Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to a Delay of Implementation Relate to the Volume-Based and Multi-Trigger Threshold, 48590-48592 [2015-19873]

Download as PDF 48590 Federal Register / Vol. 80, No. 156 / Thursday, August 13, 2015 / Notices quoting level and ADV calculations described in the Price List. Moreover, the Exchange believes that the proposed change would enhance competition between competing marketplaces by enabling the Exchange to exclude July 8, 2015 for the purposes of determining transaction fees and credits based on volume and quoting levels as set forth in the Price List. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. 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) of the Act 13 and Rule 19b–4(f)(6) 14 thereunder because the proposal does not: (i) Significantly affect the protection of investors or the public interest; (ii) impose any significant burden on competition; and (iii) by its terms, 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.15 A proposed rule change filed under Rule 19b–4(f)(6) normally may not become operative prior to 30 days after the date of filing. However, Rule 19b– 4(f)(6)(iii) 16 permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. The Exchange has requested that the Commission waive the 30-day operative delay period. The Commission believes that waiver of the 30-day operative delay period is consistent with the protection of investors and the public interest. Specifically, the Commission believes that the proposal would allow the Exchange to immediately implement the calculation related to the trading suspension, thereby reducing the potential for confusion among member organizations regarding the volume, liquidity, and quoting thresholds 13 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). 15 In addition, Rule 19b–4(f)(6)(iii) requires the Exchange to give the Commission written notice of the Exchange’s intent to file the proposed rule change, along with a brief description and text of the proposed rule change, at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. The Exchange has satisfied this requirement. 16 17 CFR 240.19b–4(f)(6)(iii). tkelley on DSK3SPTVN1PROD with NOTICES 14 17 VerDate Sep<11>2014 16:56 Aug 12, 2015 Jkt 235001 applicable to billing in July 2015. The Commission believes that the waiver would also assist the Exchange in determining transaction fees and credits for member organizations in a timely manner after the end of the billing month of July 2015. For these reasons, the Commission believes that waiving the 30-day operative delay is consistent with the protection of investors and the public interest, and designates the proposed rule change to be operative upon filing with the Commission.17 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.18 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 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– NYSEMKT–2015–60 and should be submitted on or before September 3, 2015. 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: For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.19 Jill M. Peterson, Assistant Secretary. Electronic Comments • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– NYSEMKT–2015–60 on the subject line. SECURITIES AND EXCHANGE COMMISSION 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–NYSEMKT–2015–60. 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 (http://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 17 For purposes only of waiving the operative delay for this proposal, the Commission has considered the proposed rule’s impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). 18 15 U.S.C. 78s(b)(3)(C). PO 00000 Frm 00115 Fmt 4703 Sfmt 4703 [FR Doc. 2015–19877 Filed 8–12–15; 8:45 am] BILLING CODE 8011–01–P [Release No. 34–75643; File No. SR–BX– 2015–049] Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to a Delay of Implementation Relate to the Volume-Based and Multi-Trigger Threshold August 7, 2015. 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 August 6, 2015, NASDAQ OMX BX, Inc. (‘‘BX’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change as described in Items I and II below, which Items have been prepared by the Exchange. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to extend the implementation timeframe for adopting 19 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 1 15 E:\FR\FM\13AUN1.SGM 13AUN1 Federal Register / Vol. 80, No. 156 / Thursday, August 13, 2015 / Notices two new BX Market Maker 3 risk protections, a volume-based threshold and a multi-trigger threshold. The text of the proposed rule change is available on the Exchange’s Web site at http:// nasdaqomxbx.cchwallstreet.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 aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change tkelley on DSK3SPTVN1PROD with NOTICES 1. Purpose The purpose of the proposal is to extend the implementation of the timeframe for the Exchange’s amendments to BX’s Rules at Chapter VII, Section 6(f) entitled ‘‘Market Maker Quotations.’’ 4 In its rule change adopting the two new risk protections in Chapter VII, Section 6(f), the Exchange stated that it proposed to ‘‘. . . implement this rule within thirty (30) days of the operative date.’’ The Exchange stated that it would issue an Options Trader Alert in advance to inform market participants of such date.5 At this time, the Exchange desires to extend the implementation of this rule change to within (60) days of the operative date. The Exchange will announce the date of implementation by issuing an Options Trader Alert. By way of background, the risk protections provided for in Chapter VII, Section 6(f) are intended to assist BX Market Makers in controlling their trading risks.6 Specifically, the risk 3 The term ‘‘BX Market Maker’’ means a Participant that has registered as a Market Maker on BX pursuant to Chapter VII, Section 2, and which remains in good standing pursuant to Chapter VII, Section 4. 4 This rule became immediately effective on June 23, 2015. Securities Exchange Release No. 75392 (July 8, 2015), 80 FR 41114 (July 14, 2015) (SR–BX– 2015–036). 5 See note 4. 6 Pursuant to BX Rules at Chapter VII, Section 5, entitled ‘‘Obligations of Market Makers’’, in VerDate Sep<11>2014 16:56 Aug 12, 2015 Jkt 235001 protections establish: (1) A threshold used to calculate each BX Market Maker’s total volume executed in all series of an underlying security within a specified time period and to compare that to a pre-determined threshold (‘‘Volume-Based Threshold’’), and (2) a threshold used to measure the number of times the System has triggered 7 based on the Risk Monitor Mechanism (‘‘Percentage-Based Threshold’’) pursuant to Chapter VI, Section 19 and Volume-Based Thresholds within a specified time period and to compare that total to a pre-determined threshold (‘‘Multi-Trigger Threshold’’).8 2. Statutory Basis The Exchange believes that its proposal is consistent with Section 6(b) of the Act 9 in general, and furthers the objectives of Section 6(b)(5) of the Act 10 in particular, in that it is designed to promote just and equitable principles of trade, to remove impediments to and perfect the mechanism of a free and open market and a national market system, and, in general to protect investors and the public interest, by enhancing the risk protections available to Exchange members. The proposal promotes policy goals of the Commission, which has encouraged execution venues, exchange and nonexchange alike, to enhance risk protection tools and other mechanisms to decrease risk and increase stability. The delay of the implementation of BX Rules at Chapter VII, Section 6(f) will permit the Exchange an additional thirty days within which to implement these risk protections that will be utilized by BX Market Makers. 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. With respect registering as a market maker, an Options Participant commits himself to various obligations. Transactions of a BX Market Maker must constitute a course of dealings reasonably calculated to contribute to the maintenance of a fair and orderly market, and Market Makers should not make bids or offers or enter into transactions that are inconsistent with such course of dealings. Further, all Market Makers are designated as specialists on BX for all purposes under the Act or rules thereunder. See Chapter VII, Section 2. 7 A trigger is defined as the event which causes the System to automatically remove all quotes in all options series in an underlying issue. 8 The details of the two risk protections are described in the initial filing. See Securities Exchange Release No. 75392 (July 8, 2015), 80 FR 41114 (July 14, 2015) (SR–BX–2015–036). 9 15 U.S.C. 78f(b). 10 15 U.S.C. 78f(b)(5). PO 00000 Frm 00116 Fmt 4703 Sfmt 4703 48591 to the risk protections, the proposal will not impose a burden on intra-market or inter-market competition; rather it provides BX Market Makers with the opportunity to avail themselves of similar risk tools that are currently available on other exchanges.11 The proposal does not impose a burden on inter-market competition, because members may choose to become market makers on a number of other options exchanges, which may have similar but not identical features.12 The proposed rule change is meant to protect BX Market Makers from inadvertent exposure to excessive risk. Accordingly, the proposed rule change will have no impact on competition. The delay of the implementation of BX Rules at Chapter VII, Section 6(f) will permit the Exchange additional time to implement these risk protections that will be utilized by BX Market Makers. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing 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) by its terms, become operative for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, it has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act 13 and subparagraph (f)(6) of Rule 19b–4 thereunder.14 The Exchange has requested that the Commission waive the thirty-day operative delay so that the proposal may become operative immediately. The Exchange states that waiving the thirty-day operative delay will enable it to implement these risk protections within the new timeframe. The Commission believes that waiving the thirty-day operative delay is 11 See Section 8 of Form 19b–4, infra. BATS Rule 21.16, BOX Rules 8100 and 8110, C2 Rule 8.12, CBOE Rule 8.18, ISE Rule 804(g), MIAX Rule 612, NYSE MKT Rule 928NY and NYSE Arca Rule 6.40. 