[Federal Register Volume 91, Number 137 (Monday, July 20, 2026)]
[Notices]
[Pages 45299-45306]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-14528]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-105922; File No. SR-FINRA-2026-015]


Self-Regulatory Organizations; Financial Industry Regulatory 
Authority, Inc.; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change To Amend the FINRA Rule 6300 Series (Trade 
Reporting Facilities) To Extend the Trade Reporting Facilities 
Operating Hours to 23 Hours Per Day, Five Days Per Week

July 15, 2026.
    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 July 7, 2026, the Financial Industry Regulatory Authority, Inc. 
(``FINRA'') filed with the Securities and Exchange Commission (``SEC'' 
or ``Commission'') the proposed rule change as described in Items I, 
II, and III below, which Items have been prepared by FINRA. 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

    FINRA is proposing to amend FINRA Rules 6320A, 6320B, 6380A, and 
6380B regarding the operation of the FINRA/NYSE Trade Reporting 
Facility, the FINRA/Nasdaq Trade Reporting Facility Carteret, and the 
FINRA/Nasdaq Trade Reporting Facility Chicago (the ``Trade Reporting 
Facilities'' or ``TRFs'') to extend TRF operating hours such that the 
TRFs are operational from 9:00 p.m. Eastern Time (``E.T.'') on Sundays 
to 8:00 p.m. E.T. Fridays, excluding holidays, with a one-hour pause 
from 8:00 p.m. E.T. to 9:00 p.m. E.T. on Monday through Thursday.\3\
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    \3\ Unless otherwise specified, all times referred to in the 
proposed rule change are E.T.
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    The text of the proposed rule change is available on FINRA's 
website at http://www.finra.org and at the principal office of FINRA.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, FINRA 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 statements may be examined at the places specified in 
Item IV below. FINRA 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
Background
    The TRFs are facilities of FINRA that are operated by NYSE Market 
(DE), Inc. (in the case of the FINRA/NYSE TRF) and Nasdaq, Inc. (in the 
case of the FINRA/Nasdaq TRF Carteret and the FINRA/Nasdaq TRF 
Chicago). Along with the Alternative Display Facility (``ADF''),\4\ the 
TRFs provide FINRA members with a mechanism for reporting over-the-
counter (``OTC'') trades in NMS stocks. While members are required to 
report all OTC trades in NMS stocks to FINRA, they may choose which 
FINRA facility (or facilities) to use to satisfy their trade reporting 
obligations.
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    \4\ Collectively, the TRFs and the ADF are referred to as the 
``FINRA facilities.'' The ADF is a FINRA facility that provides 
members with a mechanism for displaying quotations and comparing and 
reporting trades in NMS stocks. Currently, there are no active 
quoting ADF participants, and only one Trade Reporting Only 
participant using the ADF as a back-up trade reporting facility. The 
ADF operating hours are 8:00 a.m. to 6:30 p.m. for both quotation 
display and trade reporting. Separately, FINRA operates the OTC 
Reporting Facility (``ORF''), a facility for reporting trades in OTC 
Equity Securities. The ORF operating hours are 8:00 a.m. to 8:00 
p.m. The instant proposed rule change is limited to the TRFs. FINRA 
is not at this time proposing any changes to the operating hours of 
either the ADF or the ORF.
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    Currently, the operating hours of the TRFs are 4:00 a.m. to 8:00 
p.m. each business day.\5\ These operating hours

[[Page 45300]]

