Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Add to the Rules of the Exchange the Tenth Amended and Restated Operating Agreement of the New York Stock Exchange LLC, 67027-67029 [2016-23491]
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Federal Register / Vol. 81, No. 189 / Thursday, September 29, 2016 / Notices
Commission,66 and expanding the data
sets to include CMO transactions does
not appear to raise any issues. Finally,
the Commission believes that the
proposal’s minor, conforming, and
technical revisions to FINRA Rule 7730
and the Rule 6700 series are consistent
with the Act.
IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,67 that the
proposed rule change (SR–FINRA–
2016–023) be, and hereby is, approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.68
Brent J. Fields,
Secretary.
[FR Doc. 2016–23499 Filed 9–28–16; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[File No. 500–1]
Order of Suspension of Trading; in the
Matter of Accel Brands, Inc.
September 27, 2016.
mstockstill on DSK3G9T082PROD with NOTICES
It appears to the Securities and
Exchange Commission that there is a
lack of current and accurate information
concerning the securities of Accel
Brands, Inc. (‘‘Accel Brands’’) (CIK No.
0001077800) because it has not filed any
periodic reports since the period ended
March 31, 2015, and the staff of the
Securities and Exchange Commission
has independently endeavored to
determine whether the company is
operating and the company has failed to
respond to the Commission’s inquiry
about its operating status. Accel Brands,
formerly known as Accelpath, Inc., is a
Delaware corporation with its principal
place of business listed as National
Harbor, Maryland with stock quoted on
OTC Link (previously ‘‘Pink Sheets’’)
operated by OTC Markets Group, Inc.
under the ticker symbol ACLP.
The Commission is of the opinion that
the public interest and the protection of
investors require a suspension of trading
in the securities of Accel Brands.
66 See Securities Exchange Act Release No. 66829
(April 18, 2012), 77 FR 24748 (April 25, 2012)
(approving SR–FINRA–2012–020); Securities
Exchange Act Release No. 68084 (October 23, 2012),
77 FR 65436 (October 26, 2012) (approving SR–
FINRA–2012–042); Securities Exchange Act Release
No. 70345 (September 6, 2013), 78 FR 56251
(September 12, 2013) (approving SR–FINRA–2013–
029); Securities Exchange Act Release No. 71607
(February 24, 2014), 78 FR 11481 (February 28,
2014) (approving SR–FINRA–2013–046).
67 15 U.S.C. 78s(b)(2).
68 17 CFR 200.30–3(a)(12).
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Therefore, it is ordered, pursuant to
Section 12(k) of the Securities Exchange
Act of 1934, that trading in the
securities of Accel Brands is suspended
for the period from 9:30 a.m. EDT on
September 27, 2016, through 11:59 p.m.
EDT on October 10, 2016.
By the Commission.
Brent J. Fields,
Secretary.
[FR Doc. 2016–23696 Filed 9–27–16; 4:15 pm]
BILLING CODE 8011–01–P
67027
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–78914; File No. SR–
NYSEMKT–2016–89]
Self-Regulatory Organizations; NYSE
MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Add to the Rules of
the Exchange the Tenth Amended and
Restated Operating Agreement of the
New York Stock Exchange LLC
September 23, 2016.
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meeting
Notice is hereby given, pursuant to
the provisions of the Government in the
Sunshine Act, Public Law 94–409, that
the Securities and Exchange
Commission will hold a closed meeting
on Wednesday, September 28, 2016 at
11:30 a.m.
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the closed meeting. Certain
staff members who have an interest in
the matters also may be present.
The General Counsel of the
Commission, or her designee, has
certified that, in her opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (7), 9(B) and (10)
and 17 CFR 200.402(a)(3), (a)(5), (a)(7),
(a)(9)(ii) and (a)(10), permit
consideration of the scheduled matter at
the closed meeting.
Commissioner Stein, as duty officer,
voted to consider the items listed for the
closed meeting in closed session, and
determined that Commission business
required consideration earlier than one
week from today. No earlier notice of
this Meeting was practicable.
