83 FR 30473 - Self-Regulatory Organizations; NYSE American LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.35E

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 125 (June 28, 2018)

Page Range		30473-30474
FR Document		2018-13885
Federal Register, Volume 83 Issue 125 (Thursday, June 28, 2018)
[Federal Register Volume 83, Number 125 (Thursday, June 28, 2018)]
[Notices]
[Pages 30473-30474]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-13885]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-83498; File No. SR-NYSEAMER-2018-30]


Self-Regulatory Organizations; NYSE American LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change To Amend 
Rule 7.35E

June 22, 2018.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby 
given that on June 18, 2018, NYSE American LLC (the ``Exchange'' or 
``NYSE American'') 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 Rule 7.35E (Auctions) to revise the 
securities for which it will report an Official Closing Price. The 
proposed rule change is available on the Exchange's website 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 Exchange Rule 7.35E (Auctions) to 
revise the securities for which it will report an Official Closing 
Price.\4\ Rule 7.35E(d)(4) currently states that the Exchange reports 
an Official Closing Price for all securities that trade on the 
Exchange. This includes not only securities for which the Exchange is 
the primary listing market, but also all UTP Securities that are traded 
on the Exchange.\5\ Because the Exchange does not calculate an Official 
Closing Price for UTP Securities when the Exchange reports an Official 
Closing Price for such securities, the Exchange uses either the closing 
price calculated by the primary listing market or, if no closing price 
has been disseminated by the primary listing market, the last 
consolidated last-sale price for such security.
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    \4\ The term ``Official Closing Price'' is defined in Exchange 
Rule 1.1E(gg)(1).
    \5\ The term ``UTP Securities'' is defined in Rule 1.1E(ii).
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    The Exchange proposes to amend Rule 7.35E(d)(4) to provide that the 
Exchange would disseminate an Official Closing Price for Auction-
Eligible Securities only. An Auction-Eligible Security is defined as 
all ``securities for which the Exchange is the primary listing market 
and UTP Securities designated by the Exchange.'' \6\ As a result, the 
Exchange would report an Official Closing Price for only those 
securities for which the Exchange calculates an Official Closing Price 
pursuant to Rule 1.1E(gg). The Exchange believes that, by ceasing 
reporting an Official Closing Price in securities that are not auction-
eligible on the Exchange, it would reduce the likelihood of disparate 
or duplicative prices being disseminated and identified as a UTP 
Security's formal closing price.
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    \6\ See Exchange Rule 7.35E(a)(1). To date, the Exchange has not 
designated any UTP Securities as an Auction-Eligible Security.
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2. Statutory Basis
    The Exchange believes that the proposal is consistent with Section 
6(b) of the Act,\7\ in general, and furthers the objectives of Sections 
6(b)(5) of the Act,\8\ in particular, because 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 regulating, clearing, settling, processing 
information with respect to, and facilitating transactions in 
securities, to 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 and because it is not 
designed to permit unfair discrimination between customers, issuers, 
brokers, or dealers.
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    \7\ 15 U.S.C. 78f(b).
    \8\ 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 mechanisms of, a free and open market 
and a national market system and, in general, protect investors and the 
public interest because the Exchange would cease disseminating a 
closing price for UTP Securities and only disseminate an Official 
Closing Price for Auction-Eligible Securities. The Exchange believes 
that this proposed rule change would reduce the likelihood of disparate 
or duplicative prices being disseminated and identified as a UTP 
Security's formal closing price. Therefore, the proposed rule change

[[Page 30474]]

would reduce potential investor confusion by ensuring that the Exchange 
does not contribute to the dissemination of duplicative or disparate 
closing prices for UTP Securities. For these reasons, the Exchange 
believes that the proposal is consistent with the Act.

