Self-Regulatory Organizations; ICE Clear Credit LLC; Order Approving Proposed Rule Change To Provide for the Clearance of Additional Credit Default Swap Contracts, 9086-9087 [2017-02185]
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Federal Register / Vol. 82, No. 21 / Thursday, February 2, 2017 / Notices
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–79892; File No. SR–ICC–
2016–014]
Self-Regulatory Organizations; ICE
Clear Credit LLC; Order Approving
Proposed Rule Change To Provide for
the Clearance of Additional Credit
Default Swap Contracts
January 27, 2017.
I. Introduction
On November 18, 2016, ICE Clear
Credit LLC (‘‘ICC’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
revise the ICC Rulebook (the ‘‘Rules’’) in
order to provide for the clearance of
Standard Australian Corporate Single
Name CDS contracts (collectively,
‘‘STAC Contracts’’) and Standard
Australian Financial Corporate Single
Name CDS contracts (collectively,
‘‘STAFC Contracts’’). The proposed rule
change was published for comment in
the Federal Register on December 7,
2016.3 The Commission did not receive
comments on the proposed rule change.
On January 18, 2017, the Commission
designated a longer period for
Commission action on the proposed rule
change.4 For the reasons discussed
below, the Commission is approving the
proposed rule change.
mstockstill on DSK3G9T082PROD with NOTICES
II. Description of the Proposed Rule
Change
The rule change adopts rules that
provide the basis for ICC to clear
additional credit default swap contracts.
Specifically, ICC is amending Chapter
26 of the ICC Rules to add Subchapters
26M and 26N to provide for the
clearance of STAC and STAFC
Contracts, respectively. ICC represents
clearing of the additional STAC and
STAFC Contracts will not require any
changes to ICC’s Risk Management
Framework or other policies and
procedures constituting rules within the
meaning of the Act.
ICC represents that STAC Contracts
have similar terms to the Standard
European Corporate Single Name CDS
contracts (‘‘STEC Contracts’’) currently
cleared by ICC and governed by
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Securities Exchange Act Release No. 79439
(December 1, 2016), 81 FR 88291 (December 7,
2016) (SR–ICC–2016–014).
4 Securities Exchange Act Release No. 79821
(January 18, 2017), 82 FR 8450 (January 25, 2017)
(SR–ICC–2016–014).
2 17
VerDate Sep<11>2014
16:31 Feb 01, 2017
Jkt 241001
Subchapter 26G of the ICC Rules.
Therefore, ICC states that the rules
found in Subchapter 26M largely mirror
the ICC Rules for STEC Contracts in
Subchapter 26G, with certain
modifications that reflect differences in
terms and market conventions between
those contracts and STAC Contracts.
STAC Contracts will be denominated in
United States Dollars.
ICC Rule 26M–102 (Definitions) sets
forth the definitions used for the STAC
Contracts. ICC represents that the
definitions are substantially the same as
the definitions found in Subchapter 26G
of the ICC Rules, other than certain
conforming changes. Similarly, ICC
states that its Rules 26M–203
(Restriction on Activity), 26M–206
(Notices Required of Participants with
respect to STAC Contracts), 26M–303
(STAC Contract Adjustments), 26M–309
(Acceptance of STAC Contracts by ICE
Clear Credit), 26M–315 (Terms of the
Cleared STAC Contract), 26M–316
(Relevant Physical Settlement Matrix
Updates), 26M–502 (Specified Actions),
and 26M–616 (Contract Modification)
reflect or incorporate the basic contract
specifications for STAC Contracts and
are substantially the same as under
Subchapter 26G of the ICC Rules.
ICC states that STAFC Contracts have
similar terms to the Standard European
Financial Corporate Single Name CDS
contracts (‘‘STEFC Contracts’’) currently
cleared by ICC and governed by
Subchapter 26H of the ICC Rules. Thus,
ICC represents that the rules found in
Subchapter 26N largely mirror the ICC
Rules for STEFC Contracts in
Subchapter 26H, with certain
modifications that reflect differences in
terms and market conventions between
those contracts and STAFC Contracts.
STAFC Contracts will be denominated
in United States Dollars.
