83 FR 6076 - Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Change To Amend Certain of the Governing Documents of Its Intermediate Parent Companies

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 29 (February 12, 2018)

Page Range		6076-6078
FR Document		2018-02723
Federal Register, Volume 83 Issue 29 (Monday, February 12, 2018)
[Federal Register Volume 83, Number 29 (Monday, February 12, 2018)]
[Notices]
[Pages 6076-6078]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-02723]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-82640; File No. SR-NYSE-2018-07]


Self-Regulatory Organizations; New York Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Change To 
Amend Certain of the Governing Documents of Its Intermediate Parent 
Companies

February 6, 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 January 29, 2018, New York Stock Exchange LLC (``NYSE'' 
or the ``Exchange'') filed with the Securities and Exchange Commission 
(the ``Commission'') the proposed rule change as described in Items I, 
II, and III below, which Items have been prepared by the 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 certain of the governing documents 
of its intermediate parent companies Intercontinental Exchange 
Holdings, Inc. (``ICE Holdings''), NYSE Holdings LLC (``NYSE 
Holdings'') and NYSE Group, Inc. (``NYSE Group'') to make a technical 
change updating the registered office and registered agent in the state 
of Delaware. The proposed 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 certain of the governing documents 
of its intermediate parent companies ICE Holdings, NYSE Holdings, and 
NYSE Group to make a technical change updating the registered office 
and registered agent in the state of Delaware.\4\
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    \4\ Intercontinental Exchange Inc., the ultimate parent of the 
Exchange, owns 100% of the equity interest in ICE Holdings, which in 
turn owns 100% of the equity interest in NYSE Holdings. NYSE 
Holdings owns 100% of the equity interest of NYSE Group, which in 
turn directly owns 100% of the equity interest of the Exchange and 
its national securities exchange affiliates, NYSE Arca, Inc., NYSE 
American LLC and NYSE National, Inc. ICE is a publicly traded 
company listed on the NYSE.
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    ICE Holdings and NYSE Group are corporations and NYSE Holdings is a 
limited liability corporation, all organized under the laws of the 
State of Delaware. As such, they are required to have and maintain a 
registered office and registered agent in Delaware.\5\ The Exchange 
proposes to amend certain of their governing documents to change the 
registered office and registered agent.
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    \5\ See Del. Code tit 6, Sec.  18-104, and Del. Code tit 8, 
Sec. Sec.  131 and 132.
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    More specifically, the Exchange proposes to amend the following 
provisions in the listed documents

[[Page 6077]]

(collectively, the ``Governing Documents''): \6\
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    \6\ Some of the Governing Documents were recently amended. See 
Securities Exchange Act Release No. 82081 (November 15, 2017), 82 FR 
55474 (November 21, 2017) (SR-NYSE-2017-57).
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     Article II (Registered Office) of the Ninth Amended and 
Restated Certificate of Incorporation of ICE Holdings;
     Article II, Sections 2.4 (Registered Office) and 2.5 
(Registered Agent) of the Ninth Amended and Restated Limited Liability 
Company Agreement of NYSE Holdings;
     the Certificate of Formation of NYSE Holdings; \7\
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    \7\ The Certificate of Formation of NYSE Holdings is amended by 
filing a ``State of Delaware Certificate of Amendment Changing Only 
the Registered Office or Registered Agent of a Limited Liability 
Company,'' as set forth in Exhibit 5C of the proposed rule change.
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     Article II (Registered Office) of the Sixth Amended and 
Restated Certificate of Incorporation of NYSE Group; and
     Article I, Section 1.1 (Registered Office) of the Fourth 
Amended and Restated Bylaws of NYSE Group.
    The listed provisions identify The Corporation Trust Company as the 
registered agent, and provide that the address of the registered office 
in Wilmington, Delaware is Corporation Trust Center, 1209 Orange 
Street. The Exchange proposes to amend such provisions to identify 
United Agent Group Inc. as the registered agent, and to provide that 
the address of the registered office is 3411 Silverside Road, Tatnall 
Building No. 104, Wilmington, County of New Castle, Delaware 19810.
    In addition, conforming changes would be made to the title [sic], 
recitals, dates and signature lines, as applicable, of the Governing 
Documents.
    The change is a non-substantive technical administrative change.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Exchange Act \8\ in general, and with Section 
6(b)(1) \9\ in particular, in that it enables the Exchange to be so 
organized as to have the capacity to be able to carry out the purposes 
of the Exchange Act and to comply, and to enforce compliance by its 
exchange members and persons associated with its exchange members, with 
the provisions of the Exchange Act, the rules and regulations 
thereunder, and the rules of the Exchange.
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    \8\ 15 U.S.C. 78f(b).
    \9\ 15 U.S.C. 78f(b)(1).
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    The proposed rule change is a non-substantive administrative change 
that does not impact the governance or ownership of the Exchange. The 
Exchange believes that the proposed rule change would enable the 
Exchange to continue to be so organized as to have the capacity to 
carry out the purposes of the Exchange Act and comply and enforce 
compliance with the provisions of the Exchange Act by its members and 
persons associated with its members, because ensuring that the 
Governing Documents rules identify the registered agent and registered 
office in Delaware would contribute to the orderly operation of the 
Exchange by adding clarity and transparency to its rules. Similarly, 
the proposed conforming changes to the title [sic], recitals, date and 
signature line, as applicable, of the Governing Documents would 
contribute to the orderly operation of the Exchange by adding clarity 
and transparency to its rules.
    For similar reasons, the Exchange also believes that the proposed 
rule change is consistent with Section 6(b)(5) of the Act,\10\ in that 
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 facilitating 
transactions in securities, to remove impediments to and perfect the 
mechanism of a free and open market and a national market system and, 
in general, to protect investors and the public interest.
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    \10\ 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 mechanism of a free and open market and 
a national market system by ensuring that market participants can more 
easily navigate, understand and comply with its rules. The Exchange 
believes that, by ensuring that such rules accurately identify the 
registered agent and registered office in Delaware, and by making 
conforming changes to the title [sic], recitals, date and signature 
line, as applicable, of the Governing Documents, the proposed rule 
change would reduce potential investor or market participant confusion.