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

    In accordance with Section 6(b)(8) of the Act,\9\ the Exchange 
believes that the proposed rule change would not impose any burden on 
competition that is not necessary or appropriate in furtherance of the 
purposes of the Act because the proposed rule change is not designed to 
have a competitive impact. It is simply intended to amend the 
Exchange's rules to state that it would disseminate an Official Closing 
Price for Auction-Eligible Securities only. As a result, the Exchange 
would no longer disseminate an Official Closing Price for UTP 
Securities, reducing the likelihood of disparate or duplicative prices 
being disseminated and identified as a UTP Security's formal closing 
price.
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    \9\ 15 U.S.C. 78f(b)(8).
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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 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) of the Act \10\ and Rule 19b-4(f)(6) thereunder.\11\
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    \10\ 15 U.S.C. 78s(b)(3)(A).
    \11\ 17 CFR 240.19b-4(f)(6). As required under Rule 19b-
4(f)(6)(iii), the Exchange provided the Commission with written 
notice of its intent to file the proposed rule change, along with a 
brief description and the text of 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.
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    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the 
Act \12\ normally does not become operative for 30 days after the date 
of its filing. However, Rule 19b-4(f)(6)(iii) \13\ 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 proposed rule change may become operative upon filing. The Exchange 
states that waiver of the operative delay would be consistent with the 
protection of investors and the public interest because the proposed 
rule change would reduce potential investor confusion regarding the 
Official Closing Price for a UTP Security. The Exchange states that it 
anticipates being able to implement the technology changes supporting 
the proposed rule change within 30 days from filing.
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    \12\ 17 CFR 240.19b-4(f)(6).
    \13\ 17 CFR 240.19b-4(f)(6)(iii).
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    The Commission believes that waiving the 30-day operative delay is 
consistent with the protection of investors and the public interest. 
Therefore, the Commission hereby waives the operative delay and 
designates the proposal as operative upon filing.\14\
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    \14\ 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 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 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 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-NYSEAMER-2018-30 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-NYSEAMER-2018-30. 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-NYSEAMER-2018-
30 and should be submitted on or before July 19, 2018.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
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    \15\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-13885 Filed 6-27-18; 8:45 am]
BILLING CODE 8011-01-P
Federal Register / Vol. 83, No. 125 / Thursday, June 28, 2018 / Notices 30473

number should be included on the with the Securities and Exchange listing market, the last consolidated last-
subject line if email is used. To help the Commission (‘‘Commission’’) the sale price for such security.
Commission process and review your proposed rule change as described in The Exchange proposes to amend
comments more efficiently, please use Items I and II below, which Items have Rule 7.35E(d)(4) to provide that the
only one method. The Commission will been prepared by the self-regulatory Exchange would disseminate an Official
post all comments on the Commission’s organization. The Commission is Closing Price for Auction-Eligible
internet website (http://www.sec.gov/ publishing this notice to solicit Securities only. An Auction-Eligible
rules/sro.shtml). Copies of the comments on the proposed rule change Security is defined as all ‘‘securities for
submission, all subsequent from interested persons. which the Exchange is the primary
amendments, all written statements listing market and UTP Securities
I. Self-Regulatory Organization’s
with respect to the proposed rule designated by the Exchange.’’ 6 As a
Statement of the Terms of Substance of
change that are filed with the result, the Exchange would report an
the Proposed Rule Change
Commission, and all written Official Closing Price for only those