are reflected in the transaction reporting rules for the FINRA/Nasdaq 
TRFs (FINRA Rule 6380A (Transaction Reporting)) and the FINRA/NYSE TRF 
(FINRA Rule 6380B (Transaction Reporting)), as well as the associated 
definitional rules for the FINRA/Nasdaq TRFs (FINRA Rule 6320A 
(Definitions)) and the FINRA/NYSE TRF (FINRA Rule 6320B (Definitions)). 
Under these reporting rules, transactions executed during normal market 
hours, i.e., 9:30 a.m. to 4:00 p.m.,\6\ must be reported as soon as 
practicable but no later than 10 seconds after execution.\7\ 
Transactions executed outside normal market hours must be reported as 
follows:
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    \5\ Prior to March 30, 2026, the operating hours of the TRFs 
were 8:00 a.m. to 8:00 p.m. each business day. To align with the 
current operating hours of the Securities Information Processors 
(``SIPs'') and thereby enable real-time public dissemination of 
trade reports for OTC transactions in NMS stocks executed between 
4:00 a.m. and 8:00 a.m., FINRA extended the TRF operating hours from 
opening at 8:00 a.m. to opening at 4:00 a.m. each business day. See 
Securities Exchange Act Release No. 103435 (July 11, 2025), 90 FR 
32032 (July 16, 2025) (Notice of Filing and Immediate Effectiveness 
of File No. SR-FINRA-2025-011). FINRA subsequently filed a proposed 
rule change to provide a limited, temporary exception from reporting 
specified overnight transactions prior to 8:00 a.m. See Securities 
Exchange Act Release No. 104912 (March 2, 2026), 91 FR 10835 (March 
5, 2026) (Notice of Filing and Immediate Effectiveness of File No. 
SR-FINRA-2026-005). The 4:00 a.m. opening time of the TRFs is 
reflected in current Rules 6380A and 6380B. The temporary exception 
for specified overnight transactions is reflected in Supplementary 
Material .05 to Rules 6380A and 6380B. By its terms, the temporary 
exception in Supplementary Material .05 expires upon the effective 
date of any amendments to the TRF reporting rules to further extend 
TRF operating hours, including the amendments to the TRF reporting 
rules proposed in this filing to further extend the TRF operating 
hours.
    \6\ ``Normal market hours'' are defined as 9:30 a.m. to 4:00 
p.m. for purposes of the FINRA TRF rules. See Rules 6320A(a)(6) and 
6320B(a)(6).
    \7\ See FINRA Rules 6380A(a)(1) and 6380B(a)(1).
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     for transactions executed between 4:00 a.m. and 9:30 a.m., 
as soon as practicable but no later than 10 seconds after execution, 
with a unique trade report modifier to denote execution outside normal 
market hours;
     for transactions executed between 4:00 p.m. and 8:00 p.m., 
as soon as practicable but no later than 10 seconds after execution, 
with a unique trade report modifier to denote execution outside normal 
market hours;
     for transactions executed between midnight and 4:00 a.m., 
by 4:15 a.m., with a unique trade report modifier to denote execution 
outside normal market hours; and
     for transactions executed between 8:00 p.m. and midnight, 
or on any non-business day,\8\ by 4:15 a.m. on the following business 
day, designated ``as/of'' and with a unique trade report modifier to 
denote execution outside normal market hours.\9\
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    \8\ A non-business day means a weekend or holiday. See Rules 
6380A(a)(2)(D) and 6380B(a)(2)(D).
    \9\ See FINRA Rules 6380A(a)(2) and 6380B(a)(2).
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    All trade reports submitted to the TRFs, other than non-tape 
reports,\10\ are transmitted to and publicly disseminated by the 
appropriate SIP.\11\ Currently, the operating hours of the SIPs are 
4:00 a.m. until 8:00 p.m. on business days.\12\ Transactions executed 
during current TRF operating hours--i.e., between 4:00 a.m. and 8:00 
p.m. on business days--are reported to the TRFs and publicly 
disseminated through the SIPs in real time, since both the TRFs and 
SIPs are operating during those hours.
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    \10\ ``Tape'' or ``media'' reports are those that are submitted 
to a TRF for public dissemination by the SIPs. By contrast, ``non-
tape'' or ``non-media'' reports are not submitted to a TRF for 
public dissemination but are submitted for regulatory and clearance 
and settlement purposes. Another term that is often used with 
respect to ``tape'' or ``media'' reports is ``for publication.'' In 
certain limited circumstances, trade reports submitted for 
publication may be suppressed from public dissemination (e.g., 
transactions in Restricted Equity Securities effected pursuant to 
Securities Act Rule 144A, as well as T+365 trades and trades 
executed on a non-business day).
    \11\ Market data is transmitted to three tapes based on the 
listing venue of the security: securities listed on New York Stock 
Exchange are disseminated through Tape A; securities listed on 24X, 
BYX, BZX, EDGA, EDGX, IEX, LTSE, MEMX, MIAX, Nasdaq BX, Nasdaq PSX, 
NYSE American, NYSE Texas, NYSE National, NYSE Arca, or Texas are 
disseminated through Tape B; and securities listed on Nasdaq are 
disseminated through Tape C. Tape A and Tape B market data is 
disseminated pursuant to the Consolidated Tape Association Plan 
(``CTA Plan'') and the Consolidated Quotation Plan (``CQ Plan''), 
while Tape C market data is disseminated pursuant to the Joint Self-
Regulatory Organization Plan Governing the Collection, Consolidation 
and Dissemination of Quotation and Transaction Information for 
Nasdaq-Listed Securities Traded on Exchanges on an Unlisted Trading 
Privileges Basis (``UTP Plan'').
    \12\ See, e.g., UTP Plan, Section XI.
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    The Operating Committees of the CTA Plan, the CQ Plan, and the UTP 
Plan (the ``SIP Plans'' and the ``SIP Operating Committees'') recently 
filed with the Commission proposed amendments to the SIP Plans to 
extend the SIP operating hours to run from 9:00 p.m. Sundays to 8:00 
p.m. Fridays, excluding holidays, with a one-hour technical pause from 
8:00 p.m. to 9:00 p.m. on Monday through Thursday.\13\ On June 26, 
2026, the Commission approved the proposed amendments to the SIP Plans 
(collectively as approved, the ``SIP Amendment'').\14\ Under the SIP 
Amendment, on a holiday where U.S. markets are closed, the SIPs will 
not operate from 8:00 p.m. the day before the holiday through 9:00 p.m. 
the day of the holiday.\15\ Further, the SIPs will consider a ``trade 
date'' to start at 8:00 p.m. on the day before regular trading hours 
begins and end at 8:00 p.m. on the same day when regular trading hours 
began.\16\ The SIP Operating Committees anticipate implementing the SIP 
Amendment extending SIP operating hours on December 6, 2026.\17\
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    \13\ See Securities Exchange Act Release No. 104670 (January 22, 
2026), 91 FR 3609 (January 27, 2026) (Notice of Filing of the Fifty-
Fifth Amendment to the Joint Self-Regulatory Organization Plan 
Governing the Collection, Consolidation and Dissemination of 
Quotation and Transaction Information for Nasdaq-Listed Securities 
Traded on Exchanges on an Unlisted Trading Privileges Basis); 
Securities Exchange Act Release No. 104665 (January 22, 2026), 91 FR 
3602 (January 27, 2026) (Notice of Filing of Fortieth Substantive 
Amendment to the Second Restatement of the CTA Plan and Thirty-First 
Substantive Amendment to the Restated CQ Plan). See also Securities 
Exchange Act Release No. 105268 (April 17, 2026), 91 FR 21541 (April 
22, 2026) (Notice of Filing of Amendment No. 1, and Order 
Instituting Proceedings To Determine Whether To Approve or 
Disapprove an Amendment to the Joint Self- Regulatory Organization 
Plan Governing the Collection, Consolidation and Dissemination of 
Quotation and Transaction Information for Nasdaq-Listed Securities 
Traded on Exchanges on an Unlisted Trading Privileges Basis, as 
Modified by Amendment No. 1 Thereto, To Extend the Processor's Hours 
of Operation); Securities Exchange Act Release No. 105269 (April 17, 
2026), 91 FR 21563 (April 22, 2026) (Notice of Filing of Amendment 
No. 1, and Order Instituting Proceedings To Determine Whether To 
Approve or Disapprove the Fortieth Substantive Amendment to the 
Second Restatement of the CTA Plan and Thirty-First Substantive 
Amendment to the Restated CQ Plan, as Modified by Amendment No. 1 
Thereto, To Extend the Processor's Hours of Operation).
    \14\ See Securities Exchange Act Release No. 105780 (June 26, 
2026), 91 FR 40058 (July 1, 2026) (Order Approving the Fifty-Fifth 
Amendment to the Joint Self-Regulatory Organization Plan Governing 
the Collection, Consolidation and Dissemination of Quotation and 
Transaction Information for Nasdaq-Listed Securities Traded on 
Exchanges on an Unlisted Trading Privileges Basis, as Modified by 
Amendment No. 1 Thereto) (``UTP SIP Approval Order''); Securities 
Exchange Act Release No. 105779 (June 26, 2026), 91 FR 40082 (July 
1, 2026) (Order Approving the Fortieth Substantive Amendment to the 
Second Restatement of the CTA Plan and Thirty-First Substantive 
Amendment to the Restated CQ Plan, as Modified by Amendment No. 1 
Thereto) (``CTA SIP Approval Order'').
    \15\ See, e.g., CTA SIP Approval Order, supra note 15, 91 FR 
40082, 40083.
    \16\ See, e.g., CTA SIP Approval Order, supra note 15, 91 FR 
40082, 40083.
    \17\ See, e.g., CTA SIP Approval Order, supra note 15, 91 FR 
40082, 40083.
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    In anticipation of the upcoming extension of SIP operating hours 
per the SIP Amendment, FINRA is proposing to extend the operating hours 
of the TRFs to run from 9:00 p.m. Sundays to 8:00 p.m. Fridays, 
excluding holidays, with a one-hour pause from 8:00 p.m. to 9:00 p.m. 
on Monday through Thursday, thereby enabling real-time public 
dissemination of trade reports for OTC transactions in NMS stocks 
executed during the overnight hours when the SIPs are operating. To 
implement this proposed enhancement to TRF operating hours, the 
proposed rule change would amend the FINRA TRF reporting rules to 
reflect the new 9:00 p.m. opening time, as well as make clarifying and 
conforming changes to the TRF definitional rules, as described in 
detail below.
Proposed Amendments to TRF Reporting Rules
    FINRA is proposing to amend its TRF reporting rules and associated 
definitions to provide that the TRFs will operate from 9:00 p.m. 
Sundays to 8:00 p.m. Fridays, with a one-hour pause from 8:00 p.m. to 
9:00 p.m. on Monday through Thursday. Specifically, the proposed rule 
change would make amendments to FINRA Rules 6320A (for the FINRA/Nasdaq 
TRFs definitions),

