83 FR 1641 - Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Fees Schedule

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 9 (January 12, 2018)

Page Range		1641-1642
FR Document		2018-00412
Federal Register, Volume 83 Issue 9 (Friday, January 12, 2018)
[Federal Register Volume 83, Number 9 (Friday, January 12, 2018)]
[Notices]
[Pages 1641-1642]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-00412]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-82461; File No. SR-CBOE-2017-083]


Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend 
the Fees Schedule

January 8, 2018.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on December 26, 2017, Cboe Exchange, Inc. (the ``Exchange'' or 
``Cboe Options'') filed with the Securities and Exchange Commission 
(the ``Commission'') the proposed rule change as described in Items I, 
II, and III below, which Items have been prepared by the Exchange. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend its Fees Schedule. Footnotes 24 and 
25 describe the Market-Maker Trading Permit Sliding Scale and Floor 
Broker Trading Permit Sliding Scale programs, respectively.
    The text of the proposed rule change is also available on the 
Exchange's website (http://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the 
Secretary, 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 Exchange 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 these 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 aspects of such 
statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend its Fees Schedule. Footnotes 24 and 
25 describe the Market-Maker Trading Permit Sliding Scale and Floor 
Broker Trading Permit Sliding Scale programs, respectively.\3\ Each 
program requires a Trading Permit Holder to commit in advance to a 
specific tier that includes a minimum number of eligible Market-Maker 
Trading Permits or Floor Broker Trading Permits, as applicable, for 
each calendar. To do so, a Trading Permit Holder must notify the 
Registration Services Department by December 25th (or the preceding 
business day if the 25th is not a business day) of the year prior to 
each year in which the Trading Permit Holder would like to commit to 
the sliding scale of the tier of eligible Trading Permits committed to 
by that Trading Permit Holder for that year.
---------------------------------------------------------------------------

    \3\ This filing was originally submitted on December 26, 2017 as 
SR-CBOE-2017-081. SR-CBOE-2017-081 was withdrawn on December 26, 
2017 and replaced by SR-CBOE-2017-082. SR-CBOE-2017-082 was 
withdrawn on December 26, 2017 and replaced by this filing.
---------------------------------------------------------------------------

    Generally, the Exchange issues a Regulatory Circular to remind 
Trading Permit Holders of this notification deadline, including a 
description of how Trading Permit Holders should notify the 
Registration Services Department. However, for the 2018 sliding scale 
program, the Exchange was unable to issue a reminder until December 22, 
2017, which is the business day prior to December 25, 2017, and thus 
the notification deadline. To ensure Trading Permit Holders have 
sufficient time to provide notification to the Exchange regarding their 
tier commitments for 2018, the Exchange

[[Page 1642]]

proposes to amend the descriptions of these programs in footnotes 24 
and 25 to require Trading Permit Holders to notify the Registration 
Services Department by December 29th (or the preceding business day if 
the 29th is not a business day).
2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with 
the Securities Exchange Act of 1934 (the ``Act'') and the rules and 
regulations thereunder applicable to the Exchange and, in particular, 
the requirements of Section 6(b) of the Act.\4\ Specifically, the 
Exchange believes the proposed rule change is consistent with the 
Section 6(b)(5) \5\ requirements that the rules of an exchange be 
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 regulating, clearing, 
settling, processing information with respect to, and 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. Additionally, 
the Exchange believes the proposed rule change is consistent with the 
Section 6(b)(5) \6\ requirement that the rules of an exchange not be 
designed to permit unfair discrimination between customers, issuers, 
brokers, or dealers. In particular, the proposed rule change removes 
impediments to and perfects the mechanism of a free and open market and 
a national market system, and, in general, to protects investors and 
the public interest because it ensures Trading Permit Holders will have 
sufficient time to notify the Exchange regarding their tier commitments 
in the Market-Maker and Floor Broker Trading Permit sliding scale 
programs for 2018, if Trading Permit Holders decide to participate in 
these programs, and thus take advantage of the benefits of these 
programs. The change to the commitment deadline is equitable and not 
unfairly discriminatory because all Trading Permit Holders will be 
subject to that same deadline. Trading Permit Holder participation in 
these programs benefits all market participants, because the lower fees 
encourage more Market-Makers and Floor Brokers, as applicable, to 
access the Exchange, which gives market participants more trading 
options and increased trading activity, volume, and liquidity.
---------------------------------------------------------------------------

