83 FR 23950 - Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Supplementary Material .03 to Rule 804 To Enhance Anti-Internalization Functionality
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 83, Issue 100 (May 23, 2018)
Federal Register Volume 83, Issue 100 (May 23, 2018)
| Page Range | 23950-23952 | |
| FR Document | 2018-10970 |
[Federal Register Volume 83, Number 100 (Wednesday, May 23, 2018)] [Notices] [Pages 23950-23952] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-10970] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-83269; File No. SR-ISE-2018-45] Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Supplementary Material .03 to Rule 804 To Enhance Anti-Internalization Functionality May 17, 2018. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that on May 2, 2018, Nasdaq ISE, LLC (``ISE'' or ``Exchange'') filed with the Securities and Exchange Commission (``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 Supplementary Material .03 to Rule 804 to enhance anti-internalization functionality. The text of the proposed rule change is available on the Exchange's website at http://ise.cchwallstreet.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 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 purpose of the proposed rule change is to enhance the anti- internalization (``AIQ'') functionality provided to Market Makers on the Exchange by giving members the flexibility to choose to have this protection apply at the market participant identifier level (i.e., existing functionality),\3\ at the Exchange account level, or at the member firm level. The Exchange believes that this enhancement will provide helpful flexibility for Market Makers that wish to prevent trading against all quotes and orders entered by their firm, or Exchange account, instead of just quotes and orders that are entered under the same market participant identifier. Similar functionality was also recently introduced on the Exchange's affiliated exchanges, Nasdaq PHLX LLC (``Phlx'') and NOM.\4\ The Exchange believes that introducing this functionality now on ISE will ensure that ISE Market Makers on will benefit from similar flexibility in applying this protection. --------------------------------------------------------------------------- \3\ Currently, the rule uses the term ``member identifier'' for this concept. The Exchange proposes to rename ``member identifier'' to ``market participant identifier'' to be consistent with terminology used on the Nasdaq Options Market (``NOM'') and to avoid member confusion that could result in using the similar terms ``member identifier'' and ``member firm identifier'' in this rule. \4\ See Phlx Rule 1080(p)(2); NOM Chapter VI, Sec. 10. See also Securities Exchange Act Release Nos. 82012 (November 3, 3017), 82 FR 52082 (November 9, 2017) (SR-Phlx-2017-93); 81171 (July 19, 2017), 82 FR 34557 (July 25, 2017) (SR-Nasdaq-2017-069). --------------------------------------------------------------------------- Currently, the Exchange provides mandatory AIQ functionality whereby quotes and orders entered by Market Makers using the same market [[Page 23951]] participant identifier will not be executed against quotes and orders entered on the opposite side of the market by the same Market Maker using the same market participant identifier.\5\ When a quote or order entered by a Market Maker would trade with other quotes or orders from the same market participant identifier, the trading system cancels the resting quote or order back to the entering party prior to execution.\6\ This functionality shall not apply in any auction or with respect to complex order transactions. AIQ assists Market Makers in reducing trading costs from unwanted executions potentially resulting from the interaction of executable buy and sell trading interest from the same firm when performing the same market making function. --------------------------------------------------------------------------- \5\ See Supplementary Material .03 to Rule 804. This functionality shall not apply in any auction or with respect to complex order transactions. \6\ Id. A quote or order entered by a Market Maker only triggers AIQ when it would trade with other quotes or orders from the same Market Maker. Thus, an incoming quote or order entered by a Market Maker may interact with other interest with priority on the book prior to triggering AIQ. After AIQ is triggered, the incoming quote or order may continue to trade with resting interest from other participants. --------------------------------------------------------------------------- Today, this protection prevents Market Makers from trading against their own quotes and orders at the market participant identifier level. The proposed enhancement to this functionality would allow members to choose to have this protection applied at the market participant identifier level as implemented today, at the Exchange account level, or at the member firm level. If members choose to have this protection applied at the Exchange account level, AIQ would prohibit quotes and orders from different market participant identifiers