82 FR 27732 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Extend the Exchange's Authority To Grant Exemptions From the OATS Requirements
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 115 (June 16, 2017)
Federal Register Volume 82, Issue 115 (June 16, 2017)
| Page Range | 27732-27734 | |
| FR Document | 2017-12455 |
[Federal Register Volume 82, Number 115 (Friday, June 16, 2017)] [Notices] [Pages 27732-27734] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-12455] ======================================================================= ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-80903; File No. SR-NYSEArca-2017-66] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Extend the Exchange's Authority To Grant Exemptions From the OATS Requirements June 12, 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 June 2, 2017, NYSE Arca, Inc. (the ``Exchange'' or ``NYSE Arca'') filed with the Securities and Exchange Commission (the ``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 NYSE Arca Equities Rule 7470 (Exemption to the Order Recording and Data Transmission Requirements) to extend until November 15, 2019 the ability to exempt certain members from the recording and order data transmission requirements of NYSE Arca Equities Rules 7440 and 7450, respectively, for manual orders. The proposed rule 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. 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 the Statutory Basis for, the Proposed Rule Change 1. Purpose The NYSE Arca Equities Rule 7400 Series consists of NYSE Arca Equities Rules 7410 through 7470 and sets forth the recording and reporting requirements of the Order Audit Trail System (``OATS'') Rules. The OATS Rules require all Exchange permit holders and associated persons to record in electronic form and report to the Financial Industry Regulatory Authority, Inc. (``FINRA''), on a daily basis, certain information with respect to orders originated, received, transmitted, modified, canceled, or executed by permit holders in all NMS stocks, as that term is defined in Rule 600(b)(47) of Regulation NMS,\3\ traded on the Exchange. NYSE Arca Equities Rule 7470 provides the Exchange with the authority to exempt certain members from the recording and reporting requirements and from the recording and order data transmission requirements of NYSE Arca Equities Rules 7440 and 7450, respectively, for manual orders, if such exemption is consistent with the protection of investors and the public interest, and the ETP Holder meets the criteria set forth in paragraph (a) of the Rule.\4\ --------------------------------------------------------------------------- \3\ 17 CFR 242.600(b)(47). \4\ The criteria are as follows: (1) The ETP Holder and current control affiliates and associated persons have not been subject within the last five years to any final disciplinary action, and within the last ten years to any disciplinary action involving fraud; (2) the ETP Holder has annual revenues of less than $2 million; (3) the ETP Holder does not conduct any market making activities in NMS stocks: (4) the ETP Holder does not execute principal transactions with its customers (with limited exception for principal transactions executed pursuant to error corrections); and (5) the ETP Holder does not conduct clearing or carrying activities for other firms. --------------------------------------------------------------------------- NYSE Arca Equities Rule 7470 contains a sunset provision, which was July 10, 2015. In June 2015, FINRA filed a proposed rule change to extend the sunset provision until July 10, 2019.\5\ The Exchange proposes to amend NYSE Arca Equities Rule 7470 to extend the provision until November 15, 2019. The proposed change would correct an oversight in not filing when the sunset provision expired in 2015. --------------------------------------------------------------------------- \5\ See Securities Exchange Act Release No. 75160 (June 11, 2015), 80 FR 34727 (June 17, 2015) (SR-FINRA-2015-016). --------------------------------------------------------------------------- The Exchange believes it would be appropriate to extend the sunset provision in NYSE Arca Equities Rule 7470 to November 15, 2019 rather than the July 10, 2019 date in the FINRA Rule. At the time FINRA filed its proposed rule change, the National [[Page 27733]] Market System Plan Governing the Consolidated Audit Trail (the ``CAT NMS Plan'') \6\ had not been approved by the Commission. The CAT NMS Plan was approved by the Commission, as modified, on November 15, 2016.\7\ On March 21, 2017, the Commission approved the NYSE Arca Equities Rule 6.6800 Series to implement the provisions of the CAT NMS Plan applicable to ETP Holders.