Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Update Rule Cross-References and Make Non-Substantive Technical Changes to Certain FINRA Rules, 68731-68733 [2014-27187]

Download as PDF Federal Register / Vol. 79, No. 222 / Tuesday, November 18, 2014 / Notices SECURITIES AND EXCHANGE COMMISSION Sunshine Act Meeting Notice is hereby given, pursuant to the provisions of the Government in the Sunshine Act, Public Law 94–409, that the Commission will host the SEC Government-Business Forum on Small Business Capital Formation on Thursday, November 20, 2014, beginning at 9:00 a.m., in the auditorium of the Commission’s headquarters at 100 F Street NE., Washington, DC. The forum will be open to the public and webcast on the SEC’s Web site. Doors will open at 8:15 a.m. Visitors will be subject to security checks. The forum will include remarks by SEC Commissioners and panel discussions that Commissioners may attend. Panel topics will include secondary market liquidity for securities of small businesses and the definition of accredited investor. For further information, please contact the Office of the Secretary at (202) 551–5400. Dated: November 13, 2014. Brent J. Fields, Secretary. [FR Doc. 2014–27316 Filed 11–14–14; 11:15 am] Institution settlement of administrative proceedings; Litigation matter; and Other matters relating to enforcement proceedings. At times, changes in Commission priorities require alterations in the scheduling of meeting items. For further information and to ascertain what, if any, matters have been added, deleted or postponed, please contact the Office of the Secretary at (202) 551–5400. Dated: November 13, 2014. Brent J. Fields, Secretary. [FR Doc. 2014–27355 Filed 11–14–14; 11:15 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–73576; File No. SR–FINRA– 2014–045] Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Update Rule CrossReferences and Make Non-Substantive Technical Changes to Certain FINRA Rules BILLING CODE 8011–01–P November 12, 2014. SECURITIES AND EXCHANGE COMMISSION tkelley on DSK3SPTVN1PROD with NOTICES Sunshine Act Meeting Notice is hereby given, pursuant to the provisions of the Government in the Sunshine Act, Public Law 94–409, that the Securities and Exchange Commission will hold a Closed Meeting on Thursday, November 20, 2014 at 2:00 p.m. Commissioners, Counsel to the Commissioners, the Secretary to the Commission, and recording secretaries will attend the Closed Meeting. Certain staff members who have an interest in the matters also may be present. The General Counsel of the Commission, or her designee, has certified that, in her opinion, one or more of the exemptions set forth in 5 U.S.C. 552b(c)(3), (5), (7), 9(B) and (10) and 17 CFR 200.402(a)(3), (5), (7), 9(ii) and (10), permit consideration of the scheduled matter at the Closed Meeting. Commissioner Stein, as duty officer, voted to consider the items listed for the Closed Meeting in closed session. The subject matter of the Closed Meeting will be: Institution and settlement of injunctive actions; VerDate Sep<11>2014 17:27 Nov 17, 2014 Jkt 235001 Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on October 31, 2014, Financial Industry Regulatory Authority, Inc. (‘‘FINRA’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which Items have been prepared by FINRA. FINRA has designated the proposed rule change as constituting a ‘‘non-controversial’’ rule change under paragraph (f)(6) of Rule 19b–4 under the Act,3 which renders the proposal effective upon receipt of this filing by the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change FINRA is proposing to update crossreferences and make other nonsubstantive changes within FINRA rules, primarily as the result of approval of new consolidated FINRA rules. 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 17 CFR 240.19b–4(f)(6). 2 17 PO 00000 Frm 00072 Fmt 4703 Sfmt 4703 68731 The text of the proposed rule change is available on FINRA’s Web site at https://www.finra.org, at the principal office of FINRA, on the Commission’s Web site at https://www.sec.gov, and at the Commission’s Public Reference Room. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, FINRA 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. FINRA 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 Statutory Basis for, the Proposed Rule Change 1. Purpose FINRA is in the process of developing a consolidated rulebook (‘‘Consolidated FINRA Rulebook’’).4 That process involves FINRA submitting to the Commission for approval a series of proposed rule changes over time to adopt rules in the Consolidated FINRA Rulebook. The phased adoption and implementation of those rules necessitates periodic amendments to update rule cross-references and other non-substantive changes in the Consolidated FINRA Rulebook. The proposed rule change would make several such changes, as well as other non-substantive changes unrelated to the adoption of rules in the Consolidated FINRA Rulebook. First, the proposed rule change would update rule cross-references to reflect the adoption of new consolidated supervision rules. On December 23, 2013, the SEC approved a proposed rule change to adopt NASD Rules 3010, 3012, and 3110 as FINRA Rules 3110, 3120, 3150, and 3170, with several 4 The current FINRA rulebook consists of (1) FINRA Rules; (2) NASD Rules; and (3) rules incorporated from NYSE (‘‘Incorporated NYSE Rules’’) (together, the NASD Rules and Incorporated NYSE Rules are referred to as the ‘‘Transitional Rulebook’’). While the NASD Rules generally apply to all FINRA members, the Incorporated NYSE Rules apply only to those members of FINRA that are also members of the NYSE (‘‘Dual Members’’). The FINRA Rules apply to all FINRA members, unless such rules have a more limited application by their terms. For more information about the rulebook consolidation process, see Information Notice, March 12, 2008 (Rulebook Consolidation Process). E:\FR\FM\18NON1.SGM 18NON1 68732 Federal Register / Vol. 79, No. 222 / Tuesday, November 18, 2014 / Notices tkelley on DSK3SPTVN1PROD with NOTICES changes. FINRA also deleted in their entirety the corresponding Incorporated NYSE Rules 342, 343, 354, 401, 401A and Incorporated NYSE Interpretive Materials 342, 343, and 351.5 The new rules will be implemented on December 1, 2014. As such, the proposed rule change would update references to the new rule numbers in FINRA Rules 0150 (Application of Rules to Exempted Securities Except Municipal Securities), 1010 (Electronic Filing Requirements for Uniform Forms), 2210 (Communications with the Public), 2220 (Options Communications), 2330 (Members’ Responsibilities Regarding Deferred Variable Annuities), 2360 (Options), 5210 (Publication of Transactions and Quotations), 8312 (FINRA BrokerCheck Disclosure), 9217 (Violations Appropriate for Disposition Under Plan Pursuant to SEA Rule 19d–1(c)(2)), and 9610 (Application). Second, the proposed rule change would make technical changes to FINRA Rules 4553(e)(4) (Definitions), 7410(o) (Definitions), 12104 (Effect of Arbitration on FINRA Regulatory Activities; Arbitrator Referral During or at Conclusion of Case), and 13104 (Effect of Arbitration on FINRA Regulatory Activities; Arbitrator Referral During or at Conclusion of Case) to reflect FINRA Manual style convention changes. Third, FINRA is proposing to amend Rule 6170 (Primary and Additional MPIDs for Alternative Display Facility Participants) to replace the references to ‘‘TRACS’’ with ‘‘ADF,’’ consistent with the changes made throughout the Rule 6200 and 7100 Series pursuant to SR– FINRA–2013–053.6 Fourth, FINRA is proposing to make non-substantive changes to FINRA Rule 2360(b)(23) (Tendering Procedures for Exercise of Options) to update crossreferences resulting from previous amendment to FINRA Options rules.7 FINRA also is proposing to update the cross-references in Rules 6282(f)(2) to reflect the renumbering of Rule 7130(c) as 7130(f) pursuant to SR–FINRA–2013– 053.8 In addition, FINRA is proposing to amend Rule 7110(i) to correct a crossreference to Rule 6120, which instead should be to Rule 6220 (Definitions).9 5 See Securities Exchange Act Release No. 71179 (December 23, 2013), 78 FR 79542 (December 30, 2013) (Order Approving File No. SR–FINRA–2013– 025). 6 See Securities Exchange Act Release No. 71467 (February 3, 2014), 79 FR 7485 (February 7, 2014) (Order Approving File No. SR–FINRA–2013–053). 7 See Securities Exchange Act Release No. 62711 (August 12, 2010), 75 FR 51124 (August 18, 2010) (Order Approving [sic] File No. SR–FINRA–2010– 041). 8 See supra note 6. 9 See supra note 6. VerDate Sep<11>2014 17:27 Nov 17, 2014 Jkt 235001 Finally, the proposed rule change would also amend Rule 7120(a)(2)(E) to delete a misplaced ‘‘the,’’ which was inadvertently proposed in SR–FINRA– 2013–053. The text would now read ‘‘each System identified trade.’’ FINRA has filed the proposed rule change for immediate effectiveness. The implementation date for the proposed rule change will be December 1, 2014. 2. Statutory Basis FINRA believes that the proposed rule change is consistent with the provisions of Section 15A(b)(6) of the Act,10 which requires, among other things, that FINRA rules must be designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, and, in general, to protect investors and the public interest. FINRA believes the proposed rule change will provide greater clarity to members and the public regarding FINRA’s rules. B. Self-Regulatory Organization’s Statement on Burden on Competition FINRA does not believe that the proposed rule change will result in any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. The proposed rule change brings clarity and consistency to FINRA rules without adding any burden on firms. 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 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; and (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 11 and Rule 19b– 4(f)(6) thereunder.12 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 10 15 U.S.C. 78o–3(b)(6). U.S.C. 78s(b)(3)(A). 12 17 CFR 240.19b–4(f)(6). 11 15 PO 00000 Frm 00073 Fmt 4703 Sfmt 4703 investors, or otherwise in furtherance of the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings to determine whether the proposed rule 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 rule-comments@ sec.gov. Please include File Number SR– FINRA–2014–045 on the subject line. Paper Comments • Send paper comments in triplicate to Brent J. Fields, Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–FINRA–2014–045. 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 Web site (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for Web site viewing and printing in the Commission’s Public Reference Room, 100 F Street NE., Washington, DC 20549 on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of such filing also will be available for inspection and copying at the principal offices of FINRA. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–FINRA– 2014–045, and should be submitted on or before December 9, 2014. E:\FR\FM\18NON1.SGM 18NON1 Federal Register / Vol. 79, No. 222 / Tuesday, November 18, 2014 / Notices For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.13 Kevin M. O’ Neill, Deputy Secretary. [FR Doc. 2014–27187 Filed 11–17–14; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–73577; File No. SR–OCC– 2014–20] 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. OCC has prepared summaries, set forth in sections (A), (B), and (C) below, of the most significant aspects of these statements. (A) Clearing Agency’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose Self-Regulatory Organizations; The Options Clearing Corporation; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Notice of Filing of Proposed Rule Change to Concerning Updates to Clearing Member Documents November 12, 2014. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 19b–4 thereunder 2 notice is hereby given that on November 10, 2014, The Options Clearing Corporation (‘‘OCC’’) filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change as described in Items I and II below, which Items have been prepared by OCC. OCC filed the proposed rule change pursuant to Section 19(b)(3)(A) 3 of the Act and Rule 19b-4(f)(6) 4 thereunder. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Clearing Agency’s Statement of the Terms of Substance of the Proposed Rule Change This proposed rule change by The Options Clearing Corporation (‘‘OCC’’) would update the various contracts and forms that, in conjunction with OCC’s By-Laws and Rules, establish and govern the relationship between OCC and each clearing member (collectively, the ‘‘Clearing Member Documents’’). II. Clearing Agency’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, OCC included statements concerning 13 17 CFR 200.30–3(a)(12). U.S.C. 78s (b)(1). 2 17 CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). 4 17 CFR 240.19b–4(f)(6). As required under Rule 19b–4(f)(6)(iii), OCC provided the Commission with written notice of its intent to file the proposed rule change, along with a brief description and the text of the proposed rule change, at least five business days prior to the date of filing the proposed rule change, or such shorter time as designated by the Commission. tkelley on DSK3SPTVN1PROD with NOTICES 1 15 VerDate Sep<11>2014 17:27 Nov 17, 2014 Jkt 235001 This proposed rule change would amend the Clearing Member Documents in order to: (i) Reduce the number of documents by eliminating outdated documents and combining similar documents, when possible; (ii) reflect OCC’s current business and operational processes; and (iii) reflect changes in applicable law and conform the documents to OCC’s current By-Laws and Rules. The proposed changes to the Clearing Member Documents would not alter any of the requirements for initial or continued OCC clearing membership. Background The Clearing Member Documents, in conjunction with OCC’s By-Laws and Rules, establish the relationship between OCC and each clearing member and serve as the legal foundation of OCC’s ongoing legal and operational relationship with clearing members. OCC recently completed a comprehensive review (the ‘‘Review’’) of the Clearing Membership Documents with a view to revising the documents and ensuring that they are consistent with OCC’s By-Laws and Rules and current operational processes. The Clearing Member Documents fall into five general categories: 1. Application Documents. These are the primary documents used to identify an applicant’s qualifications to become a clearing member of OCC. 2. Core Agreements. These documents establish the contractual agreement between OCC and a clearing member and provide OCC with authority to carry out critical tasks related to clearing membership. These include, among other agreements, the Clearing Member Agreement and various authorizations to draft and authorized signature forms. 3. Services Agreements. These documents govern the provision by OCC of various services to clearing members, such as internet and data distribution services. 4. Appointment Forms. These documents permit clearing members that are not participants in National Securities Clearing Corporation PO 00000 Frm 00074 Fmt 4703 Sfmt 4703 68733 (‘‘NSCC’’) and the Fixed Income Clearing Corporation (‘‘FICC’’) to, as applicable, effect settlement of physically-settled equity options, single stock futures and Treasury securities option contracts through appointment of another clearing member as its agent with respect to settlement of the relevant product.5 5. Product and Account Specific Forms. These documents facilitate a clearing member’s ability to clear certain products or allow a clearing member to establish certain types of accounts such as a market maker subaccount. Proposed Updates to the Clearing Member Documents A primary focus of the Review was to eliminate outdated documents and consolidate documents when possible. The Review resulted in the number of distinct Clearing Member Documents being reduced from 39 to 21, either by eliminating documents that are no longer operationally required by OCC or by consolidating and streamlining previously distinct documents, each requiring separate execution, into one document. Attached as Exhibit 3 is a document that lists each of the current Clearing Member Documents and each of the proposed Clearing Member Documents after the consolidation and streamlining effort of the Review. Moreover, the Review did not result in any new substantive legal requirements being imposed upon clearing members. In addition, a significant number of the Clearing Member Documents are proposed to be updated to reflect terms used in OCC’s By-Laws and Rules that have been revised since the Clearing Member Documents were created or last updated, as applicable. Set forth below is a summary of the significant updates proposed to be made to the Clearing Member Documents. The proposed revisions to the Clearing Member Documents will not result in any substantive changes to OCC’s membership requirements. Application Documents OCC proposes to revise the Application Documents to eliminate sole proprietorship from the category of applicants 6 because OCC staff deemed it extremely unlikely that a sole proprietor would apply for clearing membership. The Application for Membership itself would be updated to include new categories of products an 5 See, OCC Rules 901(f), 901(g) and 1403(a). revised Application Documents will contain an ‘‘other’’ category of applicant, which could be used in the event a sole proprietor applies for clearing membership at OCC. 6 The E:\FR\FM\18NON1.SGM 18NON1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 79, Number 222 (Tuesday, November 18, 2014)]
[Notices]
[Pages 68731-68733]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-27187]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-73576; File No. SR-FINRA-2014-045]


