Self-Regulatory Organizations; ICE Clear Europe Limited; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to the F&O Intraday Risk Management Policy, 65689-65691 [2016-22904]
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sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices
immediately preceding the follow-on
investment; and
(ii) the aggregate amount
recommended by the Advisors to be
invested by the Regulated Entity in the
follow-on investment, together with the
amount proposed to be invested by the
other participating Regulated Entities
and the Affiliated Investors in the same
transaction, exceeds the amount of the
opportunity; then the amount invested
by each such party will be allocated
among them pro rata based on each
participant’s Available Capital for
investment in the asset class being
allocated, up to the amount proposed to
be invested by each.
d. The acquisition of follow-on
investments as permitted by this
condition will be considered a CoInvestment Transaction for all purposes
and be subject to the other conditions
set forth in the application.
9. The Independent Trustees of each
Regulated Entity will be provided
quarterly for review all information
concerning Potential Co-Investment
Transactions and Co-Investment
Transactions, including investments
made by other Regulated Entities or
Affiliated Investors that a Regulated
Entity considered but declined to
participate in, so that the Independent
Trustees may determine whether all
investments made during the preceding
quarter, including those investments
which the Regulated Entity considered
but declined to participate in, comply
with the conditions of the Order. In
addition, the Independent Trustees will
consider at least annually the continued
appropriateness for such Regulated
Entity of participating in new and
existing Co-Investment Transactions.
10. Each Regulated Entity will
maintain the records required by section
57(f)(3) of the Act as if each of the
Regulated Entities were a BDC and each
of the investments permitted under
these conditions were approved by a
Required Majority under section 57(f).
11. No Independent Trustee of a
Regulated Entity will also be a trustee,
director, general partner, managing
member or principal, or otherwise an
‘‘affiliated person’’ (as defined in the
Act) of any Affiliated Investor.
12. The expenses, if any, associated
with acquiring, holding or disposing of
any securities acquired in a CoInvestment Transaction (including,
without limitation, the expenses of the
distribution of any such securities
registered for sale under the Securities
Act) shall, to the extent not payable by
the Advisors under their respective
advisory agreements with the Regulated
Entities and the Affiliated Investors, be
shared by the Regulated Entities and the
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18:22 Sep 22, 2016
Jkt 238001
Affiliated Investors in proportion to the
relative amounts of the securities held
or to be acquired or disposed of, as the
case may be.
13. Any transaction fee (including
break-up or commitment fees but
excluding brokers’ fees contemplated by
section 17(e) or 57(k) of the Act, as
applicable) 12 received in connection
with a Co-Investment Transaction will
be distributed to the participating
Regulated Entities and Affiliated
Investors on a pro rata basis based on
the amount they invested or committed,
as the case may be, in such CoInvestment Transaction. If any
transaction fee is to be held by an
Advisor pending consummation of the
transaction, the fee will be deposited
into an account maintained by the
Advisor at a bank or banks having the
qualifications prescribed in section
26(a)(1) of the Act, and the account will
earn a competitive rate of interest that
will also be divided pro rata among the
participating Regulated Entities and
Affiliated Investors based on the amount
they invest in the Co-Investment
Transaction. None of the other
Regulated Entities, Affiliated Investors,
the Advisors nor any affiliated person of
the Regulated Entities or the Affiliated
Investors will receive additional
compensation or remuneration of any
kind as a result of or in connection with
a Co-Investment Transaction (other than
(a) in the case of the Regulated Entities
and the Affiliated Investors, the pro rata
transaction fees described above and
fees or other compensation described in
condition 2(c)(iii)(c) and (b) in the case
of the Advisors, investment advisory
fees paid in accordance with the
Regulated Entities’ and the Affiliated
Investors’ investment advisory
agreements).
