83 FR 44083 - Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Designation of a Longer Period for Commission Action on a Proposed Rule Change Regarding BZX Rule 14.11(c) (Index Fund Shares)

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 168 (August 29, 2018)

Page Range		44083-44083
FR Document		2018-18674

Federal Register, Volume 83 Issue 168 (Wednesday, August 29, 2018)

[Federal Register Volume 83, Number 168 (Wednesday, August 29, 2018)]
[Notices]
[Page 44083]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-18674]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-83919; File No. SR-CboeBZX-2018-044]


Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of 
Designation of a Longer Period for Commission Action on a Proposed Rule 
Change Regarding BZX Rule 14.11(c) (Index Fund Shares)

August 23, 2018.
    On June 21, 2018, Cboe BZX Exchange, Inc. (``BZX'') filed with the 
Securities and Exchange Commission (``Commission''), pursuant to 
Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') \1\ 
and Rule 19b-4 thereunder,\2\ a proposed rule change to allow the 
quantitative requirements of BZX Rule 14.11(c)(3), (4), and (5) to be 
satisfied by either the underlying index or the fund's portfolio. The 
proposed rule change was published for comment in the Federal Register 
on July 11, 2018.\3\ The Commission has received no comment letters on 
the proposed rule change.
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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. 83594 (July 5, 
2018), 83 FR 32158.
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    Section 19(b)(2) of the Act \4\ provides that, within 45 days of 
the publication of notice of the filing of a proposed rule change, or 
within such longer period up to 90 days as the Commission may designate 
if it finds such longer period to be appropriate and publishes its 
reasons for so finding or as to which the self-regulatory organization 
consents, the Commission shall either approve the proposed rule change, 
disapprove the proposed rule change, or institute proceedings to 
determine whether the proposed rule change should be disapproved. The 
45th day after publication of the notice for this proposed rule change 
is August 25, 2018. The Commission is extending this 45-day time 
period.
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    \4\ 15 U.S.C. 78s(b)(2).
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    The Commission finds that it is appropriate to designate a longer 
period within which to take action on the proposed rule change so that 
it has sufficient time to consider the proposed rule change. 
Accordingly, the Commission, pursuant to Section 19(b)(2) of the 
Act,\5\ designates October 9, 2018, as the date by which the Commission 
shall either approve or disapprove or institute proceedings to 
determine whether to disapprove the proposed rule change (File Number 
SR-CboeBZX-2018-044).
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    \5\ Id.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\6\
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    \6\ 17 CFR 200.30-3(a)(31).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-18674 Filed 8-28-18; 8:45 am]
 BILLING CODE 8011-01-P

