Self-Regulatory Organizations; ICE Clear Europe Limited; Notice of Filing of Proposed Rule Change Relating to ICE Clear Europe Board Risk Committee, 70251-70253 [2014-27843]
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Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Notices
the Commission of any written
comments received by NSCC.
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) 8 of the Act and paragraph (f)
of Rule 19b–4 9 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.
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:
wreier-aviles on DSK4TPTVN1PROD with NOTICES
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–
NSCC–2014–10 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–NSCC–2014–10. 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 NSCC and on NSCC’s Web site
at https://dtcc.com/legal/sec-rulefilings.aspx. 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–NSCC–
2014–10 and should be submitted on or
before December 16, 2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–27842 Filed 11–24–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73645; File No. SR–ICEEU–
2014–22]
Self-Regulatory Organizations; ICE
Clear Europe Limited; Notice of Filing
of Proposed Rule Change Relating to
ICE Clear Europe Board Risk
Committee
November 18, 2014.
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 November
10, 2014, ICE Clear Europe Limited
(‘‘ICE Clear Europe’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared primarily by ICE Clear Europe.
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 principal purpose of the
proposed changes is to establish a risk
committee (the ‘‘Board Risk
Committee’’) which would advise the
ICE Clear Europe Board (the ‘‘Board’’)
on certain clearing house-wide risk
management matters.
10 17
8 15
9 17
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f).
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70251
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, ICE
Clear Europe 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. ICE
Clear Europe has prepared summaries,
set forth in sections A, B, and C below,
of the most significant aspects of these
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
(a) Purpose
The purpose of the amendments is for
ICE Clear Europe to establish the Board
Risk Committee. Establishment of the
Board Risk Committee is required under
Article 28 of the European Market
Infrastructure Regulation (‘‘EMIR’’),3
which will apply to ICE Clear Europe as
an authorized central counterparty. The
Board Risk Committee will advise the
Board with respect to various firm-wide
risk management matters, with the goal
of enabling the Board to ensure that ICE
Clear Europe (i) implements and
maintains agreed risk management
procedures, processes and controls, (ii)
provides appropriate access to
participation in its clearing services and
(iii) appropriately considers the
interests of non-clearing member users
of cleared products, including with
respect to account segregation and
collateral protection. The activities of
the Board Risk Committee will relate to
all categories of products cleared at ICE
Clear Europe, and are in addition to ICE
Clear Europe’s existing product-specific
risk committees (F&O, CDS and FX).
Pursuant to its terms of reference, the
Board Risk Committee will report
directly to the Board and receive and
review all recommendations from each
of the product-specific risk committees.
The Board Risk Committee will
undertake at least annual reviews of
business risk mitigation procedures and
controls and will have oversight of all
risks facing ICE Clear Europe, including
counterparty credit risk (across all
clearing services) and non-counterparty
credit risk matters, such as operational
and liquidity risk. The Board Risk
Committee will also advise the Board
3 Regulation (EU) No 648/2012 of the European
Parliament and of the Council of 4 July 2012 on
OTC derivatives, central counterparties and trade
repositories.
E:\FR\FM\25NON1.SGM
25NON1
wreier-aviles on DSK4TPTVN1PROD with NOTICES
70252
Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Notices
regarding any arrangements that may
materially impact the risk management
of ICE Clear Europe, such as a
significant change in its criteria for
accepting clearing members, clearing in
new markets, or outsourcing of certain
functions. The advice of the Board Risk
Committee is not required for the daily
operations of ICE Clear Europe.
The Board Risk Committee will be
provided (in addition to other relevant
information) with results and analysis of
back-testing, sensitivity testing, stress
testing and reverse stress testing in
respect of any review of margin models,
methodologies and/or the liquidity risk
management framework. The Board Risk
Committee will also consider any other
issues that may be referred to it by the
Board and/or executive, including the
exercise of discretion in relation to
recovery arrangements under the Rules.
In the course of its work the Board
Risk Committee may obtain external
legal or other independent advice and
secure the attendance of third parties
with relevant experience and expertise
if it considers this necessary.