    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(5).
    \6\ Id.
---------------------------------------------------------------------------

B. Self-Regulatory Organization's Statement on Burden on Competition

    Cboe Options 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 
will impose no burden on competition, as it only modifies a deadline 
for participation in fee programs available at the Exchange, which 
participation is voluntary, and which deadline will apply to all 
Trading Permit Holders that elect to participate in these programs.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    The Exchange neither solicited nor received comments on the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \7\ and paragraph (f) of Rule 19b-4 \8\ 
thereunder. At any time within 60 days of the filing of the 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 will institute proceedings to 
determine whether the proposed rule change should be approved or 
disapproved.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f).
---------------------------------------------------------------------------

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-CBOE-2017-083 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-CBOE-2017-083. 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 website (http://www.sec.gov/rules/sro.shtml). 
Copies of the submission, all subsequent amendments, all written 
statements with respect to the proposed rule change that are filed with 
the Commission, and all written communications relating to the proposed 
rule change between the Commission and any person, other than those 
that may be withheld from the public in accordance with the provisions 
of 5 U.S.C. 552, will be available for website 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. Persons submitting comments are 
cautioned that we do not redact or edit personal identifying 
information from comment submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-CBOE-2017-083 and should be submitted on 
or before February 2, 2018.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
---------------------------------------------------------------------------

    \9\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-00412 Filed 1-11-18; 8:45 am]
 BILLING CODE 8011-01-P
1642 Federal Register / Vol. 83, No. 9 / Friday, January 12, 2018 / Notices

