Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to Administration of Livevol X License Agreements, 73256-73258 [2015-29844]
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73256
Federal Register / Vol. 80, No. 226 / Tuesday, November 24, 2015 / Notices
in person at testing centers. Since C2’s
proposed rule change is intended to
correct an external reference that was
the subject of a separate FINRA
proposed rule change, the Commission
believes it is in the public interest to
correct and update the C2 fee schedule
without delay. Accordingly, the
Commission hereby waives the
operative delay and designates the
proposal operative upon filing.16
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: (i) Necessary or appropriate in
the public interest; (ii) for the protection
of investors; or (iii) 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–
C2–2015–031 on the subject line.
mstockstill on DSK4VPTVN1PROD with NOTICES
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–C2–2015–031. 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
16 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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17:20 Nov 23, 2015
Jkt 238001
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 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–C2–
2015–031, and should be submitted on
or before December 15, 2015.
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
CBOE proposes to update the status of
CBOE’s administration of license
agreements for Livevol X (‘‘LVX’’).
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
Robert W. Errett,
Deputy Secretary.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
[FR Doc. 2015–29839 Filed 11–23–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–76471; File No. SR–CBOE–
2015–102]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change Relating to
Administration of Livevol X License
Agreements
November 18, 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 November
13, 2015, Chicago Board Options
Exchange, Incorporated (the ‘‘Exchange’’
or ‘‘CBOE’’) filed with the Securities
and Exchange Commission (the
‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
17 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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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
Exchange 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
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
1. Purpose
On August 7, 2015, CBOE Livevol,
LLC (formerly CBOE IV, LLC) (‘‘CBOE
Livevol’’) completed its acquisition of
certain technology assets from the entity
formerly known as Livevol, Inc.
(‘‘Livevol’’), including LVX, a front-end
order entry and management tool. CBOE
had previously submitted a rule filing
that, among other things, described the
functionality of LVX and proposed
applicable fees, which would become
operative upon closing of the
acquisition of assets from Livevol.3 In
that filing, CBOE stated that it expected
CBOE Livevol to assume agreements
between Livevol and its then-current
LVX customers at the closing of the
acquisitions. CBOE further stated that
CBOE Livevol intended to prepare a
form license agreement for LVX and, no
later than three months following the
closing of the acquisition,4 ensure each
customer executed the form agreement
so that all LVX customers used the
product pursuant to the same terms and
conditions.5
CBOE has made significant progress
over the last three months in the
complicated process of integrating the
acquired Livevol business into CBOE’s
business and is in the process of
distributing its form license agreement
to LVX users. However, as LVX has
3 See Securities Exchange Act Release No. 34–
75302 (June 25, 2015), 80 FR 37685 (July 1, 2015)
(SR–CBOE–2015–062).
4 November 6, 2015 was the date three months
following the closing of the acquisition.
5 See supra note 3, at note 16.
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Federal Register / Vol. 80, No. 226 / Tuesday, November 24, 2015 / Notices
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hundreds of users, CBOE believes it
needs additional time to collect
executed versions of this agreement
from all these LVX users. At this time,
CBOE expects to complete this process
and ensure all LVX users have executed
the form (and will thus be using LVX
pursuant to the same contractual terms
and conditions) by January 31, 2016.
CBOE notes that all LVX users currently
pay the same fees for LVX as set forth
in the CBOE Fees Schedule.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the Act
and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.6 Specifically,
the Exchange believes the proposed rule
change is consistent with the Section
6(b)(5) 7 requirements that the rules of
an exchange be designed to prevent
fraudulent and manipulative acts and
practices, to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and facilitating transactions in
securities, to remove impediments to
and perfect the mechanism of a free and
open market and a national market
system, and, in general, to protect
investors and the public interest.
Additionally, the Exchange believes the
proposed rule change is consistent with
the Section 6(b)(5) 8 requirement that
the rules of an exchange not be designed
to permit unfair discrimination between
customers, issuers, brokers, or dealers.
