83 FR 6275 - Self-Regulatory Organizations; Cboe C2 Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Market Data Fees
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 83, Issue 30 (February 13, 2018)
Federal Register Volume 83, Issue 30 (February 13, 2018)
| Page Range | 6275-6279 | |
| FR Document | 2018-02858 |
[Federal Register Volume 83, Number 30 (Tuesday, February 13, 2018)] [Notices] [Pages 6275-6279] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-02858] ======================================================================= ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-82647; File No. SR-C2-2018-002] Self-Regulatory Organizations; Cboe C2 Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Market Data Fees February 7, 2018. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that on January 30, 2018, Cboe C2 Exchange, Inc. (the ``Exchange'' or ``C2'') 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 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 the Cboe Data Services (``CDS'') fee schedule to increase the fees for the BBO, Book Depth, and Complex Order Book (``COB'') data feeds. The text of the proposed rule change is also available on the Exchange's website (http://www.c2exchange.com/Legal/), at the Exchange's Office of the Secretary, 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 [[Page 6276]] 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 the CDS fee schedule to increase the fees for the BBO, Book Depth, and COB data feeds. BBO and Book Depth Data Feed The BBO Data Feed is a real-time data feed that includes the following information: (i) Outstanding quotes and standing orders at the best available price level on each side of the market; (ii) executed trades time, size, and price; (iii) totals of customer versus non-customer contracts at the best bid and offer (``BBO''); (iv) all- or-none contingency orders priced better than or equal to the BBO; (v) expected opening price and expected opening size; (vi) end-of-day summaries by product, including open, high, low, and closing price during the trading session; (vi) recap messages any time there is a change in the open, high, low or last sale price of a listed option; (vii) COB information; and (viii) product IDs and codes for all listed options contracts. The quote and last sale data contained in the BBO data feed is identical to the data sent to the Options Price Reporting Authority (``OPRA'') for redistribution to the public. The Book Depth Data Feed is a real-time, low latency data feed that includes all data contained in the BBO Data Feed described above plus outstanding quotes and standing orders up to the first four price levels on each side of the market, with aggregate size (``Book Depth''). CDS currently charges a Data Fee, payable by a Customer, of $1,500 per month for internal use and external redistribution of the BBO and/ or Book Depth data feeds.\3\ The Data Fee entitles a Customer to provide the BBO and/or the Book Depth data feed to an unlimited number of internal users and Devices \4\ within the Customer. A Customer receiving the BBO and/or Book Depth data feeds from another Customer is assessed the Data Fee by CDS pursuant to its own market data agreement with CDS, and is entitled to use the Data internally and/or distribute it externally.\5\ All Customers have the same rights to utilize the data internally and/or distribute it externally as long as the Customer has entered into a written agreement with CDS for the data and pays the Data Fee. --------------------------------------------------------------------------- \3\ A BBO Data Feed ``Customer'' is any person, company or other entity that, pursuant to a market data agreement with CDS, is entitled to receive data, either directly from CDS or through an authorized redistributor (i.e., a Customer or an extranet service provider), whether that data is distributed externally or used internally. The CDS fee schedule for Exchange data is located at https://www.cboe.org/general-info/pdfframed?content=/publish/mdxfees/cboe-cds-fees-schedule-for-cboe-datafeeds.pdf§ion=SEC_MDX_CSM&title=Cboe%20CDS%20Fees%20Schedule. \4\ A ``Device'' means any computer, workstation or other item of equipment, fixed or portable, that receives, accesses and/or displays data in visual, audible or other form. \5\ A Customer may choose to receive the data from another Customer rather than directly from CDS's system because it does not want to or is not equipped to manage the technology necessary to establish a direct connection to CDS. --------------------------------------------------------------------------- The Exchange proposes to increase the Data Fee for both the BBO and Book Depth data feeds from $1,500 per month to $2,500 per month.\6\ The Exchange is not proposing to amend the User Fee for either the BBO or Book Depth data feeds. The Data Fee for the Book Depth data feed will continue to be waived for Customers who also purchase the companion BBO data feed.\7\ --------------------------------------------------------------------------- \6\ The Exchange also proposes to remove reference in the BBO and Depth Book fees to the existing fees becoming effective on January 1, 2017. \7\ Such COB Data Feed Customers are still subject to User Fees. --------------------------------------------------------------------------- COB Data Feed The COB Data Feed is a real-time data feed that includes data regarding the Exchange's Complex Order Book and related complex order information. The COB Data Feed contains the following information for all Exchange-traded complex order strategies (multi-leg strategies such as spreads, straddles and buy-writes): (i) Outstanding quotes and standing orders on each side of the market with aggregate size, (ii) data with respect to executed trades (``last sale data''), and (iii) totals of customer versus non-customer contracts. CDS currently charges Customers \8\ of the COB Data Feed a Data Fee of $100 per month plus applicable User Fees. The Exchange now proposes to increase the Data Fee for the COB data feed from $100 to $1,000 per month.