The staff recognizes that fair, orderly, and efficient market function and competition is the hallmark of our securities markets.[1]

Yesterday, the Commission approved a proposed rule change, following the opportunity for public comment, by the New York Stock Exchange (NYSE) to allow a direct listing of securities on the NYSE floor by an issuer engaged in a primary offering. The Nasdaq Stock Market (Nasdaq) also has pending before the Commission a proposed rule change to allow primary offering direct listings in the context of Nasdaq’s own distinct market model. Additionally, yesterday evening, Nasdaq submitted a separate proposed rule change on this issue for which Nasdaq seeks immediate effectiveness without a prior public comment period.

Staff intends to work to expeditiously complete, as promptly as possible accommodating public comment, a review of these proposals, and as with all self-regulatory organizations’ proposed rule changes, will evaluate, among other things, whether they are consistent with the requirements of the Exchange Act and Commission rules.