[Federal Register Volume 84, Number 174 (Monday, September 9, 2019)]
[Notices]
[Pages 47330-47334]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-19332]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-86854; File No. SR-IEX-2019-08]


Self-Regulatory Organizations; Investors Exchange LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change To Modify 
Its Fee Schedule To Establish Fees for the Execution of Retail and 
Retail Liquidity Provider Orders and To Eliminate Fee Code N From the 
Fee Schedule

September 3, 2019.
    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 August 22, 2019, Investors Exchange LLC (``IEX'' or the 
``Exchange'') filed with the Securities and Exchange Commission (the 
``Commission'') the proposed rule change as described in Items I, II 
and III 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.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 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

    Pursuant to the provisions of Section 19(b)(1) under the Act,\4\ 
and Rule 19b-4 thereunder,\5\ IEX is filing with the Commission a 
proposed rule change to modify its Fee Schedule, pursuant to IEX Rule 
15.110(a) and (c), to establish fees for the execution of Retail and 
Retail Liquidity Provider orders and to eliminate Fee Code N from the 
Fee Schedule. Changes to the Fee Schedule pursuant to this proposal are 
effective upon filing,\6\ and will be implemented as described herein.
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    \4\ 15 U.S.C. 78s(b)(1).
    \5\ 17 CFR 240.19b-4.
    \6\ 15 U.S.C. 78s(b)(3)(A)(ii).
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    The text of the proposed rule change is available at the Exchange's 
website at www.iextrading.com, at the principal office of the Exchange, 
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 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 these statement may be examined at 
the places specified in Item IV below. The self-regulatory organization 
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 proposes to modify its Fee Schedule, pursuant to IEX 
Rule 15.110(a) and (c), to establish fees for the execution of Retail 
and Retail Liquidity Provider orders and to eliminate Fee Code N from 
the Fee Schedule.
Retail Price Improvement Program Fees
    On August 9, 2019, the Commission approved an IEX rule filing to 
establish a Retail Price Improvement Program (``Retail Program'').\7\ 
IEX now proposes

[[Page 47331]]

to adopt fees for the launch of its Retail Program.
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    \7\ See Securities Exchange Act Release No. 86619 (August 9, 
2019), 84 FR 41769 (August 15, 2019) (SR-IEX-2019-05) (order 
approving the IEX Retail Program).
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    The Exchange does not propose to charge any fees for the execution 
of a Retail order \8\ submitted to IEX by a Member approved as a Retail 
Member Organization (``RMO'').\9\ This pricing is referred to as the 
``Retail Order Fee'' on the IEX Fee Schedule with a Fee Code Modifier 
of R \10\ to be provided by the Exchange on execution reports. In 
addition, the Exchange proposes to add a new footnote 2 to the IEX Fee 
Schedule (and renumber current footnote 2 to be footnote 3) to specify 
that Fee Code R applies only to a Retail order submitted by an IEX 
Retail Member Organization that (i) satisfies the criteria set forth in 
IEX Rules 11.190(b)(15) and 11.232(a)(1) and (ii) is a Discretionary 
Peg order or Midpoint Peg order with a Time-in-Force of IOC or FOK only 
eligible to trade at the Midpoint Price.
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    \8\ See IEX Rule 11.232(a)(2).
    \9\ See IEX Rule 11.232(a)(1).
    \10\ Fee Code Modifier R appears in the ``Additional Fee Codes'' 
section of the Fee Schedule.
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    In addition, the Exchange does not propose to charge any fees for 
the execution of a Retail Liquidity Provider (``RLP'') \11\ order. This 
pricing is referred to as the ``Retail Liquidity Provider Order Fee'' 
on the IEX Fee Schedule with a Fee Code Modifier of A \12\ to be 
provided by the Exchange on execution reports. The Exchange is not 
proposing any changes to the IEX Fee Schedule with respect to orders 
other than RLP orders that execute against a Retail Order.
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    \11\ See IEX Rule 11.232(a)(3).
    \12\ Fee Code Modifier A appears in the ``Additional Fee Codes'' 
section of the Fee Schedule.
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    The Exchange also proposes conforming changes to the section of the 
IEX Fee Schedule entitled ``Fee Code Combinations and Associated Fees'' 
to reflect the proposed fees for execution of Retail orders and RLP 
orders and new Fee Code Modifiers R and A.\13\ The following describes 
the proposed Fee Code Combinations and Associated Fees:
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    \13\ The proposed new Fee Code combinations, as well as Fee Code 
modifiers R and A, will be provided to Members on execution reports.

