83 FR 56127 - Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Chapter XIV, Index Rules, Section 10(g), Pricing When Primary Market Does Not Open
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 83, Issue 218 (November 9, 2018)
Federal Register Volume 83, Issue 218 (November 9, 2018)
| Page Range | 56127-56129 | |
| FR Document | 2018-24525 |
[Federal Register Volume 83, Number 218 (Friday, November 9, 2018)] [Notices] [Pages 56127-56129] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-24525] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-84538; File No. SR-NASDAQ-2018-081] Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Chapter XIV, Index Rules, Section 10(g), Pricing When Primary Market Does Not Open November 5, 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 October 23, 2018, The Nasdaq Stock Market LLC (``Nasdaq'' or the ``Exchange'') filed with the Securities and Exchange Commission (``SEC'' or ``Commission'') the proposed rule change as described in Items I and II 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 Chapter XIV, Index Rules, Section 10(g), Pricing When Primary Market Does Not Open. The text of the proposed rule change is available on the Exchange's website at http://nasdaq.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 Exchange proposes to amend its rules at Chapter XIV, Index Rules, Section 10(g) of the Exchange's rulebook regarding determination of the price of component securities for purposes of calculating the current index value at expiration of Exchange index options on days when the primary market for the underlying security does not open.\3\ The proposed amendment would apply to both AM-settled and PM-settled index options.\4\ --------------------------------------------------------------------------- \3\ Three of the Exchange's affiliated options exchanges, Nasdaq ISE, LLC (``ISE''), Nasdaq BX (``BX'') and Nasdaq PHLX LLC, will also be proposing rule changes relating to the manner of determining an underlying index component security's price for purposes of calculating the current index value at expiration of an index option under these circumstances. See SR-BX-2018-049, SR-Phlx-2018-63, and SR-ISE-2018-88. The Exchange desires its rules to be aligned with those of the affiliated exchanges. \4\ Currently, traditional index options expiring on the third Friday of the month are A.M.-settled, meaning that the index option's settlement value is calculated based upon opening prices of the index's component securities on the last day of trading in the component securities prior to expiration, normally on Friday morning. By contrast, the settlement of P.M.-settled index options is based upon the closing index value, defined as the last index value reported on a business day, for the day on which the index option is exercised. P.M.-settled options expiring on the third Friday of the month would therefore normally be settled on the basis of Friday's closing prices of component securities. --------------------------------------------------------------------------- Currently, Chapter XIV, Section 10(g) provides that when the primary market for a security underlying the current index value of an index option does not open for trading on a given day, the price of that security shall be determined, for purposes of calculating the current index value at expiration, based on the opening price of that security on the next day that its primary market is open for trading.\5\ --------------------------------------------------------------------------- \5\ The rule provides, however, that this procedure shall not be used if the current index value at expiration is fixed in accordance with the Rules and By-Laws of the options Clearing Corporation (``OCC''). --------------------------------------------------------------------------- The Exchange now proposes to delete from the rule the language providing for determination of the price of the component security, for purposes of calculating the current index value at expiration, based on the opening price of that security on the next day that its primary market is open for trading. The Exchange proposes to amend Chapter XIV, Section 10(g) so that it provides that when the primary market for a security underlying the current index value of an index option does not open for trading on a given day, which is an expiration day, for purposes of calculating the settlement price at expiration, the last reported sale price of the security from the previous trading day shall be used.\6\ The revised provision would permit market participants the certainty of knowing the settlement value on the day on which the primary market fails to open. Additionally, the amendment would eliminate the potential difficulties that could arise if the reporting authority for the index were unwilling or unable to calculate the settlement value using prices for the relevant security(ies) on the next day that its primary market is open for trading.\7\ --------------------------------------------------------------------------- \6\ Chapter XIV, Section 10(g) would continue to apply to both A.M.