Self-Regulatory Organizations; The Options Clearing Corporation; Order Approving Proposed Rule Change To Allow for an Expansion of OCC's Internal Cross-Margining Program To Include the Ability of a Pair of Affiliated Clearing Members To Establish an Internal Non-Proprietary Cross-Margining Account, 37162-37163 [2011-15850]
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srobinson on DSK4SPTVN1PROD with NOTICES
37162
Federal Register / Vol. 76, No. 122 / Friday, June 24, 2011 / Notices
Twenty-five respondents file an
average total of 1,405 responses per
year. Each response takes approximately
38.057 hours to complete. The total
annual reporting burden for filing
proposed rule changes is 53,470 hours.
The respondents are required to post all
proposed rule changes to their Web
sites, each of which takes approximately
four hours to complete. For 1,405
proposed rule changes, the total annual
reporting burden for posting them to
respondents’ Web sites is 5,620 hours.
The respondents are required to update
the postings of those proposed rule
changes which become effective (on
average, 1,071 per year), each of which
takes approximately four hours to
complete. The total annual reporting
burden for updating proposed rule
change postings on the respondents’
Web sites is 4,284 hours. Thus, the total
estimated annual response burden
pursuant to Rule 19b–4 and Form
19b–4 is the sum of the total annual
reporting burdens for filing proposed
rule changes, posting them to the
respondents’ Web sites, and updating
the postings of those that become
effective on the respondents, which is
63,374 hours.
Compliance with Rule 19b–4 is
mandatory. Information received in
response to Rule 19b–4 shall not be kept
confidential; the information collected
is public information. An agency may
not conduct or sponsor, and a person is
not required to respond to, a collection
of information unless it displays a
currently valid control number.
The public may view the background
documentation for this information
collection at the following Web site,
https://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
e-mail to:
Shagufta_Ahmed@omb.eop.gov; and (ii)
Thomas Bayer, Director/Chief
Information Officer, Securities and
Exchange Commission, c/o Remi PavlikSimon, 6432 General Green Way,
Alexandria, VA 22312 or send an e-mail
to: PRA_Mailbox@sec.gov. Comments
must be submitted to OMB within 30
days of this notice.
June 21, 2011.
Cathy H. Ahn,
Deputy Secretary.
[FR Doc. 2011–15806 Filed 6–23–11; 8:45 am]
BILLING CODE 8011–01–P
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19:06 Jun 23, 2011
Jkt 223001
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–64712; File No. SR–OCC–
2011–03]
Self-Regulatory Organizations; The
Options Clearing Corporation; Order
Approving Proposed Rule Change To
Allow for an Expansion of OCC’s
Internal Cross-Margining Program To
Include the Ability of a Pair of Affiliated
Clearing Members To Establish an
Internal Non-Proprietary CrossMargining Account
June 21, 2011.
I. Introduction
On March 17, 2011, The Options
Clearing Corporation (‘‘OCC’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change SR–OCC–2011–03
pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’).1 The proposed rule change was
published for comment in the Federal
Register on April 7, 2011.2 The
Commission received three comment
letters on the proposal, including OCC’s
letter responding to one of the
commenters.3 This order approves the
proposal.
II. Description of the Proposal
The purpose of this rule change is to
expand OCC’s internal cross-margining
program to permit a pair of affiliated
clearing members to establish a crossmargining account (‘‘Internal NonProprietary Cross-Margining Account’’)
in which securities and security futures
that are cleared by OCC in its capacity
as a securities clearing agency may be
cross-margined with commodity futures
and options on such futures that are
cleared by OCC in its capacity as a
derivatives clearing organization
(‘‘DCO’’) registered with the Commodity
Futures Trading Commission (‘‘CFTC’’)
under the Commodity Exchange Act
(‘‘CEA’’).
In 2004, the CFTC and the
Commission 4 approved OCC’s proposal
to create an ‘‘internal cross-margining’’
program under which an OCC clearing
member could elect to cross-margin a
non-proprietary futures account of a
1 15
U.S.C. 78s(b)(1).
Exchange Act Release No. 34–63811
(February 1, 2011), 76 FR 6648 (February 7, 2011).
