80 FR 36869 - Self-Regulatory Organizations; The Options Clearing Corporation; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Concerning Administrative Changes to The Options Clearing Corporation's Financial Resources Monitoring and Call Procedure
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 80, Issue 123 (June 26, 2015)
Federal Register Volume 80, Issue 123 (June 26, 2015)
| Page Range | 36869-36870 | |
| FR Document | 2015-15688 |
[Federal Register Volume 80, Number 123 (Friday, June 26, 2015)] [Notices] [Pages 36869-36870] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-15688] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-75255; File No. SR-OCC-2015-012] Self-Regulatory Organizations; The Options Clearing Corporation; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Concerning Administrative Changes to The Options Clearing Corporation's Financial Resources Monitoring and Call Procedure June 22, 2015. 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 June 18, 2015, The Options Clearing Corporation (``OCC'') filed with the Securities and Exchange Commission (``Commission'') the proposed rule change as described in Items I, II and III below, which Items have been prepared by OCC. OCC filed the proposal pursuant to section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(1) thereunder \4\ so that the proposal was effective upon filing with the Commission. 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). \4\ 17 CFR 240.19b-4(f)(1). --------------------------------------------------------------------------- I. Clearing Agency's Statement of the Terms of Substance of the Proposed Rule Change This proposed rule change concerns administrative changes to The Options Clearing Corporation's (``OCC'') Financial Resources Monitoring and Call Procedure (``Procedure''). Specifically, OCC is proposing to change the method by which Dashboard Reports (defined below) are distributed to OCC's senior management and the Risk Committee of OCC's Board of Directors (``Risk Committee''). II. Clearing Agency's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, OCC 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. OCC has prepared summaries, set forth in sections (A), (B), and (C) below, of the most significant aspects of these statements. (A) Clearing Agency's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose This proposed rule change concerns administrative changes to the Procedure in that information concerning OCC's Clearing Fund that is reported to OCC's senior management and the Risk Committee on a weekly basis through dashboards (``Dashboard Reports'') would now be first distributed to the Legal Department's Corporate Assistant for subsequent dissemination to OCC's senior management and the Risk Committee. By way of background, the Commission has recently approved, pursuant to Section 19(b)(2) of the Act,\5\ and issued a Notice of No- Objection to, pursuant to section 806(e)(1)(I) of the Payment, Clearing, and Settlement Supervision Act of 2010,\6\ OCC's adoption of the Procedure.\7\ The Procedure sets forth the steps that clarify, for clearing members and market participants, the manner in which OCC would, if necessary, collect additional financial resources through intra-day margin calls and intra-month increases of is [sic] Clearing Fund. As part of the Procedure, information concerning OCC's Clearing Fund is reported to OCC's senior management and the Risk Committee on a weekly basis through Dashboard Reports. --------------------------------------------------------------------------- \5\ 15 U.S.C. 78s(b)(2). \6\ 12 U.S.C. 5465(e)(1)(I). \7\ See Securities Exchange Act Release No. 74980 (May 15, 2015), 80 FR 29364 (May 21, 2015) (SR-OCC-2015-009). See also Securities Exchange Act Release No. 74981 (May 15, 2015), 80 FR 29367 (May 21, 2015) (SR-OCC-2014-811). --------------------------------------------------------------------------- When OCC first adopted the Procedure, Dashboard Reports were distributed to OCC's senior management and the Risk Committee directly by OCC's Financial Risk Management Department's management. In an order [sic] to harmonize the manner in which Dashboard Reports are provided to the Risk Committee with the manner in which materials are provided to the Risk Committee generally, OCC is proposing to make an administrative amendment to section 3.5 of the Procedure such that Dashboard Reports would be provide [sic] to the Legal Department's Corporate Assistant by the Financial Risk Management Department's management for subsequent dissemination to OCC's senior management and the Risk Committee. The ultimate reviewers of Dashboard Reports would not be changed in any manner. In addition to the above, OCC also proposes to correct typographical errors throughout the Procedure. 