81_FR_44207 81 FR 44078 - Sunshine Act Meeting

81 FR 44078 - Sunshine Act Meeting

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 129 (July 6, 2016)

Page Range44078-44079
FR Document2016-16076

Federal Register, Volume 81 Issue 129 (Wednesday, July 6, 2016)
[Federal Register Volume 81, Number 129 (Wednesday, July 6, 2016)]
[Notices]
[Pages 44078-44079]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-16076]


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

SECURITIES AND EXCHANGE COMMISSION


Sunshine Act Meeting

    Notice is hereby given, pursuant to the provisions of the 
Government in the Sunshine Act, Public Law 94-409, that the Securities 
and Exchange Commission will hold a Closed Meeting on Thursday, July 7, 
2016 at 2:00 p.m.
    Commissioners, Counsel to the Commissioners, the Secretary to the 
Commission, and recording secretaries will attend the Closed Meeting. 
Certain staff members who have an interest in the matters also may be 
present.
    The General Counsel of the Commission, or her designee, has 
certified that, in her opinion, one or more of the exemptions set forth 
in 5 U.S.C. 552b(c)(3), (5), (7), 9(B) and (10) and 17 CFR 
200.402(a)(3), (5), (7), 9(ii) and (10), permit consideration of the 
scheduled matter at the Closed Meeting.
    Chair White, as duty officer, voted to consider the items listed 
for the Closed Meeting in closed session.

[[Page 44079]]

    The subject matter of the Closed Meeting will be:
    Institution and settlement of injunctive actions;
    Institution and settlement of administrative proceedings;
    Resolution of litigation claims; and
    Other matters relating to enforcement proceedings.
    At times, changes in Commission priorities require alterations in 
the scheduling of meeting items.
    For further information and to ascertain what, if any, matters have 
been added, deleted or postponed, please contact Brent J. Fields from 
the Office of the Secretary at (202) 551-5400.

    Dated: June 30, 2016.
Brent J. Fields,
Secretary.
[FR Doc. 2016-16076 Filed 7-1-16; 11:15 am]
 BILLING CODE 8011-01-P