\9\ The Exchange proposes to increase the fee for the COB data feed to bring the cost of the data feed in line with, but still lower than, that of similar data feeds offered by other exchanges. The Exchange is not proposing to amend the User Fee for either the COB data feed. The Data Fee for the COB Data Feed would continue to be waived for Customers of the BBO and/or Book Depth data feeds.\10\ --------------------------------------------------------------------------- \8\ A Customer is any person, company or other entity that, pursuant to a market data agreement with CDS, is entitled to receive data, either directly from CDS or through an authorized redistributor (i.e., a Customer or an extranet service provider), whether that data is distributed externally or used internally. The CDS fee schedule for Exchange data is located at https://www.cboe.org/general-info/pdfframed?content=/publish/mdxfees/cboe-cds-fees-schedule-for-cboe-datafeeds.pdf§ion=SEC_MDX_CSM&title=Cboe%20CDS%20Fees%20Schedule. \9\ The Exchange also proposes to remove references to the existing fee becoming effective on January 1, 2017. \10\ Such COB Data Feed Customers are still subject to User Fees. --------------------------------------------------------------------------- Implementation Date The Exchange intends to implement the proposed fees on February 1, 2018. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the objectives of Section 6 of the Act,\11\ in general, and furthers the objectives of Section 6(b)(4),\12\ in particular, as it is designed to provide for the equitable allocation of reasonable dues, fees and other charges among its members and other recipients of Exchange data. The Exchange believes that the proposed rates are equitable and non-discriminatory in that they apply uniformly to all recipients of Exchange data. The Exchange believes the proposed fees are competitive with those charged by other venues and, therefore, reasonable and equitably allocated to recipients. --------------------------------------------------------------------------- \11\ 15 U.S.C. 78f. \12\ 15 U.S.C. 78f(b)(4). --------------------------------------------------------------------------- The Exchange believes that the proposed rule change is consistent with Section 11(A) of the Act \13\ in that it supports (i) fair competition among brokers and dealers, among exchange markets, and between exchange markets and markets other than exchange markets and (ii) the availability to brokers, dealers, and investors of information with respect to quotations for and transactions in securities. Furthermore, the proposed rule change is consistent with Rule 603 of Regulation NMS,\14\ which provides that any national securities exchange that distributes information with respect to quotations for or transactions in an NMS stock do so on terms that are not unreasonably discriminatory. In adopting Regulation NMS, the Commission granted self-regulatory organizations and broker-dealers increased authority and flexibility to offer new and unique market data to the public. It was believed that this authority would expand the amount of data available to consumers, and also spur innovation and competition for the provision of market data. --------------------------------------------------------------------------- \13\ 15 U.S.C. 78k-1. \14\ 17 CFR 242.603. --------------------------------------------------------------------------- In addition, the proposed fees would not permit unfair discrimination [[Page 6277]] because all of the Exchange's customers and market data vendors who subscribe to the above data feeds will be subject to the proposed fees. The above data feeds are distributed and purchased on a voluntary basis, in that neither the Exchange nor market data distributors are required by any rule or regulation purchase this data or to make this data available. Accordingly, distributors and users can discontinue use at any time and for any reason, including due to an assessment of the reasonableness of fees charged. Firms have a wide variety of alternative market data products from which to choose, such as similar proprietary data products offered by other exchanges and consolidated data. Moreover, the Exchange is not required to make any proprietary data products available or to offer any specific pricing alternatives to any customers. In addition, the fees that are the subject of this rule filing are constrained by competition. As explained below in the Exchange's Statement on Burden on Competition, the existence of alternatives to the above data feeds further ensure that the Exchange cannot set unreasonable fees, or fees that are unreasonably discriminatory, when vendors and subscribers can elect such alternatives. That is, the Exchange competes with other exchanges (and their affiliates) that provide similar market data products. For example, the above data feeds provide investors with alternative market data and competes with similar market data product currently offered by other exchanges. If another exchange (or its affiliate) were to charge less to distribute its similar product than the Exchange charges for the above data feeds, prospective users likely would not subscribe to, or would cease subscribing to either market data product. The Exchange notes that the Commission is not required to undertake a cost-of-service or rate-making approach. The Exchange believes that, even if it were possible as a matter of economic theory, cost-based pricing for non-core market data would be so complicated that it could not be done practically.