Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Extend the Implementation Date of Functionality That Will Provide Members and Clearing Members With the Option To Utilize Additional Credit Risk Settings Under Interpretation and Policy .03 of Rule 11.13 ("Aggregate Credit Risk Checks"), 81966-81968 [2024-23290]
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<![CDATA[
81966
Federal Register / Vol. 89, No. 196 / Wednesday, October 9, 2024 / Notices
and adjust its model parameters.87 As
discussed above, OCC believes the
proposed changes to its rules support a
high volatility control setting process
that is reasonably designed to monitor
volatility in the products and markets
served by OCC and escalate the results
of that monitoring to appropriate OCC
decisionmakers, who would evaluate
whether adjustments to OCC’s model
parameters through use of control
settings is warranted. In addition, the
changes would support a process
designed to mitigate procyclicality
observed with the GARCH model,
which OCC believes would help ensure
that its margin requirements remain
commensurate with the risks presented
by its Clearing Members’ activity,
consistent with SEC Rule 17Ad–
22(e)(6)(i).88 Accordingly, OCC believes
that the proposed rule change would not
impose any burden or impact on
competition not necessary or
appropriate in furtherance of the
purposes of the Exchange Act.
(C) Clearing Agency’s Statement on
Comments on the Proposed Rule
Change Received From Members,
Participants or Others
Written comments were not and are
not intended to be solicited with respect
to the proposed change and none have
been received by OCC.
khammond on DSKJM1Z7X2PROD with NOTICES
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Within 45 days of the date of
publication of this notice in the Federal
Register or within such longer period
up to 90 days (i) as the Commission may
designate if it finds such longer period
to be appropriate and publishes its
reasons for so finding or (ii) as to which
the self-regulatory organization
consents, the Commission will:
(A) by order approve or disapprove
such proposed rule change, or
(B) institute proceedings to determine
whether the proposed rule change
should be disapproved.
The proposal shall not take effect
until all regulatory actions required
with respect to the proposal are
completed.
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–
OCC–2024–014 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Vanessa Countryman, Secretary,
Securities and Exchange Commission,
100 F Street NE, Washington, DC
20549–1090.
All submissions should refer to file
number SR–OCC–2024–014. 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 such filing
also will be available for inspection and
copying at the principal office of OCC
and on OCC’s website at https://
www.theocc.com/CompanyInformation/Documents-and-Archives/
By-Laws-and-Rules.
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 SR–
OCC–2024–014 and should be
submitted on or before October 30,
2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.89
Vanessa Countryman,
Secretary.
[FR Doc. 2024–23292 Filed 10–8–24; 8:45 am]
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–101243; File No. SR–
CboeBZX–2024–093]
Self-Regulatory Organizations; Cboe
BZX Exchange, Inc.; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change To Extend the
Implementation Date of Functionality
That Will Provide Members and
Clearing Members With the Option To
Utilize Additional Credit Risk Settings
Under Interpretation and Policy .03 of
Rule 11.13 (‘‘Aggregate Credit Risk
Checks’’)
October 3, 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 26, 2024, Cboe BZX
Exchange, Inc. (the ‘‘Exchange’’ or
‘‘BZX’’) filed with the Securities and
Exchange Commission (‘‘SEC’’ or
‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the Exchange. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Cboe BZX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘BZX’’) proposes to
extend the implementation date of
functionality that will provide Members
and Clearing Members with the option
to utilize additional credit risk settings
under Interpretation and Policy .03 or
Rule 11.13 (‘‘Aggregate Credit Risk
Checks’’).
The text of the proposed rule change
is also available on the Exchange’s
website (https://markets.cboe.com/us/
equities/regulation/rule_filings/bzx/), 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
BILLING CODE 8011–01–P
87 See
17 CFR 240.17Ad–22(e)(6)(vi)(C)–(D).
88 17 CFR 240.17Ad–22(e)(6)(i).
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1 15
89 17
PO 00000
CFR 200.30–3(a)(12).
Frm 00087
Fmt 4703
Sfmt 4703
2 17
E:\FR\FM\09OCN1.SGM
U.S.C. 78s(b)(1).