                                             44078                            Federal Register / Vol. 81, No. 129 / Wednesday, July 6, 2016 / Notices

                                             applicable to a national securities                         III. Date of Effectiveness of the                       rules/sro.shtml). Copies of the
                                             exchange, and, in particular, with the                      Proposed Rule Change and Timing for                     submission, all subsequent
                                             requirements of Section 6(b) of the                         Commission Action                                       amendments, all written statements
                                             Act.13 Specifically, the proposed change                       Because the proposed rule change                     with respect to the proposed rule
                                             is consistent with Section 6(b)(5) of the                   does not (i) significantly affect the                   change that are filed with the
                                             Act,14 because it is designed to prevent                    protection of investors or the public                   Commission, and all written
                                             fraudulent and manipulative acts and                        interest; (ii) impose any significant                   communications relating to the
                                             practices, to promote just and equitable                    burden on competition; and (iii) become                 proposed rule change between the
                                             principles of trade, to foster cooperation                  operative for 30 days from the date on                  Commission and any person, other than
                                             and coordination with persons engaged                       which it was filed, or such shorter time                those that may be withheld from the
                                             in facilitating transactions in securities,                 as the Commission may designate, it has                 public in accordance with the
                                             and to remove impediments to, and                           become effective pursuant to Section                    provisions of 5 U.S.C. 552, will be
                                                                                                         19(b)(3)(A) of the Act 15 and Rule 19b–                 available for Web site viewing and
                                             perfect the mechanism of, a free and
                                                                                                         4(f)(6) thereunder.16                                   printing in the Commission’s Public
                                             open market and a national market
                                                                                                            At any time within 60 days of the                    Reference Room, 100 F Street NE.,
                                             system. The proposed change to remove                                                                               Washington, DC 20549, on official
                                             Interpretation and Policy .01 from Rule                     filing of the proposed rule change, the
                                                                                                         Commission summarily may                                business days between the hours of
                                             11.13 will permit the Exchange to focus                                                                             10:00 a.m. and 3:00 p.m. Copies of the
                                             its regulatory efforts on conduct that                      temporarily suspend such rule change if
                                                                                                         it appears to the Commission that such                  filing also will be available for
                                             more likely violates principles of just                                                                             inspection and copying at the principal
                                                                                                         action is necessary or appropriate in the
                                             and equitable trade rather than                                                                                     office of the Exchange. All comments
                                                                                                         public interest, for the protection of
                                             dedicating regulatory staff and efforts on                                                                          received will be posted without change;
                                                                                                         investors, or otherwise in furtherance of
                                             a topic which the Exchange has found                                                                                the Commission does not edit personal
                                                                                                         the purposes of the Act. If the
                                             no evidence of its existence. Since 2011,                   Commission takes such action, the                       identifying information from
                                             the Exchange has dedicated resources to                     Commission shall institute proceedings                  submissions. You should submit only
                                             operate regulatory surveillance and                         to determine whether the proposed rule                  information that you wish to make
                                             investigate potential abuse of the                          change should be approved or                            available publicly. All submissions
                                             Exchange’s functionality and has found                      disapproved.                                            should refer to File No. SR–BatsBZX–
                                             that there is no evidence of abuse of the                                                                           2016–28, and should be submitted on or
                                             relevant order handling procedures                          IV. Solicitation of Comments                            before July 27, 2016.
                                             solely for the purpose of obtaining one-                      Interested persons are invited to                       For the Commission, by the Division of
                                             half minimum price variations. The                          submit written data, views, and                         Trading and Markets, pursuant to delegated
                                             Exchange believes the proposal will                         arguments concerning the foregoing,                     authority.17
                                             promote just and equitable principles of                    including whether the proposed rule                     Robert W. Errett,
                                             trade and will help prevent fraudulent                      change is consistent with the Act.                      Deputy Secretary.
                                             and manipulative acts by focusing                           Comments may be submitted by any of                     [FR Doc. 2016–15916 Filed 7–5–16; 8:45 am]
                                             regulatory efforts on activity that the                     the following methods:                                  BILLING CODE 8011–01–P
                                             Exchange has identified as having an                        Electronic Comments
                                             impact on the safety and quality of its
                                                                                                           • Use the Commission’s Internet                       SECURITIES AND EXCHANGE
                                             market rather than the hypothetical
                                                                                                         comment form (http://www.sec.gov/                       COMMISSION
                                             concern that Interpretation and Policy
                                                                                                         rules/sro.shtml); or
                                             .01 was implemented to monitor.                               • Send an email to rule-comments@                     Sunshine Act Meeting
                                             B. Self-Regulatory Organization’s                           sec.gov. Please include File No. SR–
                                                                                                                                                                   Notice is hereby given, pursuant to
                                             Statement on Burden on Competition                          BatsBZX–2016–28 on the subject line.
                                                                                                                                                                 the provisions of the Government in the
                                                                                                         Paper Comments                                          Sunshine Act, Public Law 94–409, that
                                                The Exchange does not believe that
                                                                                                            • Send paper comments in triplicate                  the Securities and Exchange
                                             the proposed rule changes will result in
                                                                                                         to Secretary, Securities and Exchange                   Commission will hold a Closed Meeting
                                             any burden on competition that is not
                                                                                                         Commission, 100 F Street NE.,                           on Thursday, July 7, 2016 at 2:00 p.m.
                                             necessary or appropriate in furtherance                                                                               Commissioners, Counsel to the
                                             of the purposes of the Act. The                             Washington, DC 20549–1090.
                                                                                                         All submissions should refer to File No.                Commissioners, the Secretary to the
                                             proposed rule change simply removes                                                                                 Commission, and recording secretaries
                                             an interpretation and policy that the                       SR–BatsBZX–2016–28. This file number
                                                                                                         should be included on the subject line                  will attend the Closed Meeting. Certain
                                             Exchange does not believe is necessary,                                                                             staff members who have an interest in
                                                                                                         if email is used. To help the
                                             as described above, and should have no                                                                              the matters also may be present.
                                                                                                         Commission process and review your
                                             effect on competition.                                                                                                The General Counsel of the
                                                                                                         comments more efficiently, please use
                                                                                                         only one method. The Commission will                    Commission, or her designee, has
                                             C. Self-Regulatory Organization’s
                                                                                                         post all comments on the Commission’s                   certified that, in her opinion, one or
                                             Statement on Comments on the                                                                                        more of the exemptions set forth in 5
                                             Proposed Rule Change Received From                          Internet Web site (http://www.sec.gov/
                                                                                                                                                                 U.S.C. 552b(c)(3), (5), (7), 9(B) and (10)
                                             Members, Participants, or Others                                                                                    and 17 CFR 200.402(a)(3), (5), (7), 9(ii)
                                                                                                              15 15
                                                                                                                  U.S.C. 78s(b)(3)(A).
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                                               The Exchange has neither solicited                             16 17
                                                                                                                  CFR 240.19b–4(f)(6). As required under Rule    and (10), permit consideration of the
                                             nor received written comments on the                        19b–4(f)(6)(iii), the Exchange provided the             scheduled matter at the Closed Meeting.
                                                                                                         Commission with written notice of its intent to file      Chair White, as duty officer, voted to
                                             proposed rule change.                                       the proposed rule change, along with a brief            consider the items listed for the Closed
                                                                                                         description and the text of the proposed rule
                                                                                                         change, at least five business days prior to the date   Meeting in closed session.
                                               13 15   U.S.C. 78f(b).                                    of filing of the proposed rule change, or such
                                               14 15   U.S.C. 78f(b)(5).                                 shorter time as designated by the Commission.             17 17   CFR 200.30–3(a)(12).



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                                                                           Federal Register / Vol. 81, No. 129 / Wednesday, July 6, 2016 / Notices                                                      44079

                                               The subject matter of the Closed                        Feed (‘‘SQF’’) 4 Ports due to a loss of                market participants from inadvertent
                                             Meeting will be:                                          connectivity.                                          exposure to excessive risk.
                                               Institution and settlement of                              The text of the proposed rule change                   By way of background, Phlx members
                                             injunctive actions;                                       is available on the Exchange’s Web site                currently enter quotes and orders
                                               Institution and settlement of                           at http://                                             utilizing either an SQF or FIX Port. SQF
                                             administrative proceedings;                               nasdaqomxphlx.cchwallstreet.com/, at                   is utilized by Phlx Market Makers and
                                               Resolution of litigation claims; and                    the principal office of the Exchange, and              FIX is utilized by all market
                                               Other matters relating to enforcement                   at the Commission’s Public Reference                   participants. These ports are trading
                                             proceedings.                                              Room.                                                  system components through which a
                                               At times, changes in Commission                                                                                member communicates its quotes and/or
                                                                                                       II. Self-Regulatory Organization’s
                                             priorities require alterations in the                                                                            orders to the Phlx match engine through
                                                                                                       Statement of the Purpose of, and
                                             scheduling of meeting items.                                                                                     the member’s Client Application. Under
                                                                                                       Statutory Basis for, the Proposed Rule
                                               For further information and to                                                                                 the proposed rule change, an SQF Port
                                                                                                       Change
                                             ascertain what, if any, matters have been                                                                        would be defined as the Exchange’s
                                                                                                          In its filing with the Commission, the              system component through which
                                             added, deleted or postponed, please                       Exchange included statements
                                             contact Brent J. Fields from the Office of                                                                       members communicate their quotes
                                                                                                       concerning the purpose of and basis for                from the member’s Client Application at
                                             the Secretary at (202) 551–5400.                          the proposed rule change and discussed                 proposed Rule 1019(c)(i)(B). A FIX Port
                                               Dated: June 30, 2016.                                   any comments it received on the                        would be defined as the Exchange’s
                                             Brent J. Fields,                                          proposed rule change. The text of these                system component through which
                                             Secretary.                                                statements may be examined at the                      members communicate their orders
                                             [FR Doc. 2016–16076 Filed 7–1–16; 11:15 am]               places specified in Item IV below. The                 from the member’s Client Application at
                                             BILLING CODE 8011–01–P
                                                                                                       Exchange has prepared summaries, set                   proposed Rule 1019(c)(i)(C). Market
                                                                                                       forth in sections A, B, and C below, of                Makers may submit quotes to the
                                                                                                       the most significant aspects of such                   Exchange from one or more SQF Ports.
                                             SECURITIES AND EXCHANGE                                   statements.                                            Similarly, market participants may
                                             COMMISSION                                                A. Self-Regulatory Organization’s                      submit orders to the Exchange from one
                                                                                                       Statement of the Purpose of, and                       or more FIX Ports. The proposed
                                             [Release No. 34–78192; File No. SR–Phlx–                  Statutory Basis for, the Proposed Rule                 cancellation feature will be mandatory
                                             2016–72]                                                  Change                                                 for each Market Maker utilizing SQF for
                                                                                                                                                              the removal of quotes and optional for
                                             Self-Regulatory Organizations;                            1. Purpose                                             any market participant utilizing FIX for
                                             NASDAQ PHLX LLC; Notice of Filing                            Phlx proposes to amend Rule 1019                    the removal of orders.
                                             and Immediate Effectiveness of                            entitled ‘‘Acceptance of Bid or Offer’’ to                When the SQF Port detects the loss of
                                             Proposed Rule Change Relating to                          adopt a new section ‘‘c’’ entitled                     communication with a member’s Client
                                             Detection of Loss of Connection                           ‘‘Detection of Loss of Connection,’’ a                 Application because the Exchange’s
                                                                                                       new automated process which Phlx                       server does not receive a Heartbeat
                                             June 29, 2016.
                                                                                                       proposes to adopt for its SQF 5 and FIX                message 7 for a certain period of time (a
                                                Pursuant to Section 19(b)(1) of the                                                                           period of ‘‘nn’’ seconds), the Exchange
