Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Order Granting an Extension To Limited Exemption From Rule 612(c) of Regulation NMS in Connection With the Exchange's Retail Price Improvement Program Until December 1, 2016, 74185-74186 [2015-30084]
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Federal Register / Vol. 80, No. 228 / Friday, November 27, 2015 / Notices
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.
The Exchange has asked the
Commission to waive the 30-day
operative delay so that the proposal may
become operative immediately upon
filing. The Exchange has stated that
updating the existing rule text to reflect
the correct citations sooner, rather than
later, will avoid confusion for
Participants. The Commission believes
that waiving the 30-day operative delay
is consistent with the protection of
investors and the public interest
because this waiver will enable the
Exchange to provide the correct
citations to the applicable allocation
rules for its PRISM rule in a timely
manner, and thereby avoid confusion
for the Exchange’s Participants with
respect to how PRISM executions would
be allocated.7 For this reason, the
Commission hereby waives the 30-day
operative delay requirement and
designates the proposed rule change as
operative upon filing.8
At any time within 60 days of the
filing of such proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission shall institute proceedings
under Section 19(b)(2)(B) 9 of the Act to
determine whether the proposed rule
change 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
mstockstill on DSK4VPTVN1PROD with NOTICES
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
7 The Exchange stated in its proposal for the
PRISM rule that it anticipated that it would deploy
the PRISM mechanism within 45 days of
Commission approval. See Securities Exchange Act
Release No. 75827 (Sept. 30, 2015), 80 FR 54601
(Sept. 10, 2015) (notice for SR–BX–2015–032). The
Commission approved the proposed PRISM rule on
October 29, 2015. See Securities Exchange Act
Release No. 76301, 80 FR 68347 (Nov. 4, 2015)
(order approving SR–BX–2015–032).
8 For purposes only 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).
9 15 U.S.C. 78s(b)(2)(B).
VerDate Sep<11>2014
19:01 Nov 25, 2015
Jkt 238001
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
BX–2015–068 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–2015–068. 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
offices 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–
2015–068, and should be submitted on
or before December 18, 2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015–30079 Filed 11–25–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–76495; File No. SR–BX–
2014–048]
Self-Regulatory Organizations;
NASDAQ OMX BX, Inc.; Order Granting
an Extension To Limited Exemption
From Rule 612(c) of Regulation NMS in
Connection With the Exchange’s Retail
Price Improvement Program Until
December 1, 2016
November 20, 2015.
On November 28, 2014, the
Commission issued an order pursuant to
its authority under Rule 612(c) of
Regulation NMS 1 (‘‘Sub-Penny Rule’’)
that granted the NASDAQ OMX BX, Inc.
(‘‘BX’’ or ‘‘Exchange’’) a limited
exemption from the Sub-Penny Rule in
connection with the operation of the
Exchange’s Retail Price Improvement
Program (‘‘RPI Program’’).2 The limited
exemption was granted concurrently
with the Commission’s approval of the
Exchange’s proposal to adopt the RPI
Program on a one-year pilot term. The
Commission granted the exemption
coterminous with the effectiveness of
the RPI Program—both the RPI Program
and the exemption are scheduled to
expire on December 1, 2015.
The Exchange now seeks to extend
the exemption until December 1, 2016.3
The Exchange’s request was made in
conjunction with an immediately
effectively filing that extends the
operation of the RPI Program until
December 1, 2016.4 In its request to
extend the exemption, the Exchange
notes that given the gradual
implementation of the RPI Program and
the preliminary participation and
results, extending the exemption would
provide additional opportunities for
greater participation and assessment of
the results. Accordingly, the Exchange
has asked additional time to allow it
and the Commission to analyze data
concerning the RPI Program, which the
Exchange committed to provide to the
Commission.5 For this reason and the
reasons stated in the RPI Approval
Order originally granting the limited
exemption, the Commission, pursuant
to its authority under Rule 612(c) of
Regulation NMS, finds that pursuant to
its authority under Rule 612(c) of
1 17
CFR 242.612(c).
Securities Exchange Act Release No. 73702,
79 FR 72049 (December 4, 2014) (SR–BX–2014–048)
(‘‘RPI Approval Order’’).
3 See Letter from Jeffrey S. Davis, Vice President
& Deputy General Counsel, Exchange, to Brent J.
Fields, Secretary, Commission, dated November 12,
2015.
4 See SR–BX–2015–073.
5 See RPI Approval Order, supra note 2.
2 See
10 17
PO 00000
CFR 200.30–3(a)(12).
