82 FR 13031 - Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Renaming NYSE OptX
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 44 (March 8, 2017)
Federal Register Volume 82, Issue 44 (March 8, 2017)
| Page Range | 13031-13033 | |
| FR Document | 2017-04478 |
[Federal Register Volume 82, Number 44 (Wednesday, March 8, 2017)] [Notices] [Pages 13031-13033] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-04478] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-80141; File No. SR-NYSEMKT-2017-07] Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Renaming NYSE OptX March 2, 2017. Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given that, on February 23, 2017, NYSE MKT LLC (the ``Exchange'' or ``NYSE MKT'') 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 self-regulatory organization. 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\ 15 U.S.C. 78a. \3\ 17 CFR 240.19b-4. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of the Substance of the Proposed Rule Change The Exchange proposes to rename NYSE OptX, an order entry platform that would allow for the submission of Qualified Contingent Cross (``QCC'') \4\ Orders and orders executed in the Exchange's Customer Best Execution (``CUBE'') \5\ Auction by ATP Holders, to NYSE Options IMprintTM. The proposed change is available on the Exchange's Web site at www.nyse.com, at the principal office of the Exchange, and at the Commission's Public Reference Room. --------------------------------------------------------------------------- \4\ A QCC order is comprised of an originating order to buy or sell at least 1,000 contracts, or 10,000 mini-options contracts, that is identified as being part of a qualified contingent trade, as that term is defined in Commentary .01 to Rule 900.3NY, coupled with a contra-side order or orders totaling an equal number of contracts. See Rule 900.3NY(y). \5\ CUBE is the Exchange's price improvement auction mechanism that allows an ATP Holder to electronically submit a limit order it represents as agent on behalf of a public customer, broker dealer, or any other entity (``CUBE Order'') provided that the Initiating Participant guarantees the execution of the CUBE Order by submitting a contra-side order representing principal interest or interest it has solicited to trade with the CUBE Order at a specified price or by utilizing auto-match or auto-match limit features provided in the Rule. See Rule 971.1NY. --------------------------------------------------------------------------- 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 self-regulatory organization 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 those statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant parts of such statements. A. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange recently introduced NYSE OptX,\6\ an order entry platform [[Page 13032]] that would allow for the submission of QCC Orders and CUBE Orders by ATP Holders.\7\ The purpose of this filing is to rename NYSE OptX to NYSE Options IMprint. The Exchange is not proposing any change to the service established in the NYSE OptX Rule Filing. --------------------------------------------------------------------------- \6\ See Securities Exchange Act Release No. 79720 (January 3, 2017), 82 FR 2427 (January 9, 2017) (Order Approving Proposed Rule Change, as Modified by Amendment No. 1 Thereto, Introducing NYSE OptX) (SR-NYSEMKT-2016-102) (``NYSE OptX Rule Filing''). See also Securities Exchange Act Release No. 79328 (November 16, 2016), 81 FR 83888 (November 22, 2016) (Notice of Filing of Proposed Rule Change, as Modified by Amendment No. 1 Thereto, Introducing NYSE OptX) (SR- NYSEMKT-2016-102). \7\ The term ``ATP Holder'' refers to a natural person, sole proprietorship, partnership, corporation, limited liability company or other organization, in good standing, that has been issued an ATP. An ATP Holder must be a registered broker or dealer pursuant to Section 15 of the Securities Exchange Act of 1934. See Rule 900.2NY.(5). --------------------------------------------------------------------------- The Exchange has not yet introduced the service established in the NYSE OptX Rule Filing to ATP Holders. As stated in the NYSE OptX Rule Filing, the Exchange will announce the effective date of the rebranded service in a Trader Update no later than 90 days following approval of the NYSE OptX Rule Filing. The NYSE OptX Rule Filing was approved on January 3, 2017. The Exchange notes it will publish the Trader Update announcing the effective date of the re-branded service, NYSE Options IMprint, no later than April 3, 2017. As represented in the NYSE OptX Rule Filing, the effective date of NYSE Options IMprint will be no later than 270 days following publication of the Trader Update. 