81 FR 80123 - Self-Regulatory Organizations; NASDAQ BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Commentary .14 to Rule 4770 (Compliance With Regulation NMS Plan To Implement a Tick Size Pilot)
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 81, Issue 220 (November 15, 2016)
Federal Register Volume 81, Issue 220 (November 15, 2016)
| Page Range | 80123-80125 | |
| FR Document | 2016-27367 |
[Federal Register Volume 81, Number 220 (Tuesday, November 15, 2016)] [Notices] [Pages 80123-80125] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-27367] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-79262; File No. SR-BX-2016-153] Self-Regulatory Organizations; NASDAQ BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Commentary .14 to Rule 4770 (Compliance With Regulation NMS Plan To Implement a Tick Size Pilot) November 8, 2016. 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 October 31, 2016, NASDAQ BX, Inc. (``BX'' or ``Exchange'') filed with the Securities and Exchange Commission (``SEC'' or ``Commission'') the proposed rule change as described in Items I and II, below, which Items have been prepared by the Exchange. 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. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend Commentary .14 to Rule 4770 (Compliance with Regulation NMS Plan to Implement a Tick Size Pilot) to provide the SEC with notice of its efforts to re-program its systems to eliminate a re-pricing functionality for certain orders in Test Group Three securities in connection with the Regulation NMS Plan to Implement a Tick Size Pilot Program (``Plan'' or ``Pilot'').\3\ --------------------------------------------------------------------------- \3\ See Securities Exchange Act Release No. 74892 (May 6, 2015), 80 FR 27513 (May 13, 2015) (``Approval Order''). --------------------------------------------------------------------------- The text of the proposed rule change is set forth below. Proposed new language is underlined; deleted text is in brackets. * * * * * NASDAQ BX Rules * * * * * 4770. Compliance With Regulation NMS Plan To Implement a Tick Size Pilot (a) through (d) No Change. Commentary .01-.13 No change. .14 Until [October 31, 2016] November 14, 2016, the treatment of Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols in Test Group Three securities shall be as follows: Following entry, and if market conditions allow, a Price to Comply Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO until such time as the Price to Comply Order is able to be ranked and displayed at its original entered limit price. Following entry, and if market conditions allow, a Price to Display Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO until such time as the Price to Display Order is able to be ranked and displayed at its original entered limit price. Following entry, and if market conditions allow, a Non-Displayed Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO up (down) to the Order's limit price. Following entry, and if market conditions allow, the Post-Only Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO or the best price on the Exchange Book, as applicable until such time as the Post-Only Order is able to be ranked and displayed at its original entered limit price. * * * * * 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 aspects of such statements. A. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose On September 7, 2016, the Exchange filed with the Securities and Exchange Commission (``SEC'' or ``Commission'') a proposed rule change (``Proposal'') to adopt paragraph (d) to Exchange Rule 4770 to describe changes to system functionality necessary to implement the Plan. The Exchange also proposed amendments to Rule 4770(a) and (c) to clarify how the Trade-at exception may be satisfied. The SEC published the Proposal in the Federal Register for notice and comment on September 20, 2016.\4\ BX subsequently filed three Partial Amendments to clarify aspects of the Proposal. The Commission approved the Proposal, as amended, on October 7, 2016.\5\ --------------------------------------------------------------------------- \4\ See Securities Exchange Act Release No. 78838 (September 14, 2016), 81 FR 64566 (September 20, 2016) (SR-BX-2016-050). \5\ See Securities Exchange Act Release No. 79076 (October 7, 2016) (SR-BX-2016-050). --------------------------------------------------------------------------- In SR-BX-2016-050, BX had initially proposed a re-pricing functionality for Price to Comply Orders, Non-Displayed Orders, and Post-Only Orders entered through the OUCH and FLITE protocols in Group Three securities.\6\ BX subsequently determined that it would not offer this re-pricing functionality for [[Page 80124]] Price to Comply Orders, Non-Displayed Orders, and Post-Only Orders entered through the OUCH and FLITE protocols in Group Three securities. As part of Partial Amendment No. 2 to SR-BX-2016-050, BX proposed to delete the relevant language from Rule 4770 related to this re-pricing functionality. --------------------------------------------------------------------------- \6\ As originally proposed, Rule 4770(d)(2) stated that Price to Comply Orders in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO until such time as the Price to Comply Order is able to be ranked and displayed at its original entered limit price. Rule 4770(d)(3) stated that, if market conditions allow, a Non-Displayed Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO up (down) to the Order's limit price. Rule 4770(d)(4) stated that, if market conditions allow, the Post-Only Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO or the best price on the BX Book, as applicable until such time as the Post-Only Order is able to be ranked and displayed at its original entered limit price. --------------------------------------------------------------------------- In that amendment, BX noted that this change would