------------------------------------------------------------------------
       Fee codes               Description                  Fee
------------------------------------------------------------------------
IR....................  Retail order removes non- FREE.
                         displayed liquidity.
IA....................  Retail Liquidity          FREE.
                         Provider order adds non-
                         displayed liquidity to
                         a Retail order.
LR....................  Retail order removes      FREE.
                         displayed liquidity.
ISR...................  Retail order removes non- FREE.
                         displayed liquidity
                         provided by such Member.
ISA...................  Retail Liquidity          FREE.
                         Provider order adds non-
                         displayed liquidity to
                         a Retail order provided
                         by such Member.
IQR \14\..............  Retail order removes non- FREE.
                         displayed liquidity
                         during periods of quote
                         instability.
LSR...................  Retail order removes      FREE.
                         displayed liquidity
                         provided by such Member.
LQR \15\..............  Retail order removes      FREE
                         displayed liquidity
                         during periods of quote
                         instability.
ISQR \16\.............  Retail order removes non- FREE.
                         displayed liquidity
                         provided by such Member
                         during periods of quote
                         instability.
LSQR \17\.............  Retail order removes      FREE.
                         displayed liquidity
                         provided by such Member
                         during periods of quote
                         instability.
------------------------------------------------------------------------

Implementation of Retail Price Improvement Program Fees
    As set forth in the Retail Program filing, IEX will implement the 
Retail Program within 90 days of approval and provide at least ten (10) 
days' notice to Members and market participants of the implementation 
timeline.\18\ Thus, IEX will issue a trading alert at least 10 days 
before the launch of the Retail Program, informing Members both of the 
Retail Program's imminent launch and of the new Fee Codes and 
associated fees set forth in this filing.
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    \14\ Fee Code combinations that include Fee Code Modifier Q are 
subject to Footnote 1 of the IEX Fee Schedule which provides as 
follows:
     Crumbling Quote Remove Fee: Executions with Fee Code Q that 
exceed the CQRF Threshold are subject to the Crumbling Quote Remove 
Fee identified in the Fee Code Modifiers table. Executions with Fee 
Code Q that do not exceed the CQRF Threshold are subject to the fees 
identified in the Fee Codes and Associated Fees table.
    \15\ See supra note 14.
    \16\ See supra note 14.
    \17\ See supra note 14.
    \18\ See Securities Exchange Act Release No. 86241 (June 28, 
2019) 84 FR 32238 (July 5, 2019) (SR-IEX-2019-05).
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Elimination of Fee Code N
    IEX is also proposing to delete Fee Code Modifier N from the IEX 
Fee Schedule. On May 1, 2018, the Exchange established the use of Fee 
Code Modifier N as an ``Additional Fee Code'' in connection with a 
reduction of the applicable fee for certain executions that removed 
non-displayed liquidity with a spread-crossing eligible order.\19\ Fee 
Code Modifier N (and related Fee Code combinations) was added to denote 
such executions and provided to Members on execution reports. 
Thereafter, effective August 1, 2018, IEX reverted to the prior fee of 
$0.0009 per share for such executions,\20\ but did not eliminate the 
use of Fee Code Modifier N and related Fee Code combinations, which 
continue to be provided to Members on execution reports, 
notwithstanding that they no longer impact applicable execution fees 
because orders that remove non-displayed liquidity with a spread-
crossing eligible order are not subject to a different fee than is 
otherwise assessed because the order was spread-crossing eligible. 
Thus, Fee Code Modifier N and related Fee Code combinations are 
duplicative of other Fee Code Modifiers and Fee Code combinations. 
Accordingly, IEX proposes to delete Fee Code Modifier N and Fee Code 
combinations that include Fee Code Modifier N from the IEX Fee 
Schedule. The following describes the basis for each deletion:
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    \19\ See Securities Exchange Act Release No. 83147 (May 1, 
2018), 83 FR 20118 (May 7, 2018) (SR-IEX-2018-09).
    \20\ See Securities Exchange Act Release No. 83820 (August 10, 
2018), 83 FR 40800 (August 16, 2018) (SR-IEX-2018-17).
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     Fee Code Modifier N describes execution of an order that 
removes liquidity with a spread-crossing eligible order, specifying 
that the fee for such an execution is $0.0009 per share. However, as 
explained in the Fee Schedule, because Fee Code Modifier ``N'' is an 
``Additional Fee Code, the rates listed in the Fee Codes and Associated 
Fees table will apply.'' Therefore, Fee Code Modifier N is never the 
only Fee Code provided to Members on execution reports, and will only 
be provided to Members on execution reports in the following eight fee 
code combinations.
     Fee Code combination IN describes execution of an order 
that removes non-displayed liquidity with a spread-crossing eligible 
order, specifying that the fee for such an execution is $0.0009 per 
share. Such executions are also described by Fee Code I which describes 
an execution of an order that adds or removes non-displayed liquidity 
and is also subject to a fee of $0.0009 per share. Consequently, Fee 
Code