2. Statutory Basis The proposed rule change is consistent with Section 6(b) \8\ of the Securities Exchange Act of 1934 (the ``Act''), in general, and furthers the objectives of Section 6(b)(5),\9\ in particular, in that it is 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 facilitating transactions in securities, and to remove impediments to and perfect the mechanism of a free and open market and a national market system. The Exchange asserts that the proposed rule change, which is intended to rebrand an approved service, will serve the Act's goals by ensuring that the Exchange's rules use current terminology. The Exchange further believes the proposed change is ministerial and is intended to eliminate any potential investor confusion related to the service when it is introduced under a new name, thereby removing impediments to and perfecting the mechanism of a free and open market and a national market system, and, in general, protecting investors and the public interest. --------------------------------------------------------------------------- \8\ 15 U.S.C. 78f(b). \9\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- For these reasons, the Exchange believes that the proposal is consistent with the Act. B. Self-Regulatory Organization's Statement on Burden on Competition In accordance with Section 6(b)(8) of the Act,\10\ the Exchange does not believe that the proposed rule change would impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. Moreover, the Exchange believes that proposed rule change does not impact competition in any respect, since it is designed to rename a previously approved service. --------------------------------------------------------------------------- \10\ 15 U.S.C. 78f(b)(8). --------------------------------------------------------------------------- C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action This filing is made pursuant to Section 19(b)(3)(A) of the Act \11\ and Rule 19b-4(f)(5) \12\ thereunder. --------------------------------------------------------------------------- \11\ 15 U.S.C. 78s(b)(3)(A). \12\ 17 CFR 240.19b-4(f)(5). --------------------------------------------------------------------------- This filing relates solely to effecting a change in an existing order-entry or trading system of a self-regulatory organization that (i) does not significantly affect the protection of investors or the public interest, (ii) does not impose any significant burden on competition, and (iii) does not have the effect of limiting the access to or the availability of the system, and as such takes effect upon filing under Subsection (iii) of Paragraph (A). At any time within 60 days of the filing of the proposed rule change, the Commission summarily may suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings under Section 19(b)(2)(B) \13\ of the Act to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \13\ 15 U.S.C. 78s(b)(2)(B). --------------------------------------------------------------------------- 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-NYSEMKT-2017-07 on the subject line. Paper Comments Send paper comments in triplicate to Brent J. Fields, Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090. All submissions should refer to File Number SR-NYSEMKT-2017-07. 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 such 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-NYSEMKT-2017-07, and should be submitted on or before March 29, 2017. [[Page 13033]] For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\14\ --------------------------------------------------------------------------- \14\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017-04478 Filed 3-7-17; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 82, No. 44 / Wednesday, March 8, 2017 / Notices 13031
defaulting Netting Members associated number should be included on the proposed rule change as described in
with the liquidation of a defaulted subject line if email is used. To help the Items I, II, and III below, which Items
Netting Member’s portfolio. Commission process and review your have been prepared by the self-
comments more efficiently, please use regulatory organization. The
III. Date of Effectiveness of the Advance
only one method. The Commission will Commission is publishing this notice to
Notice and Timing for Commission solicit comments on the proposed rule
post all comments on the Commission’s
Action change from interested persons.
