82_FR_49457 82 FR 49253 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend NYSE Arca Rule 1.1 and Rule 7.35-E To Make Technical and Conforming Updates in Connection With the Recent Merger of NYSE Arca Equities, Inc.

82 FR 49253 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend NYSE Arca Rule 1.1 and Rule 7.35-E To Make Technical and Conforming Updates in Connection With the Recent Merger of NYSE Arca Equities, Inc.

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 82, Issue 204 (October 24, 2017)

Page Range49253-49255
FR Document2017-22973

Federal Register, Volume 82 Issue 204 (Tuesday, October 24, 2017) 
[Federal Register Volume 82, Number 204 (Tuesday, October 24, 2017)]
[Notices]
[Pages 49253-49255]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-22973]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-81894; File No. SR-NYSEArca-2017-119]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend NYSE Arca 
Rule 1.1 and Rule 7.35-E To Make Technical and Conforming Updates in 
Connection With the Recent Merger of NYSE Arca Equities, Inc.

October 18, 2017.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given 
that, on October 5, 2017, NYSE Arca, Inc. (the ``Exchange'' or ``NYSE 
Arca'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I and 
II 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.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend NYSE Arca Rule 1.1 and Rule 7.35-E 
to make technical and conforming updates in connection with the recent 
merger of NYSE Arca Equities, Inc. (``NYSE Arca Equities'') with and 
into the Exchange. 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 Exchange proposes to amend NYSE Arca Rule 1.1 (Definitions) and 
Rule 7.35-E(d)(4) (Auctions) to make technical and conforming updates 
in connection with the recent merger of its wholly-owned subsidiary 
NYSE Arca Equities, Inc. with and into the Exchange (the ``Merger'').
    On June 2, 2017, the Exchange filed rule changes with the 
Securities and Exchange Commission (``Commission'') in connection with 
the proposed Merger.\4\ On August 15, 2017, the Exchange filed a 
partial amendment to such filing (as amended, the ``Merger 
Filing'').\5\ On August 17, 2017, the Commission approved the proposed 
rule changes, as amended, and the Merger occurred on that same date.\6\
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    \4\ See Securities Exchange Act Release No. 80929 (June 14, 
2017), 82 FR 28157 (June 20, 2017) (SR-NYSEArca-2017-40) (Notice).
    \5\ See Partial Amendment 2 to SR-NYSEArca-2017-40 (August 15, 
2017). The Amendment also was submitted to the Commission as a 
comment letter on the Original Filing. See letter from Martha 
Redding, Associate General Counsel, NYSE Group, to Brent J. Fields, 
Secretary, Commission (August 15, 2017), available at https://www.sec.gov/comments/sr-nysearca-2017-40/nysearca201740-2221802-160732.pdf.
    \6\ See Securities Exchange Act Release No. 81419 (August 17, 
2017), 82 FR 40044 (August 23, 2017) (SR-NYSEArca-2017-40) (Approval 
Order).
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    Prior to the Merger, NYSE Arca had two rulebooks: The NYSE Arca 
rules for its options market and the NYSE Arca Equities rules for its 
equities market. At the Merger, the NYSE Arca Equities rules were 
integrated into the NYSE Arca rules, so that there is now one NYSE Arca 
rulebook.\7\ In that process, NYSE Arca Rule 1.1 was amended to 
incorporate NYSE Arca Equities Rule 1.1 (Definitions), including by 
adding definitions from the NYSE Arca Equities rule that were unique to 
the equities market.\8\
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    \7\ See id. at 40044.
    \8\ See id. at 40047.
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    However, due to an oversight, the Merger Filing did not incorporate 
the NYSE Arca Equities definitions for ``NYSE Arca Book'' or ``UTP 
Security.'' Accordingly, the Exchange proposes to make the following 
amendments to Rule 1.1:
     Add new Rule 1.1(jj) with the following definition of NYSE 
Arca Book: ``The term `NYSE Arca Book' refers to the NYSE Arca 
Marketplace's electronic file of orders, which contains all orders 
entered on the NYSE Arca Marketplace.'' \9\
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    \9\ See Securities Exchange Act Release No. 79078 (October 11, 
2016), 81 FR 71559 (October 17, 2016) (SR-NYSEArca-2016-135).
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     Add new Rule 1.1(iii) with the following definition of 
NYSE Arca Book: ``The term `UTP Security' means a security that is 
listed on a national securities exchange other than the Exchange and 
that trades on the NYSE Arca Marketplace pursuant to unlisted trading 
privileges.'' \10\
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    \10\ See Securities Exchange Act Release No. 75467 (July 16, 
2015), 80 FR 43515 (July 22, 2015) (SR-NYSEArca-2015-58). See also 
Securities Exchange Act Release No. 76198 (October 20, 2015), 80 FR 
65274 (October 26, 2015) (SR-NYSEArca-2015-58).
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     Renumber the other paragraphs in Rule 1.1 to reflect the 
addition of new paragraphs (jj) and (iii).
    In addition, the Exchange proposes to amend Rule 7.35-E(d)(4) to 
update cross references to the definition of ``Official Closing Price'' 
in Rule 1.1.
    Rule 7.35-E has a notice stating that an amended version of the 
rule has been approved but is not yet operative. The notice links to 
the amended version of the rule and the relevant approval order. 
Accordingly, the Exchange proposes to update the cross reference in the 
amended version of the rule. Exhibit 5B sets forth the proposed change 
to the amended but not yet operative version of the rule.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Exchange Act,\11\ in general, and with Section 
6(b)(1) \12\ in particular, in that it enables the Exchange to be so 
organized as to have the capacity to be able to carry out the purposes 
of the Exchange Act and to comply, and to enforce compliance by its 
exchange members and persons associated with its exchange members, with 
the provisions of the Exchange Act, the rules and regulations 
thereunder, and the rules of the Exchange.
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    \11\ 15 U.S.C. 78f(b).
    \12\ 15 U.S.C. 78f(b)(1).