The Board Risk Committee will
consist of at least two and up to four
Clearing Member representatives and at
least two and up to four customer
representatives, in each case appointed
by the Chairman of the Board Risk
Committee following consideration by
the ICE Clear Europe Nominations
Committee. The Chairman of the Board
Risk Committee will be an independent
non-executive director of ICE Clear
Europe appointed by the Board and will
be a full voting member of the
committee. Any member of the Board
Risk Committee may be removed by the
Board without cause. The composition
of the Board Risk Committee will be
reviewed on an annual basis to
determine whether the committee has
appropriate representation of Clearing
Members, customers and independent
non-executive directors, and
appropriate representation of expertise
and experience in relevant risk
disciplines, including market, credit
and operational risk. Based on this
review, the Chairman may determine to
request the resignation of one or more
committee members and/or appoint one
or more additional committee members
to achieve such appropriate
representation.
The ICE Clear Europe Chief Risk
Officer, President and other appropriate
ICE Clear Europe staff members will
attend Board Risk Committee meetings
in a non-voting capacity. In addition,
the chairs of any groups or committees
involved in the development of risk
policies and a representative from each
of the markets cleared by ICE Clear
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14:41 Nov 24, 2014
Jkt 235001
Europe will have a right to attend, but
not vote, at Board Risk Committee
meetings. The Board Risk Committee
may also invite external independent
experts to attend meetings in a nonvoting capacity. A quorum will be a
minimum of four members, one of
whom must be a customer
representative and one of whom must be
a Clearing Member representative. (The
Chairman of the committee will count
toward the quorum for this purpose.)
Each Board Risk Committee member
will have one vote and decisions of the
Board Risk Committee will be made by
a simple majority, provided that if the
committee is evenly divided, the
Chairman may cast a deciding vote (in
addition to the Chairman’s normal vote
as a member of the committee).
Meetings will be held as needed and at
least quarterly.
(b) Statutory Basis
ICE Clear Europe believes that the
proposed rule change is consistent with
the requirements of Section 17A of the
Act 4 and the regulations thereunder
applicable to it, including the standards
under Rule 17Ad–22.5 Section
17A(b)(3)(F) of the Act 6 requires, among
other things, that the rules of a clearing
agency be designed to promote the
prompt and accurate clearance and
settlement of securities transactions
and, to the extent applicable, derivative
agreements, contracts, and transactions.
The establishment of the Board Risk
Committee is intended to enhance the
governance structure and overall risk
management of the Clearing House, in
compliance with the requirements of
EMIR. As described above, the Board
Risk Committee is intended to advise
the Board with respect to a range of
enterprise-wide risk management
matters across all product categories. It
is also designed to provide appropriate
representation for both Clearing
Members and customers, and thereby to
enable the Board to ensure that it
provides appropriate access to
participation in clearing services and
that the interests of Clearing Members
and customers are appropriately
considered. As a result, ICE Clear
Europe believes that the proposed rule
change will promote the prompt and
accurate clearance and settlement of
cleared transactions, and in general is
designed to protect investors and the
public interest, within the meaning of
Section 17A(b)(3)(F).7 In addition, the
change is consistent with the
4 15
U.S.C. 78q–1.
CFR 240.17Ad–22.
6 15 U.S.C. 78q–1(b)(3)(F).
7 Id.
5 17
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Frm 00097
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Sfmt 4703
requirements of Rule 17Ad–22(d)(8),8
which requires that a clearing agency
have governance arrangements that are
clear and transparent to fulfill the
public interest requirements of Section
17A of the Act applicable to clearing
agencies, to support the objectives of
owners and participants, and to promote
the effectiveness of the clearing agency’s
risk management procedures. As set
forth above, the Board Risk Committee
is intended to enhance the Board’s
ability to oversee enterprise-wide risk
management for all product categories,
and to provide representation to, and
take into account the interests of, both
Clearing Members and their customers.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
ICE Clear Europe does not believe the
proposed amendments would have any
impact, or impose any burden, on
competition not necessary or
appropriate in furtherance of the
purposes of the Act. The change will not
affect the terms or conditions of any
cleared contract or the standards or
requirements for participation in or use
of the Clearing House, and accordingly
should not, in the Clearing House’s
view, affect the availability of clearing,
access to clearing services or the costs
of clearing for clearing members or other
market participants. ICE Clear Europe
further believes that the establishment
of the Board Risk Committee will
strengthen its risk management
capabilities and governance, as required
in order to comply with EMIR. As a
result, ICE Clear Europe believes that
any impact on competition is
appropriate in furtherance of the
purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants or Others
Written comments relating to the
proposed changes to the rules have not
been solicited or received. ICE Clear
Europe will notify the Commission of
any written comments received by ICE
Clear Europe.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Within 45 days of the date of
publication of this notice in the Federal
Register or within such longer period
up to 90 days of such date (i) as the
Commission may designate if it finds
such longer period to be appropriate
and publishes its reasons for so finding
or (ii) as to which the self-regulatory
8 17
CFR 240.17Ad–22(d)(8).
