[Federal Register Volume 91, Number 10 (Thursday, January 15, 2026)]
[Notices]
[Pages 1848-1850]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-00645]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-104575; File No. SR-NYSEARCA-2025-89]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of a Proposed Rule Change To Amend the NYSE
Arca Options Fees and Charges To Reflect Certain Central Registration
Depository Fees Collected by the Financial Industry Regulatory
Authority, Inc.
January 12, 2026.
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 29, 2025, NYSE Arca, Inc. (``NYSE Arca'' or the
``Exchange'') filed with the Securities and Exchange Commission (the
``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.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the NYSE Arca Options Fees and
Charges (the ``Fee Schedule'') with respect to certain system fees for
the Central Registration Depository (``CRD'' or ``CRD system'')
collected by the Financial Industry Regulatory Authority, Inc.
(``FINRA''). The proposed rule change is
[[Page 1849]]
available on the Exchange's website at www.nyse.com and at the
principal office of the Exchange.
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 the Fee Schedule with respect to
certain system fees for use of CRD collected by FINRA.\4\ The Exchange
proposes to implement the fee change effective January 2, 2026.
---------------------------------------------------------------------------
\4\ CRD is the central licensing and registration system for the
U.S. securities industry. The CRD system enables individuals and
firms seeking registration with multiple states and self-regulatory
organizations to do so by submitting a single form, fingerprint
card, and a combined payment of fees to FINRA. Through the CRD
system, FINRA maintains the qualification, employment, and
disciplinary histories of registered associated persons of broker-
dealers.
---------------------------------------------------------------------------
FINRA collects and retains certain regulatory fees via CRD for
session fees related to continuing education requirements, fees for
qualification examinations, and the registration of associated persons
of Exchange OTP Holders and OTP Firms that are not FINRA members
(``Non-FINRA OTP Holders'').\5\ CRD fees are user-based, and there is
no distinction in the cost incurred by FINRA if the user is a FINRA
member or a Non-FINRA OTP Holder.
---------------------------------------------------------------------------
\5\ The Exchange originally adopted fees for use of the CRD
system in 2005 and amended those fees in 2013, 2022, 2023, and 2024.
See Securities Exchange Act Release Nos. 51641 (May 2, 2005), 70 FR
24155 (May 6, 2005) (SR-PCX-2005-49); 68590 (January 4, 2013), 78 FR
2470 (January 11, 2013) (SR-NYSEArca-2012-145); 93899 (January 5,
2022), 87 FR 1455 (January 11, 2022) (SR-NYSEArca-2021-106); 96698
(January 18, 2023), 88 FR 4260 (January 24, 2023) (SR-NYSEArca-2023-
03); 99334 (January 11, 2024), 89 FR 3450 (January 18, 2024) (SR-
NYSEARCA-2023-88). While the Exchange lists these fees in its Fee
Schedule, it does not collect or retain these fees.
---------------------------------------------------------------------------
In 2024, FINRA amended certain fees assessed for use of the CRD
system for implementation between 2026 and 2028.\6\ The Exchange
accordingly proposes to amend the Fee Schedule to mirror these fees
assessed by FINRA, which will be implemented concurrently with the
amended FINRA fees as of January 2026.\7\ Specifically, the Exchange
proposes to amend the Fee Schedule to provide that the CRD session fee
for the Continuing Education Regulatory Element will be $25 and the CRD
fee for the Series 57 examination will be $105.\8\ The Exchange also
proposes to amend the Fee Schedule to modify the system processing fees
charged to Non-FINRA OTP Holders for each registered representative and
principal from $70 to the following, based on the number of securities
regulators with which each such registered person is registered,
excluding registration as an investment adviser representative: \9\
---------------------------------------------------------------------------
\6\ See Securities Exchange Act Release No. 93709 [sic]
(November 21, 2024), 89 FR 93709 (November 27, 2024) (SR-FINRA-2024-
019).
\7\ The Exchange notes that it has only adopted the CRD system
fees charged by FINRA to Non-FINRA OTP Holders when such fees are
applicable. In this regard, certain FINRA CRD system fees and
requirements are specific to FINRA members, but do not apply to NYSE
Arca-only OTP Holders. Non-FINRA OTP Holders have been charged CRD
system fees since 2001. See note 5, supra. OTP Holders that are also
FINRA members are charged CRD system fees according to Section 4 of
Schedule A to the FINRA By-Laws.