The subject matter of the closed
meeting will be:
Institution of injunctive actions; and
Institution and settlement of
administrative proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
For further information and to
ascertain what, if any, matters have been
added, deleted or postponed, please
contact Brent J. Fields from the Office of
the Secretary at (202) 551–5400.
[FR Doc. 2016–23697 Filed 9–27–16; 4:15 pm]
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I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
The Exchange proposes to add to the
rules of the Exchange the Tenth
Amended and Restated Operating
Agreement of the New York Stock
Exchange LLC (‘‘NYSE LLC’’). The
proposed rule change is available on the
Exchange’s Web site at www.nyse.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
self-regulatory organization 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 those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
1 15
U.S.C.78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
4 The Commission notes that the substance of this
proposed rule change is identical to the substance
of SR–NYSEMKT–2016–088, which was filed on
September 12, 2016, and was withdrawn on
September 19, 2016.
2 15
Dated: September 26, 2016.
Brent J. Fields,
Secretary.
BILLING CODE 8011–01–P
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
September 19, 2016, 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 and II below, which Items have
been prepared by the self-regulatory
organization.4 The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
E:\FR\FM\29SEN1.SGM
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67028
Federal Register / Vol. 81, No. 189 / Thursday, September 29, 2016 / Notices
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to add to the
rules of the Exchange the Tenth
Amended and Restated Operating
Agreement of NYSE LLC (the ‘‘Tenth
NYSE Operating Agreement’’).
In September 2015, the Exchange filed
the Eighth Amended and Restated
Operating Agreement of NYSE LLC (the
‘‘Eighth NYSE Operating Agreement’’)
as a ‘‘rule of the exchange’’ under
Section 3(a)(27) of the Act because
NYSE LLC has a wholly-owned
subsidiary, NYSE Market (DE), Inc.,
which owns a majority interest in NYSE
Amex Options LLC (‘‘NYSE Amex
Options’’), a facility of the Exchange.5
The Exchange subsequently removed
the obsolete Eighth NYSE Operating
Agreement and replaced it with the
Ninth Amended and Restated Operating
Agreement of NYSE LLC (the ‘‘Ninth
NYSE Operating Agreement’’) as a ‘‘rule
of the exchange’’ under Section 3(a)(27)
of the Act.6
On July 22, 2016, NYSE LLC filed to
amend the Ninth NYSE Operating
Agreement to change the process for
nominating non-affiliated directors and
replace an obsolete reference to NYSE
Market (DE), Inc.7 On September 9,
2016, NYSE LLC’s rule filing amending
the Ninth NYSE Operating Agreement
was approved.8
The Exchange is accordingly filing to
remove the obsolete Ninth NYSE
Operating Agreement as a ‘‘rule of the
exchange’’ under Section 3(a)(27) of the
Act, and replace it with the Tenth NYSE
Operating Agreement as a ‘‘rule of the
exchange’’ under Section 3(a)(27) of the
Act.9
mstockstill on DSK3G9T082PROD with NOTICES
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of the Exchange Act 10 in
general, and with Section 6(b)(1) 11 in
particular, in that it enables the
5 See 15 U.S.C. 78c(a)(27); Securities Exchange
Act Release No. 75984 (September 25, 2015), 80 FR
59213, 59214 (October 1, 2015) (SR–NYSEMKT–
2015–71).
6 See 15 U.S.C. 78c(a)(27); Securities Exchange
Act Release No. 76637 (December 14, 2015), 80 FR
79124 (December 18, 2015) (SR–NYSEMKT–2015–
102).
7 See Securities Exchange Act Release No. 78436
(July 28, 2016), 81 FR 51249 (August 3, 2016) (SR–
NYSE–2016–51).
8 See Securities Exchange Act Release No. 78805
(September 9, 2016), 81 FR 63536 (September 15,
2016) (SR–NYSE–2016–51).
9 See 15 U.S.C. 78c(a)(27).
10 15 U.S.C. 78f(b).