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[[Page 49254]]

    The Exchange believes that the proposed changes to Rule 1.1 would 
enable the Exchange to continue to be so organized as to have the 
capacity to carry out the purposes of the Exchange Act and comply and 
enforce compliance with the provisions of the Exchange Act by its 
members and persons associated with its members, because, by 
incorporating the definitions of NYSE Arca Book and UTP Security, the 
proposed change would correct the oversight of the definitions' 
omission and ensure that the changes made to Rule 1.1 to reflect the 
Merger were accurate and complete.
    For similar reasons, the Exchange also believes that the proposed 
rule change is consistent with Section 6(b)(5) of the Act,\13\ 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, 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.
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    \13\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes that the proposed rule change would remove 
impediments to and perfect the mechanism of a free and open market and 
a national market system in general, to protect investors and the 
public interest, because, by incorporating the definitions of NYSE Arca 
Book and UTP Security, the proposed change would ensure that the 
changes made to Rule 1.1 to reflect the Merger were accurate and 
complete, thereby reducing potential investor or market participant 
confusion.
    Similarly, the Exchange believes that the non-substantive changes 
to Rule 1.1 to renumber the other paragraphs in Rule 1.1 to reflect the 
addition of new paragraphs (jj) and (iii) and to Rule 7.35-E(d)(4) to 
update the cross references would remove impediments to and perfect the 
mechanism of a free and open market and a national market system in 
general, to protect investors and the public interest, because such 
changes would add clarify [sic] and transparency to the Rules, ensuring 
that market participants can more easily navigate and understand the 
Exchange's rules and reducing potential market participant confusion.

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 rule change is 
not intended to address competitive issues but rather is concerned 
solely with updating the Exchange's rules to incorporate the 
definitions of NYSE Arca Book and UTP Security from the rules of NYSE 
Arca Equity [sic] in place prior to the Merger.