3 Letter from Gene Thomas (Retired), (April 24,
2011); letter from Andrew S. Margolin, Associate
General Counsel, Bank of America Corporation, to
Elizabeth M. Murphy, Secretary, Commission (April
21, 2010); and letter from Stephen M. Szamarck,
V.P. Associate General Counsel, OCC, to Elizabeth
M. Murphy, Secretary, Commission (May 23, 2011).
4 Securities Exchange Act Release No. 34–50509
(October 8, 2004), 69 FR 61289 (October 15, 2004).
2 Securities
PO 00000
Frm 00110
Fmt 4703
Sfmt 4703
‘‘market professional’’ 5 with a nonproprietary securities account
containing positions of the same market
professional. At OCC, the securities and
futures positions of all market
professionals with cross-margined
accounts at the clearing member are
combined in a single Internal NonProprietary Cross-Margining Account of
the clearing member at OCC. The
existing program, which has operated
successfully since 2004, requires that
the same clearing member clear the
securities and futures positions. In
contrast, the existing cross-margining
programs between OCC and other DCOs,
such as the clearing division of the
Chicago Mercantile Exchange (‘‘CME’’)
and ICE Clear U.S., permit crossmargining where the member of the
futures clearing organization is a
different entity from its affiliate that is
an OCC clearing member. The purpose
of this proposed rule change is to
expand the existing internal crossmargining program in an analogous way
so that it would permit an Internal NonProprietary Cross-Margining Account to
be maintained at OCC jointly by a pair
of affiliated clearing members that clear
transactions in securities options and in
futures products through two different
entities. In order to participate, both
OCC clearing members would have to be
affiliates of one another and would have
to be registered as both a futures
commission merchant under the CEA
and as a broker-dealer under the Act.
OCC’s current internal crossmargining program does not provide for
internal cross-margining accounts to be
carried jointly by a pair of affiliated
clearing members because OCC did not
believe in 2004 that there was any
clearing member demand for such a
service. Recently, however, OCC has
learned that there is demand for such a
service. Under OCC’s current proposal,
two affiliated clearing members will
jointly maintain an Internal NonProprietary Cross-Margining Account.
The clearing member that normally
clears transactions in securities options
would submit transactions in eligible
securities options to the account for
clearance, and the clearing member that
normally clears transactions in futures
5 As set forth in OCC’s By-Laws, a market
professional could be a market-maker, specialist or
person acting in a similar capacity on a securities
exchange, or a member of a futures exchange
trading for its own account. A non-proprietary
market professional is any market professional that
is required to be treated as a ‘‘customer’’ under the
CEA, and therefore excludes any market
professional that is affiliated with the carrying
clearing member in a way that would cause its
account to be treated as a ‘‘proprietary account’’
under Section 1.3(y) of the CFTC’s regulations. OCC
By-Laws, Article I, Definitions.
E:\FR\FM\24JNN1.SGM
24JNN1
Federal Register / Vol. 76, No. 122 / Friday, June 24, 2011 / Notices
products would submit transactions in
eligible futures products to the account
for clearance.
OCC is amending its current By-Laws
and Rules governing internal crossmargining to create rules similar to the
rules of the long-standing crossmargining program between OCC and
CME, for example, for affiliated clearing
members. In the case of the crossmargining programs between OCC and
other DCOs, there are two accounts at
the clearing level—one at each of the
participating clearing organizations. In
the internal cross-margining program,
there is no need for two separate
accounts, which would in any event be
margined together and for which the
affiliated clearing members would in
any event be jointly and severally liable
as they are for the two accounts in the
case of the OCC–CME program.
Article VI, Section 25(b) of OCC’s ByLaws currently requires clearing
members to obtain a ‘‘Market
Professional’s Agreement for Internal
Cross-Margining’’ from each market
professional whose positions are
included in an Internal Non-Proprietary
Cross-Margining Account. OCC will use
a modified form of this agreement for
the account held jointly by a pair of
affiliated clearing members.6 OCC does
not intend to require current
participants in the internal crossmargining program to obtain reexecuted
agreements in updated form because the
modifications are clarifications only and
not substantive changes.