11 15 U.S.C. 78f(b)(1).
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Exchange to be so organized as to have
the capacity to be able to carry out the
purposes of the Exchange Act and to
comply, and to enforce compliance by
its exchange members and persons
associated with its exchange members,
with the provisions of the Exchange Act,
the rules and regulations thereunder,
and the rules of the Exchange.
The Exchange believes that the
proposed rule change would contribute
to the orderly operation of the Exchange
and would enable the Exchange to be so
organized as to have the capacity to
carry out the purposes of the Act and
comply and enforce compliance by its
members and persons associated with
its members, with the provisions of the
Act because, by removing the obsolete
Ninth NYSE Operating Agreement and
making the Tenth NYSE Operating
Agreement a rule of the Exchange, the
Exchange would be ensuring that its
rules remain consistent with the NYSE
LLC operating agreement in effect.
The Exchange notes that, as with the
Ninth NYSE Operating Agreement, it
would be required to file any changes to
the Tenth NYSE Operating Agreement
with the Commission as a proposed rule
change.12 In addition, the Exchange
believes that the proposed changes are
consistent with and will facilitate an
ownership structure of the Exchange’s
facility NYSE Amex Options that will
provide the Commission with
appropriate oversight tools to ensure
that the Commission will have the
ability to enforce the Act with respect to
NYSE Amex Options and its direct and
indirect parent entities.
The Exchange also believes that this
filing furthers the objectives of Section
6(b)(5) of the Act 13 because the
proposed rule change would be
consistent with and facilitate a
governance and regulatory structure that
is designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with respect to, and
facilitating transactions in securities, 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. The Exchange believes
that removing the obsolete Ninth NYSE
Operating Agreement and making the
Tenth NYSE Operating Agreement a
12 The Exchange notes that any amendment to the
NYSE LLC Operating Agreement would also require
that NYSE LLC file a proposed rule change with the
Commission.
13 15 U.S.C. 78f(b)(5).
PO 00000
Frm 00110
Fmt 4703
Sfmt 4703
rule of the Exchange will remove
impediments to the operation of the
Exchange by ensuring that its rules
remain consistent with the NYSE LLC
operating agreement in effect. The
Exchange notes that, as with the Ninth
NYSE Operating Agreement, no
amendment to the Tenth NYSE
Operating Agreement could be made
without the Exchange filing a proposed
rule change with the Commission. For
the same reasons, the proposed rule
change is also designed to protect
investors as well as the public interest.
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 that is not
necessary or appropriate in furtherance
of the purposes of the Exchange Act.
The proposed rule change is not
intended to address competitive issues
but rather is concerned solely with
ensuring that the Commission will have
the ability to enforce the Act with
respect to NYSE Amex Options and its
direct and indirect parent entities.
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
Because the 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) become
operative for 30 days from the date on
which it was filed, or such shorter time
as the Commission may designate, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.14
A proposed rule change filed under
Rule 19b–4(f)(6) 15 normally does not
become operative prior to 30 days after
the date of the filing. However, Rule
19b–4(f)(6)(iii) permits the Commission
to designate a shorter time if such action
is consistent with the protection of
14 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.
15 17 CFR 240.19b–4(f)(6).
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Federal Register / Vol. 81, No. 189 / Thursday, September 29, 2016 / Notices
investors and the public interest. The
Exchange has asked the Commission to
waive the 30-day operative delay so that
the proposal may become operative
immediately upon filing. The
Commission believes that waiver of the
30-day operative delay is appropriate
because the Tenth NYSE Operating
Agreement will become ‘‘rules of an
exchange’’ of NYSE MKT without
delay.16 Based on the foregoing, the
Commission believes that the waiver of
the operative delay is consistent with
the protection of investors and the
public interest.17 The Commission
hereby grants the waiver and designates
the proposal operative upon filing.
