Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Extend the SPY Pilot Program, 41543-41545 [2015-17299]
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Federal Register / Vol. 80, No. 135 / Wednesday, July 15, 2015 / Notices
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.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Brent J. Fields,
Secretary.
IV. Solicitation of Comments
[FR Doc. 2015–17303 Filed 7–14–15; 8:45 am]
BILLING CODE 8011–01–P
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–
NYSEArca–2015–61 on the subject line.
Paper Comments
mstockstill on DSK4VPTVN1PROD with NOTICES
• 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–NYSEArca–2015–61. 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
office of the Exchange. 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–
NYSEArca–2015–61, and should be
submitted on or before August 5, 2015.
VerDate Sep<11>2014
18:52 Jul 14, 2015
Jkt 235001
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–75411; File No. SR–ISE–
2015–22]
Self-Regulatory Organizations;
International Securities Exchange,
LLC; Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change To Extend the SPY Pilot
Program
July 9, 2015.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on July 6,
2015, the International Securities
Exchange, LLC (the ‘‘Exchange’’ or the
‘‘ISE’’) 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 the selfregulatory organization. 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 the Substance
of the Proposed Rule Change
The ISE proposes to amend its rules
to extend the pilot program that
eliminated position and exercise limits
for physically-settled options on the
SPDR S&P ETF Trust (‘‘SPY’’) (‘‘SPY
Pilot Program’’). The text of the
proposed rule change is available on the
Exchange’s Web site (https://
www.ise.com), at the principal office of
the Exchange, 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, the
self-regulatory organization 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.
PO 00000
11 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
Frm 00070
Fmt 4703
Sfmt 4703
41543
The self-regulatory organization 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
The Exchange proposes to amend
Supplementary Material .01 to Rule 412
and Supplementary Material .01 to Rule
414 to extend the duration of the SPY
Pilot Program through July 12, 2016.
This filing does not propose any
substantive changes to the SPY Pilot
Program. In proposing to extend the
SPY Pilot Program, the Exchange
reaffirms its consideration of several
factors that supported the original
proposal of the SPY Pilot Program,
including (1) the liquidity of the option
and the underlying security, (2) the
market capitalization of the underlying
security and the related index, (3) the
reporting of large positions and
requirements surrounding margin, and
(4) financial requirements imposed by
ISE and the Commission.
With this proposed extension to the
SPY Pilot Program, the Exchange has
submitted a report to the Commission
reflecting the trading of standardized
SPY options without position limits
from January through May 2015. The
report was prepared in the manner
specified in the filing extending the SPY
Pilot Program to the current pilot end
date of July 12, 2015. The Exchange
notes that it is unaware of any problems
created by the SPY Pilot Program and
does not foresee any as a result of the
proposed extension. The proposed
extension will allow the Exchange and
the Commission to further evaluate the
SPY Pilot Program and the effect it has
on the market.
The Exchange represents that, should
the Exchange propose to extend the
pilot program, adopt on a permanent
basis the pilot program or terminate the
pilot program, it will submit a new pilot
report at least thirty (30) days before the
end of the extended SPY Pilot Program,
which will cover the extended pilot
period. The Pilot Report will detail the
size and different types of strategies
employed with respect to positions
established as a result of the elimination
of position limits in SPY. In addition,
the Pilot Report will note whether any
problems resulted due to the no limit
approach and any other information that
may be useful in evaluating the
effectiveness of the SPY Pilot Program.
The Pilot Report will compare the
impact of the SPY Pilot Program, if any,
E:\FR\FM\15JYN1.SGM
15JYN1
41544
Federal Register / Vol. 80, No. 135 / Wednesday, July 15, 2015 / Notices
on the volumes of SPY options and the
volatility in the price of the underlying
SPY shares, particularly at expiration. In
preparing the report the Exchange will
utilize various data elements such as
volume and open interest. In addition
the Exchange will make available to
Commission staff data elements relating
to the effectiveness of the SPY Pilot
Program.