2. Statutory Basis OCC believes the proposed rule change is consistent with section 17A(b)(3)(F) of the Act,\8\ and the rules and regulations thereunder because it is designed to promote the prompt and accurate clearance and settlement of securities transactions. As described above, the manner in which senior management and the Risk Committee are provided with Dashboard Reports would be harmonized with the manner in which the Risk Committee is provided with information generally. This practice would better ensure that the Risk Committee is provided with appropriate information in a timely manner to discharge its responsibilities as a committee of OCC's Board of Directors,\9\ thereby promoting the [[Page 36870]] prompt and accurate clearance and settlement of securities transactions. This proposed rule change is also consistent with Rule 17Ad-22(d)(8) \10\ because it would promote the effectiveness of OCC's risk management procedures by better ensuring that the Risk Committee is provided with appropriate information in a timely manner to discharge its responsibilities as a committee of OCC's Board of Directors.\11\ The proposed rule change is not inconsistent with the existing rules of OCC, including any other rules proposed to be amended. --------------------------------------------------------------------------- \8\ 15 U.S.C. 78q-1(b)(3)(F). \9\ See Securities Exchange Act Release No. 71751 (March 19, 2014), 79 FR 16414 (March 25, 2014) (SR-OCC-2014-04). \10\ 17 CFR 240.17Ad-22(d)(8). \11\ See Footnote 7. --------------------------------------------------------------------------- (B) Clearing Agency's Statement on Burden on Competition OCC does not believe that the proposed rule change would impose any burden on competition.\12\ OCC believes that the proposed rule change would not unfairly inhibit access to OCC's services or disadvantage or favor any particular user in relationship to another user because the proposed rule solely concerns administrative matters, mainly the manner in which Dashboard Reports are disseminated to OCC's senior management and Risk Committee, and does not concern any particular user, or clearing member, of OCC. --------------------------------------------------------------------------- \12\ 15 U.S.C. 78q-1(b)(3)(I). --------------------------------------------------------------------------- For the foregoing reasons, OCC believes that the proposed rule change is in the public interest, would be consistent with the requirements of the Act applicable to clearing agencies, and would not impose a burden on competition. (C) Clearing Agency's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others Written comments on the proposed rule change were not and are not intended to be solicited with respect to the proposed rule change and none have been received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to section 19(b)(3)(A) of the Act and paragraph (f) of Rule 19b-4 thereunder. At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. 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 CommentsUse 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-OCC-2015-012 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-OCC-2015-012. 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 the filing also will be available for inspection and copying at the principal office of OCC and on OCC's Web site at http://www.theocc.com/components/docs/legal/rules_and_bylaws/sr_occ_15_012.pdf. 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-OCC-2015-012 and should be submitted on or before July 17, 2015. --------------------------------------------------------------------------- \13\ 17 CFR 200.30-3(a)(12). For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\13\ Robert W. Errett, Deputy Secretary. [FR Doc. 2015-15688 Filed 6-25-15; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 80, No. 123 / Friday, June 26, 2015 / Notices 36869
rules/sro.shtml). Copies of the have been prepared by OCC. OCC filed adoption of the Procedure.7 The
submission, all subsequent the proposal pursuant to section Procedure sets forth the steps that
amendments, all written statements 19(b)(3)(A) of the Act 3 and Rule 19b– clarify, for clearing members and market
with respect to the proposed rule 4(f)(1) thereunder 4 so that the proposal participants, the manner in which OCC
change that are filed with the was effective upon filing with the would, if necessary, collect additional
Commission, and all written Commission. The Commission is financial resources through intra-day
communications relating to the publishing this notice to solicit margin calls and intra-month increases
proposed rule change between the comments on the proposed rule change of is [sic] Clearing Fund. As part of the
Commission and any person, other than from interested persons. Procedure, information concerning
those that may be withheld from the OCC’s Clearing Fund is reported to
public in accordance with the I. Clearing Agency’s Statement of the
OCC’s senior management and the Risk
provisions of 5 U.S.C. 552, will be Terms of Substance of the Proposed
Committee on a weekly basis through
available for Web site viewing and Rule Change
Dashboard Reports.