[[Page 47332]]

combination IN is duplicative of Fee Code I.
     Fee Code combination LN describes execution of an order 
that removes displayed liquidity with a spread-crossing eligible order, 
specifying that the fee for such execution is $0.0003 per share. Such 
executions are also described by Fee Code L which describes an 
execution of an order that adds or removes displayed liquidity and is 
also subject to a fee of $0.0003 per share. Consequently, Fee Code 
combination LN is duplicative of Fee Code L.
     Fee Code combination ISN describes execution of an order 
that removes non-displayed liquidity provided by such Member with a 
spread-crossing eligible order, specifying that such executions are 
free. Such executions are also described by Fee Code combination IS 
which describes execution of an order that executes against resting 
non-displayed liquidity provided by such Member and is also free. 
Consequently, Fee Code combination ISN is duplicative of Fee Code 
Combination IS.
     Fee Code combination IQN describes execution of an order 
that removes non-displayed liquidity during periods of quote 
instability with a spread-crossing eligible order, specifying that the 
fee for such execution is $0.0009 per share. Such executions are also 
described by Fee Code combination IQ which describes execution of an 
order that removes non-displayed liquidity during periods of quote 
instability and is also subject to a fee of $0.0009 per share. 
Consequently, Fee Code combination IQN is duplicative of Fee Code 
Combination IQ.
     Fee Code combination LSN describes execution of an order 
that removes displayed liquidity provided by such Member with a spread-
crossing eligible order, specifying that such executions are free. Such 
executions are also described by Fee Code combination LS which 
describes execution of an order against resting displayed liquidity 
provided by such Member and is also free. Consequently, Fee Code 
combination LSN is duplicative of Fee Code combination LS.
     Fee Code combination LQN describes execution of an order 
that removes displayed liquidity during periods of quote instability 
with a spread-crossing eligible order, specifying that the fee for such 
an execution is $0.0003 per share. Such executions are also described 
by Fee Code LQ which describes an execution of an order that removes 
displayed liquidity during periods of quote instability and is also 
subject to a fee of $0.0003 per share. Consequently, Fee Code 
combination LQN is duplicative of Fee Code LQ.
     Fee Code combination ISQN describes execution of an order 
that removes non-displayed liquidity provided by such Member during 
periods of quote instability with a spread-crossing eligible order, 
specifying that such executions are free. Such executions are also 
described by Fee Code combination ISQ which describes execution of an 
order that removes non-displayed liquidity provided by such Member 
during periods of quote instability and is also free. Consequently, Fee 
Code combination ISQN is duplicative of Fee Code combination ISQ.
     Fee Code combination LSQN describes execution of an order 
that displayed liquidity provided by such Member during periods of 
quote instability with a spread-crossing eligible order, specifying 
that such executions are free. Such executions are also described by 
Fee Code combination LSQ which describes execution of an order that 
removes displayed liquidity provided by such Member during periods of 
quote instability and is also free. Consequently, Fee Code combination 
LSQN is duplicative of Fee Code combination LSQ.
Implementation of the Elimination of Fee Code N
    The elimination of Fee Code N will be operative beginning on August 
28, 2019, as described in a trading alert issued on August 15, 
2019.\21\
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    \21\ See IEX Trading Alert #2019-022 ``Upcoming Elimination of 
Fee Code N'' available at https://iextrading.com/alerts/#/79.
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2. Statutory Basis
Retail Program Fees
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act,\22\ in general, and furthers the 
objectives of Section 6(b)(4) \23\ of the Act, in particular, in that 
it is designed to provide for the equitable allocation of reasonable 
fees among IEX members and persons using its facilities. Additionally, 
IEX believes that the proposed fees are consistent with the investor 
protection objectives of Section 6(b)(5) \24\ of the Act, in 
particular, in that they are 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 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 are not designed to permit unfair discrimination 
between customers, brokers, or dealers.
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    \22\ 15 U.S.C. 78f(b).
    \23\ 15 U.S.C. 78f(b)(4).
    \24\ 15 U.S.C. 78f(b)(5).
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    Specifically, the Exchange's proposal not to charge fees for the 
execution of Retail orders and RLP orders is designed to maximize 
participation for the launch of the IEX Retail Program by incentivizing 
market participants to submit such orders to IEX, thereby enhancing 
IEX's ability to compete with competing exchange and non-exchange 
venues that offer programs for the execution of the orders of retail 
customers. This fee structure is designed to attract the orders of 
retail customers (and counterparties that wish to trade with retail 
customers) to the Exchange, thereby supporting the competitiveness of 
the Exchange's Retail Program. IEX understands that Members wishing to 
participate in the Retail Program will need to modify and test their 
order entry systems in order to do so, and free pricing is designed to 
provide a meaningful economic incentive for such efforts.
    The Retail Program is designed to offer the potential for 
meaningful price improvement to orders of retail investors, including 
through incentivizing market participants to provide additional 
liquidity to execute against the orders of retail investors.\25\ 
Offering free execution of Retail orders and RLP orders is designed to 
provide further incentives to send such orders to IEX.
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    \25\ See supra note 7.
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    The Exchange believes that providing free executions to Retail 
orders will incentivize Members and other market participants that 
handle orders on behalf of retail customers to route such orders to the 
Exchange. While the Retail Program offers the opportunity for Retail 
orders to obtain meaningful price improvement at the Midpoint Price, 
which should operate as a sufficient incentive to route such orders to 
IEX, the Exchange believes that free pricing will enhance such 
incentive. The Exchange also believes that increasing the volume of 
Retail orders routed to IEX will not only benefit such orders (in the 
form of the opportunity for meaningful price improvement), but will 
also incentivize and benefit the orders of contra-side liquidity 
providers that execute against Retail orders that view interacting with 
orders of retail investors as desirable.

[[Page 47333]]

