Self-Regulatory Organizations; CBOE Futures Exchange, LLC; Notice of Filing of a Proposed Rule Change Regarding Recordkeeping Requirements, 39621-39622 [2017-17549]

Download as PDF Federal Register / Vol. 82, No. 160 / Monday, August 21, 2017 / Notices This Notice will be published in the Federal Register. FOR FURTHER INFORMATION CONTACT: David A. Trissell, General Counsel, at 202–789–6820. SUPPLEMENTARY INFORMATION: Stacy L. Ruble, Secretary. Table of Contents [FR Doc. 2017–17592 Filed 8–18–17; 8:45 am] I. Introduction II. Docketed Proceeding(s) BILLING CODE 7710–FW–P I. Introduction The Commission gives notice that the Postal Service filed request(s) for the Commission to consider matters related to rates not of general applicability for Inbound Parcel Post (at Universal Postal Union (UPU) Rates). Section II identifies the docket number(s) associated with each Postal Service request, the title of each Postal Service request, the request’s acceptance date, and the authority cited by the Postal Service for each request. For each request, the Commission appoints an officer of the Commission to represent the interests of the general public in the proceeding, pursuant to 39 U.S.C. 505 (Public Representative). Section II also establishes comment deadline(s) pertaining to each request. The public portions of the Postal Service’s request(s) can be accessed via the Commission’s Web site (https:// www.prc.gov). Non-public portions of the Postal Service’s request(s), if any, can be accessed through compliance with the requirements of 39 CFR 3007.40. The Commission invites comments on whether the Postal Service’s request(s) in the captioned docket(s) are consistent with the policies of title 39. For request(s) that the Postal Service states concern market dominant product(s), applicable statutory and regulatory requirements include 39 U.S.C. 3622, 39 U.S.C. 3642, 39 CFR part 3010, and 39 CFR part 3020, subpart B. For request(s) that the Postal Service states concern competitive product(s), applicable statutory and regulatory requirements include 39 U.S.C. 3632, 39 U.S.C. 3633, 39 U.S.C. 3642, 39 CFR part 3015, and 39 CFR part 3020, subpart B. Comment deadline(s) for each request appear in section II. asabaliauskas on DSKBBXCHB2PROD with NOTICES II. Docketed Proceeding(s) 1. Docket No(s).: CP2017–267; Filing Title: Notice of the United States Postal Service of Filing Changes in Rates Not of General Applicability for Certain Inbound Parcel Post (at UPU Rates), and Application for Non-Public Treatment; Filing Acceptance Date: August 15, 2017; Filing Authority: 39 U.S.C. 3633 and 39 CFR 3015.5; Public Representative: Katalin K. Clendenin; Comments Due: August 23, 2017. VerDate Sep<11>2014 18:37 Aug 18, 2017 Jkt 241001 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–81402; File No. SR–CFE– 2017–002] Self-Regulatory Organizations; CBOE Futures Exchange, LLC; Notice of Filing of a Proposed Rule Change Regarding Recordkeeping Requirements August 15, 2017. Pursuant to Section 19(b)(7) of the Securities Exchange Act of 1934 (‘‘Act’’),1 notice is hereby given that on August 7, 2017 CBOE Futures Exchange, LLC (‘‘CFE’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change described in Items I, II, and III below, which Items have been prepared by CFE. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. CFE also has filed this proposed rule change with the Commodity Futures Trading Commission (‘‘CFTC’’). CFE filed a written certification with the CFTC under Section 5c(c) of the Commodity Exchange Act (‘‘CEA’’) 2 on August 7, 2017. I. Self-Regulatory Organization’s Description of the Proposed Rule Change The Exchange proposes to amend CFE Rules 502 and 535 related to recordkeeping requirements. The scope of this filing is limited solely to the application of the proposed rule amendments to security futures that may be traded on CFE. Although no security futures are currently listed for trading on CFE, CFE may list security futures for trading in the future. The text of the proposed rule change is attached as Exhibit 4 to the filing but is not attached to the publication of this notice. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, CFE 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. CFE has prepared summaries, set forth in Sections A, B, and C below, of the most significant aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose CFE Rule 502 sets forth CFE’s requirements relating to record retention periods and the inspection and delivery of books and records. CFE Rule 535 provides that any CFE Trading Privilege Holder subject to CFTC Regulation 1.31 3 that violates CFTC Regulation 1.31 shall be deemed to have violated Rule 535. Rule 535 also includes the text of CFTC Regulation 1.31 within Rule 535. The CFTC recently issued a final rulemaking regarding recordkeeping requirements which amends CFTC Regulation 1.31.4 The amendments to CFTC Regulation 1.31 become effective on August 28, 2017. CFE is proposing to amend Rules 502 and 535 to conform them to amended CFTC Regulation 1.31. Rule 502 continues to provide for a five year record retention period consistent with CFTC Regulation 1.31. In conformity with amended CFTC Regulation 1.31, CFE is proposing to amend Rule 502 to provide that required books and records exclusively created and maintained on paper shall be readily accessible during the first two years of that five year period and that electronic books and records shall be readily accessible for the entire five year period. CFE is proposing to amend Rule 535 to replace the previous text of CFTC Regulation 1.31 with the new text of CFTC Regulation 1.31. CFE is proposing to amend Rule 535 to modernize and make technology neutral the form and manner in which regulatory records must be kept, as well as rationalize the current rule text for ease of understanding, consistent with the changes made to CFTC Regulation 1.31. Specifically, the proposed changes to Rule 535 eliminate the requirement for a records entity to: (1) Keep electronic regulatory records in their native file format; (2) retain any electronic record in a non-rewritable, non-erasable format; and (3) engage a third-party technical consultant. 