Exemption for Certain Exchange Members

Document 2023-18658 is a Final Rule published by the Securities and Exchange Commission in the Federal Register on September 7, 2023, with an effective date of November 6, 2023. The Securities and Exchange Commission ("Commission") is adopting amendments to a rule under the Securities Exchange Act of 1934 ("Act" or "Exchange Act") that exempts certain Commission- registered brokers or dealers from membership in a registered national securities association ("Association"). The amendments replace rule provisions that provide an exemption for proprietary trading with narrower exemptions from Association membership for any registered broker or dealer that is a member of a national securities exchange, carries no customer accounts, and effects transactions in securities otherwise than on a national securities exchange of which it is a member. The amendments create exemptions for such a registered broker or dealer that effects securities transactions otherwise than on an exchange of which it is a member that result solely from orders that are routed by a national securities exchange of which it is a member to comply with order protection regulatory requirements, or are solely for the purpose of executing the stock leg of a stock-option order. View the original at https://www.federalregister.gov/documents/2023/09/07/2023-18658/exemption-for-certain-exchange-members.

No. Document 2023-18658 is not classified as economically significant under Executive Order 12866. Economically significant rules require OIRA review and are estimated to have impacts of $100 million or more per year.