Self-Regulatory Organizations; Chicago Mercantile Exchange Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Related to Position Limits and Position Accountability of the USD Malaysian Crude Palm Oil Calendar (Cleared Only) Contracts, 73921-73922 [2014-29178]
Download as PDF
Federal Register / Vol. 79, No. 239 / Friday, December 12, 2014 / Notices
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.
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–2014–29 and should
be submitted on or before January 2,
2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–29102 Filed 12–11–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73786; File No. SR–CME–
2014–54]
Self-Regulatory Organizations;
Chicago Mercantile Exchange Inc.;
Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change Related to Position Limits and
Position Accountability of the USD
Malaysian Crude Palm Oil Calendar
(Cleared Only) Contracts
mstockstill on DSK4VPTVN1PROD with NOTICES
December 8, 2014.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (‘‘Act’’
or ‘‘Exchange Act’’),1 and Rule 19b–4
thereunder,2 notice is hereby given that
on November 25, 2014, Chicago
Mercantile Exchange Inc. (‘‘CME’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’) the
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
proposed rule change described in Items
I, II and III, below, which Items have
been primarily prepared by CME. CME
filed the proposal pursuant to Section
19(b)(3)(A) of the Act,3 and Rule 19b–
4(f)(4)(ii) 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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
CME is filing a proposed rule change
that is limited to its business as a
derivatives clearing organization
(‘‘DCO’’). More specifically, the
proposed rule change would amend
rules related to the position limits and
position accountability of the USD
Malaysian Crude Palm Oil Calendar
(Cleared Only) Contract for clearing.
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 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 such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
CME is registered as a DCO with the
Commodity Futures Trading
Commission (‘‘CFTC’’) and offers
clearing services for many different
futures and swaps products. The
proposed rule change that is the subject
of this filing is limited to CME’s
business as a DCO offering clearing
services for CFTC-regulated swaps
products. More specifically, the
proposed rule change would amend
rules related to the position limits and
position accountability of the USD
Malaysian Crude Palm Oil Calendar
Swap (Cleared Only) Contract for
clearing.
The proposed amendment would
establish independent position
accountability levels for CME’s USD
Malaysian Crude Palm Oil Calendar
Swap (the ‘‘Swap’’). Feedback from
counterparties to the Swap suggests that
much of the participation in the product
involves commercial hedgers or
counterparties to commercial hedgers.
The Swap is not subject to mandatory
position limit requirements.
Transitioning from position limits to
position accountability levels will
facilitate the risk reduction practices of
commercial firms and promote the
continued participation of
counterparties to commercial hedgers.
Accordingly, CME proposes to
transition the Swap’s current position
limit of 2,800 contracts into new
position accountability levels to be set
at 2,800 contracts.
The amendment will be reflected in
the Position Limit, Position
Accountability and Reportable Level
Table and Header Notes located in the
Interpretations and Special Notices
Section of Chapter 5 of the CME
Rulebook.
The changes that are described in this
filing are limited to CME’s business as
a DCO clearing products under the
exclusive jurisdiction of the CFTC. The
changes will be effective on filing. CME
notes that it has also certified the
proposed rule change that is the subject
of this filing to its primary regulator, the
CFTC, in a separate filing, CME
Submission No. 14–434.
CME believes the proposed rule
change is consistent with the
requirements of the Exchange Act
including Section 17A of the Exchange
Act.5 CME is proposing the amendment
to establish new independent position
accountability levels for CME’s USD
Malaysian Crude Palm Oil Calendar
Swap, a change that is expected to
facilitate the risk reduction practices of
commercial firms and promote the
continued participation of
counterparties to commercial hedgers.
The change is designed to promote the
prompt and accurate clearance and
settlement of securities transactions
and, to the extent applicable, derivatives
agreements, contracts, and transactions,
to assure the safeguarding of securities
and funds which are in the custody or
control of the clearing agency or for
which it is responsible, and, in general,
to protect investors and the public
interest consistent with Section
17A(b)(3)(F) of the Exchange Act.6
Furthermore, the proposed change is
limited in its effect to products offered
under CME’s authority to act as a DCO.
The products that are the subject of this
filing are under the exclusive
jurisdiction of the CFTC. As such, the
proposed change is limited to CME’s
13 17
1 15
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16:57 Dec 11, 2014
3 15
4 17
Jkt 235001
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U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(4)(ii).
Frm 00043
Fmt 4703
Sfmt 4703
73921
5 15
6 15
E:\FR\FM\12DEN1.SGM
U.S.C. 78q–1.