The Exchange believes the proposed
rule change does not discriminate
among market participants, as CBOE
continues to make LVX available to all
market participants in the same manner,
and use of LVX continues to be
completely voluntary. The LVX
functionality available to users remains
the same. All LVX users pay the same
fees for use of the product, which are set
forth in the CBOE Fees Schedule. CBOE
expects to license the applications to
market participants pursuant to the
same contractual terms and conditions
set forth in the form license agreement
once all LVX users have executed the
form agreement. This rule filing has no
impact on LVX customers’ use of LVX;
they may continue to use LVX in the
same manner. It merely extends the time
by which CBOE expects to complete the
process of receiving executed versions
of the form agreement from all LVX
6 15
7 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CBOE does not believe that the
proposed rule change will impose any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. This rule
filing does not amend the Exchange’s
rules, fees or systems. CBOE continues
to make LVX available to all market
participants in the same manner, and
use of LVX continues to be completely
voluntary. The LVX functionality
available to users remains the same. All
LVX users currently pay the same fees
for LVX as set forth in the CBOE Fees
Schedule. CBOE expects to license the
applications to market participants
pursuant to the same contractual terms
and conditions set forth in the form
license agreement once all LVX users
have executed the form agreement. This
rule filing has no impact on LVX
customers’ use of LVX; they may
continue to use LVX in the same
manner. It merely extends the time by
which CBOE expects to complete the
process of receiving executed versions
of the form agreement from all LVX
users. Market participants continue to
have the flexibility to use any order
entry and management technology they
choose, including LVX.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange neither solicited nor
received comments on the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 9 and paragraph (f) of Rule
19b–4 10 thereunder. 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 will institute proceedings
to determine whether the proposed rule
9 15
8 Id.
VerDate Sep<11>2014
users. The Exchange notes that this rule
filing does not amend the Exchange’s
rules, fees or systems.
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f).
10 17
17:20 Nov 23, 2015
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73257
change 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–
CBOE–2015–102 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–CBOE–2015–102. 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–CBOE–
2015–102, and should be submitted on
or before December 15, 2015.
E:\FR\FM\24NON1.SGM
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73258
Federal Register / Vol. 80, No. 226 / Tuesday, November 24, 2015 / Notices
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015–29844 Filed 11–23–15; 8:45 am]
BILLING CODE 8011–01–P
proceedings under Section 19(b)(2)(B) of
the Act 7 to determine whether to
approve or disapprove the proposed
rule change.
I. Description of the Exchange’s
Proposal 8
A. Background
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–76472; File No. SR–
NYSEArca–2015–68]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Order Instituting
Proceedings to Determine Whether To
Approve or Disapprove Proposed Rule
Change Relating To Implementation of
a Fee on Securities Lending and
Repurchase Transactions With
Respect to Shares of the
CurrencyShares® Euro Trust and the
CurrencyShares® Japanese Yen Trust
November 18, 2015.
On July 30, 2015, NYSE Arca, Inc.
(‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change
relating to implementation of a fee on
securities lending and repurchase
transactions with respect to shares of
the CurrencyShares® Euro Trust and the
CurrencyShares® Japanese Yen Trust,
which are currently listed and trading
on the Exchange under NYSE Arca
Equities Rule 8.202. The proposed rule
change was published for comment in
the Federal Register on August 20,
2015.3 On September 18, 2015, pursuant
to Section 19(b)(2) of the Act,4 the
Commission designated a longer period
within which to approve the proposed
rule change, disapprove the proposed
rule change, or institute proceedings to
determine whether to disapprove the
proposed rule change.5 The Commission
has not received any comments on the
proposal.6 This order institutes
11 17
CFR 200.30–3(a)(12).
U.S.C.78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 75698
(Aug. 14, 2015), 80 FR 50701 (‘‘Notice’’).
