Self-Regulatory Organizations; Investors Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend IEX Rules 2.220(a)(7) and 11.410(a) To Add Texas Stock Exchange

[Federal Register Volume 91, Number 106 (Wednesday, June 3, 2026)]

[Notices]

[Pages 33267-33269]

From the Federal Register Online via the Government Publishing Office [ www.gpo.gov ]

[FR Doc No: 2026-11035]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-105583; File No. SR-IEX-2026-16]

Self-Regulatory Organizations; Investors Exchange LLC; Notice of

Filing and Immediate Effectiveness of Proposed Rule Change To Amend IEX

Rules 2.220(a)(7) and 11.410(a) To Add Texas Stock Exchange

May 29, 2026.

Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of

1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby

given that on May 21, 2026, the 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 and II

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\ the Exchange is filing with the

Commission a proposed rule to amend IEX Rules 2.220(a)(7), 11.410(a),

and 11.410(a)(2) to include Texas Stock Exchange (``TXSE'') in the list

of away trading centers to which the Exchange routes and the market

data sources the Exchange will use for necessary price reference points

in anticipation of TXSE's planned launch. The Exchange has designated

this rule change as ``non-controversial'' under Section 19(b)(3)(A) of

the Act \6\ and provided the Commission with the notice required by

Rule 19b-4(f)(6) thereunder.\7\

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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).

\7\ 17 CFR 240.199b)-4.

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The text of the proposed rule change is available at the Exchange's

website at https://www.iexexchange.io/resources/regulation/rule-filings

and at the principal office of the Exchange.

II. Self-Regulatory Organization's Statement of the Purpose of, and the

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 statements 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 the

Statutory Basis for, the Proposed Rule Change

1. Purpose

The Exchange proposes to amend IEX Rules 2.220(a)(7) \8\ and

11.410(a) \9\ to include TXSE in the list of away trading centers to

which the Exchange routes and the market data sources the Exchange will

use to determine Top of Book \10\ quotations, the NBBO \11\ and certain

regulatory, reporting and compliance systems within IEX in anticipation

of TXSE's planned exchange launch in July 2026.\12\ The Exchange

proposes to amend the IEX Rule 2.220(a)(7) to add TXSE to the list of

away trading centers to which IEX Services routes orders. As set forth

in IEX Rule 11.230(b)(2), IEX Services routes eligible orders to away

trading centers with accessible Protected Quotations in compliance with

Regulation NMS Rule 611.\13\ IEX Rule 2.220(a)(7) lists the away

trading centers that IEX Services routes to as outbound router for the

Exchange. The Exchange must include TXSE in its list of away trading

centers to which it routes because TXSE's best-priced, displayed

quotation will be a Protected Quotation under Regulation NMS Rule

[[Page 33268]]

600(b)(62) \14\ for purposes of Regulation NMS Rule 611.\15\

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\8\ IEX Rule 2.220(a)(7) lists the away trading centers that IEX

Services LLC (``IEX Services'') routes to as outbound router for the

Exchange.

\9\ IEX Rule 11.410(a) specifies the market data sources for

each away trading center that the Exchange uses for necessary price

reference points.

\10\ See IEX Rule 11.410(a)(1).

\11\ See IEX Rule 1.160(u).

\12\ TXSE anticipates commencing trading on July 6, 2026. See

TXSE Production Launch and Market Activation, dated May 6, 2026,

available at https://www.txse.com/alerts/txse-2026-002 .

\13\ 17 CFR 242.611.

\14\ 17 CFR 242.600(b)(62).

\15\ See Securities Exchange Act Release No. 104146 (September

30, 2025), 90 FR 47880 (October 2, 2025) (Order approving Texas

Stock Exchange LLC application for registration as a national

securities exchange).

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The Exchange also proposes to amend and update the table in IEX

Rule 11.410(a) specifying the primary source for TXSE market data. IEX

Rule 11.410(a) lists the specific data feeds the Exchange uses to

determine Top of Book quotations for away exchanges, the NBBO and for

certain reporting, regulatory and compliance systems within IEX. The

Exchange proposes to amend the table in IEX Rule 11.410(a) to specify

that the Exchange will use securities information processor (``SIP'')

data, i.e., CQS SIP data for securities reported under the Consolidated

Quotation Services and Consolidated Tape Association plans and UQDF SIP

data for securities reported under the Nasdaq Unlisted Trading

Privileges plan, as the primary source of market data used to determine

TXSE's Top of Book quotes. The Exchange also proposes to make a

conforming change to the rule text of Rule 11.410(a)(2) so that the

provision is consistent with the table in Rule 11.410(a). The proposed

changes do not alter the manner in which orders are handled or routed

by the Exchange.

The Exchange proposes to make these changes operative on the date

that TXSE launches operations.

