82_FR_61862 82 FR 61614 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, To Adopt NYSE Arca Rule 8.900-E To Permit Listing and Trading of Managed Portfolio Shares and To List and Trade Shares of the Royce Pennsylvania ETF, Royce Premier ETF, and Royce Total Return ETF Under Proposed NYSE Arca Rule 8.900-E

82 FR 61614 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, To Adopt NYSE Arca Rule 8.900-E To Permit Listing and Trading of Managed Portfolio Shares and To List and Trade Shares of the Royce Pennsylvania ETF, Royce Premier ETF, and Royce Total Return ETF Under Proposed NYSE Arca Rule 8.900-E

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 82, Issue 248 (December 28, 2017)

Page Range61614-61615
FR Document2017-27994

Federal Register, Volume 82 Issue 248 (Thursday, December 28, 2017) 
[Federal Register Volume 82, Number 248 (Thursday, December 28, 2017)]
[Notices]
[Pages 61614-61615]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-27994]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-82374; File No. SR-NYSEArca-2017-36]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of 
Withdrawal of a Proposed Rule Change, as Modified by Amendment No. 1, 
To Adopt NYSE Arca Rule 8.900-E To Permit Listing and Trading of 
Managed Portfolio Shares and To List and Trade Shares of the Royce 
Pennsylvania ETF, Royce Premier ETF, and Royce Total Return ETF Under 
Proposed NYSE Arca Rule 8.900-E

December 21, 2017.
    On April 14, 2017, NYSE Arca, Inc. (``Exchange'') filed with the 
Securities and Exchange Commission (``Commission''), pursuant to 
Section 19(b)(1) of the Securities Exchange Act of 1934 (``Exchange 
Act'') \1\ and Rule 19b-4 thereunder,\2\ a proposed rule change to: (1) 
Adopt NYSE Arca Rule 8.900-E (Managed Portfolio Shares); and (2) list 
and trade shares of the Royce Pennsylvania ETF, Royce Premier ETF, and 
Royce Total Return ETF under proposed NYSE Arca Rule 8.900-E. The 
proposed rule change was published for comment in the Federal Register 
on May 4, 2017.\3\ On June 15, 2017, pursuant to Section 19(b)(2) of 
the Exchange Act,\4\ the Commission designated a longer period within 
which to approve the proposed rule change, disapprove the proposed rule 
change, or institute proceedings to determine whether to disapprove the 
proposed rule change.\5\ The Commission received four comments on the 
proposed rule change.\6\ On July 31, 2017, the Commission instituted 
proceedings under Section 19(b)(2)(B) of the Exchange Act \7\ to 
determine whether to approve or disapprove the proposed rule change.\8\ 
Thereafter, the Commission received eight additional comments on the 
proposed rule change.\9\ On October 30, 2017, the Commission designated 
a longer period for action on the proposed rule change.\10\ On December 
5, 2017, the Exchange filed Amendment No. 1 to the proposed rule change 
(``Amendment No. 1''), which replaced and superseded the proposed rule 
change in its entirety.\11\ Thereafter, the Commission received three 
additional comment letters on the proposed rule change, as modified by 
Amendment No. 1.\12\
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 80553 (April 28, 
2017), 82 FR 20932.
    \4\ 15 U.S.C. 78s(b)(2).
    \5\ See Securities Exchange Act Release No. 80935, 82 FR 28152 
(June 20, 2017). The Commission designated August 2, 2017, as the 