-settled and P.M.-settled index options. \7\ The index calculator for the NDX, MNX and BKX indexes, which are products traded on Nasdaq affiliated exchanges, uses the previous day's closing price if components of the index do not open. --------------------------------------------------------------------------- The rule would continue to provide that this procedure shall not be used if the current index value at expiration is fixed in accordance with OCC rules and by-laws. This language recognizes that OCC is authorized under its rules and by-laws to take certain actions relating to settlement in the event of the unavailability or inaccuracy of the current underlying interest value.\8\ The Exchange proposes to retain this language in recognition of OCC's authority to establish settlement prices and procedures in certain circumstances where normal settlement procedures cannot be followed due unforeseen events, such as the unanticipated closure of a primary market for a component security on a day on which it would normally be open for trading. The Exchange would thus retain the last sentence of Chapter XIV, Section 10(g) which will make clear that the new [[Page 56128]] procedure would not apply in the event that OCC exercises its authority to determine settlement prices. Rather, the proposed new language would apply only when a primary market does not open and OCC elects not to exercise its authority to intervene and take action to establish a settlement price. --------------------------------------------------------------------------- \8\ See OCC By-Laws Article XVII, Section 4(a), which provides in relevant part that if OCC shall determine that the primary market for one or more index components did not open or remain open for trading (or that any such components did not open or remain open for trading on such market(s)) on a trading day at or before the time when the current index value for that trading day would ordinarily be determined, or that a current index value or other value or price to be used as, or to determine, the exercise settlement amount (a ``required value'') for a trading day is otherwise unreported, inaccurate, unreliable, unavailable or inappropriate for purposes of calculating the exercise settlement amount, then, in addition to any other actions that OCC may be entitled to take under OCC's bylaws and rules, the, OCC is empowered to take any or all of a range of permitted actions with respect to any series of options on such index, including fixing the exercise settlement amount. --------------------------------------------------------------------------- 2. Statutory Basis The Exchange believes that its proposal is consistent with Section 6(b) of the Act,\9\ in general, and furthers the objectives of Section 6(b)(5) of the Act,\10\ in particular, in that it is designed to promote just and equitable principles of trade, 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. As noted above, the amendment to Chapter XIV, Section 10(g) would establish clearly the procedure for determination of an index component security's price in the event that the primary market for the security fails to open. By adopting the proposed rule amendment, the Exchange would provide certainty to the market regarding the procedure it would follow in the absence of action by OCC. Additionally, it would provide market participants with the certainty of knowing the settlement value on the day on which the primary market fails to open, and eliminate the potential difficulties that could arise if the reporting authority for the index were unwilling or unable to calculate the settlement value using prices for the relevant security(ies) on the next day that its primary market is open for trading. --------------------------------------------------------------------------- \9\ 15 U.S.C. 78f(b). \10\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- It would also acknowledge clearly, however, that OCC may, under its rules and by-laws, establish settlement prices for expiring index options that may differ from the settlement prices that would otherwise be provided for in Exchange rules, thereby protecting investors and the public interest by reducing potential for confusion in that regard. B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition not necessary or appropriate in furtherance of the purposes of the Act. On the contrary, the Exchange believes that the proposed amendment will benefit investors, market participants, and the marketplace in general by setting forth clearly the manner in which index option settlement values will be determined if the primary market for a security underlying the current index value of an index option does not open for trading, allowing market participants the certainty of knowing the settlement price on the day on which the primary market fails to open, eliminating the potential difficulties that could arise if the reporting authority for the index were unwilling or unable to calculate the settlement value using prices for the relevant security(ies) on the next day that its primary market is open for trading, and retaining the existing provision stating that the Exchange will defer to OCC in the determination of settlement prices when and if OCC exercises its authority under its own settlement price procedures in accordance with its rules and by-laws. 