13 15 U.S.C. 78s(b)(3)(a)(ii). 14 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 4(f)(6) requires a self-regulatory organization to give the Commission written notice of its intent to file the proposed rule change at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. The Exchange has satisfied this requirement. 12 See E:\FR\FM\13AUN1.SGM 13AUN1 48592 Federal Register / Vol. 80, No. 156 / Thursday, August 13, 2015 / Notices consistent with the protection of investors and the public interest. Therefore, the Commission hereby waives the thirty-day operative delay and designates the proposal effective upon filing.15 At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is: (i) Necessary or appropriate in the public interest; (ii) for the protection of investors; or (iii) otherwise in furtherance of the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings 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 (http://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– BX–2015–049 on the subject line. Paper Comments • Send paper comments in triplicate to Brent J. Fields, Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–BX–2015–049. 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 (http://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 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–BX– 2015–049 and should be submitted on or before September 3, 2015. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.16 Jill M. Peterson, Assistant Secretary. [FR Doc. 2015–19873 Filed 8–12–15; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–75640; File No. SR–Phlx– 2015–70] (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on August 6, 2015, NASDAQ OMX PHLX LLC (‘‘PHLX’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the 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 The Exchange proposes to update the public disclosure of the sources of data that PHLX utilizes when performing (1) order handling and execution; (2) order routing; and (3) related compliance processes through the inclusion of the National Stock Exchange (‘‘NSX’’). The text of the proposed rule change is below. Proposed new language is italicized. * * * * * 3304. Data Feeds Utilized The PSX System utilizes the below proprietary and network processor feeds [utilized by the System] for the handling, routing, and execution of orders, as well as for the regulatory compliance processes related to those functions. The Secondary Source of data is, where applicable, utilized only in emergency market conditions and only until those emergency conditions are resolved. Self-Regulatory Organizations; NASDAQ OMX PHLX LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Update the Public Disclosure of Sources of Data Utilized by PSX August 7, 2015. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 tkelley on DSK3SPTVN1PROD with NOTICES Market center Primary source A—NYSE MKT (AMEX) .......................... B—NASDAQ OMX BX ........................... C—NSX .................................................. D—FINRA ADF ....................................... J—DirectEdge A ..................................... K—DirectEdge X ..................................... M—CSX .................................................. N—NYSE ................................................ P—NYSE Arca ........................................ T/Q—NASDAQ ....................................... X—NASDAQ OMX PSX ......................... [CQS/UQDF] NYSE MKT OpenBook Ultra ............................................................ BX ITCH 5.0 ........................................................................................................... CQS/UQDF ............................................................................................................. CQS/UQDF ............................................................................................................. [EdgeBook] BATS PITCH ....................................................................................... [EdgeBook] BATS PITCH ....................................................................................... CQS/UQDF ............................................................................................................. NYSE OpenBook Ultra ........................................................................................... [ArcaBook Binary uncompacted] NYSE ARCA XDP ............................................. ITCH 5.0 ................................................................................................................. PSX ITCH 5.0 ......................................................................................................... 15 For purposes of waiving the 30-day operative delay, the Commission has considered the proposed VerDate Sep<11>2014 16:56 Aug 12, 2015 Jkt 235001 rule’s impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). 16 17 CFR 200.30–3(a)(12). PO 00000 Frm 00117 Fmt 4703 Sfmt 4703 Secondary source 1 15 2 17 E:\FR\FM\13AUN1.SGM U.S.C. 78s(b)(1). CFR 240.19b–4. 13AUN1 [n/a] CQS/UQDF CQS/UQDF n/a n/a CQS/UQDF CQS/UQDF n/a CQS/UQDF CQS/UQDF CQS/UQDF CQS/UQDF