date by which it should approve or disapprove, or institute 
proceedings to determine whether to disapprove, the proposed rule 
change.
    \6\ See Letter from Gary L. Gastineau, President, ETF 
Consultants.com, Inc., to Brent J. Fields, Secretary, Commission, 
dated May 24, 2017; Letter from Todd J. Broms, Chief Executive 
Officer, Broms & Company LLC, to Brent J. Fields, Secretary, 
Commission, dated May 25, 2017; Letter from James J. Angel, 
Associate Professor of Finance, Georgetown University, McDonough 
School of Business, to the Commission, dated May 25, 2017; and 
Letter from Terence W. Norman, Founder, Blue Tractor Group, LLC, to 
Brent J. Fields, Secretary, Commission, dated July 18, 2017. The 
comment letters are available on the Commission's website at: 
https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736.htm.
    \7\ 15 U.S.C. 78s(b)(2)(B).
    \8\ See Securities Exchange Act Release No. 81267, 82 FR 36510 
(August 4, 2017).
    \9\ See Letter from Mark Criscitello, Chairman, Precidian Funds 
LLC, to Brent J. Fields, Secretary, Commission, dated October 11, 
2017; Letter from Daniel J. McCabe, Chief Executive, Precidian 
Investments, to Brent J. Fields, Secretary, Commission, dated 
October 12, 2017; Letter from Joseph A. Sullivan, Chairman and Chief 
Executive Officer, Legg Mason, Inc., to Brent J. Fields, Secretary, 
Commission, dated October 12, 2017; Letter from Andrew M. Gross, 
Jr., to Jay Clayton, Chairman, Commission, dated October 16, 2017; 
Letter from Terence W. Norman, Founder, Blue Tractor Group, LLC, to 
Brent J. Fields, Secretary, Commission, dated October 31, 2017; 
Letter from Simon P. Goulet, Co-Founder, Blue Tractor Group, LLC, to 
Brent J. Fields, Secretary, Commission, dated November 16, 2017; 
Letter from Simon P. Goulet, Co-Founder, Blue Tractor Group, LLC, to 
Brent J. Fields, Secretary, Commission, dated November 22, 2017; and 
Letter from Terence W. Norman, Founder, Blue Tractor Group, LLC, to 
Brent J. Fields, Secretary, Commission, dated November 29, 2017. The 
comment letters are available on the Commission's website at: 
https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736.htm.
    \10\ See Securities Exchange Act Release No. 81977, 82 FR 51311 
(November 3, 2017). The Commission designated December 30, 2017, as 
the date by which the Commission must either approve or disapprove 
the proposed rule change.
    \11\ Amendment No. 1 to the proposed rule change is available at 
https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736-2759313-161597.pdf.
    \12\ See Letter from Terence W. Norman, Founder, Blue Tractor 
Group, LLC, to Brent J. Fields, Secretary, Commission, dated 
December 12, 2017; Letter from Kevin S. Haeberle, Associate 
Professor of Law, William & Mary Law School, to Brent J. Fields, 
Secretary, Commission, dated December 15, 2017; and Letter from Gary 
L. Gastineau, President, ETF Consultants.com, Inc., to Brent J. 
Fields, Secretary, Commission, dated December 18, 2017. The comment 
letters are available on the Commission's website at: https://www.sec.gov/comments/sr-nysearca-2017-36/nysearca201736.htm.
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    On December 20, 2017, the Exchange withdrew the proposed rule 
change (SR-NYSEArca-2017-36), as modified by Amendment No. 1.