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) 18 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:
mstockstill on DSK3G9T082PROD with NOTICES
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
NYSEMKT–2016–89 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–NYSEMKT–2016–89. 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
16 See
15 U.S.C. 78c(a)(27).
17 For purposes only of waiving the 30-day
operative delay, the Commission has also
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)(2)(B).
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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 20549–1090, on official
business days between the hours of
10:00 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–
NYSEMKT–2016–89 and should be
submitted on or before October 20,
2016.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.19
Brent J. Fields,
Secretary.
67029
Exchange Act of 1934 (‘‘Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to amend Exchange Rule 49 to
establish a Disaster Recovery Facility
and to move the text of Exchange Rule
438 to proposed Exchange Rule 49. On
August 1, 2016, the Exchange filed
Amendment No. 1 to its proposal.3 On
August 11, 2016, the proposed rule
change, as modified by Amendment No.
1, was published for comment in the
Federal Register.4 On September 19,
2016, the Exchange filed Partial
Amendment No. 2, to its proposal.5
The Commission did not receive any
comments on the proposal. This order
approves the proposal, as modified by
Amendment No. 1 and Partial
Amendment No. 2.
II. Description of the Proposed Rule
Changes, as Modified by Amendment
No. 1 and Partial Amendment No. 2
The Exchange proposes to amend
Exchange Rule 49 by removing the
current text relating to the Exchange’s
Emergency Powers and replacing it with
new text regarding the Exchange’s
Business Continuity and Disaster
Recovery Plan, and by moving the text
in Exchange Rule 438 regarding
Mandatory Testing to Rule 49.6 The
Exchange also proposes to amend
Exchange Rule 51 to govern the
circumstances under which the
Exchange’s CEO may determine to have
the Exchange trade securities on its
Disaster Recovery Facility.
[FR Doc. 2016–23491 Filed 9–28–16; 8:45 am]
1 15
BILLING CODE 8011–01–P
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Amendment No. 1 replaced the proposal in its
entirety.
4 See Securities Exchange Act Release No. 78484
(Aug. 5, 2016), 81 FR 53180 (SR–NYSE–2016–48)
(‘‘Notice’’).
5 Amendment No. 2 partially amended the
proposal to add additional text to proposed
Exchange Rule 49, specifying that member
organizations of the Exchange that are currently
required to participate in testing of the Exchange’s
business continuity and disaster recovery plans
under current Exchange Rule 438 and proposed
Exchange Rule 49(b)(N) would also be required to
test the Exchange’s proposed disaster recovery
plans. Partial Amendment No. 2 is available at:
https://www.sec.gov/comments/sr-nyse-2016-48/
nyse201648-2.pdf. Because Amendment No. 2 does
not materially alter the substance of the proposed
rule change or raise unique or novel regulatory
issues, Amendment No. 2 is not subject to notice
and comment.
6 Because the Exchange would not implement
amended Exchange Rule 49(a) until after an
opportunity to test its procedures with Exchange
member organizations, the Exchange proposes to
retain current NYSE Rule 49 on its rulebook. The
Exchange would delete current Exchange Rule 49
through a separate proposed rule change to
establish the operative date of amended Exchange
Rule 49(a). In addition to filing the separate
proposed rule change, the Exchange will announce
via Trader Update the operative date of proposed
Rule 49(a).
2 17
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–78916; File No. SR–NYSE–
2016–48]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Order
Granting Approval of Proposed Rule
Change, as Modified by Amendment
No. 1 and Partial Amendment No. 2,
Amending Exchange Rule 49
Regarding the Exchange’s: (1)
Emergency Powers; (2) Disaster
Recovery Plans; and (3) Backup
Systems and Mandatory Testing
September 23, 2016.
I. Introduction
On July 29, 2016, New York Stock
Exchange LLC (‘‘NYSE’’ or ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’), pursuant
to Section 19(b)(1) of the Securities
19 17
PO 00000
CFR 200.30–3(a)(12).