As in the case of the existing internal
cross-margining program, the Internal
Non-Proprietary Cross-Margining
Account would be treated as a
segregated futures account under
Section 4d of the CEA and, in
accordance with Appendix B to Part 190
of the CFTC’s regulations, would be
separately segregated from the regular
segregated futures account that an OCC
clearing member may maintain under
Article VI, Section 3(f) of OCC’s ByLaws. In order to expand the internal
cross-margining program to include
accounts carried by pairs of affiliated
srobinson on DSK4SPTVN1PROD with NOTICES
6 The
proposed form of the agreement, titled
‘‘Market Professional’s Agreement for Internal
Cross-Margining (Affiliated Clearing Members)’’ is
attached as Exhibit 5A to the proposed rule change
filing. The existing ‘‘Market Professional’s
Agreement for Internal Cross-Margining’’ applicable
to the internal cross-margining program for single
clearing members has been renamed ‘‘Market
Professional’s Agreement for Internal CrossMargining (Single Clearing Member)’’ and is
attached as Exhibit 5B to the proposed rule change
filing. In addition to modifying the title to the form
of the agreement applicable to single clearing
members, a sentence has been added at the end of
paragraph seven of that agreement to conform it to
the corresponding provision in the form of the
agreement for affiliated clearing members.
VerDate Mar<15>2010
19:06 Jun 23, 2011
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clearing members, OCC has requested
that the CFTC either issue a new or
amended order under Section 4d of the
CEA.7
III. Comment Letters
The Commission received one
comment letter opposing the proposed
rule change 8 and one comment letter in
favor of the proposed rule change.9 OCC
responded to the letter in opposition to
the proposal.10 The commenter
opposing OCC’s proposal stated that
there was ‘‘no universal advantage to
commingled monies or other valued
properties’’ and that he ‘‘visualize[d] the
possibility of from [sic] frequent
disagreements between the Dual
Registrants and OCC.’’ In its response,
OCC disagreed and stated that crossmargining programs ‘‘are consistent
with clearing agency responsibilities
under Section 17A of the Securities
Exchange Act of 1934 and are highly
beneficial to the clearing organizations,
its clearing members and the public.’’11
OCC also stated in its response that the
internal cross-margining program is
limited to OCC clearing members and
that participation in the program is
completely voluntary. OCC response
also indicated that it was not aware of
any disagreements between dual
registrants and OCC over the many years
that the various cross-margining
agreements have been in operation.
The commenter in support of OCC’s
proposed rule change stated he
supported the proposal because it
‘‘would harmonize the manner in which
OCC conducts its internal crossmargining program with the manner in
which existing cross-margining
programs between OCC and other
derivatives clearing organizations (e.g.,
the Chicago Mercantile Exchange) are
conducted.’’ 12
IV. Discussion
Act 13
Section 17A(b)(3)(F) of the
requires, among other things, that the
rules of a clearing agency be designed to
remove impediments to and perfect the
mechanism of a national system for the
prompt and accurate clearance and
settlement of securities transactions.
Since it granted approval of the first
7 OCC
will not implement the internal crossmargining program for affiliated clearing members
until after such time that the CFTC has issued an
order or amended order under Section 4d of the
CEA as discussed above.
8 Letter from Gene Thomas, supra note 3.
9 Letter from Andrew Margolin, supra note 3.
10 Letter from OCC, supra note 3.
11 Id at 1.
12 See BofA Letter at 2.
13 15 U.S.C. 78q–1(b)(3)(F).
PO 00000
Frm 00111
Fmt 4703
Sfmt 4703
37163
cross-margining program in 1988,14 the
Commission has found that crossmargining programs are consistent with
clearing agency responsibilities under
Section 17A of the Act 15 and highly
beneficial to the clearing organization,
its clearing members, and the public.
The Commission has found that crossmargining programs enhance clearing
member and systemic liquidity both in
times of normal market conditions and
in times of stress. They result in lower
initial margin deposits, which can
reduce the risk that a clearing member
will become insolvent in a distressed
market and the risk of a ripple effect of
multiple insolvencies caused by the
demise of a major market participant.16
V. Conclusion
On the basis of the foregoing, the
Commission finds that the proposal is
consistent with the requirements of the
Act and in particular with the
requirements of Section 17A of the
Act 17 and the rules and regulations
thereunder.
