Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Designation of a Longer Period for Commission Action on a Proposed Rule Change Relating to ATS Reporting of Transactions to TRACE in U.S. Treasury Securities, 37544-37545 [2018-16426]

Download as PDF 37544 Federal Register / Vol. 83, No. 148 / Wednesday, August 1, 2018 / Notices would promote the prompt and accurate clearance and settlement of securities transactions consistent with the Act. (B) Clearing Agency’s Statement on Burden on Competition DTC does not believe that the proposed rule change would have any impact on competition. The proposed rule change would merely clarify and provide enhanced transparency with respect to the DTC Underwriting Service by amending the text of the Underwriting Guide (i) for enhanced readability, transparency and flow of content, (ii) to update (a) details on existing processes and (b) contact information, (iii) for enhanced consistency with respect to processes and requirements described in other Procedures that are related to those set forth in the Underwriting Guide, specifically the OA and Custody Guide and (iv) to make other technical changes, as described above, which amendments would not significantly affect the rights and obligations of users of DTC’s services, and would not disproportionally impact any users. (C) Clearing Agency’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others DTC has not received or solicited any written comments relating to this proposal. DTC will notify the Commission of any written comments received by DTC. 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 28 and paragraph (f) of Rule 19b–4 thereunder.29 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. sradovich on DSK3GMQ082PROD with NOTICES 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– DTC–2018–004 on the subject line. Paper Comments • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549. All submissions should refer to File Number SR–DTC–2018–004. 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 DTC and on DTCC’s website (https://dtcc.com/legal/sec-rulefilings.aspx). 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–DTC– 2018–004 and should be submitted on or before August 22, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.30 Robert W. Errett, Deputy Secretary. [FR Doc. 2018–16418 Filed 7–31–18; 8:45 am] BILLING CODE 8011–01–P 28 15 U.S.C. 78s(b)(3)(A). 29 17 CFR 240.19b–4(f). VerDate Sep<11>2014 20:07 Jul 31, 2018 30 17 Jkt 244001 PO 00000 CFR 200.30–3(a)(12). Frm 00086 Fmt 4703 Sfmt 4703 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–83722; File No. SR–FINRA– 2018–023] Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Designation of a Longer Period for Commission Action on a Proposed Rule Change Relating to ATS Reporting of Transactions to TRACE in U.S. Treasury Securities July 26, 2018. On June 5, 2018, the Financial Industry Regulatory Authority, Inc. (‘‘FINRA’’) filed with the Securities and Exchange Commission (‘‘Commission’’), pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a proposed rule change to amend FINRA Rule 6730 to require certain alternative trading systems (‘‘ATSs’’) that report transactions in U.S. Treasury Securities to the Transaction Reporting and Compliance Engine (‘‘TRACE’’) to identify non-FINRA-member subscribers on those transaction reports. The proposed rule change was published for comment in the Federal Register on June 13, 2018.3 The Commission received three comments regarding the proposed rule change.4 Section 19(b)(2) of the Act 5 provides that, within 45 days of the publication of notice of the filing of a proposed rule change, or within such longer period up to 90 days as the Commission may designate if it finds such longer period to be appropriate and publishes its reasons for so finding or as to which the self-regulatory organization consents, the Commission shall either approve the proposed rule change, disapprove the proposed rule change, or institute proceedings to determine whether the proposed rule change should be disapproved. The 45th day for this filing is July 28, 2018. The Commission notes that Section 19(b)(5) of the Act requires the Commission to ‘‘consult with and consider the views of the Secretary of 1 15 U.S.C.78s(b)(1). CFR 240.19b–4. 3 See Securities Exchange Act Release No. 83393 (June 7, 2018), 83 FR 27643 (‘‘Notice’’). 4 See letter to Secretary, Commission, from Stephen John Berger, Managing Director, Government and Regulatory Policy, Citadel, dated July 5, 2018; letter to Robert W. Errett, Deputy Secretary, Commission, from Theodore Bragg, Chief Executive Officer, Execution Access, LLC, dated July 3, 2018; letter to Brent J. Fields, Secretary, Commission, from Tyler Gellasch, Executive Director, The Healthy Markets Association, dated July 5, 2018. 5 15 U.S.C. 78s(b)(2). 2 17 E:\FR\FM\01AUN1.SGM 01AUN1 Federal Register / Vol. 83, No. 148 / Wednesday, August 1, 2018 / Notices the Treasury prior to approving a proposed rule filed by a registered securities association that primarily concerns conduct related to transactions in government securities.’’ 