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 that is not necessary or appropriate 
in furtherance of the purposes of the Exchange Act. The proposed rule 
change is not designed to address any competitive issue but rather is 
concerned solely with making a technical change updating the registered 
office and registered agent of each Intermediate Holding Company.

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

    The proposed rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \11\ and Rule 19b-4(f)(3) \12\ thereunder in 
that the proposed rule change is concerned solely with the 
administration of the Exchange.
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    \11\ 15 U.S.C. 78s(b)(3)(A).
    \12\ 17 CFR 240.19b-4(f)(3).
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    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may 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) \13\ of the Act to determine whether the proposed rule 
change should be approved or disapproved.
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    \13\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSE-2018-07 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-NYSE-2018-07. 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

[[Page 6078]]

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-
NYSE-2018-07, and should be submitted on or before March 5, 2018.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\14\
Eduardo A. Aleman,
Assistant Secretary.
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    \14\ 17 CFR 200.30-3(a)(12).
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[FR Doc. 2018-02723 Filed 2-9-18; 8:45 am]
BILLING CODE 8011-01-P
6076 Federal Register / Vol. 83, No. 29 / Monday, February 12, 2018 / Notices

rule. Without the information collected agency, including whether the Intercontinental Exchange Holdings,
under the rule, advisory clients would information shall have practical utility; Inc. (‘‘ICE Holdings’’), NYSE Holdings
not have information necessary for (b) the accuracy of the agency’s estimate LLC (‘‘NYSE Holdings’’) and NYSE
monitoring their adviser’s handling of of the burden of the proposed collection Group, Inc. (‘‘NYSE Group’’) to make a
their accounts and the Commission of information; (c) ways to enhance the technical change updating the registered
would be less efficient and effective in quality, utility, and clarity of the office and registered agent in the state
its inspection program. information to be collected; and (d) of Delaware. The proposed change is
The information requirements of the ways to minimize the burden of the available on the Exchange’s website at
rule consist of the following: (1) Prior to collection of information on www.nyse.com, at the principal office of
obtaining the client’s consent respondents, including through the use the Exchange, and at the Commission’s
appropriate disclosure must be made to of automated collection techniques or Public Reference Room.
the client as to the practice of, and the other forms of information technology.
conflicts of interest involved in, agency Consideration will be given to II. Self-Regulatory Organization’s
cross transactions; (2) at or before the comments and suggestions submitted in Statement of the Purpose of, and
completion of any such transaction the writing within sixty 60 days of this Statutory Basis for, the Proposed Rule
client must be furnished with a written publication. Change
confirmation containing specified Please direct your written comments In its filing with the Commission, the
information and offering to furnish to Pamela Dyson, Director/Chief self-regulatory organization included
upon request certain additional Information Officer, Securities and statements concerning the purpose of,
information; and (3) at least annually, Exchange Commission, C/O Remi and basis for, the proposed rule change
the client must be furnished with a Pavlik-Simon, 100 F Street NE, and discussed any comments it received
written statement or summary as to the Washington, DC 20549; or send an email on the proposed rule change. The text
total number of transactions during the to: PRA_Mailbox@sec.gov. of those statements may be examined at
period covered by the consent and the Dated: February 7, 2018. the places specified in Item IV below.