\15\ --------------------------------------------------------------------------- \15\ The Exchange believes that cost-based pricing would be impractical because it would create enormous administrative burdens for all parties, including the Commission, to cost-regulate a large number of participants and standardize and analyze extraordinary amounts of information, accounts, and reports. In addition, it is impossible to regulate market data prices in isolation from prices charged by markets for other services that are joint products. Cost- based rate regulation would also lead to litigation and may distort incentives, including those to minimize costs and to innovate, leading to further waste. Under cost-based pricing, the Commission would be burdened with determining a fair rate of return, and the industry could experience frequent rate increases based on escalating expense levels. Even in industries historically subject to utility regulation, cost-based ratemaking has been discredited. As such, the Exchange believes that cost-based ratemaking would be inappropriate for proprietary market data and inconsistent with Congress's direction that the Commission use its authority to foster the development of the national market system, and that market forces will continue to provide appropriate pricing discipline. See Appendix C to NYSE's comments to the Commission's 2000 Concept Release on the Regulation of Market Information Fees and Revenues, which can be found on the Commission's website at http://www.sec.gov/rules/concept/s72899/buck1.htm. See also Securities Exchange Act Release No. 73816 (December 11, 2014), 79 FR 75200 (December 17, 2014) (SR-NYSE-2014-64) (Notice of Filing and Immediate Effectiveness of Proposed Rule Change to Establish an Access Fee for the NYSE Best Quote and Trades Data Feed, Operative December 1, 2014). --------------------------------------------------------------------------- BBO Data Feed The Exchange believes the proposed increase in the Data Fee for BBO data is equitable and not unfairly discriminatory because it would apply equally to all Customers. The Exchange believes the proposed Data Fee is reasonable because it is lower than fees that other markets charge for similar products. For example, Nasdaq PHLX LLC (``PHLX'') charges Internal Distributors a monthly fee of $4,500 per organization and External Distributors a monthly fee of $5,000 per organization for its ``TOPO Plus Orders'' data feed, which like the BBO Data Feed includes top-of-book data (including orders, quotes and trades) and other market data.\16\ Nasdaq ISE, LLC (``ISE'') offers a ``Top Quote Feed'', which includes top-of-book data, and a separate ``Spread Feed'', which like the BBO Data Feed includes order and quote data for complex strategies. ISE charges distributors of its Top Quote Feed a base monthly fee of $3,000 and distributors of its Spread Feed a base monthly fee of $3,000 \17\ (totally $6,000 in the aggregate to receive the same data as offered by the BBO feed). The Exchange believes the proposed rate is reasonable based on the value of the market data included in the BBO feed and the market share that the data represents. The Exchange also notes that Customers who receive the BBO feed may also receive the Book Depth and COB data feeds at no extra charge. --------------------------------------------------------------------------- \16\ See Section IX of the PHLX Pricing Schedule (setting forth the fees for proprietary market data). \17\ See Sections VIII(h) and (I) of the Nasdaq ISE Schedule of Fees. --------------------------------------------------------------------------- Book Depth Data Feed The Exchange believes the proposed Data Fee for the Book Depth Data Feed is equitable and not unfairly discriminatory because it would apply equally to all Customers. The Exchange believes the proposed Data Fee is reasonable because it is lower than fees that other markets charge for similar products. For example, PHLX charges Internal Distributors a monthly fee of $4,000 and External Distributors a monthly fee of a $4,500 for its Depth data feed that includes full depth of quotes and orders and last sale data for options listed on PHLX.\18\ In addition, ISE charges a $5,000 per month distributor fee for its Real-time Depth of Market data feed.