82 FR 11988 - Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Fees Schedule
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 37 (February 27, 2017)
Federal Register Volume 82, Issue 37 (February 27, 2017)
| Page Range | 11988-11990 | |
| FR Document | 2017-03805 |
[Federal Register Volume 82, Number 37 (Monday, February 27, 2017)] [Notices] [Pages 11988-11990] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-03805] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-80086; File No. SR-CBOE-2017-015] Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Fees Schedule February 22, 2017. 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 February 10, 2017, Chicago Board Options Exchange, Incorporated (the ``Exchange'' or ``CBOE'') filed with the Securities and Exchange Commission (the ``Commission'') the proposed rule change as described in Items I, II, and III 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 text of the proposed rule change is available on the Exchange's Web site (http://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the Secretary, 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 aspects of such statements. A. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend its Fees Schedule. The Exchange is changing fees for functionality related to its PULSe workstation. The fees herein will be effective on February 10, 2017. By way of background, the PULSe workstation is a front-end order entry system designed for use with respect to orders that may be sent to the trading systems of the Exchange. Exchange Trading Permit Holders (``TPHs'') may also make workstations available to their customers, which may include TPHs, non-broker dealer public customers and non-TPH broker dealers. Drop Copies Financial Information eXchange (``FIX'') language-based connectivity, upon request, provides customers (both TPH and non-TPH) of TPHs that are brokers and PULSe users (``PULSe brokers'') with the ability to receive ``drop-copy'' order fill messages from their PULSe brokers. These fill messages allow customers to update positions, risk calculations and streamline back-office functions. The Exchange is proposing reducing the monthly fee to be assessed on TPHs who are either receiving or sending drop copies via a PULSe workstation. Whether the drop copy sender or receiver is assessed the fee is dependent upon whether the customer receiving the drop copies is a TPH or non-TPH. If a customer receiving drop copies is a TPH, that TPH customer (the receiving TPH) will now be charged a fee of $425 per month (down from $1000 per month), per PULSe broker from whom it receives drop copies via PULSe. For example, if TPH customer A receives drop copies from each of PULSe broker A, PULSe broker B, and PULSe broker C (all of which are TPHs), TPH A (the receiving TPH) will be charged a fee of $1275 per month for receiving drop copies via PULSe from PULSe brokers A, B and C (the sending TPHs). If a customer receiving drop copies is a non-TPH, the PULSe broker (the sending TPH) who sends drop copies via PULSe to that customer will now be charged a fee of $400 per month (down from $500 per month). If that PULSe broker sends drop copies via PULSe to multiple non-TPH customers, the PULSe broker will be charged the fee for each customer. For example, if PULSe broker A sends drop copies via its PULSe workstation to each of non-TPH customer A, non-TPH customer B and non- TPH customer C, PULSe broker A (the sending TPH) will be charged a fee of $1200 per month for drop copies it sends via PULSe to non-TPH customers A, B and C (the receiving non-TPHs). [[Page 11989]] ``OATS Reports'' to ``Equity Order Reports'' The Exchange is proposing to change the name of its fee relating to OATS Reports to ``Equity Order Reports''. The Equity Order Reports related to this fee are provided for PULSe users' own use. Electing to receive these reports does not currently and will not fulfill any PULSe users' OATS reporting obligations. The change will eliminate any potential confusion as to whether the Exchange itself or the PULSe system is able to fulfill any OATS reporting obligation for a PULSe user. Neither the content of the reports nor the manner in which they are received from PULSe is changing. SPX Liquidity Provider Sliding Scale Lastly, the Exchange proposes to add a reference to Footnote 41 in the SPX Liquidity Provider Sliding Scale (``SPX LP Sliding Scale'') table. Particularly, the Exchange notes that when it adopted the SPX LP Sliding Scale, it had appended a reference to Footnote 41 in the rate table for Underlying Symbol List A products under the Market-Maker fees section for SPX, SPXW and SPXPM (which references the SPX LP Sliding Scale), but had inadvertently not appended the Footnote to the new SPX LP Sliding Scale table itself. As such, the Exchange proposes to append Footnote 41 to the SPX Liquidity Provider Sliding Scale Table to clarify its applicability. The Exchange notes no substantive changes are being made by this change, rather the Exchange merely seeks to add further clarification and alleviate potential confusion. 2. Statutory Basis The Exchange believes the proposed rule change is consistent with the Securities Exchange Act of 1934 (the ``Act'') and the rules and regulations thereunder applicable to the Exchange and, in particular, the requirements of Section 6(b) of the Act.