Self-Regulatory Organizations; BOX Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change to Amend the Fee Schedule on the BOX Options Market LLC Facility, 40342-40343 [2020-14493]
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Federal Register / Vol. 85, No. 129 / Monday, July 6, 2020 / Notices
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–NYSEArca-2019–95, and
should be submitted on or before July
27, 2020.
khammond on DSKJM1Z7X2PROD with NOTICES
V. Accelerated Approval of Proposed
Rule Change, as Modified by
Amendment No. 6
The Commission finds good cause to
approve the proposed rule change, as
modified by Amendment No. 6, prior to
the thirtieth day after the date of
publication of notice of the filing of
Amendment No. 6 in the Federal
Register. In Amendment No. 6, the
Exchange amended proposed Rule
8.601–E to, among other things, (i)
revise the circumstances under which it
would consider the suspension of
trading in, and commence delisting
proceedings for, a series of Active Proxy
Portfolio Shares; (ii) require that any
person or entity who has access to nonpublic information regarding the
Investment Company’s Actual Portfolio
or the Proxy Portfolio or changes
thereto, (a) be subject to procedures
reasonably designed to prevent the use
and dissemination of material nonpublic information regarding the
applicable Investment Company Actual
Portfolio or the Proxy Portfolio or
changes thereto, and (b) if such person
or entity is registered as a broker-dealer
or affiliated with a broker-dealer, to
erect and maintain a ‘‘fire wall’’
between the person or entity and the
broker-dealer with respect to access to
information concerning the composition
of and/or changes to such Investment
Company Actual Portfolio or Proxy
Portfolio; and (iii) remove unnecessary
discussion about an information
bulletin to be provided to the
Exchange’s members regarding trading
in the Shares. Amendment No. 6 also
provides other clarifications and
additional information related to the
Fund.59 The changes and additional
information in Amendment No. 6 assist
the Commission in finding that the
proposal is consistent with the
Exchange Act. Accordingly, the
Commission finds good cause, pursuant
to Section 19(b)(2) of the Exchange
Act,60 to approve the proposed rule
change, as modified by Amendment No.
6, on an accelerated basis.
VI. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act 61 that the
proposed rule change (SR–NYSEArca2019–95), as modified by Amendment
No. 6, be, and it hereby is, approved on
an accelerated basis.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.62
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–14388 Filed 7–2–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–89196; File No. SR–BOX–
2020–25]
Self-Regulatory Organizations; BOX
Exchange LLC; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change to Amend the Fee
Schedule on the BOX Options Market
LLC Facility
June 30, 2020.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on June 22,
2020, BOX Exchange LLC (‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II below, which Items have
been prepared by the Exchange. The
Exchange filed the proposal as a ‘‘noncontroversial’’ 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 the
Fee Schedule on the BOX Options
Market LLC (‘‘BOX’’) facility. The text of
the proposed rule change is available
from the principal office of the
Exchange, at the Commission’s Public
Reference Room and also on the
Exchange’s internet website at https://
boxoptions.com.
59 See
60 15
Amendment No. 6, supra note 12.
U.S.C. 78s(b)(2).
VerDate Sep<11>2014
04:41 Jul 03, 2020
Jkt 250001
PO 00000
61 Id.
62 17
CFR 200.30–3(a)(12).
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).
Frm 00159
Fmt 4703
Sfmt 4703
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 these statements may be examined at
the places specified in Item IV below.
The self-regulatory organization has
prepared summaries, set forth in
Sections A, B, and C below, of the most
significant aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend the
Fee Schedule on BOX facility to make
non-substantive, clerical changes in
order to conform the Fee Schedule with
the Exchange’s adoption of the new
Penny Interval Program.5 Specifically,
the Exchange proposes to delete
references to the Penny Pilot Program 6
and Non-Penny Pilot Program and
replace those references with Penny
Interval Program or Non-Penny Interval
Program throughout the Fee Schedule.
2. Statutory Basis
The Exchange believes that the
proposal is consistent with the
requirements of Section 6(b) of the Act,7
in general, and Section 6(b)(5) of the
Act,8 in particular, in that 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 that the
proposed rule change would remove
impediments to and perfect the
mechanism of a free and open market
and a national market system and, in
general, protect investors and the public
interest because the proposed
conforming non-substantive changes
would add clarity, transparency and
consistency to the Exchange’s Fee
5 See Securities Exchange Act Release No. 88959
(May 27, 2020), 85 FR 33769 (June 2, 2020) (SR–
BOX–2020–17).
6 See BOX Rule 7260.
7 15 U.S.C. 78f(b).
8 15 U.S.C. 78f(b)(5).
E:\FR\FM\06JYN1.SGM
06JYN1
Federal Register / Vol. 85, No. 129 / Monday, July 6, 2020 / Notices
Schedule. The Exchange believes that
market participants would benefit from
the increased clarity, and thereby
reduce any potential for investor
confusion. The Exchange notes, it is not
proposing to modify any amount of fees
assessed or change the application of
any fees; the Exchange is simply making
non-substantive, clerical updates to the
wording of its Fee Schedule.
Effective date
The Exchange’s Penny Interval
Program 9 will not become operative
until July 1, 2020, therefore, the
Exchange proposes to implement the
changes pursuant to this filing on same
day—July 1, 2020.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed change is not designed to
address any competitive issue but rather
to make non-substantive changes to the
BOX Fee Schedule, thereby reducing
confusion and making the Exchange’s
Fee Schedule easier to understand. The
Exchange believes that the proposed
rule change will serve to promote clarity
and consistency, thereby reducing
burdens on the marketplace and
facilitating investor protection. As such,
the Exchange does not believe that the
proposed rule change will impose any
burden on competition not necessary or
appropriate in furtherance of the
purposes of the Act.
khammond on DSKJM1Z7X2PROD with NOTICES
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 after the date of
the filing, or such shorter time as the
Commission may designate, it has
become effective pursuant to 19(b)(3)(A)
of the Act 10 and Rule 19b–4(f)(6) 11
9 See
supra note 5.
U.S.C. 78s(b)(3)(A).
11 17 CFR 240.19b–4(f)(6). In addition, Rule 19b4(f)(6) requires a self-regulatory organization to give
the Commission written notice of its intent to file
10 15
VerDate Sep<11>2014
04:41 Jul 03, 2020
Jkt 250001
thereunder. The Exchange believes that
the proposal is non-controversial, does
not pose an undue burden on
competition, and does not raise any
novel issues because the proposed
changes are designed to conform the
language in BOX’s Fee Schedule to the
recently adopted (and soon to be
operative) Penny Interval Program.
According to the Exchange, the proposal
would allow the Exchange to maintain
uniform language between its Rulebook
and Fee Schedule, which the Exchange
believes would benefit market
participants because it would provide
consistency and clarity in these
documents. Further, the proposal does
not make any substantive changes to the
amount or application of any fee.
The Exchange has proposed to
implement the Penny Interval Program
on July 1, 2020 and has asked the
Commission to waive the 30-day
operative delay for this filing, so that the
proposed changes will become operative
on the same date that the Penny Interval
Program becomes operative.12 The
Commission believes that waiving the
30-day operative delay is consistent
with the protection of investors and the
public interest because it will allow the
Exchange to modify the BOX Fee
Schedule to align the terminology used
therein to reflect the terminology of the
Penny Interval Program, which will be
operative on July 1, 2020. Accordingly,
the Commission designates the
proposed rule change as operative on
July 1, 2020 to correspond with the
operative date of the Penny Interval
Program.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
should be approved or disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
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.
12 See supra note 5.
13 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).
PO 00000
Frm 00160
Fmt 4703
Sfmt 9990
40343
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 SRBOX–2020–25 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–BOX–2020–25. 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–BOX–2020–25 and should
be submitted on or before July 28, 2020.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–14493 Filed 7–2–20; 8:45 am]
BILLING CODE 8011–01–P
14 17
E:\FR\FM\06JYN1.SGM
CFR 200.30–3(a)(12).
06JYN1
]]>Agencies
[Federal Register Volume 85, Number 129 (Monday, July 6, 2020)]
[Notices]
[Pages 40342-40343]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-14493]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-89196; File No. SR-BOX-2020-25]
Self-Regulatory Organizations; BOX Exchange LLC; Notice of Filing
and Immediate Effectiveness of a Proposed Rule Change to Amend the Fee
Schedule on the BOX Options Market LLC Facility
June 30, 2020.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on June 22, 2020, BOX Exchange LLC (``Exchange'') filed with the
Securities and Exchange Commission (``Commission'') the proposed rule
change as described in Items I and II below, which Items have been
prepared by the Exchange. The 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 the Fee Schedule on the BOX Options
Market LLC (``BOX'') facility. The text of the proposed rule change is
available from the principal office of the Exchange, at the
Commission's Public Reference Room and also on the Exchange's internet
website at https://boxoptions.com.