\19\ The Exchange also notes that Customers who receive the Book Depth feed may also receive the BBO and COB data feeds at no extra charge. The Exchange believes the proposed rate is reasonable based on the value of the market data included in the BBO feed and the market share that the data represents. --------------------------------------------------------------------------- \18\ See supra note 16. \19\ See Section VIII(f) of the Nasdaq ISE Schedule of Fees. --------------------------------------------------------------------------- COB Data Feed The Exchange believes the proposed Data Fee for the COB Data Feed is equitable, reasonable, and not unfairly discriminatory because they would apply equally to all Customers of the COB Data Feed. The Exchange proposes to increase the fee for the COB data feed to bring the cost of the data feed in line with, but still lower than, that of similar data feeds offered by other exchanges. For example, ISE charges distributors of its Spread Feed a base monthly fee of $3,000,\20\ equal to what the Exchange proposes to charge for the COB data feed. The Exchange also notes that Customers who receive the BBO and Book Depth feeds may also receive the COB data feed at no extra charge. The Exchange believes the proposed rate is reasonable based on the value of the market data included in the COB feed and the market share that the data represents. --------------------------------------------------------------------------- \20\ See Sections VIII(I) of the Nasdaq ISE Schedule of Fees. --------------------------------------------------------------------------- B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule change will result in any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act, as amended. The Exchange's ability to price the BBO, Book Depth, ad COB data feeds is constrained by: (i) Competition among exchanges that compete with each other in a variety of dimensions; (ii) the existence of inexpensive real-time consolidated data and market-specific data and free delayed data; and (iii) the inherent contestability of the market for proprietary data. [[Page 6278]] An exchange's ability to price its proprietary data feed products is constrained by (1) the existence of actual competition for the sale of such data, (2) the joint product nature of exchange platforms, and (3) the existence of alternatives to proprietary data. The Existence of Actual Competition. The Exchange believes competition provides an effective constraint on the market data fees that the Exchange, through CDS, has the ability and the incentive to charge. The Exchange has a compelling need to attract order flow from market participants in order to maintain its share of trading volume. This compelling need to attract order flow imposes significant pressure on the Exchange to act reasonably in setting its fees for market data, particularly given that the market participants that will pay such fees often will be the same market participants from whom the Exchange must attract order flow. These market participants include broker-dealers that control the handling of a large volume of customer and proprietary order flow. Given the portability of order flow from one exchange to another, any exchange that sought to charge unreasonably high data fees would risk alienating many of the same customers on whose orders it depends for competitive survival. The Exchange currently competes with fourteen options exchanges (including its affiliate, C2) for order flow.\21\ --------------------------------------------------------------------------- \21\ The Commission has previously made a finding that the options industry is subject to significant competitive forces. See e.g., Securities Exchange Act Release No. 59949 (May 20, 2009), 74 FR 25593 (May 28, 2009) (SR-ISE-2009-97) (order approving ISE's proposal to establish fees for a real-time depth of market data offering). --------------------------------------------------------------------------- In addition, in the case of products that are distributed through market data vendors, the market data vendors themselves provide additional price discipline for proprietary data products because they control the primary means of access to certain end users. These vendors impose price discipline based upon their business models. For example, vendors that assess a surcharge on data they sell are able to refuse to offer proprietary products that their end users do not or will not purchase in sufficient numbers. Internet portals, such as Google, impose price discipline by providing only data that they believe will enable them to attract ``eyeballs'' that contribute to their advertising revenue. Similarly, Customers will not offer the BBO, Book Depth or COB Data Feeds unless these products will help them maintain current users or attract new ones. For example, a broker-dealer will not choose to offer the BBO, Book Depth or COB Data Feeds to its retail customers unless the broker-dealer believes that the retail customers will use and value the data and the provision of such data will help the broker-dealer maintain the customer relationship, which allows the broker-dealer to generate profits for itself. Professional users will not request any of these feeds from Customers unless they can use the data for profit-generating purposes in their businesses. All of these operate as constraints on pricing proprietary data products. Joint Product Nature of Exchange Platform. Transaction execution and proprietary data products are complementary in that market data is both an input and a byproduct of the execution service. In fact, market data and trade executions are a paradigmatic example of joint products with joint costs. The decision whether and on which platform to post an order will depend on the attributes of the platforms where the order can be posted, including the execution fees, data quality, and price and distribution of their data products. The more trade executions a platform does, the more valuable its market data products become. The costs of producing market data include not only the costs of the data distribution infrastructure, but also the costs of designing, maintaining, and operating the exchange's transaction execution platform and the cost