Conditional on the findings in the
Pilot Report, the Exchange will file with
the Commission a proposal to extend
the pilot program, adopt the pilot
program on a permanent basis or
terminate the pilot. If the SPY Pilot
Program is not extended or adopted on
a permanent basis by the expiration of
the extended pilot, the position limits
for SPY would revert to limits that were
in effect prior to the commencement of
the SPY Pilot Program.
mstockstill on DSK4VPTVN1PROD with NOTICES
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the requirements of the Act and the
rules and regulations thereunder that
are applicable to a national securities
exchange, and, in particular, with the
requirements of Section 6(b) of the Act.3
In particular, the proposal is consistent
with Section 6(b)(5) of the Act,4 because
it is designed to promote just and
equitable principles of trade, to remove
impediments to and perfect the
mechanisms of a free and open market
and a national market system and, in
general, to protect investors and the
public interest.
The Exchange believes that extending
the SPY Pilot Program promotes just
and equitable principles of trade by
permitting market participants,
including market makers, institutional
investors and retail investors, to
establish greater positions when
pursuing their investment goals and
needs. The Exchange also believes that
economically equivalent products
should be treated in an equivalent
manner so as to avoid regulatory
arbitrage, especially with respect to
position limits. Treating SPY and SPX
options differently by virtue of imposing
different position limits is inconsistent
with the notion of promoting just and
equitable principles of trade and
removing impediments to perfect the
mechanisms of a free and open market.
At the same time, the Exchange believes
that the elimination of position limits
for SPY options would not increase
market volatility or facilitate the ability
to manipulate the market.
3 15
4 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
VerDate Sep<11>2014
18:52 Jul 14, 2015
Jkt 235001
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange believes the proposal is
consistent with Section 6(b)(8) of the
Act 5 in that it does not impose any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed rule change is not designed to
address any aspect of competition,
whether between the Exchange and its
competitors, or among market
participants. Instead the proposed rule
change is designed to allow the SPY
Pilot Program to continue as all other
self-regulatory organizations currently
participating in the SPY Pilot Program
are expected to extend it for an
additional year.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange has not solicited, and
does not intend to solicit, comments on
this proposed rule change. The
Exchange has not received any
unsolicited written comments from
members or other interested parties.
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 and Rule 19b–
4(f)(6) thereunder.6
A proposed rule change filed
pursuant to Rule 19b–4(f)(6) under the
Act 7 normally does not become
operative for 30 days after the date of its
filing. However, Rule 19b–4(f)(6)(iii) 8
permits the Commission to designate a
shorter time if such action is consistent
with the protection of investors and the
public interest. The Exchange has asked
the Commission to waive the 30-day
operative delay. The Exchange believes
that waiver of the operative delay is
consistent with the protection of
U.S.C. 78f(b)(8).
CFR 240.19b–4(f)(6). As required under Rule
19b–4(f)(6)(iii), the Exchange 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 of the proposed rule change, or such
shorter time as designated by the Commission.
7 17 CFR 240.19b–4(f)(6).
8 17 CFR 240.19b–4(f)(6)(iii).
PO 00000
5 15
6 17
Frm 00071
Fmt 4703
Sfmt 4703
investors and the public interest
because it will allow the SPY Pilot
Program to continue uninterrupted. The
Commission believes that waiving the
30-day operative delay is consistent
with the protection of investors and the
public interest. Therefore, the
Commission hereby waives the
operative delay and designates the
proposed rule change operative upon
filing.9
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–
ISE–2015–22 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–ISE–2015–22. 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
9 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
E:\FR\FM\15JYN1.SGM
15JYN1
Federal Register / Vol. 80, No. 135 / Wednesday, July 15, 2015 / Notices
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
office of the Exchange. 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–ISE–
2015–22, and should be submitted on or
before August 5, 2015.
on or about October 10, 2015, until on
or about January 10, 2016, and at
possible additional exhibitions or
venues yet to be determined, is in the
national interest. I have ordered that
Public Notice of these Determinations
be published in the Federal Register.
FOR FURTHER INFORMATION CONTACT: For
further information, including a list of
the imported objects, contact the Office
of Public Diplomacy and Public Affairs
in the Office of the Legal Adviser, U.S.
Department of State (telephone: 202–
632–6471; email: section2459@
state.gov). The mailing address is U.S.
Department of State, L/PD, SA–5, Suite
5H03, Washington, DC 20522–0505.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Brent J. Fields,
Secretary.
