Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Fees Schedule, 18679-18680 [2017-07954]
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Federal Register / Vol. 82, No. 75 / Thursday, April 20, 2017 / Notices
II. Docketed Proceeding(s)
1. Docket No(s).: CP2017–164; Filing
Title: Notice of United States Postal
Service of Filing a Functionally
Equivalent Global Expedited Package
Services 3 Negotiated Service
Agreement and Application for NonPublic Treatment of Materials Filed
Under Seal; Filing Acceptance Date:
April 14, 2017; Filing Authority: 39 CFR
3015.5; Public Representative: Kenneth
R. Moeller; Comments Due: April 24,
2017.
2. Docket No(s).: MC2017–114 and
CP2017–165; Filing Title: Request of the
United States Postal Service to Add
Priority Mail Express & Priority Mail
Contract 46 to Competitive Product List
and Notice of Filing (Under Seal) of
Unredacted Governors’ Decision,
Contract, and Supporting Data; Filing
Acceptance Date: April 14, 2017; Filing
Authority: 39 U.S.C. 3642 and 39 CFR
3020.30 et seq.; Public Representative:
Kenneth R. Moeller; Comments Due:
April 24, 2017.
3. Docket No(s).: MC2017–115 and
CP2017–166; Filing Title: Request of the
United States Postal Service to Add
Priority Mail Contract 308 to
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Supporting Data; Filing Acceptance
Date: April 14, 2017; Filing Authority:
39 U.S.C. 3642 and 39 CFR 3020.30 et
seq.; Public Representative: Christopher
C. Mohr; Comments Due: April 24,
2017.
4. Docket No(s).: MC2017–116 and
CP2017–167; Filing Title: Request of the
United States Postal Service to Add
Priority Mail Contract 309 to
Competitive Product List and Notice of
Filing (Under Seal) of Unredacted
Governors’ Decision, Contract, and
Supporting Data; Filing Acceptance
Date: April 14, 2017; Filing Authority:
39 U.S.C. 3642 and 39 CFR 3020.30 et
seq.; Public Representative: Christopher
C. Mohr; Comments Due: April 24,
2017.
5. Docket No(s).: MC2017–117 and
CP2017–168; Filing Title: Request of the
United States Postal Service to Add
First-Class Package Service Contract 76
to Competitive Product List and Notice
of Filing (Under Seal) of Unredacted
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Supporting Data; Filing Acceptance
Date: April 14, 2017; Filing Authority:
39 U.S.C. 3642 and 39 CFR 3020.30 et
seq.; Public Representative: Katalin K.
Clendenin; Comments Due: April 24,
2017.
6. Docket No(s).: MC2017–118 and
CP2017–169; Filing Title: Request of the
United States Postal Service to Add
Priority Mail Express Contract 47 to
Competitive Product List and Notice of
Filing (Under Seal) of Unredacted
Governors’ Decision, Contract, and
Supporting Data; Filing Acceptance
Date: April 14, 2017; Filing Authority:
39 U.S.C. 3642 and 39 CFR 3020.30 et
seq.; Public Representative: Katalin K.
Clendenin; Comments Due: April 24,
2017.
This Notice will be published in the
Federal Register.
Stacy L. Ruble,
Secretary.
[FR Doc. 2017–08016 Filed 4–19–17; 8:45 am]
BILLING CODE 7710–FW–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–80462; File No. SR–CBOE–
2017–033]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend the Fees
Schedule
April 14, 2017.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on April 10,
2017, Chicago Board Options Exchange,
Incorporated (the ‘‘Exchange’’ or
‘‘CBOE’’) filed with the Securities and
Exchange Commission (the
‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The text of the proposed rule change
is available on the Exchange’s Web site
(https://www.cboe.com/AboutCBOE/
CBOELegalRegulatoryHome.aspx), at
the Exchange’s Office of the Secretary,
and at the Commission’s Public
Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend its
Fees Schedule with respect to the
Frequent Trader program.3 By way of
background, the Frequent Trader
Program offers transaction fee rebates to
registered Customers, Professional
Customers and Voluntary Professionals
(origin codes ‘‘C’’ and ‘‘W’’) (collectively
‘‘Customers’’) that meet certain volume
thresholds in CBOE VIX Volatility Index
options (‘‘VIX options’’), Russell 2000
Index (‘‘RUT’’) options, and S&P 500
Index options (‘‘SPX’’), weekly S&P 500
options (‘‘SPXW’’) and p.m.-settled SPX
Index options (‘‘SPXpm’’) (collectively
referred to as ‘‘SPX options’’) provided
the Customer registers for the program.