\8\ NYSE Arca Equities Rule 6.6895(c)(2) requires each Industry Member that is a Small Industry Member to record and report the Industry Member Data to the Central Repository by November 15, 2019. --------------------------------------------------------------------------- \6\ Unless otherwise specified, capitalized terms used in this rule filing are defined as set forth herein or in the CAT NMS Plan. \7\ Securities Exchange Act Release No. 79318 (November 15, 2016), 81 FR 84696 (November 23, 2016) (Order Approving the National Market System Plan Governing the Consolidated Audit Trail). \8\ See Securities Exchange Act Release No. 80256 (March 15, 2017), 82 FR 14526 (March 21, 2017) (SR-NYSEArca-2017-03; SR- NYSEArca-2017-04) (Order Approving Proposed Rule Changes to Adopt Consolidated Audit Trail Compliance Rules). --------------------------------------------------------------------------- The Exchange believes that extending the sunset provision in NYSE Arca Equities Rule 7470 to the same date that all Small Industry Members must report to the CAT is appropriate and would permit such firms relying on the exemption to continue to do so provided they meet the criteria to qualify until that time. The Exchange is not proposing any substantive changes to the criteria necessary for firms to qualify for an exemption and notes that all of those member organizations currently reporting to OATS or relying on an exemption from OATS reporting will be reporting to the CAT by November 15, 2019.\9\ --------------------------------------------------------------------------- \9\ Rule 6.6895(c)(1) requires each Industry Member (other than a Small Industry Member) to record and report the Industry Member Data to the Central Repository by November 15, 2018. --------------------------------------------------------------------------- 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act,\10\ in general, and furthers the objectives of Section 6(b)(5) of the Act,\11\ in particular, because 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, and, in general to protect investors and the public interest. --------------------------------------------------------------------------- \10\ 15 U.S.C. 78f(b). \11\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- In particular, the Exchange believes that amending NYSE Arca Equities Rule 7470 to extend until November 15, 2019 the ability to exempt certain members from the recording and order data transmission requirements of NYSE Arca Equities Rules 7440 and 7450, respectively, for manual orders, is consistent with Section 6(b)(5) of the Act \12\ because it would enable the Exchange to exempt manual orders received by certain small firms from the OATS Rules and avoid imposing potentially unnecessary expense or hardship on those firms that qualify for the exemption as they transition to reporting order information to the CAT Central Repository. As noted, the proposed sunset provision is the same date that all Small Industry Members must report to the CAT. Further, the Exchange is not proposing any substantive changes to the criteria necessary for firms to qualify for an exemption, which will continue to ensure that only those firms with limited revenue, no recent final disciplinary actions, and limited business models will remain eligible for the exemption. The Exchange accordingly believes that the proposed rule change is consistent with the protection of investors and the public interest. --------------------------------------------------------------------------- \12\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- 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 that is not necessary or appropriate in furtherance of the purposes of the Act. The proposed change is not designed to address any competitive issue but rather, as noted above, would enable the Exchange to exempt manual orders received by certain small firms from the OATS reporting requirements through November 15, 2019, the same date that all Small Industry Members must report to the CAT, and thereby avoid imposing potentially unnecessary expense or hardship on those firms that qualify for the exemption as they transition to reporting order information to the CAT Central Repository. 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 The Exchange has filed the proposed rule change pursuant to Section 19(b)(3)(A)(iii) of the Act \13\ and Rule 19b-4(f)(6) thereunder.\14\ Because the 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 prior to 30 days from the date on which it was filed, or such shorter time as the Commission may designate, if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b- 4(f)(6)(iii) thereunder.