Self-Regulatory Organizations; Chicago Mercantile Exchange Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Fee Schedule Applicable to Its OTC Credit Default Swap Clearing Offering, 73655-73656 [2014-29003]
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Federal Register / Vol. 79, No. 238 / Thursday, December 11, 2014 / Notices
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–EDGA–
2014–29 and should be submitted on or
before January 2, 2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.16
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–29007 Filed 12–10–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73752; File No. SR–CME–
2014–55]
Self-Regulatory Organizations;
Chicago Mercantile Exchange Inc.;
Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change To Amend the Fee Schedule
Applicable to Its OTC Credit Default
Swap Clearing Offering
December 5, 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 December
1, 2014, Chicago Mercantile Exchange
Inc. (‘‘CME’’) 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 CME. CME filed the
proposal pursuant to Section
19(b)(3)(A)(ii) of the Act,3 and Rule
19b–4(f)(2) 4 thereunder, so that the
proposal was effective upon filing with
the Commission. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
mstockstill on DSK4VPTVN1PROD with NOTICES
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
CME is proposing to amend the fee
schedule that currently applies to its
OTC Credit Default Swap (‘‘CDS’’) index
clearing offering. The text of the
proposed rule change is available on
CME’s Web site at https://
www.cmegroup.com, at the principal
office of CME, and at the Commission’s
Public Reference Room.
16 17
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
VerDate Sep<11>2014
19:07 Dec 10, 2014
Jkt 235001
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
CME 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. CME 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
CME is registered as a derivatives
clearing organization with the
Commodity Futures Trading
Commission (‘‘CFTC’’) and currently
offers clearing services for many
different futures and swaps products.
With this filing, CME proposes to make
certain amendments to the current fee
schedule that applies to its OTC CDS
index clearing offering. The changes
described in this filing are limited to
products that fall under the exclusive
jurisdiction of the CFTC.
The first set of proposed
modifications specifies the fees that will
apply to iTraxx Index Products that will
be cleared by CME once the product is
made available for clearing. This is
scheduled to occur on December 8, 2014
or whenever applicable regulatory
approvals are obtained. In general,
iTraxx products will have the same fee
schedule as the similar North American
CDX products that CME currently
clears, but will be charged in Euros as
opposed to U.S. Dollars. Additionally,
the proposed modifications will also
feature a temporary discount on these
products to all clients.
The second set of proposed
modifications relate to the volumebased tiers that are currently offered in
connection with CME’s North American
CDX index product offering. These
proposed modifications would lower
certain of the current tier thresholds.
These changes would become
operational on January 1, 2015.
The proposed fee changes are limited
to CME’s business as a derivatives
clearing organization clearing products
and do not impact security-based swaps
in any way. CME has also certified the
proposed rule changes that are the
subject of this filing to the CFTC in
CFTC Submission 14–441.
CME believes the proposed rule
change is consistent with the
PO 00000
Frm 00114
Fmt 4703
Sfmt 4703
73655
requirements of the Act including
Section 17A of the Act.5 More
specifically, the proposed rule change
establishes or changes a member due,
fee or other charge imposed by CME
under Section 19(b)(3)(A)(ii) 6 of the Act
and Rule 19b–4(f)(2) 7 thereunder. CME
believes that the proposed fee change is
consistent with the requirements of the
Act and the rules and regulations
thereunder and, in particular, to Section
17A(b)(3)(D) of the Act,8 because the
proposed fee changes apply equally to
all market participants clearing covered
products and therefore the proposed
changes provide for the equitable
allocation of reasonable dues, fees and
other charges among participants. CME
also notes that it operates in a highly
competitive market in which market
participants can readily direct business
to competing venues. As such, the
proposed changes are appropriately
filed pursuant to Section 19(b)(3)(A)(ii) 9
of the Act and Rule 19b–4(f)(2) 10
thereunder.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CME does not believe that the
proposed rule change will have any
impact, or impose any burden, on
competition. The proposed
modifications will introduce pricing for
a new OTC CDS index swap offering
and will make minor modifications to
the pricing schedules for current OTC
CDS index clearing offerings. These
products are swaps under the exclusive
jurisdiction of the CFTC, and, as such,
these proposed changes do not affect the
security-based swap clearing activities
of CME in any way and therefore do not
impose any burden on competition that
is inappropriate 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
CME has not solicited, and does not
intend to solicit, comments regarding
this proposed rule change. CME has not
received any unsolicited written
comments from interested parties.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective upon filing pursuant to Section
5 15
U.S.C. 78q–1.