associated with the same Exchange account from trading against one another. Similarly, if the members choose to have this protection applied at the member firm level, AIQ would prohibit quotes and orders from different market participant identifiers within the member firm from trading against one another. Members that do not select to have this protection applied at the Exchange account level or member firm level will have their AIQ protection defaulted to the market participant identifier level protection applied today. The Exchange believes that the proposed AIQ enhancement will provide members with more tailored self-trade functionality that allows them to manage their trading as appropriate based on the members' business needs. While the Exchange believes that some firms will want to restrict AIQ to trading against interest from the same market participant identifier--i.e., as implemented today--the Exchange believes that other firms will find it helpful to be able to configure AIQ to apply at the Exchange account level or at the member firm level so that they are protected regardless of which market participant identifier the order or quote originated from. Similar flexibility is offered on the Exchange's affiliates, Phlx and NOM, and also on the CBOE BZX Exchange, Inc. (``BZX''), which provides members the ability to apply Match Trade Prevention (``MTP'') modifiers--i.e., BZX's version of self-trade protection--based on market participant, Exchange Member, trading group, or Exchange Sponsored Participant identifiers.\7\ --------------------------------------------------------------------------- \7\ See BZX Rule 21.1(g). --------------------------------------------------------------------------- The examples below illustrate how AIQ would operate based on the market participant identifier level protection, the Exchange account level, or for members that choose to apply AIQ at the member firm level: Example 1 1. Member ABC (market participant identifier 123A & 555B) with AIQ configured at the market participant identifier level. 2. 123A Quote: $1.00 (5) x $1.10 (20). 3. 555B Buy Order entered for 10 contracts at $1.10. 4. 555B Buy Order executes 10 contracts against 123A Quote. 123A and 555B are not prevented by the system from trading against one another because Member ABC has configured AIQ to apply at the market participant identifier level. This is the same as existing functionality. Example 2 1. Member ABC (Account 999 with market participant identifiers 123A and 555B, and Account 888 with market participant identifier 789A) with AIQ configured at the Exchange account level. 2. 123A Quote: $1.00 (5) x $1.10 (20). 3. 789A Quote: $1.05(10) x $1.10 (20). 4. 555B Buy Order entered for 30 contracts at $1.10. 5. 555B Buy Order executes against 789A Quote but 555B Buy Order does not execute against 123A Quote. AIQ purges the 123A Quote and the remaining contracts of the 555B Buy Order rests on the book at $1.10. 123A and 555B are not permitted trade against one another because Member ABC has configured AIQ to apply at the Exchange account level. This is new functionality as the member has opted to have AIQ operate at the Exchange account level. Example 3 1. Same as Example 2 above but Member ABC has AIQ configured at the member level. 2. AIQ purges the 123A Quote and the 789A Quote and the 555B Buy Order rests on the book at $1.10. This is new functionality as the member has opted to have AIQ operate at the member level. Implementation The Exchange proposes to launch the AIQ functionality described in this proposed rule change in either Q2 or Q4 2018. The Exchange will announce the implementation date of this functionality in an Options Trader Alert issued to members prior to the launch date. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the requirements of the Act and the rules and regulations thereunder that are applicable to a national securities exchange, and, in particular, with the requirements of Section 6(b) of the Act.\8\ In particular, the proposal is consistent with Section 6(b)(5) of the Act,\9\ because it is designed to promote just and equitable principles of trade, remove impediments to and perfect the mechanisms of a free and open market and a national market system and, in general, to protect investors and the public interest. --------------------------------------------------------------------------- \8\ 15 U.S.C. 78f(b). \9\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- The Exchange believes that the proposed rule change is consistent with the protection of investors and the public interest as it is designed to provide Market Makers with additional flexibility with respect to how to implement self-trade protections provided by AIQ. Currently, all Market Makers are provided functionality that prevents quotes and orders from one market participant identifier from trading with quotes and orders from the same market participant identifier. This allows Market Makers to better manage their order flow and prevent undesirable executions where the Market Maker, using the same market participant identifier, would be on both sides of the trade. While this functionality is helpful to our members, some members would prefer not to trade with quotes and orders entered by different market participant identifiers within the same Exchange account or member. Thus, the Exchange is proposing to provide members with flexibility with respect to how AIQ is implemented. While members that like the current [[Page 23952]] functionality can continue to use it, members who would prefer to prevent self-trades across different market participant identifiers within the same Exchange account or at the member level will now be provided with functionality that lets them do this. Similar flexibility is offered on Phlx and NOM, as well as BZX.