Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Its Rules To Remove Definitions and Trading Rules That Are No Longer Operative After the Completed Full Migration of All Symbols to the Pillar Trading Platform, 71559-71562 [2016-24981]

Download as PDF Federal Register / Vol. 81, No. 200 / Monday, October 17, 2016 / Notices 100 F Street, NE., Washington, DC 20549–2736. jstallworth on DSK7TPTVN1PROD with NOTICES Extension: Rule 17a–4. SEC File No. 270–198, OMB Control No. 3235–0279. Notice is hereby given that pursuant to the Paperwork Reduction Act of 1995 (‘‘PRA’’) (44 U.S.C. 3501 et seq.), the Securities and Exchange Commission (‘‘Commission’’) has submitted to the Office of Management and Budget (‘‘OMB’’) a request for extension of the previously approved collection of information provided for in Rule 17a–4 (17 CFR 240.17a–4), under the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.). Rule 17a–4 requires approximately 4,104 active, registered exchange members, brokers and dealers (‘‘brokerdealers’’) to preserve for prescribed periods of time certain records required to be made by Rule 17a–3 and other Commission rules, and other kinds of records which firms make or receive in the ordinary course of business. Rule 17a–4 also permits broker-dealers to employ, under certain conditions, electronic storage media to maintain these required records. The records required to be maintained under Rule 17a–4 are used by examiners and other representatives of the Commission to determine whether broker-dealers are in compliance with, and to enforce their compliance with, the Commission’s rules. There are approximately 4,104 active, registered broker-dealers. The staff estimates that the average amount of time necessary to preserve the books and records as required by Rule 17a–4 is 254 hours per broker-dealer per year. In addition, the Commission is moving into this information collection the annual burden hours for paragraph (b)(11) of Rule 17a–4, which requires any broker-dealer that sponsors an internal broker-dealer system to maintain certain records relating to such system for at least three years. The Commission estimates that paragraph (b)(11) of Rule 17a–4 imposes an annual burden of 3 hours per year to maintain the requisite records. The Commission estimates that there are approximately 150 internal broker-dealer systems, resulting in an annual recordkeeping burden of 450 hours. Therefore, the Commission estimates that compliance with Rule 17a–4 requires 1,042,866 hours each year ((4,104 broker-dealers × 254 hours) + (150 broker-dealers × 3 hours). These burdens are recordkeeping burdens. The staff believes that compliance personnel would be charged with ensuring compliance with Commission VerDate Sep<11>2014 14:22 Oct 14, 2016 Jkt 241001 regulation, including Rule 17a–4. The staff estimates that the hourly salary of a Compliance Clerk is $65 per hour.1 Based upon these numbers, the total internal cost of compliance for 4,104 respondents is the dollar cost of approximately $67.8 million (1,042,416 yearly hours x $65). The total burden hour decrease of 242,062 is due to a decrease in the number of respondents from 5,057 to 4,104. Based on conversations with members of the securities industry and the Commission’s experience in the area, the staff estimates that the average broker-dealer spends approximately $5,000 each year to store documents required to be retained under Rule 17a– 4. Costs include the cost of physical space, computer hardware and software, etc., which vary widely depending on the size of the broker-dealer and the type of storage media employed. The Commission estimates that the annual reporting and recordkeeping cost burden is $20,520,000. This cost is calculated by the number of active, registered broker-dealers multiplied by the reporting and recordkeeping cost for each respondent (4,104 active, registered broker-dealers × $5,000). An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information under the PRA unless it displays a currently valid OMB control number. The public may view the background documentation for this information collection at the following Web site: www.reginfo.gov. Comments should be directed to: (i) Desk Officer for the Securities and Exchange Commission, Office of Information and Regulatory Affairs, Office of Management and Budget, Room 10102, New Executive Office Building, Washington, DC 20503, or by sending an email to: Shagufta_ Ahmed@omb.eop.gov; and (ii) Pamela Dyson, Director/Chief Information Officer, Securities and Exchange Commission, c/o Remi Pavlik-Simon, 100 F Street NE., Washington, DC 20549, or by sending an email to: PRA_ Mailbox@sec.gov. Comments must be submitted to OMB within 30 days of this notice. Dated: October 11, 2016. Robert W. Errett, Deputy Secretary. [FR