The New York Stock Exchange LLC (NYSE) has filed with the Securities and Exchange Commission a proposed rule change to amend NYSE Rule 98 and related rules to redefine specialist operations. Under the proposal, Rule 98 would be amended to reduce the regulatory burdens imposed under the rule and to provide flexibility to member organizations with respect to how they structure their specialist operations and manage their risks. The NYSE intends to provide a framework for specialist operations that meets both the regulatory concerns of the current rule while also addressing the reality of today’s marketplace. The proposal includes conforming changes to other NYSE rules that rely on Rule 98 exemptions for approved persons. Rule 98 would also be amended to shift from an assumption that the approved persons of each specialist member organization are subject to certain NYSE rules (unless an exemption is provided) to a more case-by-case basis whereby NYSE Regulation, Inc. reviews whether a particular trading unit that proposes to engage in specialist operations is sufficiently walled off from either its approved persons or parent member organization.