    Further, the Exchange understands that a large majority of orders 
from retail investors are executed in the OTC market across different 
wholesalers and dark pools, and exchange retail programs have not 
attracted a significant volume.\26\ While there are likely a variety of 
reasons for this, providing free pricing for Retail orders and RLP 
orders is designed to provide a meaningful pricing incentives for 
Members to send orders of retail investors to IEX as well as for market 
participants to provide liquidity to Retail orders through RLP orders. 
The Exchange believes that the proposed pricing incentives will help to 
support the competitiveness of the IEX Retail Program, by maximizing 
participation for its launch, to the benefit of the retail investor.
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    \26\ See Securities Exchange Act Release No. 85160 (February 15, 
2019), 84 FR 5754, 5762 (February 22, 2019) (SR-NYSE-2018-28) 
(approving NYSE RLP on a permanent basis) (``Although the Program 
provides the opportunity to achieve significant price improvement, 
the Program has not generated significant activity. . . . The 
Program's share of NYSE volume during [in 2016-17] was below 
0.4%'').
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    IEX also believes that it is equitable and not unfairly 
discriminatory to provide free executions to Retail orders 
notwithstanding that not all Members handle Retail orders. There is 
ample precedent for differentiation of retail order flow in the retail 
programs of other exchanges and the Retail Program.\27\ Further, other 
exchanges provide pricing incentives to retail orders in the form of 
lower fees and/or higher rebates.\28\ Consequently, the Exchange does 
not believe that providing free executions for Retail orders raises any 
new or novel issues not already considered by the Commission.
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    \27\ See supra note 26; see also Securities Exchange Act Release 
No. 71176 (December 23, 2013), 78 FR 79524 (December 30, 2013) (SR-
NYSEArca-2013-107) (approving NYSE Arca retail pilot program); 
Securities Exchange Act Release No. 68303 (November 27, 2012), 77 FR 
71652 (December 3, 2012) (SR-BYX-2012-019) (approving Cboe BYX 
retail pilot program); Securities Exchange Act Release No. 73702 
(November 28, 2014), 79 FR 72049 (December 4, 2014) (SR-BX-2014-048) 
(approving NASDAQ BX retail pilot program).
    \28\ See, e.g., Nasdaq BX price list available at https://www.nasdaqtrader.com/Trader.aspx?id=bx_pricing.
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    Similarly, the Exchange believes that providing free executions to 
RLP orders will incentivize Exchange members and other market 
participants to submit such orders to IEX. While the Exchange believes 
that the Retail Program provides significant incentives to send such 
orders to IEX, specifically the ability to interact only with Retail 
orders which IEX understands is desirable to many professional market 
participants (as described in the rule filing adopting the Retail 
Program), the Exchange believes that free pricing will enhance such 
incentive and help to maximize participation for launch of its Retail 
Program as discussed above.
    IEX also believes that it is equitable and not unfairly 
discriminatory to provide free executions to RLP orders that execute 
against retail orders but not to other liquidity providing orders that 
execute against retail orders for several reasons.\29\ First, all 
Members are eligible to submit RLP orders to IEX, and the Exchange 
believes that a broad spectrum of Members may be interested in 