2. Statutory Basis

IEX believes that the proposed rule changes are consistent with the

provisions of Section 6(b) \16\ of the Act in general, and furthers the

objectives of Section 6(b)(5) of the Act \17\ in particular, in that

they are designed to prevent fraudulent and manipulative acts and

practices, to promote just and equitable principles of trade, 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.

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\16\ 15 U.S.C. 78f.

\17\ 15 U.S.C. 78f(b)(5).

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For the reasons discussed in the Purpose section, the Exchange

believes that the proposed rule changes remove impediments to and

perfect the mechanism of a free and open market and protect investors

and the public interest because amending the list of away trading

centers to which IEX routes by adding TXSE and adding TXSE to the table

in Rule 11.410(a) and rule text of Rule 11.410(a)(2) designating the

SIP data as the primary source of market data the Exchange will use to

determine away trading center Top of Book quotes, the NBBO, and for

certain regulatory, reporting and compliance systems within IEX, will

facilitate the Exchange's compliance with the applicable requirements

of Regulation NMS.

Additionally, amending the list of away trading centers to which

IEX routes by adding TXSE and adding TXSE to the table designating the

SIP data as the primary source of market data the Exchange will use to

determine away trading center Top of Book quotes, the NBBO, and for

certain regulatory, reporting and compliance systems within IEX,

provides transparency with respect to the away trading centers to which

IEX Services may route orders and the source of market data the

Exchange will use to determine TXSE's Top of Book quotes.

Further, the Exchange believes it is consistent with the Act to add

TXSE to the source of market data the Exchange will use to determine

Top of Book quotes so that IEX's rules accurately specify away markets

referenced, as well as to avoid any potential confusion on the part of

market participants. The Exchange also believes it is consistent with

the Act to make a conforming change to Rule 11.410(a)(2) so that

provision is consistent with the table in Rule 11.410(a).

As noted in the Purpose section, the proposed changes are non-

substantive and do not alter the manner in which orders are handled or

routed by the Exchange.

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

IEX does not believe that the proposed rule changes will result in

any burden on competition that is not necessary or appropriate in

furtherance of the purposes of the Act. The Exchange believes that the

proposed updates do not impact competition in any respect since the

purpose is to enhance transparency with respect to the operation of the

Exchange and its use of market data feeds.

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 Exchange has filed the proposed rule change pursuant to Section

19(b)(3)(A) of the Act \18\ and Rule 19b-4(f)(6) \19\ thereunder.

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; or (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 \20\ and Rule 19b-4(f)(6) \21\ thereunder.

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\18\ 15 U.S.C. 78s(b)(3)(A).

\19\ 17 CFR 240.19b-4(f)(6).

\20\ 15 U.S.C. 78s(b)(3)(A).

\21\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)

requires the Exchange to give the Commission written notice of its

intent to file the proposed rule change, along with a brief

description and text of the proposed rule change, at least five

business days prior to the date of filing of the proposed rule

change, or such shorter time as designated by the Commission. The

Exchange has satisfied this requirement.

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A proposed rule change filed under Rule 19b-4(f)(6) \22\ normally

does not become operative prior to 30 days after the date of the

filing. However, pursuant to Rule 19b-4(f)(6)(iii),\23\ the Commission

may designate a shorter time if such action is consistent with the

protection of investors and the public interest. The Exchange has asked

the Commission to waive the 30-day operative delay so that the proposed

rule change may become operative immediately upon filing. The

Commission believes that waiving the 30-day operative delay is

consistent with the protection of investors and the public interest

because the proposed rule change simply adds TXSE to the list of away

trading centers to which IEX routes orders and clarifies that SIP data

will be the primary source of data that the Exchange will utilize for

determining TXSE's Top of Book quotes. As a result, the proposal does

not introduce any novel regulatory issues. Waiving the 30-day operative

delay also will ensure that the IEX rules will be updated to reflect

the addition of TXSE prior to the commencement of trading on TXSE.

Accordingly, the Commission designates the proposed rule change to be

operative upon filing.\24\

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\22\ 17 CFR 240.19b-4(f)(6).

\23\ 17 CFR 240.19b-4(f)(6)(iii).

\24\ For purposes only of waiving the 30-day operative delay,

the Commission also has considered the proposed rule's impact on

efficiency, competition, and capital formation. See 15 U.S.C.

78c(f).

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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

[[Page 33269]]

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.

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 ( https://www.sec.gov/rules/sro.shtml ); or

Send an email to [email protected] . Please include

file number SR-IEX-2026-16 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-2026-16. 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 ( https://www.sec.gov/rules/sro.shtml ). Copies of the filing will be available for inspection and

copying at the principal office of the Exchange. 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-IEX-2026-16 and should be submitted on

or before June 24, 2026.

For the Commission, by the Division of Trading and Markets,

pursuant to delegated authority.\25\

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\25\ 17 CFR 200.30-3(a)(12).

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Sherry R. Haywood,

Assistant Secretary.

[FR Doc. 2026-11035 Filed 6-2-26; 8:45 am]

BILLING CODE 8011-01-P