CFR 240.19b–4.
09OCN1
Federal Register / Vol. 89, No. 196 / Wednesday, October 9, 2024 / Notices
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
khammond on DSKJM1Z7X2PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange is filing this proposal to
extend the implementation date of
functionality providing Members and
Clearing Members with the option to
utilize additional Aggregate Credit Risk
Checks. The functionality relating to
these additional risk settings was
submitted by the Exchange on an
immediately effective basis on May 29,
2024.3
The Aggregate Credit Risk Checks
offered under Interpretation and Policy
.03 or Rule 11.13, provide Members and
Clearing Members with additional,
optional credit risk settings, at the
Market Participant Identifier (‘‘MPID’’)
level and/or to a subset of orders
identified within the MPID level (the
‘‘risk group identifier’’ level) that
authorizes the Exchange to take
automated action if a designated limit
for a Member is breached. These risk
settings will provide Members and
Clearing Members with enhanced
abilities to manage their risk with
respect to orders on the Exchange.
Specifically, the Exchange intends to
offer two aggregate credit risk settings as
follows:
• The ‘‘Aggregate Gross Credit
Exposure Limit’’, which refers to a preestablished maximum daily dollar
amount for purchases and sales across
all symbols, where both purchases and
sales are counted as positive values. For
purposes of calculating the Aggregate
Gross Credit Exposure Limit, both
executed and open orders are included;
and
• The ‘‘Aggregate Net Credit Exposure
Limit’’, which refers to a pre-established
maximum daily dollar amount for
purchases and sales across all symbols,
where purchases are counted as positive
values and sales are counted as negative
values. For purposes of calculating the
Aggregate Net Credit Exposure Limit,
both executed and open orders are
included.
The Exchange initially proposed to
implement the Aggregate Credit Risk
Checks by October 31, 2024. While this
date is not included in the relevant rule
text codifying the Aggregate Credit Risk
Checks, the Exchange separately notates
3 See Securities Exchange Act Release No. 100308
(June 10, 2024), 89 FR 50658 (June 14, 2024) (SR–
CboeBZX–2024–043).
VerDate Sep<11>2014
17:05 Oct 08, 2024
Jkt 265001
in its rulebook when it plans to
implement new functionality that was
either immediately effective upon rule
filing, or approved by the SEC.
Estimated implementation dates are
sometimes necessary so because
implementing new functionality
sometimes requires additional time to
develop, test, and deploy, and such
timeline may not always coincide with
the statutory rule filing process. As
such, the Exchange provides estimated
implementation dates to make Members
aware that certain rule text is subject to
amendment post implementation of the
new functionality, as well as to provide
Members with sufficient notice so that
they can make any necessary
technological or operational
adjustments to their systems (if
applicable). However, more time is
needed to design, test, and implement
the Aggregate Credit Ris Checks.
Accordingly, the Exchange proposes to
implement the Aggregate Credit Risk
Checks on or after November 22, 2024.
The Exchange would issue a Trade Desk
Notice announcing the exact
implementation date to Users.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
Securities Exchange Act of 1934 (the
‘‘Act’’), in general, and furthers the
objectives of Section 6(b) of the Act 4 in
particular, in that it is designed to
promote just and equitable principles of
trade, to remove impediments to and
perfect the mechanism of a free and
open market and a national market
system, and, in general to protect
investors and the public interest. The
Exchange’s proposal to delay the
implementation of Aggregate Credit Risk
Checks to on or after November 22,
2024, is consistent with the Act and
protection of investors and general
public because it will permit the
Exchange additional time to ensure the
Exchange can properly develop, test,
and deploy the Aggregate Credit Risk
Checks. Moreover, the Aggregate Credit
Risk Checks themselves were previously
approved [sic] by the Commission,5 and
this proposal does not change the
substance of those functionalities. As
noted, the Exchange would issue a
Trade Desk Notice announcing the exact
implementation date to members and
member organizations.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
4 15
U.S.C. 78f(b).
note 3.