Agencies

[Federal Register Volume 80, Number 156 (Thursday, August 13, 2015)]
[Notices]
[Pages 48590-48592]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-19873]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75643; File No. SR-BX-2015-049]


Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change Relating to 
a Delay of Implementation Relate to the Volume-Based and Multi-Trigger 
Threshold

August 7, 2015.
    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 August 6, 2015, NASDAQ OMX BX, Inc. (``BX'' or ``Exchange'') filed 
with the Securities and Exchange Commission (``SEC'' or ``Commission'') 
the proposed rule change as described in Items I and II below, which 
Items have been prepared by the Exchange. The Commission is publishing 
this notice to solicit comments on the proposed rule change from 
interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to extend the implementation timeframe for 
adopting

[[Page 48591]]

two new BX Market Maker \3\ risk protections, a volume-based threshold 
and a multi-trigger threshold.
---------------------------------------------------------------------------

    \3\ The term ``BX Market Maker'' means a Participant that has 
registered as a Market Maker on BX pursuant to Chapter VII, Section 
2, and which remains in good standing pursuant to Chapter VII, 
Section 4.
---------------------------------------------------------------------------

    The text of the proposed rule change is available on the Exchange's 
Web site at http://nasdaqomxbx.cchwallstreet.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 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 purpose of the proposal is to extend the implementation of the 
timeframe for the Exchange's amendments to BX's Rules at Chapter VII, 
Section 6(f) entitled ``Market Maker Quotations.'' \4\ In its rule 
change adopting the two new risk protections in Chapter VII, Section 
6(f), the Exchange stated that it proposed to ``. . . implement this 
rule within thirty (30) days of the operative date.'' The Exchange 
stated that it would issue an Options Trader Alert in advance to inform 
market participants of such date.\5\ At this time, the Exchange desires 
to extend the implementation of this rule change to within (60) days of 
the operative date. The Exchange will announce the date of 
implementation by issuing an Options Trader Alert.
---------------------------------------------------------------------------

    \4\ This rule became immediately effective on June 23, 2015. 
Securities Exchange Release No. 75392 (July 8, 2015), 80 FR 41114 
(July 14, 2015) (SR-BX-2015-036).
    \5\ See note 4.
---------------------------------------------------------------------------

    By way of background, the risk protections provided for in Chapter 
VII, Section 6(f) are intended to assist BX Market Makers in 
controlling their trading risks.\6\ Specifically, the risk protections 
establish: (1) A threshold used to calculate each BX Market Maker's 
total volume executed in all series of an underlying security within a 
specified time period and to compare that to a pre-determined threshold 
(``Volume-Based Threshold''), and (2) a threshold used to measure the 
number of times the System has triggered \7\ based on the Risk Monitor 
Mechanism (``Percentage-Based Threshold'') pursuant to Chapter VI, 
Section 19 and Volume-Based Thresholds within a specified time period 
and to compare that total to a pre-determined threshold (``Multi-
Trigger Threshold'').\8\
---------------------------------------------------------------------------

    \6\ Pursuant to BX Rules at Chapter VII, Section 5, entitled 
``Obligations of Market Makers'', in registering as a market maker, 
an Options Participant commits himself to various obligations. 
Transactions of a BX Market Maker must constitute a course of 
dealings reasonably calculated to contribute to the maintenance of a 
fair and orderly market, and Market Makers should not make bids or 
offers or enter into transactions that are inconsistent with such 
course of dealings. Further, all Market Makers are designated as 
specialists on BX for all purposes under the Act or rules 
thereunder. See Chapter VII, Section 2.
    \7\ A trigger is defined as the event which causes the System to 
automatically remove all quotes in all options series in an 
underlying issue.
    \8\ The details of the two risk protections are described in the 
initial filing. See Securities Exchange Release No. 75392 (July 8, 
2015), 80 FR 41114 (July 14, 2015) (SR-BX-2015-036).
---------------------------------------------------------------------------