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 The Exchange has filed the proposed rule change pursuant to Section 19(b)(3)(A) of the Act \11\ and Rule 19b-4(f)(6) thereunder.\12\ 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 and Rule 19b-4(f)(6) thereunder.\13\ --------------------------------------------------------------------------- \11\ 15 U.S.C. 78s(b)(3)(A)(iii). \12\ 17 CFR 240.19b-4(f)(6). \13\ In addition, Rule 19b-4(f)(6)(iii) 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. --------------------------------------------------------------------------- A proposed rule change filed under Rule 19b-4(f)(6) \14\ normally does not become operative for 30 days after the date of the filing. However, pursuant to Rule 19b-4(f)(6)(iii),\15\ the Commission may designate a shorter time if such action is consistent with the protection of investors and the public interest. In its filing with the Commission, the Exchange has asked the Commission to waive the 30-day operative delay so that the proposal may become operative immediately upon filing to provide certainty regarding the determination of settlement prices for index options when the primary market for a security underlying the current index value of an index option does not does not open for trading on an expiration day, including in instances in which OCC exercises its authority to determine the settlement price. According to the Exchange, the proposed rule change will allow investors to know the settlement price of an index option on the day on which the primary market of an underlying component fails to open and will avoid potential difficulties that could arise if the reporting authority for the index was unwilling or unable to calculate the settlement value using prices for the relevant securities on the next day that its primary market is open for trading. As such, the Commission believes that waiver of the 30-day operative delay is consistent with the protection of investors and the public interest and designates the proposed rule change operative upon filing.\16\ --------------------------------------------------------------------------- \14\ 17 CFR 240.19b-4(f)(6). \15\ 17 CFR 240.19b-4(f)(6)(iii). \16\ For purposes only of waiving the operative delay, the Commission has considered the proposed rule's impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). --------------------------------------------------------------------------- At any time within 60 days of the filing of such 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 under Section 19(b)(2)(B) \17\ of the Act to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \17\ 15 U.S.C. 78s(b)(2)(B). --------------------------------------------------------------------------- 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-NASDAQ-2018-081 on the subject line. Paper Comments Send paper comments in triplicate to Secretary, Securities and Exchange [[Page 56129]] Commission, 100 F Street NE, Washington, DC 20549-1090. All submissions should refer to File Number SR-NASDAQ-2018-081. 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 a.m. and 3 p.m. Copies of such 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- NASDAQ-2018-081, and should be submitted on or before November 30, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\18\ --------------------------------------------------------------------------- \18\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018-24525 Filed 11-8-18; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 83, No. 218 / Friday, November 9, 2018 / Notices 56127
be submitted on or before November 30, statements may be examined at the Exchange proposes to amend Chapter
2018. places specified in Item IV below. The XIV, Section 10(g) so that it provides
For the Commission, by the Division of Exchange has prepared summaries, set that when the primary market for a
Trading and Markets, pursuant to delegated forth in sections A, B, and C below, of security underlying the current index
authority.18 the most significant aspects of such value of an index option does not open
Eduardo A. Aleman, statements. for trading on a given day, which is an
Assistant Secretary. expiration day, for purposes of
A. Self-Regulatory Organization’s
calculating the settlement price at
[FR Doc. 2018–24526 Filed 11–8–18; 8:45 am] Statement of the Purpose of, and
expiration, the last reported sale price of
BILLING CODE 8011–01–P Statutory Basis for, the Proposed Rule
the security from the previous trading
Change
day shall be used.6 The revised
SECURITIES AND EXCHANGE 1. Purpose provision would permit market
COMMISSION The Exchange proposes to amend its participants the certainty of knowing
rules at Chapter XIV, Index Rules, the settlement value on the day on
[Release No. 34–84538; File No. SR– which the primary market fails to open.
