Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Delete Partial Post Only at Limit Orders and References to Those Orders From the Rules, 5764-5766 [2020-01781]
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Federal Register / Vol. 85, No. 21 / Friday, January 31, 2020 / Notices
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:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.19
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–01779 Filed 1–30–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
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–
CboeEDGX–2020–002 on the subject
line.
Paper Comments
jbell on DSKJLSW7X2PROD with NOTICES
• 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–CboeEDGX–2020–002. 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–CboeEDGX–2020–002 and
should be submitted on or before
February 21, 2020.
VerDate Sep<11>2014
17:16 Jan 30, 2020
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[Release No. 34–88044; File No. SR–
CboeBZX–2020–005]
Self-Regulatory Organizations; Cboe
BZX Exchange, Inc.; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change To Delete
Partial Post Only at Limit Orders and
References to Those Orders From the
Rules
January 27, 2020.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on January
17, 2020, Cboe BZX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘BZX’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the Exchange. The Exchange filed the
proposal as a ‘‘non-controversial’’
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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Cboe BZX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘BZX’’) proposes to
delete Partial Post Only at Limit Orders
and references to those orders from the
Rules. 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://markets.cboe.com/us/
equities/regulation/rule_filings/bzx/), at
the Exchange’s Office of the Secretary,
and at the Commission’s Public
Reference Room.
19 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(iii).
4 17 CFR 240.19b–4(f)(6).
1 15
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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 delete
Partial Post Only at Limit Orders and
references to those orders from the
Rules. Current Rule 11.9(c)(7) defines a
Partial Post Only at Limit Order as an
order to be ranked and executed on the
Exchange pursuant to Rules 11.12
(regarding the priority of orders) and
11.13(a)(4) (regarding the execution and
routing of orders) or cancelled, as
appropriate, without routing away to
another trading center except that the
order will only remove liquidity from
the BZX Book under the following
circumstances:
• A Partial Post Only at Limit Order
will remove liquidity from the BZX
Book up to the full size of the order if,
at the time of receipt, it can be executed
at prices better than its limit price (i.e.,
price improvement).
• Regardless of any liquidity removed
from the BZX Book under the
circumstances described in the previous
bulleted paragraph, a User may enter a
Partial Post Only at Limit Order
instructing the Exchange to also remove
liquidity from the BZX Book at the
order’s limit price up to a designated
percentage of the remaining size of the
order after any execution pursuant to
the previous bulleted paragraph
(‘‘Maximum Remove Percentage’’) if,
after removing such liquidity at the
order’s limit price, the remainder of
such order can then post to the BZX
Book. If no Maximum Remove
Percentage is entered, such order will
only remove liquidity to the extent such
order will obtain price improvement as
described in the previous bulleted
paragraph.
A Partial Post Only at Limit Order
will be subject to the price sliding
process as set forth in Rule 11.9(g)
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Federal Register / Vol. 85, No. 21 / Friday, January 31, 2020 / Notices
jbell on DSKJLSW7X2PROD with NOTICES
unless a User has entered instructions
not to use the price sliding process.
The Exchange proposes to delete
Partial Post Only at Limit Order from
the list of order types in Rule 11.9(c)(7)
and references to that order type in
Rules 11.1(a), 11.9(c)(10), 11.9(g)(1)(D),
11.9(g)(2)(D), 11.13(b)(4)(C), and
11.23(a)(8)(C)(iv).5 The Exchange notes
that use of Partial Post Only at Limit
Orders is voluntary, and there is
currently limited demand for this order
type. Indeed, in December 2019, fewer
than five Users submitted Partial Post
Only at Limit Orders. Eliminating this
order type would therefore allow the
Exchange to reduce the complexity of its
trading systems, without any significant
impact on members and investors.
Additionally, the Exchange will
continue to offer a variety of other order
types and functionality that provide
Users with similar opportunities for
trading, including BZX Post Only
Orders offered pursuant to Rule
11.9(c)(6), which similarly allow the
User to identify their orders as being
willing to remove liquidity from the
BZX Book in specified circumstances.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
Securities Exchange Act of 1934 (the
‘‘Act’’) and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.6 Specifically,
the Exchange believes the proposed rule
change is consistent with the Section
6(b)(5) 7 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 cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and 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.
Additionally, the Exchange believes the
proposed rule change is consistent with
the Section 6(b)(5) 8 requirement that
the rules of an exchange not be designed
to permit unfair discrimination between
customers, issuers, brokers, or dealers.