total amount of commissions received Eduardo A. Aleman, The Exchange has prepared summaries,
by the adviser or its affiliated broker- set forth in sections A, B, and C below,
Assistant Secretary.
dealer attributable to such transactions.
[FR Doc. 2018–02796 Filed 2–9–18; 8:45 am] of the most significant parts of such
The Commission estimates that
BILLING CODE 8011–01–P statements.
approximately 426 respondents use the
rule annually, necessitating about 50 A. Self-Regulatory Organization’s
responses per respondent each year, for Statement of the Purpose of, and the
a total of 21,300 responses. Each SECURITIES AND EXCHANGE
Statutory Basis for, the Proposed Rule
response requires an estimated 0.5 COMMISSION
Change
hours, for a total of 10,650 hours. The [Release No. 34–82640; File No. SR–NYSE–
estimated average burden hours are 2018–07] 1. Purpose
made solely for the purposes of the The Exchange proposes to amend
Paperwork Reduction Act and are not Self-Regulatory Organizations; New
certain of the governing documents of
derived from a comprehensive or York Stock Exchange LLC; Notice of
its intermediate parent companies ICE
representative survey or study of the Filing and Immediate Effectiveness of
Proposed Change To Amend Certain of Holdings, NYSE Holdings, and NYSE
cost of Commission rules and forms. Group to make a technical change
This collection of information is the Governing Documents of Its
Intermediate Parent Companies updating the registered office and
found at (17 CFR 275.206(3)–2) and is registered agent in the state of
necessary in order for the investment February 6, 2018. Delaware.4
adviser to obtain the benefits of Rule Pursuant to Section 19(b)(1) 1 of the
206(3)–2. The collection of information ICE Holdings and NYSE Group are
Securities Exchange Act of 1934 (the corporations and NYSE Holdings is a
requirements under the rule is ‘‘Act’’),2 and Rule 19b–4 thereunder,3
mandatory. Information subject to the limited liability corporation, all
notice is hereby given that, on January organized under the laws of the State of
disclosure requirements of Rule 206(3)– 29, 2018, New York Stock Exchange
2 does not require submission to the Delaware. As such, they are required to
LLC (‘‘NYSE’’ or the ‘‘Exchange’’) filed have and maintain a registered office
Commission; and, accordingly, the with the Securities and Exchange
disclosure pursuant to the rule is not and registered agent in Delaware.5 The
Commission (the ‘‘Commission’’) the Exchange proposes to amend certain of
kept confidential. Commission- proposed rule change as described in
registered investment advisers are their governing documents to change
Items I, II, and III below, which Items the registered office and registered
required to maintain and preserve have been prepared by the self-
certain information required under Rule agent.
regulatory organization. The
206(3)–2 for five (5) years. The long- More specifically, the Exchange
Commission is publishing this notice to
term retention of these records is proposes to amend the following
solicit comments on the proposed rule
necessary for the Commission’s provisions in the listed documents
change from interested persons.
inspection program to ascertain
compliance with the Advisers Act. I. Self-Regulatory Organization’s 4 Intercontinental Exchange Inc., the ultimate

An agency may not conduct or Statement of the Terms of Substance of parent of the Exchange, owns 100% of the equity
the Proposed Rule Change interest in ICE Holdings, which in turn owns 100%
sponsor, and a person is not required to
daltland on DSKBBV9HB2PROD with NOTICES

of the equity interest in NYSE Holdings. NYSE
respond to a collection of information The Exchange proposes to amend Holdings owns 100% of the equity interest of NYSE
unless it displays a currently valid certain of the governing documents of Group, which in turn directly owns 100% of the
control number. equity interest of the Exchange and its national
its intermediate parent companies securities exchange affiliates, NYSE Arca, Inc.,
Written comments are invited on: (a)
NYSE American LLC and NYSE National, Inc. ICE
Whether the proposed collection of 1 15 U.S.C. 78s(b)(1). is a publicly traded company listed on the NYSE.
information is necessary for the proper 2 15 U.S.C. 78a. 5 See Del. Code tit 6, § 18–104, and Del. Code tit

performance of the functions of the 3 17 CFR 240.19b–4. 8, §§ 131 and 132.