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

    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, the proposed rule change has become 
effective pursuant to Section 19(b)(3)(A) of the Act \14\ and Rule 19b-
4(f)(6) thereunder.\15\
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    \14\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \15\ 17 CFR 240.19b-4(f)(6).
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    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the 
Act \16\ normally does not become operative for 30 days after the date 
of its filing. However, Rule 19b-4(f)(6)(iii) \17\ permits the 
Commission to designate a shorter time if such action is consistent 
with the protection of investors and the public interest. The Exchange 
has asked the Commission to waive the 30-day operative delay so that 
the proposal may become operative immediately upon filing. The 
Commission believes that waiving the 30-day operative delay is 
consistent with the protection of investors and the public interest. 
The Exchange indicates that the two definitions were omitted 
inadvertently from the Merger Filing and that waiver of the operative 
delay would ensure that the Exchange's rules include without delay the 
definitions of terms that are used elsewhere in the Exchange's 
rulebook.\18\ The Commission believes that allowing the definitions to 
be incorporated into the NYSE Arca rulebook without delay would add 
clarity to the rulebook and would help reduce any investor or market 
participant confusion that otherwise could result. Accordingly, the 
Commission hereby waives the operative delay and designates the 
proposal operative upon filing.\19\
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    \16\ Id.
    \17\ 17 CFR 240.19b-4(f)(6)(iii).
    \18\ See, e.g., Exchange Rules 1.1(ggg) (definition of 
Regulatory Halt), 7.11-E (Limit Up--Limit Down Plan and Trading 
Pauses in Individual Securities Due to Extraordinary Market 
Volatility), 7.18-E (Halts), and 7.23-E (Obligations of Market 
Makers).
    \19\ 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).
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    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 to 
determine whether the proposed rule change should be approved or 
disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use 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-2017-119 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-2017-119. 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

[[Page 49255]]

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-2017-119 and should be submitted on or before 
November 14, 2017.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\20\
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    \20\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-22973 Filed 10-23-17; 8:45 am]
BILLING CODE 8011-01-P