1 15 3 17 27 4 82 PO 00000 U.S.C. 78s(b)(7). U.S.C. 7a–2(c). Frm 00066 Fmt 4703 Sfmt 4703 39621 E:\FR\FM\21AUN1.SGM CFR 1.31. FR 24479 (May 30, 2017). 21AUN1 39622 Federal Register / Vol. 82, No. 160 / Monday, August 21, 2017 / Notices 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act,5 in general, and furthers the objectives of Sections 6(b)(5) 6 and 6(b)(7) 7 in particular in that it is designed: • To prevent fraudulent and manipulative acts and practices, • to promote just and equitable principles of trade, and • 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 proposed rule change would align CFE’s rules related to recordkeeping with the CFTC’s amended recordkeeping requirements. The Exchange believes that the proposed rule change furthers the ability of the Exchange to regulate its market by providing for updated and enhanced recordkeeping requirements (which include, among other things, a requirement to keep electronic records readily accessible for a [sic] five years). B. Self-Regulatory Organization’s Statement on Burden on Competition CFE does not believe that the proposed rule change will impose any burden on competition not necessary or appropriate in furtherance of the purposes of the Act, in that the proposed rule change is consistent with the CFTC’s amended recordkeeping requirements. The Exchange believes that the proposed rule change is equitable and not unfairly discriminatory in that the rule amendments included in the proposed rule change would apply equally to all CFE Trading Privilege Holders. asabaliauskas on DSKBBXCHB2PROD with NOTICES 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 The proposed rule change will become operative on August 28, 2017. At any time within 60 days of the date of effectiveness of the proposed rule change, the Commission, after consultation with the CFTC, may summarily abrogate the proposed rule change and require that the proposed 5 15 U.S.C. 78f(b). U.S.C. 78f(b)(5). 7 15 U.S.C. 78f(b)(7). rule change be refiled in accordance with the provisions of Section 19(b)(1) of the Act.8 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– CFE–2017–002 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–CFE–2017–002. 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 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–CFE– 2017–002, and should be submitted on or before September 11, 2017. 6 15 VerDate Sep<11>2014 18:37 Aug 18, 2017 8 15 Jkt 241001 PO 00000 U.S.C. 78s(b)(1). Frm 00067 Fmt 4703 Sfmt 4703 For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.9 Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017–17549 Filed 8–18–17; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–81399; File No. SR–LCH SA–2017–007] Self-Regulatory Organizations; LCH SA; Notice of Filing of Proposed Rule Change Relating to Margin Framework and Default Fund Methodology for Options on Index Credit Default Swaps August 15, 2017. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on August 1, 2017, Banque Centrale de Compensation, which conducts business under the name LCH SA (‘‘LCH SA’’), filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change described in Items I, II, and III below, which Items have been prepared primarily by LCH SA. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Clearing Agency’s Statement of the Terms of Substance of the Proposed Rule Change LCH SA is proposing to amend its (i) Reference Guide: CDS Margin Framework (‘‘CDSClear Margin Framework’’ or ‘‘Framework’’) and (ii) CDSClear Default Fund Methodology (‘‘Default Fund Methodology’’) to incorporate terms and to make conforming and clarifying changes to allow options on index credit default swaps (‘‘CDS Options’’) to be cleared by LCH SA.3 A separate proposed rule change has been submitted concurrently (SR–LCH SA–2017–006) with respect to amendments to LCH SA’s rule book and other relevant procedures to incorporate terms and to make conforming and clarifying changes to allow options on index credit default swaps (‘‘CDS’’) to be cleared by LCH SA. The launch of clearing CDS Options will be contingent on LCH SA’s receipt of all necessary regulatory approvals, including the 9 17 CFR 200.30–3(a)(73). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 3 All capitalized terms not defined herein have the same definition as the Framework or Default Fund Methodology, as applicable. 1 15 E:\FR\FM\21AUN1.SGM 21AUN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 82, Number 160 (Monday, August 21, 2017)]
[Notices]
[Pages 39621-39622]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-17549]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-81402; File No. SR-CFE-2017-002]