ICC Rule 26N–102 (Definitions) sets
forth the definitions used for the STAFC
Contracts. ICC states that the definitions
are substantially the same as the
definitions found in Subchapter 26H of
the ICC Rules, other than certain
conforming changes. ICC represents that
its Rules 26N–203 (Restriction on
Activity), 26N–206 (Notices Required of
Participants with respect to STAFC
Contracts), 26N–303 (STAFC Contract
Adjustments), 26N–309 (Acceptance of
STAFC Contracts by ICE Clear Credit),
26N–315 (Terms of the Cleared STAFC
Contract), 26N–316 (Relevant Physical
Settlement Matrix Updates), 26N–502
(Specified Actions), and 26N–616
(Contract Modification) reflect or
incorporate the basic contract
specifications for STAFC Contracts and
are substantially the same as under
Subchapter 26H of the ICC Rules.
PO 00000
Frm 00032
Fmt 4703
Sfmt 4703
III. Discussion and Commission
Findings
Section 19(b)(2)(C) of the Act 5 directs
the Commission to approve a proposed
rule change of a self-regulatory
organization if the Commission finds
that the proposed rule change is
consistent with the requirements of the
Act and the rules and regulations
thereunder applicable to such selfregulatory organization. Section
17A(b)(3)(F) of the Act 6 requires that,
among other things, that the rules of a
clearing agency be designed to promote
the prompt and accurate clearance and
settlement of securities transactions
and, to the extent applicable, derivative
agreements, contracts, and transactions,
to assure the safeguarding of securities
and funds which are in the custody or
control of the clearing agency or for
which it is responsible and, in general,
to protect investors and the public
interest.
The Commission finds that the rule
change is consistent with the
requirements of Section 17A of the Act 7
and the rules and regulations
thereunder applicable to ICC. The rule
changes expands clearing to additional
products, the STAC and STAFC credit
default swap contracts, thus promoting
the prompt and accurate clearance and
settlement of securities transactions
and, to the extent applicable, derivative
agreements, contracts, and transactions.
ICC represents that the STAC and
STAFC contracts are similar to the STEC
and STEFC Contracts that ICC currently
clears, and that the STAC and STAFC
Contracts will be cleared pursuant to
ICC’s existing clearing arrangements and
related financial safeguards, protections
and risk management procedures.
Clearing of the STAC and STAFC
Contracts will thus allow market
participants an increased ability to
manage risk, while ensuring the
safeguarding of margin assets pursuant
to clearing house rules. Therefore, the
Commission believes that acceptance of
the STAC and STAFC Contracts, on the
terms and conditions set out in the
Rules, is consistent with the prompt and
accurate clearance of and settlement of
securities transactions and derivative
agreements, contracts and transactions
cleared by ICC, the safeguarding of
securities and funds in the custody or
control of ICC, and the protection of
investors and the public interest, within
the meaning of Section 17A(b)(3)(F) of
the Act.8
5 15
U.S.C. 78s(b)(2)(C).
U.S.C. 78q–1(b)(3)(F).
7 15 U.S.C. 78q–1.
8 15 U.S.C. 78q–1(b)(3)(F).
6 15
E:\FR\FM\02FEN1.SGM
02FEN1
Federal Register / Vol. 82, No. 21 / Thursday, February 2, 2017 / Notices
IV. 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 9
and the rules and regulations
thereunder.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,10 that the
proposed rule change (File No. SR–ICC–
2016–014) be, and hereby is,
approved.11
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2017–02185 Filed 2–1–17; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. IC–32456]
Notice of Applications for
Deregistration Under Section 8(f) of the
Investment Company Act of 1940
mstockstill on DSK3G9T082PROD with NOTICES
January 27, 2017.
The following is a notice of
applications for deregistration under
section 8(f) of the Investment Company
Act of 1940 for the month of January
2017. A copy of each application may be
obtained via the Commission’s Web site
by searching for the file number, or for
an applicant using the Company name
box, at https://www.sec.gov/search/
search.htm or by calling (202) 551–
8090. An order granting each
application will be issued unless the
SEC orders a hearing. Interested persons
may request a hearing on any
application by writing to the SEC’s
Secretary at the address below and
serving the relevant applicant with a
copy of the request, personally or by
mail. Hearing requests should be
received by the SEC by 5:30 p.m. on
February 21, 2017, and should be
accompanied by proof of service on
applicants, in the form of an affidavit or,
for lawyers, a certificate of service.