of regulating the exchange to ensure its fair operation and maintain investor confidence. The total return that a trading platform earns reflects the revenues it receives from both products and the joint costs it incurs. Moreover, an exchange's broker- dealer customers view the costs of transaction executions and market data as a unified cost of doing business with the exchange. Analyzing the cost of market data product production and distribution in isolation from the cost of all of the inputs supporting the creation of market data and market data products will inevitably underestimate the cost of the data and data products. Thus, because it is impossible to obtain the data inputs to create market data products without a fast, technologically robust, and well-regulated execution system, system costs and regulatory costs affect the price of both obtaining the market data itself and creating and distributing market data products. It would be equally misleading, however, to attribute all of an exchange's costs to the market data portion of an exchange's joint products. Rather, all of an exchange's costs are incurred for the unified purposes of attracting order flow, executing and/or routing orders, and generating and selling data about market activity. The total return that an exchange earns reflects the revenues it receives from the joint products and the total costs of the joint products. The level of competition and contestability in the market is evident in the numerous alternative venues that compete for order flow, including 15 options self-regulatory organization (``SRO'') markets, as well as internalizing broker-dealers (``BDs'') and various forms of alternative trading systems (``ATSs''), including dark pools and electronic communication networks (``ECNs''). Competition among trading platforms can be expected to constrain the aggregate return that each platform earns from the sale of its joint products, but different platforms may choose from a range of possible, and equally reasonable, pricing strategies as the means of recovering total costs. For example, some platforms may choose to pay rebates to attract orders, charge relatively low prices for market data products (or provide market data products free of charge), and charge relatively high prices for accessing posted liquidity. Other platforms may choose a strategy of paying lower rebates (or no rebates) to attract orders, setting relatively high prices for market data products, and setting relatively low prices for accessing posted liquidity. In this environment, there is no economic basis for regulating maximum prices for one of the joint products in an industry in which suppliers face competitive constraints with regard to the joint offering. The Existence of Alternatives. The Exchange is constrained in pricing the BBO, Book Depth and COB Data Feeds by the availability to market participants of alternatives to purchasing these products. The Exchange must consider the extent to which market participants would choose one or more alternatives instead of purchasing the exchange's data. Other options exchanges can and have produced their own top-of- book, book depth and complex strategies market data products, and thus are sources of potential competition for CDS. For example, as noted above, ISE and PHLX offer market data products that compete with the BBO, Book Depth and COB Data Feeds. The large number of SROs, BDs, and ATSs that currently produce proprietary data or are currently capable of producing it provides further pricing discipline for proprietary data products. Each SRO, ATS, and BD is currently permitted to produce proprietary data products, and many currently do. In addition, the OPRA data feed is a significant competitive alternative to the BBO and [[Page 6279]] last sale data included in the BBO and Book Depth Data Feeds. The existence of numerous alternatives to the Exchange's products, including proprietary data from other sources, ensures that the Exchange cannot set unreasonable fees, or fees that are unreasonably discriminatory, when vendors and subscribers can elect these alternatives or choose not to purchase a specific proprietary data product if its cost to purchase is not justified by the returns any particular vendor or subscriber would achieve through the purchase. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others The Exchange has neither solicited nor received written comments on the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the Act \22\ and paragraph (f) of Rule 19b-4 \23\ thereunder. 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 will institute proceedings to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \22\ 15 U.S.C. 78s(b)(3)(A). \23\ 17 CFR 240.19b-4(f). --------------------------------------------------------------------------- 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-C2-2018-002 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-C2-2018-002. 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-C2-2018-002 and should be submitted on or before March 6, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\24\ --------------------------------------------------------------------------- \24\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018-02858 Filed 2-12-18; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 83, No. 30 / Tuesday, February 13, 2018 / Notices 6275
CATEGORIES OF INDIVIDUALS COVERED BY THE U.S.C. 3301, (et seq.) or a PBGC records EXEMPTIONS PROMULGATED FOR THE SYSTEM:
SYSTEM: disposition schedule approved by None.
