In the Matter of the Cboe BZX Exchange, Inc. For an Order of Approval of Proposed Rule Change To List and Trade Shares of the 2x Long VIX Futures ETF (File No. SR-CboeBZX-2020-053); Order Scheduling Filing of Statements on Review, 19292-19293 [2021-07526]

Download as PDF jbell on DSKJLSW7X2PROD with NOTICES 19292 Federal Register / Vol. 86, No. 69 / Tuesday, April 13, 2021 / Notices increase competition and is intended to draw volume to the Exchange. The Exchange believes that the ever-shifting market share among the exchanges from month to month demonstrates that market participants can shift order flow or discontinue to decrease use of certain categories of products, in response to new or different pricing structures being introduced into the market. Accordingly, competitive forces constrain the Exchange’s transaction fees and rebates, and market participants can readily trade on competing venues if they deem pricing levels at those other venues to be more favorable. As a new exchange, the Exchange faces intense competition from existing exchanges and other nonexchange venues that provide markets for equities trading. The proposed decreased fees for securities in all Tapes are intended to attract liquidity to the Exchange, much like the way other exchanges offer multiple incentives to their participants, including tiered pricing that provides higher rebates or discounted executions. These other exchanges will be able to modify such incentives to compete with the Exchange. Further, while pricing incentives do cause shifts of liquidity between trading centers, market participants make determinations on where to provide liquidity or route orders to take liquidity based on factors other than pricing, including technology, functionality, and other considerations. Consequently, the Exchange believes that the degree to which its proposed changes could impose any burden on competition is extremely limited, and does not believe that such decreased fee for securities in all Tapes would burden competition between Equity Members or competing venues in a manner that is not necessary or appropriate in furtherance of the purposes of the Act. The Exchange does not believe that the proposed decreased fee for securities in all Tapes will impose any burden on intramarket competition that is not necessary or appropriate in furtherance of the purposes of the Act because the proposed changes will apply equally to all Equity Members. The proposed decreased fee is intended to encourage market participants to send liquidity removing orders to attempt to execute against the orders that add liquidity to the MIAX Pearl Equities Book. The proposed rates are equally applicable to all market participants and, therefore, the Exchange does not believe they will impose any inappropriate burden on intramarket competition. VerDate Sep<11>2014 17:42 Apr 12, 2021 Jkt 253001 C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others Written comments were neither solicited nor received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act,21 and Rule 19b–4(f)(2) 22 thereunder. 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 rule-comments@ sec.gov. Please include File Number SR– PEARL–2021–15 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–PEARL–2021–15. 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 21 15 22 17 PO 00000 U.S.C. 78s(b)(3)(A)(ii). CFR 240.19b–4(f)(2). Frm 00082 Fmt 4703 Sfmt 4703 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–PEARL–2021–15, and should be submitted on or before May 4, 2021. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.23 J. Matthew DeLesDernier, Assistant Secretary. [FR Doc. 2021–07496 Filed 4–12–21; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 91501/April 7, 2021] In the Matter of the Cboe BZX Exchange, Inc. For an Order of Approval of Proposed Rule Change To List and Trade Shares of the 2x Long VIX Futures ETF (File No. SR– CboeBZX–2020–053); Order Scheduling Filing of Statements on Review On June 23, 2020, Cboe BZX Exchange, Inc. (‘‘BZX’’) 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 of the 2x Long VIX Futures ETF under BZX Rule 14.11(f)(4). On June 26, 2020, the Exchange filed Amendment No. 1 to the proposed rule change. The proposed rule change, as modified by Amendment No. 1, was published for comment in the Federal Register on July 10, 2020.3 On August 13, 2020, the Division of Trading and 23 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. 89234 (July 6, 2020), 85 FR 41644. 1 15 E:\FR\FM\13APN1.SGM 13APN1 Federal Register / Vol. 86, No. 69 / Tuesday, April 13, 2021 / Notices jbell on DSKJLSW7X2PROD with NOTICES Markets (‘‘Division’’), pursuant to delegated authority, extended the time period for Commission action on the proposed rule change.4 On October 7, 2020, the Division, pursuant to delegated authority, instituted proceedings pursuant to Section 19(b)(2)(B) of the Act 5 to determine whether to approve or disapprove the proposed rule change, as modified by Amendment No. 1.6 On December 15, 2020, the Division, pursuant to delegated authority, designated a longer period for Commission action on the proposed rule change.7 On February 1, 2021, the Exchange filed Amendment No. 2 to the proposed rule change, which replaced and superseded the proposed rule change as modified by Amendment No. 1. On February 16, 2021, the Exchange submitted Amendment No. 3 to the proposed rule change and, on February 19, 2021, the Exchange withdrew Amendment No. 3. On February 19, 2021, the Exchange filed partial Amendment No. 4 to the proposed rule change. The Commission received one comment letter on the proposed rule change.8 On March 5, 2021, the Division, pursuant to delegated authority,9 noticed the filing of Amendments No. 2 and No. 4 and approved the proposed rule change, as modified by Amendments No. 2 and No. 4, on an accelerated basis.10 On March 5, 2021, the Assistant Secretary of the Commission notified BZX that, pursuant to Commission Rule of Practice 431,11 the Commission would review the Division’s action pursuant to delegated authority and that the Division’s action pursuant to delegated authority was stayed until the Commission orders otherwise.12 Accordingly, it is ordered, pursuant to Commission Rule of Practice 431, that by May 7, 2021, any party or other person may file a statement in support 4 See Securities Exchange Act Release No. 89545, 85 FR 51124 (August 19, 2020). 