Initial Form ATS-N Filing; Notice of Extension of Commission Review Period, 26482 [2019-11829]
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26482
Federal Register / Vol. 84, No. 109 / Thursday, June 6, 2019 / Notices
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–85973; File No. 013–00121]
Initial Form ATS–N Filing; Notice of
Extension of Commission Review
Period
khammond on DSKBBV9HB2PROD with NOTICES
May 31, 2019.
On February 8, 2019, SIGMA X2 filed
an initial Form ATS–N (‘‘Form ATS–
N’’) with the Securities and Exchange
Commission (‘‘Commission’’). Pursuant
to Rule 304 under the Securities and
Exchange Act of 1934 (‘‘Act’’), the
Commission may, after notice and an
opportunity for hearing, declare an
initial Form ATS–N ineffective no later
than 120 days from the date of filing
with the Commission, or, if applicable,
the extended review period. June 8,
2019 is 120 calendar days from the date
of filing. Pursuant to Rule
304(a)(1)(iv)(B), the Commission may
extend the initial Form ATS–N review
period for up to an additional 120
calendar days if the initial Form ATS–
N is unusually lengthy or raises novel
or complex issues that require
additional time for review.
SIGMA X2 was operating pursuant to
an initial operation report on Form ATS
on file with the Commission as of
January 7, 2019.1 SIGMA X2 filed an
initial Form ATS–N on February 8,
2019. During the initial 120 calendar
day review period, the Commission staff
has been reviewing the disclosures on
SIGMA X2’s initial Form ATS–N. In
addition, the staff has been engaged in
ongoing discussions with SIGMA X2
about its disclosures and manner of
operations, as well as the requirements
of Form ATS–N, to facilitate complete
and comprehensible disclosures that
reflect the complexities of those
operations.
Form ATS–N requires NMS Stock
ATSs to file with the Commission, and
disclose to the public for the first time,
certain information, including
descriptions by the NMS Stock ATSs of
their fees, the trading activities by their
broker-dealer operators and their
affiliates in the NMS Stock ATSs, their
use of market data, their written
standards for granting access to trading
on the NMS Stock ATSs, and their
written safeguards and procedures for
protecting their subscribers’ confidential
trading information required by revised
Rule 301(b)(10) of Regulation ATS. The
initial Form ATS–N disclosures and
1 An NMS Stock ATS (as defined in Rule 300(k)
of Regulation ATS) that was operating pursuant to
an initial operation report on Form ATS on file with
the Commission as of January 7, 2019 is a ‘‘Legacy
NMS Stock ATS.’’ 17 CFR 242.301(b)(2)(viii).
VerDate Sep<11>2014
16:11 Jun 05, 2019
Jkt 247001
discussions with Commission staff have
revealed complexities about the
operations of Legacy NMS Stock ATSs
including, among other things, matching
functionalities, means of order entry,
order interaction and execution
procedures, conditional order processes,
segmentation of orders, and
counterparty selection protocols. The
Commission staff needs additional time
to review novel and complex issues
such as these, which Commission staff
has discussed with SIGMA X2.
Extending the initial Form ATS–N
Commission review period for an
additional 120 calendar days will
provide Commission staff an
opportunity to continue its review of the
initial Form ATS–N disclosures and
discussions with SIGMA X2.
In the conversations between SIGMA
X2 and Commission staff about the
initial Form ATS–N disclosures and the
ATS operations, Commission staff and
SIGMA X2 have discussed a potential
amendment to update SIGMA X2’s
disclosures regarding the complexities
of its operations. Extending the review
period will enable the NMS Stock ATS
to amend its disclosures, if appropriate,
and allow Commission staff to conduct
a thorough review of amendments to the
initial disclosures provided on the
initial Form ATS–N.
For the reasons given above, the
Commission is extending the review
period of the initial Form ATS–N
submitted by SIGMA X2. Accordingly,
pursuant to Rule 304(a)(1)(iv)(B),
October 6, 2019 is the date by which the
Commission may declare the initial
Form ATS–N submitted by SIGMA X2
ineffective.
By the Commission.
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2019–11829 Filed 6–5–19; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–85989; File No. SR–
CboeEDGX–2019–032]
Self-Regulatory Organizations; Cboe
EDGX Exchange, Inc.; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change Relating to
Qualified Contingent Cross Orders
(‘‘QCC Orders’’) With More Than One
Option Leg (‘‘Complex QCC Orders’’)
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
Frm 00086
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Cboe EDGX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘EDGX’’) proposes to
permit qualified contingent cross orders
(‘‘QCC Orders’’) with more than one
option leg (‘‘Complex QCC Orders’’).
The text of the proposed rule change is
provided below and in Exhibit 1.
(additions are italicized; deletions are
[bracketed])
*
*
*
Fmt 4703
Sfmt 4703
*
*
Rules of Cboe EDGX Exchange, Inc.
*
*
*
*
*
Rule 21.1. Definitions
The following definitions apply to
Chapter XXI for the trading of options
listed on EDGX Options.
(a)–(c) No change.