Federal Register / Vol. 82, No. 204 / Tuesday, October 24, 2017 / Notices 49253 Commission shall either approve or II. Self-Regulatory Organization’s rule that were unique to the equities disapprove or institute proceedings to Statement of the Purpose of, and market.8 determine whether to disapprove the Statutory Basis for, the Proposed Rule However, due to an oversight, the proposed rule change (File No. SR– Change Merger Filing did not incorporate the BatsBZX–2017–56). In its filing with the Commission, the NYSE Arca Equities definitions for self-regulatory organization included ‘‘NYSE Arca Book’’ or ‘‘UTP Security.’’ For the Commission, by the Division of statements concerning the purpose of, Accordingly, the Exchange proposes to Trading and Markets, pursuant to delegated and basis for, the proposed rule change make the following amendments to Rule authority.6 and discussed any comments it received 1.1: Eduardo A. Aleman, • Add new Rule 1.1(jj) with the on the proposed rule change. The text Assistant Secretary. following definition of NYSE Arca of those statements may be examined at [FR Doc. 2017–22974 Filed 10–23–17; 8:45 am] the places specified in Item IV below. Book: ‘‘The term ‘NYSE Arca Book’ BILLING CODE 8011–01–P The Exchange has prepared summaries, refers to the NYSE Arca Marketplace’s set forth in sections A, B, and C below, electronic file of orders, which contains of the most significant parts of such all orders entered on the NYSE Arca SECURITIES AND EXCHANGE statements. Marketplace.’’ 9 COMMISSION • Add new Rule 1.1(iii) with the A. Self-Regulatory Organization’s following definition of NYSE Arca [Release No. 34–81894; File No. SR– Statement of the Purpose of, and the Book: ‘‘The term ‘UTP Security’ means NYSEArca–2017–119] Statutory Basis for, the Proposed Rule a security that is listed on a national Change securities exchange other than the Self-Regulatory Organizations; NYSE 1. Purpose Exchange and that trades on the NYSE Arca, Inc.; Notice of Filing and Arca Marketplace pursuant to unlisted The Exchange proposes to amend trading privileges.’’ 10 Immediate Effectiveness of Proposed Rule Change To Amend NYSE Arca NYSE Arca Rule 1.1 (Definitions) and • Renumber the other paragraphs in Rule 7.35–E(d)(4) (Auctions) to make Rule 1.1 to reflect the addition of new Rule 1.1 and Rule 7.35–E To Make technical and conforming updates in paragraphs (jj) and (iii). Technical and Conforming Updates in connection with the recent merger of its Connection With the Recent Merger of In addition, the Exchange proposes to wholly-owned subsidiary NYSE Arca amend Rule 7.35–E(d)(4) to update cross NYSE Arca Equities, Inc. Equities, Inc. with and into the references to the definition of ‘‘Official October 18, 2017. Exchange (the ‘‘Merger’’). Closing Price’’ in Rule 1.1. On June 2, 2017, the Exchange filed Rule 7.35–E has a notice stating that Pursuant to Section 19(b)(1) 1 of the rule changes with the Securities and an amended version of the rule has been Securities Exchange Act of 1934 Exchange Commission (‘‘Commission’’) approved but is not yet operative. The (‘‘Act’’) 2 and Rule 19b–4 thereunder,3 in connection with the proposed notice links to the amended version of notice is hereby given that, on October Merger.4 On August 15, 2017, the the rule and the relevant approval order. 