only impact the treatment of Price to Comply Orders, Non-Displayed Orders, and Post- Only orders that are submitted through the OUCH and FLITE protocols in Test Group Three Pilot Securities, as these types of Orders that are currently submitted to BX through the RASH or FIX protocols are already subject to this re-pricing functionality and will remain subject to this functionality under the Pilot. In the Amendment, BX further noted that its systems are currently programmed so that Price to Comply Orders, Non-Displayed Orders and Post-Only Orders entered through the OUCH and FLITE protocols in Test Group Three Securities may be adjusted repeatedly to reflect changes to the NBBO and/or the best price on the BX book. BX stated that it is re- programming its systems to remove this functionality for Price to Comply Orders, Non-Displayed Orders and Post-Only Orders entered through the OUCH and FLITE protocols in Test Group Three Securities. In the Amendment, BX stated that it anticipated that this re-programming shall be completed no later than November 30, 2016. If it appears that this functionality will remain operational by October 17, 2016, BX indicated that it would file a proposed rule change with the SEC and will provide notice to market participants sufficiently in advance of that date to provide effective notice. The rule change and the notice to market participants will describe the current operation of the BX systems in this regard, and the timing related to the re-programming. On October 17, 2016, BX filed a proposal to extend the date by which it would complete the re-programing of its systems to eliminate the re-pricing functionality in Test Group Three securities for Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols.\7\ In that proposal, BX stated that it anticipated that this re-programming shall be complete on or before October 31, 2016.\8\ --------------------------------------------------------------------------- \7\ See Securities Exchange Act Release No. 79154 (October 25, 2016) (SR-BX-2016-054). Subsequent to the approval of SR-BX-2016-050, BX become aware that this re-pricing functionality also applies to Price to Display Orders that are entered through the OUCH and FLITE protocols in Test Group Three Securities, and included those Orders as part of SR-BX- 2016-054 accordingly. Price to Display Orders will be treated in the same manner as Price to Comply Orders under the re-pricing functionality. \8\ Id. --------------------------------------------------------------------------- At this time, BX is still determining how to modify its systems to eliminate the current re-pricing functionality in Test Group Three securities for Price to Comply Orders, Price to Display Orders, Non- Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols. BX is therefore submitting this proposal to extend the date by which the current re-pricing functionality will be eliminated. BX anticipates that the re-programming to eliminate the current re-pricing functionality shall be completed on or before November 14, 2016. Therefore, the current treatment of Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols in Test Group Three securities shall be as follows: Following entry, and if market conditions allow, a Price to Comply Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO until such time as the Price to Comply Order is able to be ranked and displayed at its original entered limit price. Following entry, and if market conditions allow, a Price to Display Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO until such time as the Price to Display Order is able to be ranked and displayed at its original entered limit price. Following entry, and if market conditions allow, a Non-Displayed Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO up (down) to the Order's limit price. Following entry, and if market conditions allow, a Post-Only Order in a Test Group Three Pilot Security will be adjusted repeatedly in accordance with changes to the NBBO or the best price on the BX Book, as applicable until such time as the Post-Only Order is able to be ranked and displayed at its original entered limit price. 2. Statutory Basis The Exchange believes that its proposal is consistent with Section 6(b) of the Act,\9\ in general, and furthers the objectives of Section 6(b)(5) of the Act,\10\ in particular, in that it is designed to promote just and equitable principles of trade, to remove impediments to and perfect the mechanism of a free and open market and a national market system, and, in general to protect investors and the public interest. The purpose of this filing is to inform the SEC and market participants of the status of BX's attempts to re-program its systems to remove the re-pricing functionality in Test Group Three securities for Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols, and the current treatment of such orders pending the removal of this functionality. This proposal is consistent with the Act because it provides the SEC and market participants with notice of BX's efforts in this regard, and is being submitted in connection with the statements made by BX in SR-BX-2016-050 and SR-BX-2016-054 in proposing the removal of this functionality. --------------------------------------------------------------------------- \9\ 15 U.S.C. 78f(b). \10\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- BX also believes that the proposal is consistent with the Act because the re-pricing functionality will not significantly impact the data gathered pursuant to the Pilot. BX notes that this re-pricing functionality only affects Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols for Test Group Three securities until the re-pricing functionality is eliminated, and only becomes relevant when an Order in a Test Group Three security would cross a Protected Quotation of another market center. BX has analyzed data relating to the frequency with which Orders in Test Group Three securities are entered with a limit price that would cross a Protected Quotation of another market center, and believes that the re-pricing functionality will be triggered infrequently once Test Group Three becomes fully operational.