Self-Regulatory Organizations; Financial Industry Regulatory 
Authority, Inc.; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change To Update Rule Cross-References and Make Non-
Substantive Technical Changes to Certain FINRA Rules

November 12, 2014.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that 
on October 31, 2014, Financial Industry Regulatory Authority, Inc. 
(``FINRA'') filed with the Securities and Exchange Commission (``SEC'' 
or ``Commission'') the proposed rule change as described in Items I, 
II, and III below, which Items have been prepared by FINRA. FINRA has 
designated the proposed rule change as constituting a ``non-
controversial'' rule change under paragraph (f)(6) of Rule 19b-4 under 
the Act,\3\ which renders the proposal effective upon receipt of this 
filing by the Commission. The Commission is publishing this notice to 
solicit comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    FINRA is proposing to update cross-references and make other non-
substantive changes within FINRA rules, primarily as the result of 
approval of new consolidated FINRA rules.
    The text of the proposed rule change is available on FINRA's Web 
site at https://www.finra.org, at the principal office of FINRA, on the 
Commission's Web site at https://www.sec.gov, and at the Commission's 
Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, FINRA 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. FINRA 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 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    FINRA is in the process of developing a consolidated rulebook 
(``Consolidated FINRA Rulebook'').\4\ That process involves FINRA 
submitting to the Commission for approval a series of proposed rule 
changes over time to adopt rules in the Consolidated FINRA Rulebook. 
The phased adoption and implementation of those rules necessitates 
periodic amendments to update rule cross-references and other non-
substantive changes in the Consolidated FINRA Rulebook.
---------------------------------------------------------------------------

