82 FR 39923 - Order Granting Limited Exemptions From Exchange Act Rule 10b-17 and Rules 101 and 102 of Regulation M to IQ Real Return ETF Pursuant to Exchange Act Rule 10b-17(b)(2) and Rules 101(d) and 102(e) of Regulation M
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 161 (August 22, 2017)
Federal Register Volume 82, Issue 161 (August 22, 2017)
| Page Range | 39923-39925 | |
| FR Document | 2017-17688 |
[Federal Register Volume 82, Number 161 (Tuesday, August 22, 2017)] [Notices] [Pages 39923-39925] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-17688] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-81410; File No. TP 17-10] Order Granting Limited Exemptions From Exchange Act Rule 10b-17 and Rules 101 and 102 of Regulation M to IQ Real Return ETF Pursuant to Exchange Act Rule 10b-17(b)(2) and Rules 101(d) and 102(e) of Regulation M August 16, 2017. By letter dated August 16, 2017 (the ``Letter''), as supplemented by conversations with the staff of the Division of Trading and Markets, counsel for IndexIQ ETF Trust (the ``Trust''), on behalf of the Trust and one of its investment portfolios, the IQ Real Return ETF (the ``Fund''), NYSE Arca, Inc. (``NYSE Arca'') or other national securities exchanges on or through which shares issued by the Fund (``Shares'') may subsequently trade, ALPS Distributors, Inc. (the ``Distributor''), and persons or entities engaging in transactions in Shares (collectively, the ``Requestors''), requested exemptions, or interpretive or no-action relief, from Rule 10b-17 of the Securities Exchange Act of 1934, as amended (``Exchange Act''), and Rules 101 and 102 of Regulation M, in connection with secondary market transactions in Shares and the creation or redemption of aggregations of Shares of at least 50,000 shares (``Creation Units''). The Trust is registered with the Securities and Exchange Commission (``Commission'') under the Investment Company Act of 1940, as amended (``1940 Act''), as an open-end management investment company. The Fund is a ``fund of funds'' that is passively managed according to an index. The Fund is designed to track the performance of the IQ Real Return Index (``Index''), which seeks to provide investors with a hedge against the U.S. inflation rate by providing a ``real return,'' or a return above the rate of inflation, as represented by the Consumer Price Index (``CPI''). At least 80% of the Fund's portfolio holdings are, and will be, shares of some or all of the exchange-traded products (``ETPs'') that constitute the Index. The Fund operates in a manner very similar to that of the ETPs held in its portfolio. Some or all of the remaining 20% may be invested in securities that are not Index constituents that the Fund's adviser believes will help the Fund track the Index, as well as cash, cash equivalents and various types of financial instruments including, but not [[Page 39924]] limited to, futures contracts, swap agreements, forward contracts, reverse repurchase agreements, and options on securities, indices, and futures contracts. In no case will the Fund hold any non-ETP equity security issued by a single issuer in excess of 20% of the Fund's portfolio holdings. The Letter states that the Fund is relying on Class Relief Letters (as defined in the Letter), but is seeking individual relief for the same reasons as did nine other investment portfolios of the Trust \1\-- that is, to manage a portfolio with less than twenty ``Component Securities'' that, from time to time, might also hold also hold a Component Security in excess of 25% of the total value of such portfolio.\2\ --------------------------------------------------------------------------- \1\ See Order Granting Limited Exemptions from Exchange Act Rule 10b-17 and Rules 101 and 102 of Regulation M, Exchange Act Rel. No. 77779 (May 6, 2016); Letter from Josephine J. Tao, Esq., Assistant Director, Division of Trading and Markets, to Kathleen H. Moriarty, Esq., Katten Muchin Rosenman LLP (Mar. 25, 2009) (revised Apr. 2, 2009). \2\ Cf. Letter from James A. Brigagliano, Esq., Acting Associate Director, Division of Market Regulation, to Stuart M. Strauss, Esq., Clifford Chance US LLP (Oct. 24, 2006) (granting relief to exchange- traded funds (``ETFs'') that, among other things, consist of a basket of twenty or more ``Component Securities'' with no one ``Component Security'' constituting more than 25% of the total value of the exchange-traded fund). --------------------------------------------------------------------------- The Requestors represent, among other things, the following:Shares of the Fund will be issued by the Trust, an open- end management investment company that is registered with the Commission; The Trust will continuously redeem Creation Units at net asset value (``NAV''), and the secondary market price of the Shares should not vary substantially from the NAV of such Shares; Shares of the Fund will be listed and traded on the NYSE Arca (the ``Exchange'') or other exchange in accordance with exchange listing standards that are, or will become, effective pursuant to Section 19(b) of the Exchange Act; Each ETP in which the Fund is invested will meet all conditions set forth in a relevant class relief letter,\3\ or will have received individual relief from the Commission; --------------------------------------------------------------------------- \3\ Letter from Josephine Tao, Assistant Director, Division of Trading and Markets, to Domenick Pugliese, Esq., Paul, Hastings, Janofsky and Walker LLP (June 27, 2007); Letter from James A. Brigagliano, Associate Director, Division of Market Regulation, to Benjamin Haskin, Esq., Willkie, Farr & Gallagher LLP (Apr. 9, 2007); Letter from James A. Brigagliano, Acting Associate Director, Division of Market Regulation, to Stuart M. Strauss, Esq., Clifford Chance US LLP (Oct. 