Any individual commenting on NARA.
PBGC’s rulemaking activities or HISTORY:
ADMINISTRATIVE, TECHNICAL, AND PHYSICAL None.
submitting supporting materials; any
SAFEGUARDS:
individual initiating contact with the [FR Doc. 2018–02882 Filed 2–12–18; 8:45 am]
PBGC through use of the agency PBGC has established security and
BILLING CODE 7709–02–P
website. privacy protocols that meet the required
security and privacy standards issued
CATEGORIES OF RECORDS IN THE SYSTEM: by the National Institute of Standards
Comments and supporting and Technology (NIST). Records are SECURITIES AND EXCHANGE
documentation from the public (may maintained in a secure, password COMMISSION
include name, email address, physical protected electronic system that utilizes [Release No. 34–82647; File No. SR–C2–
address, phone numbers, PBGC security hardware and software to 2018–002]
customer identification numbers, Social include multiple firewalls, active
Security numbers, dates of birth, dates intruder detection, and role-based Self-Regulatory Organizations; Cboe
of hire, dates of termination, marital access controls. PBGC has adopted C2 Exchange, Inc.; Notice of Filing and
status, pay status); agency rulemaking appropriate administrative, technical, Immediate Effectiveness of a Proposed
materials; Federal Register publications; and physical controls in accordance Rule Change Related to Market Data
scientific and financial studies; IP with PBGC’s security program to protect Fees
information; cookies (session and the confidentiality, integrity, and
availability of the information, and to February 7, 2018.
persistent); and, internet protocol (IP)
addresses. ensure that records are not disclosed to Pursuant to Section 19(b)(1) of the
or accessed by unauthorized Securities Exchange Act of 1934 (the
RECORD SOURCE CATEGORIES:
individuals. ‘‘Act’’),1 and Rule 19b–4 thereunder,2
Individuals commenting on agency Electronic records are stored on notice is hereby given that on January
rulemaking; individuals contacting computer networks, which may include 30, 2018, Cboe C2 Exchange, Inc. (the
PBGC via the agency website. cloud-based systems, and protected by ‘‘Exchange’’ or ‘‘C2’’) filed with the
controlled access with Personal Identity Securities and Exchange Commission
ROUTINE USES OF RECORDS MAINTAINED IN THE (the ‘‘Commission’’) the proposed rule
SYSTEM, INCLUDING CATEGORIES OF USERS AND Verification (PIV) cards, assigning user
accounts to individuals needing access change as described in Items I, II, and
THE PURPOSES OF SUCH USES:
to the records and by passwords set by III below, which Items have been
Information about covered prepared by the Exchange. The
individuals may be disclosed without authorized users that must be changed
periodically. Commission is publishing this notice to
consent as permitted by the Privacy Act solicit comments on the proposed rule
of 1974, 5 U.S.C. 522a(b), and: RECORD ACCESS PROCEDURES: change from interested persons.
1. General Routine Uses G1 through Individuals, or third parties with
G14 apply to this system of records (see I. Self-Regulatory Organization’s
written authorization from the Statement of the Terms of Substance of
Prefatory Statement of General Routine individual, wishing to request access to
Uses). the Proposed Rule Change
their records in accordance with 29 CFR
2. Information, including personally The Exchange proposes to amend the
4902.4, should submit a written request
identifiable information (PII), contained Cboe Data Services (‘‘CDS’’) fee
to the Disclosure Officer, PBGC, 1200 K
in comments about agency rulemaking, schedule to increase the fees for the
Street NW, Washington, DC 20005,
whether submitted through pbgc.gov or BBO, Book Depth, and Complex Order
providing their name, address, date of
regulations.gov, may be published to the Book (‘‘COB’’) data feeds.
birth, and verification of their identity
PBGC website. The text of the proposed rule change
in accordance with 29 CFR 4902.3(c).