14. The Advisors to the Regulated
Entities and Affiliated Investors will
maintain written policies and
procedures reasonably designed to
ensure compliance with the foregoing
conditions. These policies and
procedures will require, among other
things, that each of the Advisors to each
Regulated Entity will be notified of all
Potential Co-Investment Transactions
that fall within a Regulated Entity’s
then-current Objectives and Strategies
and will be given sufficient information
to make its independent determination
and recommendations under conditions
1, 2(a), 7 and 8.
15. If the Holders own in the aggregate
more than 25 percent of the shares of a
12 Applicants
are not requesting and the
Commission is not providing any relief for
transaction fees received in connection with any
Co-Investment Transaction.
PO 00000
Frm 00068
Fmt 4703
Sfmt 4703
65689
Regulated Entity, then the Holders will
vote such shares as directed by an
independent third party when voting on
(1) the election of directors or trustees;
(2) the removal of one or more directors
or trustees; or (3) any matters requiring
approval by the vote of a majority of the
outstanding voting securities, as defined
in section 2(a)(42) of the Act.
For the Commission, by the Division of
Investment Management, under delegated
authority.
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016–22905 Filed 9–22–16; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–78874; File No. SR–ICEEU–
2016–011]
Self-Regulatory Organizations; ICE
Clear Europe Limited; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change Relating to the
F&O Intraday Risk Management Policy
September 19, 2016.
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
September 9, 2016, ICE Clear Europe
Limited (‘‘ICE Clear Europe’’ or the
‘‘clearing house’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
changes described in Items I, II and III
below, which Items have been prepared
primarily by ICE Clear Europe. ICE Clear
Europe filed the proposed rule changes
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 changes
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The principal purpose of the changes
is to make certain enhancements to ICE
Clear Europe’s F&O intraday risk
management policy.
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A).
4 17 CFR 240.19b–4(f)(4)(ii).
2 17
E:\FR\FM\23SEN1.SGM
23SEN1
65690
Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, ICE
Clear Europe included statements
concerning the purpose of and basis for
the proposed rule change. The text of
these statements may be examined at
the places specified in Item IV below.
ICE Clear Europe has prepared
summaries, set forth in sections A, B,
and C below, of the most significant
aspects of such statements.
sradovich on DSK3GMQ082PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the rule change is to
incorporate certain enhancements to the
F&O Intraday Margin Policy. ICE Clear
Europe is not making any changes to its
Clearing Rules or Procedures in
connection with these amendments. The
amendments do not affect margining for
CDS Contracts.
Currently, ICE Clear Europe makes
intraday margin calls with respect to
F&O Contracts where uncollateralized
intraday exposure exceeds defined risk
limits. ICE Clear Europe is revising its
intraday F&O margin call policy to
incorporate an overall clearing member
limit for uncollateralized exposure, as
well as the existing limits at the
individual account level (e.g.,
proprietary or customer account). Under
the overall clearing member limit, an
intraday F&O margin call will be
triggered for a clearing member if the
aggregate intraday margin shortfall
across all accounts for that member
exceeds one of several specified triggers
(based on the member’s total collateral
on deposit, capital, guaranty fund
contribution and original margin level).
For this purpose, the intraday margin
shortfall for an account for F&O
Contracts will be the excess of the
margin requirement (for both original
and variation margin), calculated on an
intraday basis, over the current amount
of margin on deposit for that account in
respect of F&O Contracts.
ICE Clear Europe is also revising the
individual intraday account limits to
address both accounts margined on a
net basis using a two-day margin period
of risk and accounts margined on a gross
basis using a one-day margin period of
risk, as well as individually segregated
sponsored accounts. The revised policy
specifies procedures for calculation of
intraday original margin requirements
for gross-margined accounts. Under the
revised policy, ICE Clear Europe also
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18:22 Sep 22, 2016
Jkt 238001
retains the discretion to reduce the
trigger levels applicable to individual
accounts.
The revised policy also provides for
intraday F&O margin calls as a result of
intraday declines in the value of
collateral posted as margin for F&O
Contracts that exceed the relevant
haircut level under ICE Clear Europe’s
existing Collateral and Haircut Policy.
