Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Silexx Trading Platform Fees Schedule, 23310-23311 [2018-10602]
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Federal Register / Vol. 83, No. 97 / Friday, May 18, 2018 / Notices
provisions of 5 U.S.C. 552, will be
available for website 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 FINRA. All comments received
will be posted without change. Persons
submitting comments are cautioned that
we do not redact or edit personal
identifying information from comment
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–FINRA–
2018–019 and should be submitted on
or before June 8, 2018.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.33
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018–10603 Filed 5–17–18; 8:45 am]
BILLING CODE 8011–01–P
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.
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
Statutory Basis for, the Proposed Rule
Change
1. Purpose
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–83226; File No. SR–CBOE–
2018–035]
Self-Regulatory Organizations; Cboe
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend the Silexx
Trading Platform Fees Schedule
May 14, 2018.
daltland on DSKBBV9HB2PROD with NOTICES
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 May 1,
2018, Cboe Exchange, Inc. (the
‘‘Exchange’’ or ‘‘Cboe Options’’) 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 Exchange proposes to amend the
Silexx trading platform (‘‘Silexx’’ or the
platform’’) Fees Schedule.
The text of the proposed rule change
is also available on the Exchange’s
33 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
VerDate Sep<11>2014
16:38 May 17, 2018
Jkt 244001
The purpose of this filing is to include
language within the Silexx Fees
Schedule to: (1) Clarify that the
purchase of Login IDs is subject to
proration; and (2) introduce a twomonth free upgrade for users on Silexx
Basic to Silexx Pro. Today, the
Exchange does not prorate the pricing
for Login IDs or offer free upgrades on
Silexx.
By way of background, Silexx is an
order entry and management trading
platform for listed stocks and options
that support both simple and complex
orders.3 The platform is a software
application that is installed locally on a
user’s desktop. It provides users with
the capability to send option orders to
U.S. options exchanges and stock orders
to U.S. stock exchanges (and other
trading centers), and allows users to
input parameters to control the size,
timing, and other variables of their
trades. Silexx includes access to realtime options and stock market data, as
well as access to certain historical data.
The platform also provides users with
the ability to maintain an electronic
audit trail and provide detailed trade
reporting. In addition, Silexx offers
other functionality such as access to
crossing orders tickets, equity order
reports, and market data feeds (for
3 The platform also permits users to submit orders
for commodity futures, commodity options and
other non-security products to be sent to designated
contract markets, futures commission merchants,
introducing brokers or other applicable destinations
of the users’ choice.
PO 00000
Frm 00059
Fmt 4703
Sfmt 4703
specific fees). Use of Silexx is
completely optional.
Login IDs
Login IDs may be purchased for
different versions of the platform,
including Basic, Pro, Sell-Side, Pro Plus
Risk, and Buy-Side Manager. The
Exchange previously filed to establish
set monthly fees for each version of the
platform.4 The Exchange now proposes
to clarify that fees related to the
purchase of Login IDs are prorated.
Specifically, if a user signs up for a
Login ID on any version of the platform
after the first calendar day of the month,
the fee for that calendar month is
prorated based on the remaining
calendar days in that calendar month.
This proration does not apply if a user
cancels a Login ID prior to the end of
the calendar month.
Two-Month Free Upgrade
Silexx Basic is an order-entry and
management system that provides basic
functionality including real-time data,
alerts, trade reports, views of exchange
books, management of the customer’s
orders and positions, simple and
complex order tickets, and basic risk
features. Users are currently charged
$200 per month per Login ID for Silexx
Basic. Silexx Pro offers the same
functionality as the basic platform plus
additional features including an
algorithmic order ticket, position
analysis, charting, earnings and
dividend information, delta hedging
tools, volatility skews, and additional
risk features. Users are currently
charged $400 per month per Login ID
for Silexx Pro.
The Exchange proposes to introduce a
two-month free-upgrade period for users
that are currently on Silexx Basic. This
upgrade would allow users of Silexx
Basic to use the functionality of Silexx
Pro for a period of two months (May 1,
2018 through June 30, 2018) at the
current Silexx Basic rate of $200 per
month per Login ID. After the twomonth period ends, beginning July 1,
2018, those users will be charged at the
Silexx Pro rate of $400 per month until
they choose to downgrade. The
Exchange notes that the upgrade to
Silexx Pro is optional.
