[Federal Register Volume 85, Number 76 (Monday, April 20, 2020)]
[Notices]
[Pages 21902-21906]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-08210]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-88632; File No. SR-CboeBZX-2020-033]


Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change Relating 
To Amend its Fee Schedule

April 14, 2020.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on April 8, 2020, Cboe BZX Exchange, Inc. (the ``Exchange'' or 
``BZX'') 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 Exchange. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    Cboe BZX Exchange, Inc. (the ``Exchange'' or ``BZX'') is filing 
with the Securities and Exchange Commission (``Commission'') a proposed 
rule change to amend its Fee Schedule. The text of the proposed rule 
change is provided in Exhibit 5.
    The text of the proposed rule change is also available on the 
Exchange's website (http://markets.cboe.com/us/equities/regulation/rule_filings/bzx/), at the Exchange's Office of the Secretary, and at 
the Commission's Public Reference Room.

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

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. The Exchange has prepared summaries, set forth in 
sections A, B, and C below, of the most significant aspects of such 
statements.

[[Page 21903]]

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

1. Purpose
    The Exchange proposes to amend its fee schedule for its equity 
options platform (``BZX Options'').\3\
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    \3\ The Exchange initially filed the proposed fee changes on 
April 1, 2020 (SR-CboBZX-2020-030). On April 8, 2020, the Exchange 
withdrew that filing and submitted this filing.
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    The Exchange first notes that it operates in a highly competitive 
market in which market participants can readily direct order flow to 
competing venues if they deem fee levels at a particular venue to be 
excessive or incentives to be insufficient. More specifically, the 
Exchange is only one of 16 options venues to which market participants 
may direct their order flow. Based on publicly available information, 
no single options exchange has more than 21% of the market share and 
currently the Exchange represents only 12% of the market share.\4\ 
Thus, in such a low-concentrated and highly competitive market, no 
single options exchange, including the Exchange, possesses significant 
pricing power in the execution of option order flow. The Exchange 
believes that the ever-shifting market share among the exchanges from 
month to month demonstrates that market participants can shift order 
flow, or discontinue to reduce use of certain categories of products, 
in response to fee changes. Accordingly, competitive forces constrain 
the Exchange's transaction fees, and market participants can readily 
trade on competing venues if they deem pricing levels at those other 
venues to be more favorable. The Exchange's fee schedule sets forth 
standard rebates and rates applied per contract. For example, the 
Exchange assesses a standard rebate of $0.29 per contract for Market 
Maker orders that add liquidity in Penny Pilot Securities and a 
standard rebate of $0.40 per contract in Non-Penny Pilot Securities. 
Additionally, the Exchange assesses a standard fee of $0.50 per 
contract for non-Customer orders that remove liquidity in Penny Pilot 
Securities and a standard fee of $1.07 per contract in Non-Penny Pilot 
Securities. Additionally, in response to the competitive environment, 
the Exchange also offers tiered pricing, as discussed in further detail 
in the following paragraphs, which provides Members opportunities to 
qualify for higher rebates or reduced fees where certain volume 
criteria and thresholds are met. Tiered pricing provides an incremental 
incentive for Members to strive for higher tier levels, which provides 
increasingly higher benefits or discounts for satisfying increasingly 
more stringent criteria.
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    \4\ See Cboe Global Markets U.S. Options Market Volume Summary 
(March 27, 2020), available at https://markets.cboe.com/us/options/market_statistics/.
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Non-Customer Penny Pilot Take Volume Tiers
    The Exchange currently offers three Non-Customer Penny Pilot Take 
Volume Tiers under footnote 3 of the Fee Schedule which provides 
reduced fees between $0.44 and $0.47 per contract for qualifying non-
Customer orders which meet certain add liquidity thresholds and yield 
fee code PP.\5\
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    \5\ Orders yielding fee code PP are non-Customer orders that 
remove liquidity in Penny Pilot securities.