[[Page 45301]]

6320B (for the FINRA/NYSE TRF definitions), 6380A (for the FINRA/Nasdaq 
TRFs reporting rules), and 6380B (for the FINRA/NYSE TRF reporting 
rules) to reflect the new extended operating hours of the TRFs, clarify 
the operation of the reporting requirements in light of the new 
operating hours and SIP Amendment, and make non-substantive conforming 
and technical changes. Together, the proposed amendments would extend 
the requirement to report transactions to the TRFs as soon as 
practicable but no later than 10 seconds after execution to apply 
during the new extended TRF operating period from 9:00 p.m. Sundays to 
8:00 p.m. Fridays, with a one-hour pause from 8:00 p.m. to 9:00 p.m. on 
Monday through Thursday, and require transactions executed when the 
TRFs are closed to be reported within 15 minutes after the new TRF 
opening time of 9:00 p.m.\18\
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    \18\ FINRA has published guidance and technical documentation 
relating to TRF reporting, available at https://www.finra.org/filing-reporting/trade-reporting-facility-trf. FINRA would make 
appropriate conforming changes to guidance and technical 
documentation in connection with implementation of the proposed rule 
change.
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New Definitions in Rules 6320A and 6320B
    FINRA is proposing to add several definitions to FINRA Rules 
6320A(a) and 6320B(a) that would align with definitions used in the SIP 
Amendment.\19\ First, FINRA is proposing to define: ``Calendar Day,'' 
``Business Day,'' ``Regular Trading Hours,'' and ``Trade Date.'' 
Calendar Day would be defined to mean each full 24-hour period starting 
at midnight Eastern Time and ending the following midnight Eastern Time 
(i.e., the common understanding of a calendar day, meaning Monday, 
Tuesday, Wednesday, Thursday, Friday, Saturday, or Sunday). Business 
Day would be defined to mean any Calendar Day other than a Saturday, 
Sunday, or a holiday where U.S. markets are closed.\20\ Regular Trading 
Hours would be defined to mean 9:30 a.m. to 4:00 p.m. each Business 
Day, and would clarify that Regular Trading Hours can end earlier than 
4:00 p.m. in the case of an early scheduled close.\21\ Trade Date would 
be defined to mean the Calendar Day attributed to a transaction as its 
Trade Date based on its time of execution, with a Trade Date considered 
to start at 8:00 p.m. on a Calendar Day and end at 8:00 p.m. the 
following Calendar Day.\22\ Thus, transactions executed between 
midnight and 8:00 p.m. on a Calendar Day will be designated with a 
Trade Date of that same Calendar Day, and transactions executed after 
8:00 p.m. on a Calendar Day will be considered to have a Trade Date of 
the next Calendar Day, regardless of whether the Calendar Day is a 
Business Day or a holiday or weekend.\23\
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    \19\ FINRA also is reordering the definitions in Rules 6320A and 
6320B in alphabetical order and renumbering existing definitions as 
necessary to incorporate new defined terms. Other than replacing the 
definition of ``normal market hours'' with the new defined term 
``Regular Trading Hours'' as discussed below, and updating an 
exchange entity name, FINRA is not proposing any changes to existing 
definitions.
    \20\ The proposed definition of Business Day is consistent with 
current Rules 6380A(a)(2)(D) and 6380B(a)(2)(D), which refer to a 
``non-business day'' as a weekend or holiday.
    \21\ The new term ``Regular Trading Hours'' would replace the 
existing defined term ``normal market hours'' but is not intended to 
substantively change the meaning of the term. Rather, the new 
definition is intended to provide greater clarity by aligning with 
the defined terms used in the SIP Plans and Regulation NMS. See, 
e.g., UTP Plan, Section X.A.9; Rule 600(b) of SEC Regulation NMS.
    \22\ The new definition of Trade Date is intended to conform to 
the concept of a ``trade date'' as discussed in the SIP Amendment. 
See, e.g., CTA SIP Approval Order, supra note 15, 91 FR 40082, 
40083. The new definition of Trade Date under Rules 6320A and 6320B 
applies only for purposes of the TRF reporting rules in the FINRA 
Rules 6300A and 6300B Series, respectively.
    \23\ FINRA is not proposing any new reporting fields or 
modifiers in connection with the instant proposed rule change to 
extend the TRF operating hours. However, FINRA notes that currently, 
members must report two separate fields related to the time and date 
of execution of a transaction: (1) the time of execution (i.e., 
``TransactTime''), which embeds the actual date of execution, and 
(2) the trade date (``TradeDate''). FINRA does not anticipate any 
changes to reporting TransactTime field, from which FINRA will 
continue to obtain the Calendar Day of execution for each 
transaction for audit trail purposes. However, members may need to 
adjust the date reported in the TradeDate field to reflect the new 
definition of Trade Date under Rules 6320A and 6320B as described 
above, in alignment with parallel changes under the SIP Amendment. 
As noted above, FINRA will publish updated technical specifications 
in advance of implementation of the proposed rule change.
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    Second, FINRA is proposing to add new definitions to Rules 6320A(a) 
and 6320B(a) to define the operating hours of each TRF. Under amended 
Rule 6320A(a), ``FINRA/Nasdaq Trade Reporting Facility System Hours'' 
would be defined to mean 9:00 p.m. Sunday to 8:00 p.m. Friday, with a 
one-hour pause from 8:00 p.m. to 9:00 p.m. on Monday through Thursday, 
and would clarify that, in the event of a holiday where U.S. markets 
are closed, the FINRA/Nasdaq Trade Reporting Facility will not operate 
from 8:00 p.m. on the Business Day immediately preceding the holiday 
through 9:00 p.m. on the Calendar Day immediately preceding the next 
Business Day following the holiday, which may be the day of the 
holiday. Similarly, amended Rule 6320B(a) would define ``FINRA/NYSE 
Trade Reporting Facility System Hours'' to mean 9:00 p.m. Sunday to 
8:00 p.m. Friday, with a one-hour pause from 8:00 p.m. to 9:00 p.m. on 
Monday through Thursday, and would clarify that, in the event of a 
holiday where U.S. markets are closed, the FINRA/NYSE Trade Reporting 
Facility will not operate from 8:00 p.m. on the Business Day 
immediately preceding the holiday through 9:00 p.m. on the Calendar Day 
immediately preceding the next Business Day following the holiday, 
which may be the day of the holiday.
Amendments To Reporting Timeframes Under Rules 6380A and 6380B
    FINRA is proposing conforming amendments to FINRA Rules 6380A and 
6380B to update the trade reporting timing requirements in light of the 
new TRF operating hours and to simplify the structure of the rule. As 
discussed above, the current timing requirements for reporting 
transactions executed during normal market hours are found in Rules 
6380A(a)(1) and 6380B(a)(1), while the timing requirements for 
reporting transactions executed outside normal market hours are found 
in Rules 6380A(a)(2) and 63280B(a)(2). FINRA is proposing to replace 
existing Rule 6380A(a)(1) with revised Rule 6380A(a)(1), entitled 
``Transaction Reporting to the FINRA/Nasdaq Trade Reporting Facility 
During FINRA/Nasdaq Trade Reporting Facility System Hours,'' which 
would provide that a Trade Reporting Facility Participant shall, as 
soon as practicable but no later than 10 seconds after execution, 
transmit to the FINRA/Nasdaq Trade Reporting Facility last sale reports 
of transactions in designated securities executed during FINRA/Nasdaq 
Trade Reporting Facility System Hours. Transactions not reported within 
10 seconds after execution will be designated as late, and transactions 
executed during FINRA/Nasdaq Trade Reporting Facility System Hours but 
outside Regular Trading Hours shall be designated with the unique trade 
report modifier, as specified by FINRA, to denote their execution 
outside Regular Trading Hours.\24\ FINRA is proposing to replace 
existing Rule 6380A(a)(2) with revised Rule 6380A(a)(2), entitled 
``Transaction Reporting to the FINRA/Nasdaq Trade Reporting Facility 
Outside FINRA/Nasdaq Trade Reporting Facility System Hours,'' which 
would provide that last sale reports of transactions in designated 
securities