5, 2017, NYSE Arca, Inc. (the Exchange filed a partial amendment to Accordingly, the Exchange proposes to ‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with such filing (as amended, the ‘‘Merger update the cross reference in the the Securities and Exchange Filing’’).5 On August 17, 2017, the amended version of the rule. Exhibit 5B Commission (‘‘Commission’’) the Commission approved the proposed sets forth the proposed change to the proposed rule change as described in rule changes, as amended, and the amended but not yet operative version Items I and II below, which Items have Merger occurred on that same date.6 of the rule. been prepared by the self-regulatory Prior to the Merger, NYSE Arca had two rulebooks: The NYSE Arca rules for 2. Statutory Basis organization. The Commission is publishing this notice to solicit its options market and the NYSE Arca The Exchange believes that the comments on the proposed rule change Equities rules for its equities market. At proposed rule change is consistent with from interested persons. the Merger, the NYSE Arca Equities Section 6(b) of the Exchange Act,11 in rules were integrated into the NYSE general, and with Section 6(b)(1) 12 in I. Self-Regulatory Organization’s Arca rules, so that there is now one particular, in that it enables the Statement of the Terms of Substance of NYSE Arca rulebook.7 In that process, Exchange to be so organized as to have the Proposed Rule Change NYSE Arca Rule 1.1 was amended to the capacity to be able to carry out the incorporate NYSE Arca Equities Rule purposes of the Exchange Act and to The Exchange proposes to amend 1.1 (Definitions), including by adding comply, and to enforce compliance by NYSE Arca Rule 1.1 and Rule 7.35–E to definitions from the NYSE Arca Equities its exchange members and persons make technical and conforming updates associated with its exchange members, in connection with the recent merger of 4 See Securities Exchange Act Release No. 80929 with the provisions of the Exchange Act, NYSE Arca Equities, Inc. (‘‘NYSE Arca (June 14, 2017), 82 FR 28157 (June 20, 2017) (SR– the rules and regulations thereunder, Equities’’) with and into the Exchange. NYSEArca–2017–40) (Notice). 5 See Partial Amendment 2 to SR–NYSEArca– and the rules of the Exchange. The proposed rule change is available 2017–40 (August 15, 2017). The Amendment also on the Exchange’s Web site at was submitted to the Commission as a comment 8 See id. at 40047. asabaliauskas on DSKBBXCHB2PROD with NOTICES www.nyse.com, at the principal office of letter on the Original Filing. See letter from Martha 9 See Securities Exchange Act Release No. 79078 Redding, Associate General Counsel, NYSE Group, (October 11, 2016), 81 FR 71559 (October 17, 2016) the Exchange, and at the Commission’s (SR–NYSEArca–2016–135). to Brent J. Fields, Secretary, Commission (August Public Reference Room. 15, 2017), available at https://www.sec.gov/ 10 See Securities Exchange Act Release No. 75467 comments/sr-nysearca-2017-40/nysearca201740- (July 16, 2015), 80 FR 43515 (July 22, 2015) (SR– 6 17 2221802-160732.pdf. NYSEArca–2015–58). See also Securities Exchange CFR 200.30–3(a)(31). 6 See Securities Exchange Act Release No. 81419 Act Release No. 76198 (October 20, 2015), 80 FR 1 15 U.S.C. 78s(b)(1). (August 17, 2017), 82 FR 40044 (August 23, 2017) 65274 (October 26, 2015) (SR–NYSEArca–2015–58). 2 15 U.S.C. 78a. (SR–NYSEArca–2017–40) (Approval Order). 11 15 U.S.C. 78f(b). 3 17 CFR 240.19b–4. 7 See id. at 40044. 12 15 U.S.C. 78f(b)(1). VerDate Sep<11>2014 17:47 Oct 23, 2017 Jkt 244001 PO 00000 Frm 00082 Fmt 4703 Sfmt 4703 E:\FR\FM\24OCN1.SGM 24OCN1

