Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Permit Concurrent Listing of $2.50 and $1 Strikes on MNX Options, 1444-1445 [2010-189]
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1444
Federal Register / Vol. 75, No. 6 / Monday, January 11, 2010 / Notices
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were either
solicited or received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not: (i) Significantly affect
the protection of investors or the public
interest; (ii) impose any significant
burden on competition; or (iii) become
operative for 30 days after the date of
the filing, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, it has
become effective pursuant to Section
19(b)(3)(A) of the Act 15 and Rule 19b–
4(f)(6) thereunder.16
The Exchange has requested that the
Commission waive the 30-day operative
delay. The Commission hereby grants
that request.17 The Commission believes
that waiver of the operative delay is
consistent with the protection of
investors and the public interest
because it recently approved a proposal
from CBOE which is nearly identical to
the current proposal and on which no
comments were received.18 Therefore,
the proposal is operative upon filing.
At any time within 60 days of the
filing of the proposed rule change, the
Commission may summarily abrogate
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.
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:
srobinson on DSKHWCL6B1PROD with NOTICES
15 15
U.S.C. 78s(b)(3)(A).
16 17 CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6) requires a self-regulatory organization to give
the Commission written notice of its intent to file
the proposed rule change, along with a brief
description and 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. The Exchange
has satisfied this requirement.
17 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).
18 See Exchange Act Release No. 60978
(November 10, 2009), 74 FR 59296 (November 17,
2009) (approving SR–CBOE–2009–68).
VerDate Nov<24>2008
16:06 Jan 08, 2010
Jkt 220001
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
No. SR–Phlx–2009–108 on the subject
line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File No.
SR–Phlx–2009–108. This file number
should be included on the subject line
if e-mail 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 inspection and copying in
the Commission’s Public Reference
Room, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
Copies of such filing also will be
available for inspection and copying at
the principal office of Phlx. 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 No.
SR–Phlx–2009–108 and should be
submitted on or before February 1, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.19
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–193 Filed 1–8–10; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–61270; File No. SR–CBOE–
2009–099]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Permit Concurrent
Listing of $2.50 and $1 Strikes on MNX
Options
December 31, 2009.
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 December
23, 2009, the Chicago Board Options
Exchange, Incorporated (‘‘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 Exchange has
designated this proposal as one
constituting a stated policy, practice, or
interpretation with respect to the
meaning, administration, or
enforcement of an existing rule under
Section 19(b)(3)(A)(i) of the Act, and
Rule 19b–4(f)(1) thereunder, which
renders the proposal effective upon
filing with the Commission.3 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
CBOE proposes to clarify that the
Exchange may concurrently list $2.50
and $1 strikes on Mini-Nasdaq-100
Index (‘‘MNX’’) options, and that certain
listing parameters only apply to $1
strikes on MNX options. The text of the
rule proposal is available on the
Exchange’s Web site (https://
www.cboe.org/legal), at the Exchange’s
Office of the Secretary, 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
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 17 CFR 240.19b–4(f)(1).
2 17
19 17
PO 00000
CFR 200.30–3(a)(12).
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Federal Register / Vol. 75, No. 6 / Monday, January 11, 2010 / Notices
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.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
srobinson on DSKHWCL6B1PROD with NOTICES
1. Purpose
The purpose of the proposed rule
change is to clarify that the Exchange
may concurrently list $2.50 and $1
strikes on Mini-Nasdaq-100 Index
(‘‘MNX’’) options, and that certain listing
parameters only apply to $1 strikes on
MNX options. The Exchange believes
that the availability of $2.50 and $1
strike price intervals in MNX option
series will provide investors with
greater flexibility by allowing them to
establish positions that are better
tailored to meet their investment
objectives.
Since November 2008, the Exchange
has had the ability to list $1 strikes on
MNX options.4 In connection with the
proposal to permit $1 strikes for MNX
options, the Exchange established
parameters subject to which $1 strikes
may be added and delisted. For
example, the number of initial series
that the Exchange may add is limited to
11 series.5 Also, the total number of
additional series that may be added for
$1 strikes is sixty (60) per expiration
month for each series in MNX options.6
Similar parameters do not exist with
regard to the listing of $2.50 strikes, and
the Exchange now seeks to clarify that
the parameters adopted with the
proposal to permit $1 strikes for MNX
options do not apply to the listing of
$2.50 strikes for MNX options.7 In
addition, the Exchange is proposing to
codify a bracketing provision that
prohibits the Exchange from listing
strike prices with $1 intervals within
$0.50 of an existing strike price in the
same series. This bracketing provision is
identical to an existing provision in
effect for the $1 Strike Program, which
permits the concurrent listing of $2.50
and $1 strikes.