The Exchange proposes to amend the
Frequent Trader Program to increase the
(i) volume thresholds and (ii) rebates for
VIX options. Specifically, the proposed
changes will be as follows:
VIX
Monthly contracts traded
Fee rebate
Tier
Current
(percent)
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Current
1 ......................................................
2 ......................................................
3 ......................................................
1 15
2 17
Proposed
10,000–49,000 ...............................
50,000–99,000 ...............................
100,000 and above ........................
10,000–99,999 ...............................
100,000–299,999 ...........................
300,000 and above ........................
U.S.C. 78s(b)(1).
CFR 240.19b–4.
VerDate Sep<11>2014
17:27 Apr 19, 2017
3 The Exchange initially filed the proposed fee
change on April 3, 2017 (SR–CBOE–2017–027). On
Jkt 241001
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Frm 00076
Fmt 4703
Sfmt 4703
Proposed
(percent)
3
6
9
5
15
25
April 10, 2017, the Exchange withdrew that filing
and submitted this filing.
E:\FR\FM\20APN1.SGM
20APN1
18680
Federal Register / Vol. 82, No. 75 / Thursday, April 20, 2017 / Notices
asabaliauskas on DSK3SPTVN1PROD with NOTICES
The Exchange believes the proposed
changes incentivizes the sending of
Customer orders to the Exchange while
maintaining an incremental incentive
for Customers to strive for the highest
tier level.
SPX and RUT options because the
Exchange would like to encourage more
VIX trading. The Exchange believes that
the proposed change is not unfairly
discriminatory because it will apply to
all Frequent Trader Customers.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
Securities Exchange Act of 1934 (the
‘‘Act’’) and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.4 Specifically,
the Exchange believes the proposed rule
change is consistent with the Section
6(b)(5) 5 requirements that the rules of
an exchange be 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 also believes the proposed
rule change is consistent with Section
6(b)(4) of the Act,6 which provides that
Exchange rules may provide for the
equitable allocation of reasonable dues,
fees, and other charges among its
Trading Permit Holders.
The Exchange believes it’s reasonable
to increase the Frequent Trader rebates
for VIX because it provides Customers
an opportunity to receive increased
rebates for reaching certain qualifying
volume thresholds that they would not
otherwise receive. The proposed rule
change is designed to encourage greater
Customer VIX options trading, which,
along with bringing greater VIX options
trading opportunities to all market
participants, would bring in more fees
to the Exchange, and such fees can be
used to recoup the Exchange’s costs and
expenditures from maintaining VIX
options. The Exchange believes it’s also
reasonable to increase the qualifying
volume thresholds for VIX as it still
allows the Exchange to maintain an
incremental incentive for Customers to
strive for the highest tier level and
because the Exchange has increased the
rebates for each of the tiers. The
Exchange believes it’s equitable and not
unfairly discriminatory to establish
higher rebates under the Frequent
Trader Program for VIX as compared to
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CBOE 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 Act because,
while the rebates apply only to
Customers, the proposed change is
designed to encourage increased
Customer VIX options volume, which
provides greater trading opportunities
for all market participants. The
Exchange believes that the proposed
rule change will not cause an
unnecessary burden on intermarket
competition because VIX is only traded
on CBOE. To the extent that the
proposed changes make CBOE a more
attractive marketplace for market
participants at other exchanges, such
market participants are welcome to
become CBOE market participants.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange neither solicited nor
received comments on the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 7 and paragraph (f) of Rule
19b–4 8 thereunder. 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. If the
Commission takes such action, the
Commission will institute proceedings
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.
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
6 15 U.S.C. 78f(b)(4).
5 15
17:27 Apr 19, 2017
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–
CBOE–2017–033 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–CBOE–2017–033. 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 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–CBOE–
2017–033 and should be submitted on
or before May 11, 2017.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
Brent J. Fields,
Secretary.
[FR Doc. 2017–07954 Filed 4–19–17; 8:45 am]
BILLING CODE 8011–01–P
4 15
VerDate Sep<11>2014
Comments may be submitted by any of
the following methods:
7 15
U.S.C. 78s(b)(3)(A).
8 17 CFR 240.19b–4(f).
Jkt 241001
PO 00000
Frm 00077
Fmt 4703
9 17
Sfmt 9990
E:\FR\FM\20APN1.SGM
CFR 200.30–3(a)(12).