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]]>Agencies
[Federal Register Volume 81, Number 189 (Thursday, September 29, 2016)]
[Notices]
[Pages 67027-67029]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-23491]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-78914; File No. SR-NYSEMKT-2016-89]
Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed Rule Change To Add to the Rules of
the Exchange the Tenth Amended and Restated Operating Agreement of the
New York Stock Exchange LLC
September 23, 2016.
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 September 19, 2016, 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 and II
below, which Items have been prepared by the self-regulatory
organization.\4\ 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\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
\4\ The Commission notes that the substance of this proposed
rule change is identical to the substance of SR-NYSEMKT-2016-088,
which was filed on September 12, 2016, and was withdrawn on
September 19, 2016.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
The Exchange proposes to add to the rules of the Exchange the Tenth
Amended and Restated Operating Agreement of the New York Stock Exchange
LLC (``NYSE LLC''). The proposed rule change is available on the
Exchange's Web site at www.nyse.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 self-regulatory organization
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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
[[Page 67028]]
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to add to the rules of the Exchange the Tenth
Amended and Restated Operating Agreement of NYSE LLC (the ``Tenth NYSE
Operating Agreement'').
In September 2015, the Exchange filed the Eighth Amended and
Restated Operating Agreement of NYSE LLC (the ``Eighth NYSE Operating
Agreement'') as a ``rule of the exchange'' under Section 3(a)(27) of
the Act because NYSE LLC has a wholly-owned subsidiary, NYSE Market
(DE), Inc., which owns a majority interest in NYSE Amex Options LLC
(``NYSE Amex Options''), a facility of the Exchange.\5\ The Exchange
subsequently removed the obsolete Eighth NYSE Operating Agreement and
replaced it with the Ninth Amended and Restated Operating Agreement of
NYSE LLC (the ``Ninth NYSE Operating Agreement'') as a ``rule of the
exchange'' under Section 3(a)(27) of the Act.\6\
---------------------------------------------------------------------------
\5\ See 15 U.S.C. 78c(a)(27); Securities Exchange Act Release
No. 75984 (September 25, 2015), 80 FR 59213, 59214 (October 1, 2015)
(SR-NYSEMKT-2015-71).
\6\ See 15 U.S.C. 78c(a)(27); Securities Exchange Act Release
No. 76637 (December 14, 2015), 80 FR 79124 (December 18, 2015) (SR-
NYSEMKT-2015-102).
---------------------------------------------------------------------------
On July 22, 2016, NYSE LLC filed to amend the Ninth NYSE Operating
Agreement to change the process for nominating non-affiliated directors
and replace an obsolete reference to NYSE Market (DE), Inc.\7\ On
September 9, 2016, NYSE LLC's rule filing amending the Ninth NYSE
Operating Agreement was approved.\8\
---------------------------------------------------------------------------
\7\ See Securities Exchange Act Release No. 78436 (July 28,
2016), 81 FR 51249 (August 3, 2016) (SR-NYSE-2016-51).
\8\ See Securities Exchange Act Release No. 78805 (September 9,
2016), 81 FR 63536 (September 15, 2016) (SR-NYSE-2016-51).
---------------------------------------------------------------------------
The Exchange is accordingly filing to remove the obsolete Ninth
NYSE Operating Agreement as a ``rule of the exchange'' under Section
3(a)(27) of the Act, and replace it with the Tenth NYSE Operating
Agreement as a ``rule of the exchange'' under Section 3(a)(27) of the
Act.\9\
---------------------------------------------------------------------------
\9\ See 15 U.S.C. 78c(a)(27).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Exchange Act \10\ in general, and with Section
6(b)(1) \11\ in particular, in that it enables the Exchange to be so
organized as to have the capacity to be able to carry out the purposes
of the Exchange Act and to comply, and to enforce compliance by its
exchange members and persons associated with its exchange members, with
the provisions of the Exchange Act, the rules and regulations
thereunder, and the rules of the Exchange.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(1).
