Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the CBSX Fees Schedule, 68494-68496 [2013-27202]
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TKELleY on DSK3SPTVN1PROD with NOTICES
68494
Federal Register / Vol. 78, No. 220 / Thursday, November 14, 2013 / Notices
detect violations of Exchange rules and
applicable federal securities laws.
(4) Prior to the commencement of
trading, the Exchange will inform its
members in an Information Circular of
the special characteristics and risks
associated with trading the Shares.
Specifically, the Information Circular
will discuss the following: (a) The
procedures for purchases and
redemptions of Shares in Creation Units
(and that Shares are not individually
redeemable); (b) Nasdaq Rule 2111A,
which imposes suitability obligations on
Nasdaq members with respect to
recommending transactions in the
Shares to customers; (c) how
information regarding the Intraday
Indicative Value is disseminated; (d) the
risks involved in trading the Shares
during the Pre-Market and Post-Market
Sessions when an updated Intraday
Indicative Value will not be calculated
or publicly disseminated; (e) the
requirement that members deliver a
prospectus to investors purchasing
newly issued Shares prior to or
concurrently with the confirmation of a
transaction; and (f) trading information.
(5) For initial and continued listing,
the Fund must be in compliance with
Rule 10A–3 under the Exchange Act.37
(6) A minimum of 100,000 Shares will
be outstanding at the commencement of
trading on the Exchange.
(7) The Fund may hold up to an
aggregate amount of 15% of its net
assets in illiquid securities (calculated
at the time of investment); will monitor
its portfolio liquidity on an ongoing
basis to determine whether, in light of
current circumstances, an adequate
level of liquidity is being maintained;
and will consider taking appropriate
steps in order to maintain adequate
liquidity if, through a change in values,
net assets, or other circumstances, more
than 15% of the Fund’s net assets are
held in illiquid securities.
(8) The equity securities in which the
Fund will invest and the options that
the Fund will buy and write will be
limited to U.S. exchange-traded
securities and options, respectively, that
trade in markets that are members of the
ISG, which includes all U.S. national
securities exchanges and certain foreign
exchanges, or are parties to a
comprehensive surveillance sharing
agreement with the Exchange.
(9) Under normal market conditions,
the Fund will invest primarily in largecap U.S. exchange-traded equity
securities. The Fund will also utilize an
options strategy consisting of buying
37 17
38 15
CFR 240.10A–3.
U.S.C. 78f(b)(5).
VerDate Mar<15>2010
19:20 Nov 13, 2013
U.S. exchange-traded put options on the
Index and writing U.S. exchange-traded
covered call options on the Index. The
market value of the options strategy may
be up to 20% of the Fund’s overall net
asset value.
(10) In addition to the options strategy
that is part of the Fund’s principal
investment strategy, the Fund may
invest up to 10% of the market value of
its net assets in futures, options, options
on futures, total return swaps, credit
default swaps, and forward contracts.
To the extent practicable, the Fund will
invest in swaps cleared through the
facilities of a centralized clearing house.
(11) The Fund’s investments will be
consistent with the Fund’s investment
objective and will not be used to
enhance leverage.
This approval order is based on all of
the Exchange’s representations and
description of the Fund, including those
set forth above and in the Notice.
For the foregoing reasons, the
Commission finds that the proposed
rule change is consistent with Section
6(b)(5) of the Act 38 and the rules and
regulations thereunder applicable to a
national securities exchange.
IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,39 that the
proposed rule change (SR–NASDAQ–
2013–121) be, and it hereby is,
approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.40
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2013–27203 Filed 11–13–13; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–70827; File No. SR–CBOE–
2013–105]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend the CBSX Fees
Schedule
November 7, 2013.
