Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Exchange's Rules To Permit the Listing and Trading of Options Based on 1/100 of the Value of the Nasdaq-100 Index® (“Nasdaq-100”), 78950-78955 [2024-22026]
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78950
Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Notices
thereunder,2 a proposed rule change to
amend Section 102.06 of the NYSE
Listed Company Manual to provide that
a special purpose acquisition company
can remain listed until forty-two months
from its original listing date if it has
entered into a definitive agreement with
respect to a business combination
within three years of listing. The
proposed rule change was published for
comment in the Federal Register on
April 10, 2024.3
On May 22, 2024, pursuant to Section
19(b)(2) of the Exchange Act,4 the
Commission designated a longer period
within which to approve the proposed
rule change, disapprove the proposed
rule change, or institute proceedings to
determine whether to disapprove the
proposed rule change.5 On July 9, 2024,
the Commission instituted proceedings
under Section 19(b)(2)(B) of the
Exchange Act 6 to determine whether to
approve or disapprove the proposed
rule change.7
On September 10, 2024, the Exchange
withdrew the proposed rule change
(SR–NYSE–2024–18).
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.8
Vanessa A. Countryman,
Secretary.
[FR Doc. 2024–22022 Filed 9–25–24; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–101125; File No. 4–757]
Joint Industry Plan; Notice of
Designation of a Longer Period for
Commission Action on a Proposed
National Market System Plan
Regarding Consolidated Equity Market
Data
September 20, 2024.
1 15
On October 23, 2023, Cboe BYX
Exchange, Inc., Cboe BZX Exchange,
Inc., Cboe EDGA Exchange, Inc., Cboe
EDGX Exchange, Inc., Cboe Exchange,
Inc., Investors Exchange LLC, Long
Term Stock Exchange, Inc., MEMX LLC,
2 17
CFR 240.19b–4.
Securities Exchange Act Release No. 99906
(Apr. 4, 2024), 89 FR 25291 (‘‘Notice’’).
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No. 100220
(May 22, 2024), 89 FR 46527 (May 29, 2024).
6 15 U.S.C. 78s(b)(2)(B).
7 See Securities Exchange Act Release No. 100480
(July 9, 2024), 89 FR 57436 (July 15, 2024) (‘‘OIP’’).
Comments received in response to the OIP can be
found on the Commission’s website at: https://
www.sec.gov/comments/sr-nyse-2024-18/
srnyse202418.htm.
8 17 CFR 200.30–3(a)(12).
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3 See
VerDate Sep<11>2014
17:11 Sep 25, 2024
MIAX PEARL, LLC, Nasdaq BX, Inc.,
Nasdaq ISE, LLC, Nasdaq PHLX LLC,
Nasdaq Stock Market LLC, New York
Stock Exchange LLC, NYSE American
LLC, NYSE Arca, Inc., NYSE Chicago,
Inc., NYSE National, Inc., and the
Financial Industry Regulatory
Authority, Inc. filed with the Securities
and Exchange Commission
(‘‘Commission’’), pursuant to section
11A of the Securities Exchange Act of
1934 1 and Rule 608 of Regulation
National Market System (‘‘Regulation
NMS’’) thereunder,2 a proposed new
single national market system plan
governing the public dissemination of
real-time consolidated equity market
data for national market system stocks
(the ‘‘CT Plan’’). The proposed CT Plan
was published for comment in the
Federal Register on January 25, 2024.3
On April 23, 2024, the Commission
instituted proceedings pursuant to Rule
608(b)(2)(i) of Regulation NMS,4 to
determine whether to approve or
disapprove the proposed CT Plan or to
approve the proposed CT Plan with any
changes or subject to any conditions the
Commission deems necessary or
appropriate.5 On July 11, 2024, pursuant
to Rule 608(b)(2)(i) of Regulation NMS,6
the Commission extended the period
within which to conclude proceedings
regarding the proposed CT Plan to 240
days from the date of publication of the
Notice.7
Rule 608(b)(2)(ii) of Regulation NMS
provides that the time for conclusion of
proceedings to determine whether a
national market system plan or
proposed amendment should be
disapproved may be extended for an
additional period up to 60 days (up to
300 days from the date of notice
publication) if the Commission
determines that a longer period is
appropriate and publishes the reasons
for such determination or the plan
Jkt 262001
U.S.C. 78k–1.
CFR 242.608.
3 See Joint Industry Plan; Notice of Filing of a
National Market System Plan Regarding
Consolidated Equity Market Data, Securities
Exchange Act Release No. 99403 (Jan. 19, 2024), 89
FR 5002 (Jan. 25, 2024) (‘‘Notice’’).
4 17 CFR 242.608(b)(2)(i).
5 See Joint Industry Plan; Order Instituting
Proceedings to Determine Whether to Approve or
Disapprove a National Market System Plan
Regarding Consolidated Equity Market Data,
Securities Exchange Act Release No. 100017 (Apr.
23, 2024), 89 FR 33412 (Apr. 29, 2024) (‘‘OIP’’).
Comments received in response to the OIP can be
found on the Commission’s website at: https://
www.sec.gov/comments/4-757/4-757.htm.
6 17 CFR 242.608(b)(2)(i).
7 See Joint Industry Plan; Notice of Designation of
a Longer Period for Commission Action on a
Proposed National Market System Plan Regarding
Consolidated Equity Market Data, Securities
Exchange Act Release No. 100500 (Jul. 11, 2024), 89
FR 58235 (Jul. 17, 2024).
2 17
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Frm 00110
Fmt 4703
Sfmt 4703
participants consent to the longer
period.8 The 240th day after publication
of the Notice for the proposed CT Plan
is September 21, 2024. The Commission
is extending this 240-day period.
The Commission finds that it is
appropriate to designate a longer period
within which to conclude proceedings
regarding the proposed CT Plan so that
it has sufficient time to consider
important issues raised by the proposed
CT Plan and the comments received.9
Accordingly, pursuant to Rule
608(b)(2)(ii) of Regulation NMS,10 the
Commission designates November 20,
2024, as the date by which the
Commission shall conclude the
proceedings to determine whether to
approve or disapprove the proposed CT
Plan or to approve the proposed CT Plan
with any changes or subject to any
conditions the Commission deems
necessary or appropriate (File No. 4–
757).
By the Commission.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2024–22001 Filed 9–25–24; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–101120; File No. SR–
CBOE–2024–043]
Self-Regulatory Organizations; Cboe
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend the
Exchange’s Rules To Permit the
Listing and Trading of Options Based
on 1/100 of the Value of the Nasdaq100 Index® (‘‘Nasdaq-100’’)
September 20, 2024.
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
September 18, 2024, Cboe Exchange,
Inc. (the ‘‘Exchange’’ or ‘‘Cboe
Options’’) 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
8 17
CFR 242.608(b)(2)(ii).
received in response to the Notice
can be found on the Commission’s website at:
https://www.sec.gov/comments/4-757/4-757.htm.
10 17 CFR 242.608(b)(2)(ii).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
9 Comments
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Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Notices
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
Cboe Exchange, Inc. (the ‘‘Exchange’’
or ‘‘Cboe Options’’) proposes to amend
the Exchange’s rules to permit the
listing and trading of options based on
1/100 of the value of the Nasdaq-100
Index® (‘‘Nasdaq-100’’). The text of the
proposed rule change is provided in
Exhibit 5.
The text of the proposed rule change
is also available on the Exchange’s
website (https://www.cboe.com/
AboutCBOE/CBOELegal
RegulatoryHome.aspx), at the
Exchange’s Office of the Secretary, and
at the Commission’s Public Reference
Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
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.
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A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of this proposed rule
change is to amend certain rules to
permit the Exchange to list and trade
index options on Nasdaq 100 Micro
Index Options (‘‘XND’’). The XND
options contract is the same in all
respects as the current Nasdaq-100
Index options (‘‘NDX’’) 5 contract listed
on the Exchange, except that it is based
on 1/100 of the value of the Nasdaq-100
Index, and will be P.M.-Settled with an
exercise settlement value based on the
closing index value of the Nasdaq-100
Index on the day of expiration.6 The
3 15
U.S.C. 78s(b)(3)(A)(iii).