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Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Notices
organization consents, the Commission
will:
(A) By order approve or disapprove
the proposed rule change; or
(B) institute proceedings to determine
whether the proposed rule change
should be 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:
submissions should refer to File
Number SR–ICEEU–2014–22 and
should be submitted on or before
December 16,2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–27843 Filed 11–24–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
wreier-aviles on DSK4TPTVN1PROD with NOTICES
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–
ICEEU–2014–22 on the subject line.
[Release No. 34–73648; File No. SR–
NASDAQ–2014–108]
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–ICEEU–2014–22. 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 such
filings also will be available for
inspection and copying at the principal
office of ICE Clear Europe and on ICE
Clear Europe’s Web site at https://
www.theice.com/clear-europe/
regulation.
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
November 19, 2014.
VerDate Sep<11>2014
14:41 Nov 24, 2014
Jkt 235001
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Modify
NASDAQ Rule 7018 Fees
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 November
12, 2014, The NASDAQ Stock Market
LLC (‘‘NASDAQ’’ or the ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) a
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
NASDAQ is proposing to modify
NASDAQ Rule 7018 fees assessed for
execution and routing securities listed
on NASDAQ, the New York Stock
Exchange (‘‘NYSE’’) and on exchanges
other than NASDAQ and NYSE.
The text of the proposed rule change
is available at nasdaq.cchwallstreet.com
at NASDAQ’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,
NASDAQ included statements
concerning the purpose of, and basis for,
the proposed rule change and discussed
any comments it received on the
9 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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70253
proposed rule change. The text of those
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 parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
NASDAQ is proposing to amend
NASDAQ Rule 7018(1), (2) and (3) to
modify fees assessed for execution and
routing securities listed on NASDAQ
(‘‘Tape C’’), NYSE (‘‘Tape A’’) and on
exchanges other than NASDAQ and the
NYSE (‘‘Tape B’’), respectively,
(together, the ‘‘Tapes’’) as well as the
opening and closing crosses (‘‘Opening
and Closing Crosses’’) in NASDAQ Rule
7018(d) and (e).
The Exchange is proposing across all
of the tapes (the ‘‘Tapes’’) an increase to
the fee for a firm that executes against
resting midpoint liquidity from $0.0027
per share executed to $0.0030 per share
executed. NASDAQ is seeking to
harmonize the remove rate for orders
whether or not they execute against the
midpoint so that the remove rate for
orders is certain before the order is
entered. Therefore, the Exchange is
proposing to increase the charge from
$0.0027 to $0.0030 per share executed
across all the tapes.
NASDAQ is also proposing to
eliminate across all of the tapes the
current $0.00293 per share executed
rebate for a member with shares of
liquidity provided in all securities
through one or more of its Nasdaq
Market Center MPIDs that represent
more than 0.10% of Consolidated
Volume during the month, with shares
executed in the Opening and Closing
Cross that represent more than 0.20% of
Consolidated Volume and orders
entered through a single Nasdaq Market
Center MPID that represent more than
0.50% of Consolidated Volume during
the month. NASDAQ believes that the
elimination of this rebate is warranted
since it has failed to increase liquidity
in Tape A, B or C securities or to
provide members with additional
incentive to improve market quality.
The Exchange is also proposing to
modify and add new rebates across all
of the tapes. Specifically, NASDAQ is
proposing to expand and modify the
credit for non-displayed orders (other
than Supplemental Orders) that provide
liquidity. The rebate will now include a
$0.0025 per share executed for midpoint
orders. It will be offered provided that
E:\FR\FM\25NON1.SGM
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Agencies
[Federal Register Volume 79, Number 227 (Tuesday, November 25, 2014)]
[Notices]
[Pages 70251-70253]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-27843]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-73645; File No. SR-ICEEU-2014-22]
Self-Regulatory Organizations; ICE Clear Europe Limited; Notice
of Filing of Proposed Rule Change Relating to ICE Clear Europe Board
Risk Committee
November 18, 2014.