These proposed changes to the Silexx
Fees Schedule are to take effect on May
1, 2018.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
4 See Securities Exchange Act Release No. 82088
(November 15, 2017), 82 FR 55443 (November 21,
2017) (SR–CBOE–2017–068)
E:\FR\FM\18MYN1.SGM
18MYN1
Federal Register / Vol. 83, No. 97 / Friday, May 18, 2018 / Notices
daltland on DSKBBV9HB2PROD with NOTICES
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.5 Specifically,
the Exchange believes the proposed rule
change is consistent with the Section
6(b)(5) 6 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.
Additionally, the Exchange believes the
proposed rule change is consistent with
Section 6(b)(4) of the Act,7 which
requires that Exchange rules provide for
the equitable allocation of reasonable
dues, fees, and other charges among its
Trading Permit Holders and other
persons using its facilities.
First, the Exchange believes the
proposed change related to Login IDs
provides for the equitable allocation of
reasonable fees because the prorated
Login ID fees will apply to all users of
each version of the platform.
Additionally, the Exchange believes the
proposed change will provide for a more
precise assessment of platform fees
based on when a user signs up for a
Login ID. Second, the Exchange believes
the proposed change related to the free
upgrade to Silexx Pro is reasonable,
equitable, and not unfairly
discriminatory because the free upgrade
will apply to all current users of Silexx
Basic who wish to upgrade.
Additionally, the free upgrade period
will be limited to two months beginning
on May 1, 2018 and ending on June 30,
2018. Finally, the Exchange notes that
use of the platform, including the
upgrade, is discretionary and not
compulsory, and users may downgrade
or cancel their Login IDs with Silexx at
any time.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
Cboe Options 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. The
Exchange believes that the proposed
rule change will not impose any burden
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
7 15 U.S.C. 78f(b)(4).
on intramarket competition because the
proposed rule changes apply to all users
of Silexx. The Exchange notes that each
version of Silexx is available to all
market participants, and users have
discretion to determine which version
of the platform they register for based on
functionality.
The Exchange does not believe that
the proposed rule changes will impose
any burden on intermarket competition
that is not necessary or appropriate in
furtherance of the purposes of the Act
because the proposed change applies
only to Cboe Options. To the extent that
the proposed changes make Cboe
Options a more attractive marketplace
for market participants at other
exchanges, such market participants are
welcome to become Cboe Options
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 8 and paragraph (f) of Rule
19b–4 9 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.
Comments may be submitted by any of
the following methods:
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
CBOE–2018–035 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–2018–035. 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 website (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 website 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.
Persons submitting comments are
cautioned that we do not redact or edit
personal identifying information from
comment submissions. You should
submit only information that you wish
to make available publicly. All
submissions should refer to File
Number SR–CBOE–2018–035, and
should be submitted on or before June
8, 2018.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018–10602 Filed 5–17–18; 8:45 am]
BILLING CODE 8011–01–P
Electronic Comments
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
5 15
6 15
VerDate Sep<11>2014
16:38 May 17, 2018
8 15
9 17
Jkt 244001
PO 00000
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f).
Frm 00060
Fmt 4703
10 17
Sfmt 9990
23311
E:\FR\FM\18MYN1.SGM
CFR 200.30–3(a)(12).
18MYN1
]]>Agencies
[Federal Register Volume 83, Number 97 (Friday, May 18, 2018)]
[Notices]
[Pages 23310-23311]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-10602]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-83226; File No. SR-CBOE-2018-035]
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend
the Silexx Trading Platform Fees Schedule
May 14, 2018.
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 May 1, 2018, Cboe Exchange, Inc. (the ``Exchange'' or ``Cboe
Options'') 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 Exchange proposes to amend the Silexx trading platform
(``Silexx'' or the platform'') Fees Schedule.
The text of the proposed rule change is also available on the
Exchange's website (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
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
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of this filing is to include language within the Silexx
Fees Schedule to: (1) Clarify that the purchase of Login IDs is subject
to proration; and (2) introduce a two-month free upgrade for users on
Silexx Basic to Silexx Pro. Today, the Exchange does not prorate the
pricing for Login IDs or offer free upgrades on Silexx.
By way of background, Silexx is an order entry and management
trading platform for listed stocks and options that support both simple
and complex orders.\3\ The platform is a software application that is
installed locally on a user's desktop. It provides users with the
capability to send option orders to U.S. options exchanges and stock
orders to U.S. stock exchanges (and other trading centers), and allows
users to input parameters to control the size, timing, and other
variables of their trades. Silexx includes access to real-time options
and stock market data, as well as access to certain historical data.
The platform also provides users with the ability to maintain an
electronic audit trail and provide detailed trade reporting. In
addition, Silexx offers other functionality such as access to crossing
orders tickets, equity order reports, and market data feeds (for
specific fees). Use of Silexx is completely optional.
