Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Extend the Compliance Deadline for Registration and Qualification Pursuant to Rule 3.6A, 44972-44974 [2011-18927]
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44972
Federal Register / Vol. 76, No. 144 / Wednesday, July 27, 2011 / Notices
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),22 the
Commission may designate a shorter
time if such action is consistent with the
protection of investors and the public
interest. The Exchange has requested
that the Commission waive the 30-day
operative delay so that the proposal may
become operative immediately upon
filing. The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest,
because it will enable the Exchange to
immediately compete with other
exchanges that have already adopted the
higher position and exercise limit for
options on the SPY. Therefore, the
Commission designates the proposal
operative upon filing.23
At any time within 60 days of the
filing of such 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.
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 rulecomments@sec.gov. Please include File
Number SR–NYSEArca–2011–47 on the
subject line.
sroberts on DSK5SPTVN1PROD with NOTICES
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–NYSEArca–2011–47. This
file number should be included on the
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 filing of the proposed rule change, or
such shorter time as designated by the Commission.
The Commission notes that the Exchange has
satisfied this requirement.
22 17 CFR 240.19b–4(f)(6)(iii).
23 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
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17:08 Jul 26, 2011
Jkt 223001
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 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
a.m. and 3 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 No. SR–NYSEArca–
2011–47 and should be submitted on or
before August 17, 2011.
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items, I, II and III below, which Items
have been prepared by CBOE. 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,1 and
Rule 19b–4(f)(1) thereunder,2 which
renders the proposal effective upon
filing with the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.24
Elizabeth M. Murphy,
Secretary.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
CBOE included statements concerning
the purpose of and basis of the proposed
rule change and discussed any
comments it received on the proposed
rule change. The text of these statements
may be examined at the places specified
in Item IV below. CBOE has prepared
summaries, set forth in sections (A), (B),
and (C) below, of the most significant
aspects of such statements.
[FR Doc. 2011–18926 Filed 7–26–11; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–64946; File No. SR–CBOE–
2011–064]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Extend the
Compliance Deadline for Registration
and Qualification Pursuant to Rule
3.6A
July 21, 2011.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934, 15
U.S.C. 78s(b)(1), notice is hereby given
that on July 8, 2011, Chicago Board
Options Exchange, Incorporated
(‘‘CBOE’’ or the ‘‘Exchange’’) filed with
PO 00000
24 17
CFR 200.30–3(a)(12).
Frm 00085
Fmt 4703
Sfmt 4703
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Pursuant to the provisions of Section
19(b)(1) of the Securities Exchange Act
of 1934 (the ‘‘Act’’),3 the Exchange
proposes to extend the August 12, 2011
deadline to comply with its rules
regarding registration and qualification
of individual Trading Permit Holders
and individual associated persons.
CBOE is not proposing any textual
changes to the Rules of CBOE. The text
of the proposed rule change 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.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, Proposed Rule
Change
(a) Purpose
Pursuant to Rule 15b7–1,4
promulgated under the Exchange Act,5
‘‘No registered broker or dealer shall
effect any transaction in * * * any
security unless any natural person
1 15
U.S.C. 78s(b)(3)(A)(i).
CFR 240.19b–4(f)(1).
3 15 U.S.C. 78s(b)(1).
4 17 CFR 240.15b7–1.
5 15 U.S.C. 78a et seq.
2 17
E:\FR\FM\27JYN1.SGM
27JYN1
sroberts on DSK5SPTVN1PROD with NOTICES
Federal Register / Vol. 76, No. 144 / Wednesday, July 27, 2011 / Notices
associated with such broker or dealer
who effects or is involved in effecting
such transaction is registered or
approved in accordance with the
standards of training, experience,
competence, and other qualification
standards * * * established by the rules
of any national securities exchange.
