Self-Regulatory Organizations; NYSE Chicago, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Rule 7.37 To Update the Exchange's Source of Data Feeds From the Long-Term Stock Exchange, Inc., 20741-20743 [2020-07780]
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Federal Register / Vol. 85, No. 72 / Tuesday, April 14, 2020 / Notices
that the BDC has made, towards
achieving compliance with the asset
coverage requirements under section 18
of the Investment Company Act, as
modified by section 61, by the
expiration of the Exemption Period.
Upon expiration of the Exemption
Period, any BDC not in compliance with
the asset coverage requirements
applicable to such BDC at that time as
described in sections 18(a)(1)(A) and
18(a)(2)(A), as modified by sections
61(a)(1) and 61(a)(2), shall immediately
make a filing on Form 8–K that includes
the following information: (i) The BDC’s
current asset coverage ratio; (ii) the
reasons why the BDC was unable to
comply with the asset coverage
requirements; (iii) the time frame within
which the BDC expects to come into
compliance with the asset coverage
requirements; and (iv) the specific steps
that the BDC will be undertaking to
bring itself into compliance with the
asset coverage requirements.6
(g) Recordkeeping. Each BDC shall
make and preserve, for a period of not
less than six years, the first two years in
an easily accessible place, minutes
describing (i) the Board’s deliberations
in connection with paragraph (e) above,
including the factors considered by the
board in connection with such
determinations, as well as all
information, documents and reports
provided to the Board in connection
therewith; and (ii) the reports made to
the Board pursuant to paragraph (f)
above, including copies of all other
information provided to or relied upon
by the Board.
(h) No Compensation or
Remuneration of Any Kind. Except (i) to
the extent permitted by section 57(k) of
the Investment Company Act; or (ii) for
payments or distributions made by an
issuer to all holders of a security in
accordance with the security’s terms, no
affiliated person of the BDC nor any
affiliated person of such a person, shall
receive any transaction fees (including
break-up, structuring, monitoring or
commitment fees) or other remuneration
from an issuer in which the BDC invests
during the Exemption Period. For the
avoidance of doubt, this condition does
not apply to the receipt of investment
advisory fees by an investment adviser
to the BDC under an investment
management agreement entered into in
accordance with section 15 of the
Investment Company Act.
(i) This Order provides relief only to
issue or sell senior securities
6 Sections 18 and 61 of the Investment Company
Act generally prohibit a BDC that is not in
compliance with its asset coverage requirements
from paying a cash dividend or issuing additional
senior securities.
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representing an indebtedness or that is
a stock. This Order does not provide
relief in connection with the declaration
or payment of any dividend or any other
distribution.
III. Expansion of Relief for BDCs With
Existing Co-Investment Orders
It is Ordered, pursuant to sections
17(d) and 57(i) of the Investment
Company Act and rule 17d–1
thereunder that:
During the Exemption Period,
notwithstanding sections 17(d) and
57(a)(4) of the Investment Company Act
and rule 17d–1 thereunder, any BDC to
which a Commission order permitting
co-investment transactions in portfolio
companies with certain affiliated
persons is currently applicable
(‘‘existing co-investment order’’) may:
Participate in a Follow-On Investment
(which may include a Non-Negotiated
Follow-On Investment) with one or
more Regulated Funds and/or Affiliated
Funds, provided that (i) if such
participant is a Regulated Fund, it has
previously participated in a CoInvestment Transaction with the BDC
with respect to the issuer, and (ii) if
such participant is an Affiliated Fund,
it either (X) has previously participated
in a Co-Investment Transaction with the
BDC with respect to the issuer, or (Y) is
not invested in the issuer; 7 provided
that:
(a) Any such transaction is otherwise
effected in accordance with the terms
and conditions of the existing coinvestment order; and
(b) Board Oversight.
(1) Non-Negotiated Follow-On
Investments. Non-Negotiated Follow-On
Investments do not require prior
approval by the Board; however they are
subject to the periodic reporting
requirements set forth in the BDC’s
existing co-investment order.
(2) Follow-On Investments other than
Non-Negotiated Follow-On Investments.
In connection with making the findings
required by the BDC’s existing coinvestment order with respect to
Follow-On Investments that are not
7 The terms Follow-On Investment, Regulated
Fund, Affiliated Fund and Co-Investment
Transaction shall have the same meanings ascribed
to them in the BDC’s existing co-investment order,
or, if the BDC’s existing co-investment order uses
a substantially similar term, the substantially
similar term. For purposes of this Order, the term
Affiliated Fund does not include any open or
closed-end investment company registered under
the Investment Company Act or a BDC.
The term ‘‘Non-Negotiated Follow-On
Investment’’ shall be given the meaning ascribed to
it in existing co-investment orders. For purposes of
this Order, a BDC may participate in a NonNegotiated Follow-On Investment in reliance on
this Order whether or not such term is used in its
existing co-investment order.
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20741
Non-Negotiated Follow-On Investments,
the Board, and a Required Majority,
shall review the proposed Follow-On
Investment both on a stand-alone basis
and in relation to the total economic
exposure of the BDC to the issuer.8
By the Commission.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–07788 Filed 4–13–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–88604; File No. SR–
NYSECHX–2020–12]
Self-Regulatory Organizations; NYSE
Chicago, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend Rule 7.37 To
Update the Exchange’s Source of Data
Feeds From the Long-Term Stock
Exchange, Inc.
April 8, 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 April 6,
2020, NYSE Chicago, Inc. (‘‘NYSE
Chicago’’ or the ‘‘Exchange’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been prepared by the Exchange.
The Exchange filed the 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
The Exchange proposes to amend
Rule 7.37 to update the Exchange’s
source of data feeds from the Long-Term
Stock Exchange, Inc. (‘‘LTSE’’) 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
8 For purposes of complying with this condition
of this Order, the Board, and a Required Majority,
need not make the findings required with respect
to Enhanced Review Follow-On Investments, as
such term is defined in existing co-investment
orders.
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).
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Federal Register / Vol. 85, No. 72 / Tuesday, April 14, 2020 / Notices
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
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 (‘‘SIP’’) 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
Exchange proposes to amend the table
in Rule 7.37(d) to specify that, with
respect to the LTSE, the Exchange will
receive the SIP feed as its primary
source of data for order handling, order
execution, order routing, and regulatory
compliance. The Exchange will not have
a secondary source for data from LTSE.
The Exchange proposes that this
proposed rule change would be
operative on the day that LTSE launches
operations as an equities exchange,
which is currently scheduled for May
15, 2020.5
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2. Statutory Basis
The proposed rule change is
consistent with Section 6(b) of the Act,6
in general, and furthers the objectives of
Section 6(b)(5),7 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
5 On March 25, 2020, LTSE announced that it
would begin phasing in securities on its production
system on May 15, 2020. See LTSE Market
Announcement: MA–202–008, available here:
https://longtermstockexchange.com/static/MA2020-008-dfec5067f88285a0f563a894451b1f22.pdf.
6 15 U.S.C. 78f(b).
7 15 U.S.C. 78f(b)(5).
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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 the LTSE will ensure that Rule 7.37
correctly identifies and publicly states
on a market-by-market basis all of the
specific SIP 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.
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
market participants with up-to-date
information about the data feeds the
Exchange will use 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)(iii) of the Act 8 and Rule
19b–4(f)(6) thereunder.9 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)
8 15
9 17
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U.S.C. 78s(b)(3)(A)(iii).
CFR 240.19b–4(f)(6).
Frm 00081
Fmt 4703
Sfmt 4703
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.
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) 10 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–2020–12 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–NYSECHX–2020–12. 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
10 15
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U.S.C. 78s(b)(2)(B).
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Federal Register / Vol. 85, No. 72 / Tuesday, April 14, 2020 / Notices
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–2020–12, and
should be submitted on or before May
5, 2020.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–07780 Filed 4–13–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–88608]
Order Granting Conditional Exemptive
Relief, Pursuant to Section 36 of the
Securities Exchange Act of 1934
(‘‘Exchange Act’’) and Rule 608(e) of
Regulation NMS Under the Exchange
Act to Rule 608(e) of Regulation NMS
Under the Exchange Act, Relating to
Granularity of Timestamps Specified in
Section 6.8(b) and Appendix D, Section
3 of the National Market System Plan
Governing the Consolidated Audit Trail
jbell on DSKJLSW7X2PROD with NOTICES
April 8, 2020.
I. Introduction
By letter dated February 3, 2020, BOX
Exchange LLC, Cboe BYX Exchange,
Inc., Cboe BZX Exchange, Inc., Cboe
EDGA Exchange, Inc., Cboe EDGX
Exchange, Inc., Cboe C2 Exchange, Inc.,
Cboe Exchange, Inc., Financial Industry
Regulatory Authority, Inc. (‘‘FINRA’’),
Investors Exchange LLC, Miami
International Securities Exchange LLC,
MIAX Emerald, LLC, MIAX PEARL,
LLC, NASDAQ BX, LLC, Nasdaq GEMX,
LLC, Nasdaq ISE, LLC, Nasdaq MRX,
LLC, NASDAQ PHLX LLC, The
NASDAQ Stock Market LLC, New York
Stock Exchange LLC, NYSE American
LLC, NYSE Arca, Inc., NYSE Chicago,
Inc., NYSE National, Inc., and Long
Term Stock Exchange, Inc. (collectively,
the ‘‘Participants’’) to the National
Market System Plan Governing the
Consolidated Audit Trail (‘‘CAT NMS
Plan’’),1 requested that the Securities
11 17
CFR 200.30–3(a)(12).
CAT NMS Plan was approved by the
Commission, as modified, on November 15, 2016.
See Securities Exchange Act Release No79318
1 The
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18:26 Apr 13, 2020
Jkt 250001
and Exchange Commission
(‘‘Commission’’ or ‘‘SEC’’) grant limited
exemptive relief to the Participants,
pursuant to its authority under Section
36 of the Securities Exchange Act of
1934 (‘‘Exchange Act’’) 2 and Rule 608(e)
of Regulation NMS under the Exchange
Act, from the timestamp granularity
requirements of Section 6.8(b) and
Section 3 of Appendix D of the CAT
NMS Plan.3
Section 36 of the Exchange Act grants
the Commission the authority, with
certain limitations, to ‘‘conditionally or
unconditionally exempt any person,
security, or transaction . . . from any
provision or provisions of [the Exchange
Act] or of any rule or regulation
thereunder, to the extent that such
exemption is necessary or appropriate
in the public interest, and is consistent
with the protection of investors.’’ 4
Under Rule 608(e) of Regulation NMS,
the Commission may ‘‘exempt from
[Rule 608], either unconditionally or on
specified terms and conditions, any selfregulatory organization, member
thereof, or specified security, if the
Commission determines that such
exemption is consistent with the public
interest, the protection of investors, the
maintenance of fair and orderly markets
and the removal of impediments to, and
perfection of the mechanism of, a
national market system.’’ 5
For the reasons set forth below, this
Order grants the Participants’ request for
an exemption from Section 6.8(b) and
Appendix D, Section 3 of the CAT NMS
Plan as set forth in the February 3, 2020
Exemption Request, subject to certain
conditions.6
II. Description
The CAT NMS Plan sets forth certain
requirements regarding the granularity
(November 15, 2016), 81 FR 84696 (November 23,
2016) (‘‘CAT NMS Plan Approval Order’’).
2 15 U.S.C. 78mm(a)(1).
3 See letter from the Participants to Vanessa
Countryman, Secretary, Commission, dated
February 3, 2020 (the ‘‘February 3, 2020 Exemption
Request’’). Unless otherwise noted, capitalized
terms are used as defined in the CAT NMS Plan.
4 15 U.S.C. 78mm(a)(1).
5 17 CFR 242.608(e).
6 The February 3, 2020 Exemption Request also
includes a separate request for exemptive relief
from Section 6.4(d)(ii)(C) of the CAT NMS Plan.
Specifically, in circumstances in which an Industry
Member uses an established trading relationship for
an individual Customer (rather than an account) on
the order reported to the CAT, the Participants
request an exemption from the requirement in
Section 6.4(d)(ii)(C) of the CAT NMS Plan for each
Participant to require, through its Compliance
Rules, its Industry Members to record and report to
the Central Repository the account number, the date
account opened and account type for the relevant
individual customer, subject to certain conditions.
The Commission is not addressing that request at
this time.