2. Statutory Basis
The Exchange believes this rule
proposal is consistent with the Act and
the rules and regulations under the Act
applicable to a national securities
4 See Securities Exchange Act Release No. 58924
(November 10, 2008), 73 FR 68464 (November 18,
2008) (SR–CBOE–2008–96) (order approving rule
change to permit $1 strikes for MNX options).
5 See Interpretation and Policy .01(j)(i).
6 See Interpretation and Policy .01(j)(ii) to Rule
24.9.
7 See Interpretation and Policy .01(a) to Rule 24.9.
VerDate Nov<24>2008
16:06 Jan 08, 2010
Jkt 220001
exchange and, in particular, the
requirements of Section 6(b) of the Act.8
Specifically, the Exchange believes that
the proposed rule change is consistent
with the Section 6(b)(5) Act 9
requirements that the rules of an
exchange be designed to promote just
and equitable principles of trade, to
prevent fraudulent and manipulative
acts and, in general, to protect investors
and the public interest by allowing the
Exchange to list MNX options at $2.50
and $1 strike price intervals.
1445
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–CBOE–2009–099 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–CBOE–2009–099. This file
B. Self-Regulatory Organization’s
number should be included on the
Statement on Burden on Competition
subject line if e-mail is used. To help the
CBOE does not believe that the
Commission process and review your
proposed rule change will impose any
burden on competition not necessary or comments more efficiently, please use
only one method. The Commission will
appropriate in furtherance of the
post all comments on the Commission’s
purposes of the Act.
Internet Web site (https://www.sec.gov/
C. Self-Regulatory Organization’s
rules/sro.shtml). Copies of the
Statement on Comments on the
submission, all subsequent
Proposed Rule Change Received From
amendments, all written statements
Members, Participants, or Others
with respect to the proposed rule
No written comments were solicited
change that are filed with the
or received with respect to the proposed Commission, and all written
rule change.
communications relating to the
proposed rule change between the
III. Date of Effectiveness of the
Commission and any person, other than
Proposed Rule Change and Timing for
those that may be withheld from the
Commission Action
public in accordance with the
The foregoing proposed rule change
provisions of 5 U.S.C. 552, will be
will take effect upon filing with the
available for inspection and copying in
Commission pursuant to Section
19(b)(3)(A)(i) of the Act 10 and Rule 19b– the Commission’s Public Reference
Room, 100 F Street, NE., Washington,
4(f)(1) thereunder,11 because it
DC 20549, on official business days
constitutes a stated policy, practice, or
interpretation with respect to the
between the hours of 10 a.m. and 3 p.m.
meaning, administration, or
Copies of the filing also will be available
enforcement of an existing rule.
for inspection and copying at the
At any time within 60 days of the
principal office of the Exchange. All
filing of the proposed rule change, the
comments received will be posted
Commission may summarily abrogate
without change; the Commission does
such rule change if it appears to the
not edit personal identifying
Commission that such action is
information from submissions. You
necessary or appropriate in the public
should submit only information that
interest, for the protection of investors,
you wish to make available publicly. All
or otherwise in furtherance of the
submissions should refer to File
purposes of the Act.
Number SR–CBOE–2009–099 and
IV. Solicitation of Comments
should be submitted on or before
February 1, 2010.
Interested persons are invited to
submit written data, views, and
For the Commission, by the Division of
arguments concerning the foregoing,
Trading and Markets, pursuant to delegated
including whether the proposed rule
authority.12
change is consistent with the Act.
Florence E. Harmon,
Comments may be submitted by any of
Deputy Secretary.
the following methods:
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
10 15 U.S.C. 78s(b)(3)(A)(i).
11 17 CFR 240.19b–4(f)(1).
[FR Doc. 2010–189 Filed 1–8–10; 8:45 am]
BILLING CODE 8011–01–P
8 15
9 15
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CFR 200.30–3(a)(12).