CFR 240.19b–4(f)(6).
5 See Rule 4.13(a)(3).
6 In addition to the current Nasdaq-100 Index
value, Nasdaq disseminates an index value for XND
that is 1/100 of the value of the Nasdaq-100 Index.
4 17
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17:11 Sep 25, 2024
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Exchange believes that the proposed
contract will be valuable for retail and
other investors that wish to trade micro
options on the Nasdaq-100 Index.
Today, Nasdaq Phlx LLC (‘‘Phlx’’) 7 and
Nasdaq ISE, LLC (‘‘ISE’’) 8 have approval
to list and trade XND options. The
proposed rules to list and trade XND
options on the Exchange are
substantially similar to those of Phlx
and ISE.
Nasdaq-100 Index
The Nasdaq-100 Index is a modified
market capitalization-weighted index
that includes 100 of the largest nonfinancial companies listed on The
Nasdaq Stock Market LLC (‘‘Nasdaq’’),
based on market capitalization.9 It does
not contain securities of financial
companies, including investment
companies. Security types generally
eligible for the Nasdaq-100 Index
include common stocks, ordinary
shares, American Depository Receipts,
and tracking stocks. Security or
company types not included in the
Nasdaq-100 Index are closed-end funds,
convertible debentures, exchange traded
funds, limited liability companies,
limited partnership interests, preferred
stocks, rights, shares or units of
beneficial interest, warrants, units and
other derivative securities.10
XND Options Contract
Currently, the Exchange is permitted
to list NDX options that are based on the
full value of the Nasdaq-100 Index. The
Exchange now proposes to amend its
Rules to permit the listing of a new
micro option contract based on this
index. XND options will trade
independently of and in addition to
NDX options, and the XND options will
be subject to the same rules that
presently govern the trading of index
options based on the Nasdaq-100 Index,
including sales practice rules, margin
requirements, trading rules, and
position and exercise limits. Similar to
NDX, XND options will be Europeanstyle and cash-settled, and will have a
contract multiplier of 100. The contract
specifications for XND options will
7 See Securities Exchange Act Release No. 98451
(September 20, 2023), 88 FR 66088 (September 26,
2023) (SR–Phlx–2023–07) (Order Granting
Approval of a Proposed Rule Change, as Modified
by Amendment No. 1, To Make Permanent Certain
P.M.-Settled Pilots).
8 See Securities Exchange Act Release No. 98886
(November 8, 2023), 88 FR 78417 (November 15,
2023) (SR–ISE–2023–24) (Notice of Filing and
Immediate Effectiveness of Proposed Rule Change
To Permit the Listing and Trading of XND Options).
9 The Nasdaq-100 Index is a broad-based index.
See Rule 4.10.
10 A description of the Nasdaq-100 Index is
available on Nasdaq’s website at https://indexes.
nasdaqomx.com/docs/methodology_NDX.pdf.
PO 00000
Frm 00111
Fmt 4703
Sfmt 4703
78951
mirror in all respects those of the NDX
options contract already permitted to be
listed on the Exchange, except that the
Exchange proposes that XND options
will be based on 1/100 of the value of
the Nasdaq-100 Index, and will be P.M.settled pursuant to proposed Rule 4.13,
Interpretation and Policy .14. The
Exchange also proposes to amend Rule
4.13(a)(4) to permit options on the
Nasdaq 100 Micro Index to trade a.m.settled.
Pursuant to Rule 4.13(e), the
Exchange would be permitted to open
for trading Weekly Expirations on XND,
as a broad-based index and part of the
Nonstandard Expirations Program, to
expire on any Monday, Tuesday,
Wednesday, Thursday or Friday (other
than the third Friday-of-the-month or
days that coincide with an EOM
expiration). ISE’s rules similarly permit
XND to expire on any Monday,
Tuesday, Wednesday, Thursday or
Friday.11 Weekly Expirations in XND
would be subject to all provisions of
Rule 4.13 and treated the same as
options on the same underlying index
that expire on the third Friday of the
expiration month; provided, however,
that Weekly Expirations shall be P.M.settled and new series in Weekly
Expirations may be added up to and
including on the expiration date for an
expiring Weekly Expiration. The
maximum number of expirations that
may be listed for each Weekly
Expiration (i.e., a Monday expiration,
Tuesday expiration, Wednesday
expiration, Thursday expiration, or
Friday expiration, as applicable) in a
given class is the same as the maximum
number of expirations permitted in Rule
4.13(a)(2) for standard options on the
same broad-based index.
Further, the Exchange may open for
trading EOMs on any broad-based index
eligible for standard options trading to
expire on the last trading day of the
month. EOMs shall be subject to all
provisions of Rule 4.13 and treated the
same as options on the same underlying
index that expire on the third Friday of
the expiration month; provided,
however, that EOMs shall be P.M.settled and new series in EOMs may be
added up to and including on the
expiration date for an expiring EOM.12
Today, XND options on Phlx 13 and
ISE 14 are part of the Nonstandard
Program.
11 See ISE Rules, Options 4A, Section 12,
Supplementary Material .07.
12 XND is a broad-based index.
13 See Phlx Options 4A, Section 12(b)(5).
14 See ISE Rules, Options 4A, Section 12,
Supplementary Material .07.
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78952
Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Notices
The Exchange does not believe that
the introduction of a new P.M.-settled
Nasdaq-100 Index contract will cause
any market disruptions, as noted herein,
because the proposed rule change is
substantially similar in all material
respects to a proposal submitted by
Phlx 15 that was previously approved by
the Commission, as well as a proposal
submitted by ISE 16 that was subject to
Commission review. The Exchange will
monitor for any disruptions caused by
P.M.-settlement of the proposed XND
options contract or the development of
any factors that could cause such
disruptions. P.M.-settled options
predominate in the over-the-counter
(‘‘OTC’’) market, and the Exchange is
not aware of any adverse effects in the
OTC market attributable to the P.M.settlement feature. The Exchange is
merely proposing to offer a P.M.-settled
product in an exchange environment,
which offers the additional benefits of
added transparency, price discovery,
and stability.
Additionally, the Exchange proposes
to amend Rule 4.12(c) to add the Nasdaq
100 Mirco [sic] Index to the table
regarding reporting authorities for
indexes. The Exchange notes the Nasdaq
100 Index currently has the same
reporting authority, i.e., Nasdaq, Inc.
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Trading Hours, Minimum Increments,
Expirations and Strike Prices
XND options will be available for
trading during the Exchange’s standard
trading hours for index options, i.e.,
from 9:30 a.m. to 4:15 p.m. (Eastern
time),17 except that that on the last
trading day, transactions in expiring
p.m.-settled broad-based index options
may be effected on the Exchange
between the hours of 9:30 a.m. (Eastern
time) and 4 p.m. (Eastern time).18 The
trading hours for XND options will be
the same as the trading hours for
options on Nasdaq-100 Index.
XND options will be permitted to
trade with a minimum trading
increment of $0.01 for all options
series 19 similar to Phlx 20 and ISE.21
15 See Securities Exchange Act Release No. 98451
(September 20, 2023), 88 FR 66088 (September 26,
2023) (SR–Phlx–2023–07) (Order Granting
Approval of a Proposed Rule Change, as Modified
by Amendment No. 1, To Make Permanent Certain
P.M.-Settled Pilots).
16 See Securities Exchange Act Release No. 98886
(November 8, 2023), 88 FR 78417 (November 15,
2023) (SR–ISE–2023–24) (Notice of Filing and
Immediate Effectiveness of Proposed Rule Change
To Permit the Listing and Trading of XND Options).
17 See Rule 5.1(b)(2).
18 See Rule 4.13(e)(3).
19 This is the case as long as QQQ options
(‘‘QQQ’’) participate in the Penny Interval Program.
20 See Phlx Supplementary Material .03 to
Options 3, Section 3.
