Other Rule Filings Incorporated by Reference
Bats BZX Exchange, Inc. ("BZX"), Bats BYX Exchange, Inc. ("BYX"), Bats EDGA Exchange, Inc. ("EDGA") and Bats EDGX Exchange, Inc. ("EDGX") (collectively known as the "Exchanges") have incorporated certain rules by reference from other self-regulatory organization ("SRO") rulebooks. As such, the Exchanges will periodically provide updates where applicable when there are new proposals or approvals to amend these incorporated rules by the other SROs. The Rule Filings are not effective until approved by the Securities and Exchange Commission ("SEC"), with the exception of certain types of rule filings that may take effect upon filing with the SEC if they meet the conditions specified under Section 19 of the Securities Exchange Act of 1934 and Rule 19b-4 thereunder. Below are descriptions of the Exchanges' rules incorporated by reference from other SROs, along with any current proposals/approvals filed by the SROs.
FINRA Rule Filings to Amend FINRA Rule 5270 – Front Running of Block Transactions
Pursuant to BZX, BYX, EDGA and EDGX Rule 12.14:
- Members and persons associated with a Member shall comply with FINRA Rule 5270 as if such Rule were part of the Exchange’s rules.
- Front Running of Non-Block Transactions. Although the prohibitions in FINRA Rule 5270 are limited to imminent block transactions, the front running of other types of orders that place the financial interests of the Member or persons associated with a Member ahead of those of its customer or the misuse of knowledge of an imminent customer order may violate other Exchange rules, including Rule 3.1 and Rule 12.6, or provisions of the federal securities laws.
No FINRA Rules have been adopted since cross reference filings SR-BATS-2015-16 effective March 3, 2015, SR-BYX-2015-13 effective March 3, 2015, SR-EDGA-2013-29 effective October 9, 2013 and SR-EDGX-2013-36 effective October 9, 2013 were adopted.