\15\ --------------------------------------------------------------------------- \13\ 15 U.S.C. 78s(b)(3)(A)(iii). \14\ 17 CFR 240.19b-4(f)(6). \15\ In addition, Rule 19b-4(f)(6)(iii) requires the Exchange to provide the Commission with written notice of its intent to file the proposed rule change, along with a brief description and the text of the proposed rule change, at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. The Exchange has complied with this requirement. --------------------------------------------------------------------------- The Exchange has asked the Commission to waive the 30-day operative delay so that the proposed rule change will become operative immediately upon filing. In support of its request, the Exchange stated that waiver of the operative delay would continue to enable the Exchange to grant small firms exemptions from the OATS requirements as those firms are preparing to report information to the CAT Central Repository, thereby avoiding potentially unnecessary expense or hardship on firms that qualify for the exemption. The Commission believes that waiving the 30-day operative delay is consistent with the protection of investors and the public interest. Absent such action, a small firm that otherwise would qualify for an exemption would have to comply with the Exchange requirements to record and report manual orders to OATS because the Exchange would not have the authority to grant an exemption during the 30-day pre-operative period. The Commission agrees with the Exchange that waiving the 30-day operative delay would enable the Exchange, in appropriate cases, to prevent unnecessary expense being imposed on small firms. Therefore, the Commission hereby waives the operative delay and designates the [[Page 27734]] proposed rule change operative upon filing.\16\ --------------------------------------------------------------------------- \16\ For purposes only of waiving the 30-day operative delay, the Commission has also 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 such 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 Commission takes such action, the Commission shall institute proceedings under Section 19(b)(2)(B) of the Act \17\ to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \17\ 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-NYSEArca-2017-66 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-NYSEArca-2017-66. 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-NYSEArca-2017-66 and should be submitted on or before July 7, 2017. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\18\ --------------------------------------------------------------------------- \18\ 17 CFR 200.30-3(a)(12). Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017-12455 Filed 6-15-17; 8:45 am] BILLING CODE 8011-01-P
![27732 Federal Register / Vol. 82, No. 115 / Friday, June 16, 2017 / Notices
Public Attendance SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s
The public is welcome to attend the COMMISSION Statement of the Purpose of, and the
argument at the Atomic Safety and Statutory Basis for, the Proposed Rule
Licensing Board Panel’s hearing room. [Release No. 34–80903; File No. SR– Change
However, only the designated NYSEArca-2017–66] 1. Purpose
representatives will be permitted to
Self-Regulatory Organizations; NYSE The NYSE Arca Equities Rule 7400
participate in the argument. Neither
Arca, Inc.; Notice of Filing and Series consists of NYSE Arca Equities
signs nor any manner of demonstration
Immediate Effectiveness of Proposed Rules 7410 through 7470 and sets forth
will be permitted in the hearing room.
Rule Change To Extend the the recording and reporting
Those people wishing to attend the oral
Exchange’s Authority To Grant requirements of the Order Audit Trail
argument in person should contact the
Exemptions From the OATS System (‘‘OATS’’) Rules. The OATS
Board’s law clerk, Julie Reynolds-Engel,
Requirements Rules require all Exchange permit
at 301–415–5680 or julie.reynolds-
holders and associated persons to record
engel@nrc.gov no later than Tuesday, June 12, 2017. in electronic form and report to the
June 27, 2017, to provide their names
Pursuant to Section 19(b)(1) of the Financial Industry Regulatory
for security purposes. All members of
Securities Exchange Act of 1934 (the Authority, Inc. (‘‘FINRA’’), on a daily
the public participating in person must
‘‘Act’’) 1 and Rule 19b–4 thereunder,2 basis, certain information with respect
present a valid photo ID and should
notice is hereby given that, on June 2, to orders originated, received,
arrive at least twenty minutes early so
2017, NYSE Arca, Inc. (the ‘‘Exchange’’ transmitted, modified, canceled, or
as to allow sufficient time to pass
or ‘‘NYSE Arca’’) filed with the executed by permit holders in all NMS
through security screening. Cell phones
Securities and Exchange Commission stocks, as that term is defined in Rule
are not permitted in the hearing room.