In particular, the Exchange believes
that eliminating Partial Post Only at
Limit Orders will remove impediments
5 The proposed rule change renumbers current
Rule 11.23(a)(8)(C)(v) to become Rule
11.23(a)(8)(C)(iv).
6 15 U.S.C. 78f(b).
7 15 U.S.C. 78f(b)(5).
8 Id.
VerDate Sep<11>2014
17:16 Jan 30, 2020
Jkt 250001
to and perfect a national market system
by reducing the complexity of its orders
types, and simplifying the functionality
offered to members and investors. The
Exchange also believes that eliminating
this order type is consistent with the
public interest and the protection of
investors given the minimal demand for
and use of this order type. Further, the
proposed rule change may remove
impediments to and perfect the
mechanism of a free and open market
and national market system and protect
investors by allowing the Exchange to
reduce the overall complexity of its
trading systems and reallocate System
capacity and resources to more
frequently used functionality. The
Exchange does not believe elimination
of this order type will harm investors,
as use of this order type is voluntary,
and the Exchange will continue to offer
other similar order types, including BZX
Post Only Orders. Additionally, the
Exchange believes that deleting
corresponding references to this order
type in the Rules will further remove
impediments to and perfect and the
mechanism of a free and open market
furthering the goal of transparency and
clarity in the Exchange’s Rules
regarding the availability of order types.
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 rule change is not designed to
address any competitive issues, but
rather to remove order functionality that
is infrequently used. Additionally, as
noted above, the use of this order type
is voluntary, and the Exchange will
continue to offer other similar order
types.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange neither solicited nor
received comments on the proposed
rule change.
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
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5765
19(b)(3)(A) of the Act 9 and Rule 19b–
4(f)(6) thereunder.10
A proposed rule change filed
pursuant to Rule 19b–4(f)(6) under the
Act 11 normally does not become
operative for 30 days after the date of its
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
proposed rule change may become
operative upon filing. The Exchange
states that waiver of the operative delay
would allow it to promptly remove an
infrequently used order type, thereby
reducing the overall complexity of its
trading system. The Commission
believes that waiving the 30-day
operative delay is consistent with the
protection of investors and the public
interest. For this reason, the
Commission hereby waives the 30-day
operative delay and designates the
proposed rule change as 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.
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:
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 satisfied this requirement.
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 also has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
10 17
E:\FR\FM\31JAN1.SGM
31JAN1
5766
Federal Register / Vol. 85, No. 21 / Friday, January 31, 2020 / Notices
Electronic Comments
DEPARTMENT OF STATE
• 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–
CboeBZX–2020–005 on the subject line.
[Public Notice: 11015]
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.
jbell on DSKJLSW7X2PROD with NOTICES
All submissions should refer to File
Number SR–CboeBZX–2020–005. 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–CboeBZX–2020–005 and
should be submitted on or before
February 21, 2020.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–01781 Filed 1–30–20; 8:45 am]
BILLING CODE 8011–01–P
14 17
CFR 200.30–3(a)(12).
VerDate Sep<11>2014
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Jkt 250001
30-Day Notice of Proposed Information
Collection: Employee Self-Certification
and Ability To Perform in Emergencies
(ESCAPE) Posts, Pre-Deployment
Physical Exam Acknowledgement
Form; Correction
ACTION:
Notice; correction.
The State Department
published a document in the Federal
Register on January 17, 2020,
concerning the information collection
submitted to the Office of Management
and Budget (OMB) for approval. The
document contained incorrect burden
estimates.
SUMMARY:
FOR FURTHER INFORMATION CONTACT:
Karl
Field, 202–663–1591.
SUPPLEMENTARY INFORMATION:
Correction
In the Federal Register of January 17,
2020, in FR Doc. 2020–00763, on page
3102, in the second column, correct
SUPPLEMENTARY INFORMATION to read:
• Estimated Number of Respondents:
532.
• Estimated Number of Responses:
532.
• Total Estimated Burden Time: 266
hours.
Dated: January 27, 2020.
Karl Field,
Director of Medical Clearances.