\3\ Specifically, the Exchange believes the proposed rule change is consistent with the Section 6(b)(5) \4\ requirements that the rules of an exchange be designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in regulating, clearing, settling, processing information with respect to, and facilitating transactions in securities, 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. Additionally, the Exchange believes the proposed rule change is consistent with Section 6(b)(4) of the Act,\5\ which requires that Exchange rules provide for the equitable allocation of reasonable dues, fees, and other charges among its Trading Permit Holders and other persons using its facilities. --------------------------------------------------------------------------- \3\ 15 U.S.C. 78f(b). \4\ 15 U.S.C. 78f(b)(5). \5\ 15 U.S.C. 78f(b)(4). --------------------------------------------------------------------------- The Exchange believes that lowering the $1000 per month fee to $425 per month on a TPH receiving drop copies from PULSe is reasonable because the reduced fee will continue to allow the Exchange to monitor, develop and implement upgrade, maintain and customize PULSe to ensure the TPH customer receives timely and accurate drop copies while also reducing TPH customers' costs. The Exchange believes the fee is equitable and not unfairly discriminatory because the monthly fee is assessed to any TPH electing to receive drop copies from a PULSe broker. Use of the drop copy functionality by a TPH customer is voluntary. The Exchange believes that lowering the $500 per month fee to $400 per month on a TPH sending drop copies from PULSe to a non-TPH customer is reasonable because the reduced fee will continue to allow the Exchange to monitor, develop and implement upgrades, maintain and customize PULSe to ensure a non-TPH customer receives timely and accurate drop copies while also reducing the sending TPH's costs. The Exchange believes the fee is equitable and not unfairly discriminatory because the monthly fee is assessed equally to any TPH sending drop copies to its non-TPH customers. The Exchange believes that assessing a TPH sending drop copies to a non-TPH a monthly fee of $400, as opposed to the $425 per month rate assessed to TPH customers receiving drop copies from PULSe, is reasonable, equitable, and not unfairly discriminatory. Specially, the lower rates are designed to encourage non-TPH market participants to interact with the Exchange, which will accordingly attract more volume and liquidity to the Exchange and benefit all Exchange participants through increased opportunities to trade. Use of the drop copy functionality by a non-TPH customer is voluntary. The Exchange believes that changing the name of the ``OATS reports'' fee to ``Equity Order Reports'' alleviates potential confusion and maintains clarity in the Fees Schedule, which removes impediments to and perfects the mechanism of a free and open market and a national market system, and, in general, protects investors and the public interest. The Exchange believes adding a reference to Footnote 41 in the SPX LP Sliding Scale table alleviates potential confusion and maintains clarity in the Fees Schedule, which removes impediments to and perfects the mechanism of a free and open market and a national market system, and, in general, protects investors and the public interest. B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule changes will impose any burdens on competition that are not necessary or appropriate in furtherance of the purposes of the Act. The Exchange does not believe that the proposed rule change will impose any burden on intramarket competition that is not necessary or appropriate in furtherance of the purposes of the Act because the proposed PULSe- related fees relate to optional reports and/or functionality and are assessed equally on PULSe users or TPH electing to use the functionality and/or receive the reports. The Exchange does not believe that the proposed change will cause any unnecessary burden on intermarket competition because the proposed fees relate to use of an Exchange-provided order entry system. To the extent that any proposed change makes the Exchange a more attractive marketplace for market participants at other exchanges, such market participants are welcome to become Exchange market participants. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others The Exchange neither solicited nor received comments on the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the Act \6\ and paragraph (f) of Rule 19b-4 \7\ thereunder. At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. If the [[Page 11990]] Commission takes such action, the Commission will institute proceedings to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \6\ 15 U.S.C. 78s(b)(3)(A). \7\ 17 CFR 240.19b-4(f). --------------------------------------------------------------------------- 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-CBOE-2017-015 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-CBOE-2017-015. 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-CBOE-2017-015 and should be submitted on or before March 20, 2017. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\8\ --------------------------------------------------------------------------- \8\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017-03805 Filed 2-24-17; 8:45 am] BILLING CODE 8011-01-P
![11988 Federal Register / Vol. 82, No. 37 / Monday, February 27, 2017 / Notices
Paper Comments SECURITIES AND EXCHANGE its PULSe workstation. The fees herein
COMMISSION will be effective on February 10, 2017.