U.S.C. 78s(b)(3)(A)(ii).
7 17 CFR 240.19b–4(f)(2).
8 15 U.S.C. 78q–1(b)(3)(D).
9 15 U.S.C. 78s(b)(3)(A)(ii).
10 17 CFR 240.19b–4(f)(2).
6 15
E:\FR\FM\11DEN1.SGM
11DEN1
73656
Federal Register / Vol. 79, No. 238 / Thursday, December 11, 2014 / Notices
19(b)(3)(A)(ii) 11 of the Act and Rule
19b–4(f)(2) 12 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:
mstockstill on DSK4VPTVN1PROD 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–
CME–2014–55 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–CME–2014–55. 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 will also be available for
inspection and copying at the principal
office of CME and on CME’s Web site at
https://www.cmegroup.com/marketregulation/rule-filings.html.
11 15
12 17
U.S.C. 78s(b)(3)(A)(ii).
CFR 240.19b–4(f)(2).
VerDate Sep<11>2014
19:07 Dec 10, 2014
Jkt 235001
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–CME–2014–55 and should
be submitted on or before January 2,
2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–29003 Filed 12–10–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73760; File No. SR–EDGX–
2014–29]
Self-Regulatory Organizations; EDGX
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Eliminate Reference to
the EdgeRisk Gateway in Rule 13.10 of
EDGX Exchange, Inc.
December 5, 2014.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on November
25, 2014, EDGX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘EDGX’’) 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 Exchange has
designated this proposal as a ‘‘noncontroversial’’ proposed rule change
pursuant to Section 19(b)(3)(A) of the
Act 3 and Rule 19b–4(f)(6)(iii)
thereunder,4 which renders it effective
upon filing with the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange is proposing to
eliminate reference in Rule 13.10 to the
EdgeRisk GatewaySM, which is a risk
management tool that is to be
discontinued by the Exchange. The
Exchange also proposes to delete the
13 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A).
4 17 CFR 240.19b–4(f)(6)(iii).
1 15
PO 00000
Frm 00115
Fmt 4703
Sfmt 4703
fees related to EdgeRisk GatewaySM
from its fee schedule.
The text of the proposed rule change
is available at the Exchange’s Web site
at https://www.directedge.com/, at the
principal office of the Exchange, 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 parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to delete
reference to the EdgeRisk GatewaySM in
Rule 13.10 as well as its related fees
from the Exchange’s fee schedule. In
sum, the EdgeRisk GatewaySM is an
optional fee-based risk management tool
that provides Members and nonMembers the option to obtain dedicated
primary and backup access gateways 5
in addition to, or in place of, a shared
access gateway.6 The tool was intended
to assist subscribers’ efforts to mitigate
the risks associated with disruptions
caused by excessive message traffic or
programming mistakes experienced via
5 The Exchange currently offers logical ports
through which orders are submitted to the
Exchange, receive drop copies of orders and
execution messages, and receive transmission of
depth of book data (‘‘Logical Ports’’). Each Logical
Port is assigned an access gateway that performs
order validations and manages the cycle of a
submitted order’s flow of information back to the
Member. The access gateway performs functions
such as message validation, acknowledgement
messaging, risk checks, matching engine routing
and execution messaging. The Exchange currently
assigns Members’ and non-Members’ Logical Ports
to the access gateways through a standard method
that accounts for the relative message traffic
expected over the Logical Port as well as
redundancy requirements, where an access gateway
contains assigned Logical Ports for a number of
firms. The Exchange assigns Member and nonMember sessions to multiple access gateways so
that the failure of one gateway may not result in the
loss of access.
6 See Securities Exchange Act Release No. 69855
(June 25, 2013), 78 FR 39386 (SR–EDGX–2013–21)
(Notice of Filing and Immediate Effectiveness of
Proposed Rule Change to Offer and Establish Fees
for a New Exchange Service, EdgeRisk Gateways).