U.S.C. 78q–1(b)(3)(F).
12DEN1
73922
Federal Register / Vol. 79, No. 239 / Friday, December 12, 2014 / Notices
activities as a DCO clearing swaps that
are not security-based swaps, futures
that are not security futures and
forwards that are not security forwards.
CME notes that the policies of the CFTC
with respect to administering the
Commodity Exchange Act are
comparable to a number of the policies
underlying the Exchange Act, such as
promoting market transparency for overthe-counter derivatives markets,
promoting the prompt and accurate
clearance of transactions and protecting
investors and the public interest.
Because the proposed change is
limited in its effect to products offered
under CME’s authority to act as a DCO,
the proposed change is properly
classified as effecting a change in an
existing service of CME that:
(a) Primarily affects the clearing
operations of CME with respect to
products that are not securities,
including futures that are not security
futures, swaps that are not securitybased swaps or mixed swaps; and
forwards that are not security forwards;
and
(b) does not significantly affect any
securities clearing operations of CME or
any rights or obligations of CME with
respect to securities clearing or persons
using such securities-clearing service.
As such, the change is therefore
consistent with the requirements of
Section 17A of the Exchange Act 7 and
are properly filed under Section
19(b)(3)(A) 8 and Rule 19b–4(f)(4)(ii) 9
thereunder.
mstockstill on DSK4VPTVN1PROD with NOTICES
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 amendment
would simply establish independent
position accountability levels for CME’s
USD Malaysian Crude Palm Oil
Calendar Swap. Further, the change is
limited to CME’s derivatives clearing
business and, as such, does not affect
security-based swap clearing activities
of CME in any way and therefore would
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
U.S.C. 78q–1.
8 15 U.S.C. 78s(b)(3)(A).
9 17 CFR 240.19b–4(f)(4)(ii).
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 pursuant to Section
19(b)(3)(A) 10 of the Act and paragraph
(f)(4)(ii) of Rule 19b–4 11 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:
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 No. SR–
CME–2014–54 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–2014–54. 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.,
7 15
VerDate Sep<11>2014
16:57 Dec 11, 2014
Washington, DC 20549, on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of such
filing also will be available for
inspection and copying at the principal
office of CME and on CME’s Web site at
https://www.cmegroup.com/marketregulation/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–2014–54 and should
be submitted on or before January 2,
2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–29178 Filed 12–11–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73778; File No. SR–
NYSEMKT–2014–99]
Self-Regulatory Organizations; NYSE
MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Amending Commentary
.02 to NYSE Amex Options Rule 960NY
in Order To Extend the Penny Pilot in
Options Classes in Certain Issues
Through June 30, 2015
December 8, 2014.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that on November
26, 2014, NYSE MKT LLC (the
‘‘Exchange’’ or ‘‘NYSE MKT’’) filed with
the Securities and Exchange
Commission (the ‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been prepared by the selfregulatory organization. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Commentary .02 to NYSE Amex Options
Rule 960NY in order to extend the
12 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
1 15
10 15
11 17
Jkt 235001
PO 00000
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(4)(ii).
Frm 00044
Fmt 4703
Sfmt 4703
E:\FR\FM\12DEN1.SGM
12DEN1
Agencies
[Federal Register Volume 79, Number 239 (Friday, December 12, 2014)]
[Notices]
[Pages 73921-73922]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-29178]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-73786; File No. SR-CME-2014-54]
Self-Regulatory Organizations; Chicago Mercantile Exchange Inc.;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Related to Position Limits and Position Accountability of the USD
Malaysian Crude Palm Oil Calendar (Cleared Only) Contracts
December 8, 2014.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'' or ``Exchange Act''),\1\ and Rule 19b-4 thereunder,\2\ notice
is hereby given that on November 25, 2014, Chicago Mercantile Exchange
Inc. (``CME'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change described in Items I, II and
III, below, which Items have been primarily prepared by CME. CME filed
the proposal pursuant to Section 19(b)(3)(A) of the Act,\3\ and Rule
19b-4(f)(4)(ii) \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).
\4\ 17 CFR 240.19b-4(f)(4)(ii).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
CME is filing a proposed rule change that is limited to its
business as a derivatives clearing organization (``DCO''). More
specifically, the proposed rule change would amend rules related to the
position limits and position accountability of the USD Malaysian Crude
Palm Oil Calendar (Cleared Only) Contract for clearing.