6 The Commission finds that it is appropriate to designate a longer period within which to take action on the proposed rule change in order to consider fully the comments received on the proposal and to complete the consultation process required under Section 19(b)(5). Accordingly, pursuant to Section 19(b)(2) of the Act,7 the Commission designates September 11, 2018, as the date by which the Commission shall either approve or disapprove, or institute proceedings to determine whether to disapprove, the proposed rule change (File No. SR–FINRA–2018– 023). For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.8 Robert W. Errett, Deputy Secretary. [FR Doc. 2018–16426 Filed 7–31–18; 8:45 am] BILLING CODE 8011–01–P [Release No. 34–83716; File No. SR– NYSEARCA–2018–53] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the NYSE Arca Options Fees and Charges and the NYSE Arca Equities Fees and Charges Related to Co-Location Services in Connection With a Proposed Transaction With the Chicago Stock Exchange, Inc. Exchange and Its Parent, CHX Holdings, Inc. sradovich on DSK3GMQ082PROD with NOTICES July 26, 2018. Pursuant to Section 19(b)(1) 1 of the Securities Exchange Act of 1934 (‘‘Act’’) 2 and Rule 19b–4 thereunder,3 notice is hereby given that, on July 16, 2018, NYSE Arca, Inc. (‘‘Exchange’’ or ‘‘NYSE Arca’’) 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 self-regulatory organization. The Commission is publishing this notice to The Exchange proposes to amend the NYSE Arca Options Fees and Charges (the ‘‘Options Fee Schedule’’) and the NYSE Arca Equities Fees and Charges (the ‘‘Equities Fee Schedule’’ and, together with the Options Fee Schedule, the ‘‘Fee Schedules’’) related to colocation services in connection with a proposed transaction (‘‘Transaction’’) whereby the Chicago Stock Exchange, Inc. (‘‘CHX’’) Exchange and its parent, CHX Holdings, Inc. (‘‘CHX Holdings’’), would become indirect subsidiaries of Intercontinental Exchange, Inc. (‘‘ICE’’), the Exchange’s indirect parent, and affiliates of the Exchange. The Exchange also proposes to make a non-substantive change to the Fee Schedules. The proposed rule change is available on the Exchange’s website at www.nyse.com, at the principal office of the Exchange, and at the Commission’s Public Reference Room. In its filing with the Commission, the self-regulatory organization 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 those 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 parts of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend the Fee Schedules related to co-location 4 services in connection with the proposed Transaction whereby CHX and its parent, CHX Holdings, would become indirect subsidiaries of ICE, the Exchange’s indirect parent, and 4 The Exchange initially filed rule changes relating to its co-location services with the Commission in 2010. See Securities Exchange Act Release No. 63275 (November 8, 2010), 75 FR 70048 (November 16, 2010) (SR–NYSEArca–2010–100). The Exchange operates a data center in Mahwah, New Jersey (the ‘‘data center’’) from which it provides co-location services to Users. 6 15 U.S.C. 78s(b)(5). 7 15 U.S.C. 78s(b)(2). 8 17 CFR 200.30–3(a)(31). 1 15 U.S.C. 78s(b)(1). 2 15 U.S.C. 78a. 3 17 CFR 240.19b–4. 20:07 Jul 31, 2018 I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change SECURITIES AND EXCHANGE COMMISSION VerDate Sep<11>2014 solicit comments on the proposed rule change from interested persons. Jkt 244001 PO 00000 Frm 00087 Fmt 4703 Sfmt 4703 37545 affiliates of the Exchange.5 The Exchange also proposes to make a nonsubstantive change to the Fee Schedules. The Exchange proposes that the proposed rule change become operative upon the closing of the Transaction. General Note 4 Pursuant to General Note 4 of the Fee Schedules, when a User 6 purchases access to the Liquidity Center Network (‘‘LCN’’) or the internet protocol (‘‘IP’’) network, the two local area networks available in the data center,7 a User receives (a) the ability to access the trading and execution systems of the Exchange and the Affiliate SROs (‘‘Exchange Systems’’), and (b) connectivity to any of the listed data products (‘‘Included Data Products’’) that it selects. The majority of the Included Data Products are proprietary feeds of the Exchange and the Affiliate SROs.8 Upon the closing of the Transaction, CHX will be an affiliate of both the Exchange and the Affiliate SROs. Consistent with the treatment of the Exchange’s and the Affiliate SROs’ trading and execution systems and data products, the Exchange proposes to expand the definition of Exchange Systems to incorporate CHX’s trading and execution systems, and to add CHX’s data products to the table of Included Data Products. In order to make the change, the Exchange proposes to add CHX to the list of trading and execution system providers in the first sentence of the first paragraph and add CHX to the lists of 5 In order to effect the Transaction, a whollyowned subsidiary of the Exchange’s direct parent company, NYSE Group, Inc., would merge with and into CHX Holdings, with CHX Holdings continuing as the surviving corporation. See Securities Exchange Act Release Nos. 83635 (July 13, 2018) (SR–CHX–2018–004), and 83303 (May 22, 2018), 83 FR 24517 (May 29, 2018) (SR–CHX–2018–004). CHX would also become an affiliate of the Exchange’s affiliates the New York Stock Exchange LLC (‘‘NYSE’’), NYSE American LLC (‘‘NYSE American’’), and NYSE National, Inc. (‘‘NYSE National’’ and, together, the ‘‘Affiliate SROs’’). 6 For purposes of the Exchange’s co-location services, a ‘‘User’’ means any market participant that requests to receive co-location services directly from the Exchange. See Securities Exchange Act Release No. 76010 (September 29, 2015), 80 FR 60197 (October 5, 2015) (SR–NYSEArca–2015–82). As specified in the Fee Schedules, a User that incurs co-location fees for a particular co-location service pursuant thereto would not be subject to colocation fees for the same co-location service charged by the Affiliate SROs. See Securities Exchange Act Release No. 70173 (August 13, 2013), 78 FR 50459 (August 19, 2013) (SR–NYSEArca– 2013–80). 7 See Securities Exchange Act Release No. 79729 (January 4, 2017), 82 FR 3061 (January 10, 2017) (SR–NYSEArca–2016–172). 8 Id. Included Data Products are listed in the Fee Schedules under General Note 4. E:\FR\FM\01AUN1.SGM 01AUN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 83, Number 148 (Wednesday, August 1, 2018)]
[Notices]
[Pages 37544-37545]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-16426]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-83722; File No. SR-FINRA-2018-023]