The revised policy implements a US$
1 million minimum threshold per
account for a margin call, unless
otherwise determined by the ICE Clear
Europe risk department.
The revised policy clarifies certain
notice procedures in connection with
F&O intraday margin calls. It also
includes various drafting improvements
and clarifications and conforming
changes.
2. Statutory Basis
ICE Clear Europe believes that the
changes described herein are consistent
with the requirements of Section 17A of
the Act 5 and the regulations thereunder
applicable to it, and are consistent with
the prompt and accurate clearance of
and settlement of securities transactions
and, to the extent applicable, derivative
agreements, contracts and transactions,
the safeguarding of securities and funds
in the custody or control of ICE Clear
Europe or for which it is responsible
and the protection of investors and the
public interest, within the meaning of
Section 17A(b)(3)(F) of the Act.6 The
amendments are designed to enhance
the clearing house’s ability to manage
the risk of an intraday change in F&O
margin requirements (as may result from
market movements or changes in
positions) or in the value of collateral
previously posted to satisfy margin
requirements. The amendments add a
new trigger for intraday margin calls
based on the aggregate F&O margin
shortfall for a clearing member across all
account categories. The amendments
also revise the individual account
triggers for intraday calls to reflect the
different types of margining used for
various F&O account categories by ICE
Clear Europe (e.g., net margining with a
two-day margin period of risk or gross
margining with a one-day margin period
of risk). ICE Clear Europe believes that
the amendments will facilitate its risk
management of F&O Contracts (and
related collateral). In addition, the
revised policy will help ensure that the
clearing house maintains sufficient
margin resources to support its F&O
clearing and protect the clearing house
against default by an F&O Clearing
5 15
6 15
PO 00000
U.S.C. 78q–1.
U.S.C. 78q–1(b)(3)(F).
Frm 00069
Fmt 4703
Sfmt 4703
Member. As such, ICE Clear Europe
believes that the changes will promote
the prompt and accurate clearance and
settlement of securities and derivatives
transactions, and further the public
interest in the safe and effective clearing
of such transactions. ICE Clear Europe
does not believe the amendments will
adversely affect the safeguarding of
securities and funds in its custody or
control or for which it is responsible.
The changes are thus consistent with
the requirements of Section 17A of the
Act.7
B. Self-Regulatory Organization’s
Statement on Burden on Competition
ICE Clear Europe does not believe the
proposed changes to the rules would
have any impact, or impose any burden,
on competition not necessary or
appropriate in furtherance of the
purpose of the Act. The amendments are
intended to enhance the F&O Intraday
Margin Policy, and will apply to all F&O
Clearing Members. As a result, ICE Clear
Europe does not believe the
amendments would adversely affect
access to clearing by Clearing Members
or their customers, adversely affect
competition among Clearing Members
or adversely affect the market for
clearing services or limit market
participants’ choices for clearing
transactions. Although the amendments
may impose additional costs on Clearing
Members, to the extent that the new
intraday margin policy may require
posting of intraday margin in
circumstances where it would not
previously have been required (or in
amounts greater than previously
required), ICE Clear Europe believes that
such costs are warranted in light of the
risk management benefits provided to
the clearing house (and the clearing
system generally) under the revised
policy. As a result, ICE Clear Europe
does not believe that the proposed
amendments to the F&O Intraday
Margin Policy will impose any burden
on competition not appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants or Others
Written comments relating to the
proposed changes to the rules have not
been solicited or received. ICE Clear
Europe will notify the Commission of
any written comments received by ICE
Clear Europe.
7 15
E:\FR\FM\23SEN1.SGM
U.S.C. 78q–1.
23SEN1
Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices
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 ICE Clear Europe and on ICE
Clear Europe’s Web site at https://
www.theice.com/clear-europe/
regulation#rule-filings.
All comments received will be posted
without change; the Commission does
not edit personal identifying
information from submissions. You
should submit only information that
you wish to make available publicly. All
submissions should refer to File
Number SR–ICEEU–2016–011 and
should be submitted on or before
October 14, 2016.