communications relating to the The Exchange proposes to amend securities for which the Exchange
proposed rule change between the Rule 7.35E (Auctions) to revise the calculates an Official Closing Price
Commission and any person, other than securities for which it will report an pursuant to Rule 1.1E(gg). The Exchange
those that may be withheld from the Official Closing Price. The proposed believes that, by ceasing reporting an
public in accordance with the rule change is available on the Official Closing Price in securities that
provisions of 5 U.S.C. 552, will be Exchange’s website at www.nyse.com, at are not auction-eligible on the
available for website viewing and the principal office of the Exchange, and Exchange, it would reduce the
printing in the Commission’s Public at the Commission’s Public Reference likelihood of disparate or duplicative
Reference Room, on official business Room. prices being disseminated and
days between the hours of 10:00 a.m. II. Self-Regulatory Organization’s identified as a UTP Security’s formal
and 3:00 p.m., located at 100 F Street Statement of the Purpose of, and closing price.
NE, Washington, DC 20549. Copies of Statutory Basis for, the Proposed Rule
such filing also will be available for 2. Statutory Basis
Change
inspection and copying at the principal The Exchange believes that the
office of the Exchange. All comments In its filing with the Commission, the proposal is consistent with Section 6(b)
received will be posted without change. self-regulatory organization included of the Act,7 in general, and furthers the
Persons submitting comments are statements concerning the purpose of, objectives of Sections 6(b)(5) of the Act,8
cautioned that we do not redact or edit and basis for, the proposed rule change in particular, because it is designed to
personal identifying information from and discussed any comments it received prevent fraudulent and manipulative
comment submissions. You should on the proposed rule change. The text acts and practices, to promote just and
submit only information that you wish of those statements may be examined at equitable principles of trade, to foster
to make available publicly. All the places specified in Item IV below. cooperation and coordination with
submissions should refer to File The Exchange has prepared summaries, persons engaged in regulating, clearing,
Number SR–BOX–2018–23 and should set forth in sections A, B, and C below, settling, processing information with
be submitted on or before July 19, 2018. of the most significant parts of such respect to, and facilitating transactions
statements. in securities, to remove impediments to,
For the Commission, by the Division of
Trading and Markets, pursuant to delegated A. Self-Regulatory Organization’s and perfect the mechanisms of, a free
authority.14 Statement of the Purpose of, and the and open market and a national market
Eduardo A. Aleman, Statutory Basis for, the Proposed Rule system and, in general, to protect
Assistant Secretary. Change investors and the public interest and
[FR Doc. 2018–13887 Filed 6–27–18; 8:45 am] because it is not designed to permit
1. Purpose
BILLING CODE 8011–01–P unfair discrimination between
The Exchange proposes to amend customers, issuers, brokers, or dealers.
Exchange Rule 7.35E (Auctions) to The Exchange believes that the
SECURITIES AND EXCHANGE revise the securities for which it will proposed rule change would remove
COMMISSION report an Official Closing Price.4 Rule impediments to, and perfect the
7.35E(d)(4) currently states that the mechanisms of, a free and open market
[Release No. 34–83498; File No. SR–
NYSEAMER–2018–30]
Exchange reports an Official Closing and a national market system and, in
Price for all securities that trade on the general, protect investors and the public
Self-Regulatory Organizations; NYSE Exchange. This includes not only interest because the Exchange would
American LLC; Notice of Filing and securities for which the Exchange is the cease disseminating a closing price for
Immediate Effectiveness of Proposed primary listing market, but also all UTP UTP Securities and only disseminate an
Rule Change To Amend Rule 7.35E Securities that are traded on the Official Closing Price for Auction-
Exchange.5 Because the Exchange does Eligible Securities. The Exchange
June 22, 2018. not calculate an Official Closing Price believes that this proposed rule change
Pursuant to Section 19(b)(1) 1 of the for UTP Securities when the Exchange would reduce the likelihood of
Securities Exchange Act of 1934 (the reports an Official Closing Price for such disparate or duplicative prices being
‘‘Act’’) 2 and Rule 19b–4 thereunder,3 securities, the Exchange uses either the disseminated and identified as a UTP
notice is hereby given that on June 18,
amozie on DSK3GDR082PROD with NOTICES1