\10\ The Exchange believes that flexibility to apply AIQ at the Exchange account or member firm level would be useful for the Exchange's members too. The Exchange believes that the proposed rule change is designed to promote just and equitable principles of trade and will remove impediments to and perfect the mechanisms of a free and open market as it will further enhance self-trade protections provided to Market Makers similar to those protections provided on other markets. This functionality does not relieve or otherwise modify the duty of best execution owed to orders received from public customers. --------------------------------------------------------------------------- \10\ See supra notes 4 and 7. --------------------------------------------------------------------------- B. Self-Regulatory Organization's Statement on Burden on Competition In accordance with Section 6(b)(8) of the Act,\11\ the Exchange does not believe that the proposed rule change will impose any burden on intermarket or intramarket competition that is not necessary or appropriate in furtherance of the purposes of the Act. The proposed rule change is designed to enhance AIQ functionality provided to Exchange Market Makers, and will benefit members that wish to protect their quotes and orders against trading with other quotes and orders within the same Exchange account or member, rather than the more limited market participant identifier standard applied today. The new functionality, which provides similar flexibility to that offered on Phlx, NOM, and BZX, is also completely voluntary, and members that wish to use the current functionality can also continue to do so. The Exchange does not believe that providing more flexibility to members will have any significant impact on competition. In fact, the Exchange believes that the proposed rule change is evidence of the competitive environment in the options industry where exchanges must continually improve their offerings to maintain competitive standing. --------------------------------------------------------------------------- \11\ 15 U.S.C. 78f(b)(8). --------------------------------------------------------------------------- C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing 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 for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, it has become effective pursuant to Section 19(b)(3)(A)(iii) of the Act \12\ and subparagraph (f)(6) of Rule 19b-4 thereunder.\13\ --------------------------------------------------------------------------- \12\ 15 U.S.C. 78s(b)(3)(A)(iii). \13\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) requires a self-regulatory organization to give the Commission written notice of its intent to file the proposed rule change at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. The Exchange has satisfied this requirement. --------------------------------------------------------------------------- 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: (i) Necessary or appropriate in the public interest; (ii) for the protection of investors; or (iii) 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 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 CommentsUse the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml); or Send an email to [email protected]. Please include File Number SR-ISE-2018-45 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-ISE-2018-45. 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-ISE-2018-45 and should be submitted on or before June 13, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\14\ --------------------------------------------------------------------------- \14\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018-10970 Filed 5-22-18; 8:45 am] BILLING CODE 8011-01-P
![23950 Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Notices
designates the proposed rule change as business days between the hours of the Commission’s Public Reference
operative upon filing.15 10:00 a.m. and 3:00 p.m. Copies of the Room.
At any time within 60 days of the filing also will be available for
filing of the proposed rule change, the II. Self-Regulatory Organization’s
inspection and copying at the principal
Commission summarily may Statement of the Purpose of, and
office of the Exchange. All comments
temporarily suspend such rule change if Statutory Basis for, the Proposed Rule
received will be posted without change.
