Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Delay Implementation of Recent Changes to Rule 4120(c)(7)(C), 76662-76664 [2013-30044]
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Federal Register / Vol. 78, No. 243 / Wednesday, December 18, 2013 / Notices
and Exchange Commission
(‘‘Commission’’) is soliciting comments
on the collection of information
summarized below. The Commission
plans to submit this existing collection
of information to the Office of
Management and Budget (‘‘OMB’’) for
extension and approval.
Form 144 (17 CFR 239.144) is used to
report the sale of securities during any
three-month period that exceeds 5,000
shares or other units or has an aggregate
sales price that does not exceed $50,000.
Under Sections 2(11), 4(1), 4(2), 4(4) and
19(a) of the Securities Act of 1933 (15
U.S.C. 77b, 77d (1) (2) (4) and 77s (a))
and Rule 144 (17 CFR 230.144)
thereunder, the Commission is
authorize to solicit the information
required to be supplied by Form 144.
Form 144 takes approximately 1 burden
hour per response and is filed by 23,361
respondents for a total of 23,361 total
burden hours.
Written comments are invited on: (a)
Whether this proposed collection of
information is necessary for the proper
performance of the functions of the
agency, including whether the
information will have practical utility;
(b) the accuracy of the agency’s estimate
of the burden imposed by the collection
of information; (c) ways to enhance the
quality, utility, and clarity of the
information collected; and (d) ways to
minimize the burden of the collections
of information on respondents,
including through the use of automated
collection techniques or other forms of
information technology. Consideration
will be given to comments and
suggestions submitted in writing within
60 days of this publication.
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 OMB
control number.
Please direct your written comments
to Thomas Bayer, Director/Chief
Information Officer, Securities and
Exchange Commission, c/o Remi PavlikSimon, 100 F Street NE., Washington,
DC 20549 or send an email to: PRA_
Mailbox@sec.gov.
Dated: December 12, 2013.
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2013–30051 Filed 12–17–13; 8:45 am]
ehiers on DSK2VPTVN1PROD with NOTICES
BILLING CODE 8011–01–P
Notice is hereby given, pursuant to
the provisions of the Government in the
Jkt 232001
Dated: December 16, 2013.
Elizabeth M. Murphy,
Secretary.
1. Purpose
The Exchange proposes to delay the
implementation date of recentlyapproved changes to the halt release
process under Rule 4120(c)(7)(C). On
November 14, 2013, the Exchange filed
an immediately effective rule change to
amend Rule 4120(c)(7)(C) to modify the
parameters for releasing securities for
trading upon the termination of a
trading halt.3 The Exchange filed the
proposal pursuant to subparagraph (f)(6)
of Rule 19–4 under the Act,4 which
requires, among other things, that
changes filed pursuant to this
subparagraph not become operative for
thirty days after the date of the filing, or
such shorter time as the Commission
may designate if consistent with the
protection of investors and the public
interest. The Exchange requested that
the Commission waive the thirty-day
operative delay under subparagraph
(f)(6) of Rule 19b-4,5 noting that the
proposed change is designed to protect
market participants from seemingly
erroneous pricing of halted securities
upon resumption of trading, and that, it
is possible, particularly with regard to
the IPO release process, for a disruptive
order to skew the release price far from
what was anticipated by market
participants based on the indicative
prices published by the Exchange prior
to the calculation.6 On November 21,
2013, the Commission issued public
[FR Doc. 2013–30213 Filed 12–16–13; 11:15 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–71060; File No. SR–
NASDAQ–2013–151]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Delay
Implementation of Recent Changes to
Rule 4120(c)(7)(C)
December 12, 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 December
4, 2013, The NASDAQ Stock Market
LLC (‘‘NASDAQ’’ or ‘‘Exchange’’), filed
with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II 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.
The Exchange proposes a proposed
rule change to delay implementation of
Sunshine Act Meeting
15:27 Dec 17, 2013
recent changes to Rule 4120(c)(7)(C) to
allow market participants the
opportunity to participate in testing of
the new process
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
SECURITIES AND EXCHANGE
COMMISSION
VerDate Mar<15>2010
Sunshine Act, Public Law 94–409, that
the Securities and Exchange
Commission will hold an Open Meeting
on Wednesday, December 18, 2013 at 10
a.m., in the Auditorium, Room L–002.