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 November 10, 2014, ICE Clear Europe Limited (``ICE Clear Europe'')
filed with the Securities and Exchange Commission (``Commission'') the
proposed rule change as described in Items I, II, and III below, which
Items have been prepared primarily by ICE Clear Europe. 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 principal purpose of the proposed changes is to establish a
risk committee (the ``Board Risk Committee'') which would advise the
ICE Clear Europe Board (the ``Board'') on certain clearing house-wide
risk management matters.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, ICE Clear Europe 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. ICE Clear Europe has prepared summaries,
set forth in sections A, B, and C below, of the most significant
aspects of these statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
(a) Purpose
The purpose of the amendments is for ICE Clear Europe to establish
the Board Risk Committee. Establishment of the Board Risk Committee is
required under Article 28 of the European Market Infrastructure
Regulation (``EMIR''),\3\ which will apply to ICE Clear Europe as an
authorized central counterparty. The Board Risk Committee will advise
the Board with respect to various firm-wide risk management matters,
with the goal of enabling the Board to ensure that ICE Clear Europe (i)
implements and maintains agreed risk management procedures, processes
and controls, (ii) provides appropriate access to participation in its
clearing services and (iii) appropriately considers the interests of
non-clearing member users of cleared products, including with respect
to account segregation and collateral protection. The activities of the
Board Risk Committee will relate to all categories of products cleared
at ICE Clear Europe, and are in addition to ICE Clear Europe's existing
product-specific risk committees (F&O, CDS and FX).
---------------------------------------------------------------------------
\3\ Regulation (EU) No 648/2012 of the European Parliament and
of the Council of 4 July 2012 on OTC derivatives, central
counterparties and trade repositories.
---------------------------------------------------------------------------
Pursuant to its terms of reference, the Board Risk Committee will
report directly to the Board and receive and review all recommendations
from each of the product-specific risk committees. The Board Risk
Committee will undertake at least annual reviews of business risk
mitigation procedures and controls and will have oversight of all risks
facing ICE Clear Europe, including counterparty credit risk (across all
clearing services) and non-counterparty credit risk matters, such as
operational and liquidity risk. The Board Risk Committee will also
advise the Board
[[Page 70252]]
regarding any arrangements that may materially impact the risk
management of ICE Clear Europe, such as a significant change in its
criteria for accepting clearing members, clearing in new markets, or
outsourcing of certain functions. The advice of the Board Risk
Committee is not required for the daily operations of ICE Clear Europe.
The Board Risk Committee will be provided (in addition to other
relevant information) with results and analysis of back-testing,
sensitivity testing, stress testing and reverse stress testing in
respect of any review of margin models, methodologies and/or the
liquidity risk management framework. The Board Risk Committee will also
consider any other issues that may be referred to it by the Board and/
or executive, including the exercise of discretion in relation to
recovery arrangements under the Rules.
In the course of its work the Board Risk Committee may obtain
external legal or other independent advice and secure the attendance of
third parties with relevant experience and expertise if it considers
this necessary.
The Board Risk Committee will consist of at least two and up to
four Clearing Member representatives and at least two and up to four
customer representatives, in each case appointed by the Chairman of the
Board Risk Committee following consideration by the ICE Clear Europe
Nominations Committee. The Chairman of the Board Risk Committee will be
an independent non-executive director of ICE Clear Europe appointed by
the Board and will be a full voting member of the committee. Any member
of the Board Risk Committee may be removed by the Board without cause.
The composition of the Board Risk Committee will be reviewed on an
annual basis to determine whether the committee has appropriate
representation of Clearing Members, customers and independent non-
executive directors, and appropriate representation of expertise and
experience in relevant risk disciplines, including market, credit and
operational risk. Based on this review, the Chairman may determine to
request the resignation of one or more committee members and/or appoint
one or more additional committee members to achieve such appropriate
representation.