NASDAQ–2018–081] Section 10(g) of the Exchange’s rulebook
regarding determination of the price of Additionally, the amendment would
component securities for purposes of eliminate the potential difficulties that
Self-Regulatory Organizations; The
calculating the current index value at could arise if the reporting authority for
Nasdaq Stock Market LLC; Notice of
expiration of Exchange index options on the index were unwilling or unable to
Filing and Immediate Effectiveness of
days when the primary market for the calculate the settlement value using
Proposed Rule Change To Amend
underlying security does not open.3 The prices for the relevant security(ies) on
Chapter XIV, Index Rules, Section
proposed amendment would apply to the next day that its primary market is
10(g), Pricing When Primary Market
both AM-settled and PM-settled index open for trading.7
Does Not Open The rule would continue to provide
options.4
November 5, 2018. Currently, Chapter XIV, Section 10(g) that this procedure shall not be used if
Pursuant to Section 19(b)(1) of the provides that when the primary market the current index value at expiration is
Securities Exchange Act of 1934 for a security underlying the current fixed in accordance with OCC rules and
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 index value of an index option does not by-laws. This language recognizes that
notice is hereby given that on October open for trading on a given day, the OCC is authorized under its rules and
23, 2018, The Nasdaq Stock Market LLC price of that security shall be by-laws to take certain actions relating
(‘‘Nasdaq’’ or the ‘‘Exchange’’) filed with determined, for purposes of calculating to settlement in the event of the
the Securities and Exchange the current index value at expiration, unavailability or inaccuracy of the
Commission (‘‘SEC’’ or ‘‘Commission’’) based on the opening price of that current underlying interest value.8 The
the proposed rule change as described security on the next day that its primary Exchange proposes to retain this
in Items I and II below, which Items market is open for trading.5 language in recognition of OCC’s
have been prepared by the Exchange. The Exchange now proposes to delete authority to establish settlement prices
The Commission is publishing this from the rule the language providing for and procedures in certain circumstances
notice to solicit comments on the determination of the price of the where normal settlement procedures
proposed rule change from interested component security, for purposes of cannot be followed due unforeseen
persons. calculating the current index value at events, such as the unanticipated
expiration, based on the opening price closure of a primary market for a
I. Self-Regulatory Organization’s component security on a day on which
of that security on the next day that its
Statement of the Terms of Substance of it would normally be open for trading.
primary market is open for trading. The
the Proposed Rule Change The Exchange would thus retain the last
The Exchange proposes to amend 3 Three of the Exchange’s affiliated options sentence of Chapter XIV, Section 10(g)
Chapter XIV, Index Rules, Section 10(g), exchanges, Nasdaq ISE, LLC (‘‘ISE’’), Nasdaq BX which will make clear that the new
Pricing When Primary Market Does Not (‘‘BX’’) and Nasdaq PHLX LLC, will also be
proposing rule changes relating to the manner of 6 Chapter XIV, Section 10(g) would continue to
Open. determining an underlying index component apply to both A.M.-settled and P.M.-settled index
The text of the proposed rule change security’s price for purposes of calculating the options.
is available on the Exchange’s website at current index value at expiration of an index option 7 The index calculator for the NDX, MNX and
http://nasdaq.cchwallstreet.com, at the under these circumstances. See SR–BX–2018–049, BKX indexes, which are products traded on Nasdaq
SR–Phlx–2018–63, and SR–ISE–2018–88. The affiliated exchanges, uses the previous day’s closing
principal office of the Exchange, and at Exchange desires its rules to be aligned with those price if components of the index do not open.
the Commission’s Public Reference of the affiliated exchanges. 8 See OCC By-Laws Article XVII, Section 4(a),
Room. 4 Currently, traditional index options expiring on
which provides in relevant part that if OCC shall
the third Friday of the month are A.M.-settled, determine that the primary market for one or more
II. Self-Regulatory Organization’s meaning that the index option’s settlement value is index components did not open or remain open for
Statement of the Purpose of, and calculated based upon opening prices of the index’s trading (or that any such components did not open
Statutory Basis for, the Proposed Rule component securities on the last day of trading in or remain open for trading on such market(s)) on
the component securities prior to expiration, a trading day at or before the time when the current
Change normally on Friday morning. By contrast, the index value for that trading day would ordinarily
In its filing with the Commission, the settlement of P.M.-settled index options is based be determined, or that a current index value or
upon the closing index value, defined as the last other value or price to be used as, or to determine,
Exchange included statements index value reported on a business day, for the day the exercise settlement amount (a ‘‘required value’’)
khammond on DSK30JT082PROD with NOTICES
concerning the purpose of and basis for on which the index option is exercised. P.M.-settled for a trading day is otherwise unreported,
the proposed rule change and discussed options expiring on the third Friday of the month inaccurate, unreliable, unavailable or inappropriate
any comments it received on the would therefore normally be settled on the basis of for purposes of calculating the exercise settlement
Friday’s closing prices of component securities. amount, then, in addition to any other actions that
proposed rule change. The text of these 5 The rule provides, however, that this procedure OCC may be entitled to take under OCC’s bylaws
shall not be used if the current index value at and rules, the, OCC is empowered to take any or
18 17 CFR 200.30–3(a)(12). expiration is fixed in accordance with the Rules and all of a range of permitted actions with respect to
1 15 U.S.C. 78s(b)(1). By-Laws of the options Clearing Corporation any series of options on such index, including
2 17 CFR 240.19b–4. (‘‘OCC’’). fixing the exercise settlement amount.