submitting RLP orders because of the ability to interact only with 
Retail orders. Thus, while a different fee will be charged for RLP and 
non-RLP orders that execute against Retail orders, the difference is 
not based on the type of Member submitting the order but on the type of 
order, and all Members can submit an RLP order.
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    \29\ Where a Member submits a non-RLP order and the same Member 
takes that liquidity with a Retail order, execution is also free.
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    Additionally, in order to maximize the likelihood that Retail 
orders will be executed, the Exchange believes that it is important to 
provide meaningful incentives for Members to enter liquidity providing 
orders to execute against Retail orders. Free execution for RLP orders 
is designed to provide such an incentive. Further, to the extent that 
free execution for RLP orders is successful in incentivizing Members to 
submit RLP orders, Members submitting Retail orders to the Exchange 
will benefit from the increased liquidity. Moreover, non-RLP providing 
orders have higher priority than RLP orders and are eligible to execute 
against any marketable contra-side order. The Exchange believes that 
this differentiation in trading opportunities warrants a higher fee, 
even when executing against a Retail order.
    Finally, other exchanges provide lower fees to special order types 
that provide liquidity to retail orders.\30\ Consequently, the Exchange 
does not believe that providing free executions for Retail orders 
raises any new or novel issues not already considered by the 
Commission.
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    \30\ See, e.g., supra note 28.
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Deletion of Fee Code N
    The Exchange believes that deletion of Fee Code N and related Fee 
Code combinations is consistent with Section 6(b) of the Act,\31\ in 
general, and furthers the objectives of Section 6(b)(4) \32\ of the 
Act, in particular, in that it is designed to provide for the equitable 
allocation of reasonable fees among IEX members and persons using its 
facilities. The Exchange also believes that deletion of Fee Code N and 
related Fee Code combinations is consistent with Section 6(b)(5) \33\ 
of the Act, in particular, in that 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 facilitating transactions in securities; and 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 are not designed to permit 
unfair discrimination between customers, brokers, or dealers.
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    \31\ 15 U.S.C. 78f(b).
    \32\ 15 U.S.C. 78f(b)(4).
    \33\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes that it is consistent with the Act to delete 
the functionally obsolete Fee Code N and related Fee Code combinations 
from its Fee Schedule, to avoid any potential confusion among Members. 
The Exchange further believes that the modification to the Fee Schedule 
is reasonable, equitable, and not unfairly discriminatory because all 
Members will be subject to the same fee structure.
    As described in the Purpose section above, this proposed rule 
change does not change any fees charged by IEX, but rather eliminates 
an obsolete, vestigial Fee Code and its corresponding Fee Code 
combinations. Thus, the proposed fee change will provide clarity to 
market participants that IEX execution of spread-crossing eligible 
orders does not impact applicable fees, therefore making the Exchange's 
Fee Schedule clearer and more deterministic to the benefit of all 
market participants.

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

Retail Program Fees
    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. To the contrary, IEX 
believes that charging no fees for the execution of Retail orders and 
RLP orders would continue to enhance competition and execution quality 
for retail order flow among execution venues and contribute to the 
public price discovery process.
    The Exchange does not believe that the proposed rule change will 
impose any burden on intermarket competition since competing venues 
have and can continue to adopt similar fees for orders executing in 
their retail programs,

[[Page 47334]]

subject to the SEC rule change process. Further, the Exchange operates 
in a highly competitive market in which market participants can easily 
direct their orders to competing venues, including off-exchange venues, 
if fees are viewed as non-competitive.
    The Exchange also does not believe that the proposed rule change 
will impose any burden on intramarket competition that is not necessary 
or appropriate in furtherance of the purposes of the Act. While Retail 
orders and RLP orders will be treated differently, those differences 
are not based on the type of Member entering orders but on whether the 
order is for a retail customer or an entity seeking to transact with a 
retail customer, and there is no restriction on whether a Member can 
handle retail customer orders. Further, any Member can enter an RLP 
order.
Deletion of Fee Code N
    The Exchange does not believe that deletion of Fee Code N and 
related Fee Code combinations will impose any burden on intermarket or 
intramarket competition that is not necessary or appropriate in 
furtherance of the purposes of the Act. Deletion of Fee Code N and 
related Fee Code combinations is not proposed for any competitive 
reason but to provide clarity to market participants that IEX execution 
of spread-crossing eligible orders does not impact applicable fees, 
therefore making the Exchange's Fee Schedule clearer and more 
deterministic to the benefit of all market participants.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) \34\ of the Act.
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    \34\ 15 U.S.C. 78s(b)(3)(A)(ii).
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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 under 
Section 19(b)(2)(B) \35\ of the Act to determine whether the proposed 
rule change should be approved or disapproved.
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    \35\ 15 U.S.C. 78s(b)(2)(B).
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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 rule-comments@sec.gov. Please include 
File Number SR-IEX-2019-08 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-IEX-2019-08. 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 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 10:00 a.m. and 
3:00 p.m. Copies of the filing also will be available for inspection 
and copying at the principal offices of the Exchange. All comments 
received will be posted without change. Persons submitting comments are 
cautioned that we do not redact or edit personal identifying 
information from comment submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-IEX-2019-08, and should be submitted on 
or before September 30, 2019.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\36\
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    \36\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-19332 Filed 9-6-19; 8:45 am]
BILLING CODE 8011-01-P