5 Supra
PO 00000
Frm 00088
Fmt 4703
Sfmt 4703
81967
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. As noted
above, the purpose of this proposal is
simply to extend the implementation
date for the additional aggregate credit
risk settings so that the Exchange has
additional time for development,
testing, and deployment.
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 6 and Rule
19b–4(f)(6) thereunder.7 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 8 and Rule 19b–4(f)(6)(iii)
thereunder.9
A proposed rule change filed under
Rule 19b–4(f)(6) 10 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),11 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. The Exchange states that more
time is required to ensure optimal
design, testing, and implementation for
the Aggregate Credit Risk Checks, and
thus, waiver of the operative delay will
6 15
U.S.C. 78s(b)(3)(A)(iii).
CFR 240.19b–4(f)(6).
8 15 U.S.C. 78s(b)(3)(A).
9 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.
10 17 CFR 240.19b–4(f)(6).
11 17 CFR 240.19b–4(f)(6)(iii).
7 17
E:\FR\FM\09OCN1.SGM
09OCN1
khammond on DSKJM1Z7X2PROD with NOTICES
81968
Federal Register / Vol. 89, No. 196 / Wednesday, October 9, 2024 / Notices
provide Exchange with such additional
time. As such, the Commission believes
that waiver of the operative delay is
consistent with the protection of
investors and the public interest
because it would ensure that the
Exchange has extra time to properly
deploy these new aggregate credit risk
functionalities, which is to the benefit of
market participants that will eventually
utilize the Aggregate Credit Risk Checks.
Accordingly, the Commission hereby
waives the 30-day operative delay and
designates the proposal operative upon
filing.12
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) 13 of the Act to
determine whether the proposed rule
change should be approved or
disapproved.
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–CboeBZX–2024–093, and should be
submitted on or before October 30,
2024.
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:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
Vanessa A. Countryman,
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–
CboeBZX–2024–093 on the subject line.
SECURITIES AND EXCHANGE
COMMISSION
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–CboeBZX–2024–093. 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
12 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).
13 15 U.S.C. 78s(b)(2)(B).
VerDate Sep<11>2014
17:05 Oct 08, 2024
Jkt 265001
[FR Doc. 2024–23290 Filed 10–8–24; 8:45 am]
BILLING CODE 8011–01–P
shares and to impose early withdrawal
charges and asset-based distribution
and/or service fees.
Applicants: Sound Point Alternative
Income Fund, Felicitas Private Markets
Fund and Skypoint Capital Advisors,
LLC.
Filing Dates: The application was
filed on August 19, 2024.
Hearing or Notification of Hearing: An
order granting the requested relief will
be issued unless the Commission orders
a hearing. Interested persons may
request a hearing on any application by
emailing the SEC’s Secretary at
Secretarys-Office@sec.gov and serving
the Applicants with a copy of the
request by email, if an email address is
listed for the relevant Applicant below,
or personally or by mail, if a physical
address is listed for the relevant
Applicant below. Hearing requests
should be received by the Commission
by 5:30 p.m. on October 29, 2024, and
should be accompanied by proof of
service on the Applicants, in the form
of an affidavit, or, for lawyers, a
certificate of service. Pursuant to rule 0–
5 under the Act, hearing requests should
state the nature of the writer’s interest,
any facts bearing upon the desirability
of a hearing on the matter, the reason for
the request, and the issues contested.
Persons who wish to be notified of a
hearing may request notification by
emailing the Commission’s Secretary.
ADDRESSES:
[Investment Company Act Release No.
35350; 812–15615]
Sound Point Alternative Income Fund,
Felicitas Private Markets Fund and
Skypoint Capital Advisors, LLC
October 4, 2024.
Securities and Exchange
Commission (‘‘Commission’’ or ‘‘SEC’’).
ACTION: Notice.
AGENCY:
Notice of an application for an order
pursuant to section 6(c) of the
Investment Company Act of 1940 (the
‘‘Act’’) for an exemption from sections
18(a)(2), 18(c), and 18(i) of the Act,
pursuant to sections 6(c) and 23(c) of
the Act for an exemption from rule 23c–
3 under the Act, and pursuant to section
17(d) of the Act and rule 17d–1
thereunder.