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.10
Robert W. Errett,
Deputy Secretary.
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml) or
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
ICEEU–2016–011 on the subject line.
sradovich on DSK3GMQ082PROD with NOTICES
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
19(b)(3)(A) of the Act 8 and Rule 19b–
4(f)(4)(ii) 9 thereunder because it effects
a change in an existing service of a
registered clearing agency that primarily
affects the clearing operations of the
clearing agency 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 does not
significantly affect any securities
clearing operations of the clearing
agency or any rights or obligations of the
clearing agency with respect to
securities clearing or persons using such
securities-clearing service. 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.
DEPARTMENT OF STATE
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–ICEEU–2016–011. 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
8 15
9 17
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(ii).
VerDate Sep<11>2014
18:22 Sep 22, 2016
[FR Doc. 2016–22904 Filed 9–22–16; 8:45 am]
BILLING CODE 8011–01–P
Culturally Significant Objects Imported
for Exhibition Determinations:
‘‘Renaissance and Reformation:
¨
German Art in the Age of Durer and
Cranach’’ Exhibition
Notice is hereby given of the
following determinations: Pursuant to
the authority vested in me by the Act of
October 19, 1965 (79 Stat. 985; 22 U.S.C.
2459), E.O. 12047 of March 27, 1978, the
Foreign Affairs Reform and
Restructuring Act of 1998 (112 Stat.
2681, et seq.; 22 U.S.C. 6501 note, et
seq.), Delegation of Authority No. 234 of
October 1, 1999, Delegation of Authority
No. 236–3 of August 28, 2000 (and, as
appropriate, Delegation of Authority No.
257 of April 15, 2003), I hereby
determine that the objects to be
included in the exhibition ‘‘Renaissance
and Reformation: German Art in the Age
¨
of Durer and Cranach,’’ imported from
10 17
Jkt 238001
PO 00000
CFR 200.30–3(a)(12).
Frm 00070
Fmt 4703
Sfmt 4703
abroad for temporary exhibition within
the United States, are of cultural
significance. The objects are imported
pursuant to loan agreements with the
foreign owners or custodians. I also
determine that the exhibition or display
of the exhibit objects at the Los Angeles
County Museum of Art, Los Angeles,
California, from on or about November
20, 2016, until on or about March 26,
2017, and at possible additional
exhibitions or venues yet to be
determined, is in the national interest.
I have ordered that Public Notice of
these Determinations be published in
the Federal Register.
FOR FURTHER INFORMATION CONTACT: For
further information, including a list of
the imported objects, contact the Office
of Public Diplomacy and Public Affairs
in the Office of the Legal Adviser, U.S.
Department of State (telephone: 202–
632–6471; email: section2459@
state.gov). The mailing address is U.S.
Department of State, L/PD, SA–5, Suite
5H03, Washington, DC 20522–0505.
Dated: September 15, 2016.
Mark Taplin,
Principal Deputy Assistant Secretary, Bureau
of Educational and Cultural Affairs,
Department of State.
[FR Doc. 2016–22977 Filed 9–22–16; 8:45 am]
BILLING CODE 4710–05–P
DEPARTMENT OF STATE
[Public Notice: 9729]
Culturally Significant Objects Imported
for Exhibition Determinations: ‘‘The
Shimmer of Gold: Giovanni di Paolo in
Renaissance Siena’’ Exhibition
[Public Notice: 9731]
SUMMARY:
65691
Notice is hereby given of the
following determinations: Pursuant to
the authority vested in me by the Act of
October 19, 1965 (79 Stat. 985; 22 U.S.C.
2459), E.O. 12047 of March 27, 1978, the
Foreign Affairs Reform and
Restructuring Act of 1998 (112 Stat.
2681, et seq.; 22 U.S.C. 6501 note, et
seq.), Delegation of Authority No. 234 of
October 1, 1999, Delegation of Authority
No. 236–3 of August 28, 2000 (and, as
appropriate, Delegation of Authority No.
