Self-Regulatory Organizations; Miami International Securities Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Extend the Pilot Period Applicable to Rule 530 Relating to Limit Up/Limit Down, 19956-19958 [2014-07995]
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19956
Federal Register / Vol. 79, No. 69 / Thursday, April 10, 2014 / Notices
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
FINRA. 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–FINRA–2014–016 and
should be submitted on or before May
1, 2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–07990 Filed 4–9–14; 8:45 am]
BILLING CODE 8011–01–P
[Release No. 34–71881; File No. SR–MIAX–
2014–14]
Self-Regulatory Organizations; Miami
International Securities Exchange LLC;
Notice of Filing and Immediate
Effectiveness of a Proposed Rule
Change To Extend the Pilot Period
Applicable to Rule 530 Relating to
Limit Up/Limit Down
sroberts on DSK5SPTVN1PROD with NOTICES
April 4, 2014.
Pursuant to the provisions of 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 April 3, 2014, Miami International
Securities Exchange LLC (‘‘MIAX’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) a 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.
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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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
SECURITIES AND EXCHANGE
COMMISSION
11 17
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange is filing a proposal to
amend Rule 530 to extend the pilot
period for the treatment of erroneous
transactions during a Limit or Straddle
State.
The text of the proposed rule change
is available on the Exchange’s Web site
at https://www.miaxoptions.com/filter/
wotitle/rule_filing, at MIAX’s principal
office, and at the Commission’s Public
Reference Room.
1. Purpose
The Exchange proposes to amend
Rule 530 (Limit Up-Limit Down) in
order to (i) extend the pilot period for
the treatment of erroneous transactions
that occur in a Limit or Straddle State
until February 20, 2015; and (ii) to
provide that paragraphs (a)–(i) of the
Rule shall be in effect during a pilot
period to coincide with the pilot period
for the Plan to Address Extraordinary
Market Volatility Pursuant to Rule 608
of Regulation NMS.
Exchange Rule 530(j) provides for the
treatment of erroneous transactions
occurring during Limit and Straddle
States. Specifically, once an NMS Stock
has entered a Limit or Straddle State,
the Exchange will nullify a transaction
in an option overlying such an NMS
Stock as provided in the Rule 530(j).
This provision was adopted for a one
year pilot period beginning on the date
of the implementation of the Plan to
Address Extraordinary Market Volatility
Pursuant to Rule 608 of Regulation
NMS, April 8, 2013.3 The Exchange
3 See Exchange Rule 503(j). See also Securities
Exchange Act Release Nos. 69210 (March 22, 2013),
78 FR 18637 (March 27, 2013) (SR–MIAX–2013–
12); 69342 (April 8, 2013), 78 FR 22017 (April 12,
2013) (SR–MIAX–2013–12); 69234 (March 25,
PO 00000
Frm 00092
Fmt 4703
Sfmt 4703
proposes extending the pilot period for
Rule 530(j) until February 20, 2015 in
order to allow the Exchange and the
Commission additional time to collect
and analyze data regarding the impact of
Rule 530(j) on liquidity and market
quality in the options markets.
To assist the Commission in its
analysis, the Exchange will continue to
provide the Commission with data and
analysis during the duration of the pilot
in order to evaluate the impact of Limit
and Straddle States on liquidity and
market quality in the options markets.