Internet Web site (http://www.sec.gov/
The proposed change may be rules/sro.shtml). Copies of the
implemented if the Commission does I. Self-Regulatory Organization’s
submission, all subsequent Statement of the Terms of the Substance
not object to the proposed change amendments, all written statements
within 60 days of the later of (i) the date of the Proposed Rule Change
with respect to the Advance Notice that
that the proposed change was filed with are filed with the Commission, and all The Exchange proposes to rename
the Commission or (ii) the date that any written communications relating to the NYSE OptX, an order entry platform
additional information requested by the Advance Notice between the that would allow for the submission of
Commission is received. The clearing Commission and any person, other than Qualified Contingent Cross (‘‘QCC’’) 4
agency shall not implement the those that may be withheld from the Orders and orders executed in the
proposed change if the Commission has public in accordance with the Exchange’s Customer Best Execution
any objection to the proposed change. provisions of 5 U.S.C. 552, will be (‘‘CUBE’’) 5 Auction by ATP Holders, to
The Commission may extend the available for Web site viewing and NYSE Options IMprintTM. The proposed
period for review by an additional 60 printing in the Commission’s Public change is available on the Exchange’s
days if the proposed change raises novel Reference Room, 100 F Street NE., Web site at www.nyse.com, at the
or complex issues, subject to the Washington, DC 20549 on official principal office of the Exchange, and at
Commission providing the clearing business days between the hours of the Commission’s Public Reference
agency with prompt written notice of 10:00 a.m. and 3:00 p.m. Copies of the Room.
the extension. A proposed change may filing also will be available for II. Self-Regulatory Organization’s
be implemented in less than 60 days inspection and copying at the principal Statement of the Purpose of, and
from the date the advance notice is office of FICC and on DTCC’s Web site Statutory Basis for, the Proposed Rule
filed, or the date further information (http://dtcc.com/legal/sec-rule- Change
requested by the Commission is filings.aspx). All comments received
received, if the Commission notifies the In its filing with the Commission, the
will be posted without change; the self-regulatory organization included
clearing agency in writing that it does Commission does not edit personal
not object to the proposed change and statements concerning the purpose of,
identifying information from and basis for, the proposed rule change
authorizes the clearing agency to submissions. You should submit only
implement the proposed change on an and discussed any comments it received
information that you wish to make on the proposed rule change. The text
earlier date, subject to any conditions available publicly. All submissions
imposed by the Commission. of those statements may be examined at
should refer to File Number SR–FICC– the places specified in Item IV below.
The clearing agency shall post notice 2017–801 and should be submitted on
on its Web site of proposed changes that The Exchange has prepared summaries,
or before March 23, 2017. set forth in sections A, B, and C below,
are implemented.
The proposal shall not take effect By the Commission. of the most significant parts of such
until all regulatory actions required Eduardo A. Aleman, statements.
with respect to the proposal are Assistant Secretary. A. Self-Regulatory Organization’s
completed. [FR Doc. 2017–04476 Filed 3–7–17; 8:45 am] Statement of the Purpose of, and
IV. Solicitation of Comments BILLING CODE 8011–01–P Statutory Basis for, the Proposed Rule
Change
Interested persons are invited to
submit written data, views and SECURITIES AND EXCHANGE 1. Purpose
arguments concerning the foregoing, COMMISSION The Exchange recently introduced
including whether the Advance Notice NYSE OptX,6 an order entry platform
is consistent with the Clearing [Release No. 34–80141; File No. SR–
NYSEMKT–2017–07]
Supervision Act. Comments may be 4 A QCC order is comprised of an originating
submitted by any of the following order to buy or sell at least 1,000 contracts, or
Self-Regulatory Organizations; NYSE 10,000 mini-options contracts, that is identified as
methods: MKT LLC; Notice of Filing and being part of a qualified contingent trade, as that
Electronic Comments Immediate Effectiveness of Proposed term is defined in Commentary .01 to Rule
900.3NY, coupled with a contra-side order or orders
Rule Change Renaming NYSE OptX
• Use the Commission’s Internet totaling an equal number of contracts. See Rule
comment form (http://www.sec.gov/ 900.3NY(y).