257 of April 15, 2003), I hereby
determine that the objects to be
included in the exhibition ‘‘The
Shimmer of Gold: Giovanni di Paolo in
Renaissance Siena,’’ imported from
abroad for temporary exhibition within
the United States, are of cultural
significance. The objects are imported
pursuant to a loan agreement with the
foreign owner or custodian. I also
determine that the exhibition or display
of the exhibit objects at the J. Paul Getty
Museum at the Getty Center, Los
SUMMARY:
E:\FR\FM\23SEN1.SGM
23SEN1
Agencies
[Federal Register Volume 81, Number 185 (Friday, September 23, 2016)]
[Notices]
[Pages 65689-65691]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-22904]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-78874; File No. SR-ICEEU-2016-011]
Self-Regulatory Organizations; ICE Clear Europe Limited; Notice
of Filing and Immediate Effectiveness of a Proposed Rule Change
Relating to the F&O Intraday Risk Management Policy
September 19, 2016.
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 September 9, 2016, ICE Clear Europe Limited (``ICE Clear Europe'' or
the ``clearing house'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule changes described in
Items I, II and III below, which Items have been prepared primarily by
ICE Clear Europe. ICE Clear Europe filed the proposed rule changes
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 changes 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
The principal purpose of the changes is to make certain
enhancements to ICE Clear Europe's F&O intraday risk management policy.
[[Page 65690]]
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, ICE Clear Europe included
statements concerning the purpose of and basis for the proposed rule
change. The text of these statements may be examined at the places
specified in Item IV below. ICE Clear Europe has prepared summaries,
set forth in sections A, B, and C below, of the most significant
aspects of 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 rule change is to incorporate certain
enhancements to the F&O Intraday Margin Policy. ICE Clear Europe is not
making any changes to its Clearing Rules or Procedures in connection
with these amendments. The amendments do not affect margining for CDS
Contracts.
Currently, ICE Clear Europe makes intraday margin calls with
respect to F&O Contracts where uncollateralized intraday exposure
exceeds defined risk limits. ICE Clear Europe is revising its intraday
F&O margin call policy to incorporate an overall clearing member limit
for uncollateralized exposure, as well as the existing limits at the
individual account level (e.g., proprietary or customer account). Under
the overall clearing member limit, an intraday F&O margin call will be
triggered for a clearing member if the aggregate intraday margin
shortfall across all accounts for that member exceeds one of several
specified triggers (based on the member's total collateral on deposit,
capital, guaranty fund contribution and original margin level). For
this purpose, the intraday margin shortfall for an account for F&O
Contracts will be the excess of the margin requirement (for both
original and variation margin), calculated on an intraday basis, over
the current amount of margin on deposit for that account in respect of
F&O Contracts.
ICE Clear Europe is also revising the individual intraday account
limits to address both accounts margined on a net basis using a two-day
margin period of risk and accounts margined on a gross basis using a
one-day margin period of risk, as well as individually segregated
sponsored accounts. The revised policy specifies procedures for
calculation of intraday original margin requirements for gross-margined
accounts. Under the revised policy, ICE Clear Europe also retains the
discretion to reduce the trigger levels applicable to individual
accounts.
The revised policy also provides for intraday F&O margin calls as a
result of intraday declines in the value of collateral posted as margin
for F&O Contracts that exceed the relevant haircut level under ICE
Clear Europe's existing Collateral and Haircut Policy.
The revised policy implements a US$ 1 million minimum threshold per
account for a margin call, unless otherwise determined by the ICE Clear
Europe risk department.
The revised policy clarifies certain notice procedures in
connection with F&O intraday margin calls. It also includes various
drafting improvements and clarifications and conforming changes.