24, 2006); Letter from Racquel L. Russell, Branch Chief, Division of Market Regulation, to George T. Simon, Esq., Foley & Lardner LLP (June 21, 2006); Letter from Catherine McGuire, Esq., Chief Counsel, Division of Market Regulation, to the Securities Industry Association Derivative Products Committee (Nov. 21, 2005); see also Staff Legal Bulletin No. 9, ``Frequently Asked Questions About Regulation M'' (Apr. 12, 2002) (regarding actively managed ETFs). --------------------------------------------------------------------------- The value of the Index will be publicly disseminated by a major market data vendor throughout the trading day, and all of the components of the Index will have publicly available last sale trade information; On each business day before the opening of business on the Exchange, the Fund's custodian, through the National Securities Clearing Corporation, will make available the list of the names and the numbers of securities and other assets of the Fund's portfolio that will be applicable that day to creation and redemption requests; The Exchange or other market information provider will disseminate every 15 seconds throughout the trading day through the facilities of the Consolidated Tape Association an amount representing the current value of the cash and securities held in the portfolio of the Fund (not including corporate actions, expenses, and other adjustments made to such portfolio throughout the day) (``Estimated NAV''); At least 80% of the Fund's portfolio holdings are, and will be, shares of some or all of the ETPs that are the Index constituents; The Fund will invest in securities that will facilitate an effective and efficient arbitrage mechanism and the ability to create workable hedges; The Requestors believe that arbitrageurs can be expected to take advantage of price variations between the Fund's market price and its NAV; The arbitrage mechanism will be facilitated by the transparency of the Fund's portfolio and the availability of the Estimated NAV, the liquidity of securities and other assets held by the Fund, and the ability to acquire such securities, as well as arbitrageurs' ability to create workable hedges; and A close alignment between the market price of Shares and the Fund's NAV is expected. Regulation M While redeemable securities issued by an open-end management investment company are excepted from the provisions of Rule 101 and 102 of Regulation M, the Requestors may not rely upon that exception for the Shares.\4\ However, we find that it is appropriate in the public interest, and is consistent with the protection of investors, to grant a limited exemption from Rules 101 and 102 to persons who may be deemed to be participating in a distribution of Shares and the Fund as described in more detail below. --------------------------------------------------------------------------- \4\ While ETFs operate under exemptions from the definitions of ``open-end company'' under section 5(a)(1) of the 1940 Act and ``redeemable security'' under section 2(a)(32) of the 1940 Act, the Fund and its securities do not meet those definitions. --------------------------------------------------------------------------- Rule 101 of Regulation M Generally, Rule 101 of Regulation M is an anti-manipulation rule that, subject to certain exceptions, prohibits any ``distribution participant'' and its ``affiliated purchasers'' from bidding for, purchasing, or attempting to induce any person to bid for or purchase, any security which is the subject of a distribution until after the applicable restricted period, except as specifically permitted in the rule. Rule 100 of Regulation M defines ``distribution'' to mean any offering of securities that is distinguished from ordinary trading transactions by the magnitude of the offering and the presence of special selling efforts and selling methods. The provisions of Rule 101 of Regulation M apply to underwriters, prospective underwriters, brokers, dealers, or other persons who have agreed to participate or are participating in a distribution of securities. The Shares are in a continuous distribution and, as such, the restricted period in which distribution participants and their affiliated purchasers are prohibited from bidding for, purchasing, or attempting to induce others to bid for or purchase extends indefinitely. Based on the representations and facts presented in the Letter, particularly that the Trust is a registered open-end management investment company that will continuously redeem at the NAV Creation Unit size aggregations of the Shares of the Fund and that a close alignment between the market price of Shares and the Fund's NAV is expected, the Commission finds that it is appropriate in the public interest, and consistent with the protection of investors, to grant the Trust an exemption under paragraph (d) of Rule 101 of Regulation M with respect to Shares of the Fund, thus permitting persons participating in a distribution of Shares of the Fund to bid for or purchase such Shares during their participation in such distribution.