[[Page 61615]]


    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\13\
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    \13\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-27994 Filed 12-27-17; 8:45 am]
BILLING CODE 8011-01-P

61614 Federal Register / Vol. 82, No. 248 / Thursday, December 28, 2017 / Notices proceed under the rules governing SECURITIES AND EXCHANGE Exchange Act 7 to determine whether to formal disciplinary proceedings. COMMISSION approve or disapprove the proposed Once the Exchange’s MRVP is rule change.8 Thereafter, the effective, the Exchange will provide to [Release No. 34–82374; File No. SR– NYSEArca–2017–36] Commission received eight additional the Commission a quarterly report for comments on the proposed rule any actions taken on minor rule Self-Regulatory Organizations; NYSE change.9 On October 30, 2017, the violations under the MRVP. The Arca, Inc.; Notice of Withdrawal of a Commission designated a longer period quarterly report will include: The Proposed Rule Change, as Modified by for action on the proposed rule disposition date, the name of the firm/ Amendment No. 1, To Adopt NYSE change.10 On December 5, 2017, the individual, the Exchange’s internal Arca Rule 8.900–E To Permit Listing Exchange filed Amendment No. 1 to the enforcement number, the review period, and Trading of Managed Portfolio the nature of the violation type, the proposed rule change (‘‘Amendment No. Shares and To List and Trade Shares 1’’), which replaced and superseded the number of the rule that was violated, the of the Royce Pennsylvania ETF, Royce number of times the violation occurred, proposed rule change in its entirety.11 Premier ETF, and Royce Total Return Thereafter, the Commission received and the sanction imposed.9 ETF Under Proposed NYSE Arca Rule The Commission finds that the three additional comment letters on the 8.900–E proposal is consistent with the public proposed rule change, as modified by interest, the protection of investors, or December 21, 2017. Amendment No. 1.12 otherwise in furtherance of the purposes On April 14, 2017, NYSE Arca, Inc. On December 20, 2017, the Exchange of the Act, as required by Rule 19d– (‘‘Exchange’’) filed with the Securities withdrew the proposed rule change 1(c)(2) under the Act,10 because the and Exchange Commission (SR–NYSEArca–2017–36), as modified MRVP will permit the Exchange to carry (‘‘Commission’’), pursuant to Section by Amendment No. 1. out its oversight and enforcement 19(b)(1) of the Securities Exchange Act responsibilities as an SRO more of 1934 (‘‘Exchange Act’’) 1 and Rule 7 15 U.S.C. 78s(b)(2)(B). efficiently in cases where formal 19b–4 thereunder,2 a proposed rule 8 See Securities Exchange Act Release No. 81267, disciplinary proceedings are not change to: (1) Adopt NYSE Arca Rule 82 FR 36510 (August 4, 2017). necessary due to the minor nature of the 8.900–E (Managed Portfolio Shares); and 9 See Letter from Mark Criscitello, Chairman, particular violation. (2) list and trade shares of the Royce Precidian Funds LLC, to Brent J. Fields, Secretary, In declaring the Exchange’s MRVP Pennsylvania ETF, Royce Premier ETF, Commission, dated October 11, 2017; Letter from effective, the Commission does not and Royce Total Return ETF under Daniel J. McCabe, Chief Executive, Precidian minimize the importance of compliance proposed NYSE Arca Rule 8.900–E. The Investments, to Brent J. Fields, Secretary, with Exchange rules and all other rules Commission, dated October 12, 2017; Letter from proposed rule change was published for Joseph A. Sullivan, Chairman and Chief Executive subject to the imposition of sanctions comment in the Federal Register on Officer, Legg Mason, Inc., to Brent J. Fields, under Exchange Rule 1014. Violation of May 4, 2017.3 On June 15, 2017, Secretary, Commission, dated October 12, 2017; an SRO’s rules, as well as Commission pursuant to Section 19(b)(2) of the Letter from Andrew M. Gross, Jr., to Jay Clayton, rules, is a serious matter. However, Exchange Act,4 the Commission Chairman, Commission, dated October 16, 2017; Exchange Rule 1014 provides a designated a longer period within which Letter