[[Page 45302]]

executed outside FINRA/Nasdaq Trade Reporting Facility System Hours 
shall be reported no later than 15 minutes after the FINRA/Nasdaq Trade 
Reporting Facility opens and shall be designated with the unique trade 
report modifier, as specified by FINRA, to denote their execution 
outside Regular Trading Hours. Transactions not reported within 15 
minutes after the FINRA/Nasdaq Trade Reporting Facility opens shall be 
designated as late, and transactions executed on a Trade Date that is 
not a Business Day shall be designated ``as/of'' trades. Rule 
6380B(a)(1) and (2) would be similarly amended to reflect the new 
operating hours of the FINRA/NYSE Trading Reporting Facility.
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    \24\ FINRA notes that members are required to append applicable 
modifiers to a transaction based on the transaction's 
characteristics, in accordance with the TRF reporting rules and 
specifications.
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    Collectively, these amendments would clarify that transactions 
executed during TRF operating hours--generally now defined as 9:00 p.m. 
Sunday to 8:00 p.m. Friday, excluding holidays, with a one-hour pause 
from 8:00 to 9:00 p.m. on Monday through Thursday--must be reported as 
soon as practicable but no later than 10 seconds after execution. By 
contrast, transactions executed outside TRF operating hours--generally 
now meaning during the one-hour pause from 8:00 p.m. to 9:00 p.m. on 
Monday through Thursday, between 8:00 p.m. Friday and 9:00 p.m. Sunday, 
and between 8:00 p.m. the day before a holiday until 9:00 p.m. on the 
holiday--must be reported within 15 minutes after the TRF next opens.
    To illustrate the application of the new reporting timeframes, the 
below chart provides examples of the applicable trade reporting 
timeframes under the new TRF operating hours, based on the time of 
execution of a transaction.\25\
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    \25\ FINRA notes that the scenarios provided in the chart are 
not intended to be exhaustive. FINRA will consider whether any 
additional guidance may be warranted to address specific reporting 
scenarios.

