Self-Regulatory Organizations; NYSE Chicago, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Exchange Rule 7.37 To Specify in Exchange Rules the Exchange's Source of Data Feeds From NYSE American LLC, 65200-65202 [2019-25585]
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Federal Register / Vol. 84, No. 228 / Tuesday, November 26, 2019 / Notices
Subadvisers for all or a portion of the
Subadvised Fund’s assets, (iii) allocate
and, when appropriate, reallocate the
Subadvised Fund’s assets among
Subadvisers, (iv) monitor and evaluate
the Subadvisers’ performance, and (v)
implement procedures reasonably
designed to ensure that Subadvisers
comply with the Subadvised Fund’s
investment objective, policies and
restrictions.
4. Subadvised Funds will inform
shareholders of the hiring of a new
Subadviser within 90 days after the
hiring of the new Subadviser pursuant
to the Modified Notice and Access
Procedures.
5. At all times, at least a majority of
the Board will be Independent Trustees,
and the selection and nomination of
new or additional Independent Trustees
will be placed within the discretion of
the then-existing Independent Trustees.
6. Independent Legal Counsel, as
defined in Rule 0–1(a)(6) under the Act,
will be engaged to represent the
Independent Trustees. The selection of
such counsel will be within the
discretion of the then-existing
Independent Trustees.
7. Whenever a Subadviser is hired or
terminated, the Adviser will provide the
Board with information showing the
expected impact on the profitability of
the Adviser.
8. The Board must evaluate any
material conflicts that may be present in
a subadvisory arrangement. Specifically,
whenever a subadviser change is
proposed for a Subadvised Fund
(‘‘Subadviser Change’’) or the Board
considers an existing Subadvisory
Agreement as part of its annual review
process (‘‘Subadviser Review’’):
(a) the Adviser will provide the
Board, to the extent not already being
provided pursuant to section 15(c) of
the Act, with all relevant information
concerning:
(i) any material interest in the
proposed new Subadviser, in the case of
a Subadviser Change, or the Subadviser
in the case of a Subadviser Review, held
directly or indirectly by the Adviser or
a parent or sister company of the
Adviser, and any material impact the
proposed Subadvisory Agreement may
have on that interest;
(ii) any arrangement or understanding
in which the Adviser or any parent or
sister company of the Adviser is a
participant that (A) may have had a
material effect on the proposed
Subadviser Change or Subadviser
Review, or (B) may be materially
affected by the proposed Subadviser
Change or Subadviser Review;
(iii) any material interest in a
Subadviser held directly or indirectly by
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16:47 Nov 25, 2019
Jkt 250001
an officer or Trustee of the Subadvised
Fund, or an officer or board member of
the Adviser (other than through a
pooled investment vehicle not
controlled by such person); and
(iv) any other information that may be
relevant to the Board in evaluating any
potential material conflicts of interest in
the proposed Subadviser Change or
Subadviser Review.
(b) the Board, including a majority of
the Independent Trustees, will make a
separate finding, reflected in the Board
minutes, that the Subadviser Change or
continuation after Subadviser Review is
in the best interests of the Subadvised
Fund and its shareholders and, based on
the information provided to the Board,
does not involve a conflict of interest
from which the Adviser, a Subadviser,
any officer or Trustee of the Subadvised
Fund, or any officer or board member of
the Adviser derives an inappropriate
advantage.
9. Each Subadvised Fund will
disclose in its registration statement the
Aggregate Fee Disclosure.
10. In the event that the Commission
adopts a rule under the Act providing
substantially similar relief to that in the
order requested in the Application, the
requested order will expire on the
effective date of that rule.
11. Any new Subadvisory Agreement
or any amendment to an existing
Investment Advisory Agreement or
Subadvisory Agreement that directly or
indirectly results in an increase in the
aggregate advisory fee rate payable by
the Subadvised Fund will be submitted
to the Subadvised Fund’s shareholders
for approval.