[FR Doc. 2015–17366 Filed 7–14–15; 8:45 am]
[FR Doc. 2015–17299 Filed 7–14–15; 8:45 am]
Dated: July 2, 2015.
Kelly Keiderling,
Principal Deputy Assistant Secretary, Bureau
of Educational and Cultural Affairs,
Department of State.
Country
BILLING CODE 8011–01–P
Fiscal Year 2016 Tariff-Rate Quota
Allocations for Raw Cane Sugar,
Refined and Specialty Sugar and
Sugar-Containing Products
DEPARTMENT OF STATE
[Public Notice: 9191]
Culturally Significant Objects Imported
for Exhibition Determinations:
‘‘Gauguin to Picasso: Masterworks
From Switzerland, The Staechelin & Im
Obersteg Collections’’ Exhibition
Notice is hereby given of the
following Determinations: Pursuant to
the authority vested in me by the Act of
October 19, 1965 (79 Stat. 985; 22 U.S.C.
2459), Executive Order 12047 of March
27, 1978, the Foreign Affairs Reform and
Restructuring Act of 1998 (112 Stat.
2681, et seq.; 22 U.S.C. 6501 note, et
seq.), Delegation of Authority No. 234 of
October 1, 1999, Delegation of Authority
No. 236–3 of August 28, 2000 (and, as
appropriate, Delegation of Authority No.
257 of April 15, 2003), I hereby
determine that the objects to be
included in the exhibition ‘‘Gauguin to
Picasso: Masterworks from Switzerland,
The Staechelin & Im Obersteg
Collections,’’ imported from abroad for
temporary exhibition within the United
States, are of cultural significance. The
objects are imported pursuant to a loan
agreement with the foreign owners or
custodians. I also determine that the
exhibition or display of the exhibit
objects at The Phillips Collection,
Washington, District of Columbia, from
mstockstill on DSK4VPTVN1PROD with NOTICES
SUMMARY:
10 17
CFR 200.30–3(a)(12).
VerDate Sep<11>2014
18:52 Jul 14, 2015
Jkt 235001
allocate the in-quota quantity of a TRQ
for any agricultural product among
supplying countries or customs areas.
The President delegated this authority
to the United States Trade
Representative under Presidential
Proclamation 6763 (60 FR 1007).
On June 15, 2015 (80 FR 34129), the
Secretary of Agriculture (Secretary)
announced the sugar program
provisions for Fiscal Year (FY) 2016.
The Secretary announced an in-quota
quantity of the TRQ for raw cane sugar
for FY 2016 of 1,117,195 metric tons *
raw value (MTRV), which is the
minimum amount to which the United
States is committed under the World
Trade Organization (WTO) Uruguay
Round Agreements. USTR is allocating
this quantity (1,117,195 MTRV) to the
following countries in the amounts
specified below:
BILLING CODE 4710–05–P
OFFICE OF THE UNITED STATES
TRADE REPRESENTATIVE
Office of Agricultural Affairs,
Office of the United States Trade
Representative.
ACTION: Notice.
AGENCY:
The Office of the United
States Trade Representative (USTR) is
providing notice of country-by-country
allocations of the Fiscal Year (FY) 2016
(Oct. 1, 2015 through Sept. 30, 2016) inquota quantity of the tariff-rate quotas
for imported raw cane sugar, certain
sugars, syrups and molasses (also
known as refined sugar), specialty sugar,
and sugar-containing products.
DATES: Effective date: July 15, 2015.
FOR FURTHER INFORMATION CONTACT:
Ronald Baumgarten, Office of
Agricultural Affairs, telephone: 202–
395–9583 or facsimile: 202–395–4579.
SUPPLEMENTARY INFORMATION: Pursuant
to Additional U.S. Note 5 to chapter 17
of the Harmonized Tariff Schedule of
the United States (HTS), the United
States maintains tariff-rate quotas
(TRQs) for imports of raw cane sugar
and refined sugar. Pursuant to
Additional U.S. Note 8 to chapter 17 of
the HTS, the United States maintains a
TRQ for imports of sugar-containing
products.
Section 404(d)(3) of the Uruguay
Round Agreements Act (19 U.S.C.