Self-Regulatory Organizations; CBOE Futures Exchange, LLC; Notice 
of Filing of a Proposed Rule Change Regarding Recordkeeping 
Requirements

August 15, 2017.
    Pursuant to Section 19(b)(7) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on August 7, 2017 CBOE 
Futures Exchange, LLC (``CFE'' or ``Exchange'') filed with the 
Securities and Exchange Commission (``SEC'' or ``Commission'') the 
proposed rule change described in Items I, II, and III below, which 
Items have been prepared by CFE. The Commission is publishing this 
notice to solicit comments on the proposed rule change from interested 
persons. CFE also has filed this proposed rule change with the 
Commodity Futures Trading Commission (``CFTC''). CFE filed a written 
certification with the CFTC under Section 5c(c) of the Commodity 
Exchange Act (``CEA'') \2\ on August 7, 2017.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(7).
    \2\ 7 U.S.C. 7a-2(c).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Description of the Proposed Rule 
Change

    The Exchange proposes to amend CFE Rules 502 and 535 related to 
recordkeeping requirements. The scope of this filing is limited solely 
to the application of the proposed rule amendments to security futures 
that may be traded on CFE. Although no security futures are currently 
listed for trading on CFE, CFE may list security futures for trading in 
the future. The text of the proposed rule change is attached as Exhibit 
4 to the filing but is not attached to the publication of this notice.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, CFE 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. CFE has prepared summaries, set forth in Sections A, B, 
and C below, of the most significant aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    CFE Rule 502 sets forth CFE's requirements relating to record 
retention periods and the inspection and delivery of books and records. 
CFE Rule 535 provides that any CFE Trading Privilege Holder subject to 
CFTC Regulation 1.31 \3\ that violates CFTC Regulation 1.31 shall be 
deemed to have violated Rule 535. Rule 535 also includes the text of 
CFTC Regulation 1.31 within Rule 535.
---------------------------------------------------------------------------

    \3\ 17 CFR 1.31.
---------------------------------------------------------------------------

    The CFTC recently issued a final rulemaking regarding recordkeeping 
requirements which amends CFTC Regulation 1.31.\4\ The amendments to 
CFTC Regulation 1.31 become effective on August 28, 2017. CFE is 
proposing to amend Rules 502 and 535 to conform them to amended CFTC 
Regulation 1.31. Rule 502 continues to provide for a five year record 
retention period consistent with CFTC Regulation 1.31. In conformity 
with amended CFTC Regulation 1.31, CFE is proposing to amend Rule 502 
to provide that required books and records exclusively created and 
maintained on paper shall be readily accessible during the first two 
years of that five year period and that electronic books and records 
shall be readily accessible for the entire five year period. CFE is 
proposing to amend Rule 535 to replace the previous text of CFTC 
Regulation 1.31 with the new text of CFTC Regulation 1.31. CFE is 
proposing to amend Rule 535 to modernize and make technology neutral 
the form and manner in which regulatory records must be kept, as well 
as rationalize the current rule text for ease of understanding, 
consistent with the changes made to CFTC Regulation 1.31. Specifically, 
the proposed changes to Rule 535 eliminate the requirement for a 
records entity to: (1) Keep electronic regulatory records in their 
native file format; (2) retain any electronic record in a non-
rewritable, non-erasable format; and (3) engage a third-party technical 
consultant.
---------------------------------------------------------------------------

    \4\ 82 FR 24479 (May 30, 2017).

---------------------------------------------------------------------------

[[Page 39622]]

2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act,\5\ in general, and furthers the 
objectives of Sections 6(b)(5) \6\ and 6(b)(7) \7\ in particular in 
that it is designed:
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78f(b).
    \6\ 15 U.S.C. 78f(b)(5).
    \7\ 15 U.S.C. 78f(b)(7).
---------------------------------------------------------------------------

     To prevent fraudulent and manipulative acts and practices,
     to promote just and equitable principles of trade, and
     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 proposed rule change would align CFE's rules related to 
recordkeeping with the CFTC's amended recordkeeping requirements. The 
Exchange believes that the proposed rule change furthers the ability of 
the Exchange to regulate its market by providing for updated and 
enhanced recordkeeping requirements (which include, among other things, 
a requirement to keep electronic records readily accessible for a [sic] 
five years).

B. Self-Regulatory Organization's Statement on Burden on Competition

    CFE does not believe that the proposed rule change will impose any 
burden on competition not necessary or appropriate in furtherance of 
the purposes of the Act, in that the proposed rule change is consistent 
with the CFTC's amended recordkeeping requirements. The Exchange 
believes that the proposed rule change is equitable and not unfairly 
discriminatory in that the rule amendments included in the proposed 
rule change would apply equally to all CFE Trading Privilege Holders.

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

    The proposed rule change will become operative on August 28, 2017. 
At any time within 60 days of the date of effectiveness of the proposed 
rule change, the Commission, after consultation with the CFTC, may 
summarily abrogate the proposed rule change and require that the 
proposed rule change be refiled in accordance with the provisions of 
Section 19(b)(1) of the Act.\8\
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------

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-CFE-2017-002 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-CFE-2017-002. 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 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-CFE-2017-002, and should be 
submitted on or before September 11, 2017.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
---------------------------------------------------------------------------

    \9\ 17 CFR 200.30-3(a)(73).
---------------------------------------------------------------------------

Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-17549 Filed 8-18-17; 8:45 am]
 BILLING CODE 8011-01-P

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