21 See ISE Rules, Options 3, Section 3.
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17:11 Sep 25, 2024
Jkt 262001
The Exchange proposes to amend Rule
5.4(a) to state that for so long as Invesco
QQQ Trust Series 1 (‘‘QQQ’’) options
participate in the Penny Interval
Program, the minimum increments for
XND options shall be the same as QQQ
for all options series (including LEAPS),
which shall be $0.01 for options for all
other series.
The Exchange proposes that XND
options will have monthly expiration
dates on the third Friday of each month
(i.e., Expiration Friday), and the
Exchange proposes to list XND options
in expiration months consistent with
those of other index option products
available on the Exchange.22 In
addition, the Exchange may list longterm index options series (‘‘LEAPS’’)
that expire from twelve (12) to onehundred eighty (180) months from the
date of issuance.23 There may be up to
ten (10) expiration months, none further
out than one-hundred eighty (180)
months. Continuity Rules shall not
apply to such options series until the
time to expiration is less than 270
days.24 Further, the Exchange proposes
to add ‘‘Nasdaq 100 Micro Index’’ to the
list of stock indices for which reducedvalue LEAPS are approved for trading
on the Exchange, set forth in Rule
4.13(b)(2)(A). Pursuant to Rule
4.13(b)(2)(B), reduced-value LEAPS may
expire at six-month intervals. When a
new expiration month is listed, series
may be near or bracketing the current
index value. Additional series may be
added when the value of the underlying
index increases or decreases by 10 to
15%. XND options would also be
eligible to be added to the Short Term
Option Series Program (‘‘Weeklies’’)
and/or Quarterly Options Series
Program (‘‘Quarterlies’’) if designated by
the Rules 4.13(a)(2)(A) and (a)(2)(B),
respectively.
Further, as noted herein, the
Exchange proposes to permit XND
options to be listed and traded in
accordance with the Nonstandard
Expirations Program, which permits
broad-based indexes to list standard
options trading to expire on any
Monday, Tuesday, Wednesday,
Thursday, or Friday (other than the
third Friday-of-the-month or days that
coincide with an EOM expiration).
Weekly Expirations would be subject to
all provisions of Rule 4.13 and would be
treated the same as options on the same
underlying index that expire on the
third Friday of the expiration month.
New series in Weekly Expirations could
be added up to and including on the
22 See
Rule 4.13(a)(2).
Rule 4.13(b).
24 See Rule 5.52(d)(2).
23 See
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Frm 00112
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expiration date for an expiring Weekly
Expiration. The maximum number of
expirations that could be listed for each
Weekly Expiration (i.e., a Monday
expiration, Tuesday expiration,
Wednesday expiration, Thursday
expiration, or Friday expiration, as
applicable) in a given class would be the
same as the maximum number of
expirations permitted for standard
options on the same broad-based
index.25 Further, the Exchange could
open for trading EOMs on any broadbased index eligible for standard
options trading to expire on last trading
day of the month. EOMs would be
subject to all provisions of Rule 4.13
and treated the same as options on the
same underlying index that expire on
the third Friday of the expiration
month. However, the EOMs would be
P.M.-settled and new series in EOMs
could be added up to and including on
the expiration date for an expiring
EOM.26 Today, XND options on Phlx 27
and ISE 28 are part of the Nonstandard
Program of each of those exchanges.
Generally, pursuant to Rule 4.13,
Interpretation and Policy .01, except as
provided in Rule 4.13, Interpretation
25 Weekly Expirations need not be for consecutive
Monday, Tuesday, Wednesday, Thursday, or Friday
expirations as applicable; however, the expiration
date of a non-consecutive expiration may not be
beyond what would be considered the last
expiration date if the maximum number of
expirations were listed consecutively. Weekly
Expirations that are first listed in a given class may
expire up to four weeks from the actual listing date.
If the Exchange lists EOMs and Weekly Expirations
as applicable in a given class, the Exchange will list
an EOM instead of a Weekly Expiration that expires
on the same day in the given class. Other
expirations in the same class are not counted as part
of the maximum number of Weekly Expirations for
an applicable broad-based index class. If the
Exchange is not open for business on a respective
Monday, the normally Monday expiring Weekly
Expirations will expire on the following business
day. If the Exchange is not open for business on a
respective Tuesday, Wednesday, Thursday, or
Friday, the normally Tuesday, Wednesday,
Thursday, or Friday expiring Weekly Expirations
will expire on the previous business day. If two
different Weekly Expirations would expire on the
same day because the Exchange is not open for
business on a certain weekday, the Exchange will
list only one of such Weekly Expirations. See Rule
4.13(e)(1).
26 The maximum number of expirations that may
be listed for EOMs in a given class is the same as
the maximum number of expirations permitted in
Rule 4.13(a)(2) for standard options on the same
broad-based index. EOM expirations need not be for
consecutive end of month expirations; however, the
expiration date of a non-consecutive expiration may
not be beyond what would be considered the last
expiration date if the maximum number of
expirations were listed consecutively. EOMs that
are first listed in a given class may expire up to four
weeks from the actual listing date. Other
expirations in the same class are not counted as part
of the maximum numbers of EOM expirations for
a broad-based index class. See Rule 4.13(e)(2).
27 See Phlx Options 4A, Section 12(b)(5).
28 See ISE Rules, Options 4A, Section 12,
Supplementary Material .07.
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Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Notices
and Policy .01(h), the exercise (strike)
price intervals will be no less than $5,
provided that, in the case of certain
classes of index options noted in Rule
4.13, Interpretation and Policy .01(a),
the Exchange may determine to list
strike prices at no less than $2.50
intervals. The Exchange proposes to
amend Rule 4.13, Interpretation and
Policy .01(a) add XND options to the list
of classes where strike price intervals of
no less than $2.50 are generally
permitted and note, ‘‘if the strike price
is less than $200.’’ 29 Further, the
Exchange proposes to amend Rule 4.13,
Interpretation and Policy .01(h) which
currently provides that the Exchange
may also list series at $1 strike intervals
for Mini-Nasdaq-100 Index (‘‘MNX’’ or
‘‘Mini-NDX’’). Specifically, the
Exchange proposes to amend Rule 4.13,
Interpretation and Policy .01(h) to adopt
the same strike price intervals for XND
options as are listed for XND options on
ISE 30 and currently approved for MNX
options within Rule 4.13, Interpretation
and Policy .01(h). Thus,
notwithstanding 4.13, Interpretation and
Policy .01(a), the interval between strike
prices of series of XND options may be
$1 (or greater), subject to the conditions
described in Rule 4.13, Interpretation
and Policy .01(h). The Exchange will
not list LEAPS on XND options at
intervals less than $2.50. If the
Exchange determines to add XND
options to the Weeklies or Quarterlies
programs such options will be listed
with expirations and strike prices
described in Rule 4.13, Interpretation
and Policy .01(h).
Position and Exercise Limits; Margin
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The Exchange proposes to amend
Rule 8.31(a). As with NDX, in
determining compliance with Rule 8.31
(Position Limits for Broad-Based Index
Options), there will be no position
limits for broad-based index option
contracts in the XND class.31 Since the
Exchange is proposing to list a micro
index contract that is based on 1/100 of
the value of the Nasdaq-100 Index, Rule
8.31(f) would apply. The Exchange
proposes to apply broad-based index
margin requirements for the purchase
and sale of XND options that are the
same as margin requirements currently
in place for NDX options.
29 Reduced-value Nasdaq 100 Index options are
currently included in the list of classes where strike
price intervals of no less than $2.50 are generally
permitted. As part of the proposed changes, the
Exchange also proposes to add the same ‘‘if the
strike price is less than $200’’ language to the
Reduced-value Nasdaq 100 Index, as this language
was inadvertently omitted.
30 See ISE Rules, Options 4A, Section 12(c)(5).
31 See proposed changes to Rule 8.31(a).
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17:11 Sep 25, 2024
Jkt 262001
Further, the Exchange proposes to
amend Rule 8.35(b) to add XND to the
list of broad-based FLEX index options
for which there are no position limits.
In addition, there would be no
exercise limits for XND. As such, the
Exchange proposes to amend Rule
8.42(b) to include XND in the list of
broad-based index options for which
there are no exercise limits and Rule
8.42(g) to include XND in the list broadbased FLEX index options for which
there are no exercise limits. The same
rules for position and exercise limits to
XND options on ISE.32
Surveillance and Capacity
The Exchange represents that it has
sufficient capacity to handle additional
quotations and message traffic
associated with the proposed listing and
trading of XND options. Further, the
Exchange has analyzed its capacity and
represents that it believes the Exchange
and the Options Price Reporting
Authority (‘‘OPRA’’) have the necessary
systems capacity to handle any
additional traffic associated with the
listing of the maximum number
nonstandard expirations permitted
pursuant to Rule 4.13(e).
Index options are integrated into the
Exchange’s existing surveillance system
architecture, as well as the Financial
Industry Regulatory Authority’s
(FINRA’’) (which performs certain
regulatory services for the Exchange
pursuant to a regulatory services
agreement), and are thus subject to the
relevant surveillance processes. The
Exchange represents that it has adequate
surveillance procedures to monitor
trading in XND options thereby aiding
in the maintenance of a fair and orderly
market.
The Exchange notes that it is
amending Rule 4.13 to include the
Nasdaq 100 Micro Index Options within
the Rule to conform to the amendments
proposed herein.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
Securities Exchange Act of 1934 (the
‘‘Act’’) and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.33 Specifically,
the Exchange believes the proposed rule
change is consistent with the Section
6(b)(5) 34 requirements that the rules of
an exchange be designed to prevent
fraudulent and manipulative acts and
32 See ISE Rules, Options 4A, Section 6 (Position
Limits) and Section 10 (Exercise Limits).
33 15 U.S.C. 78f(b).
34 15 U.S.C. 78f(b)(5).
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78953
practices, to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and 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.
Additionally, the Exchange believes the
proposed rule change is consistent with
the Section 6(b)(5) 35 requirement that
the rules of an exchange not be designed
to permit unfair discrimination between
customers, issuers, brokers, or dealers.
The Exchange believes that the
proposed rule change will further the
Exchange’s goal of introducing new and
innovative products to the marketplace.
Specifically, the Exchange believes that
XND options would provide additional
opportunities for market participants to
trade and hedge exposure to the Nasdaq100 Index as it does today on ISE and
Phlx. The proposed XND options
product is identical to XND options on
ISE and Phlx. Additionally, the
proposed XND options product is
similar to NDX options that are
currently permitted to be listed and
traded on the Exchange with two
important differences: (1) XND options
will be based on 1/100 the value of the
Nasdaq-100 Index, and (2) XND options
will be P.M.-settled (in addition to being
A.M.-settled). These differences are
based on the Exchanges experience
listing NDX options and are designed to
attract additional participation from
retail and other investors.
The Exchange believes that the
proposed contract specifications will be
attractive to market participants and
will remove impediments to and perfect
the mechanism of a free and open
market and a national market system.
The nonstandard expirations would
expand the ability of investors to hedge
risks against market movements
stemming from economic releases or
market events that occur during the
month and at the end of the month.
Accordingly, the Exchange believes that
weekly expirations and EOMs should
create greater trading and hedging
opportunities and flexibility, and
provide customers with the ability to
tailor their investment objectives more
closely.
The Exchange believes that a micro
index option would allow additional
participation from investors.
Specifically, the Exchange believes that
basing the contract on a micro value of
the Nasdaq-100 Index will encourage
35 Id.
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additional participation by retail and
other investors due to the reduced
capital outlay needed to trade these
options.
XND options will be subject to the
same rules that presently govern the
trading of index options based on the
Nasdaq-100 Index, including sales
practice rules, margin requirements,
trading rules, and position and exercise
limits. The Exchange therefore believes
that the rules applicable to trading in
XND options are consistent with the
protection of investors and the public
interest. Furthermore, the Exchange
represents that it has sufficient systems
capacity and adequate surveillance
procedures to handle trading in XND
options.
With respect to the Exchange’s
proposal to provide that minimum
increments for bids and offers for XND
options be the same as those for QQQ,
regardless of the value at which the
option series is quoted, may promote
competition and benefit investors. This
proposal aligns the minimum
increments for XND options with those
for QQQ options in order to allow
market participants to quote in
minimum increments of $0.01 is
consistent with the Act because
allowing participants to quote in smaller
increments may provide the opportunity
for reduced spreads, thereby lowering
costs to investors. In addition, because
both XND and QQQ are based on the
Nasdaq-100 Index it would be
reasonable for the minimum increments
of bids and offers to be the same for both
types of options.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. XND options
would be available for trading to all
market participants. The proposed rule
change will facilitate the listing and
trading of a new option product that
will enhance competition among market
participants, to the benefit of investors
and the marketplace. The listing of XND
will enhance competition by providing
investors with an additional investment
vehicle, in a fully-electronic trading
environment, through which investors
can gain and hedge exposure to the
Nasdaq-100 Index. Furthermore, this
product could offer a competitive
alternative to other existing investment
products that seek to allow investors to
gain broad market exposure. Finally,
two other exchanges currently list the
same product for trading in accordance
with substantially similar rules.
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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
The Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A)(iii) of the Act 36 and Rule
19b–4(f)(6) thereunder.37 Because the
proposed rule change does not: (i)
significantly affect the protection of
investors or the public interest; (ii)
impose any significant burden on
competition; and (iii) become operative
prior to 30 days from the date on which
it was filed, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 38 and Rule 19b–4(f)(6)(iii)
thereunder.39
A proposed rule change filed under
Rule 19b–4(f)(6) 40 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),41 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 immediately upon
filing. As discussed above, the Exchange
states that this proposed rule change is
substantially similar to a proposal
submitted by Phlx 42 that was
previously approved by the
Commission, as well as a proposal
submitted by ISE 43 that was subject to
36 15
U.S.C. 78s(b)(3)(A)(iii).
CFR 240.19b–4(f)(6).
38 15 U.S.C. 78s(b)(3)(A).
39 17 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.
40 17 CFR 240.19b–4(f)(6).
41 17 CFR 240.19b–4(f)(6)(iii).
42 See Securities Exchange Act Release No. 98451
(September 20, 2023), 88 FR 66088 (September 26,
2023) (SR–Phlx–2023–07) (Order Granting
Approval of a Proposed Rule Change, as Modified
by Amendment No. 1, To Make Permanent Certain
P.M.-Settled Pilots).
43 See Securities Exchange Act Release No. 98886
(November 8, 2023), 88 FR 78417 (November 15,
2023) (SR–ISE–2023–24) (Notice of Filing and
37 17
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Commission review. The Exchange also
stated that the two other exchanges
currently list the same product for
trading in accordance with substantially
similar rules. The Exchange believes
that the waiver of the operative delay
will protect investors by allowing the
Exchange to implement the proposal
expeditiously, and it will promote
competition by providing an additional
venue upon which to trade this product.
The Commission believes that waiver of
the operative delay is consistent with
the protection of investors and the
public interest because it will permit the
Exchange to remain competitive with
other exchanges and provide immediate
choice to market participants to readily
direct order flow to competing venues
who offer similar functionality.
Accordingly, the Commission hereby
waives the 30-day operative delay and
designates the proposal operative upon
filing.44
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 shall institute proceedings
under Section 19(b)(2)(B) 45 of the Act to
determine whether the proposed rule
change should be approved or
disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include file number SR–
CBOE–2024–043 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.
Immediate Effectiveness of Proposed Rule Change
To Permit the Listing and Trading of XND Options).
44 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).
45 15 U.S.C. 78s(b)(2)(B).
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Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Notices
All submissions should refer to file
number SR–CBOE–2024–043. 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
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–CBOE–2024–043 and should be
submitted on or before October 17,
2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.46
Vanessa A. Countryman,
Secretary.
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–101118; File No. SR–
MSRB–2024–01]
Self-Regulatory Organizations;
Municipal Securities Rulemaking
Board; Order Granting Approval of a
Proposed Rule Change, as Modified by
Amendment No. 1, To Amend MSRB
Rule G–14 To Shorten the Timeframe
for Reporting Trades in Municipal
Securities to the MSRB
September 20, 2024.
I. Introduction
On January 12, 2024, the Municipal
Securities Rulemaking Board (‘‘MSRB’’)
filed with the Securities and Exchange
Commission (‘‘SEC’’ or ‘‘Commission’’),
pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (‘‘Act’’
or ‘‘Exchange Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
(1) amend MSRB Rule G–14 (‘‘Rule G–
14’’), on reports of sales or purchases, to
(i) shorten the amount of time within
which brokers, dealers, and municipal
securities dealers (collectively,
‘‘dealers,’’ and each individually, a
‘‘dealer’’) must report most transactions
to the MSRB; and (ii) require dealers to
report certain transactions with a new
trade indicator, and make certain
clarifying amendments, and (2) make
conforming amendments to MSRB Rule
G–12, on uniform practice (‘‘Rule G–
12’’), and the MSRB’s Real-Time
Transaction Reporting System (‘‘RTRS’’)
Information Facility (‘‘IF–1’’) to reflect
the shortened reporting timeframe (the
‘‘original proposed rule change’’). The
original proposed rule change was
published for comment in the Federal
Register on January 26, 2024.3 The
Commission received comments in
response to the original proposed rule
change.4 On April 22, 2024, the
[FR Doc. 2024–22026 Filed 9–25–24; 8:45 am]
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Exchange Act Release No. 99402 (Jan. 19,
2024), 89 FR 5384 (Jan. 26, 2024) (‘‘Notice’’).
4 See Letters to Secretary, Commission, from
Michael Noto, FINRA Registered Representative
dated Jan. 31, 2024 (‘‘Noto Letter’’); J. Ben Watkins,
Director, Division of Bond Finance, State of Florida
dated Feb. 13, 2024 (‘‘State of Florida Letter’’);
Matthew Kamler, President, Sanderlin Securities
LLC dated Feb. 14, 2024 (‘‘Sanderlin Securities
Letter’’); J.D. Colwell dated Feb. 15, 2024 (‘‘Colwell
Letter’’); Gerard O’Reilly, Co-Chief Executive
Officer and Co-Chief Investment Officer and David
A. Plecha, Global Head of Fixed Income,
Dimensional Fund Advisors LP dated Feb. 15, 2024
(‘‘Dimensional Fund Advisors Letter’’); Michael
Decker, Senior Vice President, Bond Dealers of
America (‘‘BDA’’) dated Feb. 15, 2024 (‘‘BDA
Letter’’); Sarah A. Bessin, Deputy General Counsel
and Kevin Ercoline, Assistant General Counsel,
Investment Company Institute dated Feb. 15, 2024
(‘‘ICI Letter’’); Kenneth E. Bentsen, Jr., President
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BILLING CODE 8011–01–P
46 17
2 17
CFR 200.30–3(a)(12).
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78955
Commission issued an order instituting
proceedings (‘‘OIP’’) under Section
19(b)(2)(B) of the Act 5 to determine
whether to approve or disapprove the
proposed rule change.6 The Commission
received comments in response to the
OIP.7 On July 18, 2024, the Commission,
pursuant to Section 19(b)(2) of the Act,8
designated September 20, 2024, as the
date by which the Commission shall
either approve or disapprove the
original proposed rule change.9 Also on
July 18, 2024, the MSRB filed a
comment letter 10 and an amendment to
the original proposal in response to
certain comments on the original
proposed rule change (‘‘Amendment No.
1’’; the original proposed rule change, as
modified by Amendment No. 1, the
‘‘proposed rule change’’). On July 25,
2024, the Commission published notice
and CEO, Securities Industry and Financial Markets
Association (‘‘SIFMA’’) dated Feb. 15, 2024
(‘‘SIFMA Letter’’); Howard Meyerson, Managing
Director, Financial Information Forum (‘‘FIF’’)
dated Feb. 15, 2024 (‘‘FIF I Letter’’); Gregory
Babyak, Global Head of Regulatory Affairs,
Bloomberg L.P. dated Feb. 16, 2024 (‘‘Bloomberg
Letter’’); Melissa P. Hoots, CEO/COO, Falcon
Square Capital, LLC (‘‘Falcon Square Capital’’)
dated Feb. 16, 2024 (‘‘Falcon Square Capital
Letter’’); Matt Dalton, Chief Executive Officer, Belle
Haven Investments, LP (‘‘Belle Haven’’) dated Feb.
16, 2024 (‘‘Belle Haven Letter’’); and Christopher A.
Iacovella, President & Chief Executive Officer,
American Securities Association (‘‘ASA’’) dated
Feb. 16, 2024 (‘‘ASA Letter’’). After the close of the
comment period, one commenter submitted a
supplemental letter. See letter to Secretary,
Commission, from Howard Meyerson, FIF dated
Feb. 26, 2024 (‘‘FIF II Letter’’). These comment
letters are available at https://www.sec.gov/
comments/sr-msrb-2024-01/srmsrb202401.htm.
5 15 U.S.C. 78s(b)(2)(B).
6 See Exchange Act Release No. 100003 (Apr. 22,
2024), 89 FR 32486 (Apr. 26, 2024).
7 See Letters to Secretary, Commission, from
David C. Jaderlund dated Apr. 23, 2024 (‘‘Jaderlund
OIP Letter’’); Ronald P. Bernardi, President and
CEO, Bernardi Securities, Inc. dated May 14, 2024
(‘‘Bernardi Securities OIP Letter’’); Frank Fairman,
Managing Director, Piper Sandler & Co. dated May
17, 2024 (‘‘Piper Sandler OIP Letter’’); Christopher
A. Iacovella, ASA dated May 17, 2024 (‘‘ASA OIP
Letter’’); Michael Decker, BDA dated May 17, 2024
(‘‘BDA OIP Letter’’); Mark D. Griffin, Senior Vice
President and Risk Control Manager, FHN Financial
dated May 17, 2024 (‘‘FHN Financial OIP Letter’’);
Howard Meyerson, FIF dated May 17, 2024 (‘‘FIF
OIP Letter’’); Richard G. Wallace, Senior Vice
President and Associate General Counsel, LPL
Financial LLC (‘‘LPL’’) dated May 17, 2024 (‘‘LPL
OIP Letter’’); Lisa Gayle Melnyk dated May 17, 2024
(‘‘Melnyk OIP Letter’’); Kenneth E. Bentsen, Jr.,
SIFMA dated May 17, 2024 (‘‘SIFMA OIP Letter’’).
These comment letters are available at https://
www.sec.gov/comments/sr-msrb-2024-01/
srmsrb202401.htm.
8 15 U.S.C. 78s(b)(2).
9 See Exchange Act Release No. 100557 (July 18,
2024), 89 FR 59951 (July 24, 2024).
10 See Letter to Secretary, Commission, from
Ernesto A. Lanza, Chief Regulatory and Policy
Officer, MSRB, dated July 18, 2024, available at
https://www.sec.gov/comments/sr-msrb-2024-01/
srmsrb202401.htm (‘‘MSRB Letter’’).
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]]>Agencies
[Federal Register Volume 89, Number 187 (Thursday, September 26, 2024)]
[Notices]
[Pages 78950-78955]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-22026]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-101120; File No. SR-CBOE-2024-043]
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend
the Exchange's Rules To Permit the Listing and Trading of Options Based
on 1/100 of the Value of the Nasdaq-100 Index[supreg] (``Nasdaq-100'')
September 20, 2024.
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 September 18, 2024, Cboe Exchange, Inc. (the ``Exchange'' or ``Cboe
Options'') 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
[[Page 78951]]
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
Cboe Exchange, Inc. (the ``Exchange'' or ``Cboe Options'') proposes
to amend the Exchange's rules to permit the listing and trading of
options based on 1/100 of the value of the Nasdaq-100 Index[supreg]
(``Nasdaq-100''). The text of the proposed rule change is provided in
Exhibit 5.
The text of the proposed rule change is also available on the
Exchange's website (https://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the
Secretary, and at the Commission's Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the 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 purpose of this proposed rule change is to amend certain rules
to permit the Exchange to list and trade index options on Nasdaq 100
Micro Index Options (``XND''). The XND options contract is the same in
all respects as the current Nasdaq-100 Index options (``NDX'') \5\
contract listed on the Exchange, except that it is based on 1/100 of
the value of the Nasdaq-100 Index, and will be P.M.-Settled with an
exercise settlement value based on the closing index value of the
Nasdaq-100 Index on the day of expiration.\6\ The Exchange believes
that the proposed contract will be valuable for retail and other
investors that wish to trade micro options on the Nasdaq-100 Index.
Today, Nasdaq Phlx LLC (``Phlx'') \7\ and Nasdaq ISE, LLC (``ISE'') \8\
have approval to list and trade XND options. The proposed rules to list
and trade XND options on the Exchange are substantially similar to
those of Phlx and ISE.
---------------------------------------------------------------------------
\5\ See Rule 4.13(a)(3).
\6\ In addition to the current Nasdaq-100 Index value, Nasdaq
disseminates an index value for XND that is 1/100 of the value of
the Nasdaq-100 Index.
\7\ See Securities Exchange Act Release No. 98451 (September 20,
2023), 88 FR 66088 (September 26, 2023) (SR-Phlx-2023-07) (Order
Granting Approval of a Proposed Rule Change, as Modified by
Amendment No. 1, To Make Permanent Certain P.M.-Settled Pilots).
\8\ See Securities Exchange Act Release No. 98886 (November 8,
2023), 88 FR 78417 (November 15, 2023) (SR-ISE-2023-24) (Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Permit
the Listing and Trading of XND Options).
---------------------------------------------------------------------------
Nasdaq-100 Index
The Nasdaq-100 Index is a modified market capitalization-weighted
index that includes 100 of the largest non-financial companies listed
on The Nasdaq Stock Market LLC (``Nasdaq''), based on market
capitalization.\9\ It does not contain securities of financial
companies, including investment companies. Security types generally
eligible for the Nasdaq-100 Index include common stocks, ordinary
shares, American Depository Receipts, and tracking stocks. Security or
company types not included in the Nasdaq-100 Index are closed-end
funds, convertible debentures, exchange traded funds, limited liability
companies, limited partnership interests, preferred stocks, rights,
shares or units of beneficial interest, warrants, units and other
derivative securities.\10\
---------------------------------------------------------------------------
\9\ The Nasdaq-100 Index is a broad-based index. See Rule 4.10.
\10\ A description of the Nasdaq-100 Index is available on
Nasdaq's website at https://indexes.nasdaqomx.com/docs/methodology_NDX.pdf.
---------------------------------------------------------------------------
XND Options Contract
Currently, the Exchange is permitted to list NDX options that are
based on the full value of the Nasdaq-100 Index. The Exchange now
proposes to amend its Rules to permit the listing of a new micro option
contract based on this index. XND options will trade independently of
and in addition to NDX options, and the XND options will be subject to
the same rules that presently govern the trading of index options based
on the Nasdaq-100 Index, including sales practice rules, margin
requirements, trading rules, and position and exercise limits. Similar
to NDX, XND options will be European-style and cash-settled, and will
have a contract multiplier of 100. The contract specifications for XND
options will mirror in all respects those of the NDX options contract
already permitted to be listed on the Exchange, except that the
Exchange proposes that XND options will be based on 1/100 of the value
of the Nasdaq-100 Index, and will be P.M.-settled pursuant to proposed
Rule 4.13, Interpretation and Policy .14. The Exchange also proposes to
amend Rule 4.13(a)(4) to permit options on the Nasdaq 100 Micro Index
to trade a.m.-settled.
Pursuant to Rule 4.13(e), the Exchange would be permitted to open
for trading Weekly Expirations on XND, as a broad-based index and part
of the Nonstandard Expirations Program, to expire on any Monday,
Tuesday, Wednesday, Thursday or Friday (other than the third Friday-of-
the-month or days that coincide with an EOM expiration). ISE's rules
similarly permit XND to expire on any Monday, Tuesday, Wednesday,
Thursday or Friday.\11\ Weekly Expirations in XND would be subject to
all provisions of Rule 4.13 and treated the same as options on the same
underlying index that expire on the third Friday of the expiration
month; provided, however, that Weekly Expirations shall be P.M.-
settled and new series in Weekly Expirations may be added up to and
including on the expiration date for an expiring Weekly Expiration. The
maximum number of expirations that may be listed for each Weekly
Expiration (i.e., a Monday expiration, Tuesday expiration, Wednesday
expiration, Thursday expiration, or Friday expiration, as applicable)
in a given class is the same as the maximum number of expirations
permitted in Rule 4.13(a)(2) for standard options on the same broad-
based index.
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\11\ See ISE Rules, Options 4A, Section 12, Supplementary
Material .07.
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Further, the Exchange may open for trading EOMs on any broad-based
index eligible for standard options trading to expire on the last
trading day of the month. EOMs shall be subject to all provisions of
Rule 4.13 and treated the same as options on the same underlying index
that expire on the third Friday of the expiration month; provided,
however, that EOMs shall be P.M.-settled and new series in EOMs may be
added up to and including on the expiration date for an expiring
EOM.\12\ Today, XND options on Phlx \13\ and ISE \14\ are part of the
Nonstandard Program.
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\12\ XND is a broad-based index.
\13\ See Phlx Options 4A, Section 12(b)(5).
\14\ See ISE Rules, Options 4A, Section 12, Supplementary
Material .07.
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[[Page 78952]]
The Exchange does not believe that the introduction of a new P.M.-
settled Nasdaq-100 Index contract will cause any market disruptions, as
noted herein, because the proposed rule change is substantially similar
in all material respects to a proposal submitted by Phlx \15\ that was
previously approved by the Commission, as well as a proposal submitted
by ISE \16\ that was subject to Commission review. The Exchange will
monitor for any disruptions caused by P.M.-settlement of the proposed
XND options contract or the development of any factors that could cause
such disruptions. P.M.-settled options predominate in the over-the-
counter (``OTC'') market, and the Exchange is not aware of any adverse
effects in the OTC market attributable to the P.M.-settlement feature.
The Exchange is merely proposing to offer a P.M.-settled product in an
exchange environment, which offers the additional benefits of added
transparency, price discovery, and stability.
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\15\ See Securities Exchange Act Release No. 98451 (September
20, 2023), 88 FR 66088 (September 26, 2023) (SR-Phlx-2023-07) (Order
Granting Approval of a Proposed Rule Change, as Modified by
Amendment No. 1, To Make Permanent Certain P.M.-Settled Pilots).
\16\ See Securities Exchange Act Release No. 98886 (November 8,
2023), 88 FR 78417 (November 15, 2023) (SR-ISE-2023-24) (Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Permit
the Listing and Trading of XND Options).
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Additionally, the Exchange proposes to amend Rule 4.12(c) to add
the Nasdaq 100 Mirco [sic] Index to the table regarding reporting
authorities for indexes. The Exchange notes the Nasdaq 100 Index
currently has the same reporting authority, i.e., Nasdaq, Inc.
Trading Hours, Minimum Increments, Expirations and Strike Prices
XND options will be available for trading during the Exchange's
standard trading hours for index options, i.e., from 9:30 a.m. to 4:15
p.m. (Eastern time),\17\ except that that on the last trading day,
transactions in expiring p.m.-settled broad-based index options may be
effected on the Exchange between the hours of 9:30 a.m. (Eastern time)
and 4 p.m. (Eastern time).\18\ The trading hours for XND options will
be the same as the trading hours for options on Nasdaq-100 Index.
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\17\ See Rule 5.1(b)(2).
\18\ See Rule 4.13(e)(3).
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XND options will be permitted to trade with a minimum trading
increment of $0.01 for all options series \19\ similar to Phlx \20\ and
ISE.\21\ The Exchange proposes to amend Rule 5.4(a) to state that for
so long as Invesco QQQ Trust Series 1 (``QQQ'') options participate in
the Penny Interval Program, the minimum increments for XND options
shall be the same as QQQ for all options series (including LEAPS),
which shall be $0.01 for options for all other series.
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\19\ This is the case as long as QQQ options (``QQQ'')
participate in the Penny Interval Program.
\20\ See Phlx Supplementary Material .03 to Options 3, Section
3.
\21\ See ISE Rules, Options 3, Section 3.
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The Exchange proposes that XND options will have monthly expiration
dates on the third Friday of each month (i.e., Expiration Friday), and
the Exchange proposes to list XND options in expiration months
consistent with those of other index option products available on the
Exchange.\22\ In addition, the Exchange may list long-term index
options series (``LEAPS'') that expire from twelve (12) to one-hundred
eighty (180) months from the date of issuance.\23\ There may be up to
ten (10) expiration months, none further out than one-hundred eighty
(180) months. Continuity Rules shall not apply to such options series
until the time to expiration is less than 270 days.\24\ Further, the
Exchange proposes to add ``Nasdaq 100 Micro Index'' to the list of
stock indices for which reduced-value LEAPS are approved for trading on
the Exchange, set forth in Rule 4.13(b)(2)(A). Pursuant to Rule
4.13(b)(2)(B), reduced-value LEAPS may expire at six-month intervals.
When a new expiration month is listed, series may be near or bracketing
the current index value. Additional series may be added when the value
of the underlying index increases or decreases by 10 to 15%. XND
options would also be eligible to be added to the Short Term Option
Series Program (``Weeklies'') and/or Quarterly Options Series Program
(``Quarterlies'') if designated by the Rules 4.13(a)(2)(A) and
(a)(2)(B), respectively.
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\22\ See Rule 4.13(a)(2).
\23\ See Rule 4.13(b).
\24\ See Rule 5.52(d)(2).
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Further, as noted herein, the Exchange proposes to permit XND
options to be listed and traded in accordance with the Nonstandard
Expirations Program, which permits broad-based indexes to list standard
options trading to expire on any Monday, Tuesday, Wednesday, Thursday,
or Friday (other than the third Friday-of-the-month or days that
coincide with an EOM expiration). Weekly Expirations would be subject
to all provisions of Rule 4.13 and would be treated the same as options
on the same underlying index that expire on the third Friday of the
expiration month. New series in Weekly Expirations could be added up to
and including on the expiration date for an expiring Weekly Expiration.
The maximum number of expirations that could be listed for each Weekly
Expiration (i.e., a Monday expiration, Tuesday expiration, Wednesday
expiration, Thursday expiration, or Friday expiration, as applicable)
in a given class would be the same as the maximum number of expirations
permitted for standard options on the same broad-based index.\25\
Further, the Exchange could open for trading EOMs on any broad-based
index eligible for standard options trading to expire on last trading
day of the month. EOMs would be subject to all provisions of Rule 4.13
and treated the same as options on the same underlying index that
expire on the third Friday of the expiration month. However, the EOMs
would be P.M.-settled and new series in EOMs could be added up to and
including on the expiration date for an expiring EOM.\26\ Today, XND
options on Phlx \27\ and ISE \28\ are part of the Nonstandard Program
of each of those exchanges.
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\25\ Weekly Expirations need not be for consecutive Monday,
Tuesday, Wednesday, Thursday, or Friday expirations as applicable;
however, the expiration date of a non-consecutive expiration may not
be beyond what would be considered the last expiration date if the
maximum number of expirations were listed consecutively. Weekly
Expirations that are first listed in a given class may expire up to
four weeks from the actual listing date. If the Exchange lists EOMs
and Weekly Expirations as applicable in a given class, the Exchange
will list an EOM instead of a Weekly Expiration that expires on the
same day in the given class. Other expirations in the same class are
not counted as part of the maximum number of Weekly Expirations for
an applicable broad-based index class. If the Exchange is not open
for business on a respective Monday, the normally Monday expiring
Weekly Expirations will expire on the following business day. If the
Exchange is not open for business on a respective Tuesday,
Wednesday, Thursday, or Friday, the normally Tuesday, Wednesday,
Thursday, or Friday expiring Weekly Expirations will expire on the
previous business day. If two different Weekly Expirations would
expire on the same day because the Exchange is not open for business
on a certain weekday, the Exchange will list only one of such Weekly
Expirations. See Rule 4.13(e)(1).
\26\ The maximum number of expirations that may be listed for
EOMs in a given class is the same as the maximum number of
expirations permitted in Rule 4.13(a)(2) for standard options on the
same broad-based index. EOM expirations need not be for consecutive
end of month expirations; however, the expiration date of a non-
consecutive expiration may not be beyond what would be considered
the last expiration date if the maximum number of expirations were
listed consecutively. EOMs that are first listed in a given class
may expire up to four weeks from the actual listing date. Other
expirations in the same class are not counted as part of the maximum
numbers of EOM expirations for a broad-based index class. See Rule
4.13(e)(2).
\27\ See Phlx Options 4A, Section 12(b)(5).
\28\ See ISE Rules, Options 4A, Section 12, Supplementary
Material .07.
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Generally, pursuant to Rule 4.13, Interpretation and Policy .01,
except as provided in Rule 4.13, Interpretation
[[Page 78953]]
and Policy .01(h), the exercise (strike) price intervals will be no
less than $5, provided that, in the case of certain classes of index
options noted in Rule 4.13, Interpretation and Policy .01(a), the
Exchange may determine to list strike prices at no less than $2.50
intervals. The Exchange proposes to amend Rule 4.13, Interpretation and
Policy .01(a) add XND options to the list of classes where strike price
intervals of no less than $2.50 are generally permitted and note, ``if
the strike price is less than $200.'' \29\ Further, the Exchange
proposes to amend Rule 4.13, Interpretation and Policy .01(h) which
currently provides that the Exchange may also list series at $1 strike
intervals for Mini-Nasdaq-100 Index (``MNX'' or ``Mini-NDX'').
Specifically, the Exchange proposes to amend Rule 4.13, Interpretation
and Policy .01(h) to adopt the same strike price intervals for XND
options as are listed for XND options on ISE \30\ and currently
approved for MNX options within Rule 4.13, Interpretation and Policy
.01(h). Thus, notwithstanding 4.13, Interpretation and Policy .01(a),
the interval between strike prices of series of XND options may be $1
(or greater), subject to the conditions described in Rule 4.13,
Interpretation and Policy .01(h). The Exchange will not list LEAPS on
XND options at intervals less than $2.50. If the Exchange determines to
add XND options to the Weeklies or Quarterlies programs such options
will be listed with expirations and strike prices described in Rule
4.13, Interpretation and Policy .01(h).
---------------------------------------------------------------------------
\29\ Reduced-value Nasdaq 100 Index options are currently
included in the list of classes where strike price intervals of no
less than $2.50 are generally permitted. As part of the proposed
changes, the Exchange also proposes to add the same ``if the strike
price is less than $200'' language to the Reduced-value Nasdaq 100
Index, as this language was inadvertently omitted.
\30\ See ISE Rules, Options 4A, Section 12(c)(5).
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Position and Exercise Limits; Margin
The Exchange proposes to amend Rule 8.31(a). As with NDX, in
determining compliance with Rule 8.31 (Position Limits for Broad-Based
Index Options), there will be no position limits for broad-based index
option contracts in the XND class.\31\ Since the Exchange is proposing
to list a micro index contract that is based on 1/100 of the value of
the Nasdaq-100 Index, Rule 8.31(f) would apply. The Exchange proposes
to apply broad-based index margin requirements for the purchase and
sale of XND options that are the same as margin requirements currently
in place for NDX options.
---------------------------------------------------------------------------
\31\ See proposed changes to Rule 8.31(a).
---------------------------------------------------------------------------
Further, the Exchange proposes to amend Rule 8.35(b) to add XND to
the list of broad-based FLEX index options for which there are no
position limits.
In addition, there would be no exercise limits for XND. As such,
the Exchange proposes to amend Rule 8.42(b) to include XND in the list
of broad-based index options for which there are no exercise limits and
Rule 8.42(g) to include XND in the list broad-based FLEX index options
for which there are no exercise limits. The same rules for position and
exercise limits to XND options on ISE.\32\
---------------------------------------------------------------------------
\32\ See ISE Rules, Options 4A, Section 6 (Position Limits) and
Section 10 (Exercise Limits).
---------------------------------------------------------------------------
Surveillance and Capacity
The Exchange represents that it has sufficient capacity to handle
additional quotations and message traffic associated with the proposed
listing and trading of XND options. Further, the Exchange has analyzed
its capacity and represents that it believes the Exchange and the
Options Price Reporting Authority (``OPRA'') have the necessary systems
capacity to handle any additional traffic associated with the listing
of the maximum number nonstandard expirations permitted pursuant to
Rule 4.13(e).
Index options are integrated into the Exchange's existing
surveillance system architecture, as well as the Financial Industry
Regulatory Authority's (FINRA'') (which performs certain regulatory
services for the Exchange pursuant to a regulatory services agreement),
and are thus subject to the relevant surveillance processes. The
Exchange represents that it has adequate surveillance procedures to
monitor trading in XND options thereby aiding in the maintenance of a
fair and orderly market.
The Exchange notes that it is amending Rule 4.13 to include the
Nasdaq 100 Micro Index Options within the Rule to conform to the
amendments proposed herein.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act'') and the rules and
regulations thereunder applicable to the Exchange and, in particular,
the requirements of Section 6(b) of the Act.\33\ Specifically, the
Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \34\ requirements that the rules of an exchange be
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 regulating, clearing,
settling, processing information with respect to, and 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. Additionally,
the Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \35\ requirement that the rules of an exchange not be
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers.
---------------------------------------------------------------------------
\33\ 15 U.S.C. 78f(b).
\34\ 15 U.S.C. 78f(b)(5).
\35\ Id.
---------------------------------------------------------------------------
The Exchange believes that the proposed rule change will further
the Exchange's goal of introducing new and innovative products to the
marketplace. Specifically, the Exchange believes that XND options would
provide additional opportunities for market participants to trade and
hedge exposure to the Nasdaq-100 Index as it does today on ISE and
Phlx. The proposed XND options product is identical to XND options on
ISE and Phlx. Additionally, the proposed XND options product is similar
to NDX options that are currently permitted to be listed and traded on
the Exchange with two important differences: (1) XND options will be
based on 1/100 the value of the Nasdaq-100 Index, and (2) XND options
will be P.M.-settled (in addition to being A.M.-settled). These
differences are based on the Exchanges experience listing NDX options
and are designed to attract additional participation from retail and
other investors.
The Exchange believes that the proposed contract specifications
will be attractive to market participants and will remove impediments
to and perfect the mechanism of a free and open market and a national
market system. The nonstandard expirations would expand the ability of
investors to hedge risks against market movements stemming from
economic releases or market events that occur during the month and at
the end of the month. Accordingly, the Exchange believes that weekly
expirations and EOMs should create greater trading and hedging
opportunities and flexibility, and provide customers with the ability
to tailor their investment objectives more closely.
The Exchange believes that a micro index option would allow
additional participation from investors. Specifically, the Exchange
believes that basing the contract on a micro value of the Nasdaq-100
Index will encourage
[[Page 78954]]
additional participation by retail and other investors due to the
reduced capital outlay needed to trade these options.
XND options will be subject to the same rules that presently govern
the trading of index options based on the Nasdaq-100 Index, including
sales practice rules, margin requirements, trading rules, and position
and exercise limits. The Exchange therefore believes that the rules
applicable to trading in XND options are consistent with the protection
of investors and the public interest. Furthermore, the Exchange
represents that it has sufficient systems capacity and adequate
surveillance procedures to handle trading in XND options.
With respect to the Exchange's proposal to provide that minimum
increments for bids and offers for XND options be the same as those for
QQQ, regardless of the value at which the option series is quoted, may
promote competition and benefit investors. This proposal aligns the
minimum increments for XND options with those for QQQ options in order
to allow market participants to quote in minimum increments of $0.01 is
consistent with the Act because allowing participants to quote in
smaller increments may provide the opportunity for reduced spreads,
thereby lowering costs to investors. In addition, because both XND and
QQQ are based on the Nasdaq-100 Index it would be reasonable for the
minimum increments of bids and offers to be the same for both types of
options.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. XND options would be
available for trading to all market participants. The proposed rule
change will facilitate the listing and trading of a new option product
that will enhance competition among market participants, to the benefit
of investors and the marketplace. The listing of XND will enhance
competition by providing investors with an additional investment
vehicle, in a fully-electronic trading environment, through which
investors can gain and hedge exposure to the Nasdaq-100 Index.
Furthermore, this product could offer a competitive alternative to
other existing investment products that seek to allow investors to gain
broad market exposure. Finally, two other exchanges currently list the
same product for trading in accordance with substantially similar
rules.
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
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \36\ and Rule 19b-4(f)(6) thereunder.\37\
Because the proposed rule change does not: (i) significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act \38\ and Rule 19b-
4(f)(6)(iii) thereunder.\39\
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\36\ 15 U.S.C. 78s(b)(3)(A)(iii).
\37\ 17 CFR 240.19b-4(f)(6).
\38\ 15 U.S.C. 78s(b)(3)(A).
\39\ 17 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.
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A proposed rule change filed under Rule 19b-4(f)(6) \40\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\41\ 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 immediately upon filing. As discussed above, the
Exchange states that this proposed rule change is substantially similar
to a proposal submitted by Phlx \42\ that was previously approved by
the Commission, as well as a proposal submitted by ISE \43\ that was
subject to Commission review. The Exchange also stated that the two
other exchanges currently list the same product for trading in
accordance with substantially similar rules. The Exchange believes that
the waiver of the operative delay will protect investors by allowing
the Exchange to implement the proposal expeditiously, and it will
promote competition by providing an additional venue upon which to
trade this product. The Commission believes that waiver of the
operative delay is consistent with the protection of investors and the
public interest because it will permit the Exchange to remain
competitive with other exchanges and provide immediate choice to market
participants to readily direct order flow to competing venues who offer
similar functionality. Accordingly, the Commission hereby waives the
30-day operative delay and designates the proposal operative upon
filing.\44\
---------------------------------------------------------------------------
\40\ 17 CFR 240.19b-4(f)(6).
\41\ 17 CFR 240.19b-4(f)(6)(iii).
\42\ See Securities Exchange Act Release No. 98451 (September
20, 2023), 88 FR 66088 (September 26, 2023) (SR-Phlx-2023-07) (Order
Granting Approval of a Proposed Rule Change, as Modified by
Amendment No. 1, To Make Permanent Certain P.M.-Settled Pilots).
\43\ See Securities Exchange Act Release No. 98886 (November 8,
2023), 88 FR 78417 (November 15, 2023) (SR-ISE-2023-24) (Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Permit
the Listing and Trading of XND Options).
\44\ 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).
---------------------------------------------------------------------------
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 shall institute proceedings under
Section 19(b)(2)(B) \45\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
---------------------------------------------------------------------------
\45\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
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-CBOE-2024-043 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.
[[Page 78955]]
All submissions should refer to file number SR-CBOE-2024-043. 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
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-CBOE-2024-043 and should be
submitted on or before October 17, 2024.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\46\
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\46\ 17 CFR 200.30-3(a)(12).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2024-22026 Filed 9-25-24; 8:45 am]
BILLING CODE 8011-01-P