Summary of Application: Applicants
request an order to permit certain
registered closed-end investment
companies to issue multiple classes of
14 17
PO 00000
CFR 200.30–3(a)(12), (59).
Frm 00089
Fmt 4703
Sfmt 4703
The Commission: Secretarys-Office@
sec.gov.
Applicants: Brian Smith, c/o Skypoint
Capital Advisors, LLC, bsmith@
skypointfunds.com, with copies to
Harry S. Pangas, Esq., Dechert LLP,
harry.pangas@dechert.com and Philip
T. Hinkle, Esq., Dechert LLP,
philip.hinkle@dechert.com.
FOR FURTHER INFORMATION CONTACT:
Trace W. Rakestraw, Senior Special
Counsel, at (202) 551–6825 (Division of
Investment Management, Chief
Counsel’s Office).
For
Applicants’ representations, legal
analysis, and conditions, please refer to
Applicants’ application, dated August
19, 2024, which may be obtained via the
Commission’s website by searching for
the file number at the top of this
document, or for an Applicant using the
Company name search field on the
SEC’s EDGAR system. The SEC’s
EDGAR system may be searched at
https://www.sec.gov/edgar/searchedgar/
legacy/companysearch.html. You may
also call the SEC’s Public Reference
Room at (202) 551–8090.
SUPPLEMENTARY INFORMATION:
E:\FR\FM\09OCN1.SGM
09OCN1
]]>Agencies
[Federal Register Volume 89, Number 196 (Wednesday, October 9, 2024)]
[Notices]
[Pages 81966-81968]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-23290]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-101243; File No. SR-CboeBZX-2024-093]
Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Extend
the Implementation Date of Functionality That Will Provide Members and
Clearing Members With the Option To Utilize Additional Credit Risk
Settings Under Interpretation and Policy .03 of Rule 11.13 (``Aggregate
Credit Risk Checks'')
October 3, 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 26, 2024, Cboe BZX Exchange, Inc. (the ``Exchange'' or
``BZX'') filed with the Securities and Exchange Commission (``SEC'' or
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by the Exchange. The Commission
is publishing this notice to solicit comments on the proposed rule
change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Cboe BZX Exchange, Inc. (the ``Exchange'' or ``BZX'') proposes to
extend the implementation date of functionality that will provide
Members and Clearing Members with the option to utilize additional
credit risk settings under Interpretation and Policy .03 or Rule 11.13
(``Aggregate Credit Risk Checks'').
The text of the proposed rule change is also available on the
Exchange's website (https://markets.cboe.com/us/equities/regulation/rule_filings/bzx/), 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
[[Page 81967]]
Exchange has prepared summaries, set forth in sections A, B, and C
below, of the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange is filing this proposal to extend the implementation
date of functionality providing Members and Clearing Members with the
option to utilize additional Aggregate Credit Risk Checks. The
functionality relating to these additional risk settings was submitted
by the Exchange on an immediately effective basis on May 29, 2024.\3\
---------------------------------------------------------------------------
\3\ See Securities Exchange Act Release No. 100308 (June 10,
2024), 89 FR 50658 (June 14, 2024) (SR-CboeBZX-2024-043).
---------------------------------------------------------------------------
The Aggregate Credit Risk Checks offered under Interpretation and
Policy .03 or Rule 11.13, provide Members and Clearing Members with
additional, optional credit risk settings, at the Market Participant
Identifier (``MPID'') level and/or to a subset of orders identified
within the MPID level (the ``risk group identifier'' level) that
authorizes the Exchange to take automated action if a designated limit
for a Member is breached. These risk settings will provide Members and
Clearing Members with enhanced abilities to manage their risk with
respect to orders on the Exchange. Specifically, the Exchange intends
to offer two aggregate credit risk settings as follows:
The ``Aggregate Gross Credit Exposure Limit'', which
refers to a pre-established maximum daily dollar amount for purchases
and sales across all symbols, where both purchases and sales are
counted as positive values. For purposes of calculating the Aggregate
Gross Credit Exposure Limit, both executed and open orders are
included; and
The ``Aggregate Net Credit Exposure Limit'', which refers
to a pre-established maximum daily dollar amount for purchases and
sales across all symbols, where purchases are counted as positive
values and sales are counted as negative values. For purposes of
calculating the Aggregate Net Credit Exposure Limit, both executed and
open orders are included.