The subject matter of the Open
Meeting will be:
• The Commission will consider
whether to propose rules and forms
related to the offer and sale of securities
pursuant to Section 3(b) of the
Securities Act of 1933, as mandated by
Title IV of the Jumpstart Our Business
Startups Act.
The duty officer has determined that
no earlier notice was practicable.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
For further information and to
ascertain what, if any, matters have been
added, deleted or postponed, please
contact:
The Office of the Secretary at (202)
551–5400.
1 15
2 17
PO 00000
U.S.C. 78s(b)(1).
CFR 240.19b-4.
Frm 00070
Fmt 4703
Sfmt 4703
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
3 Securities Exchange Act Release No. 70911
(November 21, 2013), 78 FR 71011 (November 27,
2013) (SR–NASDAQ–2013–143).
4 17 CFR 240.19b-4(f)(6).
5 Id.
6 Supra note 3.
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Federal Register / Vol. 78, No. 243 / Wednesday, December 18, 2013 / Notices
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notice of the filing, granting waiver of
the pre-operative delay.7
The Exchange is proposing to delay
implementation of the change for a brief
period to allow for adequate user testing
of the new process. NASDAQ has
scheduled a User Acceptance Test
(‘‘UAT’’) for December 14, 2013, during
which NASDAQ will provide market
participants with the opportunity to
participate in simulated halts of test
securities using the new process.
NASDAQ plans to implement the new
process effective with the beginning of
regular trading hours on December 16,
2013. Although NASDAQ does not
anticipate any issues with the test,
should the UAT uncover issues with the
new halt release process, NASDAQ will
further delay implementation of the
process and provide public notice
thereof prior to the anticipated
implementation date of December 16,
2013.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,8
in general, and with Section 6(b)(5) of
the Act,9 in particular, in that it is
designed to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and facilitating transaction in securities,
to remove impediments to and perfect
the mechanism of a free and open
market and a national market system
and, in general, to protect investors and
the public interest, and is not designed
to permit unfair discrimination between
customers, issuers, brokers, or dealers.
The brief delay in implementing the
new process as discussed herein
promotes these goals by ensuring market
participants have adequate opportunity
to test their systems against the new
process in a simulated trading
environment. NASDAQ believes that
providing adequate testing will allow
NASDAQ to identify any potential
issues with its revised process, while
also allowing market participants to
identify potential problems with their
systems. As a consequence, the proposal
will protect investors by avoiding
potential market disruptions, which
may occur should the new process not
be adequately tested in a simulated
trading environment. The Exchange also
believes that the proposal is consistent
with Section 6(b)(5) of the Act because
it will avoid market participant
7 Id.
8 15
9 15
U.S.C. 78f.
U.S.C. 78f(b)(5).
VerDate Mar<15>2010
15:27 Dec 17, 2013
Jkt 232001
confusion that may be caused by having
a change to a rule that is immediately
operative, but not yet implemented.
NASDAQ notes that it continues to
believe in the importance of
implementing the amended process as
soon as reasonably practical and will do
so upon successful completion of testing
as described above.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will result in
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act, as amended.
The Exchange believes that the proposal
is irrelevant to competition because it is
not driven by, and will have no impact
on, competition.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A) of the Act 10 and Rule 19b–
4(f)(6) thereunder.11 Because the
proposed rule change does not (i)
significantly affect the protection of
investors or the public interest; (ii)
impose any significant burden on
competition; and (iii) become operative
for 30 days from the date on which it
was filed, or such shorter time as the
Commission may designate, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)
thereunder.12
A proposed rule change filed under
Rule 19b–4(f)(6) 13 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),14 the
Commission may designate a shorter
time if such action is consistent with the
10 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6)(iii) requires the Exchange to give the
Commission written notice of the Exchange’s intent
to file the proposed rule change, along with a brief
description and text of the proposed rule change,
at least five business days prior to the date of filing
of the proposed rule change, or such shorter time
as designated by the Commission. The Commission
is waiving this five-day pre-filing requirement.
12 17 CFR 240.19b–4(f)(6).
13 17 CFR 240.19b–4(f)(6).
14 17 CFR 240.19b–4(f)(6)(iii).
11 17
PO 00000
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Fmt 4703
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76663
protection of investors and the public
interest.