proposes to amend the descriptions of options and increased trading activity, Paper Comments
these programs in footnotes 24 and 25 volume, and liquidity.
to require Trading Permit Holders to • Send paper comments in triplicate
B. Self-Regulatory Organization’s to Secretary, Securities and Exchange
notify the Registration Services Statement on Burden on Competition
Department by December 29th (or the Commission, 100 F Street NE,
preceding business day if the 29th is not Cboe Options does not believe that Washington, DC 20549–1090.
a business day). the proposed rule change will impose All submissions should refer to File
any burden on competition that is not Number SR–CBOE–2017–083. This file
2. Statutory Basis
necessary or appropriate in furtherance number should be included on the
The Exchange believes the proposed of the purposes of the Act. The subject line if email is used. To help the
rule change is consistent with the proposed rule change will impose no Commission process and review your
Securities Exchange Act of 1934 (the burden on competition, as it only comments more efficiently, please use
‘‘Act’’) and the rules and regulations modifies a deadline for participation in only one method. The Commission will
thereunder applicable to the Exchange fee programs available at the Exchange,
post all comments on the Commission’s
and, in particular, the requirements of which participation is voluntary, and
internet website (http://www.sec.gov/
Section 6(b) of the Act.4 Specifically, which deadline will apply to all Trading
rules/sro.shtml). Copies of the
the Exchange believes the proposed rule Permit Holders that elect to participate
in these programs. submission, all subsequent
change is consistent with the Section amendments, all written statements
6(b)(5) 5 requirements that the rules of C. Self-Regulatory Organization’s with respect to the proposed rule
an exchange be designed to prevent Statement on Comments on the change that are filed with the
fraudulent and manipulative acts and Proposed Rule Change Received From Commission, and all written
practices, to promote just and equitable Members, Participants, or Others communications relating to the
principles of trade, to foster cooperation proposed rule change between the
and coordination with persons engaged The Exchange neither solicited nor
received comments on the proposed Commission and any person, other than
in regulating, clearing, settling, those that may be withheld from the
processing information with respect to, rule change.
public in accordance with the
and facilitating transactions in III. Date of Effectiveness of the provisions of 5 U.S.C. 552, will be
securities, to remove impediments to Proposed Rule Change and Timing for available for website viewing and
and perfect the mechanism of a free and Commission Action printing in the Commission’s Public
open market and a national market
The foregoing rule change has become Reference Room, 100 F Street NE,
system, and, in general, to protect
effective pursuant to Section 19(b)(3)(A) Washington, DC 20549 on official
investors and the public interest.
of the Act 7 and paragraph (f) of Rule business days between the hours of
Additionally, the Exchange believes the
19b–4 8 thereunder. At any time within 10:00 a.m. and 3:00 p.m. Copies of the
proposed rule change is consistent with
60 days of the filing of the proposed rule filing also will be available for
the Section 6(b)(5) 6 requirement that
the rules of an exchange not be designed change, the Commission summarily may inspection and copying at the principal
to permit unfair discrimination between temporarily suspend such rule change if office of the Exchange. All comments
customers, issuers, brokers, or dealers. it appears to the Commission that such received will be posted without change.
In particular, the proposed rule change action is necessary or appropriate in the Persons submitting comments are
public interest, for the protection of cautioned that we do not redact or edit
removes impediments to and perfects
investors, or otherwise in furtherance of personal identifying information from
the mechanism of a free and open
the purposes of the Act. If the comment submissions. You should
market and a national market system,
Commission takes such action, the submit only information that you wish
and, in general, to protects investors and
Commission will institute proceedings to make available publicly. All
the public interest because it ensures
to determine whether the proposed rule submissions should refer to File
Trading Permit Holders will have change should be approved or
sufficient time to notify the Exchange Number SR–CBOE–2017–083 and
disapproved. should be submitted on or before
regarding their tier commitments in the
Market-Maker and Floor Broker Trading IV. Solicitation of Comments February 2, 2018.
Permit sliding scale programs for 2018, For the Commission, by the Division of
if Trading Permit Holders decide to Interested persons are invited to
Trading and Markets, pursuant to delegated
participate in these programs, and thus submit written data, views, and
authority.9
take advantage of the benefits of these arguments concerning the foregoing,
including whether the proposed rule Eduardo A. Aleman,
programs. The change to the
change is consistent with the Act. Assistant Secretary.
commitment deadline is equitable and
Comments may be submitted by any of [FR Doc. 2018–00412 Filed 1–11–18; 8:45 am]
not unfairly discriminatory because all
the following methods: BILLING CODE 8011–01–P
Trading Permit Holders will be subject
to that same deadline. Trading Permit Electronic Comments
Holder participation in these programs
benefits all market participants, because • Use the Commission’s internet
comment form (http://www.sec.gov/
sradovich on DSK3GMQ082PROD with NOTICES

the lower fees encourage more Market-
Makers and Floor Brokers, as applicable, rules/sro.shtml); or
to access the Exchange, which gives • Send an email to rule-comments@
market participants more trading sec.gov. Please include File Number SR–
CBOE–2017–083 on the subject line.
4 15 U.S.C. 78f(b).
5 15 U.S.C. 78f(b)(5). 7 15 U.S.C. 78s(b)(3)(A).
6 Id. 8 17 CFR 240.19b–4(f). 9 17 CFR 200.30–3(a)(12).

VerDate Sep<11>2014 17:47 Jan 11, 2018 Jkt 244001 PO 00000 Frm 00038 Fmt 4703 Sfmt 9990 E:\FR\FM\12JAN1.SGM 12JAN1
Document Created: 2018-10-26 09:50:43
Document Modified: 2018-10-26 09:50:43
Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		83 FR 1641