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74185
E:\FR\FM\27NON1.SGM
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74186
Federal Register / Vol. 80, No. 228 / Friday, November 27, 2015 / Notices
Regulation NMS, extending the
exemption is appropriate in the public
interest and consistent with the
protection of investors.
Therefore, it is hereby ordered that,
pursuant to Rule 612(c) of Regulation
NMS, the Exchange is granted an
extension of the limited exemption from
Rule 612 of Regulation NMS that allows
the Exchange to accept and rank orders
priced equal to or greater than $1.00 per
share in increments of $0.001, in
connection with the operation of its RPI
Program, until December 1, 2016.
The limited and temporary exemption
extended by this Order is subject to
modification or revocation if at any time
the Commission determines that such
action is necessary or appropriate in
furtherance of the purposes of the Act.
Responsibility for compliance with any
applicable provisions of the Federal
securities laws must rest with the
persons relying on the exemption that
are the subject of this Order.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.6
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015–30084 Filed 11–25–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–76488; File No. SR–C2–
2015–032]
Self-Regulatory Organizations; C2
Options Exchange, Incorporated;
Notice of Filing and Immediate
Effectiveness of a Proposed Rule
Change Relating to the Technical
Disconnect Mechanism
mstockstill on DSK4VPTVN1PROD with NOTICES
November 20, 2015.
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
9, 2015, C2 Options Exchange,
Incorporated (the ‘‘Exchange’’ or ‘‘C2’’)
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 Exchange.
The Commission is publishing this
notice to solicit comments on the
proposed rule change from interested
persons.
6 17
CFR 200.30–3(a)(83).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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19:01 Nov 25, 2015
Jkt 238001
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Rule 6.48 related to the Exchange’s
Technical Disconnect Mechanism. The
text of the proposed rule change is
provided below. (additions are
italicized; deletions are [bracketed])
C2 Options Exchange, Incorporated
Rules
*
*
*
*
*
Rule 6.48. Technical Disconnect
(a) When a CBOE Application Server
(‘‘CAS’’) loses communication with a
Client Application such that a CAS does
not receive an appropriate response to a
Heartbeat Request within ‘‘x’’ period of
time, the Technical Disconnect
Mechanism will automatically logoff the
Permit Holder’s affected Client
Application and [, if applicable, will]
automatically cancel all the Permit
Holder’s Market-Maker quotes, if
applicable, and open orders with a timein-force of ‘‘day’’ (‘‘day orders’’), if the
Permit Holder enables that optional
service, posted through the affected
Client Application. The following
describes how the Technical Disconnect
Mechanism works for each of the
Exchange’s application programming
interfaces (‘‘APIs’’):
(i) CBOE Market Interface 2.0 (‘‘CMi
2’’) API. A CAS shall generate a
Heartbeat Request to a Client
Application (i) after the CAS does not
receive any messages from a particular
Client Application for ‘‘n’’ period of
time or (ii) after every ‘‘n’’ period of
time. A Permit Holder shall determine
the value of ‘‘n.’’ In no event shall ‘‘n’’
be less than three (3) seconds or exceed
twenty (20) seconds. If a CAS generates
a Heartbeat Request only after it does
not receive any messages from a
particular Client Application for ‘‘n’’
period of time, the value of ‘‘x’’ shall be
set at a half (.5) second. If a CAS
generates a Heartbeat Request every ‘‘n’’
period of time, the value of ‘‘x’’ shall be
equal to the value of ‘‘n.’’
(ii) Financial Information eXchange
(‘‘FIX’’) Protocol API. A CAS shall
generate a Heartbeat Message to a Client
Application after the CAS does not
receive any messages from a particular
Client Application for ‘‘n’’ period of
time. If the CAS does not receive a
response to the Heartbeat Message from
the Client Application for ‘‘n’’ period of
time, the CAS shall generate a Heartbeat
Request to the Client Application. A
Permit Holder shall determine the value
of ‘‘n’’ at logon. In no event shall ‘‘n’’
PO 00000
Frm 00116
Fmt 4703
Sfmt 4703
be less than five (5) seconds. The value
of ‘‘x’’ shall be equal to the value of ‘‘n.’’
(b) The Technical Disconnect
Mechanism is enabled for all Permit
Holders and may not be disabled by
Permit Holders, except the automatic
cancellation of a Permit Holder’s day
orders is an optional service that the
Permit Holder may enable or disable
through the API.