The Exchange has asked the
Commission to waive the five-day prefiling requirement and the 30-day
operative delay so that the proposal may
become effective and operative
immediately. According to the
Exchange, the proposal is designed to
clarify when the changes to Rule
4120(c)(7)(C) that are currently both
effective and operative will be
implemented, thus avoiding any market
participant confusion regarding the
implementation, and ensuring that
NASDAQ’s rules are consistent with its
operations. Thus, the Exchange believes
that it is in the interest of protecting
investors to briefly delay
implementation of the recent changes to
Rule 4120(c)(7)(C). Based on the
Exchange’s statements, the Commission
believes that waiving the five-day prefiling requirement and 30-day operative
delay is consistent with the protection
of investors and the public interest.
Therefore, the Commission designates
the proposal as operative upon filing.15
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: (i) Necessary or appropriate in
the public interest; (ii) for the protection
of investors; or (iii) otherwise in
furtherance of the purposes of the Act.
If the Commission takes such action, the
Commission shall institute proceedings
under Section 19(b)(2)(B)16 of the Act to
determine whether the proposed rule
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 proposal 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–
NASDAQ–2013–151 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
15 For purposes only of waiving the 30-day
operative delay, the Commission has also
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
16 15 U.S.C. 78s(b)(2)(B).
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76664
Federal Register / Vol. 78, No. 243 / Wednesday, December 18, 2013 / Notices
Securities and Exchange Commission,
100 F Street NE., Washington, DC
20549–1090.
SECURITIES AND EXCHANGE
COMMISSION
All submissions should refer to File
Number SR–NASDAQ–2013–151. This
file number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for Web site viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE.,
Washington, DC 20549, on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for
inspection and copying at the principal
office of the Exchange. All comments
received will be posted without change;
the Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–
NASDAQ–2013–151 and should be
submitted on or before January 8, 2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2013–30044 Filed 12–17–13; 8:45 am]
BILLING CODE 8011–01–P
[Release No. 34–71073; File No. SR–CBOE–
2013–102]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Order Granting Approval
of Proposed Rule Change To Establish
Modified Hybrid Opening System
Opening Procedures for All Volatility
Index Constituent Options
December 13, 2013.
I. Introduction
On October 15, 2013, the Chicago
Board Options Exchange, Incorporated
(‘‘Exchange’’ or ‘‘CBOE’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
amend CBOE Rule 6.2B to establish
modified Hybrid Opening System
(‘‘HOSS’’) opening procedures for all
option series that are used to calculate
volatility indexes. The proposed rule
change was published for comment in
the Federal Register on October 31,
2013.3 The Commission received no
comments on the proposed rule change.
This order grants approval of the
proposed rule change.
II. Description of the Proposed Rule
Change
According to the Exchange, on the
expiration/final settlement date for
volatility index options and futures,
modified HOSS opening procedures are
used for Hybrid 3.0 option series that
are used to calculate the exercise
settlement/final settlement value for
expiring volatility index options and
futures. Currently, standard expiration
options (i.e., third Friday expirations)
on the S&P 500 index, which are used
to calculate the CBOE Volatility Index
(‘‘VIX’’), are the only Hybrid 3.0 options
that use the modified HOSS opening
procedures. According to the Exchange,
the main feature of the modified HOSS
opening procedures is the strategy
order 4 cut-off time for the SPX option
series used to calculate the exercise
settlement/final settlement value of VIX
derivatives. Currently, all strategy
ehiers on DSK2VPTVN1PROD with NOTICES
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 70755
(October 25, 2013), 78 FR 65402 (‘‘Notice’’).
4 Option orders that are related to positions in, or
a trading strategy involving, volatility index options
or futures are known as ‘‘strategy orders.’’ See
CBOE Rule 6.2B.01(c)(iii). CBOE Rule
6.2B.01(c)(iii)(B) sets forth the characteristics of
strategy orders.
2 17
17 17
CFR 200.30–3(a)(12).
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15:27 Dec 17, 2013
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orders must be submitted by 8:15 a.m.