2. Statutory Basis
ICE Clear Europe believes that the changes described herein are
consistent with the requirements of Section 17A of the Act \5\ and the
regulations thereunder applicable to it, and are consistent with the
prompt and accurate clearance of and settlement of securities
transactions and, to the extent applicable, derivative agreements,
contracts and transactions, the safeguarding of securities and funds in
the custody or control of ICE Clear Europe or for which it is
responsible and the protection of investors and the public interest,
within the meaning of Section 17A(b)(3)(F) of the Act.\6\ The
amendments are designed to enhance the clearing house's ability to
manage the risk of an intraday change in F&O margin requirements (as
may result from market movements or changes in positions) or in the
value of collateral previously posted to satisfy margin requirements.
The amendments add a new trigger for intraday margin calls based on the
aggregate F&O margin shortfall for a clearing member across all account
categories. The amendments also revise the individual account triggers
for intraday calls to reflect the different types of margining used for
various F&O account categories by ICE Clear Europe (e.g., net margining
with a two-day margin period of risk or gross margining with a one-day
margin period of risk). ICE Clear Europe believes that the amendments
will facilitate its risk management of F&O Contracts (and related
collateral). In addition, the revised policy will help ensure that the
clearing house maintains sufficient margin resources to support its F&O
clearing and protect the clearing house against default by an F&O
Clearing Member. As such, ICE Clear Europe believes that the changes
will promote the prompt and accurate clearance and settlement of
securities and derivatives transactions, and further the public
interest in the safe and effective clearing of such transactions. ICE
Clear Europe does not believe the amendments will adversely affect the
safeguarding of securities and funds in its custody or control or for
which it is responsible. The changes are thus consistent with the
requirements of Section 17A of the Act.\7\
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78q-1.
\6\ 15 U.S.C. 78q-1(b)(3)(F).
\7\ 15 U.S.C. 78q-1.
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
ICE Clear Europe does not believe the proposed changes to the rules
would have any impact, or impose any burden, on competition not
necessary or appropriate in furtherance of the purpose of the Act. The
amendments are intended to enhance the F&O Intraday Margin Policy, and
will apply to all F&O Clearing Members. As a result, ICE Clear Europe
does not believe the amendments would adversely affect access to
clearing by Clearing Members or their customers, adversely affect
competition among Clearing Members or adversely affect the market for
clearing services or limit market participants' choices for clearing
transactions. Although the amendments may impose additional costs on
Clearing Members, to the extent that the new intraday margin policy may
require posting of intraday margin in circumstances where it would not
previously have been required (or in amounts greater than previously
required), ICE Clear Europe believes that such costs are warranted in
light of the risk management benefits provided to the clearing house
(and the clearing system generally) under the revised policy. As a
result, ICE Clear Europe does not believe that the proposed amendments
to the F&O Intraday Margin Policy will impose any burden on competition
not appropriate in furtherance of the purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants or Others
Written comments relating to the proposed changes to the rules have
not been solicited or received. ICE Clear Europe will notify the
Commission of any written comments received by ICE Clear Europe.
[[Page 65691]]
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 19(b)(3)(A) of the Act \8\ and Rule 19b-4(f)(4)(ii) \9\
thereunder because it effects a change in an existing service of a
registered clearing agency that primarily affects the clearing
operations of the clearing agency 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 does not significantly affect any securities
clearing operations of the clearing agency or any rights or obligations
of the clearing agency with respect to securities clearing or persons
using such securities-clearing service. 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.
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\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 17 CFR 240.19b-4(f)(ii).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml) or
Send an email to rule-comments@sec.gov. Please include
File Number SR-ICEEU-2016-011 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-ICEEU-2016-011. 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 ICE Clear Europe
and on ICE Clear Europe's Web site at https://www.theice.com/clear-europe/regulation#rule-filings.
All comments received will be posted without change; the Commission
does not edit personal identifying information from submissions. You
should submit only information that you wish to make available
publicly. All submissions should refer to File Number SR-ICEEU-2016-011
and should be submitted on or before October 14, 2016.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-22904 Filed 9-22-16; 8:45 am]
BILLING CODE 8011-01-P