81_FR_39423 81 FR 39307 - Self-Regulatory Organizations; Bats BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Extend the Penny Pilot Program

81 FR 39307 - Self-Regulatory Organizations; Bats BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Extend the Penny Pilot Program

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 116 (June 16, 2016)

Page Range39307-39308
FR Document2016-14204

Federal Register, Volume 81 Issue 116 (Thursday, June 16, 2016)
[Federal Register Volume 81, Number 116 (Thursday, June 16, 2016)]
[Notices]
[Pages 39307-39308]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-14204]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-78032; File No. SR-BatsBZX-2016-23]


Self-Regulatory Organizations; Bats BZX Exchange, Inc.; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change To Extend 
the Penny Pilot Program

June 10, 2016.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on June 3, 2016, Bats BZX Exchange, Inc. (the ``Exchange'' or 
``BZX'') 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 
has designated this proposal as a ``non-controversial'' proposed rule 
change pursuant to Section 19(b)(3)(A) of the Act \3\ and Rule 19b-
4(f)(6)(iii) thereunder,\4\ which renders it effective upon filing with 
the Commission. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
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    \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)(6)(iii).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange filed a proposal for the BZX Options Market (``BZX 
Options'' f/k/a ``BATS Options'') to extend through December 31, 2016, 
the Penny Pilot Program (``Penny Pilot'') in options classes in certain 
issues (``Pilot Program'') previously approved by the Commission.\5\
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    \5\ The rules of BZX Options, including rules applicable to BZX 
Options' participation in the Penny Pilot, were approved on January 
26, 2010. See Securities Exchange Act Release No. 61419 (January 26, 
2010), 75 FR 5157 (February 1, 2010) (SR-BATS-2009-031). BZX Options 
commenced operations on February 26, 2010. The Penny Pilot was most 
recently extended for BZX Options through June 30, 2016. See 
Securities Exchange Act Release No. 75388 (June 30, 2015), 80 FR 
38793 (July 7, 2015) (SR-BATS-2015-50).
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    The text of the proposed rule change is available at the Exchange's 
Web site at http://www.batstrading.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 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 parts of such 
statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The purpose of this filing is to extend the Penny Pilot, which was 
previously approved by the Commission, through December 31, 2016, and 
to provide revised dates for adding replacement issues to the Pilot 
Program. The Exchange proposes that any Pilot Program issues that have 
been delisted may be replaced on the second trading day following July 
1, 2016. The replacement issues will be selected based on trading 
activity for the most recent six month period excluding the month 
immediately preceding the replacement (i.e., beginning December 1, 
2015, and ending May 31, 2016).
    The Exchange represents that the Exchange has the necessary system 
capacity to continue to support operation of the Penny Pilot. The 
Exchange believes the benefits to public customers and other market 
participants who will be able to express their true prices to buy and 
sell options have been demonstrated to outweigh the increase in quote 
traffic.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with the 
requirements of the Act and the rules and regulations thereunder that 
are applicable to a national securities exchange, and, in particular, 
with the requirements of Section 6(b) of the Act.\6\ In particular, the 
proposal is consistent with Section 6(b)(5) of the Act,\7\ because it 
would promote just and equitable principles of trade, remove 
impediments to, and perfect the mechanism of, a free and open market 
and a national market system. The Exchange believes that the Pilot 
Program promotes just and equitable principles of trade by enabling 
public customers and other market participants to express their true 
prices to buy and sell options. Accordingly, the Exchange believes that 
the proposal is consistent with the Act because it will allow the 
Exchange to extend the Pilot Program prior to its expiration on June 
30, 2016. The Exchange notes that this proposal does not propose any 
new policies or provisions that are unique or unproven, but instead 
relates to the continuation of an existing program that operates on a 
pilot basis.
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    \6\ 15 U.S.C. 78f(b).
    \7\ 15 U.S.C. 78f(b)(5).
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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. In this regard, the Exchange 
notes that the rule change is being proposed in order to continue the 
Pilot Program, which is a competitive response to analogous programs 
offered by other options exchanges. The Exchange believes this proposed 
rule change is necessary to permit fair competition among the options 
exchanges.

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

    The Exchange has not solicited, and does not intend to solicit, 
comments on this proposed rule change. The Exchange has not received 
any written comments from members or other interested parties.