it appears to the Commission that such Change
Persons submitting comments are
action is necessary or appropriate in the cautioned that we do not redact or edit In its filing with the Commission, the
public interest, for the protection of personal identifying information from Exchange included statements
investors, or otherwise in furtherance of comment submissions. You should concerning the purpose of and basis for
the purposes of the Act. If the submit only information that you wish the proposed rule change and discussed
Commission takes such action, the to make available publicly. All any comments it received on the
Commission shall institute proceedings submissions should refer to File proposed rule change. The text of these
to determine whether the proposed rule Number SR–NYSEAMER–2018–21, and statements may be examined at the
should be approved or disapproved. should be submitted on or before June places specified in Item IV below. The
13, 2018. Exchange has prepared summaries, set
IV. Solicitation of Comments
For the Commission, by the Division of forth in sections A, B, and C below, of
Interested persons are invited to Trading and Markets, pursuant to delegated the most significant aspects of such
submit written data, views, and authority.16 statements.
arguments concerning the foregoing, Eduardo A. Aleman,
including whether the proposed rule A. Self-Regulatory Organization’s
Assistant Secretary. Statement of the Purpose of, and
change is consistent with the Act.
Comments may be submitted by any of [FR Doc. 2018–10974 Filed 5–22–18; 8:45 am] Statutory Basis for, the Proposed Rule
the following methods: BILLING CODE 8011–01–P Change
Electronic Comments 1. Purpose
• Use the Commission’s internet SECURITIES AND EXCHANGE The purpose of the proposed rule
comment form (http://www.sec.gov/ COMMISSION change is to enhance the anti-
rules/sro.shtml); or [Release No. 34–83269; File No. SR–ISE–
internalization (‘‘AIQ’’) functionality
• Send an email to rule-comments@ 2018–45] provided to Market Makers on the
sec.gov. Please include File Number SR– Exchange by giving members the
NYSEAMER–2018–21 on the subject Self-Regulatory Organizations; Nasdaq flexibility to choose to have this
line. ISE, LLC; Notice of Filing and protection apply at the market
Immediate Effectiveness of Proposed participant identifier level (i.e., existing
Paper Comments functionality),3 at the Exchange account
Rule Change To Amend
• Send paper comments in triplicate Supplementary Material .03 to Rule 804 level, or at the member firm level. The
to Secretary, Securities and Exchange To Enhance Anti-Internalization Exchange believes that this
Commission, 100 F Street NE, Functionality enhancement will provide helpful
Washington, DC 20549–1090. flexibility for Market Makers that wish
All submissions should refer to File May 17, 2018. to prevent trading against all quotes and
Number SR–NYSEAMER–2018–21. This Pursuant to Section 19(b)(1) of the orders entered by their firm, or
file number should be included on the Securities Exchange Act of 1934 Exchange account, instead of just quotes
subject line if email is used. To help the (‘‘Act’’),1 and Rule 19b–4 thereunder,2 and orders that are entered under the
Commission process and review your notice is hereby given that on May 2, same market participant identifier.
comments more efficiently, please use 2018, Nasdaq ISE, LLC (‘‘ISE’’ or Similar functionality was also recently
only one method. The Commission will ‘‘Exchange’’) filed with the Securities introduced on the Exchange’s affiliated
post all comments on the Commission’s and Exchange Commission exchanges, Nasdaq PHLX LLC (‘‘Phlx’’)
internet website (http://www.sec.gov/ (‘‘Commission’’) the proposed rule and NOM.4 The Exchange believes that
rules/sro.shtml). Copies of the change as described in Items I, II, and introducing this functionality now on
submission, all subsequent III, below, which Items have been ISE will ensure that ISE Market Makers
amendments, all written statements prepared by the Exchange. The on will benefit from similar flexibility in
with respect to the proposed rule Commission is publishing this notice to applying this protection.