49254 Federal Register / Vol. 82, No. 204 / Tuesday, October 24, 2017 / Notices The Exchange believes that the necessary or appropriate in furtherance clarity to the rulebook and would help proposed changes to Rule 1.1 would of the purposes of the Act. The reduce any investor or market enable the Exchange to continue to be proposed rule change is not intended to participant confusion that otherwise so organized as to have the capacity to address competitive issues but rather is could result. Accordingly, the carry out the purposes of the Exchange concerned solely with updating the Commission hereby waives the Act and comply and enforce compliance Exchange’s rules to incorporate the operative delay and designates the with the provisions of the Exchange Act definitions of NYSE Arca Book and UTP proposal operative upon filing.19 by its members and persons associated Security from the rules of NYSE Arca At any time within 60 days of the with its members, because, by Equity [sic] in place prior to the Merger. filing of such proposed rule change, the incorporating the definitions of NYSE Commission summarily may C. Self-Regulatory Organization’s temporarily suspend such rule change if Arca Book and UTP Security, the Statement on Comments on the it appears to the Commission that such proposed change would correct the Proposed Rule Change Received From action is necessary or appropriate in the oversight of the definitions’ omission Members, Participants, or Others public interest, for the protection of and ensure that the changes made to Rule 1.1 to reflect the Merger were No written comments were solicited investors, or otherwise in furtherance of accurate and complete. or received with respect to the proposed the purposes of the Act. If the For similar reasons, the Exchange also rule change. Commission takes such action, the believes that the proposed rule change III. Date of Effectiveness of the Commission shall institute proceedings is consistent with Section 6(b)(5) of the to determine whether the proposed rule Proposed Rule Change and Timing for Act,13 in that it is designed to prevent change should be approved or Commission Action fraudulent and manipulative acts and disapproved. practices, to promote just and equitable Because the proposed rule change does not: (i) Significantly affect the IV. Solicitation of Comments principles of trade, to foster cooperation and coordination with persons engaged protection of investors or the public Interested persons are invited to in facilitating transactions in securities, interest; (ii) impose any significant submit written data, views, and to remove impediments to and perfect burden on competition; and (iii) become arguments concerning the foregoing, the mechanism of a free and open operative prior to 30 days from the date including whether the proposed rule market and a national market system on which it was filed, or such shorter change is consistent with the Act. and, in general, to protect investors and time as the Commission may designate, Comments may be submitted by any of the public interest. the proposed rule change has become the following methods: The Exchange believes that the effective pursuant to Section 19(b)(3)(A) Electronic Comments proposed rule change would remove of the Act 14 and Rule 19b–4(f)(6) impediments to and perfect the thereunder.15 • Use the Commission’s Internet mechanism of a free and open market A proposed rule change filed comment form (http://www.sec.gov/ and a national market system in general, pursuant to Rule 19b–4(f)(6) under the rules/sro.shtml); or to protect investors and the public Act 16 normally does not become • Send an email to rule-comments@ interest, because, by incorporating the operative for 30 days after the date of its sec.gov. Please include File Number SR– definitions of NYSE Arca Book and UTP filing. However, Rule 19b–4(f)(6)(iii) 17 NYSEArca–2017–119 on the subject Security, the proposed change would permits the Commission to designate a line. ensure that the changes made to Rule shorter time if such action is consistent Paper Comments 1.1 to reflect the Merger were accurate with the protection of investors and the • Send paper comments in triplicate and complete, thereby reducing public interest. The Exchange has asked to Secretary, Securities and Exchange potential investor or market participant the Commission to waive the 30-day Commission, 100 F Street NE., confusion. operative delay so that the proposal may Washington, DC 20549–1090. Similarly, the Exchange believes that become operative immediately upon the non-substantive changes to Rule 1.1 filing. The Commission believes that All submissions should refer to File to renumber the other paragraphs in waiving the 30-day operative delay is Number SR–NYSEArca–2017–119. This Rule 1.1 to reflect the addition of new consistent with the protection of file number should be included on the paragraphs (jj) and (iii) and to Rule investors and the public interest. The subject line if email is used. To help the 7.35–E(d)(4) to update the cross Exchange indicates that the two Commission process and review your references would remove impediments definitions were omitted inadvertently comments more efficiently, please use to and perfect the mechanism of a free from the Merger Filing and that waiver only one method. The Commission will and open market and a national market of the operative delay would ensure that post all comments on the Commission’s system in general, to protect investors the Exchange’s rules include without Internet Web site (http://www.sec.gov/ and the public interest, because such delay the definitions of terms that are rules/sro.shtml). Copies of the changes would add clarify [sic] and used elsewhere in the Exchange’s submission, all subsequent transparency to the Rules, ensuring that rulebook.18 The Commission believes amendments, all written statements market participants can more easily that allowing the definitions to be with respect to the proposed rule navigate and understand the Exchange’s incorporated into the NYSE Arca change that are filed with the rules and reducing potential market rulebook without delay would add Commission, and all written communications relating to the asabaliauskas on DSKBBXCHB2PROD with NOTICES participant confusion. 14 15 U.S.C. 78s(b)(3)(A)(iii). proposed rule change between the B. Self-Regulatory Organization’s 15 17 CFR 240.19b–4(f)(6). Commission and any person, other than Statement on Burden on Competition 16 Id. those that may be withheld from the 17 17 CFR 240.19b–4(f)(6)(iii). The Exchange does not believe that 18 See, e.g., Exchange Rules 1.1(ggg) (definition of 19 For purposes only of waiving the 30-day the proposed rule change will impose Regulatory Halt), 7.11–E (Limit Up—Limit Down operative delay, the Commission has also any burden on competition that is not Plan and Trading Pauses in Individual Securities considered the proposed rule’s impact on Due to Extraordinary Market Volatility), 7.18–E efficiency, competition, and capital formation. See 13 15 U.S.C. 78f(b)(5). (Halts), and 7.23–E (Obligations of Market Makers). 15 U.S.C. 78c(f). VerDate Sep<11>2014 17:47 Oct 23, 2017 Jkt 244001 PO 00000 Frm 00083 Fmt 4703 Sfmt 4703 E:\FR\FM\24OCN1.SGM 24OCN1

Federal Register / Vol. 82, No. 204 / Tuesday, October 24, 2017 / Notices 49255 public in accordance with the FILING DATES: The application was filed 3. Three of the Adviser’s clients are provisions of 5 U.S.C. 552, will be on December 20, 2016, and an amended government entities of the City of Little available for Web site viewing and and restated application was filed on Rock (the ‘‘Clients’’). Client A and printing in the Commission’s Public June 21, 2017. Client B are city pension funds and Reference Room, 100 F Street NE., HEARING OR NOTIFICATION OF HEARING: An Client C is a fund maintained by the city Washington, DC 20549 on official order granting the application will be for certain expenses. The Clients are business days between the hours of issued unless the Commission orders a government entities as defined in Rule 10:00 a.m. and 3:00 p.m. Copies of the hearing. Interested persons may request 206(4)–5(f)(5)(i). filing also will be available for a hearing by writing to the 4. The recipient of the Contribution inspection and copying at the principal was Capi Peck (the ‘‘Official’’), who, at Commission’s Secretary and serving office of the Exchange. All comments the time of the Contribution, was Applicant with a copy of the request, received will be posted without change; seeking the office of director on the personally or by mail. Hearing requests the Commission does not edit personal Little Rock Board of Directors. The should be received by the Commission identifying information from Board of Directors appoints a board by 5:30 p.m. on November 13, 2017, and submissions. You should submit only member of Client A, appoints a city should be accompanied by proof of information that you wish to make official with authority to hire an service on Applicant, in the form of an available publicly. All submissions investment manager for Client B and has affidavit or, for lawyers, a certificate of should refer to File Number SR– ultimate investment authority over service. Pursuant to rule 0–5 under the NYSEArca–2017–119 and should be Client C. Due to her position as a Act, hearing requests should state the director, the Official is an ‘‘official’’ of submitted on or before November 14, nature of the writer’s interest, any facts 2017. the Clients as defined in Rule 206(4)– bearing upon the desirability of a 5(f)(6)(ii). As of the date of the For the Commission, by the Division of hearing on the matter, the reason for the application, the Official has not Trading and Markets, pursuant to delegated request, and the issues contested. authority.20 participated in the appointment of Persons may request notification of a anyone with authority on Client A or Eduardo A. Aleman, hearing by writing to the Commission’s Client B’s decision to select an Assistant Secretary. Secretary. investment adviser, nor has she [FR Doc. 2017–22973 Filed 10–23–17; 8:45 am] ADDRESSES: Secretary, Securities and participated in a decision affecting BILLING CODE 8011–01–P Exchange Commission, 100 F Street NE., Client C’s investment with the Adviser. Washington, DC 20549–1090. 5. The Contribution that triggered rule Applicant: Stephens Inc., 111 Center 206(4)–5’s prohibition on compensation SECURITIES AND EXCHANGE Street, Little Rock, AR 72201. under rule 206(4)–5(a)(1) was made COMMISSION online on October 17, 2016 for the FOR FURTHER INFORMATION CONTACT: Rachel Loko, Senior Counsel, or Holly amount of $1,000. Applicant submits [Investment Advisers Act Release No. 4797; that the Contribution was not motivated File No. 803–00238] Hunter-Ceci, Assistant Chief Counsel, at (202) 551- 6825 (Division of Investment by any desire to influence the award of Stephens Inc. Management, Chief Counsel’s Office). investment advisory business. Applicant represents that the October 18, 2017. SUPPLEMENTARY INFORMATION: The Contributor does live in Little Rock and AGENCY: Securities and Exchange following is a summary of the has a longstanding friendship with the Commission (‘‘Commission’’). application. The complete application Official. The Contributor has known the may be obtained via the Commission’s Official for approximately 30 years and ACTION: Notice. Web site at http://www.sec.gov/rules/ known her ex-husband and business Notice of application for an exemptive iareleases.shtml or by calling (202) 551– partner for approximately 35 years. The order under Section 206A of the 8090. Contributor and the official’s ex- Investment Advisers Act of 1940 (the Applicant’s Representations husband also have a shared interest in ‘‘Act’’) and Rule 206(4)–5(e). competitive swimming. The Contributor 1. Applicant is a financial services lived with them for a long time during APPLICANT: Stephens Inc. (‘‘Applicant’’ firm established in Little Rock, Arkansas college, worked at their restaurant and or ‘‘Adviser’’). and registered with the Commission as has maintained close relationships. His RELEVANT SECTIONS OF THE ACT: an investment adviser under the Act. decision to make the Contribution was Exemption requested under section Applicant provides discretionary spontaneous and motivated by his 206A of the Act and rule 206(4)–5(e) investment advisory services to a wide longstanding friendship with the from rule 206(4)–5(a)(1) under the Act. variety of investors. Official. Applicant submits that SUMMARY OF APPLICATION: Applicant 2. The individual who made the although the Contributor and the requests that the Commission issue an campaign contribution that triggered the Official are friends, they have not order under section 206A of the Act and two-year compensation ban (the discussed the Adviser’s advisory rule 206(4)–5(e) exempting it from rule ‘‘Contribution’’) is J. Bradford Eichler business or the potential investments by 206(4)–5(a)(1) under the Act to permit (the ‘‘Contributor’’). The Contributor is the Clients. The Contributor did not Applicant to receive compensation from an Executive Vice President of the seek or coordinate any other certain government entities for asabaliauskas on DSKBBXCHB2PROD with NOTICES Applicant and is the head of Investment contribution for the Official. Applicant investment advisory services provided Banking for the firm. The Contributor’s represents that the Contributor did not to the government entities within the role focuses on oversight of the have any intention to seek, and no two-year period following a Adviser’s corporate finance division. action was taken by the Contributor or contribution by a covered associate of Applicant submits that, because the the Applicant to obtain, any direct or the Applicant to an official of the Contributor is and at the time of the indirect influence from the Official or government entities. contribution was, an executive officer of any other person. the Adviser, he is, and at all relevant 6. The Adviser has been doing 20 17 CFR 200.30–3(a)(12). times was, a covered associate. business with Little Rock, its home city, VerDate Sep<11>2014 17:47 Oct 23, 2017 Jkt 244001 PO 00000 Frm 00084 Fmt 4703 Sfmt 4703 E:\FR\FM\24OCN1.SGM 24OCN1


Document Created: 2018-10-25 10:11:04
Document Modified: 2018-10-25 10:11:04
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
FR Citation82 FR 49253 
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