------------------------------------------------------------------------
 Execution time of transaction    Required reporting
        (calendar day)                 timeframe           Trade date
------------------------------------------------------------------------
                                Weekdays
------------------------------------------------------------------------
Tuesday, May 12 at 2:00 a.m...  As soon as practicable  Tuesday, May 12.
                                 but no later than 10
                                 seconds after
                                 execution.
Tuesday, May 12 at 1:00 p.m...  As soon as practicable  Tuesday, May 12.
                                 but no later than 10
                                 seconds after
                                 execution.
Tuesday, May 12 at 5:00 p.m...  As soon as practicable  Tuesday, May 12.
                                 but no later than 10
                                 seconds after
                                 execution.
Tuesday, May 12 at 8:30 p.m...  By 9:15 p.m. on         Wednesday, May
                                 Tuesday, May 12.        13.
Tuesday, May 12 at 11:59 p.m..  As soon as practicable  Wednesday, May
                                 but no later than 10    13.
                                 seconds after
                                 execution.
------------------------------------------------------------------------
                                Weekends
------------------------------------------------------------------------
Friday, May 15 at 5:00 p.m....  As soon as practicable  Friday, May 15.
                                 but no later than 10
                                 seconds after
                                 execution.
Friday, May 15 at 8:30 p.m....  By 9:15 p.m. on         Saturday, May
                                 Sunday, May 17.         16.
Friday, May 15 at 11:59 p.m...  By 9:15 p.m. on         Saturday, May
                                 Sunday, May 17.         16.
Saturday, May 16 at 1:00 p.m..  By 9:15 p.m. on         Saturday, May
                                 Sunday, May 17.         16.
Saturday, May 16 at 8:30 p.m..  By 9:15 p.m. on         Sunday, May 17.
                                 Sunday, May 17.
Sunday, May 17 at 1:00 p.m....  By 9:15 p.m. on         Sunday, May 17.
                                 Sunday, May 17.
Sunday, May 17 at 8:30 p.m....  By 9:15 p.m. on         Monday, May 18.
                                 Sunday, May 17.
Sunday, May 17 at 10:00 p.m...  As soon as practicable  Monday, May 18.
                                 but no later than 10
                                 seconds after
                                 execution.
------------------------------------------------------------------------
                                Holidays
    (Assume Wednesday, May 20 is a Holiday and Thursday, May 21 is a
                              Business Day)
------------------------------------------------------------------------
Tuesday, May 19 at 5:00 p.m...  As soon as practicable  Tuesday, May 19.
                                 but no later than 10
                                 seconds after
                                 execution.
Tuesday, May 19 at 8:30 p.m...  By 9:15 p.m. on         Wednesday, May
                                 Wednesday, May 20.      20.
Tuesday, May 19 at 11:59 p.m..  By 9:15 p.m. on         Wednesday, May
                                 Wednesday, May 20.      20.
Wednesday, May 20 at 1:00 p.m.  By 9:15 p.m. on         Wednesday, May
                                 Wednesday, May 20.      20.
Wednesday, May 20 at 8:30 p.m.  By 9:15 p.m. on         Thursday, May
                                 Wednesday, May 20.      21.
Wednesday, May 20 at 11:59 p.m  As soon as practicable  Thursday, May
                                 but no later than 10    21.
                                 seconds after
                                 execution.
------------------------------------------------------------------------

Conforming Amendments to Rules 6380A and 6380B
    FINRA is also proposing several conforming changes to other 
paragraphs of FINRA Rules 6380A and 6380B to reflect the new reporting 
timeframes and defined terms discussed above, as well as to delete 
obsolete provisions. These changes are not intended to substantively 
alter existing reporting obligations other than with respect to the 
applicable TRF reporting hours.
    First, FINRA is proposing conforming amendments to paragraphs 
(a)(4), (5), (6), (7), and (8) of Rules 6380A and 6380B, which set 
forth additional requirements regarding when and how transactions must 
be reported to the TRFs. Specifically:
     Paragraph (a)(4) sets forth additional requirements 
related to late reporting, using the currently undefined terms ``date'' 
and ``trade date.'' FINRA is proposing to replace these terms with the 
phrase ``Trade Date that is a Business Day'' to clarify when such 
trades must be reported using the new defined terms.
     Paragraphs (a)(5)(A) and (H) set forth requirements for 
appending trade report modifiers for trades executed during normal 
market hours but reported late, and trades executed during pre-opening 
and after-hours but reported late, respectively. FINRA is proposing 
conforming changes to these

[[Page 45303]]

paragraphs to use the new defined terms ``Regular Trading Hours'' and 
``FINRA/Nasdaq Trade Reporting Facility System Hours'' or ``FINRA/NYSE 
Trade Reporting Facility System Hours,'' as applicable.
     Paragraph (a)(6) states that the TRF will append the 
appropriate modifier for trades reported late where the member does not 
append the appropriate modifier. FINRA is proposing conforming changes 
to replace the term ``normal market hours'' with the new defined term 
``Regular Trading Hours.''
     Paragraph (a)(7) addresses pre-opening and after-hours 
trades reported late. FINRA is proposing conforming changes to remove 
references to ``pre-opening and after-hours'' trades and use the new 
terms ``Regular Trading Hours'' and ``FINRA/Nasdaq Trade Reporting 
Facility System Hours'' or ``FINRA/NYSE Trade Reporting Facility System 
Hours,'' as applicable.
     Paragraph (a)(8) sets forth requirements for reporting 
transactions using Form T, including a provision stating that 
transactions that can be reported to the TRF, whether on trade date or 
on a subsequent date on an ``as/of'' basis, shall not be reported on 
Form T. FINRA is proposing a conforming change to use the new defined 
term ``Trade Date.''
    Second, FINRA is proposing conforming amendments to paragraph (g) 
of Rule 6380A, and paragraph (f) of 6380B, which set forth requirements 
related to reporting cancelled and reversed trades. Specifically, 
paragraphs (g)(2)(A) through (F) of Rule 6380A, and paragraphs 
(f)(2)(A) through (F) of Rule 6380B, refer to the period between 9:30 
a.m. and 4:00 p.m. as well as the undefined terms ``date of execution'' 
and ``business day.'' For clarity, FINRA is proposing to refer to the 
defined terms ``Regular Trading Hours'' and ``Business Day,'' as 
appropriate.
    FINRA has filed the proposed rule change for immediate 
effectiveness. The implementation date of the proposed rule change will 
be the implementation date of the SIP Amendment.\26\
---------------------------------------------------------------------------

    \26\ As discussed above, the SIP Operating Committees anticipate 
implementing the SIP Amendment on December 6, 2026. FINRA intends to 
align the implementation date of the instant proposed rule change 
with the implementation of the SIP Amendment, including in the event 
that the SIP Amendment is ultimately implemented at a later date 
than currently anticipated by the SIP Operating Committees.
---------------------------------------------------------------------------

2. Statutory Basis
    FINRA believes that the proposed rule change is consistent with the 
provisions of Section 15A(b)(6) of the Act,\27\ which requires, among 
other things, that FINRA rules be designed to prevent fraudulent and 
manipulative acts and practices, to promote just and equitable 
principles of trade, and, in general, to protect investors and the 
public interest.
---------------------------------------------------------------------------

    \27\ 15 U.S.C. 78o-3(b)(6).
---------------------------------------------------------------------------

    FINRA believes that the proposed rule change is consistent with the 
Act because it would enhance market transparency by enabling the 
reporting and real-time public dissemination of OTC transactions in NMS 
stocks during overnight hours when the SIPs will be operating. As 
described above, the TRFs currently only accept transaction reports 
beginning at 4:00 a.m. each Business Day, which aligns with the current 
operating hours of the SIPs. The Commission has approved amendments to 
the SIP Plans to extend SIP operational hours to collect, consolidate, 
and disseminate real-time market data beginning at 9:00 p.m. Sundays to 
8:00 p.m. Fridays, excluding holidays, with a one-hour pause from 8:00 
p.m. to 9:00 p.m. Monday through Thursday. FINRA believes that 
extending the TRF operating hours to align with the SIPs would improve 
the timeliness of trade information available to the public with 
respect to trades executed overnight between 9:00 p.m. and 4:00 a.m. on 
Business Days.