printing in the Commission’s Public This proposed rule change concerns When OCC first adopted the
Reference Room, 100 F Street NE., administrative changes to The Options Procedure, Dashboard Reports were
Washington, DC 20549 on official Clearing Corporation’s (‘‘OCC’’) distributed to OCC’s senior management
business days between the hours of Financial Resources Monitoring and and the Risk Committee directly by
10:00 a.m. and 3:00 p.m. Copies of the Call Procedure (‘‘Procedure’’). OCC’s Financial Risk Management
filing also will be available for Specifically, OCC is proposing to Department’s management. In an order
inspection and copying at the principal change the method by which Dashboard [sic] to harmonize the manner in which
office of OCC and on OCC’s Web site at Reports (defined below) are distributed Dashboard Reports are provided to the
http://www.theocc.com/components/ to OCC’s senior management and the Risk Committee with the manner in
docs/legal/rules_and_bylaws/sr_occ_15_ Risk Committee of OCC’s Board of which materials are provided to the Risk
013.pdf. All comments received will be Directors (‘‘Risk Committee’’). Committee generally, OCC is proposing
posted without change; the Commission to make an administrative amendment
does not edit personal identifying II. Clearing Agency’s Statement of the
to section 3.5 of the Procedure such that
information from submissions. You Purpose of, and Statutory Basis for, the
Dashboard Reports would be provide
should submit only information that Proposed Rule Change
[sic] to the Legal Department’s
you wish to make available publicly. All In its filing with the Commission, Corporate Assistant by the Financial
submissions should refer to File OCC included statements concerning Risk Management Department’s
Number SR–OCC–2015–013 and should the purpose of and basis for the management for subsequent
be submitted on or before July 17,2015. proposed rule change and discussed any dissemination to OCC’s senior
For the Commission, by the Division of comments it received on the proposed management and the Risk Committee.
Trading and Markets, pursuant to delegated rule change. The text of these statements The ultimate reviewers of Dashboard
authority.14 may be examined at the places specified Reports would not be changed in any
Robert W. Errett, in Item IV below. OCC has prepared manner.
Deputy Secretary. summaries, set forth in sections (A), (B), In addition to the above, OCC also
[FR Doc. 2015–15693 Filed 6–25–15; 8:45 am] and (C) below, of the most significant proposes to correct typographical errors
BILLING CODE 8011–01–P aspects of these statements. throughout the Procedure.
(A) Clearing Agency’s Statement of the 2. Statutory Basis
Purpose of, and Statutory Basis for, the OCC believes the proposed rule
SECURITIES AND EXCHANGE
Proposed Rule Change change is consistent with section
COMMISSION
1. Purpose 17A(b)(3)(F) of the Act,8 and the rules
[Release No. 34–75255; File No. SR–OCC– and regulations thereunder because it is
2015–012] This proposed rule change concerns designed to promote the prompt and
administrative changes to the Procedure accurate clearance and settlement of
Self-Regulatory Organizations; The in that information concerning OCC’s
Options Clearing Corporation; Notice securities transactions. As described
Clearing Fund that is reported to OCC’s above, the manner in which senior
of Filing and Immediate Effectiveness senior management and the Risk
of Proposed Rule Change Concerning management and the Risk Committee
Committee on a weekly basis through are provided with Dashboard Reports
Administrative Changes to The dashboards (‘‘Dashboard Reports’’)
Options Clearing Corporation’s would be harmonized with the manner
would now be first distributed to the in which the Risk Committee is
Financial Resources Monitoring and Legal Department’s Corporate Assistant
Call Procedure provided with information generally.