Specifically, by September 30, 2014, the
Exchange represents that it shall
provide the Commission assessments
relating to the impact of the obvious
error Rules during Limit and Straddle
States that (i) evaluate the statistical and
economic impact of Limit and Straddle
States on liquidity and market quality in
the options markets; and (ii) assess
whether the lack of obvious error rules
in effect during the Straddle and Limit
States are problematic. Additionally,
each month during the pilot period the
Exchange shall provide to the
Commission and the public a dataset
containing the data for each Straddle
and Limit State in optionable stocks. For
each stock that reaches a Straddle or
Limit State, the number of options
included in the dataset can be reduced
by selecting options in which at least
one (1) trade occurred on the Exchange
during the Straddle or Limit State. For
each of those options affected, each data
record should contain the following
information: (i) Stock symbol, option
symbol, time at the start of the straddle
or limit state, an indicator for whether
it is a straddle or limit state; and (ii) for
activity on the exchange—(A) executed
volume, time-weighted quoted bid-ask
spread, time-weighted average quoted
depth at the bid, time-weighted average
quoted depth at the offer, (B) high
execution price, low execution price, (C)
number of trades for which a request for
review for error was received during
Straddle and Limit States, (D) an
indicator variable for whether those
options outlined above have a price
change exceeding 30% during the
underlying stock’s Limit or Straddle
state compared to the last available
option price as reported by OPRA before
the start of the Limit or Straddle state (1
if observe 30% and 0 otherwise) and
another indicator variable for whether
the option price within five minutes of
the underlying stock leaving the Limit
or Straddle state (or halt if applicable)
is 30% away from the price before the
2013), 78 FR 19344 (March 29, 2013) (SR–MIAX–
2013–15); 69354 (April 9, 2013), 78 FR 22357 (April
15, 2013) (SR–MIAX–2013–15).
E:\FR\FM\10APN1.SGM
10APN1
Federal Register / Vol. 79, No. 69 / Thursday, April 10, 2014 / Notices
start of the Limit or Straddle state. The
Exchange notes that it will also update
the data available on the Exchange’s
Web site for the period April 2013
through January 2014 with the revised
parameters described above once the
Exchange has completed its analysis
and review of such data.
The Exchange also proposes to amend
Rule 530 to provide that paragraphs (a)–
(i) of the Rule shall be in effect during
a pilot period to coincide with the pilot
period for the Plan to Address
Extraordinary Market Volatility
Pursuant to Rule 608 of Regulation
NMS. The proposed change will allow
the Exchange’s Limit Up-Limit Down
Rule to continue without interruption
for as long as corresponding pilot period
for the Plan to Address Extraordinary
Market Volatility Pursuant to Rule 608
of Regulation NMS remains in effect and
will also more closely align the pilot
language to that of other options
exchanges.4
sroberts on DSK5SPTVN1PROD with NOTICES
2. Statutory Basis
The Exchange believes that its
proposed rule change is consistent with
Section 6(b) 5 of the Act in general, and
furthers the objectives of Section
6(b)(5) 6 of the Act in particular, in that
it is designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
facilitating transactions in securities, to
remove impediments to and perfect the
mechanisms of a free and open market
and a national market system and, in
general, to protect investors and the
public interest. Specifically, the
proposal supports the objectives of
perfecting the mechanism of a free and
open market and the national market
system because it promotes uniformity
across markets concerning when and
how to halt trading in all stock options
as a result of extraordinary market
volatility. In addition, the Exchange
believes that the extension of the pilot
will help ensure that market
participants continue to benefit from the
protections of the Limit Up-Limit Down
Rules which will protect investors and
the public interest while allowing the
Exchange and the Commission
additional time to collect and analyze
data regarding the impact of Rules on
liquidity and market quality in the
options markets.
4 See
NYSE MKT Rule 953.1NY; NYSE Arca
Options Rule 6.65A.
5 15 U.S.C. 78f(b).
6 15 U.S.C. 78f(b)(5).
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18:14 Apr 09, 2014
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B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed changes are being made to
extend the pilot program that provides
for how the Exchange shall treat orders
and quotes in options overlying NMS
stocks when the Limit Up-Limit Down
Plan is in effect and will not impose any
burden on competition while providing
certainty of treatment and execution of
options orders during periods of
extraordinary volatility in the
underlying NMS stock, and facilitating
appropriate liquidity during a Limit
State or Straddle State.