\5\ --------------------------------------------------------------------------- \5\ Additionally, we confirm the interpretation that a redemption of Creation Unit size aggregations of Shares of the Fund and the receipt of securities in exchange by a participant in a distribution of Shares of the Fund would not constitute an ``attempt to induce any person to bid for or purchase, a covered security during the applicable restricted period'' within the meaning of Rule 101 of Regulation M and, therefore, would not violate that rule. --------------------------------------------------------------------------- [[Page 39925]] Rule 102 of Regulation M Rule 102 of Regulation M prohibits issuers, selling security holders, or any affiliated purchaser of such person from bidding for, purchasing, or attempting to induce any person to bid for or purchase a covered security during the applicable restricted period in connection with a distribution of securities effected by or on behalf of an issuer or selling security holder. Based on the representations and facts presented in the Letter, particularly that the Trust is a registered open-end management investment company that will redeem at the NAV Creation Units of Shares of the Fund and that a close alignment between the market price of Shares and the Fund's NAV is expected, the Commission finds that it is appropriate in the public interest, and consistent with the protection of investors, to grant the Trust an exemption under paragraph (e) of Rule 102 of Regulation M with respect to Shares of the Fund, thus permitting the Fund to redeem Shares of the Fund during the continuous offering of such Shares. Rule 10b-17 Rule 10b-17, with certain exceptions, requires an issuer of a class of publicly traded securities to give notice of certain specified actions (for example, a dividend distribution) relating to such class of securities in accordance with Rule 10b-17(b). Based on the representations and facts presented in the Letter, and subject to the conditions below, we find that it is appropriate in the public interest, and consistent with the protection of investors, to grant the Trust a conditional exemption from Rule 10b-17 because market participants will receive timely notification of the existence and timing of a pending distribution, and thus the concerns that the Commission raised in adopting Rule 10b-17 will not be implicated.\6\ --------------------------------------------------------------------------- \6\ We also note that timely compliance with Rule 10b- 17(b)(1)(v)(a) and (b) would be impractical because it is not possible for the Fund to accurately project ten days in advance what dividend, if any, would be paid on a particular record date. Further, the Commission finds, based upon the representations in the Letter, that the provision of the notices as described in the Letter would not constitute a manipulative or deceptive device or contrivance comprehended within the purpose of Rule 10b-17. --------------------------------------------------------------------------- Conclusion It is hereby ordered, pursuant to Rule 101(d) of Regulation M, that the Trust, based on the representations and the facts presented in the Letter, is exempt from the requirements of Rule 101 with respect to Shares of the Fund, thus permitting persons who may be deemed to be participating in a distribution of Shares of the Fund to bid for or purchase such Shares during their participation in such distribution. It is further ordered, pursuant to Rule 102(e) of Regulation M, that the Trust, based on the representations and the facts presented in the Letter, is exempt from the requirements of Rule 102 with respect to Shares of the Fund, thus permitting the Fund to redeem Shares of the Fund during the continuous offering of such Shares. It is further ordered, pursuant to Rule 10b-17(b)(2), that the Trust, based on the representations and the facts presented in the Letter, and subject to the conditions below, is exempt from the requirements of Rule 10b-17 with respect to transactions in the Shares of the Fund. This exemptive relief is subject to the following conditions: The Trust will comply with Rule 10b-17 except for Rule 10b-17(b)(1)(v)(a) and (b); and The Trust will provide the information required by Rule 10b-17(b)(1)(v)(a) and (b) to the Exchange as soon as practicable before trading begins on the ex-dividend date, but in no event later than the time when the Exchange last accepts information relating to distributions on the day before the ex-dividend date. This exemptive relief is subject to modification or revocation at any time the Commission determines that such action is necessary or appropriate in furtherance of the purposes of the Exchange Act. This exemption is based on the facts presented and the representations made in the Letter. Any different facts or representations may require a different response. Persons relying upon this exemptive relief shall discontinue transactions involving the Shares of the Fund, pending presentation of the facts for the Commission's consideration, in the event that any material change occurs with respect to any of the facts or representations made by the Requestors and, as is the case with all preceding letters, particularly with respect to the close alignment between the market price of Shares and the Fund's NAV. In addition, persons relying on this exemptive relief are directed to the anti-fraud and anti-manipulation provisions of the Exchange Act, particularly Sections 9(a) and 10(b), and Rule 10b-5 thereunder. Responsibility for compliance with these and any other applicable provisions of the federal securities laws must rest with the persons relying on this exemptive relief. This Order should not be considered a view with respect to any other question that the proposed transactions may raise, including, but not limited to the adequacy of the disclosure concerning, and the applicability of other federal or state laws to, the proposed transactions. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\7\ --------------------------------------------------------------------------- \7\ 17 CFR 200.30-3(a)(6) and (9). --------------------------------------------------------------------------- Robert W. Errett, Deputy Secretary. [FR Doc. 2017-17688 Filed 8-21-17; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 82, No. 161 / Tuesday, August 22, 2017 / Notices 39923
for market participants at other NYSEAMER–2017–04 on the subject SECURITIES AND EXCHANGE
exchanges, such market participants are line. COMMISSION
welcome to become ATP Holders.