Doc. 2016–24977 Filed 10–14–16; 8:45 am] BILLING CODE 8011–01–P 1 This figure is based on SIFMA’s Office Salaries in the Securities Industry 2016, modified by Commission staff to account for an 1,800-hour work-year multiplied by 2.93 to account for bonuses, firm size, employee benefits, and overhead. PO 00000 Frm 00085 Fmt 4703 Sfmt 4703 71559 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–79078; File No. SR– NYSEArca–2016–135] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Its Rules To Remove Definitions and Trading Rules That Are No Longer Operative After the Completed Full Migration of All Symbols to the Pillar Trading Platform October 11, 2016. Pursuant to Section 19(b)(1) 1 of the Securities Exchange Act of 1934 (the ‘‘Act’’),2 and Rule 19b–4 thereunder,3 notice is hereby given that on September 28, 2016, NYSE Arca, Inc. (the ‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with the Securities and Exchange Commission (the ‘‘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. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend its rules to remove definitions and trading rules that are no longer operative after the completed full migration of all symbols to the Pillar trading platform. The proposed rule change is available on the Exchange’s Web site at www.nyse.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 those 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 parts of such statements. 1 15 U.S.C. 78s(b)(1). U.S.C. 78a. 3 17 CFR 240.19b–4. 2 15 E:\FR\FM\17OCN1.SGM 17OCN1 71560 Federal Register / Vol. 81, No. 200 / Monday, October 17, 2016 / Notices A. Self-Regulatory Organization’s Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change jstallworth on DSK7TPTVN1PROD with NOTICES 1. Purpose The Exchange proposes to amend its rules to remove definitions and trading rules that are no longer operative after the completed full migration of all symbols to the Pillar trading platform. The Exchange proposes to delete superseded rules that were applicable only to the prior trading system and to delete the ‘‘P’’ modifier that distinguished the Pillar trading rules from the now obsolete rules. On April 30, 2015, the Exchange filed the first of four proposed rule changes (the ‘‘first Pillar filing’’) to adopt new equity trading rules to reflect the implementation of Pillar, the Exchange’s new integrated trading technology platform designed to use a single specification for connecting to the equities and options markets operated by NYSE Arca and its affiliates, New York Stock Exchange LLC and NYSE MKT LLC.4 The Commission approved the first Pillar filing, including the interim use of the ‘‘P’’ modifier; 5 and subsequently also approved the successive Pillar proposed rule filings.6 In the first Pillar filing, the Exchange anticipated rolling out the new Pillar technology platform over a period of time based upon a range of symbols. Consequently, the Exchange also proposed that it would continue to operate under its then-current trading rules for symbols that had not yet 4 See Securities Exchange Act Release No. 74951 (May 13, 2015), 80 FR 28721 (May 19, 2015) (SR– NYSEARCA–2015–38) (notice of filing of proposed rule change adopting new equity trading rules relating to trading sessions, order ranking and display, and order execution, and the use of the ‘‘P’’ modifier). 5 See Securities Exchange Act Release No. 75494 (July 20, 2015), 80 FR 44170 (July 24, 2015) (SR– NYSEARCA–2015–38) (approval of proposed rule change adopting new equity trading rules relating to trading sessions, order ranking and display, and order execution, and the use of ‘‘P’’ modifier). 6 See Securities Exchange Act Release No. 76198 (October 20, 2015), 80 FR 65274 (October 26, 2015) (SR–NYSEArca–2015–58) (approval of proposed rule change and order granting accelerated approval of amendment 1 thereto adopting new equity trading rules relating to trading halts, short sales, limit up-limit down, and odd lots and mixed lots); Securities Exchange Act Release No. 76267 (October 26, 2015), 80 FR 66951 (October 30, 2015) (SR– NYSEArca–2015–56) (approval of proposed rule change and order granting accelerated approval of amendments 1 and 2 thereto adopting new equity trading rules relating to orders and modifiers and the retail liquidity program); Securities Exchange Act Release No. 76869 (January 11, 2016), 81 FR 2276 (January 15, 2016) (SR–NYSEArca–2015–86) (approval of proposed rule change and order granting accelerated approval of amendments 1 and 3 adopting new equity trading rules relating to auctions). VerDate Sep<11>2014 14:22 Oct 14, 2016 Jkt 241001 migrated to Pillar, pending the complete migration of all symbols to Pillar and the retirement of the old trading system. As proposed, the new rules governing trading on Pillar would have the same numbering as current rules, but with the modifier ‘‘P’’ appended to the rule number during this interim period. In addition, the Exchange proposed adding to its rulebook new ‘‘P’’ definitions and introductory Pillar rule text. Once all symbols had migrated to the Pillar platform, the Exchange would file a rule proposal to delete the obsolete rules, definitions and introductory Pillar rule text that were no longer operative, as well as the ‘‘P’’ modifiers that distinguished the interim rules.7 The migration of all symbols to Pillar having been completed, the Exchange now proposes to amend its rules to delete the rules, definitions and introductory rule text that are no longer operative or necessary, as well as the ‘‘P’’ modifiers. The Exchange believes that removing the obsolete references that no longer have any impact on trading would add greater clarity to its rules and promote market transparency and efficiency. The rule filing history for Exchange rules that is maintained on the Exchange’s Web site will reflect the prior rule filing history of the deleted trading rule in order to further promote clarity and transparency. Specifically, the Exchange proposes within the ‘‘Rule 1 Definitions’’ section of the rule book: • Deleting the introductory language that explained the use of the ‘‘P’’ modifier; • Deleting the obsolete definition ‘‘NYSE Arca Book’’, that now has been superseded by the equivalent Pillar definition, and deleting the ‘‘P’’ modifier in the remaining Pillar definition; • Deleting the definition ‘‘Imbalance’’ that was linked to former Rule 7.35; • Deleting the definition ‘‘Indicative Match Price’’ that also was linked to former Rule 7.35; • Deleting the definition ‘‘NOW Recipient’’, that now has been superseded by the equivalent Pillar definition of ‘‘Away Market’’, and deleting the ‘‘P’’ modifier in the remaining Pillar definition; and • Deleting the ‘‘P’’ modifier in the definition ‘‘Official Closing Price’’. Specifically, the Exchange proposes within the ‘‘Rule 7 Equities Trading’’ section of the rule book: • Deleting the preamble following Rule 7 that explains the use of the ‘‘P’’ modifier; • Deleting obsolete Rule 7.10 ‘‘Clearly Erroneous Executions’’ that has been superseded by the equivalent Pillar Rule 7.10P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.11 ‘‘Limit Up–Limit Down Plan and Trading Pauses in Individual Securities Due to Extraordinary Market Volatility’’ that has been superseded by the equivalent Pillar Rule 7.11P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.16 ‘‘Short Sales’’ that has been superseded by the equivalent Pillar Rule 7.16P of the same caption, deleting the ‘‘P’’ modifier in the remaining rule; • Deleting obsolete Rule 7.18 ‘‘UTP Regulatory Halts’’ that has been superseded by the equivalent Pillar Rule 7.18P ‘‘Halts’’, deleting the ‘‘P’’ modifier in the remaining rule; • Deleting obsolete Rule 7.31 ‘‘Orders and Modifiers’’ that has been superseded by the equivalent Pillar Rule 7.31P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.34 ‘‘Trading Sessions’’ that has been replaced by the equivalent Pillar Rule 7.34P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.35 ‘‘Auctions’’ that has been superseded by the equivalent Pillar Rule 7.35P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.36 ‘‘Order Ranking and Display’’ that has been superseded by the equivalent Pillar Rule 7.36P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.37 ‘‘Order Execution’’ that has been superseded by the equivalent Pillar Rule 7.37P ‘‘Order Execution and Routing’’, deleting the ‘‘P’’ modifiers in the remaining rule; • Deleting obsolete Rule 7.38 ‘‘Odd and Mixed Lots’’ that has been superseded by the equivalent Pillar Rule 7.38P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule; and • Deleting obsolete Rule 7.44 ‘‘Retail Liquidity Program’’ that has been superseded by the equivalent Pillar Rule 7.44P of the same caption, deleting the ‘‘P’’ modifiers in the remaining rule. 2. Statutory Basis The proposed rule changes are consistent with Section 6(b) of the Act,8 in general, and further the objectives of Section 6(b)(5) of the Act,9 in particular, in that they are designed to prevent fraudulent and manipulative acts and 8 15 7 See PO 00000 supra Note 5 at 44171. Frm 00086 Fmt 4703 Sfmt 4703 9 15 E:\FR\FM\17OCN1.SGM U.S.C. 78f(b). U.S.C. 78f(b)(5). 