Securities and Exchange Commission
Equity Market Structure Advisory Committee
Minutes of November 29, 2016 Meeting
The Securities and Exchange Commission Equity Market Structure Advisory Committee was convened at 9:30 a.m. Eastern Time on November 29, 2016, at the Securities and Exchange Commission, 100 F Street, N.E., Washington D.C. The meeting concluded at 11:28 a.m.
In accordance with the provisions of the Federal Advisory Committee Act, 5 U.S.C. - App.1, the meeting was open to the public.
Advisory Committee members in attendance:
- Matthew Andresen
- Reginald Browne
- Kevin Cronin
- Brad Katsuyama
- Ted Kaufman
- Richard Ketchum
- Manisha Kimmel
- Mehmet Kinak
- Joseph Mecane
- Jamil Nazarali
- Eric Noll
- Maureen O’Hara
- Joe Ratterman*
- Nancy Smith
- Chester Spatt
- Gary Stone
*Attended by teleconference
SEC Commissioners in attendance for all or a portion of the meeting:
- Mary Jo White, Chair
- Commissioner Kara M. Stein
- Commissioner Michael S. Piwowar
SEC staff in attendance for all or a portion of the meeting:**
- Steve Luparello, Director, Division of Trading and Markets
- Gary Goldsholle, Deputy Director, Division of Trading and Markets
- David Shillman, Associate Director, Division of Trading and Markets
- John Roeser, Associate Director, Division of Trading and Markets
- Mark Flannery, Director & Chief Economist, Division of Economic & Risk Analysis
**List does not reflect additional SEC staff that may have been present as part of the audience.
Recommendations were presented to the Committee by:
- Eric Noll, Committee Member and Chair of the Regulation NMS Subcommittee
- Manisha Kimmel, Committee Member and Chair of the Customer Issues Subcomittee
Description of meeting proceedings:
The Committee convened to consider the Market Quality Subcommittee and Customer Issues Subcommittee’s recommendations.
The Market Quality Subcommittee presented three recommendations pertaining to: (1) the National Market System Plan to Address Extraordinary Volatility (“limit-up/limit-down”); (2) market wide circuit breakers; and (3) market opening. The first recommendation on limit-up/limit-down was approved 15-1 by the Committee members present and voting. The second recommendation on market wide circuit breakers and the third recommendation on market opening were unanimously approved by the Committee members.
The Customer Issues Subcommittee presented two recommendations pertaining to: (1) an investor confidence survey; and (2) modifications to Regulation NMS Rules 605 and 606. The first recommendation on the investor confidence survey was voted 9-7 against by the Committee members present and voting. The second recommendation on Regulation NMS Rules 605 and 606 was unanimously approved.
The Committee also heard updates from the Regulation NMS and Trading Venues Regulation Subcommittees. The full proceedings of the meeting are reflected in the transcript available at https://www.sec.gov/spotlight/equity-market-structure-advisory-committee.shtml.
 A webcast of the meeting and copies of the materials distributed at the meeting are available at: http://www.sec.gov/spotlight/equity-market-structure-advisory-committee.shtml.
 Gary Stone voted against the recommendation.
 The following Committee members voted against the recommendation: Matthew Andresen, Reginald Browne, Kevin Cronin, Mehmet Kinak, Joseph Mecane, Jamil Nazarali, Joe Ratterman, Chester Spatt, and Gary Stone. The following Committee members voted in favor of the recommendation: Brad Katsuyama, Ted Kaufman, Richard Ketchum, Manisha Kimmel, Eric Noll, Maureen O'Hara, and Nancy Smith.