E:\FR\FM\11DEN1.SGM
11DEN1
]]>Agencies
[Federal Register Volume 79, Number 238 (Thursday, December 11, 2014)]
[Notices]
[Pages 73655-73656]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-29003]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-73752; File No. SR-CME-2014-55]
Self-Regulatory Organizations; Chicago Mercantile Exchange Inc.;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Amend the Fee Schedule Applicable to Its OTC Credit Default Swap
Clearing Offering
December 5, 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 December 1, 2014, Chicago Mercantile Exchange Inc. (``CME'')
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 CME. CME filed the proposal
pursuant to Section 19(b)(3)(A)(ii) of the Act,\3\ and Rule 19b-4(f)(2)
\4\ thereunder, so that the proposal was effective upon filing with the
Commission. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
CME is proposing to amend the fee schedule that currently applies
to its OTC Credit Default Swap (``CDS'') index clearing offering. The
text of the proposed rule change is available on CME's Web site at
https://www.cmegroup.com, at the principal office of CME, 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, CME 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. CME 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
CME is registered as a derivatives clearing organization with the
Commodity Futures Trading Commission (``CFTC'') and currently offers
clearing services for many different futures and swaps products. With
this filing, CME proposes to make certain amendments to the current fee
schedule that applies to its OTC CDS index clearing offering. The
changes described in this filing are limited to products that fall
under the exclusive jurisdiction of the CFTC.
The first set of proposed modifications specifies the fees that
will apply to iTraxx Index Products that will be cleared by CME once
the product is made available for clearing. This is scheduled to occur
on December 8, 2014 or whenever applicable regulatory approvals are
obtained. In general, iTraxx products will have the same fee schedule
as the similar North American CDX products that CME currently clears,
but will be charged in Euros as opposed to U.S. Dollars. Additionally,
the proposed modifications will also feature a temporary discount on
these products to all clients.
The second set of proposed modifications relate to the volume-based
tiers that are currently offered in connection with CME's North
American CDX index product offering. These proposed modifications would
lower certain of the current tier thresholds. These changes would
become operational on January 1, 2015.
The proposed fee changes are limited to CME's business as a
derivatives clearing organization clearing products and do not impact
security-based swaps in any way. CME has also certified the proposed
rule changes that are the subject of this filing to the CFTC in CFTC
Submission 14-441.
CME believes the proposed rule change is consistent with the
requirements of the Act including Section 17A of the Act.\5\ More
specifically, the proposed rule change establishes or changes a member
due, fee or other charge imposed by CME under Section 19(b)(3)(A)(ii)
\6\ of the Act and Rule 19b-4(f)(2) \7\ thereunder. CME believes that
the proposed fee change is consistent with the requirements of the Act
and the rules and regulations thereunder and, in particular, to Section
17A(b)(3)(D) of the Act,\8\ because the proposed fee changes apply
equally to all market participants clearing covered products and
therefore the proposed changes provide for the equitable allocation of
reasonable dues, fees and other charges among participants. CME also
notes that it operates in a highly competitive market in which market
participants can readily direct business to competing venues. As such,
the proposed changes are appropriately filed pursuant to Section
19(b)(3)(A)(ii) \9\ of the Act and Rule 19b-4(f)(2) \10\ thereunder.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78q-1.
\6\ 15 U.S.C. 78s(b)(3)(A)(ii).
\7\ 17 CFR 240.19b-4(f)(2).
\8\ 15 U.S.C. 78q-1(b)(3)(D).
\9\ 15 U.S.C. 78s(b)(3)(A)(ii).
\10\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
CME does not believe that the proposed rule change will have any
impact, or impose any burden, on competition. The proposed
modifications will introduce pricing for a new OTC CDS index swap
offering and will make minor modifications to the pricing schedules for
current OTC CDS index clearing offerings. These products are swaps
under the exclusive jurisdiction of the CFTC, and, as such, these
proposed changes do not affect the security-based swap clearing
activities of CME in any way and therefore do not impose any burden on
competition that is inappropriate 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
CME has not solicited, and does not intend to solicit, comments
regarding this proposed rule change. CME has not received any
unsolicited written comments from interested parties.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective upon filing pursuant
to Section
[[Page 73656]]
19(b)(3)(A)(ii) \11\ of the Act and Rule 19b-4(f)(2) \12\ 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.
---------------------------------------------------------------------------
\11\ 15 U.S.C. 78s(b)(3)(A)(ii).
\12\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
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-CME-2014-55 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-CME-2014-55. 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 will also be available
for inspection and copying at the principal office of CME and on CME's
Web site at https://www.cmegroup.com/market-regulation/rule-filings.html.
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-CME-2014-55
and should be submitted on or before January 2, 2015.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
---------------------------------------------------------------------------
\13\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-29003 Filed 12-10-14; 8:45 am]
BILLING CODE 8011-01-P
