Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 3304(a), 61946-61947 [2019-24697]
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61946
Federal Register / Vol. 84, No. 220 / Thursday, November 14, 2019 / Notices
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–NASDAQ–2019–088 and
should be submitted on or before
December 5, 2019.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019–24699 Filed 11–13–19; 8:45 am]
BILLING CODE 8011–01–P
[Release No. 34–87489; File No. SR–Phlx–
2019–47]
Self-Regulatory Organizations; Nasdaq
PHLX LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend Rule 3304(a)
khammond on DSKJM1Z7X2PROD with NOTICES
November 7, 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 October
29, 2019, Nasdaq PHLX LLC (‘‘Phlx’’ or
‘‘Exchange’’) 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
14 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
17:47 Nov 13, 2019
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Rule 3304(a), as described below. While
these amendments are effective upon
filing, the Exchange has designated the
proposed amendments to be operative
on November 4, 2019.
The text of the proposed rule change
is available on the Exchange’s website at
https://nasdaqphlx.cchwallstreet.com/,
at the principal office of the Exchange,
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
VerDate Sep<11>2014
by the Exchange. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
Jkt 250001
The Exchange proposes to amend
Rule 3304(a), which lists the proprietary
and network processor feeds that the
Exchange utilizes for the handling,
routing, and execution of orders, as well
as for the regulatory compliance
processes related to those functions.
Presently, the Exchange’s trading system
utilizes proprietary market data as the
Primary Source of quotation data for the
following markets that provide a reliable
direct feed: NYSE American, Nasdaq
BX, CBOE EDGA, CBOE EDGX, CHX,
NYSE, NYSE Arca, Nasdaq, Nasdaq
PSX, CBOE BYX, and CBOE BZX. For
each of these markets, the Exchange
uses SIP data as the Secondary Source
of quotation data.3 For other markets,
namely NYSE National, FINRA ADF,
and IEX, the Exchange utilizes SIP data
3 Pursuant to Rule 3304(a), the Primary Source of
data is used unless it is delayed by a configurable
amount compared to the Secondary Source of data.
The Exchange reverts to the Primary Source of data
once the delay has been resolved.
PO 00000
Frm 00079
Fmt 4703
Sfmt 4703
as the Primary Source; there is no
Secondary Source for those markets.
The Exchange proposes to amend Rule
3304(a) to state that going forward, the
Exchange will utilize SIP data, rather
than a direct feed, as its Primary Source
of data for CHX (now known as NYSE
Chicago 4), with no Secondary Source
utilized for that data. The Exchange
proposes this amendment to reflect the
fact that NYSE Chicago is migrating to
a new technology platform and that,
after November 1, 2019, it has
announced that it will cease offering the
NYSE Chicago Book Feed that currently
serves as its direct feed to the
Exchange.5 Although the Exchange
understands that NYSE Chicago plans to
offer new data feeds to replace the
NYSE Chicago Book Feed, the Exchange
has yet to decide whether it will utilize
them.6
2. Statutory Basis
The Exchange believes that its
proposal is consistent with Section 6(b)
of the Act,7 in general, and furthers the
objectives of Section 6(b)(5) of the Act,8
in particular, in that it is designed to
promote just and equitable principles of
trade, 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.
The Exchange believes that it is
necessary to amend its Rules to account
for the fact that, after November 1, 2019,
NYSE Chicago will no longer offer the
direct feed to which the Exchange
currently subscribes. The Exchange
notes that it already utilizes the SIP as
its sole source of quote data for NYSE
National and IEX—as well as the FINRA
ADF, without issue. In the event that the
Exchange determines that its proposal to
utilize SIP data is inadequate for its
purposes, then the Exchange may
choose to subscribe to one or more of
the replacement proprietary data feeds
that NYSE Chicago plans to offer
beginning on November 4, 2019.
Lastly, the Exchange believes that it is
consistent with the public interest and
the protection of investors to update the
names of the exchanges listed in Rule
3304(a) as this change will make it
easier for market participants to identify
4 The Exchange also proposes to update the Rule
to reflect the fact that the Chicago Stock Exchange
is now known as NYSE Chicago.
5 See https://www.nyse.com/market-data/realtime#chicago.
6 See id. If and when the Exchange decides to
subscribe to these replacement NYSE Chicago direct
data feed products, the Exchange will file a
proposal to amend Rule 4759 [sic] accordingly.
7 15 U.S.C. 78f(b).
8 15 U.S.C. 78f(b)(5).
E:\FR\FM\14NON1.SGM
14NON1
Federal Register / Vol. 84, No. 220 / Thursday, November 14, 2019 / Notices
the exchanges for which the Exchange
uses the direct feed and/or SIP for the
purposes described in the Rule.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed rule change is not designed to
address any competitive issue; instead,
it is merely intended to reflect the fact
that the Exchange will no longer
consume the NYSE Chicago Book Feed,
which NYSE Chicago plans to
discontinue after November 1, 2019.
The Exchange does not expect that its
decision to utilize the SIP, going
forward, to obtain NYSE Chicago quote
data will have any competitive impacts.
As noted above, the Exchange presently
utilizes the SIP as its sole source of
quote data for several other exchanges,
including NYSE National and IEX.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were either
solicited or 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 from the date on
which it was filed, or such shorter time
as the Commission may designate, it has
become effective pursuant to Section
19(b)(3)(A) of the Act 9 and Rule 19b–
4(f)(6) thereunder.10
A proposed rule change filed under
Rule 19b–4(f)(6) 11 normally does not
become operative for 30 days from the
date of filing. However, Rule 19b–
4(f)(6)(iii) 12 permits the Commission to
designate a shorter time if such action
is consistent with the protection of
investors and the public interest. The
9 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6)(iii) requires a self-regulatory organization to
give the Commission written notice of its intent to
file the proposed rule change, along with a brief
description and text of 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 requested that the Commission waive the prefiling requirement. The Commission hereby waives
that requirement.
11 17 CFR 240.19b–4(f)(6).
12 17 CFR 240.19b–4(f)(6)(iii).
khammond on DSKJM1Z7X2PROD with NOTICES
10 17
VerDate Sep<11>2014
17:47 Nov 13, 2019
Jkt 250001
61947
Exchange has requested that the
Commission waive the 30-day operative
delay so that the Exchange can amend
Rule 3304(a) prior to the
discontinuation of the NYSE Chicago
Book Feed. The Exchange states that
waiver of the operative delay would
prevent Rule 3304(a) from being
inaccurate and causing confusion
among investors and the public. For
these reasons, the Commission believes
that waiver of the 30-day operative
delay is consistent with the protection
of investors and the public interest.
Accordingly, the Commission hereby
waives the 30-day operative delay and
designates the proposed rule change
operative upon filing.13
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
change should be approved or
disapproved.
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–Phlx–2019–47 and should
be submitted on or before December 5,
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:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
Jill M. Peterson,
Assistant Secretary.
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–
Phlx–2019–47 on the subject line.
SECURITIES AND EXCHANGE
COMMISSION
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–Phlx–2019–47. 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/
13 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).
PO 00000
Frm 00080
Fmt 4703
Sfmt 4703
[FR Doc. 2019–24697 Filed 11–13–19; 8:45 am]
BILLING CODE 8011–01–P
[Release No. 34–87485; File No. SR–LCH
SA–2019–005]
Self-Regulatory Organizations; LCH
SA; Order Approving Proposed Rule
Change Relating to (i) Introduction of
Clearing of the New Markit iTraxx
Subordinated Financials Index CDS
and the Related Single Name CDS
Constituents; (ii) Enhancements to
Wrong Way Risk Margin; and (iii)
Modification to Default Fund Additional
Margin
November 7, 2019.
I. Introduction
On August 2, 2019, Banque Centrale
de Compensation, which conducts
business under the name LCH SA (‘‘LCH
SA’’), filed with the Securities and
Exchange Commission (‘‘Commission’’),
pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
14 17
E:\FR\FM\14NON1.SGM
CFR 200.30–3(a)(12).
14NON1
]]>Agencies
[Federal Register Volume 84, Number 220 (Thursday, November 14, 2019)]
[Notices]
[Pages 61946-61947]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-24697]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-87489; File No. SR-Phlx-2019-47]
Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend Rule
3304(a)
November 7, 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 October 29, 2019, Nasdaq PHLX LLC (``Phlx'' or ``Exchange'') 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 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 Rule 3304(a), as described below.
While these amendments are effective upon filing, the Exchange has
designated the proposed amendments to be operative on November 4, 2019.
The text of the proposed rule change is available on the Exchange's
website at https://nasdaqphlx.cchwallstreet.com/, at the principal
office of the Exchange, 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 Exchange proposes to amend Rule 3304(a), which lists the
proprietary and network processor feeds that the Exchange utilizes for
the handling, routing, and execution of orders, as well as for the
regulatory compliance processes related to those functions. Presently,
the Exchange's trading system utilizes proprietary market data as the
Primary Source of quotation data for the following markets that provide
a reliable direct feed: NYSE American, Nasdaq BX, CBOE EDGA, CBOE EDGX,
CHX, NYSE, NYSE Arca, Nasdaq, Nasdaq PSX, CBOE BYX, and CBOE BZX. For
each of these markets, the Exchange uses SIP data as the Secondary
Source of quotation data.\3\ For other markets, namely NYSE National,
FINRA ADF, and IEX, the Exchange utilizes SIP data as the Primary
Source; there is no Secondary Source for those markets. The Exchange
proposes to amend Rule 3304(a) to state that going forward, the
Exchange will utilize SIP data, rather than a direct feed, as its
Primary Source of data for CHX (now known as NYSE Chicago \4\), with no
Secondary Source utilized for that data. The Exchange proposes this
amendment to reflect the fact that NYSE Chicago is migrating to a new
technology platform and that, after November 1, 2019, it has announced
that it will cease offering the NYSE Chicago Book Feed that currently
serves as its direct feed to the Exchange.\5\ Although the Exchange
understands that NYSE Chicago plans to offer new data feeds to replace
the NYSE Chicago Book Feed, the Exchange has yet to decide whether it
will utilize them.\6\
---------------------------------------------------------------------------
\3\ Pursuant to Rule 3304(a), the Primary Source of data is used
unless it is delayed by a configurable amount compared to the
Secondary Source of data. The Exchange reverts to the Primary Source
of data once the delay has been resolved.
\4\ The Exchange also proposes to update the Rule to reflect the
fact that the Chicago Stock Exchange is now known as NYSE Chicago.
\5\ See https://www.nyse.com/market-data/real-time#chicago.
\6\ See id. If and when the Exchange decides to subscribe to
these replacement NYSE Chicago direct data feed products, the
Exchange will file a proposal to amend Rule 4759 [sic] accordingly.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\7\ in general, and furthers the objectives of Section
6(b)(5) of the Act,\8\ in particular, in that it is designed to promote
just and equitable principles of trade, 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.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange believes that it is necessary to amend its Rules to
account for the fact that, after November 1, 2019, NYSE Chicago will no
longer offer the direct feed to which the Exchange currently
subscribes. The Exchange notes that it already utilizes the SIP as its
sole source of quote data for NYSE National and IEX--as well as the
FINRA ADF, without issue. In the event that the Exchange determines
that its proposal to utilize SIP data is inadequate for its purposes,
then the Exchange may choose to subscribe to one or more of the
replacement proprietary data feeds that NYSE Chicago plans to offer
beginning on November 4, 2019.
Lastly, the Exchange believes that it is consistent with the public
interest and the protection of investors to update the names of the
exchanges listed in Rule 3304(a) as this change will make it easier for
market participants to identify
[[Page 61947]]
the exchanges for which the Exchange uses the direct feed and/or SIP
for the purposes described in the Rule.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act. The proposed rule change is not
designed to address any competitive issue; instead, it is merely
intended to reflect the fact that the Exchange will no longer consume
the NYSE Chicago Book Feed, which NYSE Chicago plans to discontinue
after November 1, 2019. The Exchange does not expect that its decision
to utilize the SIP, going forward, to obtain NYSE Chicago quote data
will have any competitive impacts. As noted above, the Exchange
presently utilizes the SIP as its sole source of quote data for several
other exchanges, including NYSE National and IEX.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were either solicited or 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 from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A) of the Act \9\ and Rule 19b-
4(f)(6) thereunder.\10\
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change, along
with a brief description and text of 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 requested that the Commission waive the pre-filing
requirement. The Commission hereby waives that requirement.
---------------------------------------------------------------------------
A proposed rule change filed under Rule 19b-4(f)(6) \11\ normally
does not become operative for 30 days from the date of filing. However,
Rule 19b-4(f)(6)(iii) \12\ 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 requested that the
Commission waive the 30-day operative delay so that the Exchange can
amend Rule 3304(a) prior to the discontinuation of the NYSE Chicago
Book Feed. The Exchange states that waiver of the operative delay would
prevent Rule 3304(a) from being inaccurate and causing confusion among
investors and the public. For these reasons, the Commission believes
that waiver of the 30-day operative delay is consistent with the
protection of investors and the public interest. Accordingly, the
Commission hereby waives the 30-day operative delay and designates the
proposed rule change operative upon filing.\13\
---------------------------------------------------------------------------
\11\ 17 CFR 240.19b-4(f)(6).
\12\ 17 CFR 240.19b-4(f)(6)(iii).
\13\ 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).
---------------------------------------------------------------------------
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 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:
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-Phlx-2019-47 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-Phlx-2019-47. 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-Phlx-2019-47 and should be submitted on
or before December 5, 2019.
---------------------------------------------------------------------------
\14\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-24697 Filed 11-13-19; 8:45 am]
BILLING CODE 8011-01-P