Pursuant to Rule 0–5 under the Act,
hearing requests should state the nature
of the writer’s interest, any facts bearing
upon the desirability of a hearing on the
matter, the reason for the request, and
the issues contested. Persons who wish
9 15
U.S.C. 78q–1.
10 15 U.S.C. 78s(b)(2).
11 In approving the proposed rule change, the
Commission considered the proposal’s impact on
efficiency, competition and capital formation. 15
U.S.C. 78c(f).
12 17 CFR 200.30–3(a)(12).
VerDate Sep<11>2014
16:31 Feb 01, 2017
Jkt 241001
to be notified of a hearing may request
notification by writing to the
Commission’s Secretary.
The Commission: Secretary,
U.S. Securities and Exchange
Commission, 100 F Street NE.,
Washington, DC 20549–1090.
ADDRESSES:
FOR FURTHER INFORMATION CONTACT:
Jessica Shin, Attorney-Adviser, at (202)
551–5921 or Chief Counsel’s Office at
(202) 551–6821; SEC, Division of
Investment Management, Chief
Counsel’s Office, 100 F Street NE.,
Washington, DC 20549–8010.
Nuveen New York Performance Plus
Municipal Fund Inc.
[File No. 811–05931]
Summary: Applicant, a closed-end
investment company, seeks an order
declaring that it has ceased to be an
investment company. The applicant has
transferred its assets to Nuveen New
York Dividend Advantage Municipal
Fund and, on May 26, 2015, made a
final distribution to its shareholders
based on net asset value. Expenses of
approximately $38,358 incurred in
connection with the reorganization were
paid by applicant and approximately
$283,472 were paid by the acquiring
fund.
Filing Dates: The application was
filed on January 22, 2016, and amended
on November 14, 2016, and December
14, 2016.
Applicant’s Address: 333 West
Wacker Drive, Chicago, Illinois 60606.
Corsair Opportunity Fund
[File No. 811–22978]
Summary: Applicant, a closed-end
investment company, seeks an order
declaring that it has ceased to be an
investment company. On December 15,
2016, applicant made a liquidating
distribution to its shareholders, based
on net asset value. Expenses of $5,009
incurred in connection with the
liquidation were paid by applicant’s
investment adviser.
Filing Date: The application was filed
on December 16, 2016.
Applicant’s Address: 366 Madison
Avenue, 12th Floor, New York, New
York 10017.
SmartX ETF Trust
[File No. 811–22825]
Summary: Applicant seeks an order
declaring that it has ceased to be an
investment company. Applicant has
never made a public offering of its
securities and does not propose to make
a public offering or engage in business
of any kind.
PO 00000
Frm 00033
Fmt 4703
Sfmt 4703
9087
Filing Dates: The application was
filed on December 9, 2016, and
amended on January 5, 2017.
Applicant’s Address: c/o Guinness
Atkinson Asset Management Inc., 21550
Oxnard Street, Suite 850, Woodland
Hills, California 91367.
Vantagepoint Funds
[File No. 811–08941]
Summary: Applicant seeks an order
declaring that it has ceased to be an
investment company. On October 14,
2016, applicant made a final liquidating
distribution to its shareholders, based
on net asset value. Applicant has
established a liquidating trust to provide
for the payment of certain identified
contingent claims with respect to
certain series of applicant. The parent
company of applicant’s investment
adviser serves as administrator of the
liquidating trust. Assets remaining in
the liquidating trust will be distributed
to its beneficiaries after the satisfaction
of all claims. Expenses of $1,693,244
incurred in connection with the
liquidation were paid by applicant and
applicant’s investment adviser.
Applicant has retained $4,232,893 in
cash and cash equivalents at its
custodian bank to pay for certain
accrued liabilities.
Filing Dates: The application was
filed on November 14, 2016 and
amended on January 5, 2017.