(the ‘‘Commission’’) the proposed rule 600(b)(47) of Regulation NMS,3 traded
Listen-Only Telephone Access change as described in Items I and II on the Exchange. NYSE Arca Equities
The Board’s law clerk will contact the below, which Items have been prepared Rule 7470 provides the Exchange with
participants by email to provide the by the Exchange. The Commission is the authority to exempt certain members
telephone number and pass code for publishing this notice to solicit from the recording and reporting
listen-only access to oral argument. comments on the proposed rule change requirements and from the recording
Members of the public who wish to from interested persons. and order data transmission
listen to the conference may also contact requirements of NYSE Arca Equities
the Board’s law clerk, Julie Reynolds- I. Self-Regulatory Organization’s Rules 7440 and 7450, respectively, for
Engel, at 301–415–5680 or Statement of the Terms of Substance of manual orders, if such exemption is
julie.reynolds-engel@nrc.gov, for the the Proposed Rule Change consistent with the protection of
necessary listen-only telephone access investors and the public interest, and
The Exchange proposes to amend the ETP Holder meets the criteria set
information by Tuesday, June 27, 2017. NYSE Arca Equities Rule 7470 forth in paragraph (a) of the Rule.4
Transcript Availability (Exemption to the Order Recording and NYSE Arca Equities Rule 7470
Data Transmission Requirements) to contains a sunset provision, which was
After June 29, 2017, a transcript of the extend until November 15, 2019 the
oral argument will be available for July 10, 2015. In June 2015, FINRA filed
ability to exempt certain members from a proposed rule change to extend the
public inspection electronically on the the recording and order data
NRC’s Electronic Hearing Docket (EHD). sunset provision until July 10, 2019.5
transmission requirements of NYSE The Exchange proposes to amend NYSE
EHD is accessible from the NRC Web Arca Equities Rules 7440 and 7450,
site at https://adams.nrc.gov/ehd. For Arca Equities Rule 7470 to extend the
respectively, for manual orders. The provision until November 15, 2019. The
additional information regarding EHD, proposed rule change is available on the
please see http://www.nrc.gov/about- proposed change would correct an
Exchange’s Web site at www.nyse.com, oversight in not filing when the sunset
nrc/regulatory/adjudicatory.html#ehd. at the principal office of the Exchange,
Persons who do not have access to the provision expired in 2015.
and at the Commission’s Public The Exchange believes it would be
internet or who encounter problems in Reference Room.
accessing the documents located on the appropriate to extend the sunset
NRC’s Web site may contact the NRC II. Self-Regulatory Organization’s provision in NYSE Arca Equities Rule
Public Document Room reference staff Statement of the Purpose of, and 7470 to November 15, 2019 rather than
by email to pdr@nrc.gov or by telephone Statutory Basis for, the Proposed Rule the July 10, 2019 date in the FINRA
at (800) 397–4209 or (301) 415–4737. Change Rule. At the time FINRA filed its
Reference staff are available Monday proposed rule change, the National
In its filing with the Commission, the
through Friday between 8:00 a.m. and
self-regulatory organization included 3 17 CFR 242.600(b)(47).
4:00 p.m. ET, except federal holidays.
statements concerning the purpose of, 4 The criteria are as follows: (1) The ETP Holder
For additional information regarding the and current control affiliates and associated persons
and basis for, the proposed rule change
NRC Public Document Room please see have not been subject within the last five years to
and discussed any comments it received any final disciplinary action, and within the last ten
http://www.nrc.gov/reading-rm/
on the proposed rule change. The text years to any disciplinary action involving fraud; (2)
pdr.html.