(c) The trigger of the Technical
Disconnect Mechanism is event- and
Client Application- specific. The
automatic cancellation of a MarketMaker’s quotes (if applicable) or a
Permit Holder’s day orders (if enabled
by the Permit Holder) entered into a
CAS via a particular Client Application
will neither impact nor determine the
treatment of the quotes of the same or
other Market-Makers or orders of the
same Permit Holder entered into the
CAS via a separate and distinct Client
Application. Except for day orders the
Technical Disconnect Mechanism
automatically cancels if a Permit Holder
enables that optional service, [T]the
Technical Disconnect Mechanism will
not impact or determine the treatment of
orders a Permit Holder previously
entered into the CAS.
. . . Interpretations and Policies:
.01 No change.
*
*
*
*
*
The text of the proposed rule change
is also available on the Exchange’s Web
site (https://www.c2exchange.com/Legal/
), at the Exchange’s Office of the
Secretary, and at the Commission’s
Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend
Rule 6.48 related to the Exchange’s
Technical Disconnect Mechanism. Rule
6.48(a) provides that when a CBOE
E:\FR\FM\27NON1.SGM
27NON1
]]>Agencies
[Federal Register Volume 80, Number 228 (Friday, November 27, 2015)]
[Notices]
[Pages 74185-74186]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-30084]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-76495; File No. SR-BX-2014-048]
Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Order
Granting an Extension To Limited Exemption From Rule 612(c) of
Regulation NMS in Connection With the Exchange's Retail Price
Improvement Program Until December 1, 2016
November 20, 2015.
On November 28, 2014, the Commission issued an order pursuant to
its authority under Rule 612(c) of Regulation NMS \1\ (``Sub-Penny
Rule'') that granted the NASDAQ OMX BX, Inc. (``BX'' or ``Exchange'') a
limited exemption from the Sub-Penny Rule in connection with the
operation of the Exchange's Retail Price Improvement Program (``RPI
Program'').\2\ The limited exemption was granted concurrently with the
Commission's approval of the Exchange's proposal to adopt the RPI
Program on a one-year pilot term. The Commission granted the exemption
coterminous with the effectiveness of the RPI Program--both the RPI
Program and the exemption are scheduled to expire on December 1, 2015.
---------------------------------------------------------------------------
\1\ 17 CFR 242.612(c).
\2\ See Securities Exchange Act Release No. 73702, 79 FR 72049
(December 4, 2014) (SR-BX-2014-048) (``RPI Approval Order'').
---------------------------------------------------------------------------
The Exchange now seeks to extend the exemption until December 1,
2016.\3\ The Exchange's request was made in conjunction with an
immediately effectively filing that extends the operation of the RPI
Program until December 1, 2016.\4\ In its request to extend the
exemption, the Exchange notes that given the gradual implementation of
the RPI Program and the preliminary participation and results,
extending the exemption would provide additional opportunities for
greater participation and assessment of the results. Accordingly, the
Exchange has asked additional time to allow it and the Commission to
analyze data concerning the RPI Program, which the Exchange committed
to provide to the Commission.\5\ For this reason and the reasons stated
in the RPI Approval Order originally granting the limited exemption,
the Commission, pursuant to its authority under Rule 612(c) of
Regulation NMS, finds that pursuant to its authority under Rule 612(c)
of
[[Page 74186]]
Regulation NMS, extending the exemption is appropriate in the public
interest and consistent with the protection of investors.
---------------------------------------------------------------------------
\3\ See Letter from Jeffrey S. Davis, Vice President & Deputy
General Counsel, Exchange, to Brent J. Fields, Secretary,
Commission, dated November 12, 2015.
\4\ See SR-BX-2015-073.
\5\ See RPI Approval Order, supra note 2.
---------------------------------------------------------------------------
Therefore, it is hereby ordered that, pursuant to Rule 612(c) of
Regulation NMS, the Exchange is granted an extension of the limited
exemption from Rule 612 of Regulation NMS that allows the Exchange to
accept and rank orders priced equal to or greater than $1.00 per share
in increments of $0.001, in connection with the operation of its RPI
Program, until December 1, 2016.
The limited and temporary exemption extended by this Order is
subject to modification or revocation if at any time the Commission
determines that such action is necessary or appropriate in furtherance
of the purposes of the Act. Responsibility for compliance with any
applicable provisions of the Federal securities laws must rest with the
persons relying on the exemption that are the subject of this Order.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\6\
---------------------------------------------------------------------------
\6\ 17 CFR 200.30-3(a)(83).
---------------------------------------------------------------------------
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015-30084 Filed 11-25-15; 8:45 am]
BILLING CODE 8011-01-P
