Sunshine Act Meeting, 87989-87990 [2016-29295]
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Federal Register / Vol. 81, No. 234 / Tuesday, December 6, 2016 / Notices
otherwise would arise if OCC were
subject to withholding obligations with
respect to Dividend Equivalents under
Section 871(m). As noted above in
Section I.A.2, given OCC’s daily net
settlement process, OCC may be
required to apply its own funds if it
were obligated to effectuate
withholdings to the IRS pursuant to
Section 871(m). The assumption of
withholding responsibilities by OCC
would introduce uncertainty and risks
around the settlement of funds at OCC.
The proposed rule change would
transfer the obligation for any such
withholding (and any resulting liability)
to FFI Clearing Members by requiring
FFI Clearing Members to enter into
certain agreements with the IRS under
which the FFI Clearing Member
assumes primary withholding
responsibilities with respect to
transactions that it enters into on behalf
of customers (i.e., as an intermediary) or
for its own account (i.e., as a principal)
and to be FATCA Compliant. The
proposed rule change therefore would
eliminate the potential uncertainty and
risks in the daily settlement of funds at
OCC that otherwise would be imposed
by Section 871(m)’s new mandate. Thus,
the Commission finds that the proposed
rule change is designed to promote the
prompt and accurate clearance and
settlement of securities and derivatives
transactions, and the safeguarding of
securities and funds at OCC. While the
proposed rule change would impose
additional requirements and/or
restrictions on FFI Clearing Members,
the proposed rules are designed to
address in a targeted and proportionate
manner specific issues and potential
risks to OCC arising from those FFI
Clearing Members whose membership
creates potential withholding
obligations for OCC under the revised
tax provisions. The Commission
therefore finds that the proposed rule
change does not unfairly discriminate
among participants in the use of the
clearing agency. Based on the above, the
Commission finds that the proposed
rule change is consistent with Section
17A(b)(3)(F) of the Act.29
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III. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change, as modified by Amendment No.
1, is consistent with the Act. Comments
may be submitted by any of the
following methods:
29 15
U.S.C. 78q–1(b)(3)(F).
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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–
OCC–2016–014 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–OCC–2016–014. 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 also will be available for
inspection and copying at the principal
office of OCC and on OCC’s Web site at
https://www.theocc.com/components/
docs/legal/rules_and_bylaws/sr_occ_16_
014.pdf.
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–OCC–2016–014 and should
be submitted on or before December 27,
2016.
IV. Accelerated Approval of Proposed
Rule Change, as Modified by
Amendment No. 1
As discussed above, OCC submitted
Amendment No. 1 in order to adjust and
clarify the date by which affected
Clearing Members would need to
demonstrate compliance with the
proposed rule change. Amendment No.
1 does not raise any novel issues, and
the filing has been designed to facilitate
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87989
OCC’s compliance with the
requirements of another applicable
regulatory regime. Accordingly, the
Commission finds good cause, pursuant
to Section 19(b)(2) of the Act,30 to
approve the filing, as modified by
Amendment No. 1, on an accelerated
basis prior to the 30th day after the date
of the publication in the Federal
Register of the Notice and the notice of
Amendment No. 1 to the filing.
V. Conclusion
On the basis of the foregoing, the
Commission finds that the proposal is
consistent with the requirements of the
Act, and in particular, with the
requirements of Section 17A of the
Act 31 and the rules and regulations
thereunder.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,32 that the
proposed rule change (SR–OCC–2016–
014), as modified by Amendment No. 1,
be, and it hereby is, approved on an
accelerated basis.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.33
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2016–29163 Filed 12–5–16; 8:45 am]
BILLING CODE 8011–01–P
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 Investor Advisory
Committee will hold a meeting on
Thursday, December 8, 2016, in MultiPurpose Room LL–006 at the
Commission’s headquarters, 100 F
Street NE., Washington, DC 20549. The
meeting will begin at 9:30 a.m. (ET) and
will be open to the public. Seating will
be on a first-come, first-served basis.
