81_FR_59879 81 FR 59711 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, To List and Trade Shares of the First Trust Horizon Managed Volatility Domestic ETF and the First Trust Horizon Managed Volatility Developed International ETF Under NYSE Arca Equities Rule 8.600

81 FR 59711 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, To List and Trade Shares of the First Trust Horizon Managed Volatility Domestic ETF and the First Trust Horizon Managed Volatility Developed International ETF Under NYSE Arca Equities Rule 8.600

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 168 (August 30, 2016)

Page Range59711-59711
FR Document2016-20740

Federal Register, Volume 81 Issue 168 (Tuesday, August 30, 2016) 
[Federal Register Volume 81, Number 168 (Tuesday, August 30, 2016)]
[Notices]
[Page 59711]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-20740]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-78644; File No. SR-NYSEArca-2016-87]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of 
Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, 
To List and Trade Shares of the First Trust Horizon Managed Volatility 
Domestic ETF and the First Trust Horizon Managed Volatility Developed 
International ETF Under NYSE Arca Equities Rule 8.600

August 23, 2016.
    On June 16, 2016, NYSE Arca, Inc. (``Exchange'') filed with the 
Securities and Exchange Commission (``Commission''), pursuant to 
Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') \1\ 
and Rule 19b-4 thereunder,\2\ a proposed rule change to list and trade 
shares of the First Trust Horizon Managed Volatility Domestic ETF and 
the First Trust Horizon Managed Volatility Developed International ETF. 
The proposed rule change was published for comment in the Federal 
Register on July 6, 2016.\3\ On July 18, 2016, the Exchange submitted 
Amendment No. 1 to the proposed rule change.\4\ On August 16, 2016, 
pursuant to Section 19(b)(2) of the Act,\5\ the Commission designated a 
longer period within which to approve the proposed rule change, 
disapprove the proposed rule change, or institute proceedings to 
determine whether to disapprove the proposed rule change.\6\ The 
Commission received no comment letters on the proposed rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 78191 (June 29, 
2016), 81 FR 44056.
    \4\ Amendment No. 1 replaced and superseded the original filing 
in its entirety. Amendment No. 1 is available at https://www.sec.gov/comments/sr-nysearca-2016-87/nysearca201687-1.pdf.
    \5\ 15 U.S.C. 78s(b)(2).
    \6\ See Securities Exchange Act Release No. 78587, 81 FR 56728 
(August 22, 2016).
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    On August 18, 2016, the Exchange withdrew the proposed rule change, 
as modified by Amendment No. 1 (SR-NYSEArca-2016-87).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\7\
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    \7\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-20740 Filed 8-29-16; 8:45 am]
BILLING CODE 8011-01-P