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
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 if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 7 and Rule 19b–4(f)(6)(iii)
thereunder.8
The Exchange has asked the
Commission to waive the 30-day
operative delay so that the proposal may
become operative immediately upon
filing. The Exchange stated that waiver
of this requirement will allow the
Exchange to extend the pilot program
prior to its expiration on April 8, 2014.
For this reason, the Commission
believes that the proposed rule change
presents no novel issues and that waiver
of the 30-day operative delay is
consistent with the protection of
investors and the public interest.
Therefore, the Commission designates
7 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6)(iii). As required under
Rule 19b–4(f)(6)(iii), the Exchange provided the
Commission with written notice of its intent to file
the proposed rule change, along with a brief
description and the 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.
8 17
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19957
the proposed rule change to be operative
upon filing.9
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 shall institute proceedings
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 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 rulecomments@sec.gov. Please include File
Number SR–MIAX–2014–14 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–MIAX–2014–14. 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
9 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).
E:\FR\FM\10APN1.SGM
10APN1
19958
Federal Register / Vol. 79, No. 69 / Thursday, April 10, 2014 / Notices
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–MIAX–
2014–14 and should be submitted on or
before May 1, 2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–07995 Filed 4–9–14; 8:45 am]
BILLING CODE 8011–01–P
DEPARTMENT OF STATE
[Public Notice 8688]
sroberts on DSK5SPTVN1PROD with NOTICES
In the Matter of the Designation of
Ansar Bayt al-Maqdis, Also Known as
Ansar Jerusalem, Also Known as
Supporters of Jerusalem, Also Known
as Ansar Bayt al-Maqdes, Also Known
as Ansar Beit al-Maqdis, Also Known
as Jamaat Ansar Beit al-Maqdis, Also
Known as Jamaat Ansar Beit al-Maqdis
fi Sinaa, Also Known as Supporters of
the Holy Place as a Foreign Terrorist
Organization Pursuant to Section 219
of the Immigration and Nationality Act,
as Amended
Based upon a review of the
Administrative Record assembled in
this matter, and in consultation with the
Attorney General and the Secretary of
the Treasury, I conclude that there is a
sufficient factual basis to find that the
relevant circumstances described in
section 219 of the Immigration and
Nationality Act, as amended (hereinafter
‘‘INA’’) (8 U.S.C. 1189), exist with
respect to as Ansar Bayt al-Maqdis, also
known as Ansar Jerusalem, also known
as Supporters of Jerusalem, also known
as Ansar Bayt al-Maqdes, also known as
Ansar Beit al-Maqdis, also known as
Jamaat Ansar Beit al-Maqdis, also
known as Jamaat Ansar Beit al-Maqdis
fi Sinaa.
Therefore, I hereby designate the
aforementioned organization and its
aliases as a foreign terrorist organization
pursuant to section 219 of the INA.
This determination shall be published
in the Federal Register.
Dated: March 28, 2014.
John F. Kerry,
Secretary of State, Department of State.
DEPARTMENT OF STATE
[FR Doc. 2014–07955 Filed 4–9–14; 8:45 am]
Fine Arts Committee Notice of Meeting
BILLING CODE 4710–10–P
DEPARTMENT OF STATE
[Public Notice 8689]
In the Matter of the Designation of
Ansar Bayt al-Maqdis, Also Known as
Ansar Jerusalem, Also Known as
Supporters of Jerusalem, Also Known
as Ansar Bayt al-Maqdes, Also Known
as Ansar Beit al-Maqdis, Also Known
as Jamaat Ansar Beit al-Maqdis, Also
Known as Jamaat Ansar Beit al-Maqdis
fi Sinaa, Also Known as Supporters of
the Holy Place, as a Specially
Designated Global Terrorist Pursuant
to Section 1(b) of Executive Order
13224, as Amended
Acting under the authority of and in
accordance with section 1(b) of
Executive Order 13224 of September 23,
2001, as amended by Executive Order
13268 of July 2, 2002, and Executive
Order 13284 of January 23, 2003, I
hereby determine that the organization
known as Ansar Bayt al-Maqdis, also
known as Ansar Jerusalem, also known
as Supporters of Jerusalem, also known
as Ansar Bayt al-Maqdes, also known as
Ansar Beit al-Maqdis, also known as
Jamaat Ansar Beit al-Maqdis, also
known as Jamaat Ansar Beit al-Maqdis
fi Sinaa, also known as Supporters of
the holy place, committed, or poses a
significant risk of committing, acts of
terrorism that threaten the security of
U.S. nationals or the national security,
foreign policy, or economy of the United
States.
