Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, To Adopt NYSE Arca Rule 8.900-E To Permit Listing and Trading of Managed Portfolio Shares and To List and Trade Shares of the Royce Pennsylvania ETF, Royce Premier ETF, and Royce Total Return ETF Under Proposed NYSE Arca Rule 8.900-E, 61614-61615 [2017-27994]
Download as PDF
61614
Federal Register / Vol. 82, No. 248 / Thursday, December 28, 2017 / Notices
proceed under the rules governing
formal disciplinary proceedings.
Once the Exchange’s MRVP is
effective, the Exchange will provide to
the Commission a quarterly report for
any actions taken on minor rule
violations under the MRVP. The
quarterly report will include: The
disposition date, the name of the firm/
individual, the Exchange’s internal
enforcement number, the review period,
the nature of the violation type, the
number of the rule that was violated, the
number of times the violation occurred,
and the sanction imposed.9
The Commission finds that the
proposal is consistent with the public
interest, the protection of investors, or
otherwise in furtherance of the purposes
of the Act, as required by Rule 19d–
1(c)(2) under the Act,10 because the
MRVP will permit the Exchange to carry
out its oversight and enforcement
responsibilities as an SRO more
efficiently in cases where formal
disciplinary proceedings are not
necessary due to the minor nature of the
particular violation.
In declaring the Exchange’s MRVP
effective, the Commission does not
minimize the importance of compliance
with Exchange rules and all other rules
subject to the imposition of sanctions
under Exchange Rule 1014. Violation of
an SRO’s rules, as well as Commission
rules, is a serious matter. However,
Exchange Rule 1014 provides a
reasonable means of addressing
violations that do not rise to the level of
requiring formal disciplinary
proceedings, while providing greater
flexibility in handling certain violations.
The Commission expects the Exchange
to continue to conduct surveillance and
make determinations based on its
findings, on a case-by-case basis,
regarding whether a violation requires
formal disciplinary action or whether a
sanction under the MRVP is
appropriate.
It is therefore ordered, pursuant to
Rule 19d–1(c)(2) under the Act,11 that
the proposed MRVP for MIAX PEARL,
LLC, File No. 4–715, be, and hereby is,
declared effective.
sradovich on DSK3GMQ082PROD with NOTICES
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Brent J. Fields,
Secretary.
[FR Doc. 2017–27990 Filed 12–27–17; 8:45 am]
BILLING CODE 8011–01–P
9 The Exchange attached a sample form of the
quarterly report with its submission to the
Commission.
10 17 CFR 240.19d–1(c)(2).
11 Id.
12 17 CFR 200.30–3(a)(44).
VerDate Sep<11>2014
18:14 Dec 27, 2017
Jkt 244001
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–82374; File No. SR–
NYSEArca–2017–36]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Withdrawal of a
Proposed Rule Change, as Modified by
Amendment No. 1, To Adopt NYSE
Arca Rule 8.900–E To Permit Listing
and Trading of Managed Portfolio
Shares and To List and Trade Shares
of the Royce Pennsylvania ETF, Royce
Premier ETF, and Royce Total Return
ETF Under Proposed NYSE Arca Rule
8.900–E
December 21, 2017.
On April 14, 2017, NYSE Arca, Inc.
(‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Exchange Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to: (1) Adopt NYSE Arca Rule
8.900–E (Managed Portfolio Shares); and
(2) list and trade shares of the Royce
Pennsylvania ETF, Royce Premier ETF,
and Royce Total Return ETF under
proposed NYSE Arca Rule 8.900–E. The
proposed rule change was published for
comment in the Federal Register on
May 4, 2017.3 On June 15, 2017,
pursuant to Section 19(b)(2) of the
Exchange Act,4 the Commission
designated a longer period within which
to approve the proposed rule change,
disapprove the proposed rule change, or
institute proceedings to determine
whether to disapprove the proposed
rule change.5 The Commission received
four comments on the proposed rule
change.6 On July 31, 2017, the
Commission instituted proceedings
under Section 19(b)(2)(B) of the
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 80553
(April 28, 2017), 82 FR 20932.
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No. 80935,
82 FR 28152 (June 20, 2017). The Commission
designated August 2, 2017, as the date by which it
should approve or disapprove, or institute
proceedings to determine whether to disapprove,
the proposed rule change.
6 See Letter from Gary L. Gastineau, President,
ETF Consultants.com, Inc., to Brent J. Fields,
Secretary, Commission, dated May 24, 2017; Letter
from Todd J. Broms, Chief Executive Officer, Broms
& Company LLC, to Brent J. Fields, Secretary,
Commission, dated May 25, 2017; Letter from James
J. Angel, Associate Professor of Finance,
Georgetown University, McDonough School of
Business, to the Commission, dated May 25, 2017;
and Letter from Terence W. Norman, Founder, Blue
Tractor Group, LLC, to Brent J. Fields, Secretary,
Commission, dated July 18, 2017. The comment
letters are available on the Commission’s website at:
https://www.sec.gov/comments/sr-nysearca-201736/nysearca201736.htm.