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]]>Agencies
[Federal Register Volume 75, Number 6 (Monday, January 11, 2010)]
[Notices]
[Pages 1444-1445]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-189]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-61270; File No. SR-CBOE-2009-099]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change To Permit Concurrent Listing of $2.50 and $1 Strikes on MNX
Options
December 31, 2009.
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 December 23, 2009, the Chicago Board Options Exchange,
Incorporated (``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 Exchange has designated this proposal as one
constituting a stated policy, practice, or interpretation with respect
to the meaning, administration, or enforcement of an existing rule
under Section 19(b)(3)(A)(i) of the Act, and Rule 19b-4(f)(1)
thereunder, which renders the proposal effective upon filing with the
Commission.\3\ The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
CBOE proposes to clarify that the Exchange may concurrently list
$2.50 and $1 strikes on Mini-Nasdaq-100 Index (``MNX'') options, and
that certain listing parameters only apply to $1 strikes on MNX
options. The text of the rule proposal is available on the Exchange's
Web site (https://www.cboe.org/legal), at the Exchange's Office of the
Secretary, 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
[[Page 1445]]
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.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to clarify that the
Exchange may concurrently list $2.50 and $1 strikes on Mini-Nasdaq-100
Index (``MNX'') options, and that certain listing parameters only apply
to $1 strikes on MNX options. The Exchange believes that the
availability of $2.50 and $1 strike price intervals in MNX option
series will provide investors with greater flexibility by allowing them
to establish positions that are better tailored to meet their
investment objectives.
Since November 2008, the Exchange has had the ability to list $1
strikes on MNX options.\4\ In connection with the proposal to permit $1
strikes for MNX options, the Exchange established parameters subject to
which $1 strikes may be added and delisted. For example, the number of
initial series that the Exchange may add is limited to 11 series.\5\
Also, the total number of additional series that may be added for $1
strikes is sixty (60) per expiration month for each series in MNX
options.\6\
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release No. 58924 (November 10,
2008), 73 FR 68464 (November 18, 2008) (SR-CBOE-2008-96) (order
approving rule change to permit $1 strikes for MNX options).
\5\ See Interpretation and Policy .01(j)(i).
\6\ See Interpretation and Policy .01(j)(ii) to Rule 24.9.
---------------------------------------------------------------------------
Similar parameters do not exist with regard to the listing of $2.50
strikes, and the Exchange now seeks to clarify that the parameters
adopted with the proposal to permit $1 strikes for MNX options do not
apply to the listing of $2.50 strikes for MNX options.\7\ In addition,
the Exchange is proposing to codify a bracketing provision that
prohibits the Exchange from listing strike prices with $1 intervals
within $0.50 of an existing strike price in the same series. This
bracketing provision is identical to an existing provision in effect
for the $1 Strike Program, which permits the concurrent listing of
$2.50 and $1 strikes.
---------------------------------------------------------------------------
\7\ See Interpretation and Policy .01(a) to Rule 24.9.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes this rule proposal is consistent with the Act
and the rules and regulations under the Act applicable to a national
securities exchange and, in particular, the requirements of Section
6(b) of the Act.\8\ Specifically, the Exchange believes that the
proposed rule change is consistent with the Section 6(b)(5) Act \9\
requirements that the rules of an exchange be designed to promote just
and equitable principles of trade, to prevent fraudulent and
manipulative acts and, in general, to protect investors and the public
interest by allowing the Exchange to list MNX options at $2.50 and $1
strike price intervals.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78f(b).
\9\ 15 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 not necessary or appropriate in furtherance of
the purposes of the Act.
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
The foregoing proposed rule change will take effect upon filing
with the Commission pursuant to Section 19(b)(3)(A)(i) of the Act \10\
and Rule 19b-4(f)(1) thereunder,\11\ because it constitutes a stated
policy, practice, or interpretation with respect to the meaning,
administration, or enforcement of an existing rule.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78s(b)(3)(A)(i).
\11\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
At any time within 60 days of the filing of the proposed rule
change, the Commission may summarily abrogate 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.
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 e-mail to rule-comments@sec.gov. Please include
File Number SR-CBOE-2009-099 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-CBOE-2009-099. This file
number should be included on the subject line if e-mail 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 inspection and
copying in the Commission's Public Reference Room, 100 F Street, NE.,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of the 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-2009-099 and should be
submitted on or before February 1, 2010.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
---------------------------------------------------------------------------
\12\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-189 Filed 1-8-10; 8:45 am]
BILLING CODE 8011-01-P