from Terence W. Norman, Founder, Blue reasonable means of addressing to approve the proposed rule change, Tractor Group, LLC, to Brent J. Fields, Secretary, violations that do not rise to the level of Commission, dated October 31, 2017; Letter from disapprove the proposed rule change, or Simon P. Goulet, Co-Founder, Blue Tractor Group, requiring formal disciplinary institute proceedings to determine LLC, to Brent J. Fields, Secretary, Commission, proceedings, while providing greater whether to disapprove the proposed dated November 16, 2017; Letter from Simon P. flexibility in handling certain violations. rule change.5 The Commission received Goulet, Co-Founder, Blue Tractor Group, LLC, to The Commission expects the Exchange four comments on the proposed rule Brent J. Fields, Secretary, Commission, dated to continue to conduct surveillance and change.6 On July 31, 2017, the November 22, 2017; and Letter from Terence W. make determinations based on its Commission instituted proceedings Norman, Founder, Blue Tractor Group, LLC, to Brent J. Fields, Secretary, Commission, dated findings, on a case-by-case basis, under Section 19(b)(2)(B) of the November 29, 2017. The comment letters are regarding whether a violation requires available on the Commission’s website at: https:// formal disciplinary action or whether a 1 15 U.S.C. 78s(b)(1). www.sec.gov/comments/sr-nysearca-2017–36/ sanction under the MRVP is 2 17 CFR 240.19b–4. nysearca201736.htm. 3 See Securities Exchange Act Release No. 80553 appropriate. 10 See Securities Exchange Act Release No. 81977, It is therefore ordered, pursuant to (April 28, 2017), 82 FR 20932. 82 FR 51311 (November 3, 2017). The Commission 4 15 U.S.C. 78s(b)(2). Rule 19d–1(c)(2) under the Act,11 that 5 See Securities Exchange Act Release No. 80935, designated December 30, 2017, as the date by which the proposed MRVP for MIAX PEARL, the Commission must either approve or disapprove 82 FR 28152 (June 20, 2017). The Commission the proposed rule change. LLC, File No. 4–715, be, and hereby is, designated August 2, 2017, as the date by which it 11 Amendment No. 1 to the proposed rule change declared effective. should approve or disapprove, or institute proceedings to determine whether to disapprove, is available at https://www.sec.gov/comments/sr- For the Commission, by the Division of the proposed rule change. nysearca-2017-36/nysearca201736-2759313- Trading and Markets, pursuant to delegated 6 See Letter from Gary L. Gastineau, President, 161597.pdf. authority.12 ETF Consultants.com, Inc., to Brent J. Fields, 12 See Letter from Terence W. Norman, Founder, Brent J. Fields, Secretary, Commission, dated May 24, 2017; Letter Blue Tractor Group, LLC, to Brent J. Fields, from Todd J. Broms, Chief Executive Officer, Broms Secretary, Commission, dated December 12, 2017; Secretary. & Company LLC, to Brent J. Fields, Secretary, Letter from Kevin S. Haeberle, Associate Professor [FR Doc. 2017–27990 Filed 12–27–17; 8:45 am] Commission, dated May 25, 2017; Letter from James sradovich on DSK3GMQ082PROD with NOTICES of Law, William & Mary Law School, to Brent J. BILLING CODE 8011–01–P J. Angel, Associate Professor of Finance, Fields, Secretary, Commission, dated December 15, Georgetown University, McDonough School of 2017; and Letter from Gary L. Gastineau, President, Business, to the Commission, dated May 25, 2017; 9 The Exchange attached a sample form of the ETF Consultants.com, Inc., to Brent J. Fields, and Letter from Terence W. Norman, Founder, Blue quarterly report with its submission to the Tractor Group, LLC, to Brent J. Fields, Secretary, Secretary, Commission, dated December 18, 2017. Commission. Commission, dated July 18, 2017. The comment The comment letters are available on the 10 17 CFR 240.19d–1(c)(2). letters are available on the Commission’s website at: Commission’s website at: https://www.sec.gov/ 11 Id. comments/sr-nysearca-2017–36/nysearca https://www.sec.gov/comments/sr-nysearca-2017- 12 17 CFR 200.30–3(a)(44). 36/nysearca201736.htm. 201736.htm. VerDate Sep<11>2014 18:14 Dec 27, 2017 Jkt 244001 PO 00000 Frm 00082 Fmt 4703 Sfmt 4703 E:\FR\FM\28DEN1.SGM 28DEN1