                                                                                                       Ports in the event that they lose
                                             Securities Exchange Act of 1934                                                                                  will automatically logoff the member’s
                                                                                                       communication with a Client
                                             (‘‘Act’’),1 and Rule 19b–4 thereunder,2                                                                          affected Client Application and
                                                                                                       Application due to a loss of
                                             notice is hereby given that on June 15,                                                                          automatically cancel all of the member’s
                                                                                                       connectivity. This feature is designed to
                                             2016, NASDAQ PHLX LLC (‘‘Phlx’’ or                                                                               open quotes. Quotes will be cancelled
                                                                                                       protect Market Makers 6 and other
                                             ‘‘Exchange’’) filed with the Securities                                                                          across all Client Applications that are
                                             and Exchange Commission (‘‘SEC’’ or                          4 SQF permits the transmission of quotes to the     associated with the same Specialist or
                                             ‘‘Commission’’) the proposed rule                         Exchange by a Market Maker using its Client            Registered Options Trader (collectively
                                             change as described in Items I and II,                    Application. SQF Auction Responses would not be        ‘‘Market Maker’’) ID and underlying
                                             below, which Items have been prepared                     cancelled pursuant to this Rule 1019 because other
                                                                                                       rules govern auction specific responses. Market        issues.
                                             by the Exchange. The Commission is                        Sweeps would not be cancelled pursuant to this            The Exchange proposes to define
                                             publishing this notice to solicit                         Rule 1019 because these type of orders are             ‘‘Client Application’’ as the system
                                             comments on the proposed rule change                      Immediate or Cancel (‘‘IOC’’).                         component of the member through
                                             from interested persons.                                     5 Today, SQF has capability to cancel quotes for
                                                                                                                                                              which the Exchange member or member
                                                                                                       technical disconnects, although there is no
                                             I. Self-Regulatory Organization’s                         automated process triggered by pre-set conditions.     organization communicates its quotes
                                             Statement of the Terms of Substance of                    The rule change would adopt a formalized process       and orders to the Exchange at proposed
                                                                                                       to automatically cancel quotes when there is a loss    Rule 1019(c)(i)(D). The Exchange
                                             the Proposed Rule Change                                  of communication with the member’s Client
                                                                                                       Application.
                                                                                                                                                              proposes to define a ‘‘Heartbeat’’
                                               The Exchange proposes to amend                                                                                 message as a communication which acts
                                                                                                          6 Phlx Market Makers include Specialists and
                                             Phlx Rule 1019, entitled ‘‘Acceptance of                                                                         as a virtual pulse between the SQF or
                                                                                                       Registered Options Traders or ‘‘ROTs.’’ A Specialist
                                             Bid or Offer’’ to adopt functionality                     is an Exchange member who is registered as an          FIX Port and the Client Application at
                                             which is designed to assist Phlx                          options specialist. See Phlx Rule 1020(a). An ROT      proposed Rule 1019(c)(i)(A). The
                                             members and member organizations                          is defined in Exchange Rule 1014(b) as a regular
                                                                                                                                                              Heartbeat message sent by the member
                                             (hereinafter ‘‘member(s)’’) in the event                  member or a foreign currency options participant of
                                                                                                       the Exchange located on the trading floor who has      and subsequently received by the
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                                             that they lose communication with their                   received permission from the Exchange to trade in      Exchange allows the SQF or FIX Port to
                                             assigned Financial Information                            options for his own account. See Exchange Rule         continually monitor its connection with
                                             eXchange (‘‘FIX’’) 3 or Specialized Quote                 1014 (b)(i) and (ii). A ROT includes a Streaming
                                                                                                                                                              the member.
                                                                                                       Quote Trader or ‘‘SQT,’’ a Remote Streaming Quote
                                                                                                       Trader or ‘‘RSQT’’ and a Non-SQT, which by
                                               1 15 U.S.C. 78s(b)(1).                                                                                           7 It is important to note that the Exchange
                                                                                                       definition is neither a SQT nor a RSQT. For
                                               2 17 CFR 240.19b–4.                                     purposes of this filing, Specialists and ROTs shall    separately sends a connectivity message to the
                                               3 FIX permits the entry of orders.                      be defined broadly as ‘‘Market Makers.’’               member as evidence of connectivity.



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Document Created: 2016-07-06 07:55:52
Document Modified: 2016-07-06 07:55:52
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 44078 

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