It Is Therefore Ordered, pursuant to
Section 19(b)(2) of the Act,18 that the
proposed rule change (File No. SR–
OCC–2011–03) be, and hereby is,
approved.19
For the Commission by the Division of
Trading and Markets, pursuant to delegated
authority.20
Cathy H. Ahn,
Deputy Secretary.
[FR Doc. 2011–15850 Filed 6–23–11; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–64705; File No. SR–Phlx–
2011–83]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NASDAQ
OMX PHLX LLC Relating to a Remote
Specialist Fee
June 20, 2011.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
14 Securities Exchange Act Release No. 34–26153
(October 3, 1988), 53 FR 39567 (October 7, 1988).
15 15 U.S.C. 78q–1.
16 Securities Exchange Act Release No. 34–32708
(August 2, 1993), 58 FR 42586 (August 10, 1993).
17 15 U.S.C. 78q–1.
18 15 U.S.C. 78s(b)(2).
19 In approving the proposed rule change, the
Commission considered the proposal’s impact on
efficiency, competition and capital formation. 15
U.S.C. 78c(f).
20 17 CFR 200.30–3(a)(12).
E:\FR\FM\24JNN1.SGM
24JNN1
Agencies
[Federal Register Volume 76, Number 122 (Friday, June 24, 2011)]
[Notices]
[Pages 37162-37163]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-15850]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-64712; File No. SR-OCC-2011-03]
Self-Regulatory Organizations; The Options Clearing Corporation;
Order Approving Proposed Rule Change To Allow for an Expansion of OCC's
Internal Cross-Margining Program To Include the Ability of a Pair of
Affiliated Clearing Members To Establish an Internal Non-Proprietary
Cross-Margining Account
June 21, 2011.
I. Introduction
On March 17, 2011, The Options Clearing Corporation (``OCC'') filed
with the Securities and Exchange Commission (``Commission'') the
proposed rule change SR-OCC-2011-03 pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (``Act'').\1\ The proposed rule change
was published for comment in the Federal Register on April 7, 2011.\2\
The Commission received three comment letters on the proposal,
including OCC's letter responding to one of the commenters.\3\ This
order approves the proposal.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ Securities Exchange Act Release No. 34-63811 (February 1,
2011), 76 FR 6648 (February 7, 2011).
\3\ Letter from Gene Thomas (Retired), (April 24, 2011); letter
from Andrew S. Margolin, Associate General Counsel, Bank of America
Corporation, to Elizabeth M. Murphy, Secretary, Commission (April
21, 2010); and letter from Stephen M. Szamarck, V.P. Associate
General Counsel, OCC, to Elizabeth M. Murphy, Secretary, Commission
(May 23, 2011).
---------------------------------------------------------------------------
II. Description of the Proposal
The purpose of this rule change is to expand OCC's internal cross-
margining program to permit a pair of affiliated clearing members to
establish a cross-margining account (``Internal Non-Proprietary Cross-
Margining Account'') in which securities and security futures that are
cleared by OCC in its capacity as a securities clearing agency may be
cross-margined with commodity futures and options on such futures that
are cleared by OCC in its capacity as a derivatives clearing
organization (``DCO'') registered with the Commodity Futures Trading
Commission (``CFTC'') under the Commodity Exchange Act (``CEA'').
In 2004, the CFTC and the Commission \4\ approved OCC's proposal to
create an ``internal cross-margining'' program under which an OCC
clearing member could elect to cross-margin a non-proprietary futures
account of a ``market professional'' \5\ with a non-proprietary
securities account containing positions of the same market
professional. At OCC, the securities and futures positions of all
market professionals with cross-margined accounts at the clearing
member are combined in a single Internal Non-Proprietary Cross-
Margining Account of the clearing member at OCC. The existing program,
which has operated successfully since 2004, requires that the same
clearing member clear the securities and futures positions. In
contrast, the existing cross-margining programs between OCC and other
DCOs, such as the clearing division of the Chicago Mercantile Exchange
(``CME'') and ICE Clear U.S., permit cross-margining where the member
of the futures clearing organization is a different entity from its
affiliate that is an OCC clearing member. The purpose of this proposed
rule change is to expand the existing internal cross-margining program
in an analogous way so that it would permit an Internal Non-Proprietary
Cross-Margining Account to be maintained at OCC jointly by a pair of
affiliated clearing members that clear transactions in securities
options and in futures products through two different entities. In
order to participate, both OCC clearing members would have to be
affiliates of one another and would have to be registered as both a
futures commission merchant under the CEA and as a broker-dealer under
the Act.