3601(d)(3)) authorizes the President to
SUMMARY:
PO 00000
Frm 00072
Fmt 4703
Sfmt 4703
41545
Argentina ..............................
Australia ................................
Barbados ..............................
Belize ....................................
Bolivia ...................................
Brazil .....................................
Colombia ...............................
Congo ...................................
Costa Rica ............................
Cote d’Ivoire .........................
Dominican Republic ..............
Ecuador ................................
El Salvador ...........................
Fiji .........................................
Gabon ...................................
Guatemala ............................
Guyana .................................
Haiti .......................................
Honduras ..............................
India ......................................
Jamaica ................................
Madagascar ..........................
Malawi ...................................
Mauritius ...............................
Mexico ..................................
Mozambique .........................
Nicaragua .............................
Panama ................................
Papua New Guinea ..............
Paraguay ..............................
Peru ......................................
Philippines ............................
South Africa ..........................
St. Kitts & Nevis ...................
Swaziland .............................
Taiwan ..................................
Thailand ................................
Trinidad & Tobago ................
Uruguay ................................
Zimbabwe .............................
FY 2016
raw cane
sugar
allocations
(MTRV)
45,281
87,402
7,371
11,584
8,424
152,691
25,273
7,258
15,796
7,258
185,335
11,584
27,379
9,477
7,258
50,546
12,636
7,258
10,530
8,424
11,584
7,258
10,530
12,636
7,258
13,690
22,114
30,538
7,258
7,258
43,175
142,160
24,220
7,258
16,849
12,636
14,743
7,371
7,258
12,636
These allocations are based on the
countries’ historical shipments to the
United States. The allocations of the inquota quantities of the raw cane sugar
E:\FR\FM\15JYN1.SGM
15JYN1
]]>Agencies
[Federal Register Volume 80, Number 135 (Wednesday, July 15, 2015)]
[Notices]
[Pages 41543-41545]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-17299]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-75411; File No. SR-ISE-2015-22]
Self-Regulatory Organizations; International Securities Exchange,
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule
Change To Extend the SPY Pilot Program
July 9, 2015.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on July 6, 2015, the International Securities Exchange, LLC (the
``Exchange'' or the ``ISE'') 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 the self-
regulatory organization. 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.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
The ISE proposes to amend its rules to extend the pilot program
that eliminated position and exercise limits for physically-settled
options on the SPDR S&P ETF Trust (``SPY'') (``SPY Pilot Program'').
The text of the proposed rule change is available on the Exchange's Web
site (https://www.ise.com), at the principal office of the Exchange, 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, the self-regulatory organization
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. The self-regulatory organization
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
The Exchange proposes to amend Supplementary Material .01 to Rule
412 and Supplementary Material .01 to Rule 414 to extend the duration
of the SPY Pilot Program through July 12, 2016. This filing does not
propose any substantive changes to the SPY Pilot Program. In proposing
to extend the SPY Pilot Program, the Exchange reaffirms its
consideration of several factors that supported the original proposal
of the SPY Pilot Program, including (1) the liquidity of the option and
the underlying security, (2) the market capitalization of the
underlying security and the related index, (3) the reporting of large
positions and requirements surrounding margin, and (4) financial
requirements imposed by ISE and the Commission.
With this proposed extension to the SPY Pilot Program, the Exchange
has submitted a report to the Commission reflecting the trading of
standardized SPY options without position limits from January through
May 2015. The report was prepared in the manner specified in the filing
extending the SPY Pilot Program to the current pilot end date of July
12, 2015. The Exchange notes that it is unaware of any problems created
by the SPY Pilot Program and does not foresee any as a result of the
proposed extension. The proposed extension will allow the Exchange and
the Commission to further evaluate the SPY Pilot Program and the effect
it has on the market.
The Exchange represents that, should the Exchange propose to extend
the pilot program, adopt on a permanent basis the pilot program or
terminate the pilot program, it will submit a new pilot report at least
thirty (30) days before the end of the extended SPY Pilot Program,
which will cover the extended pilot period. The Pilot Report will
detail the size and different types of strategies employed with respect
to positions established as a result of the elimination of position
limits in SPY. In addition, the Pilot Report will note whether any
problems resulted due to the no limit approach and any other
information that may be useful in evaluating the effectiveness of the
SPY Pilot Program. The Pilot Report will compare the impact of the SPY
Pilot Program, if any,
[[Page 41544]]
on the volumes of SPY options and the volatility in the price of the
underlying SPY shares, particularly at expiration. In preparing the
report the Exchange will utilize various data elements such as volume
and open interest. In addition the Exchange will make available to
Commission staff data elements relating to the effectiveness of the SPY
Pilot Program.
