite.
    Allowing Equity Members to select a dollar value more or less 
conservative than the Exchange's specified percentages and dollar value 
is being proposed in response to an Equity Member request to be able to 
access an order in less liquid securities that may be resting on the 
MIAX Pearl Equities Book at prices outside the Trading Collar, as 
described above. The proposal would, therefore, promote just and 
equitable principles of trade because it would provide Equity Members 
with additional flexibility in constructing a Trading Collar (tighter 
or wider) that better suits their risk appetite when they seek to 
access such resting liquidity. The proposal would allow Equity Members 
to modify the Trading Collar on an order-by-order basis so that they 
may access an order resting on the MIAX Pearl Equities Book that would 
otherwise be priced outside of the Trading Collar due to the Exchange's 
default behavior.
    An Equity Member's decision to select a dollar value other than the 
Exchange's specified values would be completely voluntary. Equity 
Members would be free to take no action and rely on the Exchange's 
specified percentages or dollar value as they may do today for Market 
Orders.
    Market participants' ability to adjust risk settings to a more 
restrictive range, like Trading Collars, is not unique. As discussed 
above, Exchange Rule 2618(b)(1)(F) currently provides Equity Members 
the ability to constrict the Trading Collar for Market Orders. Market 
participants' ability to adjust risk settings to a more permissive 
range is also not unique. Today, for Limit Order Price Protection, 
Exchange Rule 2614(a)(1)(ix)(B) permits Equity Members to customize the 
specified dollar and percentage values used under Limit Order Price 
Protection.\17\ Such customization may be more or less permissive than 
the Exchange's specified dollar and percentage values. In the case 
where an Equity Member customizes their specified dollar and percentage 
values used under Limit Order Price Protection to be more permissive, 
an execution may nevertheless be prevented by the Trading Collar. 
Importantly, the proposal would allow Equity Members to override the 
Exchange's default behavior to construct a Trading Collar based on 
their own trading behavior and risk appetite, like they may do today 
for Limit Order Price Protection.
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    \17\ Exchange Rule 2614(a)(1)(ix)(A) provides that, under Limit 
Order Price Protection, a Limit Order to buy (sell) will be rejected 
if it is priced at or above (below) the greater of a specified 
dollar and percentage away from the following: (1) PBO for Limit 
Orders to buy, the PBB for Limit Orders to sell; (2) if 1, is 
unavailable, consolidated last sale price disseminated during the 
Regular Trading Hours on trade date; or (3) if neither (1), or (2) 
are available, the prior day's Official Closing Price identified as 
such by the primary listing exchange, adjusted to account for events 
such as corporate actions and news events.
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    This proposal is in response to a limited and specific scenario 
when the prior day's Official Closing Price is used as the Trading 
Collar Reference Price because no consolidated last sale price was 
disseminated during Regular Trading Hours on trade date. In such case, 
the Official Closing Price may be stale and result in an order in a 
less liquid security to be resting at a price outside the Trading 
Collar. The Exchange believes this in an infrequent occurrence. 
Nonetheless, the proposed functionality would be available generally 
and not for only this limited scenario. However, the Exchange believes 
that Equity Members would continue to rely on the Exchange's default 
behavior and Trading Collars in most, if not all, other trading 
scenarios.
    The proposal furthers the objectives of Section 6(b)(5) \18\ by 
facilitating transactions in securities that would otherwise be 
prevented due to an unnecessarily restrictive Trading Collar. The 
proposal seeks to permit an Equity Member to adjust the Trading Collar 
so that they may access an order resting on MIAX Pearl Equities Book 
that may be unnecessarily resting at a price outside of the Exchange-
established Trading Collar. In this case, the Exchange has a willing 
buyer and willing seller, and allowing the Equity Member submitting the 
incoming order to adjust their Trading Collar to a more permissive 
range would allow them to access that resting order, thereby 
facilitating transactions in securities. The order resting on the 
Exchange at a price outside of the Trading Collar may be at a more 
aggressive price than other orders resting at away markets. In such 
case, the proposal would further facilitate transactions in securities 
by allowing an Equity Member to access a more aggressively priced order 
on the Exchange, and then seek to access less aggressively priced 
interest resting at other markets.
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    \18\ 15 U.S.C. 78f(b)(5).
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    Further, the proposal protects investors and the public interest 
because such an order would continue to be subject to other risk 
controls and protections offered by the Exchange. For example, Limit 
Order Price Protection process will continue to apply, even in cases 
where an Equity Member selects a custom dollar value to calculate the 
Trading Collar price range. To further help Equity Members manage their 
risk, all other risk controls offered by the Exchange that authorize 
the Exchange to take automated action if a designated limit for an 
Equity Member is breached will also continue to apply. Each of these 
risk controls provide Equity Members with enhanced abilities to manage 
their risk when trading on the Exchange. The proposal also protects 
investors and the public interest because no order would be executed 
outside of the prescribed Price Bands pursuant to the LULD Plan.
    Lastly, the Exchange believes its proposal to not allow Equity 
Members to select their own dollar value to calculate the Trading 
Collar for orders eligible to participate in the Exchange's Opening 
Process is reasonable. This portion of the proposal promotes just and 
equitable principles of trade because no orders rest on the MIAX Pearl 
Equities Book until the completion of the Opening Process and 
continuous trading has begun. Until that time, there would be no orders 
resting on the MIAX Pearl Equities Book at a price that would otherwise 
be outside of the Trading Collar that an Equity Member may seek to 
access.
Non-Substantive Corrections
    The non-substantive corrections to Exchange Rule 2618 protect 
investors and the public interest, as well as remove impediments to and 
perfects the mechanism of a free and open market and a national market 
system because each is designed solely to correct non-substantive 
grammatical errors, making the rule easier to understand and avoid 
potential investor confusion. None of