[[Page 39308]]

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 \8\ and Rule 19b-4(f)(6) thereunder.\9\ 
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 \10\ and Rule 19b-
4(f)(6)(iii) thereunder.
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    \8\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \9\ 17 CFR 240.19b-4(f)(6).
    \10\ 15 U.S.C. 78s(b)(3)(A).
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    A proposed rule change filed under Rule 19b-4(f)(6) normally does 
not become operative prior to 30 days after the date of the filing.\11\ 
However, pursuant to Rule 19b-4(f)(6)(iii),\12\ 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 Commission believes 
that waiving the 30-day operative delay is consistent with the 
protection of investors and the public interest because doing so will 
allow the Pilot Program to continue without interruption in a manner 
that is consistent with the Commission's prior approval of the 
extension and expansion of the Pilot Program and will allow the 
Exchange and the Commission additional time to analyze the impact of 
the Pilot Program.\13\ Accordingly, the Commission designates the 
proposed rule change as operative upon filing with the Commission.\14\
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    \11\ 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 the 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 pre-filing requirement.
    \12\ 17 CFR 240.19b-4(f)(6)(iii).
    \13\ See Securities Exchange Act Release No. 61061 (November 24, 
2009), 74 FR 62857 (December 1, 2009) (SR-NYSEArca-2009-44). See 
also supra note 5.
    \14\ For purposes only of waiving the operative delay for this 
proposal, 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 the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act. If the Commission 
takes such action, the Commission shall institute proceedings under 
Section 19(b)(2)(B) \15\ of the Act to determine whether the proposed 
rule change should be approved or disapproved.
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    \15\ 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 (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please 
include File Number SR-BatsBZX-2016-23 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-BatsBZX-2016-23. 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 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-BatsBZX-2016-23 and should 
be submitted on or before July 7, 2016.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\16\
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    \16\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-14204 Filed 6-15-16; 8:45 am]
 BILLING CODE 8011-01-P



                                                                                   Federal Register / Vol. 81, No. 116 / Thursday, June 16, 2016 / Notices                                           39307