The ICE Clear Europe Chief Risk Officer, President and other
appropriate ICE Clear Europe staff members will attend Board Risk
Committee meetings in a non-voting capacity. In addition, the chairs of
any groups or committees involved in the development of risk policies
and a representative from each of the markets cleared by ICE Clear
Europe will have a right to attend, but not vote, at Board Risk
Committee meetings. The Board Risk Committee may also invite external
independent experts to attend meetings in a non-voting capacity. A
quorum will be a minimum of four members, one of whom must be a
customer representative and one of whom must be a Clearing Member
representative. (The Chairman of the committee will count toward the
quorum for this purpose.) Each Board Risk Committee member will have
one vote and decisions of the Board Risk Committee will be made by a
simple majority, provided that if the committee is evenly divided, the
Chairman may cast a deciding vote (in addition to the Chairman's normal
vote as a member of the committee). Meetings will be held as needed and
at least quarterly.
(b) Statutory Basis
ICE Clear Europe believes that the proposed rule change is
consistent with the requirements of Section 17A of the Act \4\ and the
regulations thereunder applicable to it, including the standards under
Rule 17Ad-22.\5\ Section 17A(b)(3)(F) of the Act \6\ requires, among
other things, that the rules of a clearing agency be designed to
promote the prompt and accurate clearance and settlement of securities
transactions and, to the extent applicable, derivative agreements,
contracts, and transactions. The establishment of the Board Risk
Committee is intended to enhance the governance structure and overall
risk management of the Clearing House, in compliance with the
requirements of EMIR. As described above, the Board Risk Committee is
intended to advise the Board with respect to a range of enterprise-wide
risk management matters across all product categories. It is also
designed to provide appropriate representation for both Clearing
Members and customers, and thereby to enable the Board to ensure that
it provides appropriate access to participation in clearing services
and that the interests of Clearing Members and customers are
appropriately considered. As a result, ICE Clear Europe believes that
the proposed rule change will promote the prompt and accurate clearance
and settlement of cleared transactions, and in general is designed to
protect investors and the public interest, within the meaning of
Section 17A(b)(3)(F).\7\ In addition, the change is consistent with the
requirements of Rule 17Ad-22(d)(8),\8\ which requires that a clearing
agency have governance arrangements that are clear and transparent to
fulfill the public interest requirements of Section 17A of the Act
applicable to clearing agencies, to support the objectives of owners
and participants, and to promote the effectiveness of the clearing
agency's risk management procedures. As set forth above, the Board Risk
Committee is intended to enhance the Board's ability to oversee
enterprise-wide risk management for all product categories, and to
provide representation to, and take into account the interests of, both
Clearing Members and their customers.
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\4\ 15 U.S.C. 78q-1.
\5\ 17 CFR 240.17Ad-22.
\6\ 15 U.S.C. 78q-1(b)(3)(F).
\7\ Id.
\8\ 17 CFR 240.17Ad-22(d)(8).
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B. Self-Regulatory Organization's Statement on Burden on Competition
ICE Clear Europe does not believe the proposed amendments would
have any impact, or impose any burden, on competition not necessary or
appropriate in furtherance of the purposes of the Act. The change will
not affect the terms or conditions of any cleared contract or the
standards or requirements for participation in or use of the Clearing
House, and accordingly should not, in the Clearing House's view, affect
the availability of clearing, access to clearing services or the costs
of clearing for clearing members or other market participants. ICE
Clear Europe further believes that the establishment of the Board Risk
Committee will strengthen its risk management capabilities and
governance, as required in order to comply with EMIR. As a result, ICE
Clear Europe believes that any impact on competition is appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants or Others
Written comments relating to the proposed changes to the rules have
not been solicited or received. ICE Clear Europe will notify the
Commission of any written comments received by ICE Clear Europe.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days of such
date (i) as the Commission may designate if it finds such longer period
to be appropriate and publishes its reasons for so finding or (ii) as
to which the self-regulatory
[[Page 70253]]
organization consents, the Commission will:
(A) By order approve or disapprove the proposed rule change; or
(B) institute proceedings to determine whether the proposed rule
change should be 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-ICEEU-2014-22 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-ICEEU-2014-22. 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 such filings also will be available
for inspection and copying at the principal office of ICE Clear Europe
and on ICE Clear Europe's Web site at https://www.theice.com/clear-europe/regulation.
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-ICEEU-2014-22
and should be submitted on or before December 16, 2014.
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\9\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\9\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-27843 Filed 11-24-14; 8:45 am]
BILLING CODE 8011-01-P