[[Page 27828]]

these changes impact or alter the operation of Exchange Rule 2618(b).

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 that is not necessary or appropriate 
in furtherance of the purposes of the Act.
    The Exchange believes its proposal will not impose any burden on 
inter-market competition because it would provide Equity Members with 
additional flexibility in constructing a Trading Collar that better 
suits their risk appetite when they seek to access resting liquidity 
that may be resting outside of the Trading Collar because it was 
calculated based on the prior day's Official Closing Price, which may 
not reflect the current trading characteristics of the security. The 
proposal would serve to improve access to less liquid securities priced 
outside the Trading Collar, improving the liquidity on the Exchange and 
potentially the Exchange's market quality. The proposal would impose no 
burden on intra-market competition because each risk setting would be 
applied to all Equity Members' orders equally.
Non-Substantive Corrections
    The non-substantive corrections to Exchange Rule 2618 would not 
impact competition because such changes would not enhance or alter the 
Exchange's ability to compete, but rather, make the rule easier to 
comprehend, reducing the potential for inadvertent investor confusion.

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

    Because the foregoing proposed rule change does not: (i) 
Significantly affect the protection of investors or the public 
interest; (ii) impose any significant burden on competition; and (iii) 
become operative for 30 days after the date of the filing, or such 
shorter time as the Commission may designate, it has become effective 
pursuant to 19(b)(3)(A) of the Act \19\ and Rule 19b-4(f)(6) \20\ 
thereunder.
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    \19\ 15 U.S.C. 78s(b)(3)(A).
    \20\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) 
requires a self-regulatory organization to give the Commission 
written notice of its intent to file the proposed rule change at 
least five business days prior to the date of filing of the proposed 
rule change, or such shorter time as designated by the Commission. 
The Exchange has satisfied this requirement.
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    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. 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 (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
file number SR-PEARL-2024-17 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-PEARL-2024-17. 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 website (https://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 website 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 
a.m. and 3 p.m. Copies of the filing also will be available for 
inspection and copying at the principal office of the Exchange. Do not 
include personal identifiable information in submissions; you should 
submit only information that you wish to make available publicly. We 
may redact in part or withhold entirely from publication submitted 
material that is obscene or subject to copyright protection. All 
submissions should refer to file number SR-PEARL-2024-17 and should be 
submitted on or before May 9, 2024.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\21\
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    \21\ 17 CFR 200.30-3(a)(12).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2024-08240 Filed 4-17-24; 8:45 am]
BILLING CODE 8011-01-P