(Chicago time).5 In limited
circumstances, strategy orders may be
changed or cancelled.6
In addition to the VIX, CBOE and
CBOE Futures Exchange, LLC (‘‘CFE’’)
also trade options and futures on other
volatility indexes. Currently, normal
HOSS opening procedures are used on
all days for the constituent options in
those volatility indexes because the
constituent options trade on the Hybrid
platform. Moreover, the Exchange plans
to introduce CBOE Short-Term
Volatility Index (‘‘VXST’’) options (to be
traded on CBOE) and VXST futures (to
be traded on CFE) that expire every
Wednesday.7 The Exchange notes that
the VXST will be calculated using SPX
option series that expire on every
Friday, including standard expiration
SPX option series and non-standard
expiration SPX option series. Because
some constituent SPX option series are
Hybrid series, the current modified
HOSS opening procedures are not
applicable. The Exchange now proposes
to adopt new Interpretation and Policy
.08 to Rule 6.2B to set forth the modified
HOSS opening procedures for Hybrid
classes and series that are used to
calculate all volatility indexes,
including the VXST, on the expiration/
final settlement dates for volatility
index derivatives.8
Among other things, the Exchange
proposes that, for 30-day volatility
indexes, the modified HOSS opening
procedures would be utilized on the
days that the exercise settlement/final
settlement value is calculated for
options or futures on such volatility
indexes. For short-term volatility
indexes that measure a 9-day volatility
period, the modified HOSS opening
procedures would be utilized every
Wednesday for Hybrid classes and
series that are used to calculate such
volatility indexes.9
5 The applicable cut-off time for the entry of
strategy orders is established by the Exchange on a
class-by-class basis. See CBOE Rule
6.2B.01(c)(iii)(A) and CBOE Regulatory Circular
RG08–43 (Cut-Off Time for Submission of Strategy
Orders for Participation in SPX Modified HOSS
Opening Procedure).
6 See CBOE Rule 6.2B.01(c)(iii)(B).
7 The VXST measures a 9-day period of expected
volatility and is calculated using SPX option series
that expire in 9 days. The Exchange plans to submit
a separate filing to the Commission to list VXST
options and anticipates that CFE will list VXST
futures prior to CBOE listing VXST options.
8 The Exchange also proposes other technical
changes to Rules 6.2B.01 and 24.9(a)(5). See Notice,
supra note 3, at 65405–06.
9 If a Wednesday is an Exchange holiday or if the
Friday in the business week following a Wednesday
is an Exchange holiday, then the modified HOSS
opening procedures would be utilized on a
Tuesday. See CBOE Rule 6.2B.08(a).
E:\FR\FM\18DEN1.SGM
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]]>Agencies
[Federal Register Volume 78, Number 243 (Wednesday, December 18, 2013)]
[Notices]
[Pages 76662-76664]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-30044]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-71060; File No. SR-NASDAQ-2013-151]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Delay Implementation of Recent Changes to Rule 4120(c)(7)(C)
December 12, 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 December 4, 2013, The NASDAQ Stock Market LLC (``NASDAQ'' or
``Exchange''), filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II 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 a proposed rule change to delay
implementation of recent changes to Rule 4120(c)(7)(C) to allow market
participants the opportunity to participate in testing of the new
process
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
The Exchange proposes to delay the implementation date of recently-
approved changes to the halt release process under Rule 4120(c)(7)(C).
On November 14, 2013, the Exchange filed an immediately effective rule
change to amend Rule 4120(c)(7)(C) to modify the parameters for
releasing securities for trading upon the termination of a trading
halt.\3\ The Exchange filed the proposal pursuant to subparagraph
(f)(6) of Rule 19-4 under the Act,\4\ which requires, among other
things, that changes filed pursuant to this subparagraph not become
operative for thirty days after the date of the filing, or such shorter
time as the Commission may designate if consistent with the protection
of investors and the public interest. The Exchange requested that the
Commission waive the thirty-day operative delay under subparagraph
(f)(6) of Rule 19b-4,\5\ noting that the proposed change is designed to
protect market participants from seemingly erroneous pricing of halted
securities upon resumption of trading, and that, it is possible,
particularly with regard to the IPO release process, for a disruptive
order to skew the release price far from what was anticipated by market
participants based on the indicative prices published by the Exchange
prior to the calculation.\6\ On November 21, 2013, the Commission
issued public
[[Page 76663]]
notice of the filing, granting waiver of the pre-operative delay.\7\
---------------------------------------------------------------------------
\3\ Securities Exchange Act Release No. 70911 (November 21,
2013), 78 FR 71011 (November 27, 2013) (SR-NASDAQ-2013-143).
\4\ 17 CFR 240.19b-4(f)(6).
\5\ Id.
\6\ Supra note 3.
\7\ Id.
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The Exchange is proposing to delay implementation of the change for
a brief period to allow for adequate user testing of the new process.