---------------------------------------------------------------------------
The Exchange believes that the proposed rule change would
contribute to the orderly operation of the Exchange and would enable
the Exchange to be so organized as to have the capacity to carry out
the purposes of the Act and comply and enforce compliance by its
members and persons associated with its members, with the provisions of
the Act because, by removing the obsolete Ninth NYSE Operating
Agreement and making the Tenth NYSE Operating Agreement a rule of the
Exchange, the Exchange would be ensuring that its rules remain
consistent with the NYSE LLC operating agreement in effect.
The Exchange notes that, as with the Ninth NYSE Operating
Agreement, it would be required to file any changes to the Tenth NYSE
Operating Agreement with the Commission as a proposed rule change.\12\
In addition, the Exchange believes that the proposed changes are
consistent with and will facilitate an ownership structure of the
Exchange's facility NYSE Amex Options that will provide the Commission
with appropriate oversight tools to ensure that the Commission will
have the ability to enforce the Act with respect to NYSE Amex Options
and its direct and indirect parent entities.
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\12\ The Exchange notes that any amendment to the NYSE LLC
Operating Agreement would also require that NYSE LLC file a proposed
rule change with the Commission.
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The Exchange also believes that this filing furthers the objectives
of Section 6(b)(5) of the Act \13\ because the proposed rule change
would be consistent with and facilitate a governance and regulatory
structure that is designed to prevent fraudulent and manipulative acts
and practices, to promote just and equitable principles of trade, to
foster cooperation and coordination with persons engaged in regulating,
clearing, settling, processing information with respect to, and
facilitating transactions in securities, 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.
The Exchange believes that removing the obsolete Ninth NYSE Operating
Agreement and making the Tenth NYSE Operating Agreement a rule of the
Exchange will remove impediments to the operation of the Exchange by
ensuring that its rules remain consistent with the NYSE LLC operating
agreement in effect. The Exchange notes that, as with the Ninth NYSE
Operating Agreement, no amendment to the Tenth NYSE Operating Agreement
could be made without the Exchange filing a proposed rule change with
the Commission. For the same reasons, the proposed rule change is also
designed to protect investors as well as the public interest.
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\13\ 15 U.S.C. 78f(b)(5).
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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 that is not necessary or appropriate
in furtherance of the purposes of the Exchange Act. The proposed rule
change is not intended to address competitive issues but rather is
concerned solely with ensuring that the Commission will have the
ability to enforce the Act with respect to NYSE Amex Options and its
direct and indirect parent entities.
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
Because the 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) become operative for 30
days from the date on which it was filed, or such shorter time as the
Commission may designate, the proposed rule change has become effective
pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-4(f)(6)(iii)
thereunder.\14\
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\14\ 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.
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A proposed rule change filed under Rule 19b-4(f)(6) \15\ normally
does not become operative prior to 30 days after the date of the
filing. However, Rule 19b-4(f)(6)(iii) permits the Commission to
designate a shorter time if such action is consistent with the
protection of
[[Page 67029]]
investors and the public interest. The Exchange has asked the
Commission to waive the 30-day operative delay so that the proposal may
become operative immediately upon filing. The Commission believes that
waiver of the 30-day operative delay is appropriate because the Tenth
NYSE Operating Agreement will become ``rules of an exchange'' of NYSE
MKT without delay.\16\ Based on the foregoing, the Commission believes
that the waiver of the operative delay is consistent with the
protection of investors and the public interest.\17\ The Commission
hereby grants the waiver and designates the proposal operative upon
filing.
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\15\ 17 CFR 240.19b-4(f)(6).
\16\ See 15 U.S.C. 78c(a)(27).
\17\ For purposes only of waiving the 30-day operative delay,
the Commission has also considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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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) \18\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\18\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSEMKT-2016-89 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-NYSEMKT-2016-89. 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 20549-1090, on official business days between the hours
of 10:00 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-NYSEMKT-2016-89 and should
be submitted on or before October 20, 2016.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\19\
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\19\ 17 CFR 200.30-3(a)(12).
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Brent J. Fields,
Secretary.
[FR Doc. 2016-23491 Filed 9-28-16; 8:45 am]
BILLING CODE 8011-01-P