Applicant’s Address: 777 North
Capitol Street NE., Suite 600,
Washington, District of Columbia 20002.
Matthews A Share Selections Fund,
LLC
[File No. 811–22809]
Summary: Applicant seeks an order
declaring that it has ceased to be an
investment company. On September 30,
2016, applicant made a liquidating
distribution to its shareholders, based
on net asset value. Expenses of
approximately $40,000 incurred in
connection with the liquidation were
paid by the former sole shareholder of
each series of applicant. Applicant has
retained a de minimis amount for the
purpose of completing certain
regulatory and liquidation activities in
China. These de minimis amounts will
be paid to the former sole shareholder
of each series of applicant.
Filing Dates: The application was
filed on October 20, 2016, and amended
on December 19, 2016 and January 5,
2017.
Applicant’s Address: Four
Embarcadero Center, Suite 550, San
Francisco, California 94111.
E:\FR\FM\02FEN1.SGM
02FEN1
Agencies
[Federal Register Volume 82, Number 21 (Thursday, February 2, 2017)]
[Notices]
[Pages 9086-9087]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-02185]
[[Page 9086]]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-79892; File No. SR-ICC-2016-014]
Self-Regulatory Organizations; ICE Clear Credit LLC; Order
Approving Proposed Rule Change To Provide for the Clearance of
Additional Credit Default Swap Contracts
January 27, 2017.
I. Introduction
On November 18, 2016, ICE Clear Credit LLC (``ICC'') filed with the
Securities and Exchange Commission (``Commission''), pursuant to
Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') \1\
and Rule 19b-4 thereunder,\2\ a proposed rule change to revise the ICC
Rulebook (the ``Rules'') in order to provide for the clearance of
Standard Australian Corporate Single Name CDS contracts (collectively,
``STAC Contracts'') and Standard Australian Financial Corporate Single
Name CDS contracts (collectively, ``STAFC Contracts''). The proposed
rule change was published for comment in the Federal Register on
December 7, 2016.\3\ The Commission did not receive comments on the
proposed rule change. On January 18, 2017, the Commission designated a
longer period for Commission action on the proposed rule change.\4\ For
the reasons discussed below, the Commission is approving the proposed
rule change.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ Securities Exchange Act Release No. 79439 (December 1,
2016), 81 FR 88291 (December 7, 2016) (SR-ICC-2016-014).
\4\ Securities Exchange Act Release No. 79821 (January 18,
2017), 82 FR 8450 (January 25, 2017) (SR-ICC-2016-014).
---------------------------------------------------------------------------
II. Description of the Proposed Rule Change
The rule change adopts rules that provide the basis for ICC to
clear additional credit default swap contracts. Specifically, ICC is
amending Chapter 26 of the ICC Rules to add Subchapters 26M and 26N to
provide for the clearance of STAC and STAFC Contracts, respectively.
ICC represents clearing of the additional STAC and STAFC Contracts will
not require any changes to ICC's Risk Management Framework or other
policies and procedures constituting rules within the meaning of the
Act.
ICC represents that STAC Contracts have similar terms to the
Standard European Corporate Single Name CDS contracts (``STEC
Contracts'') currently cleared by ICC and governed by Subchapter 26G of
the ICC Rules. Therefore, ICC states that the rules found in Subchapter
26M largely mirror the ICC Rules for STEC Contracts in Subchapter 26G,
with certain modifications that reflect differences in terms and market
conventions between those contracts and STAC Contracts. STAC Contracts
will be denominated in United States Dollars.
ICC Rule 26M-102 (Definitions) sets forth the definitions used for
the STAC Contracts. ICC represents that the definitions are
substantially the same as the definitions found in Subchapter 26G of
the ICC Rules, other than certain conforming changes. Similarly, ICC
states that its Rules 26M-203 (Restriction on Activity), 26M-206
(Notices Required of Participants with respect to STAC Contracts), 26M-
303 (STAC Contract Adjustments), 26M-309 (Acceptance of STAC Contracts
by ICE Clear Credit), 26M-315 (Terms of the Cleared STAC Contract),
26M-316 (Relevant Physical Settlement Matrix Updates), 26M-502
(Specified Actions), and 26M-616 (Contract Modification) reflect or
incorporate the basic contract specifications for STAC Contracts and
are substantially the same as under Subchapter 26G of the ICC Rules.