change that are filed with the solicit comments on the proposed rule Currently, the Exchange provides
Commission, and all written change from interested persons. mandatory AIQ functionality whereby
communications relating to the I. Self-Regulatory Organization’s quotes and orders entered by Market
proposed rule change between the Statement of the Terms of Substance of Makers using the same market
Commission and any person, other than the Proposed Rule Change
3 Currently, the rule uses the term ‘‘member
those that may be withheld from the
The Exchange proposes to amend identifier’’ for this concept. The Exchange proposes
public in accordance with the
Supplementary Material .03 to Rule 804 to rename ‘‘member identifier’’ to ‘‘market
provisions of 5 U.S.C. 552, will be participant identifier’’ to be consistent with
to enhance anti-internalization
available for website viewing and terminology used on the Nasdaq Options Market
functionality. (‘‘NOM’’) and to avoid member confusion that
printing in the Commission’s Public The text of the proposed rule change
daltland on DSKBBV9HB2PROD with NOTICES
could result in using the similar terms ‘‘member
Reference Room, 100 F Street NE, is available on the Exchange’s website at identifier’’ and ‘‘member firm identifier’’ in this
Washington, DC 20549, on official http://ise.cchwallstreet.com/, at the rule.
4 See Phlx Rule 1080(p)(2); NOM Chapter VI, Sec.
15 For purposes only of waiving the 30-day
principal office of the Exchange, and at
10. See also Securities Exchange Act Release Nos.
operative delay, the Commission has also 82012 (November 3, 3017), 82 FR 52082 (November
16 17 CFR 200.30–3(a)(12).
considered the proposed rule’s impact on 9, 2017) (SR–Phlx–2017–93); 81171 (July 19, 2017),
1 15 U.S.C. 78s(b)(1).
efficiency, competition, and capital formation. See 82 FR 34557 (July 25, 2017) (SR–Nasdaq–2017–
15 U.S.C. 78c(f). 2 17 CFR 240.19b–4. 069).
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![23952 Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Notices
functionality can continue to use it, III. Date of Effectiveness of the rules/sro.shtml). Copies of the
members who would prefer to prevent Proposed Rule Change and Timing for submission, all subsequent
self-trades across different market Commission Action amendments, all written statements
participant identifiers within the same Because the foregoing proposed rule with respect to the proposed rule
Exchange account or at the member change does not: (i) Significantly affect change that are filed with the
level will now be provided with the protection of investors or the public Commission, and all written
functionality that lets them do this. interest; (ii) impose any significant communications relating to the
Similar flexibility is offered on Phlx and burden on competition; and (iii) become proposed rule change between the
NOM, as well as BZX.10 The Exchange operative for 30 days from the date on Commission and any person, other than
believes that flexibility to apply AIQ at which it was filed, or such shorter time those that may be withheld from the
the Exchange account or member firm as the Commission may designate, it has public in accordance with the
level would be useful for the Exchange’s become effective pursuant to Section provisions of 5 U.S.C. 552, will be
members too. The Exchange believes 19(b)(3)(A)(iii) of the Act 12 and available for website viewing and
that the proposed rule change is printing in the Commission’s Public
subparagraph (f)(6) of Rule 19b–4
designed to promote just and equitable Reference Room, 100 F Street NE,
thereunder.13
principles of trade and will remove At any time within 60 days of the Washington, DC 20549, on official
impediments to and perfect the filing of the proposed rule change, the business days between the hours of
mechanisms of a free and open market Commission summarily may 10:00 a.m. and 3:00 p.m. Copies of the
as it will further enhance self-trade temporarily suspend such rule change if filing also will be available for
protections provided to Market Makers it appears to the Commission that such inspection and copying at the principal
similar to those protections provided on action is: (i) Necessary or appropriate in office of the Exchange. All comments
other markets. This functionality does received will be posted without change.
the public interest; (ii) for the protection
not relieve or otherwise modify the duty Persons submitting comments are
of investors; or (iii) otherwise in
of best execution owed to orders cautioned that we do not redact or edit
furtherance of the purposes of the Act.
received from public customers. personal identifying information from
If the Commission takes such action, the
comment submissions. You should
B. Self-Regulatory Organization’s Commission shall institute proceedings
submit only information that you wish
Statement on Burden on Competition to determine whether the proposed rule
to make available publicly. All
In accordance with Section 6(b)(8) of should be approved or disapproved.
submissions should refer to File
the Act,11 the Exchange does not believe IV. Solicitation of Comments Number SR–ISE–2018–45 and should be
that the proposed rule change will submitted on or before June 13, 2018.
Interested persons are invited to
impose any burden on intermarket or
submit written data, views, and For the Commission, by the Division of
intramarket competition that is not Trading and Markets, pursuant to delegated
arguments concerning the foregoing,
necessary or appropriate in furtherance authority.14
including whether the proposed rule
of the purposes of the Act. The Eduardo A. Aleman,
change is consistent with the Act.
proposed rule change is designed to Assistant Secretary.
Comments may be submitted by any of
enhance AIQ functionality provided to
the following methods: [FR Doc. 2018–10970 Filed 5–22–18; 8:45 am]
Exchange Market Makers, and will
BILLING CODE 8011–01–P
benefit members that wish to protect Electronic Comments
their quotes and orders against trading • Use the Commission’s internet
with other quotes and orders within the comment form (http://www.sec.gov/ SECURITIES AND EXCHANGE
same Exchange account or member, rules/sro.shtml); or COMMISSION
rather than the more limited market • Send an email to rule-comments@
participant identifier standard applied sec.gov. Please include File Number SR– [Release No. 34–83279; File No. SR–GEMX–
today. The new functionality, which 2018–09]
ISE–2018–45 on the subject line.
provides similar flexibility to that
Paper Comments Self-Regulatory Organizations; Nasdaq
offered on Phlx, NOM, and BZX, is also
GEMX, LLC; Notice of Filing of
completely voluntary, and members that • Send paper comments in triplicate
Amendment No. 1 and Order Granting
wish to use the current functionality can to Secretary, Securities and Exchange
Accelerated Approval of a Proposed
also continue to do so. The Exchange Commission, 100 F Street NE,
Rule Change, as Modified by
does not believe that providing more Washington, DC 20549–1090.
Amendment No. 1, To Introduce the
flexibility to members will have any All submissions should refer to File ATR Protection for Orders That Are
significant impact on competition. In Number SR–ISE–2018–45. This file Routed to Away Markets
fact, the Exchange believes that the number should be included on the
proposed rule change is evidence of the subject line if email is used. To help the May 17, 2018.
competitive environment in the options Commission process and review your
industry where exchanges must I. Introduction
comments more efficiently, please use
continually improve their offerings to only one method. The Commission will On February 26, 2018, Nasdaq GEMX,
maintain competitive standing. post all comments on the Commission’s LLC (‘‘GEMX’’ or ‘‘Exchange’’) filed
internet website (http://www.sec.gov/ with the Securities and Exchange
C. Self-Regulatory Organization’s Commission (‘‘Commission’’), pursuant
Statement on Comments on the to Section 19(b)(1) of the Securities
daltland on DSKBBV9HB2PROD with NOTICES
12 15 U.S.C. 78s(b)(3)(A)(iii).
Proposed Rule Change Received From 13 17 Exchange Act of 1934 (‘‘Act’’) 1 and Rule
CFR 240.19b–4(f)(6). In addition, Rule 19b–
Members, Participants, or Others 4(f)(6) requires a self-regulatory organization to give 19b–4 thereunder,2 a proposed rule
No written comments were either the Commission written notice of its intent to file change to amend Exchange Rule 714
the proposed rule change at least five business days
solicited or received. prior to the date of filing of the proposed rule
14 17 CFR 200.30–3(a)(12).
change, or such shorter time as designated by the
10 See supra notes 4 and 7. 1 15 U.S.C. 78s(b)(1).
Commission. The Exchange has satisfied this
11 15 U.S.C. 78f(b)(8). requirement. 2 17 CFR 240.19b–4.
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Document Created: 2018-05-22 23:49:06
Document Modified: 2018-05-22 23:49:06
| Category | Regulatory Information | |
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| FR Citation | 83 FR 23950 |
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