                                                    we do not edit personal identifying                     f/k/a ‘‘BATS Options’’) to extend                      prices to buy and sell options have been
                                                    information from submissions. You                       through December 31, 2016, the Penny                   demonstrated to outweigh the increase
                                                    should submit only information that                     Pilot Program (‘‘Penny Pilot’’) in options             in quote traffic.
                                                    you wish to make available publicly.                    classes in certain issues (‘‘Pilot
                                                                                                            Program’’) previously approved by the                  2. Statutory Basis
                                                    FOR FURTHER INFORMATION CONTACT:
                                                    Arisa Tinaves Kettig, Senior Special                    Commission.5                                              The Exchange believes that its
                                                    Counsel, Division of Trading and                           The text of the proposed rule change                proposal is consistent with the
                                                    Markets, at (202) 551–5676, Securities                  is available at the Exchange’s Web site                requirements of the Act and the rules
                                                    and Exchange Commission, 100 F Street                   at http://www.batstrading.com/, at the                 and regulations thereunder that are
                                                    NE., Washington, DC 20549–7010.                         principal office of the Exchange, and at
                                                                                                                                                                   applicable to a national securities
                                                    SUPPLEMENTARY INFORMATION: In                           the Commission’s Public Reference
                                                                                                                                                                   exchange, and, in particular, with the
                                                    accordance with Section 10(a) of the                    Room.
                                                                                                                                                                   requirements of Section 6(b) of the Act.6
                                                    Federal Advisory Committee Act, 5                       II. Self-Regulatory Organization’s                     In particular, the proposal is consistent
                                                    U.S.C.-App. 1, and the regulations                      Statement of the Purpose of, and                       with Section 6(b)(5) of the Act,7 because
                                                    thereunder, Stephen Luparello,                          Statutory Basis for, the Proposed Rule                 it would promote just and equitable
                                                    Designated Federal Officer of the                       Change                                                 principles of trade, remove
                                                    Committee, has ordered publication of                                                                          impediments to, and perfect the
                                                    this notice.                                              In its filing with the Commission, the
                                                                                                            Exchange included statements                           mechanism of, a free and open market
                                                      Dated: June 10, 2016.                                 concerning the purpose of and basis for                and a national market system. The
                                                    Brent J. Fields,                                        the proposed rule change and discussed                 Exchange believes that the Pilot
                                                    Committee Management Officer.                           any comments it received on the                        Program promotes just and equitable
                                                    [FR Doc. 2016–14199 Filed 6–15–16; 8:45 am]             proposed rule change. The text of these                principles of trade by enabling public
                                                    BILLING CODE 8011–01–P                                  statements may be examined at the                      customers and other market participants
                                                                                                            places specified in Item IV below. The                 to express their true prices to buy and
                                                                                                            Exchange has prepared summaries, set                   sell options. Accordingly, the Exchange
                                                    SECURITIES AND EXCHANGE                                 forth in Sections A, B, and C below, of                believes that the proposal is consistent
                                                    COMMISSION                                              the most significant parts of such                     with the Act because it will allow the
                                                    [Release No. 34–78032; File No. SR–
                                                                                                            statements.                                            Exchange to extend the Pilot Program
                                                    BatsBZX–2016–23]                                        A. Self-Regulatory Organization’s                      prior to its expiration on June 30, 2016.
                                                                                                            Statement of the Purpose of, and the                   The Exchange notes that this proposal
                                                    Self-Regulatory Organizations; Bats                     Statutory Basis for, the Proposed Rule                 does not propose any new policies or
                                                    BZX Exchange, Inc.; Notice of Filing                    Change                                                 provisions that are unique or unproven,
                                                    and Immediate Effectiveness of a                                                                               but instead relates to the continuation of
                                                    Proposed Rule Change To Extend the                      1. Purpose                                             an existing program that operates on a
                                                    Penny Pilot Program                                        The purpose of this filing is to extend             pilot basis.
                                                    June 10, 2016.                                          the Penny Pilot, which was previously                  B. Self-Regulatory Organization’s
                                                       Pursuant to Section 19(b)(1) of the                  approved by the Commission, through
                                                                                                                                                                   Statement on Burden on Competition
                                                    Securities Exchange Act of 1934 (the                    December 31, 2016, and to provide
                                                    ‘‘Act’’),1 and Rule 19b–4 thereunder,2                  revised dates for adding replacement                     The Exchange does not believe that
                                                    notice is hereby given that on June 3,                  issues to the Pilot Program. The                       the proposed rule change will impose
                                                    2016, Bats BZX Exchange, Inc. (the                      Exchange proposes that any Pilot                       any burden on competition that is not
                                                    ‘‘Exchange’’ or ‘‘BZX’’) filed with the                 Program issues that have been delisted                 necessary or appropriate in furtherance
                                                    Securities and Exchange Commission                      may be replaced on the second trading                  of the purposes of the Act. In this
                                                    (‘‘Commission’’) the proposed rule                      day following July 1, 2016. The                        regard, the Exchange notes that the rule
                                                    change as described in Items I and II                   replacement issues will be selected                    change is being proposed in order to
                                                    below, which Items have been prepared                   based on trading activity for the most                 continue the Pilot Program, which is a
                                                    by the Exchange. The Exchange has                       recent six month period excluding the                  competitive response to analogous
                                                    designated this proposal as a ‘‘non-                    month immediately preceding the                        programs offered by other options
                                                    controversial’’ proposed rule change                    replacement (i.e., beginning December                  exchanges. The Exchange believes this
                                                    pursuant to Section 19(b)(3)(A) of the                  1, 2015, and ending May 31, 2016).                     proposed rule change is necessary to
                                                    Act 3 and Rule 19b–4(f)(6)(iii)                            The Exchange represents that the                    permit fair competition among the
                                                    thereunder,4 which renders it effective                 Exchange has the necessary system                      options exchanges.
                                                    upon filing with the Commission. The                    capacity to continue to support
                                                    Commission is publishing this notice to                 operation of the Penny Pilot. The                      C. Self-Regulatory Organization’s
                                                    solicit comments on the proposed rule                   Exchange believes the benefits to public               Statement on Comments on the
                                                    change from interested persons.                         customers and other market participants                Proposed Rule Change Received From
                                                                                                            who will be able to express their true                 Members, Participants or Others
                                                    I. Self-Regulatory Organization’s
                                                    Statement of the Terms of Substance of                                                                           The Exchange has not solicited, and
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                                                                               5 The rules of BZX Options, including rules

                                                    the Proposed Rule Change                                applicable to BZX Options’ participation in the        does not intend to solicit, comments on
                                                                                                            Penny Pilot, were approved on January 26, 2010.        this proposed rule change. The
                                                     The Exchange filed a proposal for the                  See Securities Exchange Act Release No. 61419
                                                    BZX Options Market (‘‘BZX Options’’                     (January 26, 2010), 75 FR 5157 (February 1, 2010)      Exchange has not received any written
                                                                                                            (SR–BATS–2009–031). BZX Options commenced              comments from members or other
                                                      1 15
                                                                                                            operations on February 26, 2010. The Penny Pilot       interested parties.
                                                           U.S.C. 78s(b)(1).                                was most recently extended for BZX Options
                                                      2 17 CFR 240.19b–4.                                   through June 30, 2016. See Securities Exchange Act
                                                      3 15 U.S.C. 78s(b)(3)(A).                                                                                     6 15   U.S.C. 78f(b).
                                                                                                            Release No. 75388 (June 30, 2015), 80 FR 38793
                                                      4 17 CFR 240.19b–4(f)(6)(iii).                        (July 7, 2015) (SR–BATS–2015–50).                       7 15   U.S.C. 78f(b)(5).



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                                                    39308                          Federal Register / Vol. 81, No. 116 / Thursday, June 16, 2016 / Notices

                                                    III. Date of Effectiveness of the                          At any time within 60 days of the                       office of the Exchange. All comments
                                                    Proposed Rule Change and Timing for                     filing of the proposed rule change, the                    received will be posted without change;
                                                    Commission Action                                       Commission summarily may                                   the Commission does not edit personal
                                                                                                            temporarily suspend such rule change if                    identifying information from
                                                       The Exchange has filed the proposed                  it appears to the Commission that such                     submissions. You should submit only
                                                    rule change pursuant to Section                         action is necessary or appropriate in the                  information that you wish to make
                                                    19(b)(3)(A)(iii) of the Act 8 and Rule                  public interest, for the protection of                     available publicly. All submissions
                                                    19b–4(f)(6) thereunder.9 Because the                    investors, or otherwise in furtherance of                  should refer to File Number SR–
                                                    proposed rule change does not: (i)                      the purposes of the Act. If the                            BatsBZX–2016–23 and should be
                                                    Significantly affect the protection of                  Commission takes such action, the                          submitted on or before July 7, 2016.
                                                    investors or the public interest; (ii)                  Commission shall institute proceedings
                                                    impose any significant burden on                                                                                     For the Commission, by the Division of
                                                                                                            under Section 19(b)(2)(B) 15 of the Act to                 Trading and Markets, pursuant to delegated
                                                    competition; and (iii) become operative                 determine whether the proposed rule                        authority.16
                                                    prior to 30 days from the date on which                 change should be approved or                               Robert W. Errett,
                                                    it was filed, or such shorter time as the               disapproved.                                               Deputy Secretary.
                                                    Commission may designate if consistent
                                                    with the protection of investors and the                IV. Solicitation of Comments                               [FR Doc. 2016–14204 Filed 6–15–16; 8:45 am]
                                                    public interest, the proposed rule                                                                                 BILLING CODE 8011–01–P
                                                                                                              Interested persons are invited to
                                                    change has become effective pursuant to                 submit written data, views, and
                                                    Section 19(b)(3)(A) of the Act 10 and                   arguments concerning the foregoing,
                                                    Rule 19b–4(f)(6)(iii) thereunder.                                                                                  SECURITIES AND EXCHANGE
                                                                                                            including whether the proposed rule
                                                                                                                                                                       COMMISSION
                                                       A proposed rule change filed under                   change is consistent with the Act.
                                                    Rule 19b–4(f)(6) normally does not                      Comments may be submitted by any of                        [Release No. 34–78036; File No. SR–BX–
                                                    become operative prior to 30 days after                 the following methods:                                     2016–021]
                                                    the date of the filing.11 However,                      Electronic Comments                                        Self-Regulatory Organizations;
                                                    pursuant to Rule 19b–4(f)(6)(iii),12 the
                                                    Commission may designate a shorter                        • Use the Commission’s Internet                          NASDAQ BX, Inc.; Notice of Filing and
                                                                                                            comment form (http://www.sec.gov/                          Immediate Effectiveness of a Proposed
                                                    time if such action is consistent with the
                                                                                                            rules/sro.shtml); or                                       Rule Change Relating to Extension of
                                                    protection of investors and the public
                                                    interest. The Exchange has asked the                      • Send an email to rule-comments@                        the Exchange’s Penny Pilot Program
                                                                                                            sec.gov. Please include File Number SR–                    and Replacement of Penny Pilot Issues
                                                    Commission to waive the 30-day                                                                                     That Have Been Delisted
                                                    operative delay so that the proposal may                BatsBZX–2016–23 on the subject line.
                                                    become operative immediately upon                       Paper Comments                                             June 10, 2016.
                                                    filing. The Commission believes that                       • Send paper comments in triplicate                        Pursuant to Section 19(b)(1) of the
                                                    waiving the 30-day operative delay is                   to Secretary, Securities and Exchange                      Securities Exchange Act of 1934
                                                    consistent with the protection of                       Commission, 100 F Street NE.,                              (‘‘Act’’),1 and Rule 19b–4 2 thereunder,
                                                    investors and the public interest                       Washington, DC 20549–1090.                                 notice is hereby given that on June 8,
                                                    because doing so will allow the Pilot                                                                              2016, NASDAQ BX, Inc. (‘‘BX’’ or
                                                                                                            All submissions should refer to File                       ‘‘Exchange’’) filed with the Securities