\11\ The Exchange also notes that it is diligently working to eliminate the current re-pricing functionality in Test Group Three securities for Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols, and that it anticipates this re-programming to be complete on or before November 14, 2016. --------------------------------------------------------------------------- \11\ For example, on October 31, 2016, in the one hundred Test Group Three securities that are currently live, 0.06% of orders that were entered on the NASDAQ Stock Market LLC in those securities were entered at a price that crossed the NBBO. --------------------------------------------------------------------------- [[Page 80125]] 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 not necessary or appropriate in furtherance of the purposes of the Act. The purpose of this proposal is to provide the SEC and market participants with notice of BX's efforts to remove its re-pricing functionality in Test Group Three securities for Price to Comply Orders, Price to Display Orders, Non-Displayed Orders, and Post-Only Orders that are entered through the OUCH or FLITE protocols, consistent with its statements in SR-BX-2016-050 and SR-BX- 2016-054. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing 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 for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, it has become effective pursuant to Section 19(b)(3)(A)(iii) of the Act \12\ and subparagraph (f)(6) of Rule 19b-4 thereunder.\13\ --------------------------------------------------------------------------- \12\ 15 U.S.C. 78s(b)(3)(A)(iii). \13\ 17 CFR 240.19b-4(f)(6). --------------------------------------------------------------------------- A proposed rule change filed under Rule 19b-4(f)(6) normally does not become operative prior to 30 days after the date of filing. Rule 19b-4(f)(6)(iii), however, permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. The Exchange requests that the Commission waive the 30-day operative delay contained in Rule 19b- 4(f)(6)(iii) so that this proposed change will be in operative as of October 31, 2016, the date that Test Group Three securities are fully implemented and are subject to the quoting and trading restrictions of the Plan and, therefore, the relevant language in Rule 4770. The Commission believes that waiving the 30-day operative delay is consistent with the protection of investors and the public interest because it will allow the Exchange to implement the proposed rules immediately thereby preventing delays in the implementation of the Plan. The Commission notes that the Pilot started implementation on October 3, 2016, Test Group Three securities were fully phased into the Pilot on October 31, 2016, and waiving the 30-day operative delay would ensure that the rules of the Exchange would be in place during implementation. Therefore, the Commission hereby waives the 30-day operative delay and designates the proposed rule change to be operative upon filing with the Commission.\14\ --------------------------------------------------------------------------- \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). --------------------------------------------------------------------------- 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: (i) Necessary or appropriate in the public interest; (ii) for the protection of investors; or (iii) otherwise in furtherance of the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings to determine whether the proposed rule should be approved or disapproved. 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-BX-2016-153 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-BX-2016-153. 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-BX-2016-153, and should be submitted on or before December 6, 2016. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\15\ --------------------------------------------------------------------------- \15\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Brent J. Fields, Secretary. [FR Doc. 2016-27367 Filed 11-14-16; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 81, No. 220 / Tuesday, November 15, 2016 / Notices 80123
available for Web site viewing and to re-program its systems to eliminate a II. Self-Regulatory Organization’s
printing in the Commission’s Public re-pricing functionality for certain Statement of the Purpose of, and
Reference Room, 100 F Street NE., orders in Test Group Three securities in Statutory Basis for, the Proposed Rule
Washington, DC 20549, on official connection with the Regulation NMS Change
business days between the hours of Plan to Implement a Tick Size Pilot In its filing with the Commission, the
10:00 a.m. and 3:00 p.m. Copies of the Program (‘‘Plan’’ or ‘‘Pilot’’).3 Exchange included statements
filing also will be available for The text of the proposed rule change concerning the purpose of and basis for
inspection and copying at the principal is set forth below. Proposed new the proposed rule change and discussed
office of the Exchange. All comments language is underlined; deleted text is any comments it received on the
received will be posted without change; in brackets. proposed rule change. The text of these
the Commission does not edit personal statements may be examined at the
* * * * *
identifying information from places specified in Item IV below. The
submissions. You should submit only NASDAQ BX Rules Exchange has prepared summaries, set
information that you wish to make * * * * * forth in sections A, B, and C below, of
available publicly. All submissions the most significant aspects of such
should refer to File Number SR– 4770. Compliance With Regulation
statements.