* * * ’’ CBOE Rule 3.6A sets forth the
requirements for registration and
qualification of individual Trading
Permit Holders and individual
associated persons. In response to a
request by the Division of Trading and
Markets at the Securities and Exchange
Commission (the ‘‘Commission’’ or
‘‘SEC’’), CBOE recently amended its
rules to expand its registration and
qualification requirements set forth in
CBOE Rule 3.6A to include individual
Trading Permit Holders and individual
associated persons that are engaged or to
be engaged in the securities business of
a Trading Permit Holder or TPH
organization.6 CBOE Rule 3.6A provides
that these individuals must be registered
with the Exchange in the category of
registration appropriate to the function
to be performed as prescribed by the
Exchange. Further, Rule 3.6A requires,
among other things, that an individual
Trading Permit Holder or individual
associated person submit an application
for registration and pass the appropriate
qualification examination before the
registration can become effective. The
revised requirements apply to both
CBOE and CBOE Stock Exchange
(‘‘CBSX’’) Trading Permit Holders and
their associated persons.
In conjunction with the registration
requirements established by SR–CBOE–
2010–084, three new qualification
examinations became available on June
20, 2011 in the Central Registration
Depository system (‘‘WebCRD’’), which
is operated by the Financial Industry
Regulatory Authority, Incorporated
(‘‘FINRA’’). These registration categories
include the following (the required
qualification examinations and
prerequisites, as applicable, associated
with each registration category are in
parentheses): PT—Proprietary Trader
(Series 56), CT—Proprietary Trader
Compliance Officer (Series 14, Series 56
prerequisite) and TP—Proprietary
Trader Principal (Series 24, Series 56
prerequisite). In the Approval Order for
SR–CBOE–2010–084, the SEC
established a deadline of August 12,
2011 for CBOE and CBSX individual
Trading Permit Holders and individual
associated persons of CBOE and CBSX
Trading Permit Holders to register for
6 See Securities Exchange Act Release No. 63314
(November 12, 2010), 75 FR 70957 (November 19,
2010) (SR–CBOE–2010–084).
VerDate Mar<15>2010
17:08 Jul 26, 2011
Jkt 223001
and pass the applicable qualification
examination(s), approximately seven
weeks from the date the qualification
exams became available. CBOE
respectfully requests to extend the
August 12, 2011 deadline to September
19, 2011 (or such other later compliance
date as the Commission deems
appropriate for the participating selfregulatory organizations) to be
consistent with the time period allotted
to ISE members to comply with the
registration and qualification
requirements.7 CBOE believes its
proposal to extend this deadline is
reasonable and necessary in an effort to
implement consistent standards for
registration and qualification across selfregulatory organizations.
CBOE continues to evaluate the
reasonability of the proposed ninety-day
deadline in light of various factors
including, but not limited to, the
following: (i) Potential disruption to the
marketplace if a Market-Maker or
Designated Primary Market-Maker does
not satisfy the qualification
requirements; (ii) system enforced
delays in registering for an examination
in WebCRD upon an individual’s failure
of a qualification examination; (iii)
examination scheduling limitations due
to the volume of individuals required to
take the examination(s); and (iv) the
ability for those individuals subject to
heightened qualification examinations
to prepare for, schedule and pass more
than one examination in an extremely
limited window of time. CBOE will
continue to update Commission staff
and evaluate whether additional rule
filings are necessary to address
reasonability concerns in conjunction
with requiring compliance within a
ninety-day window.
(b) Statutory Basis
The proposed rule change is
consistent with Section 6(b) of the Act,8
in general, and furthers the objectives of
Section 6(b)(1) 9 of the Act in particular,
in that it is designed to enforce
compliance by Exchange members and
persons associated with its members
with the rules of the Exchange. The
Exchange also believes the proposed
rule change furthers the objectives of
Section 6(c)(3) 10 of the Act, which
7 The International Securities Exchange (‘‘ISE’’)
received approval for a rule filing establishing
substantially similar registration and qualification
requirements on February 4, 2011. The Approval
Order for SR–ISE–2010–115 provides that
‘‘Associated persons of ISE members will have 90
days from the date [sic] See Securities Exchange Act
Release No. 63843 (February 4, 2011), 76 FR 7884
(February 11, 2011) (SR–ISE–2010–115).
8 15 U.S.C. 78f(b).
9 15 U.S.C. 78f(b)(1).
10 15 U.S.C. 78f(c)(3).
PO 00000
Frm 00086
Fmt 4703
Sfmt 4703
44973
authorizes CBOE to prescribe standards
of training, experience and competence
for persons associated with CBOE
members, in that this filing is proposing
to extend the deadline for compliance
with the standards of training,
experience and competence established
by the Exchange. CBOE believes that its
proposal is reasonable in that it
establishes a deadline for compliance
with the registration and qualification
requirements that is consistent with the
deadline in place for ISE members and
their associated persons.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CBOE does not believe that the
proposed rule change will impose any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
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 11 and Rule 19b–
4(f)(1) thereunder,12 because it
constitutes a stated policy, practice, or
interpretation with respect to the
meaning, administration, or
enforcement of an existing rule.
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.
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
11 15
12 17
E:\FR\FM\27JYN1.SGM
U.S.C. 78s(b)(3)(A)(i).
CFR 240.19b–4(f)(1).
27JYN1
44974
Federal Register / Vol. 76, No. 144 / Wednesday, July 27, 2011 / Notices
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–CBOE–2011–064 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–2011–064. 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 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
a.m. and 3 p.m. Copies of such filing
also will be available for inspection and
copying at the principal office of CBOE.
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 publicly available. All
submissions should refer to File
Number SR–CBOE–2011–064 and
should be submitted on or before
August 17, 2011.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011–18927 Filed 7–26–11; 8:45 am]
sroberts on DSK5SPTVN1PROD with NOTICES
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–64940; File No. SR–BX–
2011–036]
Self-Regulatory Organizations;
NASDAQ OMX BX, Inc.; Notice of Filing
and Immediate Effectiveness of
Proposed Rule Change To Increase the
Application and Annual Fees for the
BX Venture Market
July 21, 2011.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b-4 thereunder,2
notice is hereby given that on July 14,
2011, NASDAQ OMX BX, Inc.
(‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to modify the
application and annual fees payable by
a company listing on the BX Venture
Market. The Exchange will implement
the proposed rule immediately.
The text of the proposed rule change
is below. Proposed new language is in
italics; proposed deletions are in
brackets.3
5910. Listing Fees
(a) Application Fee
A Company that submits an
application to list any class of its
securities on the Exchange, shall pay to
the Exchange a non-refundable
application fee of [$7,500] $10,000,
which must be submitted with the
Company’s application. However, if a
Company is listed on another national
securities exchange and has received
notice that it is subject to being delisted
from that exchange for failure to comply
with a quantitative listing requirement,
the application fee does not have to be
paid to the Exchange until the other
exchange issues a final decision to delist
the Company’s securities or the
Company is listed on the Exchange,
whichever occurs first.
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Changes are marked to the rule text that appears
in the electronic manual of Nasdaq found at
https://nasdaqomxbx.cchwallstreet.com.
2 17
13 17
CFR 200.30–3(a)(12).
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17:08 Jul 26, 2011
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Frm 00087
Fmt 4703
Sfmt 4703
(b) Annual Fee
(1) Each issuer shall pay an annual fee
of [$15,000] $20,000 for the first class of
securities listed on the Exchange and
$5,000 for each additional class of
securities listed on the Exchange.
(2)–(4) No change.
(c)–(d) No change.
*
*
*
*
*
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange recently received
approval for the BX Venture Market, a
new listing venue for the Exchange.
Under the approved rules, a company
that submits an application to list any
class of its securities on the BX Venture
Market must pay a non-refundable
application fee of $7,500 4 and a listed
company must pay an annual fee of
$15,000 for the first class of securities
listed on the BX Venture Market and
$5,000 for each additional listed class of
securities.5
The listing fees for the BX Venture
Market were originally proposed in
August 2010.6 Following that original
proposal, and in connection with
seeking approval for the BX Venture
Market, the Exchange committed to
substantial enhancements to its
regulatory process.7 Among these
enhancements are rules requiring the
Exchange to engage independent
qualified third party investigative firms
to assist in its public interest review
process in specified situations and on a
random basis.8 The Exchange may also
4 Exchange
Rule 5910(a).
Rule 5910(b).
6 Securities Exchange Act Release No. 62818
(September 1, 2010), 75 FR 54665 (September 8,
2010) (proposing SR–BX–2010–059).
7 Securities Exchange Act Release No. 64437 (May
6, 2011), 76 FR 27710 (May 12, 2011) (approving
SR–BX–2010–059 as amended).
8 Exchange Rule 5205(d).
5 Exchange
E:\FR\FM\27JYN1.SGM
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Agencies
[Federal Register Volume 76, Number 144 (Wednesday, July 27, 2011)]
[Notices]
[Pages 44972-44974]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-18927]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-64946; File No. SR-CBOE-2011-064]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change To Extend the Compliance Deadline for Registration and
Qualification Pursuant to Rule 3.6A
July 21, 2011.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of
1934, 15 U.S.C. 78s(b)(1), notice is hereby given that on July 8, 2011,
Chicago Board Options Exchange, Incorporated (``CBOE'' or the
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items, I, II
and III below, which Items have been prepared by CBOE. 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,\1\ and Rule 19b-4(f)(1) thereunder,\2\ which renders the proposal
effective upon filing with the Commission. The Commission is publishing
this notice to solicit comments on the proposed rule change from
interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(3)(A)(i).
\2\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Pursuant to the provisions of Section 19(b)(1) of the Securities
Exchange Act of 1934 (the ``Act''),\3\ the Exchange proposes to extend
the August 12, 2011 deadline to comply with its rules regarding
registration and qualification of individual Trading Permit Holders and
individual associated persons. CBOE is not proposing any textual
changes to the Rules of CBOE. The text of the proposed rule change 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.
---------------------------------------------------------------------------
\3\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, CBOE included statements
concerning the purpose of and basis of the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. CBOE has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, Proposed Rule Change
(a) Purpose
Pursuant to Rule 15b7-1,\4\ promulgated under the Exchange Act,\5\
``No registered broker or dealer shall effect any transaction in * * *
any security unless any natural person
[[Page 44973]]
associated with such broker or dealer who effects or is involved in
effecting such transaction is registered or approved in accordance with
the standards of training, experience, competence, and other
qualification standards * * * established by the rules of any national
securities exchange. * * * '' CBOE Rule 3.6A sets forth the
requirements for registration and qualification of individual Trading
Permit Holders and individual associated persons. In response to a
request by the Division of Trading and Markets at the Securities and
Exchange Commission (the ``Commission'' or ``SEC''), CBOE recently
amended its rules to expand its registration and qualification
requirements set forth in CBOE Rule 3.6A to include individual Trading
Permit Holders and individual associated persons that are engaged or to
be engaged in the securities business of a Trading Permit Holder or TPH
organization.\6\ CBOE Rule 3.6A provides that these individuals must be
registered with the Exchange in the category of registration
appropriate to the function to be performed as prescribed by the
Exchange. Further, Rule 3.6A requires, among other things, that an
individual Trading Permit Holder or individual associated person submit
an application for registration and pass the appropriate qualification
examination before the registration can become effective. The revised
requirements apply to both CBOE and CBOE Stock Exchange (``CBSX'')
Trading Permit Holders and their associated persons.
---------------------------------------------------------------------------
\4\ 17 CFR 240.15b7-1.
\5\ 15 U.S.C. 78a et seq.
\6\ See Securities Exchange Act Release No. 63314 (November 12,
2010), 75 FR 70957 (November 19, 2010) (SR-CBOE-2010-084).
---------------------------------------------------------------------------
In conjunction with the registration requirements established by
SR-CBOE-2010-084, three new qualification examinations became available
on June 20, 2011 in the Central Registration Depository system
(``WebCRD''), which is operated by the Financial Industry Regulatory
Authority, Incorporated (``FINRA''). These registration categories
include the following (the required qualification examinations and
prerequisites, as applicable, associated with each registration
category are in parentheses): PT--Proprietary Trader (Series 56), CT--
Proprietary Trader Compliance Officer (Series 14, Series 56
prerequisite) and TP--Proprietary Trader Principal (Series 24, Series
56 prerequisite). In the Approval Order for SR-CBOE-2010-084, the SEC
established a deadline of August 12, 2011 for CBOE and CBSX individual
Trading Permit Holders and individual associated persons of CBOE and
CBSX Trading Permit Holders to register for and pass the applicable
qualification examination(s), approximately seven weeks from the date
the qualification exams became available. CBOE respectfully requests to
extend the August 12, 2011 deadline to September 19, 2011 (or such
other later compliance date as the Commission deems appropriate for the
participating self-regulatory organizations) to be consistent with the
time period allotted to ISE members to comply with the registration and
qualification requirements.\7\ CBOE believes its proposal to extend
this deadline is reasonable and necessary in an effort to implement
consistent standards for registration and qualification across self-
regulatory organizations.
---------------------------------------------------------------------------
\7\ The International Securities Exchange (``ISE'') received
approval for a rule filing establishing substantially similar
registration and qualification requirements on February 4, 2011. The
Approval Order for SR-ISE-2010-115 provides that ``Associated
persons of ISE members will have 90 days from the date [sic] See
Securities Exchange Act Release No. 63843 (February 4, 2011), 76 FR
7884 (February 11, 2011) (SR-ISE-2010-115).
---------------------------------------------------------------------------
CBOE continues to evaluate the reasonability of the proposed
ninety-day deadline in light of various factors including, but not
limited to, the following: (i) Potential disruption to the marketplace
if a Market-Maker or Designated Primary Market-Maker does not satisfy
the qualification requirements; (ii) system enforced delays in
registering for an examination in WebCRD upon an individual's failure
of a qualification examination; (iii) examination scheduling
limitations due to the volume of individuals required to take the
examination(s); and (iv) the ability for those individuals subject to
heightened qualification examinations to prepare for, schedule and pass
more than one examination in an extremely limited window of time. CBOE
will continue to update Commission staff and evaluate whether
additional rule filings are necessary to address reasonability concerns
in conjunction with requiring compliance within a ninety-day window.
(b) Statutory Basis
The proposed rule change is consistent with Section 6(b) of the
Act,\8\ in general, and furthers the objectives of Section 6(b)(1) \9\
of the Act in particular, in that it is designed to enforce compliance
by Exchange members and persons associated with its members with the
rules of the Exchange. The Exchange also believes the proposed rule
change furthers the objectives of Section 6(c)(3) \10\ of the Act,
which authorizes CBOE to prescribe standards of training, experience
and competence for persons associated with CBOE members, in that this
filing is proposing to extend the deadline for compliance with the
standards of training, experience and competence established by the
Exchange. CBOE believes that its proposal is reasonable in that it
establishes a deadline for compliance with the registration and
qualification requirements that is consistent with the deadline in
place for ISE members and their associated persons.
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\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(1).
\10\ 15 U.S.C. 78f(c)(3).
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B. Self-Regulatory Organization's Statement on Burden on Competition
CBOE does not believe that the proposed rule change will impose any
burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act.
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 \11\
and Rule 19b-4(f)(1) thereunder,\12\ because it constitutes a stated
policy, practice, or interpretation with respect to the meaning,
administration, or enforcement of an existing rule.
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\11\ 15 U.S.C. 78s(b)(3)(A)(i).
\12\ 17 CFR 240.19b-4(f)(1).
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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.
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
[[Page 44974]]
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-CBOE-2011-064 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-2011-064. 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 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
a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at the principal office of CBOE. 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 publicly available. All
submissions should refer to File Number SR-CBOE-2011-064 and should be
submitted on or before August 17, 2011.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
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\13\ 17 CFR 200.30-3(a)(12).
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Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011-18927 Filed 7-26-11; 8:45 am]
BILLING CODE 8011-01-P