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

    Section 15A(b)(9) of the Act \28\ requires that FINRA's rules not 
impose any burden on competition that is not necessary or appropriate 
in furtherance of the purpose of the Act. FINRA does not believe that 
the proposed rule change will result in any burden on competition that 
is not necessary or appropriate in furtherance of the purposes of the 
Act.
---------------------------------------------------------------------------

    \28\ 15 U.S.C. 78o-3(b)(9).
---------------------------------------------------------------------------

Economic Impact Assessment
    FINRA has undertaken an economic impact assessment, as set forth 
below, to analyze the potential economic impacts of the proposed rule 
change, including potential costs, benefits, and distributional and 
competitive effects, relative to the current baseline.
Regulatory Need
    As discussed above, FINRA is proposing to extend TRF operating 
hours consistent with the planned operating hours of the SIPs \29\ such 
that the TRFs will be operational from 9:00 p.m. on Sundays to 8:00 
p.m. on Fridays, excluding holidays, with a one-hour pause from 8:00 
p.m. to 9:00 p.m. on Monday through Thursday, with related changes to 
weekend and holiday reporting to the TRFs as discussed in greater 
detail above. FINRA believes that the proposed rule change would 
enhance market transparency by enabling the reporting and real-time 
public dissemination of OTC transactions in NMS stocks during overnight 
hours when the SIPs will be operating.
---------------------------------------------------------------------------

    \29\ See supra note 27.
---------------------------------------------------------------------------

Economic Baseline
    FINRA established two analytical baselines to support this 
assessment. The primary baseline spans from March 30, 2026 through 
April 30, 2026, capturing reporting activity under the new TRF 
reporting timeframes effective March 30, 2026.\30\ This period provides 
the primary baseline for assessment of the proposed reporting 
timeframes. FINRA also analyzed the period from January 1, 2025 through 
March 27, 2026 under the prior reporting timeframes as the secondary 
baseline. This extended historical period of review provides additional 
context to capture typical reporting activity and patterns.
---------------------------------------------------------------------------

    \30\ As discussed above, FINRA extended the operating hours of 
the TRFs to begin reporting at 4:00 a.m. rather than 8:00 a.m. each 
Business Day, effective March 30, 2026. See supra note 6.
---------------------------------------------------------------------------

Analysis Prior to March 30, 2026
    FINRA's analysis from January 1, 2025 to March 27, 2026 (Table 1) 
shows the breakdown of OTC trades in NMS stocks executed during and 
outside of the then-effective TRF operating hours categorized by media 
and non-media trades during different time periods.\31\
---------------------------------------------------------------------------

    \31\ This analysis uses FINRA TRF transaction data as of April 
14, 2026. The analysis includes trades executed through March 27, 
2026 before the 4:00 a.m. reporting timeframe took effect on March 
30, 2026. Because some trades are reported with a delay, the 
analysis includes trades reported within ten days after execution. 
The analysis excludes trades that are canceled, declined, rejected, 
reversed, or reported with special trade conditions. The analysis 
includes both media and non-media trades reported to the TRFs. See 
supra note 11.

[[Page 45304]]



                         Table 1--Number of OTC Trades in NMS Stocks Reported to the TRFs From January 1, 2025 to March 27, 2026
                                                             [By media and non-media trades]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                Media trades                    Non-media trades
                                                                    ---------------------------------------------------------------------
                           Execution time                                               Percentage of                      Percentage of       Total
                                                                      Number of trade     all trade      Number of trade     all trade      percentages
                                                                          reports          reports           reports          reports
--------------------------------------------------------------------------------------------------------------------------------------------------------
Total within TRF operating hours (8:00 a.m. to 8:00 p.m. on            14,299,477,600           52.33     12,121,852,616           44.36           96.69
 Business Days, excluding 8:00 p.m.)...............................
Between 9:00 p.m. and 4:00 a.m., when the period from midnight to         112,982,786            0.41        257,840,808            0.94            1.36
 4:00 a.m. occurs on a Business Day (excluding 4:00 a.m.) \a\......
Between 4:00 a.m. and 8:00 a.m. on a Business Day (excluding 8:00         122,651,024            0.45        313,485,375            1.15            1.60
 a.m.).............................................................
Between 8:00 p.m. and 9:00 p.m. preceding a Business Day (excluding        29,153,048            0.11         68,536,886            0.25            0.36
 9:00 p.m.) \b\....................................................
All other time periods not otherwise specified, including all non-             13,908         0.00005              3,362         0.00001         0.00006
 Business Days \c\.................................................
Total outside of TRF operating hours...............................       264,800,766            0.97        639,866,431            2.34            3.31
Total outside of and within TRF operating hours....................    14,564,278,366           53.30     12,761,719,047           46.70          100.00
                                                                    ------------------------------------------------------------------------------------
Total number of trade reports......................................                                     27,325,997,413
--------------------------------------------------------------------------------------------------------------------------------------------------------
\a\ This includes the Sunday 9:00 p.m. through Monday 4:00 a.m. period where Monday is a Business Day, or in the case of a weekday holiday, 9:00 p.m.
  through 4:00 a.m. spanning the weekday holiday and the following Business Day (where 9:00 p.m. to midnight falls on the holiday and midnight to 4:00
  a.m. falls on the Business Day.)
\b\ This includes 8:00 p.m. to 9:00 p.m. on Sunday when the following Monday is a Business Day, or 8:00 p.m. to 9:00 p.m. on a weekday holiday when the
  following day is a Business Day.
\c\ This includes the period from Friday 8:00 p.m. to Sunday 8:00 p.m. when the following Monday is a Business Day, or from 8:00 p.m. on a Business Day
  to 8:00 p.m. on a weekday non-Business Day when the Business Day precedes a weekday holiday and the day following the holiday is a Business Day (with
  the 8:00 p.m. to 12:00 a.m. window occurring on the Business Day prior to the holiday and the midnight to 8:00 p.m. window occurring on the holiday
  itself.)