POLICIES AND PRACTICES FOR STORAGE OF
is also available on the Exchange’s
CONTESTING RECORD PROCEDURES: website (http://www.c2exchange.com/
RECORDS:
Individuals, or third parties with Legal/), at the Exchange’s Office of the
Records are maintained in electronic
written authorization from the Secretary, and at the Commission’s
form (including computer databases or
individual, wishing to amend their Public Reference Room.
discs). Records may also be maintained
on back-up tapes, or on a PBGC or a records must submit a written request
II. Self-Regulatory Organization’s
contractor-hosted network. identifying the information they wish to
Statement of the Purpose of, and
correct in their file, in addition to
Statutory Basis for, the Proposed Rule
POLICIES AND PRACTICES FOR RETRIEVAL OF following the requirements of the
Change
RECORDS: Record Access Procedure above.
Information from this system may be In its filing with the Commission, the
NOTIFICATION PROCEDURES: Exchange included statements
retrieved by numerous data elements
and key word searches, including, but Individuals, or third parties with concerning the purpose of and basis for
not limited to name, dates, subject, and written authorization from the the proposed rule change and discussed
other information retrievable with full- individual, wishing to learn whether any comments it received on the
this system of records contains
sradovich on DSK3GMQ082PROD with NOTICES
text searching capability. proposed rule change. The text of these
information about them should submit a statements may be examined at the
POLICIES AND PRACTICES FOR RETENTION AND written request to the Disclosure Officer, places specified in Item IV below. The
DISPOSAL OF RECORDS: PBGC, 1200 K Street NW, Washington, Exchange has prepared summaries, set
Records are maintained and destroyed DC 20005, providing their name, forth in sections A, B, and C below, of
in accordance with the National address, date of birth, and verification of
Archives and Record Administration’s their identity in accordance with 29 1 15 U.S.C. 78s(b)(1).
(NARA) Basic Laws and Authorities (44 CFR 4902.3(c). 2 17 CFR 240.19b–4.
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![Federal Register / Vol. 83, No. 30 / Tuesday, February 13, 2018 / Notices 6279
last sale data included in the BBO and All submissions should refer to File Street Reform and Consumer Protection
Book Depth Data Feeds. Number SR–C2–2018–002. This file Act of 2010, is providing notice that it
The existence of numerous number should be included on the will hold a public meeting. The public
alternatives to the Exchange’s products, subject line if email is used. To help the is invited to submit written statements
including proprietary data from other Commission process and review your to the Committee.
sources, ensures that the Exchange comments more efficiently, please use DATES: The meeting will be held on
cannot set unreasonable fees, or fees only one method. The Commission will Thursday, March 8, 2018 from 9:30 a.m.
that are unreasonably discriminatory, post all comments on the Commission’s until 4:15 p.m. (ET). Written statements
when vendors and subscribers can elect internet website (http://www.sec.gov/ should be received on or before March
these alternatives or choose not to rules/sro.shtml). Copies of the 8, 2018.
purchase a specific proprietary data submission, all subsequent ADDRESSES: The meeting will be held in
product if its cost to purchase is not amendments, all written statements Multi-Purpose Room LL–006 at the
justified by the returns any particular with respect to the proposed rule Commission’s headquarters, 100 F
vendor or subscriber would achieve change that are filed with the Street NE, Washington, DC 20549. The