closing price calculated by the primary Security’s formal closing price.
2018, NYSE American LLC (the listing market or, if no closing price has Therefore, the proposed rule change
‘‘Exchange’’ or ‘‘NYSE American’’) filed been disseminated by the primary
6 See Exchange Rule 7.35E(a)(1). To date, the
14 17 CFR 200.30–3(a)(12). 4 The term ‘‘Official Closing Price’’ is defined in Exchange has not designated any UTP Securities as
1 15 U.S.C.78s(b)(1). an Auction-Eligible Security.
Exchange Rule 1.1E(gg)(1).
2 15 U.S.C. 78a. 5 The term ‘‘UTP Securities’’ is defined in Rule 7 15 U.S.C. 78f(b).
3 17 CFR 240.19b–4. 1.1E(ii). 8 15 U.S.C. 78f(b)(5).

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30474 Federal Register / Vol. 83, No. 125 / Thursday, June 28, 2018 / Notices

would reduce potential investor with the protection of investors and the file number should be included on the
confusion by ensuring that the Exchange public interest. The Exchange has asked subject line if email is used. To help the
does not contribute to the dissemination the Commission to waive the 30-day Commission process and review your
of duplicative or disparate closing operative delay so that the proposed comments more efficiently, please use
prices for UTP Securities. For these rule change may become operative upon only one method. The Commission will
reasons, the Exchange believes that the filing. The Exchange states that waiver post all comments on the Commission’s
proposal is consistent with the Act. of the operative delay would be internet website (http://www.sec.gov/
consistent with the protection of rules/sro.shtml). Copies of the
B. Self-Regulatory Organization’s
investors and the public interest submission, all subsequent
Statement on Burden on Competition
because the proposed rule change amendments, all written statements
In accordance with Section 6(b)(8) of would reduce potential investor with respect to the proposed rule
the Act,9 the Exchange believes that the confusion regarding the Official Closing change that are filed with the
proposed rule change would not impose Price for a UTP Security. The Exchange Commission, and all written
any burden on competition that is not states that it anticipates being able to communications relating to the
necessary or appropriate in furtherance implement the technology changes proposed rule change between the
of the purposes of the Act because the supporting the proposed rule change Commission and any person, other than
proposed rule change is not designed to within 30 days from filing. those that may be withheld from the
have a competitive impact. It is simply The Commission believes that public in accordance with the
intended to amend the Exchange’s rules waiving the 30-day operative delay is provisions of 5 U.S.C. 552, will be
to state that it would disseminate an consistent with the protection of available for website viewing and
Official Closing Price for Auction- investors and the public interest. printing in the Commission’s Public
Eligible Securities only. As a result, the Therefore, the Commission hereby Reference Room, 100 F Street NE,
Exchange would no longer disseminate waives the operative delay and Washington, DC 20549 on official
an Official Closing Price for UTP designates the proposal as operative business days between the hours of
Securities, reducing the likelihood of upon filing.14 10:00 a.m. and 3:00 p.m. Copies of the
disparate or duplicative prices being At any time within 60 days of the filing also will be available for
disseminated and identified as a UTP filing of the proposed rule change, the inspection and copying at the principal
Security’s formal closing price. Commission summarily may office of the Exchange. All comments
C. Self-Regulatory Organization’s temporarily suspend such rule change if received will be posted without change.
Statement on Comments on the it appears to the Commission that such Persons submitting comments are
Proposed Rule Change Received From action is necessary or appropriate in the cautioned that we do not redact or edit
Members, Participants, or Others public interest, for the protection of personal identifying information from
investors, or otherwise in furtherance of comment submissions.
No written comments were solicited the purposes of the Act. If the
or received with respect to the proposed You should submit only information
Commission takes such action, the that you wish to make available
rule change. Commission shall institute proceedings publicly. All submissions should refer
III. Date of Effectiveness of the to determine whether the proposed rule to File Number SR–NYSEAMER–2018–
Proposed Rule Change and Timing for should be approved or disapproved. 30 and should be submitted on or before
Commission Action IV. Solicitation of Comments July 19, 2018.
Because the proposed rule change Interested persons are invited to For the Commission, by the Division of
does not (i) significantly affect the submit written data, views, and Trading and Markets, pursuant to delegated
protection of investors or the public authority.15
arguments concerning the foregoing,
interest; (ii) impose any significant including whether the proposed rule Eduardo A. Aleman,
burden on competition; and (iii) become change is consistent with the Act. Assistant Secretary.
operative for 30 days from the date on Comments may be submitted by any of [FR Doc. 2018–13885 Filed 6–27–18; 8:45 am]
which it was filed, or such shorter time the following methods: BILLING CODE 8011–01–P
as the Commission may designate, it has
become effective pursuant to Section Electronic Comments
19(b)(3)(A) of the Act 10 and Rule 19b– • Use the Commission’s internet DEPARTMENT OF TRANSPORTATION
4(f)(6) thereunder.11 comment form (http://www.sec.gov/
A proposed rule change filed rules/sro.shtml); or Federal Aviation Administration
pursuant to Rule 19b–4(f)(6) under the • Send an email to rule-comments@
Act 12 normally does not become sec.gov. Please include File Number SR– Agency Information Collection
operative for 30 days after the date of its NYSEAMER–2018–30 on the subject Activities: Requests for Comments;
filing. However, Rule 19b–4(f)(6)(iii) 13 line. Clearance of Renewed Approval of
permits the Commission to designate a Information Collection: Advisory
shorter time if such action is consistent Paper Comments Circular (AC): Reporting of Laser
• Send paper comments in triplicate Illumination of Aircraft
9 15 U.S.C. 78f(b)(8). to Secretary, Securities and Exchange
10 15 U.S.C. 78s(b)(3)(A). Commission, 100 F Street NE, AGENCY: Federal Aviation
11 17 CFR 240.19b–4(f)(6). As required under Rule
Washington, DC 20549–1090. Administration (FAA), DOT.
amozie on DSK3GDR082PROD with NOTICES1

19b–4(f)(6)(iii), the Exchange provided the ACTION: Notice and request for
Commission with written notice of its intent to file All submissions should refer to File
Number SR–NYSEAMER–2018–30. This comments.
the proposed rule change, along with a brief
description and the text of the proposed rule SUMMARY: In accordance with the
change, at least five business days prior to the date 14 For purposes only of waiving the 30-day
of filing of the proposed rule change, or such Paperwork Reduction Act of 1995, FAA
operative delay, the Commission has also
shorter time as designated by the Commission. considered the proposed rule’s impact on invites public comments about our
12 17 CFR 240.19b–4(f)(6).
efficiency, competition, and capital formation. See
13 17 CFR 240.19b–4(f)(6)(iii). 15 U.S.C. 78c(f). 15 17 CFR 200.30–3(a)(12).

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Document Created: 2018-11-06 09:55:03
Document Modified: 2018-11-06 09:55:03
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 30473