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Federal Register / Vol. 83, No. 29 / Monday, February 12, 2018 / Notices 6077

(collectively, the ‘‘Governing rule change would enable the Exchange C. Self-Regulatory Organization’s
Documents’’): 6 to continue to be so organized as to have Statement on Comments on the
• Article II (Registered Office) of the the capacity to carry out the purposes of Proposed Rule Change Received From
Ninth Amended and Restated Certificate the Exchange Act and comply and Members, Participants, or Others
of Incorporation of ICE Holdings; enforce compliance with the provisions No written comments were solicited
• Article II, Sections 2.4 (Registered of the Exchange Act by its members and or received with respect to the proposed
Office) and 2.5 (Registered Agent) of the persons associated with its members, rule change.
Ninth Amended and Restated Limited because ensuring that the Governing
Liability Company Agreement of NYSE Documents rules identify the registered III. Date of Effectiveness of the
Holdings; agent and registered office in Delaware Proposed Rule Change and Timing for
• the Certificate of Formation of would contribute to the orderly Commission Action
NYSE Holdings; 7 operation of the Exchange by adding The proposed rule change has become
• Article II (Registered Office) of the clarity and transparency to its rules. effective pursuant to Section 19(b)(3)(A)
Sixth Amended and Restated Certificate Similarly, the proposed conforming of the Act 11 and Rule 19b–4(f)(3) 12
of Incorporation of NYSE Group; and thereunder in that the proposed rule
changes to the title [sic], recitals, date
• Article I, Section 1.1 (Registered
and signature line, as applicable, of the change is concerned solely with the
Office) of the Fourth Amended and
Governing Documents would contribute administration of the Exchange.
Restated Bylaws of NYSE Group. At any time within 60 days of the
The listed provisions identify The to the orderly operation of the Exchange
by adding clarity and transparency to its filing of the proposed rule change, the
Corporation Trust Company as the
rules. Commission summarily may suspend
registered agent, and provide that the
such rule change if it appears to the
address of the registered office in For similar reasons, the Exchange also
Commission that such action is
Wilmington, Delaware is Corporation believes that the proposed rule change
necessary or appropriate in the public
Trust Center, 1209 Orange Street. The is consistent with Section 6(b)(5) of the
interest, for the protection of investors,
Exchange proposes to amend such Act,10 in that it is designed to prevent
or otherwise in furtherance of the
provisions to identify United Agent fraudulent and manipulative acts and
purposes of the Act. If the Commission
Group Inc. as the registered agent, and practices, to promote just and equitable
takes such action, the Commission shall
to provide that the address of the principles of trade, to foster cooperation
institute proceedings under Section
registered office is 3411 Silverside Road, and coordination with persons engaged
19(b)(2)(B) 13 of the Act to determine
Tatnall Building No. 104, Wilmington, in facilitating transactions in securities,
whether the proposed rule change
County of New Castle, Delaware 19810. to remove impediments to and perfect
In addition, conforming changes should be approved or disapproved.
the mechanism of a free and open
would be made to the title [sic], recitals, market and a national market system IV. Solicitation of Comments
dates and signature lines, as applicable, and, in general, to protect investors and Interested persons are invited to
of the Governing Documents. the public interest. submit written data, views, and
The change is a non-substantive The Exchange believes that the arguments concerning the foregoing,
technical administrative change. proposed rule change would remove including whether the proposed rule
2. Statutory Basis impediments to and perfect the change is consistent with the Act.
The Exchange believes that the mechanism of a free and open market Comments may be submitted by any of
proposed rule change is consistent with and a national market system by the following methods:
Section 6(b) of the Exchange Act 8 in ensuring that market participants can
Electronic Comments
general, and with Section 6(b)(1) 9 in more easily navigate, understand and
comply with its rules. The Exchange • Use the Commission’s internet
particular, in that it enables the comment form (http://www.sec.gov/
Exchange to be so organized as to have believes that, by ensuring that such
rules accurately identify the registered rules/sro.shtml); or
the capacity to be able to carry out the • Send an email to rule-comments@
purposes of the Exchange Act and to agent and registered office in Delaware,
and by making conforming changes to sec.gov. Please include File Number SR–
comply, and to enforce compliance by NYSE–2018–07 on the subject line.
its exchange members and persons the title [sic], recitals, date and signature
associated with its exchange members, line, as applicable, of the Governing Paper Comments
Documents, the proposed rule change
with the provisions of the Exchange Act, • Send paper comments in triplicate
the rules and regulations thereunder, would reduce potential investor or
to Secretary, Securities and Exchange
and the rules of the Exchange. market participant confusion.
Commission, 100 F Street NE,
The proposed rule change is a non- B. Self-Regulatory Organization’s Washington, DC 20549–1090.
substantive administrative change that Statement on Burden on Competition All submissions should refer to File
does not impact the governance or Number SR–NYSE–2018–07. This file
ownership of the Exchange. The The Exchange does not believe that number should be included on the
Exchange believes that the proposed the proposed rule change will impose subject line if email is used. To help the
any burden on competition that is not Commission process and review your
6 Some of the Governing Documents were necessary or appropriate in furtherance comments more efficiently, please use
recently amended. See Securities Exchange Act of the purposes of the Exchange Act.
Release No. 82081 (November 15, 2017), 82 FR only one method. The Commission will
55474 (November 21, 2017) (SR–NYSE–2017–57).
The proposed rule change is not post all comments on the Commission’s
daltland on DSKBBV9HB2PROD with NOTICES