through the purchase. Commission, and all written meeting will be webcast on the
C. Self-Regulatory Organization’s communications relating to the Commission’s website at www.sec.gov.
Statement on Comments on the proposed rule change between the Written statements may be submitted by
Proposed Rule Change Received From Commission and any person, other than any of the following methods:
Members, Participants, or Others those that may be withheld from the
public in accordance with the Electronic Statements
The Exchange has neither solicited provisions of 5 U.S.C. 552, will be D Use the Commission’s internet
nor received written comments on the available for website viewing and submission form (http://www.sec.gov/
proposed rule change. printing in the Commission’s Public rules/other.shtml); or
III. Date of Effectiveness of the Reference Room, 100 F Street NE, D Send an email message to rules-
Proposed Rule Change and Timing for Washington, DC 20549, on official comments@sec.gov. Please include File
Commission Action business days between the hours of No. 265–28 on the subject line; or
10:00 a.m. and 3:00 p.m. Copies of the
The foregoing rule change has become filing also will be available for Paper Statements
effective pursuant to Section 19(b)(3)(A) inspection and copying at the principal D Send paper statements to Brent J.
of the Act 22 and paragraph (f) of Rule office of the Exchange. All comments
19b–4 23 thereunder. At any time within Fields, Secretary, Securities and
received will be posted without change. Exchange Commission, 100 F Street NE,
60 days of the filing of the proposed rule Persons submitting comments are
change, the Commission summarily may Washington, DC 20549–1090.
cautioned that we do not redact or edit All submissions should refer to File No.
temporarily suspend such rule change if personal identifying information from
it appears to the Commission that such 265–28. This file number should be
comment submissions. You should included on the subject line if email is
action is necessary or appropriate in the submit only information that you wish
public interest, for the protection of used. To help us process and review
to make available publicly. All your statement more efficiently, please
investors, or otherwise in furtherance of
submissions should refer to File use only one method.
the purposes of the Act. If the
Number SR–C2–2018–002 and should Statements also will be available for
Commission takes such action, the
be submitted on or before March 6, website viewing and printing in the
Commission will institute proceedings
2018. Commission’s Public Reference Room,
to determine whether the proposed rule
change should be approved or For the Commission, by the Division of 100 F Street NE, Room 1503,
disapproved. Trading and Markets, pursuant to delegated Washington, DC 20549, on official
authority.24 business days between the hours of
IV. Solicitation of Comments Eduardo A. Aleman, 10:00 a.m. and 3:00 p.m. All statements
Interested persons are invited to Assistant Secretary. received will be posted without change.
submit written data, views, and [FR Doc. 2018–02858 Filed 2–12–18; 8:45 am] Persons submitting comments are
arguments concerning the foregoing, BILLING CODE 8011–01–P cautioned that we do not redact or edit
including whether the proposed rule personal identifying information from
change is consistent with the Act. comment submissions. You should
Comments may be submitted by any of SECURITIES AND EXCHANGE submit only information that you wish
the following methods: COMMISSION to make available publicly.
Electronic Comments [Release Nos. 33–10456; 34–82656; File No. FOR FURTHER INFORMATION CONTACT:
265–28] Marc Oorloff Sharma, Chief Counsel,
• Use the Commission’s internet Office of the Investor Advocate, at (202)
comment form (http://www.sec.gov/ Investor Advisory Committee Meeting 551–3302, Securities and Exchange
rules/sro.shtml); or Commission, 100 F Street NE,
• Send an email to rule-comments@ AGENCY: Securities and Exchange
Commission. Washington, DC 20549.
sec.gov. Please include File Number SR–
SUPPLEMENTARY INFORMATION: The
C2–2018–002 on the subject line. ACTION: Notice of meeting of Securities
and Exchange Commission Dodd-Frank meeting will be open to the public,
Paper Comments except during that portion of the
sradovich on DSK3GMQ082PROD with NOTICES
Investor Advisory Committee.
• Send paper comments in triplicate meeting reserved for an administrative
to Secretary, Securities and Exchange SUMMARY: The Securities and Exchange work session during lunch. Persons
Commission, 100 F Street NE, Commission Investor Advisory needing special accommodations to take
Washington, DC 20549–1090. Committee, established pursuant to part because of a disability should
Section 911 of the Dodd-Frank Wall notify the contact person listed in the
22 15 U.S.C. 78s(b)(3)(A). section above entitled FOR FURTHER
23 17 CFR 240.19b–4(f). 24 17 CFR 200.30–3(a)(12). INFORMATION CONTACT.
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Document Created: 2018-02-13 02:32:08
Document Modified: 2018-02-13 02:32:08
| 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 6275 |
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