NASDAQ has scheduled a User Acceptance Test (``UAT'') for December 14,
2013, during which NASDAQ will provide market participants with the
opportunity to participate in simulated halts of test securities using
the new process. NASDAQ plans to implement the new process effective
with the beginning of regular trading hours on December 16, 2013.
Although NASDAQ does not anticipate any issues with the test, should
the UAT uncover issues with the new halt release process, NASDAQ will
further delay implementation of the process and provide public notice
thereof prior to the anticipated implementation date of December 16,
2013.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\8\ in general, and with
Section 6(b)(5) of the Act,\9\ in particular, in that it is designed to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transaction in securities, to remove impediments to and perfect the
mechanism of a free and open market and a national market system and,
in general, to protect investors and the public interest, and is not
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers. The brief delay in implementing the new process as
discussed herein promotes these goals by ensuring market participants
have adequate opportunity to test their systems against the new process
in a simulated trading environment. NASDAQ believes that providing
adequate testing will allow NASDAQ to identify any potential issues
with its revised process, while also allowing market participants to
identify potential problems with their systems. As a consequence, the
proposal will protect investors by avoiding potential market
disruptions, which may occur should the new process not be adequately
tested in a simulated trading environment. The Exchange also believes
that the proposal is consistent with Section 6(b)(5) of the Act because
it will avoid market participant confusion that may be caused by having
a change to a rule that is immediately operative, but not yet
implemented. NASDAQ notes that it continues to believe in the
importance of implementing the amended process as soon as reasonably
practical and will do so upon successful completion of testing as
described above.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78f.
\9\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
result in any burden on competition that is not necessary or
appropriate in furtherance of the purposes of the Act, as amended. The
Exchange believes that the proposal is irrelevant to competition
because it is not driven by, and will have no impact on, competition.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A) of the Act \10\ and Rule 19b-4(f)(6) thereunder.\11\
Because the proposed rule change does not (i) significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative for 30
days from the date on which it was filed, or such shorter time as the
Commission may designate, the proposed rule change has become effective
pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-4(f)(6)
thereunder.\12\
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\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires the Exchange to give the Commission written notice of the
Exchange's intent to file the proposed rule change, along with a
brief description and text of the proposed rule change, at least
five business days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the Commission. The
Commission is waiving this five-day pre-filing requirement.
\12\ 17 CFR 240.19b-4(f)(6).
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A proposed rule change filed under Rule 19b-4(f)(6) \13\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\14\ the Commission
may designate a shorter time if such action is consistent with the
protection of investors and the public interest.
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\13\ 17 CFR 240.19b-4(f)(6).
\14\ 17 CFR 240.19b-4(f)(6)(iii).
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The Exchange has asked the Commission to waive the five-day pre-
filing requirement and the 30-day operative delay so that the proposal
may become effective and operative immediately. According to the
Exchange, the proposal is designed to clarify when the changes to Rule
4120(c)(7)(C) that are currently both effective and operative will be
implemented, thus avoiding any market participant confusion regarding
the implementation, and ensuring that NASDAQ's rules are consistent
with its operations. Thus, the Exchange believes that it is in the
interest of protecting investors to briefly delay implementation of the
recent changes to Rule 4120(c)(7)(C). Based on the Exchange's
statements, the Commission believes that waiving the five-day pre-
filing requirement and 30-day operative delay is consistent with the
protection of investors and the public interest. Therefore, the
Commission designates the proposal as operative upon filing.\15\
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\15\ For purposes only of waiving the 30-day operative delay,
the Commission has also considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is: (i)
Necessary or appropriate in the public interest; (ii) for the
protection of investors; or (iii) otherwise in furtherance of the
purposes of the Act. If the Commission takes such action, the
Commission shall institute proceedings under Section 19(b)(2)(B)\16\ of
the Act to determine whether the proposed rule should be approved or
disapproved.
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\16\ 15 U.S.C. 78s(b)(2)(B).
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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 proposal 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-NASDAQ-2013-151 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary,
[[Page 76664]]
Securities and Exchange Commission, 100 F Street NE., Washington, DC
20549-1090.
All submissions should refer to File Number SR-NASDAQ-2013-151. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549, on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the filing also will be available
for inspection and copying at the principal office of the Exchange. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-NASDAQ-2013-151 and should
be submitted on or before January 8, 2014.
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\17\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-30044 Filed 12-17-13; 8:45 am]
BILLING CODE 8011-01-P