It is so ordered. of those statements may be examined at the ETP Holder has annual revenues of less than $2
the places specified in Item IV below. million; (3) the ETP Holder does not conduct any
sradovich on DSK3GMQ082PROD with NOTICES
For the Atomic Safety and Licensing market making activities in NMS stocks: (4) the ETP
The Exchange has prepared summaries, Holder does not execute principal transactions with
Board, Rockville, Maryland.
set forth in sections A, B, and C below, its customers (with limited exception for principal
Dated: June 5, 2017. of the most significant parts of such transactions executed pursuant to error corrections);
Ronald M. Spritzer, statements. and (5) the ETP Holder does not conduct clearing
Chairman, Administrative Judge. or carrying activities for other firms.
5 See Securities Exchange Act Release No. 75160
[FR Doc. 2017–12357 Filed 6–15–17; 8:45 am] 1 15 U.S.C. 78s(b)(1). (June 11, 2015), 80 FR 34727 (June 17, 2015) (SR–
BILLING CODE 7590–01–P 2 17 CFR 240.19b–4. FINRA–2015–016).
VerDate Sep<11>2014 17:12 Jun 15, 2017 Jkt 241001 PO 00000 Frm 00058 Fmt 4703 Sfmt 4703 E:\FR\FM\16JNN1.SGM 16JNN1](https://thefederalregister.org/doc/82_FR_27847/page/1.svg)
![27734 Federal Register / Vol. 82, No. 115 / Friday, June 16, 2017 / Notices
proposed rule change operative upon Reference Room, 100 F Street NE., Commission’s Secretary and serving
filing.16 Washington, DC 20549 on official applicants with a copy of the request,
At any time within 60 days of the business days between the hours of personally or by mail. Hearing requests
filing of such proposed rule change, the 10:00 a.m. and 3:00 p.m. Copies of the should be received by the Commission
Commission summarily may filing also will be available for by 5:30 p.m. on July 8, 2017, and should
temporarily suspend such rule change if inspection and copying at the principal be accompanied by proof of service on
it appears to the Commission that such office of the Exchange. All comments applicants, in the form of an affidavit or,
action is necessary or appropriate in the received will be posted without change; for lawyers, a certificate of service.
public interest, for the protection of the Commission does not edit personal Pursuant to rule 0–5 under the Act,
investors, or otherwise in furtherance of identifying information from hearing requests should state the nature
the purposes of the Act. If the submissions. You should submit only of the writer’s interest, any facts bearing
Commission takes such action, the information that you wish to make upon the desirability of a hearing on the
Commission shall institute proceedings available publicly. All submissions matter, the reason for the request, and
under Section 19(b)(2)(B) of the Act 17 to should refer to File Number SR– the issues contested. Persons who wish
determine whether the proposed rule NYSEArca–2017–66 and should be to be notified of a hearing may request
change should be approved or submitted on or before July 7, 2017. notification by writing to the
disapproved. For the Commission, by the Division Commission’s Secretary.
IV. Solicitation of Comments of Trading and Markets, pursuant to ADDRESSES: Secretary, U.S. Securities
delegated authority.18 and Exchange Commission, 100 F
Interested persons are invited to
submit written data, views, and Eduardo A. Aleman, Street, NE., Washington, DC 20549–
arguments concerning the foregoing, Assistant Secretary. 1090; Applicants, 3 Park Avenue, 36th
including whether the proposed rule [FR Doc. 2017–12455 Filed 6–15–17; 8:45 am]
Floor, New York, NY 10016.
change is consistent with the Act. BILLING CODE 8011–01–P FOR FURTHER INFORMATION CONTACT:
Comments may be submitted by any of Jessica Shin, Attorney-Adviser, at (202)
the following methods: 551–5921 or Robert H. Shapiro, Branch
Electronic Comments SECURITIES AND EXCHANGE Chief, at (202) 551–6821 (Division of
COMMISSION Investment Management, Chief
• Use the Commission’s Internet Counsel’s Office).
comment form (http://www.sec.gov/ [Investment Company Act Release No.