5 15 U.S.C. 78s(b)(2)(B). 6 See Securities Exchange Act Release No. 90118, 85 FR 64563 (October 13, 2020). 7 See Securities Exchange Act Release No. 90671, 85 FR 83136 (December 21, 2020). 8 The comment letter, as well as all of the amendments to the proposed rule change (except for the one that was withdrawn) are available at: https://www.sec.gov/comments/sr-cboebzx-2020053/srcboebzx2020053.htm. 9 17 CFR 200.30–3(a)(12). 10 See Securities Exchange Act Release No. 91265 (March 5, 2021), 86 FR 13922 (March 11, 2021). 11 17 CFR 201.431. 12 See letter from J. Matthew DeLesDernier, Assistant Secretary, Commission, to Kyle Murray, Vice President and Associate General Counsel, Cboe Global Markets, dated March 5, 2021, available at https://www.sec.gov/rules/sro/cboebzx/2018/3491265-letter-from-assistant-secretary.pdf. VerDate Sep<11>2014 17:42 Apr 12, 2021 Jkt 253001 of, or in opposition to, the action made pursuant to delegated authority. It is further ordered that the order approving proposed rule change SR– CboeBZX–2020–053 shall remain stayed pending further order of the Commission. By the Commission. Jill M. Peterson, Assistant Secretary. [FR Doc. 2021–07526 Filed 4–12–21; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–91498; File No. SR–MIAX– 2021–06] Self-Regulatory Organizations: Notice of Filing and Immediate Effectiveness of a Proposed Rule Change by Miami International Securities Exchange LLC To Amend Its Fee Schedule April 7, 2021. Pursuant to the provisions of 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 March 26, 2021, Miami International Securities Exchange LLC (‘‘MIAX’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘Commission’’) a proposed rule change as described in Items I, II, and III below, which Items have been prepared by the Exchange. 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 is filing a proposal to amend the MIAX Options Fee Schedule (the ‘‘Fee Schedule’’) to extend the waiver period for certain nontransaction fees applicable to Market Makers 3 that trade solely in Proprietary Products 4 until December 31, 2021. The text of the proposed rule change is available on the Exchange’s website at https://www.miaxoptions.com/rulefilings, at MIAX’s principal office, and at the Commission’s Public Reference Room. 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 The term ‘‘Market Makers’’ refers to ‘‘Lead Market Makers’’, ‘‘Primary Lead Market Makers’’ and ‘‘Registered Market Makers’’ collectively. See Exchange Rule 100. 4 The term ‘‘Proprietary Product’’ means a class of options that is listed exclusively on the Exchange. See Exchange Rule 100. 2 17 PO 00000 Frm 00083 Fmt 4703 Sfmt 4703 19293 II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the Exchange included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend the Fee Schedule to extend the waiver period for certain non-transaction fees applicable to Market Makers that trade solely in Proprietary Products until December 31, 2021. On October 12, 2018, the Exchange received approval from the Commission to list and trade on the Exchange, options on the SPIKES® Index, a new index that measures expected 30-day volatility of the SPDR S&P 500 ETF Trust (commonly known and referred to by its ticker symbol, ‘‘SPY’’).5 The Exchange adopted its initial SPIKES transaction fees on February 15, 2019 and adopted a new section of the Fee Schedule—Section 1)a)xi), SPIKES—for those fees.6 Options on the SPIKES Index began trading on the Exchange on February 19, 2019. On May 31, 2019, the Exchange filed a proposal with the Commission to amend the Fee Schedule to waive certain non-transaction fees applicable to Market Makers that trade solely in Proprietary Products (including options 5 See Securities Exchange Act Release No. 84417 (October 12, 2018), 83 FR 52865 (October 18, 2018) (SR–MIAX–2018–14) (Order Granting Approval of a Proposed Rule Change by Miami International Securities Exchange, LLC to List and Trade on the Exchange Options on the SPIKES® Index). 6 See Securities Exchange Release No. 85283 (March 11, 2019), 84 FR 9567 (March 15, 2019) (SR– MIAX–2019–11). The Exchange initially filed the proposal on February 15, 2019 (SR–MIAX–2019– 04). That filing was withdrawn and replaced with SR–MIAX–2019–11. On September 30, 2020, the Exchange filed its proposal to, among other things, reorganize the Fee Schedule to adopt new Section 1)b), Proprietary Products Exchange Fees, and moved the fees and rebates for SPIKES options into new Section 1)b)i). See Securities Exchange Act Release No. 90146 (October 9, 2020), 85 FR 65443 (October 15, 2020) (SR–MIAX–2020–32); Securities Exchange Act Release No. 90814 (December 29, 2020), 86 FR 327 (January 5, 2021) (SR–MIAX– 2020–39). E:\FR\FM\13APN1.SGM 13APN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 86, Number 69 (Tuesday, April 13, 2021)]
[Notices]
[Pages 19292-19293]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-07526]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 91501/April 7, 2021]


In the Matter of the Cboe BZX Exchange, Inc. For an Order of 
Approval of Proposed Rule Change To List and Trade Shares of the 2x 
Long VIX Futures ETF (File No. SR-CboeBZX-2020-053); Order Scheduling 
Filing of Statements on Review

    On June 23, 2020, Cboe BZX Exchange, Inc. (``BZX'') 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 of the 2x Long VIX Futures ETF under BZX Rule 14.11(f)(4). On 
June 26, 2020, the Exchange filed Amendment No. 1 to the proposed rule 
change. The proposed rule change, as modified by Amendment No. 1, was 
published for comment in the Federal Register on July 10, 2020.\3\ On 
August 13, 2020, the Division of Trading and

[[Page 19293]]

Markets (``Division''), pursuant to delegated authority, extended the 
time period for Commission action on the proposed rule change.\4\ On 
October 7, 2020, the Division, pursuant to delegated authority, 
instituted proceedings pursuant to Section 19(b)(2)(B) of the Act \5\ 
to determine whether to approve or disapprove the proposed rule change, 
as modified by Amendment No. 1.\6\ On December 15, 2020, the Division, 
pursuant to delegated authority, designated a longer period for 
Commission action on the proposed rule change.\7\ On February 1, 2021, 
the Exchange filed Amendment No. 2 to the proposed rule change, which 
replaced and superseded the proposed rule change as modified by 
Amendment No. 1. On February 16, 2021, the Exchange submitted Amendment 
No. 3 to the proposed rule change and, on February 19, 2021, the 
Exchange withdrew Amendment No. 3. On February 19, 2021, the Exchange 
filed partial Amendment No. 4 to the proposed rule change. The 
Commission received one comment letter on the proposed rule change.\8\
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 89234 (July 6, 
2020), 85 FR 41644.
    \4\ See Securities Exchange Act Release No. 89545, 85 FR 51124 
(August 19, 2020).
    \5\ 15 U.S.C. 78s(b)(2)(B).
    \6\ See Securities Exchange Act Release No. 90118, 85 FR 64563 
(October 13, 2020).
    \7\ See Securities Exchange Act Release No. 90671, 85 FR 83136 
(December 21, 2020).
    \8\ The comment letter, as well as all of the amendments to the 
proposed rule change (except for the one that was withdrawn) are 
available at: https://www.sec.gov/comments/sr-cboebzx-2020-053/srcboebzx2020053.htm.
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    On March 5, 2021, the Division, pursuant to delegated authority,\9\ 
noticed the filing of Amendments No. 2 and No. 4 and approved the 
proposed rule change, as modified by Amendments No. 2 and No. 4, on an 
accelerated basis.\10\ On March 5, 2021, the Assistant Secretary of the 
Commission notified BZX that, pursuant to Commission Rule of Practice 
431,\11\ the Commission would review the Division's action pursuant to 
delegated authority and that the Division's action pursuant to 
delegated authority was stayed until the Commission orders 
otherwise.\12\
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    \9\ 17 CFR 200.30-3(a)(12).
    \10\ See Securities Exchange Act Release No. 91265 (March 5, 
2021), 86 FR 13922 (March 11, 2021).
    \11\ 17 CFR 201.431.
    \12\ See letter from J. Matthew DeLesDernier, Assistant 
Secretary, Commission, to Kyle Murray, Vice President and Associate 
General Counsel, Cboe Global Markets, dated March 5, 2021, available 
at https://www.sec.gov/rules/sro/cboebzx/2018/34-91265-letter-from-assistant-secretary.pdf.
---------------------------------------------------------------------------

    Accordingly, it is ordered, pursuant to Commission Rule of Practice 
431, that by May 7, 2021, any party or other person may file a 
statement in support of, or in opposition to, the action made pursuant 
to delegated authority.
    It is further ordered that the order approving proposed rule change 
SR-CboeBZX-2020-053 shall remain stayed pending further order of the 
Commission.

    By the Commission.
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2021-07526 Filed 4-12-21; 8:45 am]
BILLING CODE 8011-01-P

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