Self-Regulatory Organizations; Financial Industry Regulatory 
Authority, Inc.; Notice of Designation of a Longer Period for 
Commission Action on a Proposed Rule Change Relating to ATS Reporting 
of Transactions to TRACE in U.S. Treasury Securities

July 26, 2018.
    On June 5, 2018, the Financial Industry Regulatory Authority, Inc. 
(``FINRA'') filed with the Securities and Exchange Commission 
(``Commission''), pursuant to Section 19(b)(1) of the Securities 
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ a 
proposed rule change to amend FINRA Rule 6730 to require certain 
alternative trading systems (``ATSs'') that report transactions in U.S. 
Treasury Securities to the Transaction Reporting and Compliance Engine 
(``TRACE'') to identify non-FINRA-member subscribers on those 
transaction reports. The proposed rule change was published for comment 
in the Federal Register on June 13, 2018.\3\ The Commission received 
three comments regarding the proposed rule change.\4\
---------------------------------------------------------------------------

    \1\ 15 U.S.C.78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 83393 (June 7, 
2018), 83 FR 27643 (``Notice'').
    \4\ See letter to Secretary, Commission, from Stephen John 
Berger, Managing Director, Government and Regulatory Policy, 
Citadel, dated July 5, 2018; letter to Robert W. Errett, Deputy 
Secretary, Commission, from Theodore Bragg, Chief Executive Officer, 
Execution Access, LLC, dated July 3, 2018; letter to Brent J. 
Fields, Secretary, Commission, from Tyler Gellasch, Executive 
Director, The Healthy Markets Association, dated July 5, 2018.
---------------------------------------------------------------------------

    Section 19(b)(2) of the Act \5\ provides that, within 45 days of 
the publication of notice of the filing of a proposed rule change, or 
within such longer period up to 90 days as the Commission may designate 
if it finds such longer period to be appropriate and publishes its 
reasons for so finding or as to which the self-regulatory organization 
consents, the Commission shall either approve the proposed rule change, 
disapprove the proposed rule change, or institute proceedings to 
determine whether the proposed rule change should be disapproved. The 
45th day for this filing is July 28, 2018.
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78s(b)(2).
---------------------------------------------------------------------------

    The Commission notes that Section 19(b)(5) of the Act requires the 
Commission to ``consult with and consider the views of the Secretary of

[[Page 37545]]

the Treasury prior to approving a proposed rule filed by a registered 
securities association that primarily concerns conduct related to 
transactions in government securities.'' \6\ The Commission finds that 
it is appropriate to designate a longer period within which to take 
action on the proposed rule change in order to consider fully the 
comments received on the proposal and to complete the consultation 
process required under Section 19(b)(5). Accordingly, pursuant to 
Section 19(b)(2) of the Act,\7\ the Commission designates September 11, 
2018, as the date by which the Commission shall either approve or 
disapprove, or institute proceedings to determine whether to 
disapprove, the proposed rule change (File No. SR-FINRA-2018-023).
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78s(b)(5).
    \7\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
---------------------------------------------------------------------------

    \8\ 17 CFR 200.30-3(a)(31).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2018-16426 Filed 7-31-18; 8:45 am]
 BILLING CODE 8011-01-P

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