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No. 75945,
80 FR 57645 (Sept. 24, 2015). The Commission
designated a longer period within which to take
action on the proposed rule change and designated
November 18, 2015, as the date by which it should
approve, disapprove, or institute proceedings to
determine whether to disapprove the proposed rule
change.
6 Although the Commission has not yet received
comments on the proposal, the Exchange represents
that it issued a Regulatory Bulletin on this proposal
mstockstill on DSK4VPTVN1PROD with NOTICES
1 15
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17:20 Nov 23, 2015
Jkt 238001
The Exchange currently lists and
trades shares (‘‘Shares’’) of the
CurrencyShares® Euro Trust (‘‘Euro
Trust’’ or ‘‘FXE’’) and the
CurrencyShares® Japanese Yen Trust
(‘‘Yen Trust’’ or ‘‘FXY,’’ and together
with the Euro Trust, collectively,
‘‘Trusts’’) under NYSE Arca Equities
Rule 8.202.9
FXE and FXY hold euros and
Japanese yen, respectively, and issue
Shares in baskets (‘‘Baskets’’) of 50,000
Shares in exchange for deposits of euros
or yen, respectively. Each Trust redeems
Baskets of Shares and distributes euros
or yen, respectively. The Shares of FXE
and FXY represent units of fractional
undivided beneficial interests in the
assets held by the relevant Trust. The
investment objective of each Trust is for
the Trust’s shares to reflect the price in
U.S. dollars (‘‘USD’’) of the foreign
currency held by the Trust, plus accrued
interest and minus the expenses and
liabilities of such Trust. According to
the Exchange, the Shares are intended to
provide institutional and retail investors
with economic exposure to a particular
foreign currency so that they can, for
example, hedge foreign currency risk in
other portfolio assets or hedge against
USD fluctuations more generally.
The Exchange represents that, as
sponsor of the Trusts, Guggenheim
Specialized Products, LLC
(‘‘Guggenheim’’ or ‘‘Sponsor’’) receives
on August 21, 2013 (regulatory bulletin available at
https://www.sec.gov/rules/sro/nysearca/2015/3475698-ex2a.pdf) and received two comment letters
in response. See Notice, supra note 3, 80 FR at
50705 n.22. See also Letter from Daniel J. McCabe,
President, Precidian Investments, to John Carey,
Vice President-Legal, NYSE (Sept. 20, 2013)
(supporting the proposed rule change); Letter from
Theodore R. Lazo, Associate General Counsel, and
Kyle Brandon, Managing Director, SIFMA, to John
Carey, Vice President-Legal (Sept. 23, 2013)
(opposing the proposal) (both letters available at
https://www.sec.gov/rules/sro/nysearca/2015/3475698-ex2b.pdf).
7 15 U.S.C. 78s(b)(2)(B).
8 A complete description of the proposal can be
found in the Notice. See Notice, supra note 3
(available at: https://www.sec.gov/rules/sro/
nysearca/2015/34-75698.pdf).
9 Shares of the Trusts initially were approved for
listing and trading on the New York Stock
Exchange, Inc. See Securities Exchange Act Release
Nos. 52843 (Nov. 28, 2005), 70 FR 72486 (Dec. 5,
2005) (SR–NYSE–2005–65) (order approving listing
and trading of Shares of FXE); and 55268 (Feb. 9,
2007), 72 FR 7793 (Feb. 20, 2007) (SR–NYSE–2007–
03) (order approving listing and trading of Shares
of FXY).
PO 00000
Frm 00097
Fmt 4703
Sfmt 4703
a management fee that is intended to
compensate Guggenheim for its service
as Sponsor and to cover certain Trust
expenses. The management fee is paid
monthly out of a Trust’s assets and is
calculated as a percentage of the
currency held by each Trust.
Guggenheim’s fee accrues daily at an
annual nominal rate of 0.40% of the
foreign currency held by the trust.
According to the Exchange, because
the accrued but unpaid management fee
is subtracted from the assets in
calculating each fund’s net asset value
(‘‘NAV’’) on a daily basis,10 the value of
the Shares decreases at a predictable
rate independent of the value of the
currency held by each Trust. The
Exchange refers to the rate at which the
value of a Trust falls as a result of the
management fee as the ‘‘Management
Fee Decay.’’
Like other equity securities, Shares
may be loaned by shareholders to other
market participants. This securities
lending activity can facilitate short
selling of Shares, as well as other
investment strategies.11 Once loaned,
the Shares may be (i) redeemed by the
borrower for underlying Trust assets, or
(ii) sold.
B. The Exchange’s Description of the
‘‘Strategy’’ Allegedly Used by Some
Market Participants to Profit From
Management Fee Decay
According to the Exchange, the
Sponsor claims to have identified a
strategy (‘‘Strategy’’) that permits certain
market participants (‘‘Traders’’) to profit
from the reduction in the NAV of the
Shares over time associated with
Management Fee Decay, to the
purported detriment of the value of the
Shares held by shareholders who do not
engage in the Strategy. Pursuant to the
Strategy, a Trader borrows Shares and
then either (1) sells the borrowed
Shares, taking a short position in the
Shares, or (2) redeems the borrowed
Shares for euros or yen, as applicable.
According to the Exchange, the
number of units of foreign currency
10 To calculate NAV, the Trustee adds to the
amount of euros/yen in the Trusts at the end of the
preceding business day, accrued but unpaid
interest, euros/yen receivable under pending
purchase orders and the value of other Trust assets,
and subtracts the accrued but unpaid management
fee, euros/yen payable under pending redemption
orders and other Trust expenses and liabilities, if
any. See Notice, supra note 3, at 3, 80 FR at 50701.
11 A short sale is any sale of a security that the
seller does not own or any sale that is consummated
by the delivery of a security borrowed by, or for the
account of, the seller. Short sales are normally
settled by the delivery of a security borrowed by or
on behalf of the investor. The investor later closes
out the position by returning the borrowed security
to the stock lender, typically by purchasing
securities on the open market.
E:\FR\FM\24NON1.SGM
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]]>Agencies
[Federal Register Volume 80, Number 226 (Tuesday, November 24, 2015)]
[Notices]
[Pages 73256-73258]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-29844]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-76471; File No. SR-CBOE-2015-102]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change Relating to Administration of Livevol X License
Agreements
November 18, 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 November 13, 2015, Chicago Board Options Exchange, Incorporated
(the ``Exchange'' or ``CBOE'') filed with the Securities and Exchange
Commission (the ``Commission'') the proposed rule change as described
in Items I, II, and III below, which Items have been prepared by the
Exchange. 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
CBOE proposes to update the status of CBOE's administration of
license agreements for Livevol X (``LVX'').
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 Exchange 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 Exchange 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
On August 7, 2015, CBOE Livevol, LLC (formerly CBOE IV, LLC)
(``CBOE Livevol'') completed its acquisition of certain technology
assets from the entity formerly known as Livevol, Inc. (``Livevol''),
including LVX, a front-end order entry and management tool. CBOE had
previously submitted a rule filing that, among other things, described
the functionality of LVX and proposed applicable fees, which would
become operative upon closing of the acquisition of assets from
Livevol.\3\ In that filing, CBOE stated that it expected CBOE Livevol
to assume agreements between Livevol and its then-current LVX customers
at the closing of the acquisitions. CBOE further stated that CBOE
Livevol intended to prepare a form license agreement for LVX and, no
later than three months following the closing of the acquisition,\4\
ensure each customer executed the form agreement so that all LVX
customers used the product pursuant to the same terms and
conditions.\5\
---------------------------------------------------------------------------
\3\ See Securities Exchange Act Release No. 34-75302 (June 25,
2015), 80 FR 37685 (July 1, 2015) (SR-CBOE-2015-062).