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    Under current Non-Customer Penny Pilot Take Volume Tier 1, a Member 
receives a reduced fee of $0.44 per contract where the Member (1) has 
an average daily added volume (``ADAV'') \6\ in Customer orders greater 
than or equal to 0.80% of average options consolidated volume 
(``OCV''),\7\ (2) has an ADAV in Market Maker orders greater than or 
equal to 0.35% of average OCV; (3) has on BZX Equities an ADAV \8\ 
greater than or equal to 0.30% of average total consolidated volume 
(``TCV''); \9\ and (4) has an ADAV in Customer Non-Penny orders greater 
than or equal to 0.05% of average OCV. Now, the Exchange proposes to 
increase the applicable fee and modify thresholds (3) and (4) of Tier 1 
listed previously. Accordingly, under the proposed thresholds for Tier 
1 a Member would receive a reduced fee of $0.45 per contract where the 
Member (1) has an ADAV in Customer orders greater than or equal to 
0.80% of average OCV; (2) has an ADAV in Market Maker orders greater 
than or equal to 0.35% of average OCV; (3) has on BZX Equities an ADAV 
or greater than or equal to 1.00% of average TCV; and (4) has an ADAV 
in Customer Non-Penny orders greater than or equal to 0.10% of average 
OCV.
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    \6\ ADAV means average daily added volume calculated as the 
number of contracts added per day.
    \7\ OCV means the total equity and ETF options volume that 
clears in the Customer range at the Options Clearing Corporation 
(``OCC'') for the month for which the fees apply, excluding volume 
on any day that the exchange experiences an Exchange System 
Disruption and on any day with a scheduled early market close.
    \8\ ADAV on BZX Equities means average daily added volume 
calculated as the number of shares added per day.
    \9\ TCV on BZX Equities means average daily added volume 
calculated as the number of displayed shares added that establish a 
new National Best Bid and Offer (``NBBO'') as a percentage of TCV 
[sic].
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    Under current Non-Customer Penny Take Volume Tier 3, a Member 
receives a reduced fee of $0.44 per contract where the Member has (1) 
an ADAV in Customer orders equal to or greater than 1.70% of average 
OCV; and (2) has an ADAV in Customer Non-Penny orders equal to or 
greater than 0.30% of average OCV. Now, the Exchange proposes to 
increase the fee and modify thresholds (1) and (2) associated with Tier 
3. Accordingly, under the proposed thresholds for Tier 3 a Member would 
receive a reduced fee of $0.45 per contract where the Member has (1) an 
ADAV in Customer orders equal to or greater than 2.00% of average OCV; 
and (2) has an ADAV in Customer Non-Penny orders equal to or greater 
than 0.40% of average OCV.
    Although the proposed fees and thresholds under Tier 1 and 3 of the 
Non-Customer Penny Take Volume Tiers are higher and more stringent than 
the current fees for such tiers, Members will still have an opportunity 
to receive a reduced fee for meeting the applicable tier thresholds 
which are in line with similar fees for non-Customer orders in place on 
other options exchanges.\10\
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    \10\ See e.g., NYSE Arca imposes a fee of $0.50 per contract for 
non-Customer orders that remove liquidity. Similarly, Nasdaq imposes 
a fee ranging from $0.48 up to $0.50 for non-customer orders that 
remove liquidity.
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    Based on the above proposed changes, the Exchange also proposes to 
make corresponding changes to the Standard Rates table included in the 
Exchange's Fee Schedule.
Market-Maker Penny Pilot Add Volume Tiers
    The Exchange currently offers 10 Market Maker Penny Pilot Add 
Volume Tiers under footnote 6 of the fee schedule which provide rebates 
between $0.33 and $0.46 per contract for qualifying Market Maker orders 
which meet certain add liquidity thresholds and yield fee code PM.\11\
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    \11\ Orders yielding fee code PM are Market Maker orders that 
add liquidity in Penny Pilot securities.
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    Under current Tier 9 of the Market Maker Penny Pilot Add Volume 
Tiers, a Member receives a rebate of $0.44 per contract where the 
Member (1) has an ADAV in Market Maker orders greater than or equal to 
0.10% of average OCV; (2) has on BZX Equities an ADV of equal to or 
greater than 0.60% of average TCV; and (3) has a step-up ADAV in Market 
maker orders from December 2019 of equal to or greater than 0.05% of 
average OCV. Now, the Exchange proposes to modify existing thresholds 
(1) and (2), eliminate threshold (3), and