March 2, 2017. 5 CUBE is the Exchange’s price improvement
rules/sro.shtml); or Pursuant to Section 19(b)(1) 1 of the auction mechanism that allows an ATP Holder to
• Send an email to rule-comments@ Securities Exchange Act of 1934 (the electronically submit a limit order it represents as
sec.gov. Please include File Number SR– ‘‘Act’’) 2 and Rule 19b–4 thereunder,3 agent on behalf of a public customer, broker dealer,
FICC–2017–801 on the subject line. notice is hereby given that, on February or any other entity (‘‘CUBE Order’’) provided that
the Initiating Participant guarantees the execution
mstockstill on DSK3G9T082PROD with NOTICES
Paper Comments 23, 2017, NYSE MKT LLC (the of the CUBE Order by submitting a contra-side
‘‘Exchange’’ or ‘‘NYSE MKT’’) filed with order representing principal interest or interest it
• Send paper comments in triplicate the Securities and Exchange has solicited to trade with the CUBE Order at a
to Secretary, Securities and Exchange Commission (the ‘‘Commission’’) the specified price or by utilizing auto-match or auto-
Commission, 100 F Street NE., match limit features provided in the Rule. See Rule
971.1NY.
Washington, DC 20549. 1 15 U.S.C. 78s(b)(1). 6 See Securities Exchange Act Release No. 79720
All submissions should refer to File 2 15 U.S.C. 78a. (January 3, 2017), 82 FR 2427 (January 9, 2017)
Number SR–FICC–2017–801. This file 3 17 CFR 240.19b–4. Continued
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![Federal Register / Vol. 82, No. 44 / Wednesday, March 8, 2017 / Notices 13033
For the Commission, by the Division of and discussed any comments it received 2. Statutory Basis
Trading and Markets, pursuant to delegated on the proposed rule change. The text
authority.14 of those statements may be examined at The proposed rule change is
Eduardo A. Aleman, the places specified in Item IV below. consistent with Section 6(b) 8 of the
Assistant Secretary. The Exchange has prepared summaries, Securities Exchange Act of 1934 (the
[FR Doc. 2017–04478 Filed 3–7–17; 8:45 am] set forth in sections A, B, and C below, ‘‘Act’’), in general, and furthers the
BILLING CODE 8011–01–P of the most significant parts of such objectives of Section 6(b)(5),9 in
statements. particular, in that it is designed to
A. Self-Regulatory Organization’s prevent fraudulent and manipulative
SECURITIES AND EXCHANGE acts and practices, to promote just and
COMMISSION Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule equitable principles of trade, to foster
[Release No. 34–80140; File No. SR– Change cooperation and coordination with
NYSEArca–2017–15] persons engaged in facilitating
1. Purpose transactions in securities, and to remove
Self-Regulatory Organizations; NYSE The Exchange recently introduced impediments to and perfect the
Arca, Inc.; Notice of Filing and NYSE OptX, an order entry platform mechanism of a free and open market
Immediate Effectiveness of Proposed that would allow for the submission of and a national market system. The
Rule Change Renaming NYSE OptX QCC Orders by OTP Holders 5 and OTP Exchange asserts that the proposed rule
March 2, 2017. Firms 6 (collectively, ‘‘OTPs’’).7 The change, which is intended to rebrand an
Pursuant to Section 19(b)(1) 1 of the purpose of this filing is to rename NYSE approved service, will serve the Act’s
Securities Exchange Act of 1934 (the OptX to NYSE Options IMprint. The goals by ensuring that the Exchange’s
‘‘Act’’) 2 and Rule 19b–4 thereunder,3 Exchange is not proposing any change rules use current terminology. The
notice is hereby given that, on February to the service established in the NYSE Exchange further believes the proposed
23, 2017, NYSE Arca, Inc. (the OptX Rule Filing.
change is ministerial and is intended to
‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with The Exchange has not yet introduced
the service established in the NYSE eliminate any potential investor
the Securities and Exchange confusion related to the service when it
Commission (the ‘‘Commission’’) the OptX Rule Filing to OTPs. As stated in
the NYSE OptX Rule Filing, the is introduced under a new name,
proposed rule change as described in thereby removing impediments to and
Items I, II, and III below, which Items Exchange will announce the effective
date of the rebranded service in a Trader perfecting the mechanism of a free and
have been prepared by the self- open market and a national market
regulatory organization. The Update no later than 90 days following
approval of the NYSE OptX Rule Filing. system, and, in general, protecting
Commission is publishing this notice to
The NYSE OptX Rule Filing was investors and the public interest.