17OCN1 Federal Register / Vol. 81, No. 200 / Monday, October 17, 2016 / Notices practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in facilitating transactions in securities, and 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. In particular, the Exchange believes that amending its rules to remove definitions and trading rules that are no longer operative after the completed full migration of all symbols to the Pillar trading system would promote the protection of investors and the public interest because it would promote clarity and transparency in Exchange rules governing what rules govern trading on the Exchange. The Exchange further believes that deleting superseded rules that were applicable only to the prior trading system, and deleting the ‘‘P’’ modifier that distinguished the Pillar trading rules from the now obsolete rules during this transitional period to a single trading platform and a single set of rules governing trading, would remove impediments to and perfect the mechanism of a national market system because these proposed changes would add greater clarity to the Exchange’s rules and promote market transparency and efficiency. jstallworth on DSK7TPTVN1PROD with NOTICES B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change would 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 competitive issues but rather is designed to ensure a fair and orderly market by removing definitions and trading rules that are no longer operative after the completed full migration of all symbols to the Pillar trading system. As such, the proposed rule changes are intended to promote greater efficiency and transparency concerning trading on the Exchange. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the proposed rule change does not (i) significantly affect the protection of investors or the public VerDate Sep<11>2014 14:22 Oct 14, 2016 Jkt 241001 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 10 and Rule 19b– 4(f)(6) thereunder.11 A proposed rule change filed pursuant to Rule 19b–4(f)(6) under the Act 12 normally does not become operative for 30 days after the date of its filing. However, Rule 19b–4(f)(6)(iii) 13 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 so that the proposal may become operative immediately upon filing. The Exchange stated that waiver of the operative delay is consistent with the protection of investors and the public interest because it has completed its transition to a single trading platform and such waiver would permit the Exchange to immediately provide enhanced transparency in Exchange rules regarding equities trading. The Commission believes the waiver of the operative delay is consistent with the protection of investors and the public interest. Therefore, the Commission hereby waives the operative delay and designates the proposal operative upon filing.14 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 change should be approved or disapproved. IV. Solicitation of Comments Interested persons are invited to submit written data, views, and 10 15 U.S.C. 78s(b)(3)(A). 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. 12 17 CFR 240.19b–4(f)(6). 13 17 CFR 240.19b–4(f)(6)(iii). 14 For purposes only of waiving the 30-day operative delay, the Commission has also considered the proposed rule’s impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). 11 17 PO 00000 Frm 00087 Fmt 4703 Sfmt 4703 71561 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–2016–135 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–NYSEArca–2016–135. 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–2016–135, and should be submitted on or before November 7, 2016. 15 17 E:\FR\FM\17OCN1.SGM CFR 200.30–3(a)(12). 17OCN1 71562 Federal Register / Vol. 81, No. 200 / Monday, October 17, 2016 / Notices For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.15 Robert W. Errett, Deputy Secretary. BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 32310/October 11, 2016] Investment Company Act of 1940 In the Matter of: AB Private Credit Investors Corporation, AB Private Credit Investors Middle Market Direct Lending Fund, L.P., AB Energy Opportunity Fund, L.P., AB Private Credit Investors LLC, 1345 Avenue of the Americas, New York, NY 10105, (812–14453) jstallworth on DSK7TPTVN1PROD with NOTICES Order Under Sections 17(d) and 57(i) of the Investment Company Act of 1940 and Rule 17d–1 Under the Act AB Private Credit Investors Corporation, AB Private Credit Investors Middle Market Direct Lending Fund, L.P., AB Energy Opportunity Fund, L.P., and AB Private Credit Investors LLC filed an application on April 30, 2015, and amendments to the application on October 5, 2015, and May 24, 2016, requesting an order under sections 17(d) and 57(i) of the Investment Company Act of 1940 (the ‘‘Act’’) and rule 17d– 1 under the Act that would permit certain joint transactions otherwise prohibited by sections 17(d) and 57(a)(4) of the Act and rule 17d–1 under the Act. The order would permit a business development company and certain closed end investment companies (collectively, the ‘‘Regulated Funds’’) to co-invest in portfolio companies with each other and with affiliated investment funds. On September 13, 2016, a notice of the filing of the application was issued (Investment Company Act Release No. 32261). The notice gave interested persons an opportunity to request a hearing and stated that an order disposing of the application would be issued unless a hearing was ordered. No request for a hearing has been filed, and the Commission has not ordered a hearing. The matter has been considered and it is found, on the basis of the information set forth in the application, as amended, that participation by the Regulated Funds in the proposed transactions is consistent with the provisions, policies and purposes of the Act and is on a basis no less advantageous than that of other participants. VerDate Sep<11>2014 14:22 Oct 14, 2016 Jkt 241001 Dated: October 11, 2016. Mark Taplin, Principal Deputy Assistant Secretary, Bureau of Educational and Cultural Affairs, Department of State. For the Commission, by the Division of Investment Management, under delegated authority. Robert W. Errett, Deputy Secretary. [FR Doc. 2016–24981 Filed 10–14–16; 8:45 am] Accordingly, It is ordered, under sections 17(d) and 57(i) of the Act and rule 17d–1 under the Act, that the relief requested by AB Private Credit Investors Corporation, et al. (File No. 812–14453) is granted, effective immediately, subject to the conditions contained in the application, as amended. DEPARTMENT OF STATE [FR Doc. 2016–24983 Filed 10–14–16; 8:45 am] BILLING CODE 8011–01–P DEPARTMENT OF STATE [Public Notice: 9762] Culturally Significant Objects Imported for Exhibition Determinations: ‘‘Doris Salcedo: The Materiality of Mourning’’ 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), E.O. 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 ‘‘Doris Salcedo: The Materiality of Mourning,’’ imported from abroad for temporary exhibition within the United States, are of cultural significance. The objects are imported pursuant to loan agreements with the foreign owners or custodians. I also determine that the exhibition or display of the exhibit objects at the Harvard Art Museums, Cambridge, Massachusetts, from on or about November 4, 2016, until on or about April 9, 2017, 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. SUMMARY: PO 00000 Frm 00088 Fmt 4703 Sfmt 4703 [FR Doc. 2016–25031 Filed 10–14–16; 8:45 am] BILLING CODE 4710–05–P [Public Notice: 9761] Industry Advisory Group: Notice of Open Meeting The Industry Advisory Group (IAG) of the Bureau of Overseas Buildings Operations (OBO) will meet on Thursday, November 3 from 2:00 p.m. until 4:00 p.m. Eastern Daylight Time. The meeting is open to the public and will be held in the Loy Henderson Conference Room of the U.S. Department of State, located at 2201 C Street NW., (entrance on 23rd Street) Washington, DC For logistical and security reasons, the public must enter and exit the building using only the 23rd Street entrance. This committee serves the U.S. Government in a solely advisory capacity concerning industry and academia’s latest concepts, methods, best practices, innovations, and ideas related to OBO’s mission to provide safe, secure, and functional facilities that represent the U.S. Government to the host nation and support our staff in the achievement of U.S. foreign policy objectives. These facilities should represent American values and the best in American architecture, engineering, technology, sustainability, art, culture, and construction execution. The majority of the meeting will be devoted to discussions between the Department’s senior management and IAG representatives with respect to industry and academia’s latest concepts, methods, best practices, innovations and ideas related to property management that are applicable to OBO’s vital mission. Reasonable time will be provided for members of the public to provide comment. Admittance to the State Department building will be by means of a prearranged clearance list. To register for the meeting, please visit the OBO Web site at https:// overseasbuildings.state.gov/ for the registration page by Friday, October 21. In order to register, you must provide the following information: First and last name, company/firm name, date of birth, country of citizenship, and the number and issuing country/state associated with a valid governmentissued ID (i.e., U.S. Government ID, U.S. E:\FR\FM\17OCN1.SGM 17OCN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 81, Number 200 (Monday, October 17, 2016)]
[Notices]
[Pages 71559-71562]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-24981]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-79078; File No. SR-NYSEArca-2016-135]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Amending Its Rules 
To Remove Definitions and Trading Rules That Are No Longer Operative 
After the Completed Full Migration of All Symbols to the Pillar Trading 
Platform

October 11, 2016.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the ``Act''),\2\ and Rule 19b-4 thereunder,\3\ notice is hereby 
given that on September 28, 2016, NYSE Arca, Inc. (the ``Exchange'' or 
``NYSE Arca'') filed with the Securities and Exchange Commission (the 
``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\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

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

    The Exchange proposes to amend its rules to remove definitions and 
trading rules that are no longer operative after the completed full 
migration of all symbols to the Pillar trading platform. The proposed 
rule change is available on the Exchange's Web site at www.nyse.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 those 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 parts of such statements.

[[Page 71560]]

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

1. Purpose
    The Exchange proposes to amend its rules to remove definitions and 
trading rules that are no longer operative after the completed full 
migration of all symbols to the Pillar trading platform. The Exchange 
proposes to delete superseded rules that were applicable only to the 
prior trading system and to delete the ``P'' modifier that 
distinguished the Pillar trading rules from the now obsolete rules.
    On April 30, 2015, the Exchange filed the first of four proposed 
rule changes (the ``first Pillar filing'') to adopt new equity trading 
rules to reflect the implementation of Pillar, the Exchange's new 
integrated trading technology platform designed to use a single 
specification for connecting to the equities and options markets 
operated by NYSE Arca and its affiliates, New York Stock Exchange LLC 
and NYSE MKT LLC.\4\ The Commission approved the first Pillar filing, 
including the interim use of the ``P'' modifier; \5\ and subsequently 
also approved the successive Pillar proposed rule filings.\6\
---------------------------------------------------------------------------

    \4\ See Securities Exchange Act Release No. 74951 (May 13, 
2015), 80 FR 28721 (May 19, 2015) (SR-NYSEARCA-2015-38) (notice of 
filing of proposed rule change adopting new equity trading rules 
relating to trading sessions, order ranking and display, and order 
execution, and the use of the ``P'' modifier).
    \5\ See Securities Exchange Act Release No. 75494 (July 20, 
2015), 80 FR 44170 (July 24, 2015) (SR-NYSEARCA-2015-38) (approval 
of proposed rule change adopting new equity trading rules relating 
to trading sessions, order ranking and display, and order execution, 
and the use of ``P'' modifier).
    \6\ See Securities Exchange Act Release No. 76198 (October 20, 
2015), 80 FR 65274 (October 26, 2015) (SR-NYSEArca-2015-58) 
(approval of proposed rule change and order granting accelerated 
approval of amendment 1 thereto adopting new equity trading rules 
relating to trading halts, short sales, limit up-limit down, and odd 
lots and mixed lots); Securities Exchange Act Release No. 76267 
(October 26, 2015), 80 FR 66951 (October 30, 2015) (SR-NYSEArca-
2015-56) (approval of proposed rule change and order granting 
accelerated approval of amendments 1 and 2 thereto adopting new 
equity trading rules relating to orders and modifiers and the retail 
liquidity program); Securities Exchange Act Release No. 76869 
(January 11, 2016), 81 FR 2276 (January 15, 2016) (SR-NYSEArca-2015-
86) (approval of proposed rule change and order granting accelerated 
approval of amendments 1 and 3 adopting new equity trading rules 
relating to auctions).
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    In the first Pillar filing, the Exchange anticipated rolling out 
the new Pillar technology platform over a period of time based upon a 
range of symbols. Consequently, the Exchange also proposed that it 
would continue to operate under its then-current trading rules for 
symbols that had not yet migrated to Pillar, pending the complete 
migration of all symbols to Pillar and the retirement of the old 
trading system. As proposed, the new rules governing trading on Pillar 
would have the same numbering as current rules, but with the modifier 
``P'' appended to the rule number during this interim period. In 
addition, the Exchange proposed adding to its rulebook new ``P'' 
definitions and introductory Pillar rule text. Once all symbols had 
migrated to the Pillar platform, the Exchange would file a rule 
proposal to delete the obsolete rules, definitions and introductory 
Pillar rule text that were no longer operative, as well as the ``P'' 
modifiers that distinguished the interim rules.\7\
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    \7\ See supra Note 5 at 44171.
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    The migration of all symbols to Pillar having been completed, the 
Exchange now proposes to amend its rules to delete the rules, 
definitions and introductory rule text that are no longer operative or 
necessary, as well as the ``P'' modifiers. The Exchange believes that 
removing the obsolete references that no longer have any impact on 
trading would add greater clarity to its rules and promote market 
transparency and efficiency. The rule filing history for Exchange rules 
that is maintained on the Exchange's Web site will reflect the prior 
rule filing history of the deleted trading rule in order to further 
promote clarity and transparency.
    Specifically, the Exchange proposes within the ``Rule 1 
Definitions'' section of the rule book:
     Deleting the introductory language that explained the use 
of the ``P'' modifier;
     Deleting the obsolete definition ``NYSE Arca Book'', that 
now has been superseded by the equivalent Pillar definition, and 
deleting the ``P'' modifier in the remaining Pillar definition;
     Deleting the definition ``Imbalance'' that was linked to 
former Rule 7.35;
     Deleting the definition ``Indicative Match Price'' that 
also was linked to former Rule 7.35;
     Deleting the definition ``NOW Recipient'', that now has 
been superseded by the equivalent Pillar definition of ``Away Market'', 
and deleting the ``P'' modifier in the remaining Pillar definition; and
     Deleting the ``P'' modifier in the definition ``Official 
Closing Price''.
    Specifically, the Exchange proposes within the ``Rule 7 Equities 
Trading'' section of the rule book:
     Deleting the preamble following Rule 7 that explains the 
use of the ``P'' modifier;
     Deleting obsolete Rule 7.10 ``Clearly Erroneous 
Executions'' that has been superseded by the equivalent Pillar Rule 
7.10P of the same caption, deleting the ``P'' modifiers in the 
remaining rule;
     Deleting obsolete Rule 7.11 ``Limit Up-Limit Down Plan and 
Trading Pauses in Individual Securities Due to Extraordinary Market 
Volatility'' that has been superseded by the equivalent Pillar Rule 
7.11P of the same caption, deleting the ``P'' modifiers in the 
remaining rule;
     Deleting obsolete Rule 7.16 ``Short Sales'' that has been 
superseded by the equivalent Pillar Rule 7.16P of the same caption, 
deleting the ``P'' modifier in the remaining rule;
     Deleting obsolete Rule 7.18 ``UTP Regulatory Halts'' that 
has been superseded by the equivalent Pillar Rule 7.18P ``Halts'', 
deleting the ``P'' modifier in the remaining rule;
     Deleting obsolete Rule 7.31 ``Orders and Modifiers'' that 
has been superseded by the equivalent Pillar Rule 7.31P of the same 
caption, deleting the ``P'' modifiers in the remaining rule;
     Deleting obsolete Rule 7.34 ``Trading Sessions'' that has 
been replaced by the equivalent Pillar Rule 7.34P of the same caption, 
deleting the ``P'' modifiers in the remaining rule;
     Deleting obsolete Rule 7.35 ``Auctions'' that has been 
superseded by the equivalent Pillar Rule 7.35P of the same caption, 
deleting the ``P'' modifiers in the remaining rule;
     Deleting obsolete Rule 7.36 ``Order Ranking and Display'' 
that has been superseded by the equivalent Pillar Rule 7.36P of the 
same caption, deleting the ``P'' modifiers in the remaining rule;
     Deleting obsolete Rule 7.37 ``Order Execution'' that has 
been superseded by the equivalent Pillar Rule 7.37P ``Order Execution 
and Routing'', deleting the ``P'' modifiers in the remaining rule;
     Deleting obsolete Rule 7.38 ``Odd and Mixed Lots'' that 
has been superseded by the equivalent Pillar Rule 7.38P of the same 
caption, deleting the ``P'' modifiers in the remaining rule; and
     Deleting obsolete Rule 7.44 ``Retail Liquidity Program'' 
that has been superseded by the equivalent Pillar Rule 7.44P of the 
same caption, deleting the ``P'' modifiers in the remaining rule.
2. Statutory Basis
    The proposed rule changes are consistent with Section 6(b) of the 
Act,\8\ in general, and further the objectives of Section 6(b)(5) of 
the Act,\9\ in particular, in that they are designed to prevent 
fraudulent and manipulative acts and