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 these statements may be examined at
the places specified in Item IV below. The self-regulatory organization
has prepared summaries, set forth in Sections A, B, and C below, of the
most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the Fee Schedule on BOX facility to
make non-substantive, clerical changes in order to conform the Fee
Schedule with the Exchange's adoption of the new Penny Interval
Program.\5\ Specifically, the Exchange proposes to delete references to
the Penny Pilot Program \6\ and Non-Penny Pilot Program and replace
those references with Penny Interval Program or Non-Penny Interval
Program throughout the Fee Schedule.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 88959 (May 27,
2020), 85 FR 33769 (June 2, 2020) (SR-BOX-2020-17).
\6\ See BOX Rule 7260.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposal is consistent with the
requirements of Section 6(b) of the Act,\7\ in general, and Section
6(b)(5) of the Act,\8\ in particular, in that 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.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange believes that the proposed rule change would remove
impediments to and perfect the mechanism of a free and open market and
a national market system and, in general, protect investors and the
public interest because the proposed conforming non-substantive changes
would add clarity, transparency and consistency to the Exchange's Fee
[[Page 40343]]
Schedule. The Exchange believes that market participants would benefit
from the increased clarity, and thereby reduce any potential for
investor confusion. The Exchange notes, it is not proposing to modify
any amount of fees assessed or change the application of any fees; the
Exchange is simply making non-substantive, clerical updates to the
wording of its Fee Schedule.
Effective date
The Exchange's Penny Interval Program \9\ will not become operative
until July 1, 2020, therefore, the Exchange proposes to implement the
changes pursuant to this filing on same day--July 1, 2020.
---------------------------------------------------------------------------
\9\ See supra note 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 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 to make non-
substantive changes to the BOX Fee Schedule, thereby reducing confusion
and making the Exchange's Fee Schedule easier to understand. The
Exchange believes that the proposed rule change will serve to promote
clarity and consistency, thereby reducing burdens on the marketplace
and facilitating investor protection. As such, the Exchange does not
believe that the proposed rule change will impose any burden on
competition not necessary or appropriate in furtherance of the purposes
of the Act.
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 after the date of the filing, or such
shorter time as the Commission may designate, it has become effective
pursuant to 19(b)(3)(A) of the Act \10\ and Rule 19b-4(f)(6) \11\
thereunder. The Exchange believes that the proposal is non-
controversial, does not pose an undue burden on competition, and does
not raise any novel issues because the proposed changes are designed to
conform the language in BOX's Fee Schedule to the recently adopted (and
soon to be operative) Penny Interval Program. According to the
Exchange, the proposal would allow the Exchange to maintain uniform
language between its Rulebook and Fee Schedule, which the Exchange
believes would benefit market participants because it would provide
consistency and clarity in these documents. Further, the proposal does
not make any substantive changes to the amount or application of any
fee.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)
requires a self-regulatory organization to give the Commission
written notice of its intent to file 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.
---------------------------------------------------------------------------
The Exchange has proposed to implement the Penny Interval Program
on July 1, 2020 and has asked the Commission to waive the 30-day
operative delay for this filing, so that the proposed changes will
become operative on the same date that the Penny Interval Program
becomes operative.\12\ The Commission believes that waiving the 30-day
operative delay is consistent with the protection of investors and the
public interest because it will allow the Exchange to modify the BOX
Fee Schedule to align the terminology used therein to reflect the
terminology of the Penny Interval Program, which will be operative on
July 1, 2020. Accordingly, the Commission designates the proposed rule
change as operative on July 1, 2020 to correspond with the operative
date of the Penny Interval Program.\13\
---------------------------------------------------------------------------
\12\ See supra note 5.
\13\ 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).
---------------------------------------------------------------------------
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 should be approved or disapproved.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic comments:
Use the Commission's internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an email to [email protected]. Please include
File Number SR- BOX-2020-25 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-BOX-2020-25. 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-BOX-2020-25 and should be submitted on
or before July 28, 2020.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
---------------------------------------------------------------------------
\14\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-14493 Filed 7-2-20; 8:45 am]
BILLING CODE 8011-01-P