(d) The term ‘‘Order Type’’ shall mean
the unique processing prescribed for
designated orders, subject to the
restrictions set forth in paragraph (j)
below with respect to orders and bulk
messages submitted through bulk ports,
that are eligible for entry into the
System, and shall include:
(1)–(9) No change.
(10) A ‘‘Qualified Contingent Cross
Order’’ or ‘‘QCC Order’’ is comprised of
an originating order to buy or sell at
least 1,000 standard option contracts (or
10,000 mini-option contracts) that is
identified as being part of a qualified
contingent trade, as that term is defined
in subparagraph (A) below, coupled
with a contra-side order or orders
totaling an equal number of contracts. If
a QCC Order has more than one option
leg (a ‘‘Complex QCC Order’’), each
option leg must have at least 1,000
standard option contracts (or 10,000
mini-option contracts). See Rule 21.20
1 15
May 31, 2019.
PO 00000
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on May 22,
2019, Cboe EDGX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘EDGX’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Exchange filed the proposed rule change
pursuant to Section 19(b)(3)(A)(iii) of
the Act 3 and Rule 19b–4(f)(6)
thereunder.4 The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(iii).
4 17 CFR 240.19b–4(f)(6).
2 17
E:\FR\FM\06JNN1.SGM
06JNN1
]]>Agencies
[Federal Register Volume 84, Number 109 (Thursday, June 6, 2019)]
[Notices]
[Page 26482]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-11829]
[[Page 26482]]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-85973; File No. 013-00121]
Initial Form ATS-N Filing; Notice of Extension of Commission
Review Period
May 31, 2019.
On February 8, 2019, SIGMA X2 filed an initial Form ATS-N (``Form
ATS-N'') with the Securities and Exchange Commission (``Commission'').
Pursuant to Rule 304 under the Securities and Exchange Act of 1934
(``Act''), the Commission may, after notice and an opportunity for
hearing, declare an initial Form ATS-N ineffective no later than 120
days from the date of filing with the Commission, or, if applicable,
the extended review period. June 8, 2019 is 120 calendar days from the
date of filing. Pursuant to Rule 304(a)(1)(iv)(B), the Commission may
extend the initial Form ATS-N review period for up to an additional 120
calendar days if the initial Form ATS-N is unusually lengthy or raises
novel or complex issues that require additional time for review.
SIGMA X2 was operating pursuant to an initial operation report on
Form ATS on file with the Commission as of January 7, 2019.\1\ SIGMA X2
filed an initial Form ATS-N on February 8, 2019. During the initial 120
calendar day review period, the Commission staff has been reviewing the
disclosures on SIGMA X2's initial Form ATS-N. In addition, the staff
has been engaged in ongoing discussions with SIGMA X2 about its
disclosures and manner of operations, as well as the requirements of
Form ATS-N, to facilitate complete and comprehensible disclosures that
reflect the complexities of those operations.
---------------------------------------------------------------------------
\1\ An NMS Stock ATS (as defined in Rule 300(k) of Regulation
ATS) that was operating pursuant to an initial operation report on
Form ATS on file with the Commission as of January 7, 2019 is a
``Legacy NMS Stock ATS.'' 17 CFR 242.301(b)(2)(viii).
---------------------------------------------------------------------------
Form ATS-N requires NMS Stock ATSs to file with the Commission, and
disclose to the public for the first time, certain information,
including descriptions by the NMS Stock ATSs of their fees, the trading
activities by their broker-dealer operators and their affiliates in the
NMS Stock ATSs, their use of market data, their written standards for
granting access to trading on the NMS Stock ATSs, and their written
safeguards and procedures for protecting their subscribers'
confidential trading information required by revised Rule 301(b)(10) of
Regulation ATS. The initial Form ATS-N disclosures and discussions with
Commission staff have revealed complexities about the operations of
Legacy NMS Stock ATSs including, among other things, matching
functionalities, means of order entry, order interaction and execution
procedures, conditional order processes, segmentation of orders, and
counterparty selection protocols. The Commission staff needs additional
time to review novel and complex issues such as these, which Commission
staff has discussed with SIGMA X2. Extending the initial Form ATS-N
Commission review period for an additional 120 calendar days will
provide Commission staff an opportunity to continue its review of the
initial Form ATS-N disclosures and discussions with SIGMA X2.
In the conversations between SIGMA X2 and Commission staff about
the initial Form ATS-N disclosures and the ATS operations, Commission
staff and SIGMA X2 have discussed a potential amendment to update SIGMA
X2's disclosures regarding the complexities of its operations.
Extending the review period will enable the NMS Stock ATS to amend its
disclosures, if appropriate, and allow Commission staff to conduct a
thorough review of amendments to the initial disclosures provided on
the initial Form ATS-N.
For the reasons given above, the Commission is extending the review
period of the initial Form ATS-N submitted by SIGMA X2. Accordingly,
pursuant to Rule 304(a)(1)(iv)(B), October 6, 2019 is the date by which
the Commission may declare the initial Form ATS-N submitted by SIGMA X2
ineffective.
By the Commission.
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2019-11829 Filed 6-5-19; 8:45 am]
BILLING CODE 8011-01-P