[[Page 71561]]

practices, to promote just and equitable principles of trade, to foster 
cooperation and coordination with persons engaged in facilitating 
transactions in securities, and 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.
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78f(b).
    \9\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    In particular, the Exchange believes that amending its rules to 
remove definitions and trading rules that are no longer operative after 
the completed full migration of all symbols to the Pillar trading 
system would promote the protection of investors and the public 
interest because it would promote clarity and transparency in Exchange 
rules governing what rules govern trading on the Exchange. The Exchange 
further believes that deleting superseded rules that were applicable 
only to the prior trading system, and deleting the ``P'' modifier that 
distinguished the Pillar trading rules from the now obsolete rules 
during this transitional period to a single trading platform and a 
single set of rules governing trading, would remove impediments to and 
perfect the mechanism of a national market system because these 
proposed changes would add greater clarity to the Exchange's rules and 
promote market transparency and efficiency.

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

    The Exchange does not believe that the proposed rule change would 
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 competitive issues but rather is designed to 
ensure a fair and orderly market by removing definitions and trading 
rules that are no longer operative after the completed full migration 
of all symbols to the Pillar trading system. As such, the proposed rule 
changes are intended to promote greater efficiency and transparency 
concerning trading on the Exchange.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    No written comments were solicited or received with respect to the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the 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 \10\ and Rule 19b-4(f)(6) thereunder.\11\
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    \10\ 15 U.S.C. 78s(b)(3)(A).
    \11\ 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 \12\ normally does not become operative for 30 days after the date 
of its filing. However, Rule 19b-4(f)(6)(iii) \13\ 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 so that 
the proposal may become operative immediately upon filing. The Exchange 
stated that waiver of the operative delay is consistent with the 
protection of investors and the public interest because it has 
completed its transition to a single trading platform and such waiver 
would permit the Exchange to immediately provide enhanced transparency 
in Exchange rules regarding equities trading. The Commission believes 
the waiver of the operative delay is consistent with the protection of 
investors and the public interest. Therefore, the Commission hereby 
waives the operative delay and designates the proposal operative upon 
filing.\14\
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    \12\ 17 CFR 240.19b-4(f)(6).
    \13\ 17 CFR 240.19b-4(f)(6)(iii).
    \14\ For purposes only of waiving the 30-day operative delay, 
the Commission has also 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 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-NYSEArca-2016-135 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-NYSEArca-2016-135. 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-2016-135, and 
should be submitted on or before November 7, 2016.
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    \15\ 17 CFR 200.30-3(a)(12).


[[Page 71562]]


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    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-24981 Filed 10-14-16; 8:45 am]
 BILLING CODE 8011-01-P

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