2 17
PO 00000
Frm 00082
Fmt 4703
Sfmt 4703
Exchange Act 7 to determine whether to
approve or disapprove the proposed
rule change.8 Thereafter, the
Commission received eight additional
comments on the proposed rule
change.9 On October 30, 2017, the
Commission designated a longer period
for action on the proposed rule
change.10 On December 5, 2017, the
Exchange filed Amendment No. 1 to the
proposed rule change (‘‘Amendment No.
1’’), which replaced and superseded the
proposed rule change in its entirety.11
Thereafter, the Commission received
three additional comment letters on the
proposed rule change, as modified by
Amendment No. 1.12
On December 20, 2017, the Exchange
withdrew the proposed rule change
(SR–NYSEArca–2017–36), as modified
by Amendment No. 1.
7 15
U.S.C. 78s(b)(2)(B).
Securities Exchange Act Release No. 81267,
82 FR 36510 (August 4, 2017).
9 See Letter from Mark Criscitello, Chairman,
Precidian Funds LLC, to Brent J. Fields, Secretary,
Commission, dated October 11, 2017; Letter from
Daniel J. McCabe, Chief Executive, Precidian
Investments, to Brent J. Fields, Secretary,
Commission, dated October 12, 2017; Letter from
Joseph A. Sullivan, Chairman and Chief Executive
Officer, Legg Mason, Inc., to Brent J. Fields,
Secretary, Commission, dated October 12, 2017;
Letter from Andrew M. Gross, Jr., to Jay Clayton,
Chairman, Commission, dated October 16, 2017;
Letter from Terence W. Norman, Founder, Blue
Tractor Group, LLC, to Brent J. Fields, Secretary,
Commission, dated October 31, 2017; Letter from
Simon P. Goulet, Co-Founder, Blue Tractor Group,
LLC, to Brent J. Fields, Secretary, Commission,
dated November 16, 2017; Letter from Simon P.
Goulet, Co-Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated
November 22, 2017; and Letter from Terence W.
Norman, Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated
November 29, 2017. The comment letters are
available on the Commission’s website at: https://
www.sec.gov/comments/sr-nysearca-2017–36/
nysearca201736.htm.
10 See Securities Exchange Act Release No. 81977,
82 FR 51311 (November 3, 2017). The Commission
designated December 30, 2017, as the date by which
the Commission must either approve or disapprove
the proposed rule change.
11 Amendment No. 1 to the proposed rule change
is available at https://www.sec.gov/comments/srnysearca-2017-36/nysearca201736-2759313161597.pdf.
12 See Letter from Terence W. Norman, Founder,
Blue Tractor Group, LLC, to Brent J. Fields,
Secretary, Commission, dated December 12, 2017;
Letter from Kevin S. Haeberle, Associate Professor
of Law, William & Mary Law School, to Brent J.
Fields, Secretary, Commission, dated December 15,
2017; and Letter from Gary L. Gastineau, President,
ETF Consultants.com, Inc., to Brent J. Fields,
Secretary, Commission, dated December 18, 2017.
The comment letters are available on the
Commission’s website at: https://www.sec.gov/
comments/sr-nysearca-2017–36/nysearca
201736.htm.
8 See
E:\FR\FM\28DEN1.SGM
28DEN1
Federal Register / Vol. 82, No. 248 / Thursday, December 28, 2017 / Notices
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017–27994 Filed 12–27–17; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–82375; File No. SR–CBOE–
2017–078]
Self-Regulatory Organizations; Cboe
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change to Rule 6.42, Minimum
Increments for Bids and Offers, To
Extend the Penny Pilot Program
December 21, 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 December
14, 2017, Cboe Exchange, Inc. (the
‘‘Exchange’’ or ‘‘Cboe Options’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II below, which Items have
been prepared by the Exchange. The
Exchange has designated this proposal
as a ‘‘non-controversial’’ proposed rule
change pursuant to Section 19(b)(3)(A)
of the Act 3 and Rule 19b–4(f)(6)(iii)
thereunder,4 which renders it effective
upon filing with the Commission. 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 proposes to amend
Rule 6.42 by extending the Penny Pilot
Program through June 30, 2018.
(additions are underlined; deletions
are [bracketed])
*
*
*
*
*
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
Cboe Exchange, Inc.