Federal Register / Vol. 83, No. 168 / Wednesday, August 29, 2018 / Notices 44083

OCC to a matched book quickly, thereby that the Proposed Rule Change (SR– The Commission finds that it is
containing its losses. OCC–2017–020), as modified by appropriate to designate a longer period
The Commission believes that these Amendment No. 2, be, and it hereby is, within which to take action on the
tools are designed to provide greater approved. proposed rule change so that it has
certainty to Clearing Members seeking For the Commission, by the Division of sufficient time to consider the proposed
to estimate the potential risks and losses Trading and Markets, pursuant to delegated rule change. Accordingly, the
arising from their use of OCC, while authority.51 Commission, pursuant to Section
enabling OCC to promptly return to a Eduardo A. Aleman, 19(b)(2) of the Act,5 designates October
matched book. The Commission 9, 2018, as the date by which the
Assistant Secretary.
believes that returning to a matched Commission shall either approve or
[FR Doc. 2018–18672 Filed 8–28–18; 8:45 am]
book pursuant to these provisions in the disapprove or institute proceedings to
BILLING CODE 8011–01–P
context of OCC’s default management determine whether to disapprove the
and recovery facilitates OCC’s proposed rule change (File Number SR–
operational capacity to timely contain CboeBZX–2018–044).
SECURITIES AND EXCHANGE
losses and liquidity demands while
continuing to meet its obligations. Thus, COMMISSION For the Commission, by the Division of
Trading and Markets, pursuant to delegated
the Commission believes that the authority.6
[Release No. 34–83919; File No. SR–
proposed changes are consistent with CboeBZX–2018–044] Eduardo A. Aleman,
Rule 17Ad–22(e)(13).46
Assistant Secretary.
5. Public Disclosure of Key Aspects of Self-Regulatory Organizations; Cboe [FR Doc. 2018–18674 Filed 8–28–18; 8:45 am]
Default Rules BZX Exchange, Inc.; Notice of
BILLING CODE 8011–01–P
Designation of a Longer Period for
Rules 17Ad–22(e)(23)(i) and (ii)
Commission Action on a Proposed
require, in relevant part, that OCC
Rule Change Regarding BZX Rule SECURITIES AND EXCHANGE
establish, implement, maintain, and
14.11(c) (Index Fund Shares) COMMISSION
enforce written policies and procedures
reasonably designed to provide for the August 23, 2018.
public disclosure of all relevant rules [Release No. 34–83927; File No. SR–OCC–
On June 21, 2018, Cboe BZX
and material procedures, including key 2017–809]
Exchange, Inc. (‘‘BZX’’) filed with the
aspects of default rules and procedures, Securities and Exchange Commission Self-Regulatory Organizations; The
as well as sufficient information to (‘‘Commission’’), pursuant to Section Options Clearing Corporation; Notice
enable participants to identify and 19(b)(1) of the Securities Exchange Act of No Objection to Advance Notice, as
evaluate the risks, fees and other of 1934 (‘‘Act’’) 1 and Rule 19b–4 Modified by Amendment No. 2,
material costs they incur by thereunder,2 a proposed rule change to Concerning Enhanced and New Tools
participating in OCC.47 The allow the quantitative requirements of for Recovery Scenarios
Commission believes that the proposed BZX Rule 14.11(c)(3), (4), and (5) to be
changes address key aspects of OCC’s satisfied by either the underlying index August 23, 2018.
default rules and procedures, thereby or the fund’s portfolio. The proposed
providing Clearing Members with a I. Introduction
rule change was published for comment
better understanding of the potential in the Federal Register on July 11, On December 8, 2017, The Options
risks and costs they might face in an 2018.3 The Commission has received no Clearing Corporation (‘‘OCC’’) filed with
extreme event where OCC may use its comment letters on the proposed rule the Securities and Exchange
proposed recovery tools, including the change. Commission (‘‘Commission’’) advance
potential use of the Special Charge. Section 19(b)(2) of the Act 4 provides notice SR–OCC–2017–809 (‘‘Advance
Accordingly, the Commission believes that, within 45 days of the publication Notice’’) pursuant to Section 806(e)(1) of
that OCC has disclosed these key of notice of the filing of a proposed rule Title VIII of the Dodd-Frank Wall Street
aspects of its default rules and change, or within such longer period up Reform and Consumer Protection Act,
procedures, consistent with Rule 17Ad– to 90 days as the Commission may entitled Payment, Clearing and
22(e)(23)(i) and (ii).48 designate if it finds such longer period Settlement Supervision Act of 2010
to be appropriate and publishes its (‘‘Clearing Supervision Act’’) 1 and Rule
IV. Conclusion
reasons for so finding or as to which the 19b–4(n)(1)(i) 2 under the Securities
On the basis of the foregoing, the self-regulatory organization consents, Exchange Act of 1934 (‘‘Exchange
Commission finds that the Amended the Commission shall either approve the Act’’) 3 to propose changes to OCC’s
Proposed Rule Change is consistent proposed rule change, disapprove the Rules and By-Laws to enhance OCC’s
with the requirements of the Exchange proposed rule change, or institute existing tools to address the risks of
Act, and in particular, with the proceedings to determine whether the liquidity shortfalls and credit losses and
requirements of Section 17A of the proposed rule change should be to establish new tools by which OCC
Exchange Act 49 and the rules and disapproved. The 45th day after could re-establish a matched book and,
regulations thereunder. publication of the notice for this if necessary, allocate uncovered losses
It is therefore ordered, pursuant to proposed rule change is August 25, following a default as well as provide
Section 19(b)(2) of the Exchange Act,50 2018. The Commission is extending this for additional financial resources. The
sradovich on DSK3GMQ082PROD with NOTICES

45-day time period. Advance Notice was published for
46 Id.
47 17
public comment in the Federal Register
CFR 240.17Ad–22(e)(23)(i) and (ii).
48 Id. 51 17 CFR 200.30–3(a)(12).
1 15 5 Id.
49 Inapproving this Amended Proposed Rule U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4. 6 17 CFR 200.30–3(a)(31).
Change, the Commission has considered the
1 12 U.S.C. 5465(e)(1).
proposed rule’s impact on efficiency, competition, 3 See Securities Exchange Act Release No. 83594

and capital formation. See 15 U.S.C. 78c(f). (July 5, 2018), 83 FR 32158. 2 17 CFR 240.19b–4(n)(1)(i).
50 15 U.S.C. 78s(b)(2). 4 15 U.S.C. 78s(b)(2). 3 15 U.S.C. 78a et seq.

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Document Created: 2018-08-29 00:13:25
Document Modified: 2018-08-29 00:13:25

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 44083