                                                    Program to continue without
                                                                                                            Number SR–BatsBZX–2016–23. This file                       and Exchange Commission (‘‘SEC’’ or
                                                    interruption in a manner that is
                                                                                                            number should be included on the                           ‘‘Commission’’) the proposed rule
                                                    consistent with the Commission’s prior
                                                                                                            subject line if email is used. To help the                 change as described in Items I and II,
                                                    approval of the extension and expansion
                                                                                                            Commission process and review your                         below, which Items have been prepared
                                                    of the Pilot Program and will allow the
                                                                                                            comments more efficiently, please use                      by the Exchange. The Commission is
                                                    Exchange and the Commission
                                                                                                            only one method. The Commission will                       publishing this notice to solicit
                                                    additional time to analyze the impact of
                                                                                                            post all comments on the Commission’s                      comments on the proposed rule change
                                                    the Pilot Program.13 Accordingly, the
                                                                                                            Internet Web site (http://www.sec.gov/                     from interested persons.
                                                    Commission designates the proposed
                                                                                                            rules/sro.shtml.) Copies of the
                                                    rule change as operative upon filing                                                                               I. Self-Regulatory Organization’s
                                                                                                            submission, all subsequent
                                                    with the Commission.14                                                                                             Statement of the Terms of Substance of
                                                                                                            amendments, all written statements
                                                                                                            with respect to the proposed rule                          the Proposed Rule Change
                                                      8 15  U.S.C. 78s(b)(3)(A)(iii).
                                                      9 17  CFR 240.19b–4(f)(6).
                                                                                                            change that are filed with the                                BX is filing with the Commission a
                                                       10 15 U.S.C. 78s(b)(3)(A).                           Commission, and all written                                proposal to amend Chapter VI, Section
                                                       11 17 CFR 240.19b–4(f)(6). In addition, Rule 19b–    communications relating to the                             5 (Minimum Increments),3 to extend
                                                    4(f)(6)(iii) requires the Exchange to give the          proposed rule change between the                           through December 31, 2016 or the date
                                                    Commission written notice of the Exchange’s intent      Commission and any person, other than                      of permanent approval, if earlier, the
                                                    to file the proposed rule change along with a brief
                                                    description and the text of the proposed rule
                                                                                                            those that may be withheld from the                        Penny Pilot Program in options classes
                                                    change, at least five business days prior to the date   public in accordance with the                              in certain issues (‘‘Penny Pilot’’ or
                                                    of filing of the proposed rule change, or such          provisions of 5 U.S.C. 552, will be                        ‘‘Pilot’’), and to change the date when
                                                    shorter time as designated by the Commission. The       available for Web site viewing and                         delisted classes may be replaced in the
                                                    Exchange has satisfied this pre-filing requirement.
                                                                                                            printing in the Commission’s Public
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                                                       12 17 CFR 240.19b–4(f)(6)(iii).
                                                                                                                                                                       Penny Pilot.4
                                                       13 See Securities Exchange Act Release No. 61061
                                                                                                            Reference Room, 100 F Street NE.,
                                                    (November 24, 2009), 74 FR 62857 (December 1,           Washington, DC 20549, on official                            16 17 CFR 200.30–3(a)(12).
                                                    2009) (SR–NYSEArca–2009–44). See also supra             business days between the hours of                           1 15 U.S.C. 78s(b)(1).
                                                                                                                                                                         2 17 CFR 240.19b–4.
                                                    note 5.                                                 10:00 a.m. and 3:00 p.m. Copies of the
                                                       14 For purposes only of waiving the operative                                                                     3 References herein to Chapter and Series refer to
                                                                                                            filing also will be available for                          rules of the BX Options Market (‘‘BX Options’’),
                                                    delay for this proposal, the Commission has
                                                    considered the proposed rule’s impact on                inspection and copying at the principal                    unless otherwise noted.
                                                    efficiency, competition, and capital formation. See                                                                  4 The Penny Pilot was established in June 2012

                                                    15 U.S.C. 78c(f).                                         15 15   U.S.C. 78s(b)(2)(B).                             and extended in 2014. See Securities Exchange Act



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Document Created: 2016-06-16 00:37:43
Document Modified: 2016-06-16 00:37:43
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
FR Citation81 FR 39307 

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