[[Page 21904]]

add a new threshold. Specifically, under the proposed thresholds for 
Tier 9, a Member would receive a rebate of $0.44 per contract where the 
Member (1) has an ADAV in Market Maker orders equal to or greater than 
0.50% of average OCV; (2) has an ADAV in Market Maker Non-Penny orders 
of equal to or greater than 0.15% of average OCV; and (3) has on BZX 
Equities an ADV of equal to or greater than 1.00% of average TCV.
    Although the proposed changes to Tier 9 of the Market Maker Penny 
Pilot Add Volume Tiers is more stringent than the current tier, the 
Exchange believes it provides an incremental incentive proportionate to 
the proposed rebate. Furthermore, the proposed criteria is similar to 
existing criteria on the Exchange.\12\
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    \12\ See Tier 2 [sic] of the Market Maker Non-Penny Pilot Add 
Volume Tiers (footnote 7).
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    In addition to the above, the Exchange proposes to modify Tiers 3, 
6, and 8 of the Market Maker Penny Pilot Add Volume Tiers in order to 
clarify that the applicable average daily removed volume (``ADRV'') 
\13\ criteria is applicable only to Market Maker orders.\14\
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    \13\ ADRV means average daily removed volume calculated as the 
number of contracts removed.
    \14\ The Exchange notes it inadvertently failed to specify in 
the Fees Schedule that the ADRV volume was applicable to Market 
Maker orders only, but did address the requirement in the rule 
filing when Tiers 3, 6 and 8 were adopted. See Securities Exchange 
Act No. 85846 (May 13, 2019) 84 FR 22546 (May 17, 2019) (SR-CboeBZX-
2019-038).
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Market Maker Non-Penny Add Volume Tier
    The Exchange currently offers three Market Maker Non-Penny Pilot 
Add Volume Tiers under footnote 7 of the fee schedule which provides 
enhanced rebates between $0.45 and $0.86 per contract for qualifying 
Market Maker orders which meet certain add liquidity thresholds and 
yield fee code NM.\15\
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    \15\ Orders yielding fee code NM are Market Maker orders that 
add liquidity in Non-Penny Pilot securities.
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    Under the current Tier 3 of the Market Maker Non-Penny Pilot Add 
Volume Tiers, a Member receives an enhanced rebate of $0.86 per 
contract where the Member has (1) an ADAV in Market Maker orders 
greater or equal to 1.00% of average OCV and an ADAV in Market Maker 
non-penny orders of greater or equal to a 0.20% of average OCV. Now, 
the Exchange proposes to modify the rebate and threshold (2) of Tier 3. 
Specifically, under the proposal a Member would receive a rebate of 
$0.88 per contract where the Member (1) has an ADAV in Market Maker 
orders greater than or equal to 1.00% of average OCV; and (2) has an 
ADAV in Market Maker Non-Penny orders of greater than or equal to 0.10% 
of average OCV. Additionally, the Exchange proposes to make 
corresponding changes to the Standard Rates table included in the 
Exchange's Fee Schedule.
    The proposed changes to Tier 3 of the Market Maker Non-Penny Pilot 
Add Volume Tiers are designed to encourage a Market Maker's liquidity 
adding volume in Non-Penny orders, and moreover to encourage Members to 
increase their order flow, thereby contributing to a deeper and more 
liquid market, which benefits all market participants and provides 
greater execution opportunities on the Exchange.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6 of the Act,\16\ in general, and furthers the 
requirements of Section 6(b)(4),\17\ in particular, as it is designed 
to provide for the equitable allocation of reasonable dues, fees and 
other charges among its facilities and does not unfairly discriminate 
between customers, issuers, brokers or dealers. The Exchange operates 
in a highly-competitive market in which market participants can readily 
