Regulatory Independence and Confidentiality Policy Overview
Investors Exchange LLC (“IEX” or the “Exchange”) is a national securities exchange subject to regulation and oversight by the Securities and Exchange Commission (“SEC”) as a self-regulatory organization (“SRO”). As an SRO, the Exchange is responsible for enforcing its own and its members’ compliance with Exchange rules and applicable federal securities requirements, as well as monitoring and enforcing compliance by listed companies with applicable Exchange listing standards.
This document provides an overview of IEX’s internal regulatory independence and confidentiality policy (the “Policy”). As set forth in the Policy, IEX’s regulatory group (“IEX Regulation”) is independent of the business and commercial interests of IEX and its affiliates in its decision-making and operations. IEX Regulation is comprised of the Chief Regulatory Officer (“CRO”) of the Exchange and employees who report to the CRO directly or indirectly. The CRO reports to the independent Regulatory Oversight Committee of the Exchange’s board of directors.
Highlights of the Policy include:
- IEX Regulation is required to maintain the confidentiality of “Regulatory Matters” (including, but not limited to, membership matters; listings-related matters; and regulatory investigations, examinations, inquiries or complaints) and “Confidential Regulatory Information” (including, but not limited to, information provided to IEX Regulation related to a Regulatory Matter, market surveillance methodologies, confidential listings-related information, and information contained in the Consolidated Audit Trail and other regulatory databases and audit trails).
- IEX employs appropriate information barriers (including electronic and physical access protocols) designed to ensure the confidentiality of Regulatory Matters and Confidential Regulatory Information. Within IEX, Regulatory Matters and Confidential Regulatory Information may only be discussed within IEX Regulation and with certain non-regulatory employees under extremely limited circumstances, subject to the approval of the CRO, in order to assist IEX Regulation in assessing a Regulatory Matter. Regulatory Matters and Confidential Regulatory Information may also be shared with FINRA, the SEC, other regulators or governmental agencies consistent with the mandate of such regulator or governmental agency. IEX will also provide non-privileged information pertaining to Regulatory Matters and Confidential Regulatory Information to comply with a subpoena or other valid legal process and, to the extent permitted by law, advise the party that provided any applicable Confidential Regulatory Information.