ICC states that STAFC Contracts have similar terms to the Standard
European Financial Corporate Single Name CDS contracts (``STEFC
Contracts'') currently cleared by ICC and governed by Subchapter 26H of
the ICC Rules. Thus, ICC represents that the rules found in Subchapter
26N largely mirror the ICC Rules for STEFC Contracts in Subchapter 26H,
with certain modifications that reflect differences in terms and market
conventions between those contracts and STAFC Contracts. STAFC
Contracts will be denominated in United States Dollars.
ICC Rule 26N-102 (Definitions) sets forth the definitions used for
the STAFC Contracts. ICC states that the definitions are substantially
the same as the definitions found in Subchapter 26H of the ICC Rules,
other than certain conforming changes. ICC represents that its Rules
26N-203 (Restriction on Activity), 26N-206 (Notices Required of
Participants with respect to STAFC Contracts), 26N-303 (STAFC Contract
Adjustments), 26N-309 (Acceptance of STAFC Contracts by ICE Clear
Credit), 26N-315 (Terms of the Cleared STAFC Contract), 26N-316
(Relevant Physical Settlement Matrix Updates), 26N-502 (Specified
Actions), and 26N-616 (Contract Modification) reflect or incorporate
the basic contract specifications for STAFC Contracts and are
substantially the same as under Subchapter 26H of the ICC Rules.
III. Discussion and Commission Findings
Section 19(b)(2)(C) of the Act \5\ directs the Commission to
approve a proposed rule change of a self-regulatory organization if the
Commission finds that the proposed rule change is consistent with the
requirements of the Act and the rules and regulations thereunder
applicable to such self-regulatory organization. Section 17A(b)(3)(F)
of the Act \6\ requires that, among other things, that the rules of a
clearing agency be designed to promote the prompt and accurate
clearance and settlement of securities transactions and, to the extent
applicable, derivative agreements, contracts, and transactions, to
assure the safeguarding of securities and funds which are in the
custody or control of the clearing agency or for which it is
responsible and, in general, to protect investors and the public
interest.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78s(b)(2)(C).
\6\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------
The Commission finds that the rule change is consistent with the
requirements of Section 17A of the Act \7\ and the rules and
regulations thereunder applicable to ICC. The rule changes expands
clearing to additional products, the STAC and STAFC credit default swap
contracts, thus promoting the prompt and accurate clearance and
settlement of securities transactions and, to the extent applicable,
derivative agreements, contracts, and transactions. ICC represents that
the STAC and STAFC contracts are similar to the STEC and STEFC
Contracts that ICC currently clears, and that the STAC and STAFC
Contracts will be cleared pursuant to ICC's existing clearing
arrangements and related financial safeguards, protections and risk
management procedures. Clearing of the STAC and STAFC Contracts will
thus allow market participants an increased ability to manage risk,
while ensuring the safeguarding of margin assets pursuant to clearing
house rules. Therefore, the Commission believes that acceptance of the
STAC and STAFC Contracts, on the terms and conditions set out in the
Rules, is consistent with the prompt and accurate clearance of and
settlement of securities transactions and derivative agreements,
contracts and transactions cleared by ICC, the safeguarding of
securities and funds in the custody or control of ICC, and the
protection of investors and the public interest, within the meaning of
Section 17A(b)(3)(F) of the Act.\8\
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78q-1.
\8\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------
[[Page 9087]]
IV. 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 \9\ and the
rules and regulations thereunder.
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78q-1.
---------------------------------------------------------------------------
It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\10\ that the proposed rule change (File No. SR-ICC-2016-014) be,
and hereby is, approved.\11\
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78s(b)(2).
\11\ In approving the proposed rule change, the Commission
considered the proposal's impact on efficiency, competition and
capital formation. 15 U.S.C. 78c(f).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
---------------------------------------------------------------------------
\12\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2017-02185 Filed 2-1-17; 8:45 am]
BILLING CODE 8011-01-P