\8\ The Exchange notes that the Fee Schedule inadvertently
reflects outdated fees; the current fee for the Regulatory Element
is $18, and the current fee for the Series 57 examination is $80. In
the section of the Fee Schedule reflecting CRD session fees for
continuing education requirements, the Exchange is also proposing to
delete the fee for the S101 Regulatory Element Program, which is no
longer assessed by FINRA, and to make other non-substantive
clarifying changes.
\9\ See Section (4)(b)(7) of Schedule A to the FINRA By-laws.
------------------------------------------------------------------------
Number of securities regulators Fee
------------------------------------------------------------------------
1 to 5.......................................................... $70
6 to 20......................................................... 95
21 to 40........................................................ 110
41 or more...................................................... 125
------------------------------------------------------------------------
The Exchange notes that the proposed change is not otherwise
intended to address any other issues surrounding regulatory fees, and
the Exchange is not aware of any problems that OTP Holders would have
in complying with the proposed change.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\10\ in general, and furthers the
objectives of Section 6(b)(4) \11\ of the Act, in particular, in that
it is designed to provide for the equitable allocation of reasonable
dues, fees, and other charges. The Exchange also believes that the
proposed rule change is consistent with Section 6(b)(5) of the Act,\12\
in that it is designed 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 and is not designed to permit unfair discrimination between
customers, issuers, brokers, or dealers.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(4).
\12\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange believes that the proposed fee change is reasonable
because the fees will be identical to those adopted by FINRA as of
January 2026 for CRD session fees for continuing education
requirements, CRD fees for qualification examinations, and use of the
CRD system for each of the member's registered representatives and
principals for system processing. The costs of operating and improving
the CRD system are similarly borne by FINRA when a Non-FINRA OTP Holder
uses the CRD system; accordingly, the fees collected for such use
should, as proposed by the Exchange, mirror the fees assessed to FINRA
members. In addition, as FINRA noted in amending its fees, it believes
that its proposed pricing structure is reasonable and correlates fees
with the components that drive its regulatory costs to the extent
feasible. The Exchange further believes that the change is reasonable
because it will provide greater specificity regarding CRD session fees
for certain continuing education requirements, CRD fees for certain
qualification examinations, and the CRD system fees that are applicable
to Non-FINRA OTP Holders. All similarly situated OTP Holders are
subject to the same fee structure, and every OTP Holder must use the
CRD system to complete continuing education requirements and
qualification examinations, as well as for registration and disclosure.
Accordingly, the Exchange believes that the fees collected for such use
should likewise increase in lockstep with the fees assessed to FINRA
members, as proposed by the Exchange.
The Exchange also believes that the proposed fee change provides
for the equitable allocation of reasonable fees and other charges, and
does not unfairly discriminate between customers, issuers, brokers, and
dealers. The fees apply equally to all individuals and
[[Page 1850]]
firms required to report information in the CRD system, and the
proposed change will result in the same regulatory fees being charged
to all OTP Holders required to report information to CRD and for
services performed by FINRA regardless of whether such OTP Holders are
FINRA members. Accordingly, the Exchange believes that the fees
collected for such use should increase in lockstep with the fees
adopted by FINRA as of January 2026, as proposed by the Exchange.
B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act, the Exchange
believes that the proposed rule change would not impose any burden on
competition that is not necessary or appropriate in furtherance of the
purposes of the Act. Specifically, the Exchange believes that the
proposed change will reflect fees that will be assessed by FINRA as of
January 2026 and will thus result in the same regulatory fees being
charged to all OTP Holders required to report information to the CRD
system and for services performed by FINRA, regardless of whether or
not such OTP Holders are FINRA members.
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) \13\ of the Act and subparagraph (f)(2) of Rule
19b-4 \14\ thereunder, because it establishes a due, fee, or other
charge imposed by the Exchange.
---------------------------------------------------------------------------
\13\ 15 U.S.C. 78s(b)(3)(A).
\14\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
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 the purposes of the Act. If the Commission
takes such action, the Commission shall institute proceedings under
Section 19(b)(2)(B) \15\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
---------------------------------------------------------------------------
\15\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
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-NYSEARCA-2025-89 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-2025-89. 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 filing 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-NYSEARCA-2025-89 and should be submitted
on or before February 5, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\16\
---------------------------------------------------------------------------
\16\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2026-00645 Filed 1-14-26; 8:45 am]
BILLING CODE 8011-01-P