for subsequent dissemination to OCC’s This practice would better ensure that
June 22, 2015. senior management and the Risk the Risk Committee is provided with
Pursuant to section 19(b)(1) of the Committee. appropriate information in a timely
Securities Exchange Act of 1934 By way of background, the manner to discharge its responsibilities
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 Commission has recently approved, as a committee of OCC’s Board of
notice is hereby given that on June 18, pursuant to Section 19(b)(2) of the Act,5 Directors,9 thereby promoting the
2015, The Options Clearing Corporation and issued a Notice of No-Objection to,
(‘‘OCC’’) filed with the Securities and pursuant to section 806(e)(1)(I) of the 7 See Securities Exchange Act Release No. 74980
tkelley on DSK3SPTVN1PROD with NOTICES
Exchange Commission (‘‘Commission’’) Payment, Clearing, and Settlement (May 15, 2015), 80 FR 29364 (May 21, 2015) (SR–
the proposed rule change as described Supervision Act of 2010,6 OCC’s OCC–2015–009). See also Securities Exchange Act
Release No. 74981 (May 15, 2015), 80 FR 29367
in Items I, II and III below, which Items (May 21, 2015) (SR–OCC–2014–811).
3 15 U.S.C. 78s(b)(3)(A). 8 15 U.S.C. 78q–1(b)(3)(F).
14 17 CFR 200.30–3(a)(12). 4 17 CFR 240.19b–4(f)(1). 9 See Securities Exchange Act Release No. 71751
1 15 U.S.C. 78s(b)(1). 5 15 U.S.C. 78s(b)(2).
(March 19, 2014), 79 FR 16414 (March 25, 2014)
2 17 CFR 240.19b–4. 6 12 U.S.C. 5465(e)(1)(I). (SR–OCC–2014–04).
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![36870 Federal Register / Vol. 80, No. 123 / Friday, June 26, 2015 / Notices
prompt and accurate clearance and IV. Solicitation of Comments For the Commission, by the Division of
settlement of securities transactions. Trading and Markets, pursuant to delegated
This proposed rule change is also Interested persons are invited to authority.13
consistent with Rule 17Ad–22(d)(8) 10 submit written data, views and Robert W. Errett,
because it would promote the arguments concerning the foregoing, Deputy Secretary.
effectiveness of OCC’s risk management including whether the proposed rule [FR Doc. 2015–15688 Filed 6–25–15; 8:45 am]
procedures by better ensuring that the change is consistent with the Act. BILLING CODE 8011–01–P
Risk Committee is provided with Comments may be submitted by any of
appropriate information in a timely the following methods:
manner to discharge its responsibilities SECURITIES AND EXCHANGE
Electronic Comments
as a committee of OCC’s Board of COMMISSION
Directors.11 The proposed rule change is • Use the Commission’s Internet [Release No. 34–75259; File No. SR–BX–
not inconsistent with the existing rules comment form (http://www.sec.gov/ 2015–034]
of OCC, including any other rules rules/sro.shtml); or
proposed to be amended. Self-Regulatory Organizations;
• Send an email to rule-comments@
(B) Clearing Agency’s Statement on NASDAQ OMX BX, Inc.; Notice of Filing
sec.gov. Please include File Number SR–
Burden on Competition and Immediate Effectiveness of
OCC–2015–012 on the subject line.
Proposed Rule Change to a Proposal
OCC does not believe that the Paper Comments To Amend Chapter VI, Section 18 of
proposed rule change would impose any the Exchange’s Options Rules
burden on competition.12 OCC believes • Send paper comments in triplicate
that the proposed rule change would not to Secretary, Securities and Exchange June 22, 2015.
unfairly inhibit access to OCC’s services Commission, 100 F Street NE., Pursuant to section 19(b)(1) of the
or disadvantage or favor any particular Washington, DC 20549–1090. Securities Exchange Act of 1934
user in relationship to another user (‘‘Act’’),1 and Rule 19b–4 2 thereunder,
All submissions should refer to File notice is hereby given that, on June 12,
because the proposed rule solely
Number SR–OCC–2015–012. This file 2015, NASDAQ OMX BX, Inc. (‘‘BX’’ or
concerns administrative matters, mainly
number should be included on the ‘‘Exchange’’) filed with the Securities
the manner in which Dashboard Reports
subject line if email is used. To help the and Exchange Commission (‘‘SEC’’ or
are disseminated to OCC’s senior
Commission process and review your ‘‘Commission’’) the proposed rule
management and Risk Committee, and
does not concern any particular user, or comments more efficiently, please use change as described in Items I and II
clearing member, of OCC. only one method. The Commission will below, which Items have been prepared
For the foregoing reasons, OCC post all comments on the Commission’s by the Exchange. The Commission is
believes that the proposed rule change Internet Web site (http://www.sec.gov/ publishing this notice to solicit
is in the public interest, would be rules/sro.shtml). Copies of the comments on the proposed rule change
consistent with the requirements of the submission, all subsequent from interested persons.
Act applicable to clearing agencies, and amendments, all written statements
with respect to the proposed rule I. Self-Regulatory Organization’s
would not impose a burden on
change that are filed with the Statement of the Terms of Substance of
competition.
Commission, and all written the Proposed Rule Change
(C) Clearing Agency’s Statement on communications relating to the The Exchange proposes to amend
Comments on the Proposed Rule proposed rule change between the chapter VI, section 18 of the Exchange’s
Change Received From Members, Commission and any person, other than options rules.
Participants, or Others those that may be withheld from the The text of the proposed rule change
Written comments on the proposed public in accordance with the is set forth below.
rule change were not and are not provisions of 5 U.S.C. 552, will be Proposed new language is italicized.
intended to be solicited with respect to available for Web site viewing and Proposed deletions are enclosed in
the proposed rule change and none have printing in the Commission’s Public [brackets].
been received. Reference Room, 100 F Street NE., * * * * *
III. Date of Effectiveness of the Washington, DC 20549 on official
NASDAQ OMX BX Rules
Proposed Rule Change and Timing for business days between the hours of
Commission Action 10:00 a.m. and 3:00 p.m. Copies of the * * * * *
filing also will be available for Options Rules
The foregoing rule change has become inspection and copying at the principal
effective pursuant to section 19(b)(3)(A) office of OCC and on OCC’s Web site at * * * * *
of the Act and paragraph (f) of Rule http://www.theocc.com/components/
19b–4 thereunder. At any time within Chapter VI Trading Systems
docs/legal/rules_and_bylaws/sr_occ_15_
60 days of the filing of the proposed rule * * * * *
012.pdf. All comments received will be
change, the Commission summarily may
posted without change; the Commission Sec. 18 Order Price Protection
temporarily suspend such rule change if
does not edit personal identifying Order Price Protection (‘‘OPP’’) is a
it appears to the Commission that such
information from submissions. You feature of the System that prevents
action is necessary or appropriate in the
should submit only information that
tkelley on DSK3SPTVN1PROD with NOTICES
public interest, for the protection of certain day limit, good til cancelled, and
investors, or otherwise in furtherance of you wish to make available publicly. All immediate or cancel orders at prices
the purposes of the Act. submissions should refer to File outside of pre-set standard limits from
Number SR–OCC–2015–012 and should being accepted by the System. OPP
10 17 CFR 240.17Ad–22(d)(8). be submitted on or before July 17, 2015.
11 See Footnote 7. 1 15 U.S.C. 78s(b)(1).
12 15 U.S.C. 78q–1(b)(3)(I). 13 17 CFR 200.30–3(a)(12). 2 17 CFR 240.19b–4.
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Document Created: 2015-12-15 14:14:23
Document Modified: 2015-12-15 14:14:23
| 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 36869 |
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