• Send paper comments in triplicate
to Secretary, Securities and Exchange [Release No. 34–80086; File No. SR–CBOE– By way of background, the PULSe
Commission, 100 F Street NE., 2017–015] workstation is a front-end order entry
Washington, DC 20549–1090. system designed for use with respect to
Self-Regulatory Organizations; orders that may be sent to the trading
All submissions should refer to File Chicago Board Options Exchange, systems of the Exchange. Exchange
Number SR–NSX–2017–05. This file Incorporated; Notice of Filing and Trading Permit Holders (‘‘TPHs’’) may
number should be included on the Immediate Effectiveness of a Proposed also make workstations available to
subject line if email is used. To help the Rule Change To Amend the Fees their customers, which may include
Commission process and review your Schedule TPHs, non-broker dealer public
comments more efficiently, please use February 22, 2017. customers and non-TPH broker dealers.
only one method. The Commission will
Pursuant to Section 19(b)(1) of the Drop Copies
post all comments on the Commission’s
Securities Exchange Act of 1934 (the
Internet Web site (http://www.sec.gov/ ‘‘Act’’),1 and Rule 19b–4 thereunder,2 Financial Information eXchange
rules/sro.shtml). Copies of the notice is hereby given that on February (‘‘FIX’’) language-based connectivity,
submission, all subsequent 10, 2017, Chicago Board Options upon request, provides customers (both
amendments, all written statements Exchange, Incorporated (the ‘‘Exchange’’ TPH and non-TPH) of TPHs that are
with respect to the proposed rule or ‘‘CBOE’’) filed with the Securities brokers and PULSe users (‘‘PULSe
change that are filed with the and Exchange Commission (the brokers’’) with the ability to receive
Commission, and all written ‘‘Commission’’) the proposed rule ‘‘drop-copy’’ order fill messages from
communications relating to the change as described in Items I, II, and their PULSe brokers. These fill messages
proposed rule change between the III below, which Items have been allow customers to update positions,
Commission and any person, other than prepared by the Exchange. The risk calculations and streamline back-
those that may be withheld from the Commission is publishing this notice to office functions.
public in accordance with the solicit comments on the proposed rule The Exchange is proposing reducing
provisions of 5 U.S.C. 552, will be change from interested persons.
the monthly fee to be assessed on TPHs
available for Web site viewing and I. Self-Regulatory Organization’s who are either receiving or sending drop
printing in the Commission’s Public Statement of the Terms of Substance of copies via a PULSe workstation.
Reference Room, 100 F Street NE., the Proposed Rule Change Whether the drop copy sender or
Washington, DC 20549 on official receiver is assessed the fee is dependent
business days between the hours of The text of the proposed rule change
is available on the Exchange’s Web site upon whether the customer receiving
10:00 a.m. and 3:00 p.m. Copies of such the drop copies is a TPH or non-TPH.