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 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 such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
CME is registered as a DCO with the Commodity Futures Trading
Commission (``CFTC'') and offers clearing services for many different
futures and swaps products. The proposed rule change that is the
subject of this filing is limited to CME's business as a DCO offering
clearing services for CFTC-regulated swaps products. More specifically,
the proposed rule change would amend rules related to the position
limits and position accountability of the USD Malaysian Crude Palm Oil
Calendar Swap (Cleared Only) Contract for clearing.
The proposed amendment would establish independent position
accountability levels for CME's USD Malaysian Crude Palm Oil Calendar
Swap (the ``Swap''). Feedback from counterparties to the Swap suggests
that much of the participation in the product involves commercial
hedgers or counterparties to commercial hedgers. The Swap is not
subject to mandatory position limit requirements. Transitioning from
position limits to position accountability levels will facilitate the
risk reduction practices of commercial firms and promote the continued
participation of counterparties to commercial hedgers. Accordingly, CME
proposes to transition the Swap's current position limit of 2,800
contracts into new position accountability levels to be set at 2,800
contracts.
The amendment will be reflected in the Position Limit, Position
Accountability and Reportable Level Table and Header Notes located in
the Interpretations and Special Notices Section of Chapter 5 of the CME
Rulebook.
The changes that are described in this filing are limited to CME's
business as a DCO clearing products under the exclusive jurisdiction of
the CFTC. The changes will be effective on filing. CME notes that it
has also certified the proposed rule change that is the subject of this
filing to its primary regulator, the CFTC, in a separate filing, CME
Submission No. 14-434.
CME believes the proposed rule change is consistent with the
requirements of the Exchange Act including Section 17A of the Exchange
Act.\5\ CME is proposing the amendment to establish new independent
position accountability levels for CME's USD Malaysian Crude Palm Oil
Calendar Swap, a change that is expected to facilitate the risk
reduction practices of commercial firms and promote the continued
participation of counterparties to commercial hedgers. The change is
designed to promote the prompt and accurate clearance and settlement of
securities transactions and, to the extent applicable, derivatives
agreements, contracts, and transactions, to assure the safeguarding of
securities and funds which are in the custody or control of the
clearing agency or for which it is responsible, and, in general, to
protect investors and the public interest consistent with Section
17A(b)(3)(F) of the Exchange Act.\6\
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78q-1.
\6\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------
Furthermore, the proposed change is limited in its effect to
products offered under CME's authority to act as a DCO. The products
that are the subject of this filing are under the exclusive
jurisdiction of the CFTC. As such, the proposed change is limited to
CME's
[[Page 73922]]
activities as a DCO clearing swaps that are not security-based swaps,
futures that are not security futures and forwards that are not
security forwards. CME notes that the policies of the CFTC with respect
to administering the Commodity Exchange Act are comparable to a number
of the policies underlying the Exchange Act, such as promoting market
transparency for over-the-counter derivatives markets, promoting the
prompt and accurate clearance of transactions and protecting investors
and the public interest.
Because the proposed change is limited in its effect to products
offered under CME's authority to act as a DCO, the proposed change is
properly classified as effecting a change in an existing service of CME
that:
(a) Primarily affects the clearing operations of CME with respect
to products that are not securities, including futures that are not
security futures, swaps that are not security-based swaps or mixed
swaps; and forwards that are not security forwards; and
(b) does not significantly affect any securities clearing
operations of CME or any rights or obligations of CME with respect to
securities clearing or persons using such securities-clearing service.
As such, the change is therefore consistent with the requirements of
Section 17A of the Exchange Act \7\ and are properly filed under
Section 19(b)(3)(A) \8\ and Rule 19b-4(f)(4)(ii) \9\ thereunder.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78q-1.
\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 17 CFR 240.19b-4(f)(4)(ii).
---------------------------------------------------------------------------
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 amendment
would simply establish independent position accountability levels for
CME's USD Malaysian Crude Palm Oil Calendar Swap. Further, the change
is limited to CME's derivatives clearing business and, as such, does
not affect security-based swap clearing activities of CME in any way
and therefore would 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 pursuant to Section
19(b)(3)(A) \10\ of the Act and paragraph (f)(4)(ii) of Rule 19b-4 \11\
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.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 17 CFR 240.19b-4(f)(4)(ii).
---------------------------------------------------------------------------
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 No. SR-CME-2014-54 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-2014-54. 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 filing also will 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-2014-54 and
should be submitted on or before January 2, 2015.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
---------------------------------------------------------------------------
\12\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-29178 Filed 12-11-14; 8:45 am]
BILLING CODE 8011-01-P