BatsEDGX–2016–60, and should be NMS Plan To Implement a Tick Size
submitted on or before December 6, Pilot A. Self-Regulatory Organization’s
2016. Statement of the Purpose of, and
(a) through (d) No Change. Statutory Basis for, the Proposed Rule
For the Commission, by the Division of
Trading and Markets, pursuant to delegated Commentary Change
authority.55 1. Purpose
.01–.13 No change.
Brent J. Fields,
.14 Until [October 31, 2016] On September 7, 2016, the Exchange
Secretary.
November 14, 2016, the treatment of filed with the Securities and Exchange
[FR Doc. 2016–27369 Filed 11–14–16; 8:45 am]
Price to Comply Orders, Price to Display Commission (‘‘SEC’’ or ‘‘Commission’’)
BILLING CODE 8011–01–P
Orders, Non-Displayed Orders, and a proposed rule change (‘‘Proposal’’) to
Post-Only Orders that are entered adopt paragraph (d) to Exchange Rule
through the OUCH or FLITE protocols 4770 to describe changes to system
SECURITIES AND EXCHANGE
in Test Group Three securities shall be functionality necessary to implement
COMMISSION
as follows: the Plan. The Exchange also proposed
[Release No. 34–79262; File No. SR–BX– Following entry, and if market amendments to Rule 4770(a) and (c) to
2016–153] clarify how the Trade-at exception may
conditions allow, a Price to Comply
Order in a Test Group Three Pilot be satisfied. The SEC published the
Self-Regulatory Organizations; Proposal in the Federal Register for
NASDAQ BX, Inc.; Notice of Filing and Security will be adjusted repeatedly in
accordance with changes to the NBBO notice and comment on September 20,
Immediate Effectiveness of Proposed 2016.4 BX subsequently filed three
Rule Change To Amend Commentary until such time as the Price to Comply
Order is able to be ranked and displayed Partial Amendments to clarify aspects of
.14 to Rule 4770 (Compliance With
at its original entered limit price. the Proposal. The Commission approved
Regulation NMS Plan To Implement a
Following entry, and if market the Proposal, as amended, on October 7,
Tick Size Pilot)
conditions allow, a Price to Display 2016.5
November 8, 2016. In SR–BX–2016–050, BX had initially
Order in a Test Group Three Pilot
Pursuant to Section 19(b)(1) of the proposed a re-pricing functionality for
Security will be adjusted repeatedly in
Securities Exchange Act of 1934 Price to Comply Orders, Non-Displayed
accordance with changes to the NBBO
(‘‘Act’’),1 and Rule 19b–4 thereunder,2 Orders, and Post-Only Orders entered
until such time as the Price to Display
notice is hereby given that on October through the OUCH and FLITE protocols
Order is able to be ranked and displayed
31, 2016, NASDAQ BX, Inc. (‘‘BX’’ or in Group Three securities.6 BX
at its original entered limit price.