Consistent with the determination in
section 10 of Executive Order 13224 that
‘‘prior notice to persons determined to
be subject to the Order who might have
a constitutional presence in the United
States would render ineffectual the
blocking and other measures authorized
in the Order because of the ability to
transfer funds instantaneously,’’ I
determine that no prior notice needs to
be provided to any person subject to this
determination who might have a
constitutional presence in the United
States, because to do so would render
ineffectual the measures authorized in
the Order.
This notice shall be published in the
Federal Register.
Dated: March 28, 2014.
John F. Kerry
Secretary of State, Department of State.
[FR Doc. 2014–07949 Filed 4–9–14; 8:45 am]
10 17
CFR 200.30–3(a)(12).
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18:14 Apr 09, 2014
BILLING CODE 4710–10–P
Jkt 232001
PO 00000
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[Public Notice 8691]
The Fine Arts Committee of the
Department of State will meet on April
23, 2014 at 9:00 a.m. in the Henry Clay
Room of the Harry S. Truman Building,
2201 C Street NW., Washington, DC.
The meeting will last until
approximately 2:00 p.m. and is open to
the public.
The agenda for the committee meeting
will include a summary of the work of
the Fine Arts Office since its last
meeting on December 9, 2013 and the
announcement of gifts and loans of
furnishings as well as financial
contributions from January 1, 2014
through March 30, 2014.
Public access to the Department of
State is strictly controlled and space is
limited. Members of the public wishing
to take part in the meeting should
telephone the Fine Arts Office at (202)
647–1990 or send an email to
WallaceJA@State.gov by April 15 to
make arrangements to enter the
building. The public may take part in
the discussion as long as time permits
and at the discretion of the chairman.
Dated: April 9, 2014.
Marcee Craighill,
Fine Arts Committee, Department of State.
[FR Doc. 2014–08115 Filed 4–9–14; 8:45 am]
BILLING CODE 4710–35–P
DEPARTMENT OF STATE
[Public Notice 8690]
Notice of Public Comments on FY 2015
U.S. Refugee Admissions Program
The United States actively supports
efforts to provide protection, assistance,
and durable solutions for refugees. The
U.S. Refugee Admissions Program
(USRAP) is a critical component of the
United States’ overall refugee protection
efforts around the globe. In Fiscal Year
2014, the President established the
refugee admissions level into the United
States of up to 70,000 refugees.
As we begin to prepare the FY 2015
U.S. Refugee Admission Program, we
welcome the public’s input. Persons
wishing to submit written comments on
the appropriate size and scope of the FY
2015 U.S. Refugee Admissions Program
should submit them by 5 p.m. on
Thursday, May 29, 2014 via email to
spruellda@state.gov or fax (202) 453–
9393.
If you have questions about
submitting written comments, please
contact Delicia Spruell, PRM/
E:\FR\FM\10APN1.SGM
10APN1
Agencies
[Federal Register Volume 79, Number 69 (Thursday, April 10, 2014)]
[Notices]
[Pages 19956-19958]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-07995]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-71881; File No. SR-MIAX-2014-14]
Self-Regulatory Organizations; Miami International Securities
Exchange LLC; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change To Extend the Pilot Period Applicable to Rule 530
Relating to Limit Up/Limit Down
April 4, 2014.