    FINRA estimates that, from January 1, 2025 to March 27, 2026, 379 
firms reported trades to the TRFs.\32\ Of the 379 firms, 221 firms 
reported trades executed exclusively during the then-effective TRF 
operating hours of 8:00 a.m. to 8:00 p.m. on Business Days and did not 
report any trades executed outside of the then-effective TRF operating 
hours. Based on this activity, these firms would not be affected by the 
proposed rule change.
---------------------------------------------------------------------------

    \32\ FINRA's analysis uses Central Registration Depository 
(``CRD'') numbers to identify firms executing trades.
---------------------------------------------------------------------------

    The remaining 158 firms reported to the TRFs at least one trade 
executed between 8:00 p.m. and 8:00 a.m. on Business Days or anytime on 
non-Business Days from January 1, 2025 to March 27, 2026.
    Of these 158 firms, 75 firms reported to the TRFs at least one 
trade executed between 9:00 p.m. and 4:00 a.m., where the midnight to 
4:00 a.m. window occurred on a Business Day. Under the proposed rule 
change, these firms would be required to report such trades as soon as 
practicable but no later than 10 seconds after execution, rather than 
by 8:15 a.m. on the same Business Day for trades executed between 
midnight and 4:00 a.m., or by 8:15 a.m. on the next Business Day for 
trades executed between 9:00 p.m. and midnight (as was required prior 
to March 30, 2026).\33\
---------------------------------------------------------------------------

    \33\ Effective March 30, 2026, these trades were required to be 
reported by 4:15 a.m. on the same Business Day for trades executed 
between midnight and 4:00 a.m. on a Business Day, and by 4:15 a.m. 
on the next Business Day for trades executed between 9:00 p.m. and 
midnight.
---------------------------------------------------------------------------

    Of the 158 firms, 133 firms reported to the TRFs at least one trade 
executed between 4:00 a.m. and 8:00 a.m. on Business Days. Under the 
proposed rule change, these firms would continue to be required to 
report such trades as soon as practicable but no later than 10 seconds 
after execution (as they have been required to do since March 30, 
2026).
    Of the 158 firms, 43 firms reported to the TRFs at least one trade 
executed between 8:00 p.m. and 9:00 p.m. preceding a Business Day. 
Under the proposed rule change, these trades would be required to be 
reported by 9:15 p.m. on the same day, rather than by 8:15 a.m. on the 
next Business Day (as was required prior to March 30, 2026).\34\
---------------------------------------------------------------------------

    \34\ Effective March 30, 2026, these trades are required to be 
reported by 4:15 a.m. on the next Business Day.
---------------------------------------------------------------------------

    Of the 158 firms, 43 firms reported to the TRFs at least one trade 
executed during a time period not otherwise specified above, including 
all non-Business Days. Depending on the execution time, these trades 
would be required to be reported by 9:15 p.m. when the TRF resumes 
operations, rather than 8:15 a.m. on the next Business Day (as was 
required prior to March 30, 2026).\35\ These trades are minimal, 
representing approximately 0.00006% of total TRF reports.
---------------------------------------------------------------------------

    \35\ Effective March 30, 2026, these trades are required to be 
reported by 4:15 a.m. on the same Business Day.
---------------------------------------------------------------------------

    Additionally, between January 1, 2025 and March 27, 2026, almost 
all of the 158 firms that reported at least one trade executed outside 
of the then-effective TRF operating hours also executed at least one 
trade during the then-effective TRF operating hours, which are required 
to be reported as soon as practicable but no later than 10 seconds 
after execution.
Analysis Between March 30, 2026 and April 30, 2026
    FINRA's analysis from March 30, 2026 to April 30, 2026 (Table 2) 
shows the breakdown of OTC trades in NMS stocks during and outside of 
the currently effective TRF operating hours, including different 
periods outside those hours, categorized by media and non-media 
trades.\36\
---------------------------------------------------------------------------

    \36\ The analysis utilizes FINRA TRF transaction data as of May 
18, 2026. Because some trades are reported with a delay, the 
analysis utilized all trades reported within ten days after 
execution. The analysis excludes trades that are canceled, declined, 
rejected, reversed, or reported with special trade conditions. The 
analysis includes both media and non-media trades reported to the 
TRFs.
    \37\ This analysis captures one month of TRF activity, 
reflecting the 4:00 a.m. expanded hours effective March 30, 2026. 
The analysis is provided for comparison purposes but represents a 
much smaller sample size relative to the analysis from January 1, 
2025 to March 27, 2026.

[[Page 45305]]



                         Table 2--Number of OTC Trades in NMS Stocks Reported to the TRFs From March 30, 2026 to April 30, 2026
                                                          [By media and non-media trades] \37\
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                Media trades                    Non-media trades
                                                                    ---------------------------------------------------------------------
                           Execution time                                               Percentage of                      Percentage of       Total
                                                                      Number of trade     all trade      Number of trade     all trade      percentages
                                                                          reports          reports           reports          reports
--------------------------------------------------------------------------------------------------------------------------------------------------------
Total within TRF operating hours (4:00 a.m. to 8:00 p.m. on             1,270,308,883           53.18      1,023,755,617           42.86           96.03
 Business Days, excluding 8:00 p.m.)...............................
Between 9:00 p.m. and 4:00 a.m., when the period from midnight to          22,957,227            0.96         52,077,130            2.18            3.14
 4:00 a.m. occurs on a Business Day (excluding 4:00 a.m.) \d\......
Between 8:00 p.m. and 9:00 p.m. preceding a Business Day (excluding         5,923,762            0.25         13,808,898            0.58            0.83
 9:00 p.m.) \e\....................................................
All other time periods not otherwise specified, including all non-              4,695          0.0002                140        0.000006          0.0002
 Business Days \f\.................................................
Total outside of TRF operating hours...............................        28,885,684            1.21         65,886,168            2.76            3.97
Total outside of and within TRF operating hours....................     1,299,194,567           54.39      1,089,641,785           45.61          100.00
                                                                    ------------------------------------------------------------------------------------
Total number of trade reports......................................                                     2,388,836,352
--------------------------------------------------------------------------------------------------------------------------------------------------------
\d\ This includes Sunday 9:00 p.m. through Monday 4:00 a.m. when Monday is a Business Day, or 9:00 p.m. through 4:00 a.m. spanning a weekday holiday and
  the following Business Day (where 9:00 p.m. to midnight falls on the holiday and midnight to 4:00 a.m. falls on the Business Day.)
\e\ This includes 8:00 p.m. to 9:00 p.m. on Sunday when the following Monday is a Business Day, or 8:00 p.m. to 9:00 p.m. on a weekday holiday when the
  following day is a Business Day.
\f\ This includes the period from Friday 8:00 p.m. to Sunday 8:00 p.m. when the following Monday is a Business Day, or from 8:00 p.m. on a Business Day
  to 8:00 p.m. on a weekday non-Business Day when the Business Day precedes a weekday holiday and the day following the holiday is a Business Day (with
  the 8:00 p.m. to 12:00 a.m. window occurring on the Business Day prior to the holiday and the midnight to 8:00 p.m. window occurring on the holiday
  itself.)