The Exchange notes that it operates in Paper Comments [Release No. 34–81410; File No. TP 17–10]
a highly competitive market in which • Send paper comments in triplicate Order Granting Limited Exemptions
market participants can readily favor to Secretary, Securities and Exchange From Exchange Act Rule 10b–17 and
competing venues. In such an
Commission, 100 F Street NE., Rules 101 and 102 of Regulation M to
environment, the Exchange must
Washington, DC 20549–1090. IQ Real Return ETF Pursuant to
continually review, and consider
Exchange Act Rule 10b–17(b)(2) and
adjusting, its fees and credits to remain All submissions should refer to File
Rules 101(d) and 102(e) of Regulation
competitive with other exchanges. For Number SR–NYSEAMER–2017–04. This
M
the reasons described above, the file number should be included on the
Exchange believes that the proposed subject line if email is used. To help the August 16, 2017.
rule change reflects this competitive Commission process and review your By letter dated August 16, 2017 (the
environment. comments more efficiently, please use ‘‘Letter’’), as supplemented by
C. Self-Regulatory Organization’s only one method. The Commission will conversations with the staff of the
Statement on Comments on the post all comments on the Commission’s Division of Trading and Markets,
Proposed Rule Change Received From Internet Web site (http://www.sec.gov/ counsel for IndexIQ ETF Trust (the
Members, Participants, or Others rules/sro.shtml). Copies of the ‘‘Trust’’), on behalf of the Trust and one
submission, all subsequent of its investment portfolios, the IQ Real
No written comments were solicited Return ETF (the ‘‘Fund’’), NYSE Arca,
or received with respect to the proposed amendments, all written statements
with respect to the proposed rule Inc. (‘‘NYSE Arca’’) or other national
rule change. securities exchanges on or through
change that are filed with the
III. Date of Effectiveness of the Commission, and all written which shares issued by the Fund
Proposed Rule Change and Timing for communications relating to the (‘‘Shares’’) may subsequently trade,
Commission Action proposed rule change between the ALPS Distributors, Inc. (the
‘‘Distributor’’), and persons or entities
The foregoing rule change is effective Commission and any person, other than
engaging in transactions in Shares
upon filing pursuant to Section those that may be withheld from the
(collectively, the ‘‘Requestors’’),
19(b)(3)(A) 13 of the Act and public in accordance with the
requested exemptions, or interpretive or
subparagraph (f)(2) of Rule 19b–4 14 provisions of 5 U.S.C. 552, will be no-action relief, from Rule 10b–17 of the
thereunder, because it establishes a due, available for Web site viewing and Securities Exchange Act of 1934, as
fee, or other charge imposed by the printing in the Commission’s Public amended (‘‘Exchange Act’’), and Rules
Exchange. Reference Room, 100 F Street NE., 101 and 102 of Regulation M, in
At any time within 60 days of the Washington, DC 20549 on official connection with secondary market
filing of such proposed rule change, the business days between the hours of transactions in Shares and the creation
Commission summarily may 10:00 a.m. and 3:00 p.m. Copies of such or redemption of aggregations of Shares
temporarily suspend such rule change if filing also will be available for of at least 50,000 shares (‘‘Creation
it appears to the Commission that such inspection and copying at the principal Units’’).
action is necessary or appropriate in the office of the Exchange. All comments The Trust is registered with the
public interest, for the protection of
received will be posted without change; Securities and Exchange Commission
investors, or otherwise in furtherance of
the Commission does not edit personal (‘‘Commission’’) under the Investment
the purposes of the Act. If the
identifying information from Company Act of 1940, as amended
Commission takes such action, the
submissions. You should submit only (‘‘1940 Act’’), as an open-end
Commission shall institute proceedings
information that you wish to make management investment company. The
under Section 19(b)(2)(B)15 of the Act to
available publicly. All submissions Fund is a ‘‘fund of funds’’ that is
determine whether the proposed rule
should refer to File Number SR– passively managed according to an
change should be approved or
NYSEAMER–2017–04, and should be index. The Fund is designed to track the
disapproved.
submitted on or before September 12, performance of the IQ Real Return Index
IV. Solicitation of Comments 2017. (‘‘Index’’), which seeks to provide
Interested persons are invited to investors with a hedge against the U.S.
For the Commission, by the Division of inflation rate by providing a ‘‘real
submit written data, views, and Trading and Markets, pursuant to delegated
arguments concerning the foregoing, return,’’ or a return above the rate of
authority.16 inflation, as represented by the
including whether the proposed rule
Eduardo A. Aleman, Consumer Price Index (‘‘CPI’’).
change is consistent with the Act.
Comments may be submitted by any of Assistant Secretary. At least 80% of the Fund’s portfolio
the following methods: [FR Doc. 2017–17684 Filed 8–21–17; 8:45 am] holdings are, and will be, shares of some
BILLING CODE 8011–01–P
or all of the exchange-traded products
Electronic Comments (‘‘ETPs’’) that constitute the Index. The
• Use the Commission’s Internet Fund operates in a manner very similar
to that of the ETPs held in its portfolio.
sradovich on DSK3GMQ082PROD with NOTICES
comment form (http://www.sec.gov/
rules/sro.shtml); or Some or all of the remaining 20% may
• Send an email to rule-comments@ be invested in securities that are not
sec.gov. Please include File Number SR– Index constituents that the Fund’s
adviser believes will help the Fund
13 15 U.S.C. 78s(b)(3)(A). track the Index, as well as cash, cash
14 17 CFR 240.19b–4(f)(2). equivalents and various types of
15 15 U.S.C. 78s(b)(2)(B). 16 17 CFR 200.30–3(a)(12). financial instruments including, but not
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![Federal Register / Vol. 82, No. 161 / Tuesday, August 22, 2017 / Notices 39925
Rule 102 of Regulation M permitting persons who may be deemed This Order should not be considered
Rule 102 of Regulation M prohibits to be participating in a distribution of a view with respect to any other
issuers, selling security holders, or any Shares of the Fund to bid for or question that the proposed transactions
affiliated purchaser of such person from purchase such Shares during their may raise, including, but not limited to
bidding for, purchasing, or attempting to participation in such distribution. the adequacy of the disclosure
induce any person to bid for or purchase It is further ordered, pursuant to Rule concerning, and the applicability of
a covered security during the applicable 102(e) of Regulation M, that the Trust, other federal or state laws to, the
restricted period in connection with a based on the representations and the proposed transactions.
distribution of securities effected by or facts presented in the Letter, is exempt For the Commission, by the Division of
on behalf of an issuer or selling security from the requirements of Rule 102 with Trading and Markets, pursuant to delegated
holder. respect to Shares of the Fund, thus authority.7
Based on the representations and facts permitting the Fund to redeem Shares of Robert W. Errett,
presented in the Letter, particularly that the Fund during the continuous offering Deputy Secretary.
the Trust is a registered open-end of such Shares. [FR Doc. 2017–17688 Filed 8–21–17; 8:45 am]
management investment company that It is further ordered, pursuant to Rule BILLING CODE 8011–01–P
will redeem at the NAV Creation Units 10b–17(b)(2), that the Trust, based on
of Shares of the Fund and that a close the representations and the facts
alignment between the market price of presented in the Letter, and subject to SECURITIES AND EXCHANGE
Shares and the Fund’s NAV is expected, the conditions below, is exempt from COMMISSION
the Commission finds that it is the requirements of Rule 10b–17 with
appropriate in the public interest, and respect to transactions in the Shares of
[Release No. 34–81409; File No. SR–Phlx–
consistent with the protection of the Fund. 2017–67)]
investors, to grant the Trust an This exemptive relief is subject to the
exemption under paragraph (e) of Rule following conditions: Self-Regulatory Organizations;
102 of Regulation M with respect to • The Trust will comply with Rule NASDAQ PHLX LLC; Notice of Filing of
Shares of the Fund, thus permitting the 10b–17 except for Rule 10b– Proposed Rule Change Related to the
Fund to redeem Shares of the Fund 17(b)(1)(v)(a) and (b); and Floor Requirements
during the continuous offering of such • The Trust will provide the
Shares. information required by Rule 10b– August 16, 2017.
Rule 10b–17 17(b)(1)(v)(a) and (b) to the Exchange as Pursuant to Section 19(b)(1) of the
soon as practicable before trading begins Securities Exchange Act of 1934
Rule 10b–17, with certain exceptions, on the ex-dividend date, but in no event (‘‘Act’’),1 and Rule 19b–4 thereunder,2
requires an issuer of a class of publicly later than the time when the Exchange notice is hereby given that on August 3,
traded securities to give notice of certain last accepts information relating to 2017, NASDAQ PHLX LLC (‘‘Phlx’’ or
specified actions (for example, a distributions on the day before the ex- ‘‘Exchange’’) filed with the Securities
dividend distribution) relating to such dividend date. and Exchange Commission (‘‘SEC’’ or
class of securities in accordance with ‘‘Commission’’) the proposed rule
This exemptive relief is subject to
Rule 10b–17(b). Based on the change as described in Items I, II, and
modification or revocation at any time
representations and facts presented in III, below, which Items have been
the Commission determines that such
the Letter, and subject to the conditions prepared by the Exchange. The
action is necessary or appropriate in
below, we find that it is appropriate in Commission is publishing this notice to
furtherance of the purposes of the
the public interest, and consistent with solicit comments on the proposed rule
Exchange Act. This exemption is based
the protection of investors, to grant the change from interested persons.
on the facts presented and the
Trust a conditional exemption from
representations made in the Letter. Any I. Self-Regulatory Organization’s
Rule 10b–17 because market
participants will receive timely different facts or representations may Statement of the Terms of Substance of
notification of the existence and timing require a different response. Persons the Proposed Rule Change
of a pending distribution, and thus the relying upon this exemptive relief shall
discontinue transactions involving the The Exchange proposes to amend
concerns that the Commission raised in Commentary .01 of Rule 1014,
adopting Rule 10b–17 will not be Shares of the Fund, pending
presentation of the facts for the Obligations and Restrictions Applicable
implicated.6 to Specialists and Registered Options
Commission’s consideration, in the
Conclusion event that any material change occurs Traders, to change quarterly trading
It is hereby ordered, pursuant to Rule with respect to any of the facts or requirements applicable to Registered
101(d) of Regulation M, that the Trust, representations made by the Requestors Options Traders (‘‘ROTs’’), as described
based on the representations and the and, as is the case with all preceding below.3
facts presented in the Letter, is exempt letters, particularly with respect to the The text of the proposed rule change
from the requirements of Rule 101 with close alignment between the market is set forth below. Proposed new
respect to Shares of the Fund, thus price of Shares and the Fund’s NAV. In language is italicized; deletions are
addition, persons relying on this bracketed.
6 We also note that timely compliance with Rule exemptive relief are directed to the anti- * * * * *
10b–17(b)(1)(v)(a) and (b) would be impractical fraud and anti-manipulation provisions
sradovich on DSK3GMQ082PROD with NOTICES
because it is not possible for the Fund to accurately of the Exchange Act, particularly 7 17 CFR 200.30–3(a)(6) and (9).
project ten days in advance what dividend, if any,
would be paid on a particular record date. Further, Sections 9(a) and 10(b), and Rule 10b– 1 15 U.S.C. 78s(b)(1).
the Commission finds, based upon the 5 thereunder. Responsibility for 2 17 CFR 240.19b–4.
representations in the Letter, that the provision of 3 A Registered Options Trader or ROT is a regular
compliance with these and any other
the notices as described in the Letter would not member of the Exchange located on the trading
constitute a manipulative or deceptive device or
applicable provisions of the federal floor who has received permission from the
contrivance comprehended within the purpose of securities laws must rest with the Exchange to trade in options for his own account.
Rule 10b–17. persons relying on this exemptive relief. See Exchange Rule 1014(b)(i).
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Document Created: 2018-10-24 11:54:11
Document Modified: 2018-10-24 11:54:11
| 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 39923 |
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