Doors will open at 9:00 a.m. Visitors
will be subject to security checks. The
meeting will be webcast on the
Commission’s Web site at www.sec.gov.
On November 17, 2016, the
Commission issued notice of the
Committee meeting (Release No. 33–
10257), indicating that the meeting is
open to the public (except during that
30 15
U.S.C. 78s(b)(2).
approving this proposed rule change, the
Commission has considered the proposed rule’s
impact on efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
32 15 U.S.C. 78s(b)(2).
33 17 CFR 200.30–3(a)(12).
31 In
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Federal Register / Vol. 81, No. 234 / Tuesday, December 6, 2016 / Notices
portion of the meeting reserved for an
administrative work session during
lunch), and inviting the public to
submit written comments to the
Committee. This Sunshine Act notice is
being issued because a quorum of the
Commission may attend the meeting.
The agenda for the meeting includes:
Remarks from Commissioners; a
discussion regarding investor protection
priorities for the New Year; the
announcement of election results for
open officer positions; an update on the
Commission’s response to the
rulemaking mandate of the Fixing
America’s Surface Transportation Act
concerning public company disclosure
requirements; and a nonpublic
administrative work session during
lunch.
For further information, please
contact Brent J. Fields from the Office of
the Secretary at (202) 551–5400.
Dated: December 1, 2016.
Brent J. Fields,
Secretary.
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–79432; File No. SR–MIAX–
2016–45]
Self-Regulatory Organizations; Miami
International Securities Exchange LLC;
Notice of Filing and Immediate
Effectiveness of a Proposed Rule
Change To Amend Exchange Rule 510
To Extend the Penny Pilot Program
November 30, 2016.
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Pursuant to the provisions of 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 November 21, 2016, Miami
International Securities Exchange LLC
(‘‘MIAX’’ or ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) a 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 is filing a proposal to
amend Rule 510, Interpretations and
Policies .01 to extend the pilot program
2 17
U.S.C. 78s(b)(1).
CFR 240.19b–4.
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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 the
Statutory Basis for, the Proposed Rule
Change
[FR Doc. 2016–29295 Filed 12–2–16; 11:15 am]
1 15
for the quoting and trading of certain
options in pennies (the ‘‘Penny Pilot
Program’’).
The text of the proposed rule change
is available on the Exchange’s Web site
at https://www.miaxoptions.com/filter/
wotitle/rule_filing, at MIAX’s principal
office, and at the Commission’s Public
Reference Room.
1. Purpose
The Exchange is a participant in an
industry-wide pilot program that
provides for the quoting and trading of
certain option classes in penny
increments (the ‘‘Penny Pilot Program’’
or ‘‘Program’’). The Penny Pilot Program
allows the quoting and trading of certain
option classes in minimum increments
of $0.01 for all series in such option
classes with a price of less than $3.00;
and in minimum increments of $0.05 for
all series in such option classes with a
price of $3.00 or higher. Options
overlying the PowerShares QQQTM
(‘‘QQQ’’), SPDR® S&P 500® ETF
(‘‘SPY’’), and iShares® Russell 2000 ETF
(‘‘IWM’’), however, are quoted and
traded in minimum increments of $0.01
for all series regardless of the price. The
Penny Pilot Program was initiated at the
then existing option exchanges in
January 2007 3 and currently includes
more than 300 of the most active option
classes. The Penny Pilot Program is
currently scheduled to expire on
December 31, 2016.4 The purpose of the
3 See Securities Exchange Act Release Nos. 55154
(January 23, 2007), 72 FR 4743 (February 1, 2007)
(SR–CBOE–2006–92); 55161 (January 24, 2007), 72
FR 4754 (February 1, 2007) (SR–ISE–2006–62);
54688 (December 6, 2006), 71 FR 74979 (December
13, 2006) (SR–Phlx–2006–74); 54590 (October 12,
2006), 71 FR 61525 (October 18, 2006) (SR–
NYSEArca–2006–73); and 54741 (November 9,
2006), 71 FR 67176 (November 20, 2006) (SR–
Amex–2006–106).
4 See Securities Exchange Act Release No. 78080
(June 15, 2016), 81 FR 40377 (June 21, 2016) (SR–
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proposed rule change is to extend the
Penny Pilot Program in its current
format through June 30, 2017.
In addition to the extension of the
Penny Pilot Program through June 30,
2017, the Exchange proposes to extend
one other date in the Rule. Currently,
Interpretations and Policies .01 states
that the Exchange will replace any
Penny Pilot issues that have been
delisted with the next most actively
traded multiply listed option classes
that are not yet included in the Penny
Pilot Program, and that the replacement
issues will be selected based on trading
activity in the previous six months.
Such option classes will be added to the
Penny Pilot Program on the second
trading day following July 1, 2016.5
Because this date has expired and the
Exchange intends to continue this
practice for the duration of the Penny
Pilot Program, the Exchange is
proposing to amend the Rule to reflect
that such option classes will be added
to the Penny Pilot Program on the
second trading day following January 1,
2017.
The purpose of this provision is to
reflect the new date on which
replacement issues may be added to the
Penny Pilot Program.
2. Statutory Basis
MIAX believes that its proposed rule
change is consistent with Section 6(b) of
the Act 6 in general, and furthers the
objectives of Section 6(b)(5) of the Act 7
in particular, in that it 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 facilitating
transactions in securities, to remove
impediments to and perfect the
mechanisms of a free and open market
and a national market system and, in
general, to protect investors and the
public interest. In particular, the
proposed rule change, which extends
the Penny Pilot Program for six months,
allows the Exchange to continue to
participate in a program that has been
viewed as beneficial to traders, investors
and public customers and viewed as
successful by the other options
exchanges participating in it.
MIAX–2016–16) (extending the Penny Pilot
Program from June 30, 2016, to December 31, 2016).
5 The month immediately preceding a
replacement class’s addition to the Pilot Program
(i.e., June) is not used for purposes of the six-month
analysis. For example, a replacement added on the
second trading day following July 1, 2016, will be
identified based on trading activity from December
1, 2015, through May 31, 2016.
6 15 U.S.C. 78f(b).
7 15 U.S.C. 78f(b)(5).
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Agencies
[Federal Register Volume 81, Number 234 (Tuesday, December 6, 2016)]
[Notices]
[Pages 87989-87990]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-29295]
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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 Investor Advisory Committee will hold a meeting
on Thursday, December 8, 2016, in Multi-Purpose Room LL-006 at the
Commission's headquarters, 100 F Street NE., Washington, DC 20549. The
meeting will begin at 9:30 a.m. (ET) and will be open to the public.
Seating will be on a first-come, first-served basis. Doors will open at
9:00 a.m. Visitors will be subject to security checks. The meeting will
be webcast on the Commission's Web site at www.sec.gov.
On November 17, 2016, the Commission issued notice of the Committee
meeting (Release No. 33-10257), indicating that the meeting is open to
the public (except during that
[[Page 87990]]
portion of the meeting reserved for an administrative work session
during lunch), and inviting the public to submit written comments to
the Committee. This Sunshine Act notice is being issued because a
quorum of the Commission may attend the meeting.
The agenda for the meeting includes: Remarks from Commissioners; a
discussion regarding investor protection priorities for the New Year;
the announcement of election results for open officer positions; an
update on the Commission's response to the rulemaking mandate of the
Fixing America's Surface Transportation Act concerning public company
disclosure requirements; and a nonpublic administrative work session
during lunch.
For further information, please contact Brent J. Fields from the
Office of the Secretary at (202) 551-5400.
Dated: December 1, 2016.
Brent J. Fields,
Secretary.
[FR Doc. 2016-29295 Filed 12-2-16; 11:15 am]
BILLING CODE 8011-01-P