Sunshine Act Meetings, 6038-6039 [2019-03333]
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6038
Federal Register / Vol. 84, No. 37 / Monday, February 25, 2019 / Notices
Exchange Members. The proposed rule
change is not a competitive filing and is
intended to enhance the protection of
investors by ensuring that the rule
clearly and accurately describes the
scenarios when a limit order to buy or
a limit order to sell will be rejected by
the Exchange’s System. Additionally,
the proposed rule change provides
examples of hypothetical scenarios to
provide additional detail and clarity to
the Exchange’s rulebook.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not: (i) Significantly affect
the protection of investors or the public
interest; (ii) impose any significant
burden on competition; and (iii) become
operative for 30 days after the date of
the filing, or such shorter time as the
Commission may designate, it has
become effective pursuant to 19(b)(3)(A)
of the Act 11 and Rule 19b–4(f)(6) 12
thereunder.
A proposed rule change filed under
Rule 19b–4(f)(6) normally does not
become operative for 30 days from the
date of filing. However, Rule 19b–
4(f)(6)(iii) 13 permits the Commission to
designate a shorter time if such action
is consistent with the protection of
investors and the public interest. The
Exchange has asked the Commission to
waive the 30-day operative delay and
designate the proposal operative on
March 1, 2019, to coincide with the
planned commencement date of
operation of the Exchange. The
Commission believes that the waiver of
the 30-day operative delay is consistent
with the protection of investors and the
public interest and hereby waives the
30-day operative delay and designates
the proposal operative on March 1,
2019.14
11 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule
19b–4(f)(6) requires a self-regulatory organization to
give the Commission written notice of its intent to
file the proposed rule change at least five business
days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has satisfied this
requirement.
13 17 CFR 240.19b–4(f)(6)(iii).
14 For purposes only of waiving the 30-day
operative delay, the Commission has also
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
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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 shall institute proceedings
to determine whether the proposed rule
should be approved or disapproved.
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–EMERALD–2019–03 and
should be submitted on or before March
18, 2019.
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:
[FR Doc. 2019–03173 Filed 2–22–19; 8:45 am]
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–
EMERALD–2019–03 on the subject line.
2:00 p.m. on Thursday,
February 28, 2019.
PLACE: The meeting will be held at the
Commission’s headquarters, 100 F
Street NE, Washington, DC 20549.
STATUS: This meeting will be closed to
the public.
MATTERS TO BE CONSIDERED:
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the closed meeting. Certain
staff members who have an interest in
the matters also may be present.
The General Counsel of the
Commission, or his designee, has
certified that, in his opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B)
and (10) and 17 CFR 200.402(a)(3),
(a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and
(a)(10), permit consideration of the
scheduled matters at the closed meeting.
Commissioner Peirce, as duty officer,
voted to consider the items listed for the
closed meeting in closed session.
The subject matters of the closed
meeting will be:
Institution and settlement of
injunctive actions;
Institution and settlement of
administrative proceedings;
Resolution of litigation claims; and
Other matters relating to enforcement
proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
CONTACT PERSON FOR MORE INFORMATION:
For further information and to ascertain
what, if any, matters have been added,
deleted or postponed; please contact
Brent J. Fields from the Office of the
Secretary at (202) 551–5400.
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–EMERALD–2019–03. 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
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For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.15
Eduardo A. Aleman,
Deputy Secretary.
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meetings
TIME AND DATE:
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CFR 200.30–3(a)(12).
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Federal Register / Vol. 84, No. 37 / Monday, February 25, 2019 / Notices
Dated: February 21, 2019.
Brent J. Fields,
Secretary.
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
[FR Doc. 2019–03333 Filed 2–21–19; 4:15 pm]
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–85167; File No. SR–CBOE–
2019–011]
Self-Regulatory Organizations; Cboe
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change Relating To Amend a Fee
for the S&P Select Sector Index
Options (‘‘Sector Index Options’’)
February 20, 2019.
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 February
7, 2019, Cboe Exchange, Inc.
(‘‘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.
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I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Cboe Exchange, Inc. (the ‘‘Exchange’’
or ‘‘Cboe Options’’) [sic] proposes to
amend a fee for the S&P Select Sector
Index options (‘‘Sector Index options’’).
The text of the proposed rule change is
provided in Exhibit 5.
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.