Federal Register / Vol. 81, No. 168 / Tuesday, August 30, 2016 / Notices 59711 in shares, and (b) to the extent different transactions in section 17(a) to permit a SECURITIES AND EXCHANGE prices exist during a given trading day, Fund to sell its shares to and redeem its COMMISSION or from day to day, such variances occur shares from a Fund of Funds, and to as a result of third-party market forces, engage in the accompanying in-kind [Release No. 34–78644; File No. SR– such as supply and demand. Therefore, transactions with the Fund of Funds.3 NYSEArca–2016–87] applicants assert that secondary market The purchase of Creation Units by a transactions in shares will not lead to Fund of Funds directly from a Fund will Self-Regulatory Organizations; NYSE discrimination or preferential treatment be accomplished in accordance with the Arca, Inc.; Notice of Withdrawal of a among purchasers. Finally, applicants policies of the Fund of Funds and will Proposed Rule Change, as Modified by represent that share market prices will Amendment No. 1, To List and Trade be based on the NAVs of the Funds. be disciplined by arbitrage Shares of the First Trust Horizon opportunities, which should prevent 9. Section 6(c) of the Act permits the Commission to exempt any persons or Managed Volatility Domestic ETF and shares from trading at a material transactions from any provision of the the First Trust Horizon Managed discount or premium from NAV. 6. With respect to Funds that effect Act if such exemption is necessary or Volatility Developed International ETF creations and redemptions of Creation appropriate in the public interest and Under NYSE Arca Equities Rule 8.600 Units in kind and that are based on consistent with the protection of August 23, 2016. certain Underlying Indexes that include investors and the purposes fairly foreign securities, applicants request intended by the policy and provisions of On June 16, 2016, NYSE Arca, Inc. relief from the requirement imposed by the Act. Section 12(d)(1)(J) of the Act (‘‘Exchange’’) filed with the Securities section 22(e) in order to allow such provides that the Commission may and Exchange Commission Funds to pay redemption proceeds exempt any person, security, or (‘‘Commission’’), pursuant to Section within fifteen calendar days following transaction, or any class or classes of 19(b)(1) of the Securities Exchange Act the tender of Creation Units for of 1934 (‘‘Act’’) 1 and Rule 19b–4 persons, securities, or transactions, from redemption. Applicants assert that the thereunder,2 a proposed rule change to any provision of section 12(d)(1) if the requested relief would not be list and trade shares of the First Trust inconsistent with the spirit and intent of exemption is consistent with the public Horizon Managed Volatility Domestic section 22(e) to prevent unreasonable, interest and the protection of investors. ETF and the First Trust Horizon undisclosed or unforeseen delays in the Section 17(b) of the Act authorizes the Managed Volatility Developed actual payment of redemption proceeds. Commission to grant an order International ETF. The proposed rule 7. Applicants request an exemption to permitting a transaction otherwise change was published for comment in permit Funds of Funds to acquire Fund prohibited by section 17(a) if it finds the Federal Register on July 6, 2016.3 shares beyond the limits of section that (a) the terms of the proposed On July 18, 2016, the Exchange 12(d)(1)(A) of the Act; and the Funds, transaction are fair and reasonable and submitted Amendment No. 1 to the and any principal underwriter for the do not involve overreaching on the part proposed rule change.4 On August 16, Funds, and/or any broker or dealer of any person concerned; (b) the registered under the Exchange Act, to 2016, pursuant to Section 19(b)(2) of the proposed transaction is consistent with sell shares to Funds of Funds beyond Act,5 the Commission designated a the policies of each registered longer period within which to approve the limits of section 12(d)(1)(B) of the investment company involved; and (c) Act. The application’s terms and the proposed rule change, disapprove the proposed transaction is consistent the proposed rule change, or institute conditions are designed to, among other with the general purposes of the Act. things, help prevent any potential (i) proceedings to determine whether to undue influence over a Fund through For the Commission, by the Division of disapprove the proposed rule change.6 control or voting power, or in Investment Management, under delegated The Commission received no comment connection with certain services, authority. letters on the proposed rule change. transactions, and underwritings, (ii) Robert W. Errett, On August 18, 2016, the Exchange excessive layering of fees, and (iii) Deputy Secretary. withdrew the proposed rule change, as overly complex fund structures, which [FR Doc. 2016–20739 Filed 8–29–16; 8:45 am] modified by Amendment No. 1 (SR– are the concerns underlying the limits BILLING CODE 8011–01–P NYSEArca–2016–87). in sections 12(d)(1)(A) and (B) of the Act. For the Commission, by the Division of 8. Applicants request an exemption Trading and Markets, pursuant to delegated from sections 17(a)(1) and 17(a)(2) of the authority.7 Act to permit persons that are Affiliated Robert W. Errett, Persons, or Second Tier Affiliates, of the Deputy Secretary. Funds, solely by virtue of certain [FR Doc. 2016–20740 Filed 8–29–16; 8:45 am] ownership interests, to effectuate BILLING CODE 8011–01–P purchases and redemptions in-kind. The deposit procedures for in-kind 1 15 U.S.C. 78s(b)(1). purchases of Creation Units and the 3 The requested relief would apply to direct sales 2 17 CFR 240.19b–4. redemption procedures for in-kind of shares in Creation Units by a Fund to a Fund of 3 See Securities Exchange Act Release No. 78191 redemptions of Creation Units will be mstockstill on DSK3G9T082PROD with NOTICES Funds and redemptions of those shares. Applicants, (June 29, 2016), 81 FR 44056. the same for all purchases and moreover, are not seeking relief from section 17(a) 4 Amendment No. 1 replaced and superseded the redemptions and Deposit Instruments for, and the requested relief will not apply to, original filing in its entirety. Amendment No. 1 is transactions where a Fund could be deemed an available at https://www.sec.gov/comments/sr- and Redemption Instruments will be Affiliated Person, or a Second-Tier Affiliate, of a nysearca-2016-87/nysearca201687-1.pdf. valued in the same manner as those Fund of Funds because an Adviser or an entity 5 15 U.S.C. 78s(b)(2). investment positions currently held by controlling, controlled by or under common control 6 See Securities Exchange Act Release No. 78587, the Funds. Applicants also seek relief with an Adviser provides investment advisory 81 FR 56728 (August 22, 2016). from the prohibitions on affiliated services to that Fund of Funds. 7 17 CFR 200.30–3(a)(12). VerDate Sep<11>2014 20:04 Aug 29, 2016 Jkt 238001 PO 00000 Frm 00115 Fmt 4703 Sfmt 9990 E:\FR\FM\30AUN1.SGM 30AUN1


Document Created: 2018-02-09 11:42:50
Document Modified: 2018-02-09 11:42:50
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 59711 
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