7 The Certificate of Formation of NYSE Holdings designed to address any competitive internet website (http://www.sec.gov/
is amended by filing a ‘‘State of Delaware Certificate issue but rather is concerned solely with rules/sro.shtml). Copies of the
of Amendment Changing Only the Registered Office making a technical change updating the submission, all subsequent
or Registered Agent of a Limited Liability registered office and registered agent of
Company,’’ as set forth in Exhibit 5C of the
proposed rule change. each Intermediate Holding Company. 11 15 U.S.C. 78s(b)(3)(A).
8 15 U.S.C. 78f(b). 12 17 CFR 240.19b–4(f)(3).
9 15 U.S.C. 78f(b)(1). 10 15 U.S.C. 78f(b)(5). 13 15 U.S.C. 78s(b)(2)(B).

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6078 Federal Register / Vol. 83, No. 29 / Monday, February 12, 2018 / Notices

amendments, all written statements publishing this notice to solicit cleared coupons. ICC begins with a
with respect to the proposed rule comments on the proposed rule change spread-based consensus BOW derived
change that are filed with the from interested persons. from intraday quotes for the MATI. This
Commission, and all written consensus BOW is then multiplied by a
I. Clearing Agency’s Statement of the
communications relating to the ‘‘scrape factor’’ to reflect any differences
Terms of Substance of the Proposed between the BOWs provided in intraday
proposed rule change between the
Commission and any person, other than Rule Change quotes and BOWs achieved in the
those that may be withheld from the The principal purpose of the market. Once the consensus BOW is
public in accordance with the proposed rule change is to make determined, ICC applies various factors
provisions of 5 U.S.C. 552, will be revisions to the ICC End-of-Day Price to the consensus BOW to reflect
available for website viewing and Discovery Policies and Procedures differences in instrument liquidity at
printing in the Commission’s Public (‘‘Pricing Policy’’) related to the bid- longer and shorter maturities, and at
Reference Room, 100 F Street NE, offer width (‘‘BOW’’) methodology for higher and lower coupons. Scaling
Washington, DC 20549, on official Single Name instruments. These across maturities is performed in spread
business days between the hours of revisions do not require any changes to terms, while scaling of BOWs across
10:00 a.m. and 3:00 p.m. Copies of the the ICC Clearing Rules. coupons is performed in price terms.
filing also will be available for The transformations from spread to
II. Clearing Agency’s Statement of the
inspection and copying at the principal price are achieved using the ISDA
Purpose of, and Statutory Basis for, the
office of the Exchange. All comments Standard Model.
Proposed Rule Change ICC is proposing to enhance the
received will be posted without change.
Persons submitting comments are In its filing with the Commission, ICC methodology for determining Single
cautioned that we do not redact or edit included statements concerning the Name BOWs. The proposed
personal identifying information from purpose of and basis for the proposed enhancement eliminates the use of the
comment submissions. You should rule change, security-based swap ISDA Standard Model from the
submit only information that you wish submission, or advance notice and computation of Single Name BOWs.3
to make available publicly. All discussed any comments it received on ICC established its current BOW
submissions should refer to File the proposed rule change, security- methodology at a time when it accepted
Number SR–NYSE–2018–07, and based swap submission, or advance submissions to its EOD price discovery
should be submitted on or before March notice. The text of these statements may process in both spread and price terms,
5, 2018. be examined at the places specified in at the discretion of its Clearing
For the Commission, by the Division of Item IV below. ICC has prepared Participants. Since that time, ICC has