VerDate Sep<11>2014 17:36 Nov 08, 2018 Jkt 247001 PO 00000 Frm 00082 Fmt 4703 Sfmt 4703 E:\FR\FM\09NON1.SGM 09NON1](https://thefederalregister.org/doc/83_FR_56345/page/1.svg)
![Federal Register / Vol. 83, No. 218 / Friday, November 9, 2018 / Notices 56129
Commission, 100 F Street NE, (‘‘Act’’),1 and Rule 19b–4 thereunder,2 at the Commission’s Public Reference
Washington, DC 20549–1090. notice is hereby given that on November Room.
All submissions should refer to File 2, 2018, Cboe Exchange, Inc.
II. Self-Regulatory Organization’s
Number SR–NASDAQ–2018–081. This (‘‘Exchange’’ or ‘‘Cboe Options’’) filed
Statement of the Purpose of, and
file number should be included on the with the Securities and Exchange Statutory Basis for, the Proposed Rule
subject line if email is used. To help the Commission (‘‘Commission’’) the Change
Commission process and review your proposed rule change as described in
comments more efficiently, please use Items I and II below, which Items have In its filing with the Commission, the
only one method. The Commission will been prepared by the Exchange. The Exchange included statements
post all comments on the Commission’s Exchange filed the proposal as a ‘‘non- concerning the purpose of and basis for
internet website (http://www.sec.gov/ controversial’’ proposed rule change the proposed rule change and discussed
rules/sro.shtml). Copies of the pursuant to Section 19(b)(3)(A)(iii) of any comments it received on the
submission, all subsequent the Act 3 and Rule 19b–4(f)(6) proposed rule change. The text of these
amendments, all written statements thereunder.4 The Commission is statements may be examined at the
with respect to the proposed rule publishing this notice to solicit places specified in Item IV below. The
comments on the proposed rule change Exchange has prepared summaries, set
change that are filed with the
from interested persons. forth in sections A, B, and C below, of
Commission, and all written
the most significant aspects of such
communications relating to the I. Self-Regulatory Organization’s statements.
proposed rule change between the Statement of the Terms of Substance of
Commission and any person, other than the Proposed Rule Change A. Self-Regulatory Organization’s
those that may be withheld from the Statement of the Purpose of, and
public in accordance with the The Exchange proposes to extend the Statutory Basis for, the Proposed Rule
provisions of 5 U.S.C. 552, will be operation of its SPXPM pilot program. Change
available for website viewing and The text of the proposed rule change
is provided below. 1. Purpose
printing in the Commission’s Public
Reference Room, 100 F Street NE, (additions are italicized; deletions are On February 8, 2013, the Exchange
Washington, DC 20549 on official [bracketed]) received approval of a rule change that
business days between the hours of 10 established a Pilot Program that allows
a.m. and 3 p.m. Copies of such filing * * * * * the Exchange to list options on the S&P
also will be available for inspection and Cboe Exchange, Inc. Rules [sic] 500 Index whose exercise settlement
copying at the principal office of the value is derived from closing prices on
* * * * * the last trading day prior to expiration
Exchange. All comments received will
be posted without change. Persons Rule 24.9. Terms of Index Option (‘‘SPXPM’’).5 On July 31, 2013, the
submitting comments are cautioned that Contracts Exchange received approval of a rule
we do not redact or edit personal change that amended the Pilot Program
(No change). to allow the Exchange to list options on
identifying information from comment . . . Interpretations and Policies:
submissions. You should submit only the Mini-SPX Index (‘‘XSP’’) whose
.01–.13 (No change). exercise settlement value is derived
information that you wish to make .14 In addition to A.M.-settled
available publicly. All submissions from closing prices on the last trading
Standard & Poor’s 500 Stock Index day prior to expiration (‘‘P.M.-settled’’) 6
should refer to File Number SR– options approved for trading on the
NASDAQ–2018–081, and should be (together, SPXPM and P.M.-settled XSP
Exchange pursuant to Rule 24.9, the to be referred to herein as the ‘‘Pilot
submitted on or before November 30, Exchange may also list options on the
2018. Products’’).7 The Exchange has
S&P 500 Index whose exercise extended the pilot period five times,
For the Commission, by the Division of settlement value is derived from closing which is currently set to expire on the
Trading and Markets, pursuant to delegated prices on the last trading day prior to earlier of November 5, 2018 or the date
authority.18 expiration (P.M.-settled third Friday-of- on which the pilot program is approved
Eduardo A. Aleman, the-month SPX options series). The on a permanent basis.8 The Exchange
Assistant Secretary. Exchange may also list options on the
[FR Doc. 2018–24525 Filed 11–8–18; 8:45 am] Mini-SPX Index (‘‘XSP’’) whose exercise 5 See Securities Exchange Act Release No. 68888
BILLING CODE 8011–01–P settlement value is derived from closing (February 8, 2013), 78 FR 10668 (February 14, 2013)
prices on the last trading day prior to (SR–CBOE–2012–120) (the ‘‘SPXPM Approval
Order’’). Pursuant to Securities Exchange Act
expiration (‘‘P.M.-settled’’). P.M.-settled Release No. 80060 (February 17, 2017), 82 FR 11673
SECURITIES AND EXCHANGE third Friday-of-the-month SPX options (February 24, 2017) (SR–CBOE–2016–091), the
COMMISSION series and P.M.-settled XSP options will Exchange moved third-Friday P.M.-settled options
be listed for trading for a pilot period into the S&P 500 Index options class, and as a
[Release No. 34–84535; File No. SR–CBOE– result, the trading symbol for P.M.-settled S&P 500
2018–069]
ending [November 5, 2018] May 6, 2019. Index options that have standard third Friday-of-
* * * * * the-month expirations changed from ‘‘SPXPM’’ to
Self-Regulatory Organizations; Cboe The text of the proposed rule change ‘‘SPXW.’’ This change went into effect on May 1,
2017, pursuant to Cboe Options Regulatory Circular
Exchange, Inc.; Notice of Filing and is also available on the Exchange’s RG17–054.
Immediate Effectiveness of a Proposed website (http://www.cboe.com/ 6 See Securities Exchange Act Release No. 70087
khammond on DSK30JT082PROD with NOTICES
Rule Change To Extend the Operation AboutCBOE/CBOELegal (July 31, 2013), 78 FR 47809 (August 6, 2013) (SR–
of its SPXPM Pilot Program RegulatoryHome.aspx), at the CBOE–2013–055) (the ‘‘P.M.-settled XSP Approval
Order’’).
Exchange’s Office of the Secretary, and 7 For more information on the Pilot Products or
November 5, 2018.
the Pilot Program, see the SPXPM Approval Order
Pursuant to Section 19(b)(1) of the 1 15 U.S.C. 78s(b)(1). and the P.M.-settled XSP Approval Order.
Securities Exchange Act of 1934 2 17 CFR 240.19b–4. 8 See Securities Exchange Act Release Nos. 71424
3 15 U.S.C. 78s(b)(3)(A)(iii).
(January 28, 2014), 79 FR 6249 (February 3, 2014)
18 17 CFR 200.30–3(a)(12). 4 17 CFR 240.19b–4(f)(6). Continued
VerDate Sep<11>2014 17:36 Nov 08, 2018 Jkt 247001 PO 00000 Frm 00084 Fmt 4703 Sfmt 4703 E:\FR\FM\09NON1.SGM 09NON1](https://thefederalregister.org/doc/83_FR_56345/page/3.svg)
Document Created: 2018-11-09 03:33:59
Document Modified: 2018-11-09 03:33:59
| 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 56127 |
2024 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR