Sunshine Act Meetings, 41452-41453 [2023-13607]
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Federal Register / Vol. 88, No. 121 / Monday, June 26, 2023 / Notices
fees for the Exchange Data Feeds are not
unfairly discriminatory.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
In accordance with Section 6(b)(8) of
the Act,58 the Exchange does not believe
that the proposed rule change would
impose any burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
Intra-Market Competition
The Exchange does not believe that
the proposed fees place certain market
participants at a relative disadvantage to
other market participants because, as
noted above, the proposed fees are
associated with usage of the data feed by
each market participant based on
whether the market participant
internally or externally distributes the
Exchange data, which are still
ultimately in the control of any
particular Member, and such fees do not
impose a barrier to entry to smaller
participants. Accordingly, the proposed
fees do not favor certain categories of
market participants in a manner that
would impose a burden on competition;
rather, the allocation of the proposed
fees reflects the types of data consumed
by various market participants and their
usage thereof.
ddrumheller on DSK120RN23PROD with NOTICES1
Inter-Market Competition
The Exchange does not believe the
proposed fees place an undue burden on
competition on other SROs that is not
necessary or appropriate. In particular,
market participants are not forced to
subscribe to either data feed, as
described above. Additionally, other
exchanges have similar market data fees
with comparable rates in place for their
participants.59 The proposed fees are
based on actual costs and are designed
to enable the Exchange to recoup its
applicable costs with the possibility of
a reasonable profit on its investment as
described in the Purpose and Statutory
Basis sections. Competing exchanges are
free to adopt comparable fee structures
subject to the Commission’s rule filing
process. Allowing the Exchange, or any
new market entrant, to waive fees (as
the Exchange did for cToM) for a period
of time to allow it to become established
encourages market entry and thereby
ultimately promotes competition.
U.S.C. 78f(b)(8).
supra notes 22, 24, and 27, and
accompanying text.
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,60 and Rule
19b–4(f)(2) 61 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:
J. Matthew DeLesDernier,
Deputy Secretary.
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–
EMERALD–2023–13 on the subject line.
Sunshine Act Meetings
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–EMERALD–2023–13. 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
58 15
59 See
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19:33 Jun 23, 2023
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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
a.m. and 3 p.m. Copies of the filing also
will be available for inspection and
copying at the principal office of the
Exchange. Do not include personal
identifiable information in submissions;
you should submit only information
that you wish to make available
publicly. We may redact in part or
withhold entirely from publication
submitted material that is obscene or
subject to copyright protection. All
submissions should refer to file number
SR–EMERALD–2023–13 and should be
submitted on or before July 17, 2023.
For the Commission, by the Division
of Trading and Markets, pursuant to
delegated authority.62
60 15
61 17
PO 00000
U.S.C. 78s(b)(3)(A)(ii).
CFR 240.19b–4(f)(2).
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[FR Doc. 2023–13453 Filed 6–23–23; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
2:00 p.m. on Thursday,
June 29, 2023.
PLACE: The meeting will be held via
remote means and/or at the
Commission’s headquarters, 100 F
Street NE, Washington, DC 20549.
STATUS: This meeting will be closed to
the public.
MATTERS TO BE CONSIDERED:
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the closed meeting. Certain
staff members who have an interest in
the matters also may be present.
In the event that the time, date, or
location of this meeting changes, an
announcement of the change, along with
the new time, date, and/or place of the
meeting will be posted on the
Commission’s website at https://
www.sec.gov.
The General Counsel of the
Commission, or his designee, has
certified that, in his opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B)
and (10) and 17 CFR 200.402(a)(3),
TIME AND DATE:
62 17
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Federal Register / Vol. 88, No. 121 / Monday, June 26, 2023 / Notices
(a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and
(a)(10), permit consideration of the
scheduled matters at the closed meeting.
The subject matter of the closed
meeting will consist of the following
topics:
Institution and settlement of
injunctive actions;
Institution and settlement of
administrative proceedings;
Resolution of litigation claims; and
Other matters relating to examinations
and enforcement proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting agenda items that
may consist of adjudicatory,
examination, litigation, or regulatory
matters.
CONTACT PERSON FOR MORE INFORMATION:
For further information, please contact
Vanessa A. Countryman from the Office
of the Secretary at (202) 551–5400.
Authority: 5 U.S.C. 552b.
Dated: June 22, 2023.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2023–13607 Filed 6–22–23; 4:15 pm]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–97770; File No. SR–
CboeEDGX–2023–030]
Self-Regulatory Organizations; Cboe
EDGX Exchange, Inc.; Notice of
Withdrawal of a Proposed Rule Change
To Amend Its Fee Schedule
ddrumheller on DSK120RN23PROD with NOTICES1
June 20, 2023.
On April 17, 2023, Cboe EDGX
Exchange, Inc. (‘‘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 amend its fee schedule. The
proposed rule change was published for
comment in the Federal Register on
May 3, 2023.3 The Commission did not
receive any comment letters. On June 1,
2023, the Exchange withdrew the
proposed rule change (CboeEDGX–
2023–030).
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 97393
(April 27, 2023), 88 FR 27940.
4 17 CFR 200.30–3(a)(12).
2 17
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For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.4
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2023–13456 Filed 6–23–23; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–97763; File No. SR–OCC–
2023–004]
Self-Regulatory Organizations; The
Options Clearing Corporation; Order
Granting Approval of Proposed Rule
Change by The Options Clearing
Corporation To Amend and Enhance
the Options Clearing Corporation’s
Model Risk Management Policy
June 20, 2023.
I. Introduction
On April 27, 2023, the Options
Clearing Corporation (‘‘OCC’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change SR–OCC–2023–
004 pursuant to Section 19(b) of the
Securities Exchange Act of 1934
(‘‘Exchange Act’’) 1 and Rule 19b–4 2
thereunder. The proposed rule change
would amend OCC’s Model Risk
Management Policy (the ‘‘MRM Policy’’
or ‘‘Policy’’) to, in part, broaden the
scope of OCC’s processes for managing
model risk. The proposed rule change
was published for public comment in
the Federal Register on May 17, 2023.3
The Commission has received no
comments regarding the proposed rule
change.
II. Background 4
OCC is a central counterparty
(‘‘CCP’’), which means it interposes
itself as the buyer to every seller and
seller to every buyer for financial
transactions. As the CCP for the listed
options markets in the U.S., as well as
for certain futures, OCC is exposed to
certain risks arising from its
relationships with its members. To
manage such risks, OCC uses
quantitative methods to make estimates,
forecasts, and projections in the context
of its credit risk models, margin system
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Securities Exchange Act Release No. 97484 (May
11, 2023), 88 FR 31549 (May 17, 2023) (File No. SR–
OCC–2023–004) (‘‘Notice of Filing’’).
4 Capitalized terms used but not defined herein
have the meanings specified in OCC’s Rules and ByLaws, available at https://www.theocc.com/about/
publications/bylaws.jsp.
2 17
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41453
and related models, and liquidity risk
models (each a ‘‘Risk Model’’).5
OCC’s use of models inherently
exposes OCC to model risk, such as the
risk of losses arising out of decisions
based on incorrect or misused model
outputs. For example, a model that is
not managed properly could potentially
cause OCC to under-collect the
collateral used to cover credit risk posed
by a Clearing Member. OCC’s MRM
Policy outlines OCC’s framework for
managing model risk and defines the
roles and responsibilities throughout the
risk model and methodology lifecycle.
Currently, the Policy applies to the
Risk Models that OCC uses to
determine, quantify, or measure actual
or potential risk exposures or risk
mitigating actions.6 The Policy also
describes and outlines the roles and
responsibilities of various groups at
OCC with regard to model risk
management.7 Further, changes to the
Policy are subject to annual review and
approval by the Risk Committee of
OCC’s Board of Directors.8 As described
in more detail below, OCC proposes to
expand the application of the Policy to
contemplate methodologies comprising
Risk Models and their related inputs
and outputs, rather than only individual
Risk Models. To accommodate the
expansion of the Policy’s scope beyond
individual Risk Models, OCC proposes
to revise the roles and responsibilities
described in the MRM Policy. To further
broaden the Policy, OCC proposes
adding a new section regarding the use
of tools with quantitative or
mathematical techniques not focused on
credit risk models, margin system and
related models, and liquidity risk
models (such tools and techniques
referred to as ‘‘Risk Applications’’).9
A. Expanding From Risk Models to Risk
Methodologies
As noted above, OCC proposes to
expand the scope of its MRM Policy to
encompass not only individual Risk
Models, but also the methodologies
such models comprise. Such ‘‘Risk
Methodologies’’ include the related
inputs and outputs of OCC’s Risk
Models, which OCC uses to estimate or
5 See Securities Exchange Act Release No. 82785
(Feb. 27, 2018), 83 FR 9345 (Mar. 5, 2018) (File No.
SR–OCC–2017–011) (approving the formalization of
the MRM Policy).
6 See id.
7 See id.
8 See Notice of Filing, 88 FR at 31552, n. 22.
9 OCC also proposes non-material verbiage
changes, such as updating references to internal
policies and removing duplicative definitions. For
example, OCC would remove standalone definitions
at the end of the Policy where either the term is
defined in the body of the Policy or is not used in
the Policy.
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Agencies
[Federal Register Volume 88, Number 121 (Monday, June 26, 2023)]
[Notices]
[Pages 41452-41453]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-13607]
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SECURITIES AND EXCHANGE COMMISSION
Sunshine Act Meetings
TIME AND DATE: 2:00 p.m. on Thursday, June 29, 2023.
PLACE: The meeting will be held via remote means and/or at the
Commission's headquarters, 100 F Street NE, Washington, DC 20549.
STATUS: This meeting will be closed to the public.
MATTERS TO BE CONSIDERED: Commissioners, Counsel to the Commissioners,
the Secretary to the Commission, and recording secretaries will attend
the closed meeting. Certain staff members who have an interest in the
matters also may be present.
In the event that the time, date, or location of this meeting
changes, an announcement of the change, along with the new time, date,
and/or place of the meeting will be posted on the Commission's website
at https://www.sec.gov.
The General Counsel of the Commission, or his designee, has
certified that, in his opinion, one or more of the exemptions set forth
in 5 U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B) and (10) and 17 CFR
200.402(a)(3),
[[Page 41453]]
(a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and (a)(10), permit
consideration of the scheduled matters at the closed meeting.
The subject matter of the closed meeting will consist of the
following topics:
Institution and settlement of injunctive actions;
Institution and settlement of administrative proceedings;
Resolution of litigation claims; and
Other matters relating to examinations and enforcement proceedings.
At times, changes in Commission priorities require alterations in
the scheduling of meeting agenda items that may consist of
adjudicatory, examination, litigation, or regulatory matters.
CONTACT PERSON FOR MORE INFORMATION: For further information, please
contact Vanessa A. Countryman from the Office of the Secretary at (202)
551-5400.
Authority: 5 U.S.C. 552b.
Dated: June 22, 2023.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2023-13607 Filed 6-22-23; 4:15 pm]
BILLING CODE 8011-01-P