32678; 812–14711] SUPPLEMENTARY INFORMATION: The
rules/sro.shtml); or
• Send an email to rule-comments@ following is a summary of the
CION Ares Diversified Credit Fund, et application. The complete application
sec.gov. Please include File Number SR–
al.; Notice of Application may be obtained via the Commission’s
NYSEArca–2017–66 on the subject line.
Web site by searching for the file
Paper Comments June 13, 2017.
number, or an applicant using the
AGENCY: Securities and Exchange
• Send paper comments in triplicate Commission (‘‘Commission’’).
Company name box, at http://
to Secretary, Securities and Exchange www.sec.gov/search/search.htm or by
ACTION: Notice. calling (202) 551–8090.
Commission, 100 F Street NE.,
Washington, DC 20549–1090. Notice of an application under section Applicants’ Representations
All submissions should refer to File 6(c) of the Investment Company Act of
Number SR–NYSEArca–2017–66. This 1. The Fund is a Delaware statutory
1940 (the ‘‘Act’’) for an exemption from
file number should be included on the trust that is registered under the Act as
sections 18(a)(2), 18(c), and 18(i) of the
subject line if email is used. To help the a diversified, closed-end management
Act, and for an order pursuant to section
Commission process and review your investment company. The Fund’s
17(d) of the Act and rule 17d–1 under
comments more efficiently, please use objective is to provide superior risk-
the Act.
only one method. The Commission will adjusted returns across various market
Summary of Application: Applicants
post all comments on the Commission’s cycles by investing in a diversified
request an order to permit certain
Internet Web site (http://www.sec.gov/ portfolio of liquid and illiquid asset
registered closed-end management
rules/sro.shtml). Copies of the classes.
investment companies to issue multiple
submission, all subsequent classes of shares of beneficial interest 2. The Adviser, a Delaware limited
amendments, all written statements (‘‘Shares’’) and to impose asset-based liability company, is registered as an
with respect to the proposed rule service and/or distribution fees, and investment adviser under the
change that are filed with the contingent deferred sales loads Investment Advisers Act of 1940. The
Commission, and all written (‘‘CDSCs’’). Adviser serves as investment adviser to
communications relating to the Applicants: CION Ares Diversified the Fund.
proposed rule change between the Credit Fund (the ‘‘Fund’’) and CION 3. The applicants seek an order to
Commission and any person, other than Ares Management, LLC (the ‘‘Adviser’’). permit the Fund to issue multiple
those that may be withheld from the Filing Dates: The application was classes of Shares, each having its own
public in accordance with the filed on October 24, 2016, and amended fee and expense structure, and to
provisions of 5 U.S.C. 552, will be on February 13, 2017, March 13, 2017, impose asset-based distribution and/or
available for Web site viewing and service fees, and CDSCs.
sradovich on DSK3GMQ082PROD with NOTICES
May 11, 2017, and June 6, 2017.
printing in the Commission’s Public Hearing or Notification of Hearing: An 4. Applicants request that the order
order granting the requested relief will also apply to any other continuously
16 For purposes only of waiving the 30-day
be issued unless the Commission orders offered registered closed-end
operative delay, the Commission has also
a hearing. Interested persons may management investment company
considered the proposed rule’s impact on existing now or in the future for which
efficiency, competition, and capital formation. See request a hearing by writing to the
15 U.S.C. 78c(f). the Adviser or any entity controlling,
17 15 U.S.C. 78s(b)(2)(B). 18 17 CFR 200.30–3(a)(12). controlled by, or under common control
VerDate Sep<11>2014 17:12 Jun 15, 2017 Jkt 241001 PO 00000 Frm 00060 Fmt 4703 Sfmt 4703 E:\FR\FM\16JNN1.SGM 16JNN1](https://thefederalregister.org/doc/82_FR_27847/page/3.svg)
Document Created: 2017-06-16 00:51:51
Document Modified: 2017-06-16 00:51:51
| 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 | 82 FR 27732 |
2025 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR