Self-Regulatory Organizations; BOX Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Make a Number of Non-Substantive Changes to the Rulebook, 47819-47821 [2020-17130]
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Federal Register / Vol. 85, No. 152 / Thursday, August 6, 2020 / Notices
of the Act 12 and Rule 19b–4(f)(6)(iii)
thereunder.13
A proposed rule change filed under
Rule 19b–4(f)(6) 14 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),15 the
Commission may designate a shorter
time if such action is consistent with the
protection of investors and the public
interest. The Exchange has asked the
Commission to waive the 30-day
operative delay so that the proposal may
become operative by July 31, 2020. The
Commission believes that waiver of the
30-day operative delay is consistent
with the protection of investors and the
public interest because it implements an
amendment to the CAT NMS Plan
approved by the Commission.16
Accordingly, the Commission hereby
waives the 30-day operative delay and
designates the proposal operative as of
July 31, 2020.17
At any time within 60 days of the
filing of this 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 will institute proceedings
to determine whether the proposed rule
change should be approved or
disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
12 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6)(iii) requires the Exchange to give the
Commission written notice of the Exchange’s intent
to file the proposed rule change, along with a brief
description and text of the proposed rule change,
at least five business days prior to the date of filing
of the proposed rule change, or such shorter time
as designated by the Commission. The Exchange
has satisfied this requirement.
14 17 CFR 240.19b–4(f)(6).
15 17 CFR 240.19b–4(f)(6)(iii).
16 See Securities Exchange Act Release No. 89397
(July 24, 2020) (Federal Register publication
pending).
17 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
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• Send an email to rule-comments@
sec.gov. Please include File Number SR–
CBOE–2020–073 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-CBOE–2020–073. 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–CBOE–2020–073, and
should be submitted on or before
August 27, 2020.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.18
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–17135 Filed 8–5–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–89437; File No. SR–BOX–
2020–30]
Self-Regulatory Organizations; BOX
Exchange LLC; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Make a Number of
Non-Substantive Changes to the
Rulebook
July 31, 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 July 22,
2020, BOX Exchange LLC (the
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the self-regulatory organization. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
The Exchange proposes to make a
number of non-substantive changes to
the rulebook. 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 purpose of the proposed rule
change is to make a number of nonsubstantive changes to the rulebook.
The Exchange believes these changes
1 15
18 17
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CFR 200.30–3(a)(12).
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Sfmt 4703
2 17
E:\FR\FM\06AUN1.SGM
U.S.C. 78s(b)(1).
CFR 240.19b–4.
06AUN1
47820
Federal Register / Vol. 85, No. 152 / Thursday, August 6, 2020 / Notices
are necessary to correct inadvertent
oversights to internal cross-references
and other minor changes of a nonsubstantive nature in order to provide
greater accuracy and clarity to the
rulebook.
First, the Exchange is proposing to
amend the BOX Rule 7110 (Order
Entry). Specifically, the Exchange is
proposing to remove the language ‘‘and
strategies’’ in order to clarify that no
complex orders will be accepted by the
system during the pre-opening period.3
The Exchange discovered the
inadvertent inclusion during
compliance testing of the rulebook and
now seeks to amend the rule language
to match how the BOX trading system
currently functions.
Next, the Exchange proposes to
correct two internal cross references
contained in the Exchange’s rulebook.
Specifically, within BOX Rule
7600(a)(4), the internal cross reference
to the defined term Complex Orders
must be updated from Rule 7240(a)(5) to
Rule 7240(a)(7). Similarly, in Rule IM–
8050–3, the internal cross-reference to
Rule 100(a)(55) must be updated to Rule
100(a)(56).4 The Exchange believes that
these non-substantive changes will
enhance the accuracy of the Exchange’s
rules.
Lastly, the Exchange previously
submitted a rule filing noticed by the
Commission for immediate
effectiveness, where the Exchange
proposed to make a number of nonsubstantive changes to the rulebook,
including replacing the term ‘‘Options
Participant’’ with ‘‘Participant.’’ 5 The
rule proposal specified that certain
Exchange rules were not options
specific and therefore the Exchange
deemed it appropriate to replace
‘‘Options Participant’’ with
‘‘Participant’’ to provide more general
coverage. The proposed change was
intended to clarify that the Exchange
rules applied to Participants of the
Exchange regardless of whether they
participated in the trading of options. In
doing so, the Exchange inadvertently
overlooked additional references within
the following paragraphs, which should
have also been updated. The Exchange
now proposes to amend these rules as
it relates to the usage of the term
‘‘Options Participant’’ as follows:
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3 See
BOX Rule 7070(a).
Rule 100(a)(56) defines ‘‘quote’’ or
‘‘quotation’’ as a bid or offer entered by a Market
Maker as a firm order that updates the Market
Maker’s previous bid or offer, if any.
5 See Securities Exchange Act Release No. 83895
(August 21, 2018), 83 FR 43711 (August 27, 2018)
(Notice of Filing and Immediate Effectiveness of
SR–BOX–2018–27).
4 BOX
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• The Exchange proposes to replace
‘‘Options Participant’’ with
‘‘Participant’’ in Rule 10050(c)
(Regulatory Cooperation), which details
right of the Exchange to collect
testimony and additional
documentation in connection with
investigations or disciplinary
proceedings.
• The Exchange also proposes to
replace ‘‘Options Participant’’ with
‘‘Participant’’ in Rule 12030(a)(1)
(Letters of Consent) which outlines
when the Exchange may dispose of a
matter concerning violative conduct,
pursuant to a letter of consent, in place
of normal disciplinary procedures.
• Lastly, the Exchange also proposes
to replace ‘‘Options Participant’’ with
‘‘Participant’’ in Rule 14000(b) which
covers jurisdictional scope of disputes
as it relates to Exchange arbitration.6
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 by
ensuring that market participants can
easily navigate, understand and comply
with the Exchange’s rulebook. The
Exchange believes that the proposed
rule change enables the Exchange to
continue to enforce the Exchange’s
rules. The Exchange believes that none
of the proposed changes discussed
herein alter the application of any rules,
or how the trading system currently
functions. As such, the proposed
amendments would foster cooperation
and coordination with persons engaged
in facilitating transactions in securities
and would remove impediments to and
perfect the mechanism of a free and
open market and a national exchange
system. Further, the Exchange believes
6 The Exchange notes that in paragraph 14000(b)
the Exchange is also proposing to delete duplicative
text ‘‘except that’’, and correct a spelling error by
changing ‘‘statue’’ to ‘‘statute’’ in the rule text.
7 15 U.S.C. 78f(b).
8 15 U.S.C. 78f(b)(5).
PO 00000
Frm 00092
Fmt 4703
Sfmt 4703
that, by ensuring the rulebook
accurately reflects the intention of the
Exchange’s rules, the proposed rule
change reduces potential investor or
market participant confusion.
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. In this regard
and as indicated above, the Exchange
notes that the proposed changes will not
alter the substance or application of any
of the Exchange’s rules. Therefore, the
proposed changes will have no impact
on competition as they are not designed
to address any competitive issues but
rather are designed to make clarifying,
non-substantive changes.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange has 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 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
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.
9 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). As required under Rule
19b–4(f)(6)(iii), the Exchange provided the
Commission with written notice of its intent to file
the proposed rule change, along with a brief
description and the 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.
10 17
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Federal Register / Vol. 85, No. 152 / Thursday, August 6, 2020 / Notices
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–
BOX–2020–30 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–BOX–2020–30. 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 such
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–2020–30, and should
be submitted on or before August 27,
2020.
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17:13 Aug 05, 2020
Jkt 250001
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–17130 Filed 8–5–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–89438; File No. SR–
NYSEArca–2020–51]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Order Granting Approval of
a Proposed Rule Change, as Modified
by Amendment No. 2, To List and
Trade Shares of Natixis Vaughan
Nelson Select ETF and Natixis
Vaughan Nelson MidCap ETF Under
NYSE Arca Rule 8.601–E
July 31, 2020.
I. Introduction
On June 12, 2020, NYSE Arca, Inc.
(‘‘NYSE Arca’’ or ‘‘Exchange’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’), pursuant
to Section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to list and trade shares
(‘‘Shares’’) of the following under NYSE
Arca Rule 8.601–E (Active Proxy
Portfolio Shares): Natixis Vaughan
Nelson Select ETF and Natixis Vaughan
Nelson MidCap ETF (each a ‘‘Fund’’
and, collectively, the ‘‘Funds’’). On June
17, 2020, the Exchange filed
Amendment No. 1 to the proposed rule
change, which superseded and replaced
the proposed rule change in its entirety.
On June 19, 2020, the Exchange filed
Amendment No. 2 to the proposed rule
change, which superseded and replaced
the proposed rule change, as modified
by Amendment No. 1, in its entirety.
The proposed rule change, as modified
by Amendment No. 2, was published for
comment in the Federal Register on
June 29, 2020.3 The Commission has
received no comments on the proposed
rule change. This order approves the
proposed rule change, as modified by
Amendment No. 2.
11 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 89127
(June 23, 2020), 85 FR 39000 (‘‘Notice’’).
1 15
PO 00000
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47821
II. Description of the Proposed Rule
Change, as Modified by Amendment
No. 2 4
The Exchange is proposing to list and
trade Shares of the Funds under NYSE
Arca Rule 8.601–E (Active Proxy
Portfolio Shares).5 Each Fund will be a
series of Natixis ETF Trust II (‘‘Trust’’),
which will be registered with the
Commission as an open-end
management investment company.6
Natixis Advisors, L.P. (‘‘Adviser’’) will
be the investment adviser to the Funds
and Vaughan Nelson Investment
Management, L.P. will be the subadviser
(‘‘Sub-Adviser’’) for the Funds. ALPS
Distributors, Inc. will act as the
distributor and principal underwriter
(‘‘Distributor’’) for the Funds.
The Exchange represents that the
Adviser is not registered as a brokerdealer but is affiliated with a brokerdealer and has implemented and will
maintain a ‘‘fire wall’’ with respect to
4 Additional information regarding the Shares and
the Funds can be found in the Notice, supra note
3, and the Registration Statement, infra note 6.
5 The term ‘‘Active Proxy Portfolio Share’’ means
a security that (a) is issued by an investment
company registered under the Investment Company
Act of 1940 (‘‘Investment Company’’) organized as
an open-end management investment company that
invests in a portfolio of securities selected by the
Investment Company’s investment adviser
consistent with the Investment Company’s
investment objectives and policies; (b) is issued in
a specified minimum number of shares, or
multiples thereof, in return for a deposit by the
purchaser of the Proxy Portfolio and/or cash with
a value equal to the next determined net asset value
(‘‘NAV’’); (c) when aggregated in the same specified
number of Active Proxy Portfolio Shares, or
multiples thereof, may be redeemed at a holder’s
request in return for the Proxy Portfolio and/or cash
to the holder by the issuer with a value equal to
the next determined NAV; and (d) the portfolio
holdings for which are disclosed within at least 60
days following the end of every fiscal quarter. See
NYSE Arca Rule 8.601–E(c)(1). See also note 7 infra
regarding the definition of ‘‘Proxy Portfolio.’’ The
Commission recently approved the Exchange’s
proposed rule change to adopt NYSE Arca Rule
8.601–E to permit the listing and trading of Active
Proxy Portfolio Shares. See Securities Exchange Act
Release No. 89185 (June 29, 2020), 85 FR 40328
(July 6, 2020) (SR–NYSEArca–2019–095) (‘‘Active
Proxy Portfolio Shares Order’’).
6 The Exchange states that the Trust is registered
under the Investment Company Act of 1940 (‘‘1940
Act’’). On April 24, 2020, the Trust filed a
registration statement on Form N–1A under the
Securities Act of 1933 (‘‘1933 Act’’) (15 U.S.C. 77a),
and under the 1940 Act relating to the Funds (File
Nos. 333–235466 and 811–23500) (‘‘Registration
Statement’’). The Trust and NYSE Group, Inc. filed
a Seventh Amended and Restated Application for
an Order under Section 6(c) of the 1940 Act for
exemptions from various provisions of the 1940 Act
and rules thereunder (File No. 812–14870), dated
October 21, 2019 (‘‘Application’’). On November 14,
2019, the Commission issued a notice regarding the
Application. Investment Company Release No.
33684 (File No. 812–14870). On December 10, 2019,
the Commission issued an order (‘‘Exemptive
Order’’) under the 1940 Act granting the
exemptions requested in the Application
(Investment Company Act Release No. 33711
(December 10, 2019)).
E:\FR\FM\06AUN1.SGM
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]]>Agencies
[Federal Register Volume 85, Number 152 (Thursday, August 6, 2020)]
[Notices]
[Pages 47819-47821]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-17130]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-89437; File No. SR-BOX-2020-30]
Self-Regulatory Organizations; BOX Exchange LLC; Notice of Filing
and Immediate Effectiveness of a Proposed Rule Change To Make a Number
of Non-Substantive Changes to the Rulebook
July 31, 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 July 22, 2020, BOX Exchange LLC (the ``Exchange'') filed with the
Securities and Exchange Commission (``Commission'') the proposed rule
change as described in Items I and II below, which Items have been
prepared by the self-regulatory organization. The Commission is
publishing this notice to solicit comments on the proposed rule change
from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
The Exchange proposes to make a number of non-substantive changes
to the rulebook. 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 purpose of the proposed rule change is to make a number of non-
substantive changes to the rulebook. The Exchange believes these
changes
[[Page 47820]]
are necessary to correct inadvertent oversights to internal cross-
references and other minor changes of a non-substantive nature in order
to provide greater accuracy and clarity to the rulebook.
First, the Exchange is proposing to amend the BOX Rule 7110 (Order
Entry). Specifically, the Exchange is proposing to remove the language
``and strategies'' in order to clarify that no complex orders will be
accepted by the system during the pre-opening period.\3\ The Exchange
discovered the inadvertent inclusion during compliance testing of the
rulebook and now seeks to amend the rule language to match how the BOX
trading system currently functions.
---------------------------------------------------------------------------
\3\ See BOX Rule 7070(a).
---------------------------------------------------------------------------
Next, the Exchange proposes to correct two internal cross
references contained in the Exchange's rulebook. Specifically, within
BOX Rule 7600(a)(4), the internal cross reference to the defined term
Complex Orders must be updated from Rule 7240(a)(5) to Rule 7240(a)(7).
Similarly, in Rule IM-8050-3, the internal cross-reference to Rule
100(a)(55) must be updated to Rule 100(a)(56).\4\ The Exchange believes
that these non-substantive changes will enhance the accuracy of the
Exchange's rules.
---------------------------------------------------------------------------
\4\ BOX Rule 100(a)(56) defines ``quote'' or ``quotation'' as a
bid or offer entered by a Market Maker as a firm order that updates
the Market Maker's previous bid or offer, if any.
---------------------------------------------------------------------------
Lastly, the Exchange previously submitted a rule filing noticed by
the Commission for immediate effectiveness, where the Exchange proposed
to make a number of non-substantive changes to the rulebook, including
replacing the term ``Options Participant'' with ``Participant.'' \5\
The rule proposal specified that certain Exchange rules were not
options specific and therefore the Exchange deemed it appropriate to
replace ``Options Participant'' with ``Participant'' to provide more
general coverage. The proposed change was intended to clarify that the
Exchange rules applied to Participants of the Exchange regardless of
whether they participated in the trading of options. In doing so, the
Exchange inadvertently overlooked additional references within the
following paragraphs, which should have also been updated. The Exchange
now proposes to amend these rules as it relates to the usage of the
term ``Options Participant'' as follows:
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 83895 (August 21,
2018), 83 FR 43711 (August 27, 2018) (Notice of Filing and Immediate
Effectiveness of SR-BOX-2018-27).
---------------------------------------------------------------------------
The Exchange proposes to replace ``Options Participant''
with ``Participant'' in Rule 10050(c) (Regulatory Cooperation), which
details right of the Exchange to collect testimony and additional
documentation in connection with investigations or disciplinary
proceedings.
The Exchange also proposes to replace ``Options
Participant'' with ``Participant'' in Rule 12030(a)(1) (Letters of
Consent) which outlines when the Exchange may dispose of a matter
concerning violative conduct, pursuant to a letter of consent, in place
of normal disciplinary procedures.
Lastly, the Exchange also proposes to replace ``Options
Participant'' with ``Participant'' in Rule 14000(b) which covers
jurisdictional scope of disputes as it relates to Exchange
arbitration.\6\
---------------------------------------------------------------------------
\6\ The Exchange notes that in paragraph 14000(b) the Exchange
is also proposing to delete duplicative text ``except that'', and
correct a spelling error by changing ``statue'' to ``statute'' in
the rule text.
---------------------------------------------------------------------------
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).
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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 by ensuring that market participants can
easily navigate, understand and comply with the Exchange's rulebook.
The Exchange believes that the proposed rule change enables the
Exchange to continue to enforce the Exchange's rules. The Exchange
believes that none of the proposed changes discussed herein alter the
application of any rules, or how the trading system currently
functions. As such, the proposed amendments would foster cooperation
and coordination with persons engaged in facilitating transactions in
securities and would remove impediments to and perfect the mechanism of
a free and open market and a national exchange system. Further, the
Exchange believes that, by ensuring the rulebook accurately reflects
the intention of the Exchange's rules, the proposed rule change reduces
potential investor or market participant confusion.
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. In this regard and as indicated
above, the Exchange notes that the proposed changes will not alter the
substance or application of any of the Exchange's rules. Therefore, the
proposed changes will have no impact on competition as they are not
designed to address any competitive issues but rather are designed to
make clarifying, non-substantive changes.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange has 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 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). As required under Rule 19b-
4(f)(6)(iii), the Exchange provided the Commission with written
notice of its intent to file the proposed rule change, along with a
brief description and the 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.
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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.
[[Page 47821]]
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-2020-30 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-2020-30. 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 such 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-2020-30, and should be submitted on
or before August 27, 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. 2020-17130 Filed 8-5-20; 8:45 am]
BILLING CODE 8011-01-P