2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) of the Act \9\ in general, and furthers the objectives of Section 
6(b)(5) of the Act \10\ in particular, in that it is designed to 
promote just and equitable principles of trade, to remove impediments 
to and perfect the mechanism of a free and open market and a national 
market system, and, in general to protect investors and the public 
interest, by enhancing the risk protections available to Exchange 
members. The proposal promotes policy goals of the Commission, which 
has encouraged execution venues, exchange and non-exchange alike, to 
enhance risk protection tools and other mechanisms to decrease risk and 
increase stability.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78f(b).
    \10\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The delay of the implementation of BX Rules at Chapter VII, Section 
6(f) will permit the Exchange an additional thirty days within which to 
implement these risk protections that will be utilized by BX Market 
Makers.

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. With respect to the risk 
protections, the proposal will not impose a burden on intra-market or 
inter-market competition; rather it provides BX Market Makers with the 
opportunity to avail themselves of similar risk tools that are 
currently available on other exchanges.\11\ The proposal does not 
impose a burden on inter-market competition, because members may choose 
to become market makers on a number of other options exchanges, which 
may have similar but not identical features.\12\ The proposed rule 
change is meant to protect BX Market Makers from inadvertent exposure 
to excessive risk. Accordingly, the proposed rule change will have no 
impact on competition.
---------------------------------------------------------------------------

    \11\ See Section 8 of Form 19b-4, infra.
    \12\ See BATS Rule 21.16, BOX Rules 8100 and 8110, C2 Rule 8.12, 
CBOE Rule 8.18, ISE Rule 804(g), MIAX Rule 612, NYSE MKT Rule 928NY 
and NYSE Arca Rule 6.40.
---------------------------------------------------------------------------

    The delay of the implementation of BX Rules at Chapter VII, Section 
6(f) will permit the Exchange additional time to implement these risk 
protections that will be utilized by BX Market Makers.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    No written comments were either solicited or received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing 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) 
by its terms, become operative for 30 days from the date on which it 
was filed, or such shorter time as the Commission may designate, it has 
become effective pursuant to Section 19(b)(3)(A)(ii) of the Act \13\ 
and subparagraph (f)(6) of Rule 19b-4 thereunder.\14\ The Exchange has 
requested that the Commission waive the thirty-day operative delay so 
that the proposal may become operative immediately. The Exchange states 
that waiving the thirty-day operative delay will enable it to implement 
these risk protections within the new timeframe. The Commission 
believes that waiving the thirty-day operative delay is

[[Page 48592]]

consistent with the protection of investors and the public interest. 
Therefore, the Commission hereby waives the thirty-day operative delay 
and designates the proposal effective upon filing.\15\
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78s(b)(3)(a)(ii).
    \14\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) 
requires a self-regulatory organization to give the Commission 
written notice of its intent to file the proposed rule change at 
least five business days prior to the date of filing of the proposed 
rule change, or such shorter time as designated by the Commission. 
The Exchange has satisfied this requirement.
    \15\ For purposes of waiving the 30-day operative delay, the 
Commission has considered the proposed rule's impact on efficiency, 
competition, and capital formation. See 15 U.S.C. 78c(f).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is: (i) 
Necessary or appropriate in the public interest; (ii) for the 
protection of investors; or (iii) otherwise in furtherance of the 
purposes of the Act. If the Commission takes such action, the 
Commission shall institute proceedings 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 (http://www.sec.gov/rules/sro.shtml); or
     Send an email to rule-comments@sec.gov. Please include 
File Number SR-BX-2015-049 on the subject line.

Paper Comments

     Send paper comments in triplicate to Brent J. Fields, 
Secretary, Securities and Exchange Commission, 100 F Street NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-BX-2015-049. 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 (http://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 
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-BX-2015-049 and should be 
submitted on or before September 3, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\16\
---------------------------------------------------------------------------

    \16\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015-19873 Filed 8-12-15; 8:45 am]
BILLING CODE 8011-01-P