direct order flow to competing venues if they deem fee levels at a 
particular venue to be excessive or incentives to be insufficient. The 
proposed rule changes reflect a competitive pricing structure designed 
to incentivize market participants to direct their order flow to the 
Exchange, which the Exchange believes would enhance market quality to 
the benefit of all Members.
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    \16\ 15 U.S.C. 78f.
    \17\ 15 U.S.C. 78f(b)(4).
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    In particular, the Exchange believes the proposed modifications to 
the Non-Customer Penny Pilot Take Volume Tiers, Market Maker Penny 
Pilot Add Volume Tiers, and Market Maker Non-Penny Add Volume Tiers is 
reasonable because it provides an additional opportunity for Members to 
receive a higher rebate or lower fee by providing additional criteria 
they can reach for. The Exchange notes that volume-based incentives and 
discounts have been widely adopted by exchanges,\18\ including the 
Exchange,\19\ and are reasonable, equitable and non-discriminatory 
because they are open to all Members on an equal basis and provide 
additional benefits or discounts that are reasonably related to (i) the 
value to an exchange's market quality and (ii) associated higher levels 
of market activity, such as higher levels of liquidity provision and/or 
growth patterns. Additionally, as noted above, the Exchange operates in 
highly competitive market. The Exchange is only one of several options 
venues to which market participants may direct their order flow, and it 
represents a small percentage of the overall market. Competing options 
exchanges offer similar tiered pricing structures to that of the 
Exchange, including schedules of rebates and fees that apply based upon 
Members achieving certain volume and/or growth thresholds. These 
competing pricing schedules, moreover, are presently comparable to 
those that the Exchange provides.
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    \18\ See e.g., Cboe EDGX U.S. Options Exchange Fee Schedule, 
Footnote 2, Market Maker Volume Tiers, which provide reduced fees 
between $0.01 and $0.17 per contract for Market Maker Penny and Non-
Penny orders where Members meet certain volume thresholds.
    \19\ See e.g., Cboe BZX U.S. Options Exchange Fee Schedule, 
Footnotes 6 and 7, Market Maker Penny Pilot and Non-Penny Pilot 
Volume Tiers which provide enhanced rebates for Market Maker orders 
where Members meet certain volume thresholds.
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    Moreover, the Exchange believes the proposed changes are a 
reasonable means to encourage Members to increase their liquidity on 
the Exchange. The Exchange believes that the modified criteria to 
certain of the existing Non-Customer Penny Pilot Take Volume Tiers, 
Market Maker Penny Pilot Add Volume Tiers, and Market Maker Non-Penny 
Add Volume Tiers may encourage Members to increase their order flow on 
the Exchange. Increased liquidity benefits all investors by deepening 
the Exchange's liquidity pool, offering additional flexibility for all 
investors to enjoy cost savings, supporting the quality of price 
discovery, promoting market transparency and improving investor 
protection. The Exchange also believes that proposed changes are 
reasonable based on the difficulty of satisfying each tier's criteria 
and ensures the proposed rebate/fee and threshold appropriately 
reflects the incremental difficulty to achieve the applicable tier.
    The Exchange believes that the proposal represents an equitable 
allocation of fees and is not unfairly discriminatory because it 
applies uniformly to either non-Customer or Market Maker orders, as 
applicable. Further, the Exchange provides for similar standard fees to 
Customer \20\ orders for liquidity removing volume in Penny Pilot 
securities as compared to proposed modified Tiers 1 and 3 of the Non-
Customer Penny Pilot Take Volume