---------------------------------------------------------------------------
\4\ Securities Exchange Act Release No. 34-50509 (October 8,
2004), 69 FR 61289 (October 15, 2004).
\5\ As set forth in OCC's By-Laws, a market professional could
be a market-maker, specialist or person acting in a similar capacity
on a securities exchange, or a member of a futures exchange trading
for its own account. A non-proprietary market professional is any
market professional that is required to be treated as a ``customer''
under the CEA, and therefore excludes any market professional that
is affiliated with the carrying clearing member in a way that would
cause its account to be treated as a ``proprietary account'' under
Section 1.3(y) of the CFTC's regulations. OCC By-Laws, Article I,
Definitions.
---------------------------------------------------------------------------
OCC's current internal cross-margining program does not provide for
internal cross-margining accounts to be carried jointly by a pair of
affiliated clearing members because OCC did not believe in 2004 that
there was any clearing member demand for such a service. Recently,
however, OCC has learned that there is demand for such a service. Under
OCC's current proposal, two affiliated clearing members will jointly
maintain an Internal Non-Proprietary Cross-Margining Account. The
clearing member that normally clears transactions in securities options
would submit transactions in eligible securities options to the account
for clearance, and the clearing member that normally clears
transactions in futures
[[Page 37163]]
products would submit transactions in eligible futures products to the
account for clearance.
OCC is amending its current By-Laws and Rules governing internal
cross-margining to create rules similar to the rules of the long-
standing cross-margining program between OCC and CME, for example, for
affiliated clearing members. In the case of the cross-margining
programs between OCC and other DCOs, there are two accounts at the
clearing level--one at each of the participating clearing
organizations. In the internal cross-margining program, there is no
need for two separate accounts, which would in any event be margined
together and for which the affiliated clearing members would in any
event be jointly and severally liable as they are for the two accounts
in the case of the OCC-CME program.
Article VI, Section 25(b) of OCC's By-Laws currently requires
clearing members to obtain a ``Market Professional's Agreement for
Internal Cross-Margining'' from each market professional whose
positions are included in an Internal Non-Proprietary Cross-Margining
Account. OCC will use a modified form of this agreement for the account
held jointly by a pair of affiliated clearing members.\6\ OCC does not
intend to require current participants in the internal cross-margining
program to obtain reexecuted agreements in updated form because the
modifications are clarifications only and not substantive changes.
---------------------------------------------------------------------------
\6\ The proposed form of the agreement, titled ``Market
Professional's Agreement for Internal Cross-Margining (Affiliated
Clearing Members)'' is attached as Exhibit 5A to the proposed rule
change filing. The existing ``Market Professional's Agreement for
Internal Cross-Margining'' applicable to the internal cross-
margining program for single clearing members has been renamed
``Market Professional's Agreement for Internal Cross-Margining
(Single Clearing Member)'' and is attached as Exhibit 5B to the
proposed rule change filing. In addition to modifying the title to
the form of the agreement applicable to single clearing members, a
sentence has been added at the end of paragraph seven of that
agreement to conform it to the corresponding provision in the form
of the agreement for affiliated clearing members.
---------------------------------------------------------------------------
As in the case of the existing internal cross-margining program,
the Internal Non-Proprietary Cross-Margining Account would be treated
as a segregated futures account under Section 4d of the CEA and, in
accordance with Appendix B to Part 190 of the CFTC's regulations, would
be separately segregated from the regular segregated futures account
that an OCC clearing member may maintain under Article VI, Section 3(f)
of OCC's By-Laws. In order to expand the internal cross-margining
program to include accounts carried by pairs of affiliated clearing
members, OCC has requested that the CFTC either issue a new or amended
order under Section 4d of the CEA.\7\
---------------------------------------------------------------------------
\7\ OCC will not implement the internal cross-margining program
for affiliated clearing members until after such time that the CFTC
has issued an order or amended order under Section 4d of the CEA as
discussed above.
