80 FR 20277 - Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Modifying the NYSE Amex Options Fee Schedule To Adopt Fees for Certain Manual Transactions in Options Overlying IWM

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 80, Issue 72 (April 15, 2015)

Page Range		20277-20278
FR Document		2015-08547
Federal Register, Volume 80 Issue 72 (Wednesday, April 15, 2015)
[Federal Register Volume 80, Number 72 (Wednesday, April 15, 2015)]
[Notices]
[Pages 20277-20278]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-08547]



[[Page 20277]]

-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-74693; File No. SR-NYSEMKT-2015-26]


Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and 
Immediate Effectiveness of Proposed Rule Change Modifying the NYSE Amex 
Options Fee Schedule To Adopt Fees for Certain Manual Transactions in 
Options Overlying IWM

April 9, 2015.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby 
given that, on April 1, 2015, NYSE MKT LLC (the ``Exchange'' or ``NYSE 
MKT'') filed with the Securities and Exchange Commission (the 
``Commission'') the proposed rule change as described in Items I, II, 
and III below, which Items have been prepared by the self-regulatory 
organization. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to modify the NYSE Amex Options Fee Schedule 
(``Fee Schedule'') to adopt fees for certain Manual transactions in 
options overlying IWM (the iShares Russell 2000 ETF). The Exchange 
proposes to implement the fee change effective April 1, 2015. The text 
of the proposed rule change is available on the Exchange's Web site at 
www.nyse.com, at the principal office of the Exchange, 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 self-regulatory organization 
included statements concerning the purpose of, and basis for, the 
proposed rule change and discussed any comments it received on the 
proposed rule change. The text of those 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 parts 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 filing is to adopt fees for certain Manual 
transactions in options overlying IWM (the iShares Russell 2000 ETF). 
The Exchange proposes to implement the fee change effective April 1, 
2015.
    Currently, Manual trades in IWM are subject to the same fees as any 
other listed option that is traded Manually. However, the Exchange is 
proposing to offer special pricing to encourage increased Manual 
trading in the product and to offset losses of Manual transactions 
associated with options in the iShares Russell Index (RUT), which is 
exclusively trading on another venue.
    Accordingly, for Manual transactions in IWM executed by Broker-
Dealers, Firms, NYSE Amex Options Market Makers, non-NYSE Amex Options 
Market Makers and Professional Customers (collectively, the ``IWM 
Participants''), the Exchange proposes to charge $0.125 per contract. 
The Exchange also proposes to offer IWM Participants certain incentives 
for increased monthly volumes of Manual transactions in IWM. 
Specifically, the Exchange proposes to instead offer the enhanced rates 
of (a) $0.075 for each contract in excess of 74,999 contracts; and (b) 
$0.025 for each contract in excess of 99,999 contracts, for Manual 
executions in IWM transacted during the month. As is the case today, 
Customers will not be charged for Manual transactions in IWM.
    The Exchange notes that Strategy Executions, Firm Facilitation and 
Qualified Contingent Crosses are excluded from the proposed fee change 
and would not count towards calculations of the total monthly Manual 
transactions in IWM. Further, after calculating fees associated with 
Manual transactions in IWM, at the end of the month, the Exchange will 
round to the nearest penny when applicable.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act,\4\ in general, and furthers the 
objectives of Sections 6(b)(4) and (5) of the Act,\5\ in particular, 
because it provides for the equitable allocation of reasonable dues, 
fees, and other charges among its members, issuers and other persons 
using its facilities and does not unfairly discriminate between 
customers, issuers, brokers or dealers.
---------------------------------------------------------------------------

    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------

    Overall, the Exchange believes that the proposed changes to IWM 
pricing for Manual transactions are reasonable, equitable and not 
unfairly discriminatory because the reduced rates are based on the 
executions in IWM transacted on the Exchange. In addition, the Exchange 
believes the proposed fees are reasonable, equitable and not unfairly 
discriminatory because the fees are designed to incentivize IWM 
Participants to conduct Manual trades in IWM and apply equally to all 
IWM Participants. The Exchange believes the proposed fee changes may 
result in an increase in volume and liquidity to the Exchange, which 
would provide more trading opportunities and tighter spreads, to the 
benefit of all market participants even non-IWM Participants, all of 
which perfects the mechanism for a free and open market and national 
market system.
    For these reasons, the Exchange believes that the proposal is 
consistent with the Act.