[FR Doc. 2020–01881 Filed 1–30–20; 8:45 am]
BILLING CODE 4710–36–P
SURFACE TRANSPORTATION BOARD
[Docket No. FD 36374]
East Penn Railroad, L.L.C.—Lease and
Operation Exemption Containing
Interchange Commitment—Norfolk
Southern Railway Company
East Penn Railroad, L.L.C. (ESPN), a
Class III rail carrier, has filed a verified
notice of exemption under 49 CFR
1150.41 to continue to lease and operate
approximately 5.2 miles of rail lines
from Norfolk Southern Railway
Company (NSR), in York, Pa.1 ESPN
will continue to lease: (1) The York
Industrial Track, located between
mileposts YR 7.50 and YR 12.31 (York
Track) (4.81 miles in length); and (2) the
Wye Track that connects the York Track
1 ESPN initially submitted the verified notice on
January 6, 2020. On January 15, 2020, ESPN filed
a supplement to provide a map of the Wye Track.
In light of that supplement, January 15, 2020, is
deemed the filing date of the verified notice.
PO 00000
Frm 00156
Fmt 4703
Sfmt 4703
to NSR’s line, located between
mileposts YR 12.31 and YR 12.70 (Wye
Track) (0.39 miles in length).
ESPN leased the York Track and the
Wye Track from NSR in 2011. See E.
Penn R.R.—Lease & Operation
Exemption—Norfolk S. Ry., FD 35533
(STB served July 15, 2011). According to
the present verified notice, ESPN and
NSR have entered into an amended
lease agreement (Amended Agreement)
which, among other things, extends the
term of the lease to July 31, 2026.
ESPN certifies that the projected
annual revenues as a result of the
proposed transaction will not result in
ESPN’s becoming a Class II or Class I
rail carrier and will not exceed $5
million. As required under 49 CFR
1150.43(h)(1), ESPN has disclosed in its
verified notice that the Amended Lease
contains an interchange commitment, in
the form of a lease credit for each car
interchanged with NSR.2 ESPN has
provided additional information
regarding the interchange commitment
as required by 49 CFR 1150.43(h).
The transaction may be consummated
on or after February 14, 2020, the
effective date of the exemption (30 days
after the verified notice of exemption
was filed). If the verified notice contains
false or misleading information, the
exemption is void ab initio. Petitions to
revoke the exemption under 49 U.S.C.
10502(d) may be filed at any time. The
filing of a petition to revoke will not
automatically stay the effectiveness of
the exemption. Petitions to stay must be
filed by February 7, 2020 (at least seven
days prior to the date the exemption
becomes effective).
All pleadings, referring to Docket No.
FD 36374, must be filed with the
Surface Transportation Board either via
e-filing or in writing addressed to 395 E
Street SW, Washington, DC 20423–0001.
In addition, a copy of each pleading
must be served on ESPN’s
representative, Karl Morell, Karl Morell
& Associates, 440 1st Street NW, Suite
440, Washington, DC 20001.
According to ESPN, this action is
categorically excluded from
environmental review under 49 CFR
1105.6(c) and from historic preservation
reporting requirements under 49 CFR
1105.8(b).
Board decisions and notices are
available at www.stb.gov.
Decided: January 24, 2020.
2 A copy of the Amended Agreement with the
interchange commitment was submitted under seal.
See 49 CFR 1150.43(h)(1).
E:\FR\FM\31JAN1.SGM
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]]>Agencies
[Federal Register Volume 85, Number 21 (Friday, January 31, 2020)]
[Notices]
[Pages 5764-5766]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-01781]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-88044; File No. SR-CboeBZX-2020-005]
Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Delete
Partial Post Only at Limit Orders and References to Those Orders From
the Rules
January 27, 2020.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on January 17, 2020, Cboe BZX Exchange, Inc. (the ``Exchange'' or
``BZX'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by the Exchange. The Exchange
filed the proposal as a ``non-controversial'' 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.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(iii).
\4\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Cboe BZX Exchange, Inc. (the ``Exchange'' or ``BZX'') proposes to
delete Partial Post Only at Limit Orders and references to those orders
from the Rules. 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://markets.cboe.com/us/equities/regulation/rule_filings/bzx/), 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 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 delete Partial Post Only at Limit Orders
and references to those orders from the Rules. Current Rule 11.9(c)(7)
defines a Partial Post Only at Limit Order as an order to be ranked and
executed on the Exchange pursuant to Rules 11.12 (regarding the
priority of orders) and 11.13(a)(4) (regarding the execution and
routing of orders) or cancelled, as appropriate, without routing away
to another trading center except that the order will only remove
liquidity from the BZX Book under the following circumstances:
A Partial Post Only at Limit Order will remove liquidity
from the BZX Book up to the full size of the order if, at the time of
receipt, it can be executed at prices better than its limit price
(i.e., price improvement).
Regardless of any liquidity removed from the BZX Book
under the circumstances described in the previous bulleted paragraph, a
User may enter a Partial Post Only at Limit Order instructing the
Exchange to also remove liquidity from the BZX Book at the order's
limit price up to a designated percentage of the remaining size of the
order after any execution pursuant to the previous bulleted paragraph
(``Maximum Remove Percentage'') if, after removing such liquidity at
the order's limit price, the remainder of such order can then post to
the BZX Book. If no Maximum Remove Percentage is entered, such order
will only remove liquidity to the extent such order will obtain price
improvement as described in the previous bulleted paragraph.
A Partial Post Only at Limit Order will be subject to the price
sliding process as set forth in Rule 11.9(g)
[[Page 5765]]
unless a User has entered instructions not to use the price sliding
process.
The Exchange proposes to delete Partial Post Only at Limit Order
from the list of order types in Rule 11.9(c)(7) and references to that
order type in Rules 11.1(a), 11.9(c)(10), 11.9(g)(1)(D), 11.9(g)(2)(D),
11.13(b)(4)(C), and 11.23(a)(8)(C)(iv).\5\ The Exchange notes that use
of Partial Post Only at Limit Orders is voluntary, and there is
currently limited demand for this order type. Indeed, in December 2019,
fewer than five Users submitted Partial Post Only at Limit Orders.
Eliminating this order type would therefore allow the Exchange to
reduce the complexity of its trading systems, without any significant
impact on members and investors. Additionally, the Exchange will
continue to offer a variety of other order types and functionality that
provide Users with similar opportunities for trading, including BZX
Post Only Orders offered pursuant to Rule 11.9(c)(6), which similarly
allow the User to identify their orders as being willing to remove
liquidity from the BZX Book in specified circumstances.
---------------------------------------------------------------------------
\5\ The proposed rule change renumbers current Rule
11.23(a)(8)(C)(v) to become Rule 11.23(a)(8)(C)(iv).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act'') and the rules and
regulations thereunder applicable to the Exchange and, in particular,
the requirements of Section 6(b) of the Act.\6\ Specifically, the
Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \7\ 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 cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and 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. Additionally,
the Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \8\ requirement that the rules of an exchange not be
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 15 U.S.C. 78f(b)(5).
\8\ Id.
---------------------------------------------------------------------------
In particular, the Exchange believes that eliminating Partial Post
Only at Limit Orders will remove impediments to and perfect a national
market system by reducing the complexity of its orders types, and
simplifying the functionality offered to members and investors. The
Exchange also believes that eliminating this order type is consistent
with the public interest and the protection of investors given the
minimal demand for and use of this order type. Further, the proposed
rule change may remove impediments to and perfect the mechanism of a
free and open market and national market system and protect investors
by allowing the Exchange to reduce the overall complexity of its
trading systems and reallocate System capacity and resources to more
frequently used functionality. The Exchange does not believe
elimination of this order type will harm investors, as use of this
order type is voluntary, and the Exchange will continue to offer other
similar order types, including BZX Post Only Orders. Additionally, the
Exchange believes that deleting corresponding references to this order
type in the Rules will further remove impediments to and perfect and
the mechanism of a free and open market furthering the goal of
transparency and clarity in the Exchange's Rules regarding the
availability of order types.
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 rule change is
not designed to address any competitive issues, but rather to remove
order functionality that is infrequently used. Additionally, as noted
above, the use of this order type is voluntary, and the Exchange will
continue to offer other similar order types.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange neither solicited nor received comments on the
proposed rule change.
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\
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\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 satisfied this requirement.
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A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the
Act \11\ normally does not become operative for 30 days after the date
of its 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 proposed rule change may become operative upon filing. The
Exchange states that waiver of the operative delay would allow it to
promptly remove an infrequently used order type, thereby reducing the
overall complexity of its trading system. The Commission believes that
waiving the 30-day operative delay is consistent with the protection of
investors and the public interest. For this reason, the Commission
hereby waives the 30-day operative delay and designates the proposed
rule change as operative upon filing.\13\
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\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 also 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 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:
[[Page 5766]]
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-CboeBZX-2020-005 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-CboeBZX-2020-005. 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-CboeBZX-2020-005 and should be submitted
on or before February 21, 2020.
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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J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-01781 Filed 1-30-20; 8:45 am]
BILLING CODE 8011-01-P