(http://www.cboe.com/AboutCBOE/
filing also will be available for
CBOELegalRegulatoryHome.aspx), at If a customer receiving drop copies is
inspection and copying at the principal
the Exchange’s Office of the Secretary, a TPH, that TPH customer (the receiving
office of the Exchange. All comments
and at the Commission’s Public TPH) will now be charged a fee of $425
received will be posted without change; Reference Room. per month (down from $1000 per
the Commission does not edit personal
II. Self-Regulatory Organization’s month), per PULSe broker from whom
identifying information from
Statement of the Purpose of, and it receives drop copies via PULSe. For
submissions. You should submit only
Statutory Basis for, the Proposed Rule example, if TPH customer A receives
information that you wish to make
Change drop copies from each of PULSe broker
available publicly. All submissions
A, PULSe broker B, and PULSe broker
should refer to File Number SR–NSX– In its filing with the Commission, the C (all of which are TPHs), TPH A (the
2017–05, and should be submitted on or Exchange included statements
receiving TPH) will be charged a fee of
before March 20, 2017. concerning the purpose of and basis for
$1275 per month for receiving drop
For the Commission, by the Division of the proposed rule change and discussed
copies via PULSe from PULSe brokers
Trading and Markets, pursuant to delegated any comments it received on the
A, B and C (the sending TPHs).
authority.14 proposed rule change. The text of these
statements may be examined at the If a customer receiving drop copies is
Eduardo A. Aleman, a non-TPH, the PULSe broker (the
places specified in Item IV below. The
Assistant Secretary. Exchange has prepared summaries, set sending TPH) who sends drop copies
[FR Doc. 2017–03800 Filed 2–24–17; 8:45 am] forth in sections A, B, and C below, of via PULSe to that customer will now be
BILLING CODE 8011–01–P the most significant aspects of such charged a fee of $400 per month (down
statements. from $500 per month). If that PULSe
broker sends drop copies via PULSe to
A. Self-Regulatory Organization’s
Statement of the Purpose of, and multiple non-TPH customers, the
Statutory Basis for, the Proposed Rule PULSe broker will be charged the fee for
Change each customer. For example, if PULSe
broker A sends drop copies via its
mstockstill on DSK3G9T082PROD with NOTICES
1. Purpose PULSe workstation to each of non-TPH
The Exchange proposes to amend its customer A, non-TPH customer B and
Fees Schedule. The Exchange is non-TPH customer C, PULSe broker A
changing fees for functionality related to (the sending TPH) will be charged a fee
of $1200 per month for drop copies it
1 15 U.S.C. 78s(b)(1). sends via PULSe to non-TPH customers
14 17 CFR 200.30–3(a)(12). 2 17 CFR 240.19b–4. A, B and C (the receiving non-TPHs).
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![11990 Federal Register / Vol. 82, No. 37 / Monday, February 27, 2017 / Notices
Commission takes such action, the For the Commission, by the Division of information technology; and (d) whether
Commission will institute proceedings Trading and Markets, pursuant to delegated there are ways to enhance the quality,
to determine whether the proposed rule authority.8 utility, and clarity of the information.
change should be approved or Eduardo A. Aleman,
Assistant Secretary.
Summary of Information Collection
disapproved.
[FR Doc. 2017–03805 Filed 2–24–17; 8:45 am] Title: Form of Detached Assignment
IV. Solicitation of Comments for U.S. Small Business Administration
BILLING CODE 8011–01–P
Interested persons are invited to Loan Pool or Guaranteed Interest
submit written data, views, and Certificate.
arguments concerning the foregoing, SMALL BUSINESS ADMINISTRATION Description of Respondents:
including whether the proposed rule Secondary Market Loan Programs.
change is consistent with the Act. Data Collection Available for Public Form Number: SBA Form 1088.
Comments may be submitted by any of Comments Total Estimated Annual Responses:
the following methods: 5,000.
60-day notice and request for
ACTION: Total Estimated Annual Hour Burden:
Electronic Comments comments. 7,500.
• Use the Commission’s Internet SUMMARY: The Small Business Curtis B. Rich,
comment form (http://www.sec.gov/ Administration (SBA) intends to request Management Analyst.
rules/sro.shtml); or approval, from the Office of [FR Doc. 2017–03750 Filed 2–24–17; 8:45 am]
• Send an email to rule-comments@ Management and Budget (OMB) for the BILLING CODE 8025–01–P
sec.gov. Please include File Number SR– collection of information described
CBOE–2017–015 on the subject line. below. The Paperwork Reduction Act
(PRA) of 1995, 44 U.S.C. Chapter 35 SMALL BUSINESS ADMINISTRATION
Paper Comments
requires federal agencies to publish a
Data Collection Available for Public
• Send paper comments in triplicate notice in the Federal Register
concerning each proposed collection of Comments
to Secretary, Securities and Exchange
Commission, 100 F Street NE., information before submission to OMB, 60-Day notice and request for
ACTION:
Washington, DC 20549–1090. and to allow 60 days for public comments.