B. Self-Regulatory Organization's Statement on Burden on Competition

    In accordance with Section 6(b)(8) of the Act,\6\ 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. The Exchange believes the proposed fees associated 
with IWM are pro-competitive as they may attract more volume and 
liquidity to the Exchange through the proposed reduced rates, which 
would benefit all Exchange participants through increased opportunities 
to trade as well as enhancing price discovery.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------

    The Exchange notes that it operates in a highly competitive market 
in which market participants can readily favor competing venues. In 
such an environment, the Exchange must continually review, and consider 
adjusting, its fees and credits to remain competitive with other 
exchanges. For the reasons described above, the Exchange believes that 
the proposed rule change reflects this competitive environment.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

    No written comments were solicited or received with respect to the 
proposed rule change.

[[Page 20278]]

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change is effective upon filing pursuant to 
Section 19(b)(3)(A) \7\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \8\ thereunder, because it establishes a due, fee, or other charge 
imposed by the Exchange.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of such 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) \9\ of the Act to determine whether the proposed 
rule change should be approved or disapproved.
---------------------------------------------------------------------------

    \9\ 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 (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-NYSEMKT-2015-26 on the subject line.

Paper Comments

     Send paper comments in triplicate to Brent J. Fields, 
Secretary, Securities and Exchange Commission, 100 F Street NE., 
Washington, DC 20549.

All submissions should refer to File Number SR-NYSEMKT-2015-26. 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 Web site (http://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 Web site viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE., 
Washington, DC 20549, on official business days between the hours of 
10:00 a.m. and 3:00 p.m. Copies of such filing also will be available 
for inspection and copying at the principal office of the Exchange. All 
comments received will be posted without change; the Commission does 
not edit personal identifying information from submissions. You should 
submit only information that you wish to make available publicly. All 
submissions should refer to File Number SR-NYSEMKT-2015-26 and should 
be submitted on or before May 6, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
---------------------------------------------------------------------------

    \10\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Brent J. Fields,
Secretary.
[FR Doc. 2015-08547 Filed 4-14-15; 8:45 am]
 BILLING CODE 8011-01-P
Federal Register / Vol. 80, No. 72 / Wednesday, April 15, 2015 / Notices 20277

SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s discriminate between customers,
COMMISSION Statement of the Purpose of, and issuers, brokers or dealers.
Statutory Basis for, the Proposed Rule Overall, the Exchange believes that
[Release No. 34–74693; File No. SR– Change the proposed changes to IWM pricing
NYSEMKT–2015–26] 1. Purpose for Manual transactions are reasonable,
equitable and not unfairly
Self-Regulatory Organizations; NYSE The purpose of this filing is to adopt discriminatory because the reduced
MKT LLC; Notice of Filing and fees for certain Manual transactions in rates are based on the executions in
Immediate Effectiveness of Proposed options overlying IWM (the iShares IWM transacted on the Exchange. In
Rule Change Modifying the NYSE Russell 2000 ETF). The Exchange addition, the Exchange believes the
Amex Options Fee Schedule To Adopt proposes to implement the fee change proposed fees are reasonable, equitable
Fees for Certain Manual Transactions effective April 1, 2015. and not unfairly discriminatory because
in Options Overlying IWM Currently, Manual trades in IWM are the fees are designed to incentivize IWM
subject to the same fees as any other Participants to conduct Manual trades
April 9, 2015. listed option that is traded Manually. in IWM and apply equally to all IWM
Pursuant to Section 19(b)(1) 1 of the However, the Exchange is proposing to Participants. The Exchange believes the
Securities Exchange Act of 1934 (the offer special pricing to encourage proposed fee changes may result in an
‘‘Act’’) 2 and Rule 19b–4 thereunder,3 increased Manual trading in the product increase in volume and liquidity to the
notice is hereby given that, on April 1, and to offset losses of Manual Exchange, which would provide more
2015, NYSE MKT LLC (the ‘‘Exchange’’ transactions associated with options in trading opportunities and tighter
or ‘‘NYSE MKT’’) filed with the the iShares Russell Index (RUT), which spreads, to the benefit of all market
Securities and Exchange Commission is exclusively trading on another venue. participants even non-IWM Participants,
(the ‘‘Commission’’) the proposed rule Accordingly, for Manual transactions all of which perfects the mechanism for
change as described in Items I, II, and in IWM executed by Broker-Dealers, a free and open market and national
III below, which Items have been Firms, NYSE Amex Options Market market system.
prepared by the self-regulatory Makers, non-NYSE Amex Options
For these reasons, the Exchange
organization. The Commission is Market Makers and Professional
believes that the proposal is consistent
publishing this notice to solicit Customers (collectively, the ‘‘IWM
with the Act.
comments on the proposed rule change Participants’’), the Exchange proposes to
from interested persons. charge $0.125 per contract. The B. Self-Regulatory Organization’s
Exchange also proposes to offer IWM Statement on Burden on Competition
I. Self-Regulatory Organization’s Participants certain incentives for
Statement of the Terms of Substance of In accordance with Section 6(b)(8) of
increased monthly volumes of Manual
the Proposed Rule Change the Act,6 the Exchange does not believe
transactions in IWM. Specifically, the
that the proposed rule change will
Exchange proposes to instead offer the
The Exchange proposes to modify the impose any burden on competition that
enhanced rates of (a) $0.075 for each
NYSE Amex Options Fee Schedule is not necessary or appropriate in
contract in excess of 74,999 contracts;
(‘‘Fee Schedule’’) to adopt fees for furtherance of the purposes of the Act.
and (b) $0.025 for each contract in
certain Manual transactions in options The Exchange believes the proposed
excess of 99,999 contracts, for Manual
overlying IWM (the iShares Russell fees associated with IWM are pro-
executions in IWM transacted during
2000 ETF). The Exchange proposes to competitive as they may attract more
the month. As is the case today,
implement the fee change effective volume and liquidity to the Exchange
Customers will not be charged for
April 1, 2015. The text of the proposed through the proposed reduced rates,
Manual transactions in IWM.
rule change is available on the which would benefit all Exchange
The Exchange notes that Strategy
Exchange’s Web site at www.nyse.com, participants through increased
Executions, Firm Facilitation and
at the principal office of the Exchange, opportunities to trade as well as
Qualified Contingent Crosses are
and at the Commission’s Public enhancing price discovery.
excluded from the proposed fee change
Reference Room. and would not count towards The Exchange notes that it operates in
calculations of the total monthly a highly competitive market in which
II. Self-Regulatory Organization’s
Manual transactions in IWM. Further, market participants can readily favor
Statement of the Purpose of, and
after calculating fees associated with competing venues. In such an
Statutory Basis for, the Proposed Rule
Manual transactions in IWM, at the end environment, the Exchange must
Change
of the month, the Exchange will round continually review, and consider
In its filing with the Commission, the to the nearest penny when applicable. adjusting, its fees and credits to remain
self-regulatory organization included competitive with other exchanges. For
statements concerning the purpose of, 2. Statutory Basis the reasons described above, the
and basis for, the proposed rule change The Exchange believes that the Exchange believes that the proposed
and discussed any comments it received proposed rule change is consistent with rule change reflects this competitive
on the proposed rule change. The text Section 6(b) of the Act,4 in general, and environment.
of those statements may be examined at furthers the objectives of Sections C. Self-Regulatory Organization’s
the places specified in Item IV below. 6(b)(4) and (5) of the Act,5 in particular, Statement on Comments on the
The Exchange has prepared summaries, because it provides for the equitable Proposed Rule Change Received From
tkelley on DSK3SPTVN1PROD with NOTICES

set forth in sections A, B, and C below, allocation of reasonable dues, fees, and Members, Participants or Others
of the most significant parts of such other charges among its members,
statements. issuers and other persons using its No written comments were solicited
facilities and does not unfairly or received with respect to the proposed
1 15 U.S.C. 78s(b)(1). rule change.
2 15 U.S.C. 78a. 4 15 U.S.C. 78f(b).
3 17 CFR 240.19b–4. 5 15 U.S.C. 78f(b)(4) and (5). 6 15 U.S.C. 78f(b)(8).

VerDate Sep<11>2014 17:29 Apr 14, 2015 Jkt 235001 PO 00000 Frm 00081 Fmt 4703 Sfmt 4703 E:\FR\FM\15APN1.SGM 15APN1
20278 Federal Register / Vol. 80, No. 72 / Wednesday, April 15, 2015 / Notices

III. Date of Effectiveness of the Commission and any person, other than Specifically, ICC is proposing to amend
Proposed Rule Change and Timing for those that may be withheld from the Subchapter 26I of its rules to provide for
Commission Action public in accordance with the the clearance of additional Standard
The foregoing rule change is effective provisions of 5 U.S.C. 552, will be Western European Sovereign CDS
upon filing pursuant to Section available for Web site viewing and contracts (collectively, ‘‘SWES
19(b)(3)(A) 7 of the Act and printing in the Commission’s Public Contracts’’). ICC currently clears six
subparagraph (f)(2) of Rule 19b–4 8 Reference Room, 100 F Street NE., SWES Contracts: the Republic of
thereunder, because it establishes a due, Washington, DC 20549, on official Ireland, the Italian Republic, the
fee, or other charge imposed by the business days between the hours of Portuguese Republic, the Kingdom of
Exchange. 10:00 a.m. and 3:00 p.m. Copies of such Spain, the Kingdom of Belgium, and the
At any time within 60 days of the filing also will be available for Republic of Austria. The proposed
filing of such proposed rule change, the inspection and copying at the principal changes to the ICC Rules would provide
Commission summarily may office of the Exchange. All comments for the clearance of additional SWES
temporarily suspend such rule change if received will be posted without change; Contracts, specifically the Kingdom of
it appears to the Commission that such the Commission does not edit personal the Netherlands, the Republic of
action is necessary or appropriate in the identifying information from Finland, the Kingdom of Sweden, and
public interest, for the protection of submissions. You should submit only the Kingdom of Denmark.
investors, or otherwise in furtherance of information that you wish to make
II. Self-Regulatory Organization’s
the purposes of the Act. If the available publicly. All submissions
Statement of the Purpose of, and
Commission takes such action, the should refer to File Number SR–
Statutory Basis for, the Proposed Rule
Commission shall institute proceedings NYSEMKT–2015–26 and should be
Change
under Section 19(b)(2)(B) 9 of the Act to submitted on or before May 6, 2015.
determine whether the proposed rule In its filing with the Commission, ICC
For the Commission, by the Division of
change should be approved or Trading and Markets, pursuant to delegated included statements concerning the
disapproved. authority.10 purpose of and basis for the proposed
Brent J. Fields, rule change and discussed any
IV. Solicitation of Comments comments it received on the proposed
Secretary.
Interested persons are invited to rule change. The text of these statements
[FR Doc. 2015–08547 Filed 4–14–15; 8:45 am]
submit written data, views and may be examined at the places specified
BILLING CODE 8011–01–P
arguments concerning the foregoing, in Item IV below. ICC has prepared
including whether the proposed rule summaries, set forth in sections A, B,
change is consistent with the Act. and C below, of the most significant
SECURITIES AND EXCHANGE
Comments may be submitted by any of aspects of these statements.
COMMISSION
the following methods: A. Self-Regulatory Organization’s
[Release No. 34–74687; File No. SR–ICC–
Electronic Comments 2015–007] Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
• Use the Commission’s Internet Change
Self-Regulatory Organizations; ICE
comment form (http://www.sec.gov/
Clear Credit LLC; Notice of Filing of The purpose of the proposed rule
rules/sro.shtml); or Proposed Rule Change To Provide for
• Send an email to rule-comments@ change is to adopt rules that will
the Clearance of Additional Western provide the basis for ICC to clear
sec.gov. Please include File Number SR–
European Sovereign Single Names additional credit default swap contracts.
NYSEMKT–2015–26 on the subject line.
April 9, 2015. ICC currently clears six SWES
Paper Comments Contracts: the Republic of Ireland, the
Pursuant to Section 19(b)(1) of the
• Send paper comments in triplicate Securities Exchange Act of 1934 Italian Republic, the Portuguese
to Brent J. Fields, Secretary, Securities (‘‘Act’’),1 and Rule 19b–4 thereunder,2 Republic, the Kingdom of Spain, the
and Exchange Commission, 100 F Street notice is hereby given that on April 7, Kingdom of Belgium, and the Republic
NE., Washington, DC 20549. 2015, ICE Clear Credit LLC (‘‘ICC’’) filed of Austria. ICC proposes amending
All submissions should refer to File with the Securities and Exchange Subchapter 26I of its Rules to provide
Number SR–NYSEMKT–2015–26. This Commission (‘‘Commission’’) the for the clearance of additional SWES
file number should be included on the proposed rule change as described in Contracts, specifically the Kingdom of
subject line if email is used. To help the Items I, II, and III below, which Items the Netherlands, the Republic of
Commission process and review your have been prepared primarily by ICC. Finland, the Kingdom of Sweden, and
comments more efficiently, please use The Commission is publishing this the Kingdom of Denmark. ICC plans to
only one method. The Commission will notice to solicit comments on the offer these additional SWES Contracts
post all comments on the Commission’s proposed rule change from interested on the 2003 and 2014 ISDA Credit
Internet Web site (http://www.sec.gov/ persons. Derivatives Definitions. The addition of
rules/sro.shtml). Copies of the these SWES Contracts will benefit the
submission, all subsequent I. Self-Regulatory Organization’s market for credit default swaps by
amendments, all written statements Statement of the Terms of Substance of providing market participants the
with respect to the proposed rule the Proposed Rule Change benefits of clearing, including reduction
change that are filed with the The purpose of the proposed rule in counterparty risk and safeguarding of
tkelley on DSK3SPTVN1PROD with NOTICES

Commission, and all written change is to adopt rules that will margin assets pursuant to clearing house
communications relating to the provide the basis for ICC to clear rules.
proposed rule change between the additional credit default swap contracts. These additional SWES Contracts
have terms consistent with the other
7 15 U.S.C. 78s(b)(3)(A). 10 17 CFR 200.30–3(a)(12). SWES Contracts approved for clearing at
8 17 CFR 240.19b–4(f)(2). 1 15 U.S.C. 78s(b)(1). ICC and governed by Subchapter 26I of
9 15 U.S.C. 78s(b)(2)(B). 2 17 CFR 240.19b–4. the ICC Rules, namely the Republic of

VerDate Sep<11>2014 17:29 Apr 14, 2015 Jkt 235001 PO 00000 Frm 00082 Fmt 4703 Sfmt 4703 E:\FR\FM\15APN1.SGM 15APN1
Document Created: 2015-12-18 11:13:10
Document Modified: 2015-12-18 11:13:10
Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		80 FR 20277