Rules
sradovich on DSK3GMQ082PROD with NOTICES
*
*
*
*
*
Rule 6.42. Minimum Increments for
Bids and Offers
The Board of Directors may establish
minimum increments for options traded
on the Exchange. When the Board of
Directors determines to change the
13 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A).
4 17 CFR 240.19b–4(f)(6)(iii).
1 15
VerDate Sep<11>2014
18:14 Dec 27, 2017
minimum increments, the Exchange
will designate such change as a stated
policy, practice, or interpretation with
respect to the administration of Rule
6.42 within the meaning of
subparagraph (3)(A) of subsection 19(b)
of the Exchange Act and will file a rule
change for effectiveness upon filing
with the Commission. Until such time
as the Board of Directors makes a
change to the minimum increments, the
following minimum increments shall
apply to options traded on the
Exchange:
(1) No change.
(2) No change.
(3) The decimal increments for bids
and offers for all series of the option
classes participating in the Penny Pilot
Program are: $0.01 for all option series
quoted below $3 (including LEAPS),
and $0.05 for all option series $3 and
above (including LEAPS). For QQQQs,
IWM, and SPY, the minimum increment
is $0.01 for all option series. The
Exchange may replace any option class
participating in the Penny Pilot Program
that has been delisted with the next
most actively-traded, multiply-listed
option class, based on national average
daily volume in the preceding six
calendar months, that is not yet
included in the Pilot Program. Any
replacement class would be added on
the second trading day following [July 1,
2017]January 1, 2018. The Penny Pilot
shall expire on [December 31, 2017]June
30, 2018.
(4) No change.
. . . Interpretations and Policies:
.01–.04 No change.
*
*
*
*
*
The text of the proposed rule change
is also available on the Exchange’s
website (https://www.cboe.com/
AboutCBOE/CBOELegalRegulatory
Home.aspx), at the Exchange’s Office of
the Secretary, and at the Commission’s
Public Reference Room.
Jkt 244001
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.
PO 00000
Frm 00083
Fmt 4703
Sfmt 4703
61615
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Penny Pilot Program (the ‘‘Pilot
Program’’) is scheduled to expire on
December 31, 2017. The Exchange
proposes to extend the Pilot Program
until June 30, 2017. The Exchange
believes that extending the Pilot
Program will allow for further analysis
of the Pilot Program and a
determination of how the Pilot Program
should be structured in the future.
During this extension of the Pilot
Program, the Exchange proposes that it
may replace any option class that is
currently included in the Pilot Program
and that has been delisted with the next
most actively traded, multiply listed
option class that is not yet participating
in the Pilot Program (‘‘replacement
class’’). Any replacement class would be
determined based on national average
daily volume in the preceding six
months,5 and would be added on the
second trading day following January 1,
2018. The Exchange will employ the
same parameters to prospective
replacement classes as approved and
applicable in determining the existing
classes in the Pilot Program, including
excluding high-priced underlying
securities.6 The Exchange will
announce to its Trading Permit Holders
by circular any replacement classes in
the Pilot Program.
The Exchange is specifically
authorized to act jointly with the other
options exchanges participating in the
Pilot Program in identifying any
replacement class.
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.7 Specifically,
the Exchange believes the proposed rule
change is consistent with the Section
6(b)(5) 8 requirements that the rules of
5 The month immediately preceding a
replacement class’s addition to the Pilot Program
(i.e., December) would not be used for purposes of
the six-month analysis. Thus, a replacement class
to be added on the second trading day following
January 1, 2018, would be identified based on The
Option Clearing Corporation’s trading volume data
from June 1, 2017 through November 30, 2017.
6 See Securities Exchange Act Release No. 60864
(October 22, 2009), 74 FR 55876 (October 29, 2009)
(SR–CBOE–2009–76).
7 15 U.S.C. 78f(b).
8 15 U.S.C. 78f(b)(5).
E:\FR\FM\28DEN1.SGM
28DEN1
Agencies
[Federal Register Volume 82, Number 248 (Thursday, December 28, 2017)]
[Notices]
[Pages 61614-61615]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-27994]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-82374; File No. SR-NYSEArca-2017-36]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of
Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1,
To Adopt NYSE Arca Rule 8.900-E To Permit Listing and Trading of
Managed Portfolio Shares and To List and Trade Shares of the Royce
Pennsylvania ETF, Royce Premier ETF, and Royce Total Return ETF Under
Proposed NYSE Arca Rule 8.900-E
December 21, 2017.
On April 14, 2017, NYSE Arca, Inc. (``Exchange'') filed with the
Securities and Exchange Commission (``Commission''), pursuant to
Section 19(b)(1) of the Securities Exchange Act of 1934 (``Exchange
Act'') \1\ and Rule 19b-4 thereunder,\2\ a proposed rule change to: (1)
Adopt NYSE Arca Rule 8.900-E (Managed Portfolio Shares); and (2) list
and trade shares of the Royce Pennsylvania ETF, Royce Premier ETF, and
Royce Total Return ETF under proposed NYSE Arca Rule 8.900-E. The
proposed rule change was published for comment in the Federal Register
on May 4, 2017.\3\ On June 15, 2017, pursuant to Section 19(b)(2) of
the Exchange Act,\4\ the Commission designated a longer period within
which to approve the proposed rule change, disapprove the proposed rule
change, or institute proceedings to determine whether to disapprove the
proposed rule change.\5\ The Commission received four comments on the
proposed rule change.\6\ On July 31, 2017, the Commission instituted
proceedings under Section 19(b)(2)(B) of the Exchange Act \7\ to
determine whether to approve or disapprove the proposed rule change.\8\
Thereafter, the Commission received eight additional comments on the
proposed rule change.\9\ On October 30, 2017, the Commission designated
a longer period for action on the proposed rule change.\10\ On December
5, 2017, the Exchange filed Amendment No. 1 to the proposed rule change
(``Amendment No. 1''), which replaced and superseded the proposed rule
change in its entirety.\11\ Thereafter, the Commission received three
additional comment letters on the proposed rule change, as modified by
Amendment No. 1.\12\
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ See Securities Exchange Act Release No. 80553 (April 28,
2017), 82 FR 20932.
\4\ 15 U.S.C. 78s(b)(2).
\5\ See Securities Exchange Act Release No. 80935, 82 FR 28152
(June 20, 2017). The Commission designated August 2, 2017, as the
date by which it should approve or disapprove, or institute
proceedings to determine whether to disapprove, the proposed rule
change.
\6\ See Letter from Gary L. Gastineau, President, ETF
Consultants.com, Inc., to Brent J. Fields, Secretary, Commission,
dated May 24, 2017; Letter from Todd J. Broms, Chief Executive
Officer, Broms & Company LLC, to Brent J. Fields, Secretary,
Commission, dated May 25, 2017; Letter from James J. Angel,
Associate Professor of Finance, Georgetown University, McDonough
School of Business, to the Commission, dated May 25, 2017; and
Letter from Terence W. Norman, Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated July 18, 2017. The
comment letters are available on the Commission's website at:
https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736.htm.
\7\ 15 U.S.C. 78s(b)(2)(B).
\8\ See Securities Exchange Act Release No. 81267, 82 FR 36510
(August 4, 2017).
\9\ See Letter from Mark Criscitello, Chairman, Precidian Funds
LLC, to Brent J. Fields, Secretary, Commission, dated October 11,
2017; Letter from Daniel J. McCabe, Chief Executive, Precidian
Investments, to Brent J. Fields, Secretary, Commission, dated
October 12, 2017; Letter from Joseph A. Sullivan, Chairman and Chief
Executive Officer, Legg Mason, Inc., to Brent J. Fields, Secretary,
Commission, dated October 12, 2017; Letter from Andrew M. Gross,
Jr., to Jay Clayton, Chairman, Commission, dated October 16, 2017;
Letter from Terence W. Norman, Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated October 31, 2017;
Letter from Simon P. Goulet, Co-Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated November 16, 2017;
Letter from Simon P. Goulet, Co-Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated November 22, 2017; and
Letter from Terence W. Norman, Founder, Blue Tractor Group, LLC, to
Brent J. Fields, Secretary, Commission, dated November 29, 2017. The
comment letters are available on the Commission's website at:
https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736.htm.
\10\ See Securities Exchange Act Release No. 81977, 82 FR 51311
(November 3, 2017). The Commission designated December 30, 2017, as
the date by which the Commission must either approve or disapprove
the proposed rule change.
\11\ Amendment No. 1 to the proposed rule change is available at
https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736-2759313-161597.pdf.
\12\ See Letter from Terence W. Norman, Founder, Blue Tractor
Group, LLC, to Brent J. Fields, Secretary, Commission, dated
December 12, 2017; Letter from Kevin S. Haeberle, Associate
Professor of Law, William & Mary Law School, to Brent J. Fields,
Secretary, Commission, dated December 15, 2017; and Letter from Gary
L. Gastineau, President, ETF Consultants.com, Inc., to Brent J.
Fields, Secretary, Commission, dated December 18, 2017. The comment
letters are available on the Commission's website at: https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736.htm.
---------------------------------------------------------------------------
On December 20, 2017, the Exchange withdrew the proposed rule
change (SR-NYSEArca-2017-36), as modified by Amendment No. 1.
[[Page 61615]]
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
---------------------------------------------------------------------------
\13\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-27994 Filed 12-27-17; 8:45 am]
BILLING CODE 8011-01-P