---------------------------------------------------------------------------
\3\ The platform also permits users to submit orders for
commodity futures, commodity options and other non-security products
to be sent to designated contract markets, futures commission
merchants, introducing brokers or other applicable destinations of
the users' choice.
---------------------------------------------------------------------------
Login IDs
Login IDs may be purchased for different versions of the platform,
including Basic, Pro, Sell-Side, Pro Plus Risk, and Buy-Side Manager.
The Exchange previously filed to establish set monthly fees for each
version of the platform.\4\ The Exchange now proposes to clarify that
fees related to the purchase of Login IDs are prorated. Specifically,
if a user signs up for a Login ID on any version of the platform after
the first calendar day of the month, the fee for that calendar month is
prorated based on the remaining calendar days in that calendar month.
This proration does not apply if a user cancels a Login ID prior to the
end of the calendar month.
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release No. 82088 (November 15,
2017), 82 FR 55443 (November 21, 2017) (SR-CBOE-2017-068)
---------------------------------------------------------------------------
Two-Month Free Upgrade
Silexx Basic is an order-entry and management system that provides
basic functionality including real-time data, alerts, trade reports,
views of exchange books, management of the customer's orders and
positions, simple and complex order tickets, and basic risk features.
Users are currently charged $200 per month per Login ID for Silexx
Basic. Silexx Pro offers the same functionality as the basic platform
plus additional features including an algorithmic order ticket,
position analysis, charting, earnings and dividend information, delta
hedging tools, volatility skews, and additional risk features. Users
are currently charged $400 per month per Login ID for Silexx Pro.
The Exchange proposes to introduce a two-month free-upgrade period
for users that are currently on Silexx Basic. This upgrade would allow
users of Silexx Basic to use the functionality of Silexx Pro for a
period of two months (May 1, 2018 through June 30, 2018) at the current
Silexx Basic rate of $200 per month per Login ID. After the two-month
period ends, beginning July 1, 2018, those users will be charged at the
Silexx Pro rate of $400 per month until they choose to downgrade. The
Exchange notes that the upgrade to Silexx Pro is optional.
These proposed changes to the Silexx Fees Schedule are to take
effect on May 1, 2018.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the
[[Page 23311]]
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.\5\ Specifically, the
Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \6\ 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. Additionally,
the Exchange believes the proposed rule change is consistent with
Section 6(b)(4) of the Act,\7\ which requires that Exchange rules
provide for the equitable allocation of reasonable dues, fees, and
other charges among its Trading Permit Holders and other persons using
its facilities.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(5).
\7\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
First, the Exchange believes the proposed change related to Login
IDs provides for the equitable allocation of reasonable fees because
the prorated Login ID fees will apply to all users of each version of
the platform. Additionally, the Exchange believes the proposed change
will provide for a more precise assessment of platform fees based on
when a user signs up for a Login ID. Second, the Exchange believes the
proposed change related to the free upgrade to Silexx Pro is
reasonable, equitable, and not unfairly discriminatory because the free
upgrade will apply to all current users of Silexx Basic who wish to
upgrade. Additionally, the free upgrade period will be limited to two
months beginning on May 1, 2018 and ending on June 30, 2018. Finally,
the Exchange notes that use of the platform, including the upgrade, is
discretionary and not compulsory, and users may downgrade or cancel
their Login IDs with Silexx at any time.
B. Self-Regulatory Organization's Statement on Burden on Competition
Cboe Options 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. The Exchange believes that
the proposed rule change will not impose any burden on intramarket
competition because the proposed rule changes apply to all users of
Silexx. The Exchange notes that each version of Silexx is available to
all market participants, and users have discretion to determine which
version of the platform they register for based on functionality.
The Exchange does not believe that the proposed rule changes will
impose any burden on intermarket competition that is not necessary or
appropriate in furtherance of the purposes of the Act because the
proposed change applies only to Cboe Options. To the extent that the
proposed changes make Cboe Options a more attractive marketplace for
market participants at other exchanges, such market participants are
welcome to become Cboe Options 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 \8\ and paragraph (f) of Rule 19b-4 \9\
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.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 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 [email protected]. Please include
File Number SR-CBOE-2018-035 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-2018-035. 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 website (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 website 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. Persons submitting comments are
cautioned that we do not redact or edit personal identifying
information from comment submissions. You should submit only
information that you wish to make available publicly. All submissions
should refer to File Number SR-CBOE-2018-035, and should be submitted
on or before June 8, 2018.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
---------------------------------------------------------------------------
\10\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-10602 Filed 5-17-18; 8:45 am]
BILLING CODE 8011-01-P