\4\ November 6, 2015 was the date three months following the
closing of the acquisition.
\5\ See supra note 3, at note 16.
---------------------------------------------------------------------------
CBOE has made significant progress over the last three months in
the complicated process of integrating the acquired Livevol business
into CBOE's business and is in the process of distributing its form
license agreement to LVX users. However, as LVX has
[[Page 73257]]
hundreds of users, CBOE believes it needs additional time to collect
executed versions of this agreement from all these LVX users. At this
time, CBOE expects to complete this process and ensure all LVX users
have executed the form (and will thus be using LVX pursuant to the same
contractual terms and conditions) by January 31, 2016. CBOE notes that
all LVX users currently pay the same fees for LVX as set forth in the
CBOE Fees Schedule.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Act and the rules and regulations thereunder applicable to the
Exchange and, in particular, the requirements of Section 6(b) of the
Act.\6\ Specifically, the Exchange believes the proposed rule change is
consistent with the Section 6(b)(5) \7\ requirements that the rules of
an exchange be designed to prevent fraudulent and manipulative acts and
practices, to promote just and equitable principles of trade, to foster
cooperation and coordination with persons engaged in regulating,
clearing, settling, processing information with respect to, and
facilitating transactions in securities, to remove impediments to and
perfect the mechanism of a free and open market and a national market
system, and, in general, to protect investors and the public interest.
Additionally, the Exchange believes the proposed rule change is
consistent with the Section 6(b)(5) \8\ requirement that the rules of
an exchange not be designed to permit unfair discrimination between
customers, issuers, brokers, or dealers.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 15 U.S.C. 78f(b)(5).
\8\ Id.
---------------------------------------------------------------------------
The Exchange believes the proposed rule change does not
discriminate among market participants, as CBOE continues to make LVX
available to all market participants in the same manner, and use of LVX
continues to be completely voluntary. The LVX functionality available
to users remains the same. All LVX users pay the same fees for use of
the product, which are set forth in the CBOE Fees Schedule. CBOE
expects to license the applications to market participants pursuant to
the same contractual terms and conditions set forth in the form license
agreement once all LVX users have executed the form agreement. This
rule filing has no impact on LVX customers' use of LVX; they may
continue to use LVX in the same manner. It merely extends the time by
which CBOE expects to complete the process of receiving executed
versions of the form agreement from all LVX users. The Exchange notes
that this rule filing does not amend the Exchange's rules, fees or
systems.
B. Self-Regulatory Organization's Statement on Burden on Competition
CBOE does not believe that the proposed rule change will impose any
burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. This rule filing does not amend
the Exchange's rules, fees or systems. CBOE continues to make LVX
available to all market participants in the same manner, and use of LVX
continues to be completely voluntary. The LVX functionality available
to users remains the same. All LVX users currently pay the same fees
for LVX as set forth in the CBOE Fees Schedule. CBOE expects to license
the applications to market participants pursuant to the same
contractual terms and conditions set forth in the form license
agreement once all LVX users have executed the form agreement. This
rule filing has no impact on LVX customers' use of LVX; they may
continue to use LVX in the same manner. It merely extends the time by
which CBOE expects to complete the process of receiving executed
versions of the form agreement from all LVX users. Market participants
continue to have the flexibility to use any order entry and management
technology they choose, including LVX.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange neither solicited nor received comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \9\ and paragraph (f) of Rule 19b-4 \10\
thereunder. 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 will institute proceedings to
determine whether the proposed rule change should be approved or
disapproved.
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f).
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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-CBOE-2015-102 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-CBOE-2015-102. 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-CBOE-2015-102, and should be
submitted on or before December 15, 2015.
[[Page 73258]]
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015-29844 Filed 11-23-15; 8:45 am]
BILLING CODE 8011-01-P