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
1. Purpose
The Exchange proposes to waive the
transaction fee for Clearing Trading
Permit Holder Proprietary (origin code
‘‘F’’ and ‘‘L’’) facilitation orders in
Sector Index options, executed in open
outcry or electronically via AIM or as a
Qualified Contingent Cross (‘‘QCC’’) or
CFLEX transaction, through June 30,
2019. By way of background
‘‘facilitation orders’’ are defined as any
order in which a Clearing Trading
Permit Holder (‘‘F’’ origin code) or NonTrading Permit Holder Affiliate (‘‘L’’
origin code) is contra to any other origin
code order, provided the same executing
broker and clearing firm are on both
sides of the transaction (for open outcry)
or both sides of a paired order (for
orders executed electronically).3
Currently, the Fees Schedule provides
that Clearing Trading Permit Holder
Proprietary orders in Sector Index
options will be assessed $0.25 per
contract. The Exchange recognizes
however, that Clearing Trading Permit
Holders can be an important source of
liquidity when they facilitate their own
customers’ trading activity and, as such,
the Exchange proposes to apply a
waiver of Clearing Trading Permit
Holder Proprietary transaction fees for
facilitation orders through June 30,
2019. Accordingly the Exchange
proposes to update the Fees Schedule,
including the Specified Proprietary
Index Options Rate Table—Underlying
Symbol List A and Sector Indexes, along
with Footnotes 11 and 22 of the Fees
Schedule, to reflect the proposed fee
waiver.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
Securities Exchange Act of 1934 (the
‘‘Act’’) [sic] 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
3 See
Cboe Options Fees Schedule, Footnote 11.
U.S.C. 78f(b).
5 15 U.S.C. 78f(b)(5).
1 15
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
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cooperation and coordination with
persons engaged in regulating, clearing,
settling, processing information with
respect to, and facilitation 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,6 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.
Particularly, the Exchange believes
the proposed waiver of Clearing Trading
Permit Holder Proprietary transaction
fees for facilitation orders in Sector
Index options is reasonable because it
will exempt such orders from being
assessed a fee. The Exchange believes
that this is equitable and not unfairly
discriminatory because a similar waiver
also applies to other products, including
other proprietary index products (e.g.,
MXEA, MXEF, DJX and XSP).7 Further,
the Exchange recognizes that Clearing
Trading Permit Holders can be an
important source of liquidity when they
facilitate their own customers’ trading
activity. Such trades add transparency
and promote price discovery to the
benefit of all market participants.
Moreover, the exemption from any fee
for Sector Index facilitation orders
executed in AIM, open outcry, or as a
CFLEX transaction will apply to all such
orders. Lastly, the Exchange notes that
the proposal to waive facilitation fees
for Clearing Trading Permit Holder
Proprietary orders through June 30,
2019 is reasonable, equitable and not
unfairly discriminatory as the Exchange
has previously exempted certain
transaction fees for newly listed options
products for a period of time in order to
promote and encourage trading in such
products.8
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
6 15
U.S.C. 78f(b)(4).
Cboe Fees Schedule, ‘‘Equity Options Rate
Table, ‘‘ETF and ETN Options Rate Table’’ and
‘‘Index Options Rate Table—All Index Products
Excluding Underlying Symbol List A and Sector
Indexes’’, all of which provide a $0.00 facilitation
fee for origin code ‘‘F’’ and ‘‘L’’ orders.
8 See Securities and Exchange Release 34–77547
(April 6, 2016) 81 FR 21611 (April 12, 2016) (SR–
CBOE–2016–021) (Notice of Filing and Immediate
Effectiveness of a Proposed Rule Change To
Establish Fees for Options That Overlie a Reduced
Value of the FTSE 100 Index and the FTSE China
50 Index).
7 See
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Agencies
[Federal Register Volume 84, Number 37 (Monday, February 25, 2019)]
[Notices]
[Pages 6038-6039]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-03333]
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SECURITIES AND EXCHANGE COMMISSION
Sunshine Act Meetings
TIME AND DATE: 2:00 p.m. on Thursday, February 28, 2019.
PLACE: The meeting will be held at the Commission's headquarters, 100
F Street NE, Washington, DC 20549.
STATUS: This meeting will be closed to the public.
MATTERS TO BE CONSIDERED: Commissioners, Counsel to the Commissioners,
the Secretary to the Commission, and recording secretaries will attend
the closed meeting. Certain staff members who have an interest in the
matters also may be present.
The General Counsel of the Commission, or his designee, has
certified that, in his opinion, one or more of the exemptions set forth
in 5 U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B) and (10) and 17 CFR
200.402(a)(3), (a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and (a)(10),
permit consideration of the scheduled matters at the closed meeting.
Commissioner Peirce, as duty officer, voted to consider the items
listed for the closed meeting in closed session.
The subject matters of the closed meeting will be:
Institution and settlement of injunctive actions;
Institution and settlement of administrative proceedings;
Resolution of litigation claims; and
Other matters relating to enforcement proceedings.
At times, changes in Commission priorities require alterations in
the scheduling of meeting items.
CONTACT PERSON FOR MORE INFORMATION: For further information and to
ascertain what, if any, matters have been added, deleted or postponed;
please contact Brent J. Fields from the Office of the Secretary at
(202) 551-5400.
[[Page 6039]]
Dated: February 21, 2019.
Brent J. Fields,
Secretary.
[FR Doc. 2019-03333 Filed 2-21-19; 4:15 pm]
BILLING CODE 8011-01-P