Conditional on the findings in the Pilot Report, the Exchange will
file with the Commission a proposal to extend the pilot program, adopt
the pilot program on a permanent basis or terminate the pilot. If the
SPY Pilot Program is not extended or adopted on a permanent basis by
the expiration of the extended pilot, the position limits for SPY would
revert to limits that were in effect prior to the commencement of the
SPY Pilot Program.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the requirements of the Act and the rules and regulations
thereunder that are applicable to a national securities exchange, and,
in particular, with the requirements of Section 6(b) of the Act.\3\ In
particular, the proposal is consistent with Section 6(b)(5) of the
Act,\4\ because it is designed to promote just and equitable principles
of trade, to remove impediments to and perfect the mechanisms of a free
and open market and a national market system and, in general, to
protect investors and the public interest.
---------------------------------------------------------------------------
\3\ 15 U.S.C. 78f(b).
\4\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange believes that extending the SPY Pilot Program promotes
just and equitable principles of trade by permitting market
participants, including market makers, institutional investors and
retail investors, to establish greater positions when pursuing their
investment goals and needs. The Exchange also believes that
economically equivalent products should be treated in an equivalent
manner so as to avoid regulatory arbitrage, especially with respect to
position limits. Treating SPY and SPX options differently by virtue of
imposing different position limits is inconsistent with the notion of
promoting just and equitable principles of trade and removing
impediments to perfect the mechanisms of a free and open market. At the
same time, the Exchange believes that the elimination of position
limits for SPY options would not increase market volatility or
facilitate the ability to manipulate the market.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange believes the proposal is consistent with Section
6(b)(8) of the Act \5\ in that it does not impose any burden on
competition that is not necessary or appropriate in furtherance of the
purposes of the Act. The proposed rule change is not designed to
address any aspect of competition, whether between the Exchange and its
competitors, or among market participants. Instead the proposed rule
change is designed to allow the SPY Pilot Program to continue as all
other self-regulatory organizations currently participating in the SPY
Pilot Program are expected to extend it for an additional year.
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\5\ 15 U.S.C. 78f(b)(8).
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C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange has not solicited, and does not intend to solicit,
comments on this proposed rule change. The Exchange has not received
any unsolicited written comments from members or other interested
parties.
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 and Rule 19b-
4(f)(6) thereunder.\6\
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\6\ 17 CFR 240.19b-4(f)(6). As required under Rule 19b-
4(f)(6)(iii), the Exchange 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 of the proposed rule
change, or such shorter time as designated by the Commission.
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A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the
Act \7\ normally does not become operative for 30 days after the date
of its filing. However, Rule 19b-4(f)(6)(iii) \8\ permits the
Commission to designate a shorter time if such action is consistent
with the protection of investors and the public interest. The Exchange
has asked the Commission to waive the 30-day operative delay. The
Exchange believes that waiver of the operative delay is consistent with
the protection of investors and the public interest because it will
allow the SPY Pilot Program to continue uninterrupted. The Commission
believes that waiving the 30-day operative delay is consistent with the
protection of investors and the public interest. Therefore, the
Commission hereby waives the operative delay and designates the
proposed rule change operative upon filing.\9\
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\7\ 17 CFR 240.19b-4(f)(6).
\8\ 17 CFR 240.19b-4(f)(6)(iii).
\9\ For purposes only of waiving the 30-day operative delay, the
Commission has considered the proposed rule's impact on efficiency,
competition, and capital formation. See 15 U.S.C. 78c(f).
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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-ISE-2015-22 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-ISE-2015-22. 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
[[Page 41545]]
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 office of the Exchange. 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-ISE-2015-22, and should be submitted on or before August
5, 2015.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Brent J. Fields,
Secretary.
[FR Doc. 2015-17299 Filed 7-14-15; 8:45 am]
BILLING CODE 8011-01-P