---------------------------------------------------------------------------
III. Comment Letters
The Commission received one comment letter opposing the proposed
rule change \8\ and one comment letter in favor of the proposed rule
change.\9\ OCC responded to the letter in opposition to the
proposal.\10\ The commenter opposing OCC's proposal stated that there
was ``no universal advantage to commingled monies or other valued
properties'' and that he ``visualize[d] the possibility of from [sic]
frequent disagreements between the Dual Registrants and OCC.'' In its
response, OCC disagreed and stated that cross-margining programs ``are
consistent with clearing agency responsibilities under Section 17A of
the Securities Exchange Act of 1934 and are highly beneficial to the
clearing organizations, its clearing members and the public.''\11\ OCC
also stated in its response that the internal cross-margining program
is limited to OCC clearing members and that participation in the
program is completely voluntary. OCC response also indicated that it
was not aware of any disagreements between dual registrants and OCC
over the many years that the various cross-margining agreements have
been in operation.
---------------------------------------------------------------------------
\8\ Letter from Gene Thomas, supra note 3.
\9\ Letter from Andrew Margolin, supra note 3.
\10\ Letter from OCC, supra note 3.
\11\ Id at 1.
---------------------------------------------------------------------------
The commenter in support of OCC's proposed rule change stated he
supported the proposal because it ``would harmonize the manner in which
OCC conducts its internal cross-margining program with the manner in
which existing cross-margining programs between OCC and other
derivatives clearing organizations (e.g., the Chicago Mercantile
Exchange) are conducted.'' \12\
---------------------------------------------------------------------------
\12\ See BofA Letter at 2.
---------------------------------------------------------------------------
IV. Discussion
Section 17A(b)(3)(F) of the Act \13\ requires, among other things,
that the rules of a clearing agency be designed to remove impediments
to and perfect the mechanism of a national system for the prompt and
accurate clearance and settlement of securities transactions. Since it
granted approval of the first cross-margining program in 1988,\14\ the
Commission has found that cross-margining programs are consistent with
clearing agency responsibilities under Section 17A of the Act \15\ and
highly beneficial to the clearing organization, its clearing members,
and the public. The Commission has found that cross-margining programs
enhance clearing member and systemic liquidity both in times of normal
market conditions and in times of stress. They result in lower initial
margin deposits, which can reduce the risk that a clearing member will
become insolvent in a distressed market and the risk of a ripple effect
of multiple insolvencies caused by the demise of a major market
participant.\16\
---------------------------------------------------------------------------
\13\ 15 U.S.C. 78q-1(b)(3)(F).
\14\ Securities Exchange Act Release No. 34-26153 (October 3,
1988), 53 FR 39567 (October 7, 1988).
\15\ 15 U.S.C. 78q-1.
\16\ Securities Exchange Act Release No. 34-32708 (August 2,
1993), 58 FR 42586 (August 10, 1993).
---------------------------------------------------------------------------
V. Conclusion
On the basis of the foregoing, the Commission finds that the
proposal is consistent with the requirements of the Act and in
particular with the requirements of Section 17A of the Act \17\ and the
rules and regulations thereunder.
---------------------------------------------------------------------------
\17\ 15 U.S.C. 78q-1.
---------------------------------------------------------------------------
It Is Therefore Ordered, pursuant to Section 19(b)(2) of the
Act,\18\ that the proposed rule change (File No. SR-OCC-2011-03) be,
and hereby is, approved.\19\
---------------------------------------------------------------------------
\18\ 15 U.S.C. 78s(b)(2).
\19\ In approving the proposed rule change, the Commission
considered the proposal's impact on efficiency, competition and
capital formation. 15 U.S.C. 78c(f).
For the Commission by the Division of Trading and Markets,
pursuant to delegated authority.\20\
---------------------------------------------------------------------------
\20\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Cathy H. Ahn,
Deputy Secretary.
[FR Doc. 2011-15850 Filed 6-23-11; 8:45 am]
BILLING CODE 8011-01-P