solicit comments on the proposed rule
change from interested persons. approved on January 3, 2017. The For these reasons, the Exchange
Exchange notes it will publish the believes that the proposal is consistent
I. Self-Regulatory Organization’s Trader Update announcing the effective with the Act.
Statement of the Terms of the Substance date of the re-branded service, NYSE
of the Proposed Rule Change Options IMprint, no later than April 3, B. Self-Regulatory Organization’s
The Exchange proposes to rename 2017. As represented in the NYSE OptX Statement on Burden on Competition
NYSE OptX, an order entry platform Rule Filing, the effective date of NYSE
Options IMprint will be no later than In accordance with Section 6(b)(8) of
that would allow for the submission of
Qualified Contingent Cross orders 270 days following publication of the the Act,10 the Exchange does not believe
(‘‘QCC Orders’’) 4 by OTP Holders and Trader Update. that the proposed rule change would
OTP Firms, to NYSE Options IMprint impose any burden on competition that
TM. The proposed rule change is 5 The term ‘‘OTP Holder’’ refers to a natural is not necessary or appropriate in
person, in good standing, who has been issued an furtherance of the purposes of the Act.
available on the Exchange’s Web site at OTP, or has been named as a Nominee. An OTP
www.nyse.com, at the principal office of Holder must be a registered broker or dealer Moreover, the Exchange believes that
the Exchange, and at the Commission’s pursuant to Section 15 of the Securities Exchange proposed rule change does not impact
Public Reference Room. Act of 1934, or a nominee or an associated person competition in any respect, since it is
of a registered broker or dealer that has been
designed to rename a previously
II. Self-Regulatory Organization’s approved by the Exchange to conduct business on
the Exchange’s Trading Facilities. See Rule 1.1(q). approved service.
Statement of the Purpose of, and 6 The term ‘‘OTP Firm’’ refers to a sole
Statutory Basis for, the Proposed Rule proprietorship, partnership, corporation, limited C. Self-Regulatory Organization’s
Change liability company or other organization in good Statement on Comments on the
standing who holds an OTP or upon whom an Proposed Rule Change Received From
In its filing with the Commission, the individual OTP Holder has conferred trading
self-regulatory organization included privileges on the Exchange’s Trading Facilities
Members, Participants, or Others
statements concerning the purpose of, pursuant to and in compliance with Exchange
and basis for, the proposed rule change Rules. An OTP Firm must be a registered broker or No written comments were solicited
dealer pursuant to Section 15 of the Securities or received with respect to the proposed
14 17
Exchange Act of 1934. See Rule 1.1(r). rule change.
CFR 200.30–3(a)(12). 7 See Securities Exchange Act Release No. 79719
1 15 U.S.C. 78s(b)(1). (January 3, 2017), 82 FR 2417 (January 9, 2017)
mstockstill on DSK3G9T082PROD with NOTICES
2 15 U.S.C. 78a.
(Order Approving Proposed Rule Change, as
3 17 CFR 240.19b–4.
Modified by Amendment No. 1 Thereto,
4 A QCC order is comprised of an originating Introducing NYSE OptX) (SR–NYSEArca–2016–
order to buy or sell at least 1,000 contracts, or 143) (‘‘NYSE OptX Rule Filing’’). See also Securities
10,000 mini-options contracts that is identified as Exchange Act Release No. 79327 (November 16,
being part of a qualified contingent trade, as that 2016), 81 FR 83890 (November 22, 2016) (Notice of 8 15 U.S.C. 78f(b).
term is defined in Commentary .02 to Rule 6.62, Filing of Proposed Rule Change, as Modified by
9 15 U.S.C. 78f(b)(5).
coupled with a contra-side order or orders totaling Amendment No. 1 Thereto, Introducing NYSE
an equal number of contracts. See Rule 6.62(bb). OptX) (SR–NYSEArca–2016–143). 10 15 U.S.C. 78f(b)(8).
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Document Created: 2017-03-08 05:06:39
Document Modified: 2017-03-08 05:06:39
| 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 13031 |
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