The Exchange initially proposed to implement the Aggregate Credit
Risk Checks by October 31, 2024. While this date is not included in the
relevant rule text codifying the Aggregate Credit Risk Checks, the
Exchange separately notates in its rulebook when it plans to implement
new functionality that was either immediately effective upon rule
filing, or approved by the SEC. Estimated implementation dates are
sometimes necessary so because implementing new functionality sometimes
requires additional time to develop, test, and deploy, and such
timeline may not always coincide with the statutory rule filing
process. As such, the Exchange provides estimated implementation dates
to make Members aware that certain rule text is subject to amendment
post implementation of the new functionality, as well as to provide
Members with sufficient notice so that they can make any necessary
technological or operational adjustments to their systems (if
applicable). However, more time is needed to design, test, and
implement the Aggregate Credit Ris Checks. Accordingly, the Exchange
proposes to implement the Aggregate Credit Risk Checks on or after
November 22, 2024. The Exchange would issue a Trade Desk Notice
announcing the exact implementation date to Users.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act''), in general, and
furthers the objectives of Section 6(b) of the Act \4\ in particular,
in that it is designed to promote just and equitable principles of
trade, to remove impediments to and perfect the mechanism of a free and
open market and a national market system, and, in general to protect
investors and the public interest. The Exchange's proposal to delay the
implementation of Aggregate Credit Risk Checks to on or after November
22, 2024, is consistent with the Act and protection of investors and
general public because it will permit the Exchange additional time to
ensure the Exchange can properly develop, test, and deploy the
Aggregate Credit Risk Checks. Moreover, the Aggregate Credit Risk
Checks themselves were previously approved [sic] by the Commission,\5\
and this proposal does not change the substance of those
functionalities. As noted, the Exchange would issue a Trade Desk Notice
announcing the exact implementation date to members and member
organizations.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78f(b).
\5\ Supra note 3.
---------------------------------------------------------------------------
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. As noted above, the purpose
of this proposal is simply to extend the implementation date for the
additional aggregate credit risk settings so that the Exchange has
additional time for development, testing, and deployment.
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 \6\ and Rule 19b-4(f)(6) thereunder.\7\
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 \8\ and Rule 19b-
4(f)(6)(iii) thereunder.\9\
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\6\ 15 U.S.C. 78s(b)(3)(A)(iii).
\7\ 17 CFR 240.19b-4(f)(6).
\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 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) \10\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\11\ 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. The Exchange states that
more time is required to ensure optimal design, testing, and
implementation for the Aggregate Credit Risk Checks, and thus, waiver
of the operative delay will
[[Page 81968]]
provide Exchange with such additional time. As such, the Commission
believes that waiver of the operative delay is consistent with the
protection of investors and the public interest because it would ensure
that the Exchange has extra time to properly deploy these new aggregate
credit risk functionalities, which is to the benefit of market
participants that will eventually utilize the Aggregate Credit Risk
Checks. Accordingly, the Commission hereby waives the 30-day operative
delay and designates the proposal operative upon filing.\12\
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\10\ 17 CFR 240.19b-4(f)(6).
\11\ 17 CFR 240.19b-4(f)(6)(iii).
\12\ For purposes only of waiving the 30-day operative delay,
the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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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) \13\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\13\ 15 U.S.C. 78s(b)(2)(B).
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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-CboeBZX-2024-093 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.
All submissions should refer to file number SR-CboeBZX-2024-093. 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-CboeBZX-2024-093, and should
be submitted on or before October 30, 2024.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
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\14\ 17 CFR 200.30-3(a)(12), (59).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2024-23290 Filed 10-8-24; 8:45 am]
BILLING CODE 8011-01-P