Trading and Markets, pursuant to delegated summaries, set forth in sections (A), (B), enhanced its EOD price discovery
authority.14 and (C) below, of the most significant process to accept Single Name
Eduardo A. Aleman, aspects of these statements. submissions only in price terms,
Assistant Secretary. eliminating the need for spread-based
(A) Clearing Agency’s Statement of the BOWs. The proposed enhancement also
[FR Doc. 2018–02723 Filed 2–9–18; 8:45 am] Purpose of, and Statutory Basis for, the determines BOWs consistently across
BILLING CODE 8011–01–P Proposed Rule Change Single Names on all reference entities,
ICC proposes revising its Pricing including those for which only sparse
SECURITIES AND EXCHANGE Policy to enhance the methodology used intraday data is available. Further, the
COMMISSION to determine bid-offer widths for Single enhancement extends the application of
Name instruments. ICC believes the price-based BOW floors from the 0/3
[Release No. 34–82641; File No. SR–ICC– enhancement will facilitate the prompt month, 6 month and 1 year benchmark-
2018–002] and accurate clearance and settlement of tenors to the entire set of benchmark-
securities transactions and derivative tenors from 0 month to 10 years.
Self-Regulatory Organizations; ICE
agreements, contracts, and transactions Finally, the proposed enhancement
Clear Credit LLC; Notice of Filing of
cleared by ICC. introduces a dynamic feature that can
Proposed Rule Change, Security-
widen BOWs in response to the
Based Swap Submission, or Advance (a) Summary of Proposed Changes
observed dispersion of price-space mid-
Notice Relating to ICC’s End-of-Day Each business day, ICC determines levels submitted in the EOD price-
Price Discovery Policies and end-of-day (‘‘EOD’’) levels through its discovery process.
Procedures established price discovery process, Under the proposed enhancement ICC
February 6, 2018. based on EOD submissions from its will compute a consensus BOW, as
Pursuant to Section 19(b)(1) of the Clearing Participants. ICC uses these described below, not only for the MATI
Securities Exchange Act of 1934,1 and levels for mark-to-market and risk as in the current methodology, but for
Rule 19b–4 thereunder,2 notice is management purposes. As part of its each benchmark instrument. Rather
hereby given that on January 26, 2018, price discovery process, ICC determines than consensus BOWs being derived
ICE Clear Credit LLC (‘‘ICC’’) filed with BOWs for each clearing-eligible from intraday quotes, they will be
the Securities and Exchange instrument. The BOWs are then used in computed as a price-based floor plus a
Commission (‘‘Commission’’) the ICC’s price discovery process as inputs relative BOW multiplied by the
proposed rule change, security-based in the determination of EOD levels and currently-observed level, where the
swap submission, or advance notice as Firm Trades. currently-observed level is the average
daltland on DSKBBV9HB2PROD with NOTICES

described in Items I, II, and III below, The current methodology for of price-space mid-levels submitted in
which items have been prepared determining BOWs for CDS instruments the EOD price discovery process. The
primarily by ICC. The Commission is referencing a given Single Name
reference entity is based on observed 3 Note that the ISDA Standard Model is not used

intraday bid and offer spread-levels for in ICC’s methodology for determining BOWs for
14 17 CFR 200.30–3(a)(12). Index instruments, and that the proposed
1 15 U.S.C. 78s(b)(1). the most actively traded instrument enhancements do not change ICC’s methodology for
2 17 CFR 240.19b–4. (‘‘MATI’’) across the term structure and determining BOWs for Index instrument.

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Document Created: 2018-11-01 08:42:24
Document Modified: 2018-11-01 08:42:24
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 6076