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 October
29, 2013, Chicago Board Options
Exchange, Incorporated (the ‘‘Exchange’’
39 15
40 17
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U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
Frm 00085
Fmt 4703
Sfmt 4703
or ‘‘CBOE’’) filed with the Securities
and Exchange Commission (the
‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend the
Fees Schedule of its CBOE Stock
Exchange (‘‘CBSX’’). The text of the
proposed rule change is available on the
Exchange’s Web site (https://
www.cboe.com/AboutCBOE/
CBOELegalRegulatoryHome.aspx), 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
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
CBSX proposes to amend its Fees
Schedule to remove AAPL, BAC, GOOG,
NOK, and SIRI (the ‘‘Removed
Symbols’’) from its list of Select
Symbols for whom transactions priced
$1 or greater (all fees addressed in this
filing relate to transactions priced $1 or
greater) are assessed a fee of $0.0050 per
share (for Maker executions) and
provided a rebate of $0.0045 per share
(for Taker executions). This means that
the Removed Symbols will now fall into
the ‘‘all other securities’’ category and
fees and rebates applicable to ‘‘all other
securities’’ will apply to the Removed
Symbols, which are as follows (and are
not being changed in this proposed rule
change):
1 15
2 17
E:\FR\FM\14NON1.SGM
U.S.C. 78s(b)(1).
CFR 240.19b–4.
14NON1
68495
Federal Register / Vol. 78, No. 220 / Thursday, November 14, 2013 / Notices
Execution type
Rate
Maker (adds less than 0.08% of TCV of liquidity in one day) (1)(5) .............................................................................
Maker (adds at least 0.08% but less than 0.16% of TCV of liquidity in one day) (1)(5) ...............................................
Maker (adds at least 0.16% but less than 0.24% of TCV of liquidity in one day) (1)(5) ...............................................
Maker (adds at least 0.24% but less than 0.42% of TCV of liquidity in one day) (1)(5) ...............................................
Maker (adds 0.42% or more of TCV of liquidity in one day) (1)(5) ...............................................................................
Taker (removes 9,999,999 shares or less of liquidity in one day (1) or less than 85% Execution Rate) .....................
Taker (removes 10,000,000 shares or more of liquidity in one day (1) and equal to or greater than 85% Execution
Rate).
Maker (adds liquidity using a silent order) .....................................................................................................................
Taker (removes silent order liquidity) .............................................................................................................................
Maker (adds liquidity using a silent-mid or silent-post-mid order) .................................................................................
Taker (removes silent-mid or silent-post-mid liquidity) ...................................................................................................
TKELleY on DSK3SPTVN1PROD with NOTICES
The Removed Symbols had been
included in the Select Symbols in an
aspirational attempt to increase
liquidity provision in these products,
but such increased liquidity has not
been achieved. CBSX hopes that moving
the Removed Symbols into the ‘‘all
other securities’’ category will increase
liquidity provision in these products.
As no symbols would be listed in the
Select Symbols, footnote (6) of the CBSX
Fees Schedule would be amended to
read ‘‘There are no Select Symbols at
this time.’’ The Exchange does not wish
to remove the concept of the Select
Symbols (and corresponding fees
structure) from the CBSX Fees Schedule
because CBSX may desire in the future
to move other symbols into the ‘‘Select
Symbols’’ and apply the corresponding
Select Symbols fees structure to such
symbols (of course, the Exchange would
submit a proposed rule change in order
to effect such a move).
The proposed change is to take effect
on November 1, 2013.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the Act
and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.3 Specifically,
the Exchange believes the proposed rule
change is consistent with Section 6(b)(4)
of the Act,4 which requires that
Exchange rules provide for the equitable
allocation of reasonable dues, fees, and
other charges among its Trading Permit
Holders and other persons using its
facilities. The Exchange believes that it
is reasonable, equitable and not unfairly
discriminatory to remove the Removed
Symbols from the Select Symbols and to
assess the Removed Symbols the fees of
‘‘all other securities’’ because
transactions in these products will
merely be assessed the fee and rebate
amounts of all other CBSX securities.
Further, this move is designed to attract
3 15
4 15
U.S.C. 78f(b).
U.S.C. 78f(b)(4).
VerDate Mar<15>2010
19:20 Nov 13, 2013
Jkt 232001
more trading in these products, as
placing the Removed Symbols in the
Select Symbols (and applying the Select
Symbols fees structure to the Removed
Symbols) failed to cause the desired
increase in trading volume in the
Removed Symbols. Finally, these fees
for the Removed Symbols will be the
same as for all other CBSX securities,
and will be assessed equally to all
market participants.
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. CBSX does
not believe that the proposed rule
changes will impose any burden on
intramarket competition that is not
necessary or appropriate in furtherance
of the purposes of the Act because the
proposed changes will be applied to all
market participants. CBSX does not
believe that the proposed rule changes
will impose any burden on intermarket
competition that is not necessary or
appropriate in furtherance of the
purposes of the Act because the
proposed changes only affect trading on
CBSX. Further, the proposed changes
are designed to incentivize more trading
on CBSX, which could encourage other
exchanges to enact their own
competitive changes. To the extent that
the proposed changes make CBSX a
more attractive trading venue for market
participants on other exchanges, such
market participants may elect to become
CBSX market participants.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange neither solicited nor
received comments on the proposed
rule change.
PO 00000
Frm 00086
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$0.0018
$0.0017
$0.0016
$0.0015
$0.0014
$0.0015
$0.0017
per share.
per share.
per share.
per share.
per share.
rebate per share.
rebate per share.
$0.0018
$0.0015
$0.0018
$0.0015
per share.
rebate per share.
per share.
rebate per share.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 5 and paragraph (f) of Rule
19b–4 6 thereunder. At any time within
60 days of the filing of the proposed rule
change, the Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission will institute proceedings
to determine whether the proposed rule
change should be approved or
disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include File Number
SR–CBOE–2013–105 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–2013–105. 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
5 15
6 17
E:\FR\FM\14NON1.SGM
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f).
14NON1
68496
Federal Register / Vol. 78, No. 220 / Thursday, November 14, 2013 / Notices
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
offices of the Exchange. All comments
received will be posted without change;
the Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–CBOE–
2013–105, and should be submitted on
or before December 5, 2013.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2013–27202 Filed 11–13–13; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–70831; File No. SR–FICC–
2013–09]
Self-Regulatory Organizations; Fixed
Income Clearing Corporation; Notice of
Filing of Proposed Rule Change To
Make the U.S. Department of the
Treasury’s Floating Rate Notes Eligible
for Netting Service and GCF Repo® at
FICC’s Government Securities Division
TKELleY on DSK3SPTVN1PROD with NOTICES
November 7, 2013.
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 October
28, 2013, the Fixed Income Clearing
Corporation (‘‘FICC’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II, and
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
19:20 Nov 13, 2013
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The purpose of this rule filing is to
make the U.S. Treasury Department’s
floating rate notes eligible for the netting
service and GCF Repo® service at the
Government Securities Division
(‘‘GSD’’).
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
FICC 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. FICC has prepared
summaries, set forth in sections (A), (B)
and (C) below, of the most significant
aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
(i) The purpose of this rule filing is to
make the U.S. Treasury Department’s
floating rate notes eligible for the netting
service and GCF Repo® service at the
GSD.
Last year, the U.S. Department of the
Treasury (the ‘‘Treasury Department’’)
announced its plan to issue Treasury
notes with a floating rate coupon (the
‘‘Floating Rate Notes’’).
During the May 1, 2013 Refunding
Meeting, the Treasury Department
stated that it plans to develop a Floating
Rate Notes securities program to
complement the existing suite of
securities it issues and to support its
broader debt management objective. The
Floating Rate Notes will be the first
added U.S. Treasury debt security since
the Treasury Inflation-Protected
Securities, known as TIPS, were
introduced in 1997. The Treasury
Department anticipates that the first
auction will occur in January 2014.3
From a trading perspective and to
ensure that the introduction of the
Floating Rate Notes does not result in
any increased clearance and settlement
risk to the marketplace, FICC believes
3 See Press Release, U.S. Department of the
Treasury August 2013 Quarterly Refunding
Statement of Assistant Secretary Rutherford (July
31, 2013), available at www.treasury.gov.
7 17
VerDate Mar<15>2010
III below, which Items have been
prepared by FICC. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
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that these securities should be eligible
for comparison, netting, and settlement
by GSD. With this in mind, GSD is
planning to make Floating Rate Notes
eligible for its netting service starting
with the January 2014 auction of the
two-year Floating Rate Notes (other
maturities will be issued later).
With respect to the GCF Repo®
service, Floating Rate Notes will be
included in GSD’s existing Treasury
Generic CUSIP Numbers.4 The inclusion
of Floating Rate Notes in the GCF Repo®
service necessities a change to the GSD
Rulebook in connection with the
collateral allocation provisions which
are covered in GSD Rule 20 Section 3.
Because of their adjustable coupon,
Floating Rate Notes will not be eligible
for collateral allocation obligations or
substitutions with respect to the GCF
Repo Generic CUSIPs representing
Treasury inflation-protected securities
(‘‘TIPS’’), separate trading of registered
interest and principal securities
(‘‘STRIPS’’), or fixed-rate mortgagebacked securities issued by Federal
National Mortgage Association (‘‘Fannie
Mae’’), Federal Home Loan Mortgage
Corporation (‘‘Freddie Mac’’) and
Government National Mortgage
Association (‘‘Ginnie Mae’’). As a result,
GSD Rule 20 Section 3 has been revised
to reflect this change.
In order for GSD to process Floating
Rate Notes, various enhancements to
FICC’s systems and member output have
been made in the following areas:
• Creation and maintenance of a
historical database of reference indices.
This data is necessary for determining
coupon, which is used in valuing
positions for settlement purposes and
for forward margin and clearing fund
calculations.
• Modification of the security
database in order for it to work in
conjunction with the floating rate, reset
date, reset rate basis and spread.
• Modifications to member output
formats for both messaging and end of
day machine readable output in order to
accommodate the additional fields.
GSD will test with its membership
before the launch of the Floating Rate
Notes. This will ensure that members
can properly submit and receive
transaction data in connection with the
Floating Rate Notes. GSD has provided
information to member firms about
GSD’s proposed processing of the
4 Pursuant to the GSD Rules, the term ‘‘Generic
CUSIP Number’’ means a Committee on Uniform
Securities Identification Procedures identifying
number established for a category of securities, as
opposed to a specific security. The Corporation
shall use separate Generic CUSIP Numbers for
General Collateral Repo Transactions and GCF Repo
Transactions. GSD Rulebook, Definitions.
E:\FR\FM\14NON1.SGM
14NON1
]]>Agencies
[Federal Register Volume 78, Number 220 (Thursday, November 14, 2013)]
[Notices]
[Pages 68494-68496]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-27202]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-70827; File No. SR-CBOE-2013-105]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change To Amend the CBSX Fees Schedule
November 7, 2013.
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 October 29, 2013, Chicago Board Options Exchange, Incorporated
(the ``Exchange'' or ``CBOE'') filed with the Securities and Exchange
Commission (the ``Commission'') the proposed rule change as described
in Items I, II, and III below, which Items have been prepared by the
Exchange. The Commission is publishing this notice to solicit comments
on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the Fees Schedule of its CBOE Stock
Exchange (``CBSX''). The text of the proposed rule change is available
on the Exchange's Web site (https://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), 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 Exchange included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
CBSX proposes to amend its Fees Schedule to remove AAPL, BAC, GOOG,
NOK, and SIRI (the ``Removed Symbols'') from its list of Select Symbols
for whom transactions priced $1 or greater (all fees addressed in this
filing relate to transactions priced $1 or greater) are assessed a fee
of $0.0050 per share (for Maker executions) and provided a rebate of
$0.0045 per share (for Taker executions). This means that the Removed
Symbols will now fall into the ``all other securities'' category and
fees and rebates applicable to ``all other securities'' will apply to
the Removed Symbols, which are as follows (and are not being changed in
this proposed rule change):
[[Page 68495]]
------------------------------------------------------------------------
Execution type Rate
------------------------------------------------------------------------
Maker (adds less than 0.08% of $0.0018 per share.
TCV of liquidity in one day)
(1)(5).
Maker (adds at least 0.08% but $0.0017 per share.
less than 0.16% of TCV of
liquidity in one day) (1)(5).
Maker (adds at least 0.16% but $0.0016 per share.
less than 0.24% of TCV of
liquidity in one day) (1)(5).
Maker (adds at least 0.24% but $0.0015 per share.
less than 0.42% of TCV of
liquidity in one day) (1)(5).
Maker (adds 0.42% or more of TCV $0.0014 per share.
of liquidity in one day) (1)(5).
Taker (removes 9,999,999 shares $0.0015 rebate per share.
or less of liquidity in one day
(1) or less than 85% Execution
Rate).
Taker (removes 10,000,000 shares $0.0017 rebate per share.
or more of liquidity in one day
(1) and equal to or greater than
85% Execution Rate).
Maker (adds liquidity using a $0.0018 per share.
silent order).
Taker (removes silent order $0.0015 rebate per share.
liquidity).
Maker (adds liquidity using a $0.0018 per share.
silent-mid or silent-post-mid
order).
Taker (removes silent-mid or $0.0015 rebate per share.
silent-post-mid liquidity).
------------------------------------------------------------------------
The Removed Symbols had been included in the Select Symbols in an
aspirational attempt to increase liquidity provision in these products,
but such increased liquidity has not been achieved. CBSX hopes that
moving the Removed Symbols into the ``all other securities'' category
will increase liquidity provision in these products.
As no symbols would be listed in the Select Symbols, footnote (6)
of the CBSX Fees Schedule would be amended to read ``There are no
Select Symbols at this time.'' The Exchange does not wish to remove the
concept of the Select Symbols (and corresponding fees structure) from
the CBSX Fees Schedule because CBSX may desire in the future to move
other symbols into the ``Select Symbols'' and apply the corresponding
Select Symbols fees structure to such symbols (of course, the Exchange
would submit a proposed rule change in order to effect such a move).
The proposed change is to take effect on November 1, 2013.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Act and the rules and regulations thereunder applicable to the
Exchange and, in particular, the requirements of Section 6(b) of the
Act.\3\ Specifically, the Exchange believes the proposed rule change is
consistent with Section 6(b)(4) of the Act,\4\ which requires that
Exchange rules provide for the equitable allocation of reasonable dues,
fees, and other charges among its Trading Permit Holders and other
persons using its facilities. The Exchange believes that it is
reasonable, equitable and not unfairly discriminatory to remove the
Removed Symbols from the Select Symbols and to assess the Removed
Symbols the fees of ``all other securities'' because transactions in
these products will merely be assessed the fee and rebate amounts of
all other CBSX securities. Further, this move is designed to attract
more trading in these products, as placing the Removed Symbols in the
Select Symbols (and applying the Select Symbols fees structure to the
Removed Symbols) failed to cause the desired increase in trading volume
in the Removed Symbols. Finally, these fees for the Removed Symbols
will be the same as for all other CBSX securities, and will be assessed
equally to all market participants.
---------------------------------------------------------------------------
\3\ 15 U.S.C. 78f(b).
\4\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
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. CBSX does not believe that the
proposed rule changes will impose any burden on intramarket competition
that is not necessary or appropriate in furtherance of the purposes of
the Act because the proposed changes will be applied to all market
participants. CBSX does not believe that the proposed rule changes will
impose any burden on intermarket competition that is not necessary or
appropriate in furtherance of the purposes of the Act because the
proposed changes only affect trading on CBSX. Further, the proposed
changes are designed to incentivize more trading on CBSX, which could
encourage other exchanges to enact their own competitive changes. To
the extent that the proposed changes make CBSX a more attractive
trading venue for market participants on other exchanges, such market
participants may elect to become CBSX market participants.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange neither solicited nor received comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \5\ and paragraph (f) of Rule 19b-4 \6\
thereunder. At any time within 60 days of the filing of the proposed
rule change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. If the Commission
takes such action, the Commission will institute proceedings to
determine whether the proposed rule change should be approved or
disapproved.
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\5\ 15 U.S.C. 78s(b)(3)(A).
\6\ 17 CFR 240.19b-4(f).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an email to rule-comments@sec.gov. Please include
File Number SR-CBOE-2013-105 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-2013-105. 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
[[Page 68496]]
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 offices of the Exchange. All comments
received will be posted without change; the Commission does not edit
personal identifying information from submissions. You should submit
only information that you wish to make available publicly. All
submissions should refer to File Number SR-CBOE-2013-105, and should be
submitted on or before December 5, 2013.
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\7\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\7\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-27202 Filed 11-13-13; 8:45 am]
BILLING CODE 8011-01-P