Pursuant to the provisions of 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 April 3, 2014, Miami International Securities
Exchange LLC (``MIAX'' or ``Exchange'') filed with the Securities and
Exchange Commission (``Commission'') a 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 is filing a proposal to amend Rule 530 to extend the
pilot period for the treatment of erroneous transactions during a Limit
or Straddle State.
The text of the proposed rule change is available on the Exchange's
Web site at https://www.miaxoptions.com/filter/wotitle/rule_filing, at
MIAX's principal office, 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
The Exchange proposes to amend Rule 530 (Limit Up-Limit Down) in
order to (i) extend the pilot period for the treatment of erroneous
transactions that occur in a Limit or Straddle State until February 20,
2015; and (ii) to provide that paragraphs (a)-(i) of the Rule shall be
in effect during a pilot period to coincide with the pilot period for
the Plan to Address Extraordinary Market Volatility Pursuant to Rule
608 of Regulation NMS.
Exchange Rule 530(j) provides for the treatment of erroneous
transactions occurring during Limit and Straddle States. Specifically,
once an NMS Stock has entered a Limit or Straddle State, the Exchange
will nullify a transaction in an option overlying such an NMS Stock as
provided in the Rule 530(j). This provision was adopted for a one year
pilot period beginning on the date of the implementation of the Plan to
Address Extraordinary Market Volatility Pursuant to Rule 608 of
Regulation NMS, April 8, 2013.\3\ The Exchange proposes extending the
pilot period for Rule 530(j) until February 20, 2015 in order to allow
the Exchange and the Commission additional time to collect and analyze
data regarding the impact of Rule 530(j) on liquidity and market
quality in the options markets.
---------------------------------------------------------------------------
\3\ See Exchange Rule 503(j). See also Securities Exchange Act
Release Nos. 69210 (March 22, 2013), 78 FR 18637 (March 27, 2013)
(SR-MIAX-2013-12); 69342 (April 8, 2013), 78 FR 22017 (April 12,
2013) (SR-MIAX-2013-12); 69234 (March 25, 2013), 78 FR 19344 (March
29, 2013) (SR-MIAX-2013-15); 69354 (April 9, 2013), 78 FR 22357
(April 15, 2013) (SR-MIAX-2013-15).
---------------------------------------------------------------------------
To assist the Commission in its analysis, the Exchange will
continue to provide the Commission with data and analysis during the
duration of the pilot in order to evaluate the impact of Limit and
Straddle States on liquidity and market quality in the options markets.
Specifically, by September 30, 2014, the Exchange represents that it
shall provide the Commission assessments relating to the impact of the
obvious error Rules during Limit and Straddle States that (i) evaluate
the statistical and economic impact of Limit and Straddle States on
liquidity and market quality in the options markets; and (ii) assess
whether the lack of obvious error rules in effect during the Straddle
and Limit States are problematic. Additionally, each month during the
pilot period the Exchange shall provide to the Commission and the
public a dataset containing the data for each Straddle and Limit State
in optionable stocks. For each stock that reaches a Straddle or Limit
State, the number of options included in the dataset can be reduced by
selecting options in which at least one (1) trade occurred on the
Exchange during the Straddle or Limit State. For each of those options
affected, each data record should contain the following information:
(i) Stock symbol, option symbol, time at the start of the straddle or
limit state, an indicator for whether it is a straddle or limit state;
and (ii) for activity on the exchange--(A) executed volume, time-
weighted quoted bid-ask spread, time-weighted average quoted depth at
the bid, time-weighted average quoted depth at the offer, (B) high
execution price, low execution price, (C) number of trades for which a
request for review for error was received during Straddle and Limit
States, (D) an indicator variable for whether those options outlined
above have a price change exceeding 30% during the underlying stock's
Limit or Straddle state compared to the last available option price as
reported by OPRA before the start of the Limit or Straddle state (1 if
observe 30% and 0 otherwise) and another indicator variable for whether
the option price within five minutes of the underlying stock leaving
the Limit or Straddle state (or halt if applicable) is 30% away from
the price before the
[[Page 19957]]
start of the Limit or Straddle state. The Exchange notes that it will
also update the data available on the Exchange's Web site for the
period April 2013 through January 2014 with the revised parameters
described above once the Exchange has completed its analysis and review
of such data.