comment in response to the notice. This
All submissions should refer to File
notice complies with that requirement. SUMMARY: The Small Business
Number SR–CBOE–2017–015. This file
number should be included on the DATES: Submit comments on or before Administration (SBA) intends to request
subject line if email is used. To help the April 28, 2017. approval, from the Office of
Commission process and review your ADDRESSES: Send all comments to Mary
Management and Budget (OMB) for the
comments more efficiently, please use Frias, Loan Specialist, Office of collection of information described
only one method. The Commission will Financial Assistance, Small Business below. The Paperwork Reduction Act
post all comments on the Commission’s Administration, 409 3rd Street SW., (PRA) of 1995, requires federal agencies
Internet Web site (http://www.sec.gov/ Washington, DC 20416. to publish a notice in the Federal
rules/sro.shtml). Copies of the Register concerning each proposed
FOR FURTHER INFORMATION CONTACT:
submission, all subsequent collection of information before
Mary Frias, Loan Specialist, Office of submission to OMB, and to allow 60
amendments, all written statements Financial Assistance, mary.frias@
with respect to the proposed rule days for public comment in response to
sba.gov, 202–401–8234, or Curtis B. the notice. This notice complies with
change that are filed with the Rich, Management Analyst, 202–205–
Commission, and all written that requirement.
7030, curtis.rich@sba.gov.
communications relating to the DATES: Submit comments on or before
SUPPLEMENTARY INFORMATION: The Small April 28, 2017.
proposed rule change between the Business Administration requires
Commission and any person, other than ADDRESSES: Send all comments to Mary
information to be disclosed to the buyer
those that may be withheld from the Frias, Loan Specialist, Office of
when a secondary market loan is
public in accordance with the Financial Assistance, Small Business
transferred from one investor to another.
provisions of 5 U.S.C. 552, will be Administration, 409 3rd Street SW.,
This information includes a constant
available for Web site viewing and Washington, DC 20416.
annual prepayment rate based upon the
printing in the Commission’s Public seller’s analysis pf prepayment histories FOR FURTHER INFORMATION CONTACT:
Reference Room, 100 F Street NE., of SBA guaranteed loans with similar Mary Frias, Loan Specialist, Office of
Washington, DC 20549, on official maturities. Additionally, information is Financial Assistance, mary.frias@
business days between the hours of required on the terms. conditions and sba.gov, 202–401–8234, or Curtis B.
10:00 a.m. and 3:00 p.m. Copies of the yield of the security being transferred. Rich, Management Analyst, 202–205–
filing also will be available for 7030, curtis.rich@sba.gov;
inspection and copying at the principal Solicitation of Public Comments SUPPLEMENTARY INFORMATION: The
office of the Exchange. All comments SBA is requesting comments on (a) purpose of this data collection is to
received will be posted without change; Whether the collection of information is monitor loan payment information on
the Commission does not edit personal necessary for the agency to properly SBA loan portfolios arising from the
mstockstill on DSK3G9T082PROD with NOTICES
identifying information from perform its functions; (b) whether the Immediate Disaster Assistance Program.
submissions. You should submit only burden estimates are accurate; (c) This exercise will involve monthly
information that you wish to make whether there are ways to minimize the updates on the payments received by
available publicly. All submissions burden, including through the use of lenders from small businesses that have
should refer to File Number SR–CBOE– automated techniques or other forms of received funding through this guaranty
2017–015 and should be submitted on program. The Agency looks to better
or before March 20, 2017. 8 17 CFR 200.30–3(a)(12). manage the program’s effectiveness by
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Document Created: 2017-02-25 01:05:38
Document Modified: 2017-02-25 01:05:38
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
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| Section | Notices | |
| FR Citation | 82 FR 11988 |
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