For the Commission, by the Division of
Investment Management, under delegated
authority.
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2019–25672 Filed 11–25–19; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–87575; File No. SR–
NYSECHX–2019–21]
Self-Regulatory Organizations; NYSE
Chicago, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend Exchange
Rule 7.37 To Specify in Exchange
Rules the Exchange’s Source of Data
Feeds From NYSE American LLC
November 20, 2019.
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
November 15, 2019, the NYSE Chicago,
Inc. (‘‘NYSE Chicago’’ 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 self-regulatory
organization. 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
Rule 7.37 to update the Exchange’s
source of data feeds from NYSE
American LLC (‘‘NYSE American’’) for
purposes of order handling, order
execution, order routing, and regulatory
compliance. 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.
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
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 update and
amend the use of data feeds table in
Rule 7.37, which sets forth on a marketby-market basis the specific securities
information processor and proprietary
data feeds that the Exchange utilizes for
the handling, execution, and routing of
orders, and for performing the
regulatory compliance checks related to
each of those functions. Specifically, the
table would be amended to reflect that
the Exchange will receive a direct feed
from NYSE American as its primary
source of data for order handling, order
2 15
1 15
PO 00000
U.S.C.78s(b)(1).
Frm 00088
Fmt 4703
3 17
Sfmt 4703
U.S.C. 78a.
CFR 240.19b–4.
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Federal Register / Vol. 84, No. 228 / Tuesday, November 26, 2019 / Notices
execution, order routing, and regulatory
compliance.
Rule 7.37 currently provides that the
Exchange will utilize the securities
information processor (‘‘SIP’’) data feed
as its primary source for the handling,
execution, and routing of orders, as well
as for regulatory compliance. In
connection with NYSE American’s
elimination of its delay mechanism,4 the
Exchange will begin using a direct feed
from NYSE American as its primary
data feed. To reflect this change, the
Exchange proposes to amend the table
in Rule 7.37(d) to specify that it will use
a direct feed from NYSE American,
rather than the SIP data feed, as the
primary source for that market, and that
the Exchange would use the SIP data
feed as a secondary source for that
market.
The Exchange will implement this
change on the same date that NYSE
American eliminates its delay
mechanism, which, subject to
effectiveness of proposed rule changes,
will be implemented in November 2019.
The Exchange will announce this date
via Trader Update.
2. Statutory Basis
The proposed rule change is
consistent with Section 6(b) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),5 in general, and furthers the
objectives of Section 6(b)(5),6 in
particular, because it is 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 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. The Exchange believes
its proposal to amend the table in Rule
7.37(d) to update the data feed source
for NYSE American will ensure that
Rule 7.37 correctly identifies and
publicly states on a market-by-market
basis all of the specific securities
information processor and proprietary
data feeds that the Exchange utilizes for
the handling, execution, and routing of
orders, and for performing the
regulatory compliance checks for each
of those functions. The proposed rule
change also removes impediments to
and perfects the mechanism of a free
and open market and protects investors
4 See
SR–NYSEAmer–2019–48 (NYSE American
proposal to eliminate its delay mechanism, which
was filed on November 4, 2019).
5 15 U.S.C. 78f(b).
6 15 U.S.C. 78f(b)(5).
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16:47 Nov 25, 2019
Jkt 250001
and the public interest by providing
additional specificity, clarity, and
transparency in the Exchange’s rules.
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 that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed change is not designed to
address any competitive issue, but
rather would provide the public and
investors with up-to-date information
about which data feeds the Exchange
uses for the handling, execution, and
routing of orders, as well as for
regulatory compliance.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A) of the Act 7 and Rule 19b–
4(f)(6) thereunder.8 Because the
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
prior to 30 days from the date on which
it was filed, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.9
A proposed rule change filed under
Rule 19b–4(f)(6) 10 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),11 the
Commission may designate a shorter
time if such action is consistent with the
protection of investors and the public
7 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
9 In addition, Rule 19b–4(f)(6)(iii) requires the
Exchange to give the Commission written notice of
the Exchange’s 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 satisfied this
requirement.
10 17 CFR 240.19b–4(f)(6).
11 17 CFR 240.19b–4(f)(6)(iii).
8 17
PO 00000
Frm 00089
Fmt 4703
Sfmt 4703
65201
interest. The Exchange has asked the
Commission to waive the 30-day
operative delay so that the proposal may
become operative immediately upon
filing. The Exchange represents that the
proposal would correctly identify and
publicly state on a market-by-market
basis all of the specific network
processor and proprietary data feeds
that the Exchange utilizes for the
handling, execution and routing of
orders, and for performing the
regulatory compliance checks to each of
those functions. Further, the Exchange
represents that the proposal would
enhance the clarity and transparency in
Exchange Rules. The Commission
believes that waiver of the 30-day
operative delay is consistent with the
protection of investors and the public
interest, and hereby waives the
operative delay and designates the
proposed rule change as operative upon
filing.12
At any time within 60 days of the
filing of such 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
under Section 19(b)(2)(B) 13 of the Act 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 rule-comments@
sec.gov. Please include File Number SR–
NYSECHX–2019–21 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.
12 For purposes only of waiving the operative
delay for this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
13 15 U.S.C. 78s(b)(2)(B).
E:\FR\FM\26NON1.SGM
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65202
Federal Register / Vol. 84, No. 228 / Tuesday, November 26, 2019 / Notices
All submissions should refer to File
Number SR–NYSECHX–2019–21. 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–NYSECHX–2019–21 and
should be submitted on or before
December 17, 2019.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019–25585 Filed 11–25–19; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–87577; File No. SR–OCC–
2019–008]
Self-Regulatory Organizations; the
Options Clearing Corporation; Order
Approving Proposed Rule Change To
Establish a Regulatory Committee of
the Options Clearing Corporation’s
Board of Directors
I. Introduction
On September 25, 2019, the Options
Clearing Corporation (‘‘OCC’’) filed with
CFR 200.30–3(a)(12).
VerDate Sep<11>2014
16:47 Nov 25, 2019
II. Background
OCC proposes to establish the OCC
Regulatory Committee (‘‘Committee’’)
and adopt the OCC Regulatory
Committee Charter (‘‘Committee
Charter’’). The Committee would be
composed solely of members of OCC’s
Board of Directors (‘‘Board’’). To
facilitate the establishment of the
Committee, OCC also proposes to
amend Article III, Section 4 of the OCC
By-Laws (‘‘By-Laws’’) and the OCC
Board of Directors Charter and
Corporate Governance Principles
(‘‘Board Charter’’).
Specifically, OCC proposes to amend
the Board Charter and Article III,
Section 4 of OCC’s By-Laws to list the
Committee alongside the other OCC
Board committees. OCC also proposes to
amend its By-Laws consistent with the
Committee Charter regarding the
delegation of authority from the Board
to the Committee as well as the
composition of the Committee. The
Committee Charter would further define
the scope of the Committee’s authority.
For example, the Committee Charter
would authorize the Committee to
access OCC’s books, records, facilities
and personnel and to hire specialists or
rely upon other outside advisors.
Consistent with the charters of OCC’s
other Board-level committees,5 the
Committee Charter would define the
purpose and functions of the Committee
and would set out requirements related
to the composition and meetings of the
Committee, which would, in part, relate
to the governance arrangements
supporting OCC’s compliance with its
regulatory obligations. For example, in
defining the Committee’s purpose, the
Committee Charter would state that the
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Notice of Filing infra note 4, at 84 FR 54240.
4 Securities Exchange Act Release No. 87207 (Oct.
3, 2019), 84 FR 54239 (Oct. 9, 2019) (SR–OCC–
2019–008) (‘‘Notice of Filing’’).
5 See Securities Exchange Act Release 84473 (Oct.
23, 2019), 83 FR 54385 (Oct. 29, 2018) (SR–OCC–
2018–012).
2 17
November 20, 2019.
14 17
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change SR–OCC–2019–
008 (‘‘Proposed Rule Change’’) pursuant
to Section 19(b) of the Securities
Exchange Act of 1934 (‘‘Exchange
Act’’) 1 and Rule 19b–4 2 thereunder to
establish a new committee under OCC’s
Board of Directors.3 The Proposed Rule
Change was published for public
comment in the Federal Register on
October 9, 2019.4 The Commission has
received no comments regarding the
Proposed Rule Change. This order
approves the Proposed Rule Change.
Jkt 250001
PO 00000
Frm 00090
Fmt 4703
Sfmt 4703
Board established the Committee to
assist in overseeing OCC’s efforts to
demonstrate compliance with its
regulatory obligations. The functions
and responsibilities with which the
Committee would be charged under the
Committee Charter would include (1)
overseeing OCC management’s action
plans to achieve compliance with any
proposed new regulation; (2) meeting
with regulators to discuss OCC’s efforts
to enhance its regulatory compliance
posture; (3) reviewing annual regulatory
compliance reports provided by OCC
management; and (4) reviewing
documents related to examinations
conducted by OCC’s regulators (e.g.,
examination report letters provided by
regulators, responses to such letters
from OCC). Regarding the composition
and meetings of the Committee, the
Committee would be composed of all
OCC Public Directors, and the
Committee would be obligated to meet
at least quarterly and to maintain
minutes of all Committee meetings.6
The proposed Committee Charter
would also clearly describe direct lines
of responsibility between the Committee
and, as appropriate, either the Board or
members of OCC’s management team.
For example, the Committee Charter
would require that the Committee make
such reports to the Board as deemed
necessary or advisable. The Committee
Charter would also require that OCC’s
Chief Compliance Officer (‘‘CCO’’), or
one of his or her deputies if the CCO is
unavailable, attend meetings of the
Committee. Additionally, the
Committee Charter would require the
Committee to review its charter at least
once every twelve months and submit
the Committee Charter to the Board for
approval.
III. Discussion and Commission
Findings
Section 19(b)(2)(C) of the Exchange
Act directs the Commission to approve
a proposed rule change of a selfregulatory organization if it finds that
such proposed rule change is consistent
with the requirements of the Exchange
Act and the rules and regulations
thereunder applicable to such
organization.7 After carefully
considering the Proposed Rule Change,
the Commission finds that the proposal
is consistent with the requirements of
the Exchange Act and the rules and
regulations thereunder applicable to
OCC. More specifically, the Commission
finds that the proposal is consistent
6 The Committee Charter would permit the
Committee’s Chair to determine whether to record
minutes of any executive session called by the
Committee.
7 15 U.S.C. 78s(b)(2)(C).
E:\FR\FM\26NON1.SGM
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]]>Agencies
[Federal Register Volume 84, Number 228 (Tuesday, November 26, 2019)]
[Notices]
[Pages 65200-65202]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-25585]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-87575; File No. SR-NYSECHX-2019-21]
Self-Regulatory Organizations; NYSE Chicago, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Amend
Exchange Rule 7.37 To Specify in Exchange Rules the Exchange's Source
of Data Feeds From NYSE American LLC
November 20, 2019.
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 November 15, 2019, the NYSE Chicago, Inc. (``NYSE Chicago'' 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 self-regulatory
organization. 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\ 15 U.S.C. 78a.
\3\ 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 7.37 to update the Exchange's
source of data feeds from NYSE American LLC (``NYSE American'') for
purposes of order handling, order execution, order routing, and
regulatory compliance. 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.
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 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 update and amend the use of data feeds
table in Rule 7.37, which sets forth on a market-by-market basis the
specific securities information processor and proprietary data feeds
that the Exchange utilizes for the handling, execution, and routing of
orders, and for performing the regulatory compliance checks related to
each of those functions. Specifically, the table would be amended to
reflect that the Exchange will receive a direct feed from NYSE American
as its primary source of data for order handling, order
[[Page 65201]]
execution, order routing, and regulatory compliance.
Rule 7.37 currently provides that the Exchange will utilize the
securities information processor (``SIP'') data feed as its primary
source for the handling, execution, and routing of orders, as well as
for regulatory compliance. In connection with NYSE American's
elimination of its delay mechanism,\4\ the Exchange will begin using a
direct feed from NYSE American as its primary data feed. To reflect
this change, the Exchange proposes to amend the table in Rule 7.37(d)
to specify that it will use a direct feed from NYSE American, rather
than the SIP data feed, as the primary source for that market, and that
the Exchange would use the SIP data feed as a secondary source for that
market.
---------------------------------------------------------------------------
\4\ See SR-NYSEAmer-2019-48 (NYSE American proposal to eliminate
its delay mechanism, which was filed on November 4, 2019).
---------------------------------------------------------------------------
The Exchange will implement this change on the same date that NYSE
American eliminates its delay mechanism, which, subject to
effectiveness of proposed rule changes, will be implemented in November
2019. The Exchange will announce this date via Trader Update.
2. Statutory Basis
The proposed rule change is consistent with Section 6(b) of the
Securities Exchange Act of 1934 (the ``Act''),\5\ in general, and
furthers the objectives of Section 6(b)(5),\6\ in particular, because
it is 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 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. The Exchange
believes its proposal to amend the table in Rule 7.37(d) to update the
data feed source for NYSE American will ensure that Rule 7.37 correctly
identifies and publicly states on a market-by-market basis all of the
specific securities information processor and proprietary data feeds
that the Exchange utilizes for the handling, execution, and routing of
orders, and for performing the regulatory compliance checks for each of
those functions. The proposed rule change also removes impediments to
and perfects the mechanism of a free and open market and protects
investors and the public interest by providing additional specificity,
clarity, and transparency in the Exchange's rules.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
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 that is not necessary or appropriate
in furtherance of the purposes of the Act. The proposed change is not
designed to address any competitive issue, but rather would provide the
public and investors with up-to-date information about which data feeds
the Exchange uses for the handling, execution, and routing of orders,
as well as for regulatory compliance.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A) of the Act \7\ and Rule 19b-4(f)(6) thereunder.\8\ Because
the 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 prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.\9\
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78s(b)(3)(A).
\8\ 17 CFR 240.19b-4(f)(6).
\9\ In addition, Rule 19b-4(f)(6)(iii) requires the Exchange to
give the Commission written notice of the Exchange's 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 satisfied this
requirement.
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A proposed rule change filed under Rule 19b-4(f)(6) \10\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\11\ the Commission
may 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 so that the proposal
may become operative immediately upon filing. The Exchange represents
that the proposal would correctly identify and publicly state on a
market-by-market basis all of the specific network processor and
proprietary data feeds that the Exchange utilizes for the handling,
execution and routing of orders, and for performing the regulatory
compliance checks to each of those functions. Further, the Exchange
represents that the proposal would enhance the clarity and transparency
in Exchange Rules. The Commission believes that waiver of the 30-day
operative delay is consistent with the protection of investors and the
public interest, and hereby waives the operative delay and designates
the proposed rule change as operative upon filing.\12\
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\10\ 17 CFR 240.19b-4(f)(6).
\11\ 17 CFR 240.19b-4(f)(6)(iii).
\12\ For purposes only of waiving the operative delay for this
proposal, the Commission has 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 such 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 under
Section 19(b)(2)(B) \13\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\13\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSECHX-2019-21 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.
[[Page 65202]]
All submissions should refer to File Number SR-NYSECHX-2019-21. 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-NYSECHX-2019-21 and should be submitted
on or before December 17, 2019.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
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\14\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-25585 Filed 11-25-19; 8:45 am]
BILLING CODE 8011-01-P