The Exchange also proposes to amend Rule 530 to provide that
paragraphs (a)-(i) of the Rule shall be in effect during a pilot period
to coincide with the pilot period for the Plan to Address Extraordinary
Market Volatility Pursuant to Rule 608 of Regulation NMS. The proposed
change will allow the Exchange's Limit Up-Limit Down Rule to continue
without interruption for as long as corresponding pilot period for the
Plan to Address Extraordinary Market Volatility Pursuant to Rule 608 of
Regulation NMS remains in effect and will also more closely align the
pilot language to that of other options exchanges.\4\
---------------------------------------------------------------------------
\4\ See NYSE MKT Rule 953.1NY; NYSE Arca Options Rule 6.65A.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that its proposed rule change is consistent
with Section 6(b) \5\ of the Act in general, and furthers the
objectives of Section 6(b)(5) \6\ of the Act in particular, in that it
is designed to prevent fraudulent and manipulative acts and practices,
to promote just and equitable principles of trade, to foster
cooperation and coordination with persons engaged in facilitating
transactions in securities, to remove impediments to and perfect the
mechanisms of a free and open market and a national market system and,
in general, to protect investors and the public interest. Specifically,
the proposal supports the objectives of perfecting the mechanism of a
free and open market and the national market system because it promotes
uniformity across markets concerning when and how to halt trading in
all stock options as a result of extraordinary market volatility. In
addition, the Exchange believes that the extension of the pilot will
help ensure that market participants continue to benefit from the
protections of the Limit Up-Limit Down Rules which will protect
investors and the public interest while allowing the Exchange and the
Commission additional time to collect and analyze data regarding the
impact of Rules on liquidity and market quality in the options markets.
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\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act. The proposed changes are being
made to extend the pilot program that provides for how the Exchange
shall treat orders and quotes in options overlying NMS stocks when the
Limit Up-Limit Down Plan is in effect and will not impose any burden on
competition while providing certainty of treatment and execution of
options orders during periods of extraordinary volatility in the
underlying NMS stock, and facilitating appropriate liquidity during a
Limit State or Straddle State.
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
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 if consistent with the protection of investors
and the public interest, the proposed rule change has become effective
pursuant to Section 19(b)(3)(A) of the Act \7\ and Rule 19b-
4(f)(6)(iii) thereunder.\8\
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\7\ 15 U.S.C. 78s(b)(3)(A).
\8\ 17 CFR 240.19b-4(f)(6)(iii). As required under Rule 19b-
4(f)(6)(iii), the Exchange provided the Commission with written
notice of its intent to file the proposed rule change, along with a
brief description and the 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.
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The Exchange has asked the Commission to waive the 30-day operative
delay so that the proposal may become operative immediately upon
filing. The Exchange stated that waiver of this requirement will allow
the Exchange to extend the pilot program prior to its expiration on
April 8, 2014. For this reason, the Commission believes that the
proposed rule change presents no novel issues and that waiver of the
30-day operative delay is consistent with the protection of investors
and the public interest. Therefore, the Commission designates the
proposed rule change to be operative upon filing.\9\
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\9\ 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 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 shall institute proceedings 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 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-MIAX-2014-14 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-MIAX-2014-14. 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
[[Page 19958]]
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-MIAX-2014-14 and should be submitted on or before May 1,
2014.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-07995 Filed 4-9-14; 8:45 am]
BILLING CODE 8011-01-P