    \4\ The current FINRA rulebook consists of (1) FINRA Rules; (2) 
NASD Rules; and (3) rules incorporated from NYSE (``Incorporated 
NYSE Rules'') (together, the NASD Rules and Incorporated NYSE Rules 
are referred to as the ``Transitional Rulebook''). While the NASD 
Rules generally apply to all FINRA members, the Incorporated NYSE 
Rules apply only to those members of FINRA that are also members of 
the NYSE (``Dual Members''). The FINRA Rules apply to all FINRA 
members, unless such rules have a more limited application by their 
terms. For more information about the rulebook consolidation 
process, see Information Notice, March 12, 2008 (Rulebook 
Consolidation Process).
---------------------------------------------------------------------------

    The proposed rule change would make several such changes, as well 
as other non-substantive changes unrelated to the adoption of rules in 
the Consolidated FINRA Rulebook.
    First, the proposed rule change would update rule cross-references 
to reflect the adoption of new consolidated supervision rules. On 
December 23, 2013, the SEC approved a proposed rule change to adopt 
NASD Rules 3010, 3012, and 3110 as FINRA Rules 3110, 3120, 3150, and 
3170, with several

[[Page 68732]]

changes. FINRA also deleted in their entirety the corresponding 
Incorporated NYSE Rules 342, 343, 354, 401, 401A and Incorporated NYSE 
Interpretive Materials 342, 343, and 351.\5\ The new rules will be 
implemented on December 1, 2014. As such, the proposed rule change 
would update references to the new rule numbers in FINRA Rules 0150 
(Application of Rules to Exempted Securities Except Municipal 
Securities), 1010 (Electronic Filing Requirements for Uniform Forms), 
2210 (Communications with the Public), 2220 (Options Communications), 
2330 (Members' Responsibilities Regarding Deferred Variable Annuities), 
2360 (Options), 5210 (Publication of Transactions and Quotations), 8312 
(FINRA BrokerCheck Disclosure), 9217 (Violations Appropriate for 
Disposition Under Plan Pursuant to SEA Rule 19d-1(c)(2)), and 9610 
(Application).
---------------------------------------------------------------------------

    \5\ See Securities Exchange Act Release No. 71179 (December 23, 
2013), 78 FR 79542 (December 30, 2013) (Order Approving File No. SR-
FINRA-2013-025).
---------------------------------------------------------------------------

    Second, the proposed rule change would make technical changes to 
FINRA Rules 4553(e)(4) (Definitions), 7410(o) (Definitions), 12104 
(Effect of Arbitration on FINRA Regulatory Activities; Arbitrator 
Referral During or at Conclusion of Case), and 13104 (Effect of 
Arbitration on FINRA Regulatory Activities; Arbitrator Referral During 
or at Conclusion of Case) to reflect FINRA Manual style convention 
changes.
    Third, FINRA is proposing to amend Rule 6170 (Primary and 
Additional MPIDs for Alternative Display Facility Participants) to 
replace the references to ``TRACS'' with ``ADF,'' consistent with the 
changes made throughout the Rule 6200 and 7100 Series pursuant to SR-
FINRA-2013-053.\6\
---------------------------------------------------------------------------

    \6\ See Securities Exchange Act Release No. 71467 (February 3, 
2014), 79 FR 7485 (February 7, 2014) (Order Approving File No. SR-
FINRA-2013-053).
---------------------------------------------------------------------------

    Fourth, FINRA is proposing to make non-substantive changes to FINRA 
Rule 2360(b)(23) (Tendering Procedures for Exercise of Options) to 
update cross-references resulting from previous amendment to FINRA 
Options rules.\7\ FINRA also is proposing to update the cross-
references in Rules 6282(f)(2) to reflect the renumbering of Rule 
7130(c) as 7130(f) pursuant to SR-FINRA-2013-053.\8\ In addition, FINRA 
is proposing to amend Rule 7110(i) to correct a cross-reference to Rule 
6120, which instead should be to Rule 6220 (Definitions).\9\
---------------------------------------------------------------------------

    \7\ See Securities Exchange Act Release No. 62711 (August 12, 
2010), 75 FR 51124 (August 18, 2010) (Order Approving [sic] File No. 
SR-FINRA-2010-041).
    \8\ See supra note 6.
    \9\ See supra note 6.
---------------------------------------------------------------------------

    Finally, the proposed rule change would also amend Rule 
7120(a)(2)(E) to delete a misplaced ``the,'' which was inadvertently 
proposed in SR-FINRA-2013-053. The text would now read ``each System 
identified trade.''
    FINRA has filed the proposed rule change for immediate 
effectiveness. The implementation date for the proposed rule change 
will be December 1, 2014.
2. Statutory Basis
    FINRA believes that the proposed rule change is consistent with the 
provisions of Section 15A(b)(6) of the Act,\10\ which requires, among 
other things, that FINRA rules must be designed to prevent fraudulent 
and manipulative acts and practices, to promote just and equitable 
principles of trade, and, in general, to protect investors and the 
public interest. FINRA believes the proposed rule change will provide 
greater clarity to members and the public regarding FINRA's rules.
---------------------------------------------------------------------------

    \10\ 15 U.S.C. 78o-3(b)(6).
---------------------------------------------------------------------------

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

    FINRA does not believe that the proposed rule change will result in 
any burden on competition that is not necessary or appropriate in 
furtherance of the purposes of the Act. The proposed rule change brings 
clarity and consistency to FINRA rules without adding any burden on 
firms.

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

    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; and (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 \11\ and Rule 19b-
4(f)(6) thereunder.\12\
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78s(b)(3)(A).
    \12\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

    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 investors, or 
otherwise in furtherance of the purposes of the Act. If the Commission 
takes such action, the Commission shall institute proceedings to 
determine whether the proposed rule 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 rule-comments@sec.gov. Please include 
File Number SR-FINRA-2014-045 on the subject line.

Paper Comments

     Send paper comments in triplicate to Brent J. Fields, 
Secretary, Securities and Exchange Commission, 100 F Street NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-FINRA-2014-045. 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 Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all 
written statements with respect to the proposed rule change that are 
filed with the Commission, and all written communications relating to 
the proposed rule change between the Commission and any person, other 
than those that may be withheld from the public in accordance with the 
provisions of 5 U.S.C. 552, will be available for Web site viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE., 
Washington, DC 20549 on official business days between the hours of 
10:00 a.m. and 3:00 p.m. Copies of such filing also will be available 
for inspection and copying at the principal offices of FINRA. All 
comments received will be posted without change; the Commission does 
not edit personal identifying information from submissions. You should 
submit only information that you wish to make available publicly. All 
submissions should refer to File Number SR-FINRA-2014-045, and should 
be submitted on or before December 9, 2014.


[[Page 68733]]


    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\13\
---------------------------------------------------------------------------

    \13\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O' Neill,
Deputy Secretary.
[FR Doc. 2014-27187 Filed 11-17-14; 8:45 am]
BILLING CODE 8011-01-P

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