[[Page 21905]]

Tiers. Similarly, the Exchange offers similar tiers to Joint-Back 
Office,\21\ Away Market Maker,\22\ and Customer \23\ orders for 
liquidity adding volume in both Penny Pilot and Non-Penny Pilot 
securities as compared to proposed modified Tier 9 of the Market Maker 
Penny Pilot Add Volume Tiers and Tier 3 of the Market Maker Non-Penny 
Pilot Add Volume Tiers.
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    \20\ See the Standard Rates table which provides that Customer 
orders that remove liquidity in Penny Pilot securities incur a fee 
of $0.50 per contract.
    \21\ See e.g., the Firm, Broker Dealer, and Joint Back Office 
Non-Penny Pilot Add Volume Tiers in the Exchange's Fee Schedule. 
Tier 4 offers a rebate of up to $0.82 per contract to Members 
satisfying the tier.
    \22\ See e.g., the Away Market Maker Non-Penny Pilot Add Volume 
Tiers in the Exchange's Fee Schedule. Tier 2 offers a rebate of up 
to $0.52 per contract to Members satisfying the tier.
    \23\ See e.g., the Customer Non-Penny Pilot Add Volume Tiers in 
the Exchange's Fee Schedule. Tier 4 offers a rebate of up $1.05 per 
contract to Members satisfying the tier.
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    Additionally, a number of Non-Customers have a reasonable 
opportunity to satisfy the proposed modified Tier 1 and Tier 3 of the 
Non-Customer Penny Pilot Take Volume Tiers, which the Exchange believes 
are more stringent than existing Tier 1 and Tier 3. While the Exchange 
has no way of knowing whether this proposed rule change would 
definitively result in any particular Non-Customer qualifying for the 
proposed modified tiers, the Exchange anticipates at least two Members 
to compete for and reasonably achieve each the proposed modified tiers; 
however, the proposed modified tiers are open to any Non-Customer that 
satisfies the applicable tier's criteria. The Exchange believes the 
proposed tier could provide an incentive for other Members to submit 
additional liquidity on the Exchange to qualify for the proposed 
enhanced rebate.
    Similarly, a number of Market Makers have a reasonable opportunity 
to satisfy the proposed modified Tier 9 of the Market Maker Penny Pilot 
Add Volume Tiers (footnote 6) and Tier 3 of the Market Maker Non-Penny 
Pilot Add Volume Tiers (footnote 7). While the Exchange has no way of 
knowing whether this proposed rule change would definitively result in 
any particular Market Maker qualifying for the proposed modified tiers, 
the Exchange anticipates at least three Market Makers to compete for 
and reasonably achieve proposed modified Tier 9 of the Market Maker 
Penny Pilot Add Volume Tiers and at least one Market Maker to compete 
for and reasonably achieve proposed modified Tier 3 of the Market Maker 
Non-Penny Pilot Add Volume Tiers; however, the proposed modified tiers 
are open to any Non-Customer that satisfies the applicable tier's 
criteria. The Exchange believes the proposed modified tiers could 
provide an incentive for other Members to submit additional liquidity 
on the Exchange to qualify for the proposed enhanced rebate.
    The Exchange also notes that the proposal will not adversely impact 
any Member's pricing or their ability to qualify for other tiers. 
Rather, should a Member not meet the proposed criteria, the Member will 
merely not receive the proposed enhanced rebate or reduced fee. 
Furthermore, the proposed enhanced rebate or reduced fee would apply to 
all Members that meet the required criteria under the applicable 
proposed tier of Non-Customer Penny Pilot Take Volume Tiers, Market 
Maker Penny Pilot Add Volume Tiers, and Market Maker Non-Penny Add 
Volume Tiers.
    Lastly, the Exchange notes that the proposed changes to Tiers 3, 6, 
and 8 of the Market Maker Penny Pilot Add Volume Tiers is non-
substantive and is merely intended to provide clarity to market 
participants that the ADRV criteria is applied based on Market Maker 
orders. As such, the Exchange believes that the proposed changes would 
eliminate any potential confusion.

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

    The Exchange does not believe that the proposed rule change will 
impose any burden on intramarket or intermarket competition that is not 
necessary or appropriate in furtherance of the purposes of the Act. 
Rather, as discussed above, the Exchange believes that the proposed 
changes would encourage the submission of additional liquidity to a 
public exchange, thereby promoting market depth, price discovery and 
transparency and enhancing order execution opportunities for all 
Members. As a result, the Exchange believes that the proposed change 
furthers the Commission's goal in adopting Regulation NMS of fostering 
competition among orders, which promotes ``more efficient pricing of 
individual stocks for all types of orders, large and small.'' \24\
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    \24\ Securities Exchange Act Release No. 51808, 70 FR 37495, 
37498-99 (June 29, 2005) (S7-10-04) (Final Rule).
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    The Exchange believes the proposed rule change does not impose any 
burden on intramarket competition that is not necessary or appropriate 
in furtherance of the purposes of the Act. Particularly, the proposed 
changes apply to all Members equally in that all Members are eligible 
for the proposed modified tiers, have a reasonably opportunity to meet 
each tier's criteria and will all receive the proposed reduced fee or 
enhanced rebate if such criteria is met. Although the proposed changes 
to the Non-Customer Penny Pilot Take Volume Tiers 1 and 3 and Tier 9 of 
the Market Maker Penny Pilot Add Volume Tiers are more stringent than 
the current applicable tier, the Exchange believes they provide an 
incremental incentive proportionate to the proposed rebate or reduced 
fee. Furthermore, the Exchange believes the proposed modifications to 
Tier 3 of the Market Maker Non-Penny Pilot Add Volume Tiers will 
encourage Members to increase their order flow in Non-Penny Pilot 
securities on the Exchange. Increased liquidity benefits all investors 
by deepening the Exchange's liquidity pool, offering additional 
flexibility for all investors to enjoy cost savings, supporting the 
quality of price discovery, promoting market transparency and improving 
investor protection. The Exchange believes the proposed rule changes to 
Tiers 3, 6, and 8 will have no impact on intramarket competition as the 
proposed changes are non-substantive.
    Next, the Exchange believes the proposed rule changes do not impose 
any burden on intermarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act. As previously 
discussed, the Exchange operates in a highly competitive market. 
Members have numerous alternative venues that they may participate on 
and director their order flow, including 15 other options exchanges and 
off-exchange venues. Additionally, the Exchange represents a small 
percentage of the overall market. Based on publicly available 
information, no single options exchange has more than 21% of the market 
share.\25\ Therefore, no exchange possesses significant pricing power 
in the execution of option order flow. Indeed, participants can readily 
choose to send their orders to other exchange and off-exchange venues 
if they deem fee levels at those other venues to be more favorable. 
Moreover, the Commission has repeatedly expressed its preference for 
competition over regulatory intervention in determining prices, 
products, and services in the securities markets. Specifically, in 
Regulation NMS, the Commission highlighted the importance of market 
forces in determining prices and SRO revenues and, also, recognized 
that current regulation of the market system ``has been remarkably 
successful in promoting market competition in its broader forms that 
are most important to

[[Page 21906]]

investors and listed companies.'' \26\ The fact that this market is 
competitive has also long been recognized by the courts. In 
NetCoalition v. Securities and Exchange Commission, the D.C. Circuit 
stated as follows: ``[n]o one disputes that competition for order flow 
is `fierce.' . . . As the SEC explained, `[i]n the U.S. national market 
system, buyers and sellers of securities, and the broker-dealers that 
act as their order-routing agents, have a wide range of choices of 
where to route orders for execution'; [and] `no exchange can afford to 
take its market share percentages for granted' because `no exchange 
possesses a monopoly, regulatory or otherwise, in the execution of 
order flow from broker dealers' . . ..''.\27\ Accordingly, the Exchange 
does not believe its proposed fee changes impose any burden on 
competition that is not necessary or appropriate in furtherance of the 
purposes of the Act.
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    \25\ Supra note 3 [sic].
    \26\ See Securities Exchange Act Release No. 51808 (June 9, 
2005), 70 FR 37496, 37499 (June 29, 2005).
    \27\ NetCoalition v. SEC, 615 F.3d 525, 539 (DC Cir. 2010) 
(quoting Securities Exchange Act Release No. 59039 (December 2, 
2008), 73 FR 74770, 74782-83 (December 9, 2008) (SR-NYSEArca-2006-
21)).
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C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    The Exchange neither solicited nor received comments on the 
proposed rule change.

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) of the Act \28\ and paragraph (f) of Rule 19b-4 \29\ 
thereunder. 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 will institute proceedings to 
determine whether the proposed rule change should be approved or 
disapproved.
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    \28\ 15 U.S.C. 78s(b)(3)(A).
    \29\ 17 CFR 240.19b-4(f).
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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-CboeBZX-2020-033 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-CboeBZX-2020-033. 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 office 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-CboeBZX-2020-033 and should be submitted 
on or before May 11, 2020.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\30\
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    \30\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-08210 Filed 4-17-20; 8:45 am]
BILLING CODE 8011-01-P