PO 00000
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20743
of timestamps accepted by the CAT
system. Specifically, Section 6.8(b) of
the CAT NMS Plan states ‘‘[e]ach
Participant shall, and through its
Compliance Rule shall require its
Industry Members to, report information
required by SEC Rule 613 and this
Agreement to the Central Repository in
milliseconds,’’ but that ‘‘[t]o the extent
that any Participant’s order handling or
execution systems utilize timestamps in
increments finer than the minimum
required in this Agreement, such
Participant shall utilize such finer
increment when reporting CAT Data to
the Central Repository so that all
Reportable Events reported to the
Central Repository can be adequately
sequenced.’’ 7 Section 6.8(b) further
states that ‘‘each Participant shall,
through its Compliance Rule: (i) Require
that, to the extent that its Industry
Members utilize timestamps in
increments finer than the minimum
required in this Agreement in their
order handling or execution systems,
such Industry Members shall utilize
such finer increment when reporting
CAT Data to the Central Repository.’’ 8
In addition, Section 3 of Appendix D of
the CAT NMS Plan states that the
Central Repository must be able to
‘‘[a]ccept time stamps on order events
handled electronically to the finest level
of granularity captured by CAT
Reporters.’’
Section 6.8(c) of the CAT NMS Plan
imposes further requirements on
Participants regarding analysis of
timestamp granularity. Specifically,
Section 6.8(c) of the CAT NMS Plan
requires the Chief Compliance Officer
to, ‘‘[i]n conjunction with Participants’
and other appropriate Industry Member
advisory groups,’’ ‘‘annually evaluate
and make a recommendation to the
Operating Committee as to whether
industry standards have evolved such
that: . . . (ii) the required time stamp in
Section 6.8(b) should be in finer
increments.’’
III. Request for Relief
In the February 3, 2020 Exemption
Request, the Participants request that
the Commission exempt the Participants
from the requirement in Section 6.8(b)
of the CAT NMS Plan that Participants
reporting CAT Data to the Central
7 Notwithstanding other requirements of Section
6.8(b), the CAT NMS Plan provides that
Participants and Industry Members are permitted to
record and report Manual Order Events and the
time of allocation on Allocation Reports in
increments up to and including one second. See
CAT NMS Plan Section 6.8(b).
8 The CAT NMS Plan defines ‘‘Compliance Rule’’
to mean, ‘‘with respect to a Participant, the rule(s)
promulgated by such Participant as contemplated
by Section 3.11.’’ See CAT NMS Plan Section 1.1.
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]]>Agencies
[Federal Register Volume 85, Number 72 (Tuesday, April 14, 2020)]
[Notices]
[Pages 20741-20743]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-07780]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-88604; File No. SR-NYSECHX-2020-12]
Self-Regulatory Organizations; NYSE Chicago, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend
Rule 7.37 To Update the Exchange's Source of Data Feeds From the Long-
Term Stock Exchange, Inc.
April 8, 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 April 6, 2020, NYSE Chicago, Inc. (``NYSE Chicago'' or the
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been prepared by the Exchange. The
Exchange filed the 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
The Exchange proposes to amend Rule 7.37 to update the Exchange's
source of data feeds from the Long-Term Stock Exchange, Inc. (``LTSE'')
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
[[Page 20742]]
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
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 (``SIP'') 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 Exchange proposes
to amend the table in Rule 7.37(d) to specify that, with respect to the
LTSE, the Exchange will receive the SIP feed as its primary source of
data for order handling, order execution, order routing, and regulatory
compliance. The Exchange will not have a secondary source for data from
LTSE.
The Exchange proposes that this proposed rule change would be
operative on the day that LTSE launches operations as an equities
exchange, which is currently scheduled for May 15, 2020.\5\
---------------------------------------------------------------------------
\5\ On March 25, 2020, LTSE announced that it would begin
phasing in securities on its production system on May 15, 2020. See
LTSE Market Announcement: MA-202-008, available here: https://longtermstockexchange.com/static/MA-2020-008-dfec5067f88285a0f563a894451b1f22.pdf.
---------------------------------------------------------------------------
2. Statutory Basis
The proposed rule change is consistent with Section 6(b) of the
Act,\6\ in general, and furthers the objectives of Section 6(b)(5),\7\
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 the LTSE will
ensure that Rule 7.37 correctly identifies and publicly states on a
market-by-market basis all of the specific SIP 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.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 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 market participants with up-to-date information about the
data feeds the Exchange will use 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)(iii) of the Act \8\ and Rule 19b-4(f)(6) thereunder.\9\
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.
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\8\ 15 U.S.C. 78s(b)(3)(A)(iii).
\9\ 17 CFR 240.19b-4(f)(6).
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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) \10\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\10\ 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-2020-12 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-NYSECHX-2020-12. 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
[[Page 20743]]
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-2020-12, and should be submitted on or before May 5, 2020.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-07780 Filed 4-13-20; 8:45 am]
BILLING CODE 8011-01-P