    FINRA estimates that, from March 30, 2026 to April 30, 2026, 280 
firms reported trades to the TRFs.\38\ Of the 280 firms, 239 firms 
reported trades executed exclusively during the current TRF operating 
hours of 4:00 a.m. to 8:00 p.m. on Business Days and did not report any 
trades executed outside of the TRF operating hours. Based on this 
activity, these firms would not be affected by the proposed rule 
change.
---------------------------------------------------------------------------

    \38\ FINRA's analysis uses CRD numbers to identify firms 
executing trades.
---------------------------------------------------------------------------

    The remaining 41 firms reported to the TRFs at least one trade 
executed between 8:00 p.m. and 4:00 a.m. on Business Days or anytime on 
non-Business Days from March 30, 2026 to April 30, 2026.
    Of these 41 firms, 36 firms reported to the TRFs at least one trade 
executed between 9:00 p.m. and 4:00 a.m., where the midnight to 4:00 
a.m. window occurred on a Business Day. Under the proposed rule change, 
these firms would be required to report such trades as soon as 
practicable but no later than 10 seconds after execution, rather than 
by 4:15 a.m. on the same Business Day for trades executed between 
midnight and 4:00 a.m. or by 4:15 a.m. on the next Business Day for 
trades executed between 9:00 p.m. and midnight (as is currently 
required).
    Of the 41 firms, 18 firms reported to the TRFs at least one trade 
executed between 8:00 p.m. and 9:00 p.m. preceding a Business Day. 
Under the proposed rule change, these trades would be required to be 
reported by 9:15 p.m. on the same day, rather than by 4:15 a.m. on the 
next Business Day (as is currently required).
    Of the 41 firms, 21 firms reported to the TRFs at least one trade 
executed during a time period not otherwise specified above, including 
all non-Business Days. Under the proposed rule change, depending on the 
execution time, these trades would be required to be reported by 9:15 
p.m. on the day when the TRFs resume operations, rather than 4:15 a.m. 
on the next Business Day (as is currently required). These trades are 
minimal, representing approximately 0.0002% of total TRF reports.
    Additionally, between March 30, 2026 and April 30, 2026, almost all 
of the 41 firms that reported at least one trade executed outside of 
TRF operating hours also executed at least one trade during TRF 
operating hours, which must be reported as soon as practicable but no 
later than 10 seconds after execution.
Economic Impacts
Anticipated Benefits
    FINRA believes that the proposed rule change would provide more 
timely pricing and transaction information to the market for OTC trades 
in NMS stocks. By extending TRF operating hours to align with the SIPs' 
planned expansion, the proposed rule change would enable real-time 
reporting and public dissemination of OTC transactions in NMS stocks 
executed during hours when the TRFs are currently closed but the SIPs 
would be open, thereby improving transparency and supporting more 
efficient price formation across extended trading hours. Specifically, 
trades executed while the TRFs are open would be reported in real-time, 
providing greater market transparency. For trades executed when the 
TRFs are closed, the proposed rule change would require reporting 
within 15 minutes after the TRFs reopen at 9:00 p.m., significantly 
accelerating the availability of transaction information compared to 
the current requirements that require reporting by 4:15 a.m. on the 
next business day when the TRFs open at 4:00 a.m. These proposed 
changes to the TRF operating hours would serve to

[[Page 45306]]

reduce information asymmetry and improve price discovery for trades 
executed during those extended hours.
Anticipated Costs
    Members may incur initial and ongoing costs, such as programming, 
maintenance, and compliance costs, to implement and maintain systems to 
report OTC trades in NMS stocks pursuant to the proposed rule change. 
Furthermore, members that use third-party vendors to report OTC trades 
in NMS stocks to the TRFs may need to adjust their business 
relationships to comply with the proposed rule change.
    The extent of these costs for each member will depend in part on 
the current activities and reporting systems of each member with 
respect to OTC trading in NMS stocks. As discussed above, FINRA 
estimates 41 firms reported at least one trade executed outside of the 
current TRF operating hours during the period from March 30, 2026 to 
April 30, 2026. Almost all of these 41 firms also reported at least one 
trade executed between 4:00 a.m. and 8:00 p.m. on Business Days, and 
therefore these firms would already have systems in place to report 
these trades as soon as practicable but no later than 10 seconds after 
execution,\39\ which may indicate that the initial fixed costs and 
variable costs may be lower for those members.\40\
---------------------------------------------------------------------------

    \39\ Among the 41 firms, certain firms may have utilized the 
temporary exception that allows them to continue reporting at 8:15 
a.m. for specified overnight transactions. See supra note 6. Firms 
that have availed themselves of the temporary exception, effective 
March 30, 2026, and that execute trades exclusively between 4:00 
a.m. to 8:00 a.m., may not have the requisite system infrastructure 
already in place to meet the new reporting requirements. 
Consequently, these firms may be required to incur costs to develop, 
implement, and maintain the necessary systems to comply with the 
proposed amendments.
    \40\ Similarly, between January 1, 2025 and March 27, 2026, 
almost all of the 158 firms that executed at least one OTC trade in 
NMS stocks outside of the then-effective TRF operating hours also 
executed at least one OTC trade in NMS stocks during those TRF 
operating hours, which must be reported as soon as practicable but 
no later than 10 seconds after execution.
---------------------------------------------------------------------------

    FINRA identified a very small number of firms reporting trades 
executed exclusively outside of current TRF operating hours. To the 
extent these firms are not able to report trades as soon as practicable 
but no later than 10 seconds after execution or by 9:15 p.m., as 
applicable, such firms may incur costs to upgrade systems or employ a 
vendor to report in compliance with the amended rule.

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 from the date on which it was filed, or 
such shorter time as the Commission may designate, it has become 
effective pursuant to Section 19(b)(3)(A) of the Act \41\ and Rule 19b-
4(f)(6) thereunder.\42\
---------------------------------------------------------------------------

    \41\ 15 U.S.C. 78s(b)(3)(A).
    \42\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

    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 (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-FINRA-2026-015 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-FINRA-2026-015. 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 (http://www.sec.gov/rules/sro.shtml). 
Copies of the filing will be available for inspection and copying at 
the principal office of FINRA. 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-FINRA-2026-015 and should be submitted on or before August 10, 2026.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\43\
---------------------------------------------------------------------------

    \43\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-14528 Filed 7-17-26; 8:45 am]
BILLING CODE 8011-01-P