20APN1
]]>Agencies
[Federal Register Volume 82, Number 75 (Thursday, April 20, 2017)]
[Notices]
[Pages 18679-18680]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-07954]
=======================================================================
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-80462; File No. SR-CBOE-2017-033]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change To Amend the Fees Schedule
April 14, 2017.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on April 10, 2017, Chicago Board Options Exchange, Incorporated
(the ``Exchange'' or ``CBOE'') filed with the Securities and Exchange
Commission (the ``Commission'') the proposed rule change as described
in Items I, II, and III below, which Items have been prepared by the
Exchange. The Commission is publishing this notice to solicit comments
on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The text of the proposed rule change is available on the Exchange's
Web site (https://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx),
at the Exchange's Office of the Secretary, and at the Commission's
Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend its Fees Schedule with respect to
the Frequent Trader program.\3\ By way of background, the Frequent
Trader Program offers transaction fee rebates to registered Customers,
Professional Customers and Voluntary Professionals (origin codes ``C''
and ``W'') (collectively ``Customers'') that meet certain volume
thresholds in CBOE VIX Volatility Index options (``VIX options''),
Russell 2000 Index (``RUT'') options, and S&P 500 Index options
(``SPX''), weekly S&P 500 options (``SPXW'') and p.m.-settled SPX Index
options (``SPXpm'') (collectively referred to as ``SPX options'')
provided the Customer registers for the program. The Exchange proposes
to amend the Frequent Trader Program to increase the (i) volume
thresholds and (ii) rebates for VIX options. Specifically, the proposed
changes will be as follows:
---------------------------------------------------------------------------
\3\ The Exchange initially filed the proposed fee change on
April 3, 2017 (SR-CBOE-2017-027). On April 10, 2017, the Exchange
withdrew that filing and submitted this filing.
VIX
----------------------------------------------------------------------------------------------------------------
Monthly contracts traded Fee rebate
-----------------------------------------------------------------------------
Tier Current Proposed
Current Proposed (percent) (percent)
----------------------------------------------------------------------------------------------------------------
1................................. 10,000-49,000........ 10,000-99,999........ 3 5
2................................. 50,000-99,000........ 100,000-299,999...... 6 15
3................................. 100,000 and above.... 300,000 and above.... 9 25
----------------------------------------------------------------------------------------------------------------
[[Page 18680]]
The Exchange believes the proposed changes incentivizes the sending
of Customer orders to the Exchange while maintaining an incremental
incentive for Customers to strive for the highest tier level.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act'') and the rules and
regulations thereunder applicable to the Exchange and, in particular,
the requirements of Section 6(b) of the Act.\4\ Specifically, the
Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \5\ requirements that the rules of an exchange be
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
also believes the proposed rule change is consistent with Section
6(b)(4) of the Act,\6\ which provides that Exchange rules may provide
for the equitable allocation of reasonable dues, fees, and other
charges among its Trading Permit Holders.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78f(b).
\5\ 15 U.S.C. 78f(b)(5).
\6\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
The Exchange believes it's reasonable to increase the Frequent
Trader rebates for VIX because it provides Customers an opportunity to
receive increased rebates for reaching certain qualifying volume
thresholds that they would not otherwise receive. The proposed rule
change is designed to encourage greater Customer VIX options trading,
which, along with bringing greater VIX options trading opportunities to
all market participants, would bring in more fees to the Exchange, and
such fees can be used to recoup the Exchange's costs and expenditures
from maintaining VIX options. The Exchange believes it's also
reasonable to increase the qualifying volume thresholds for VIX as it
still allows the Exchange to maintain an incremental incentive for
Customers to strive for the highest tier level and because the Exchange
has increased the rebates for each of the tiers. The Exchange believes
it's equitable and not unfairly discriminatory to establish higher
rebates under the Frequent Trader Program for VIX as compared to SPX
and RUT options because the Exchange would like to encourage more VIX
trading. The Exchange believes that the proposed change is not unfairly
discriminatory because it will apply to all Frequent Trader Customers.
B. Self-Regulatory Organization's Statement on Burden on Competition
CBOE 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 Act because, while the rebates apply
only to Customers, the proposed change is designed to encourage
increased Customer VIX options volume, which provides greater trading
opportunities for all market participants. The Exchange believes that
the proposed rule change will not cause an unnecessary burden on
intermarket competition because VIX is only traded on CBOE. To the
extent that the proposed changes make CBOE a more attractive
marketplace for market participants at other exchanges, such market
participants are welcome to become CBOE market participants.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange neither solicited nor received comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \7\ and paragraph (f) of Rule 19b-4 \8\
thereunder. 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. If the Commission
takes such action, the Commission will institute proceedings to
determine whether the proposed rule change should be approved or
disapproved.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78s(b)(3)(A).
\8\ 17 CFR 240.19b-4(f).
---------------------------------------------------------------------------
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-CBOE-2017-033 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-CBOE-2017-033. 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 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-CBOE-2017-033 and should be
submitted on or before May 11, 2017.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\9\
---------------------------------------------------------------------------
\9\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Brent J. Fields,
Secretary.
[FR Doc. 2017-07954 Filed 4-19-17; 8:45 am]
BILLING CODE 8011-01-P