Federal Register / Vol. 82, No. 248 / Thursday, December 28, 2017 / Notices 61615 For the Commission, by the Division of minimum increments, the Exchange A. Self-Regulatory Organization’s Trading and Markets, pursuant to delegated will designate such change as a stated Statement of the Purpose of, and the authority.13 policy, practice, or interpretation with Statutory Basis for, the Proposed Rule Eduardo A. Aleman, respect to the administration of Rule Change Assistant Secretary. 6.42 within the meaning of 1. Purpose [FR Doc. 2017–27994 Filed 12–27–17; 8:45 am] subparagraph (3)(A) of subsection 19(b) BILLING CODE 8011–01–P of the Exchange Act and will file a rule The Penny Pilot Program (the ‘‘Pilot change for effectiveness upon filing Program’’) is scheduled to expire on with the Commission. Until such time December 31, 2017. The Exchange SECURITIES AND EXCHANGE as the Board of Directors makes a proposes to extend the Pilot Program COMMISSION change to the minimum increments, the until June 30, 2017. The Exchange [Release No. 34–82375; File No. SR–CBOE– following minimum increments shall believes that extending the Pilot 2017–078] apply to options traded on the Program will allow for further analysis Exchange: of the Pilot Program and a Self-Regulatory Organizations; Cboe (1) No change. determination of how the Pilot Program Exchange, Inc.; Notice of Filing and should be structured in the future. (2) No change. Immediate Effectiveness of a Proposed During this extension of the Pilot Rule Change to Rule 6.42, Minimum (3) The decimal increments for bids Program, the Exchange proposes that it Increments for Bids and Offers, To and offers for all series of the option may replace any option class that is Extend the Penny Pilot Program classes participating in the Penny Pilot currently included in the Pilot Program Program are: $0.01 for all option series and that has been delisted with the next December 21, 2017. quoted below $3 (including LEAPS), most actively traded, multiply listed Pursuant to Section 19(b)(1) of the and $0.05 for all option series $3 and option class that is not yet participating Securities Exchange Act of 1934 (the above (including LEAPS). For QQQQs, in the Pilot Program (‘‘replacement ‘‘Act’’),1 and Rule 19b–4 thereunder,2 IWM, and SPY, the minimum increment class’’). Any replacement class would be notice is hereby given that on December is $0.01 for all option series. The determined based on national average 14, 2017, Cboe Exchange, Inc. (the Exchange may replace any option class daily volume in the preceding six ‘‘Exchange’’ or ‘‘Cboe Options’’) filed participating in the Penny Pilot Program months,5 and would be added on the with the Securities and Exchange that has been delisted with the next second trading day following January 1, Commission (‘‘Commission’’) the most actively-traded, multiply-listed 2018. The Exchange will employ the proposed rule change as described in option class, based on national average same parameters to prospective Items I and II below, which Items have daily volume in the preceding six replacement classes as approved and been prepared by the Exchange. The calendar months, that is not yet applicable in determining the existing Exchange has designated this proposal included in the Pilot Program. Any classes in the Pilot Program, including as a ‘‘non-controversial’’ proposed rule replacement class would be added on excluding high-priced underlying change pursuant to Section 19(b)(3)(A) the second trading day following [July 1, securities.6 The Exchange will of the Act 3 and Rule 19b–4(f)(6)(iii) 2017]January 1, 2018. The Penny Pilot announce to its Trading Permit Holders thereunder,4 which renders it effective shall expire on [December 31, 2017]June by circular any replacement classes in upon filing with the Commission. The 30, 2018. the Pilot Program. Commission is publishing this notice to (4) No change. The Exchange is specifically solicit comments on the proposed rule change from interested persons. . . . Interpretations and Policies: authorized to act jointly with the other .01–.04 No change. options exchanges participating in the I. Self-Regulatory Organization’s Pilot Program in identifying any Statement of the Terms of Substance of * * * * * replacement class. the Proposed Rule Change The text of the proposed rule change is also available on the Exchange’s 2. Statutory Basis The Exchange proposes to amend Rule 6.42 by extending the Penny Pilot website (http://www.cboe.com/ The Exchange believes the proposed Program through June 30, 2018. AboutCBOE/CBOELegalRegulatory rule change is consistent with the (additions are underlined; deletions Home.aspx), at the Exchange’s Office of Securities Exchange Act of 1934 (the are [bracketed]) the Secretary, and at the Commission’s ‘‘Act’’) and the rules and regulations Public Reference Room. thereunder applicable to the Exchange * * * * * II. Self-Regulatory Organization’s and, in particular, the requirements of Cboe Exchange, Inc. Section 6(b) of the Act.7 Specifically, Statement of the Purpose of, and Rules Statutory Basis for, the Proposed Rule the Exchange believes the proposed rule Change change is consistent with the Section * * * * * 6(b)(5) 8 requirements that the rules of Rule 6.42. Minimum Increments for In its filing with the Commission, the Bids and Offers Exchange included statements 5 The month immediately preceding a concerning the purpose of and basis for replacement class’s addition to the Pilot Program The Board of Directors may establish (i.e., December) would not be used for purposes of the proposed rule change and discussed minimum increments for options traded the six-month analysis. Thus, a replacement class any comments it received on the sradovich on DSK3GMQ082PROD with NOTICES on the Exchange. When the Board of to be added on the second trading day following proposed rule change. The text of these January 1, 2018, would be identified based on The Directors determines to change the statements may be examined at the Option Clearing Corporation’s trading volume data places specified in Item IV below. The from June 1, 2017 through November 30, 2017. 13 17 CFR 200.30–3(a)(12). 6 See Securities Exchange Act Release No. 60864 1 15 U.S.C. 78s(b)(1). Exchange has prepared summaries, set (October 22, 2009), 74 FR 55876 (October 29, 2009) 2 17 CFR 240.19b–4. forth in sections A, B, and C below, of (SR–CBOE–2009–76). 3 15 U.S.C. 78s(b)(3)(A). the most significant aspects of such 7 15 U.S.C. 78f(b). 4 17 CFR 240.19b–4(f)(6)(iii). statements. 8 15 U.S.C. 78f(b)(5). VerDate Sep<11>2014 18:14 Dec 27, 2017 Jkt 244001 PO 00000 Frm 00083 Fmt 4703 Sfmt 4703 E:\FR\FM\28DEN1.SGM 28DEN1


Document Created: 2017-12-28 00:44:26
Document Modified: 2017-12-28 00:44:26
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 61614 
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