‘‘Exchange’’) filed with the Securities subsequently determined that it would
Following entry, and if market not offer this re-pricing functionality for
and Exchange Commission (‘‘SEC’’ or
conditions allow, a Non-Displayed
‘‘Commission’’) the proposed rule
Order in a Test Group Three Pilot 4 See Securities Exchange Act Release No. 78838
change as described in Items I and II,
Security will be adjusted repeatedly in (September 14, 2016), 81 FR 64566 (September 20,
below, which Items have been prepared
accordance with changes to the NBBO 2016) (SR–BX–2016–050).
by the Exchange. The Commission is 5 See Securities Exchange Act Release No. 79076
up (down) to the Order’s limit price.
publishing this notice to solicit (October 7, 2016) (SR–BX–2016–050).
comments on the proposed rule change Following entry, and if market 6 As originally proposed, Rule 4770(d)(2) stated
from interested persons. conditions allow, the Post-Only Order that Price to Comply Orders in a Test Group Three
in a Test Group Three Pilot Security Pilot Security will be adjusted repeatedly in
I. Self-Regulatory Organization’s will be adjusted repeatedly in accordance with changes to the NBBO until such
Statement of the Terms of Substance of time as the Price to Comply Order is able to be
accordance with changes to the NBBO ranked and displayed at its original entered limit
the Proposed Rule Change or the best price on the Exchange Book, price. Rule 4770(d)(3) stated that, if market
The Exchange proposes to amend as applicable until such time as the conditions allow, a Non-Displayed Order in a Test
Group Three Pilot Security will be adjusted
mstockstill on DSK3G9T082PROD with NOTICES
Commentary .14 to Rule 4770 Post-Only Order is able to be ranked and
repeatedly in accordance with changes to the NBBO
(Compliance with Regulation NMS Plan displayed at its original entered limit up (down) to the Order’s limit price. Rule
to Implement a Tick Size Pilot) to price. 4770(d)(4) stated that, if market conditions allow,
provide the SEC with notice of its efforts * * * * * the Post-Only Order in a Test Group Three Pilot
Security will be adjusted repeatedly in accordance
with changes to the NBBO or the best price on the
55 17 CFR 200.30–3(a)(12). 3 See Securities Exchange Act Release No. 74892 BX Book, as applicable until such time as the Post-
1 15 U.S.C. 78s(b)(1). (May 6, 2015), 80 FR 27513 (May 13, 2015) Only Order is able to be ranked and displayed at
2 17 CFR 240.19b–4. (‘‘Approval Order’’). its original entered limit price.
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B. Self-Regulatory Organization’s in the implementation of the Plan. The communications relating to the
Statement on Burden on Competition Commission notes that the Pilot started proposed rule change between the
The Exchange does not believe that implementation on October 3, 2016, Commission and any person, other than
the proposed rule change will impose Test Group Three securities were fully those that may be withheld from the
any burden on competition not phased into the Pilot on October 31, public in accordance with the
necessary or appropriate in furtherance 2016, and waiving the 30-day operative provisions of 5 U.S.C. 552, will be
of the purposes of the Act. The purpose delay would ensure that the rules of the available for Web site viewing and
of this proposal is to provide the SEC Exchange would be in place during printing in the Commission’s Public
and market participants with notice of implementation. Therefore, the Reference Room, 100 F Street NE.,
BX’s efforts to remove its re-pricing Commission hereby waives the 30-day Washington, DC 20549, on official
functionality in Test Group Three operative delay and designates the business days between the hours of
securities for Price to Comply Orders, proposed rule change to be operative 10:00 a.m. and 3:00 p.m. Copies of the
Price to Display Orders, Non-Displayed upon filing with the Commission.14 filing also will be available for
Orders, and Post-Only Orders that are At any time within 60 days of the inspection and copying at the principal
entered through the OUCH or FLITE filing of the proposed rule change, the office of the Exchange. All comments
protocols, consistent with its statements Commission summarily may received will be posted without change;
in SR–BX–2016–050 and SR–BX–2016– temporarily suspend such rule change if the Commission does not edit personal
054. it appears to the Commission that such identifying information from
action is: (i) Necessary or appropriate in submissions. You should submit only
C. Self-Regulatory Organization’s the public interest; (ii) for the protection information that you wish to make
Statement on Comments on the of investors; or (iii) otherwise in available publicly. All submissions
Proposed Rule Change Received From furtherance of the purposes of the Act. should refer to File Number SR–BX–
Members, Participants, or Others If the Commission takes such action, the 2016–153, and should be submitted on
No written comments were either Commission shall institute proceedings or before December 6, 2016.
solicited or received. to determine whether the proposed rule
should be approved or disapproved. For the Commission, by the Division of
III. Date of Effectiveness of the Trading and Markets, pursuant to delegated
Proposed Rule Change and Timing for IV. Solicitation of Comments authority.15
Commission Action Interested persons are invited to Brent J. Fields,
Because the foregoing proposed rule submit written data, views, and Secretary.
change does not: (i) Significantly affect arguments concerning the foregoing, [FR Doc. 2016–27367 Filed 11–14–16; 8:45 am]
the protection of investors or the public including whether the proposed rule BILLING CODE 8011–01–P
interest; (ii) impose any significant change is consistent with the Act.
burden on competition; and (iii) become Comments may be submitted by any of
operative for 30 days from the date on the following methods: SECURITIES AND EXCHANGE
which it was filed, or such shorter time COMMISSION
Electronic Comments
as the Commission may designate, it has
become effective pursuant to Section • Use the Commission’s Internet [Release No. 34–79258; File No. SR–BOX–
19(b)(3)(A)(iii) of the Act 12 and comment form (http://www.sec.gov/ 2016–50]
subparagraph (f)(6) of Rule 19b–4 rules/sro.shtml); or
• Send an email to rule-comments@ Self-Regulatory Organizations; BOX
thereunder.13
A proposed rule change filed under sec.gov. Please include File Number SR– Options Exchange LLC; Notice of
Rule 19b–4(f)(6) normally does not BX–2016–153 on the subject line. Filing of Proposed Rule Change To
become operative prior to 30 days after Paper Comments Amend Rule 5050 Series of Options
the date of filing. Rule 19b–4(f)(6)(iii), Contracts Open for Trading To Provide
• Send paper comments in triplicate for the Listing and Trading on the
however, permits the Commission to
to Secretary, Securities and Exchange Exchange of RealDayTM Options
designate a shorter time if such action
Commission, 100 F Street NE., Pursuant to a Pilot Program
is consistent with the protection of
Washington, DC 20549–1090.
investors and the public interest. The November 8, 2016.
Exchange requests that the Commission All submissions should refer to File
waive the 30-day operative delay Number SR–BX–2016–153. This file Pursuant to Section 19(b)(1) of the
contained in Rule 19b–4(f)(6)(iii) so that number should be included on the Securities Exchange Act of 1934 (the
this proposed change will be in subject line if email is used. To help the ‘‘Act’’),1 and Rule 19b–4 thereunder,2
operative as of October 31, 2016, the Commission process and review your notice is hereby given that on October
date that Test Group Three securities are comments more efficiently, please use 26, 2016, BOX Options Exchange LLC
fully implemented and are subject to the only one method. The Commission will (the ‘‘Exchange’’) filed with the
quoting and trading restrictions of the post all comments on the Commission’s Securities and Exchange Commission
Plan and, therefore, the relevant Internet Web site (http://www.sec.gov/ (‘‘Commission’’) the proposed rule
language in Rule 4770. rules/sro.shtml). Copies of the change as described in Items I, II, and
The Commission believes that submission, all subsequent III below, which Items have been
waiving the 30-day operative delay is amendments, all written statements prepared by the self-regulatory
with respect to the proposed rule
mstockstill on DSK3G9T082PROD with NOTICES
consistent with the protection of organization. The Commission is
investors and the public interest change that are filed with the publishing this notice to solicit
because it will allow the Exchange to Commission, and all written comments on the proposed rule from
implement the proposed rules interested persons.
14 For purposes only of waiving the operative
immediately thereby preventing delays delay for this proposal, the Commission has
15 17 CFR 200.30–3(a)(12).
considered the proposed rule’s impact on
12 15 U.S.C. 78s(b)(3)(A)(iii). 1 15 U.S.C. 78s(b)(1).
efficiency, competition, and capital formation. See
13 17 CFR 240.19b–4(f)(6). 15 U.S.C. 78c(f). 2 17 CFR 240.19b–4.
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Document Created: 2016-11-15 00:47:38
Document Modified: 2016-11-15 00:47:38
| 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 | 81 FR 80123 |
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