83 FR 63953 - Self-Regulatory Organizations; Miami International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Exchange Rule 510, Minimum Price Variations and Minimum Trading Increments, To Adopt Interpretations and Policies .03

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 238 (December 12, 2018)

Page Range		63953-63955
FR Document		2018-26831
Federal Register, Volume 83 Issue 238 (Wednesday, December 12, 2018)
[Federal Register Volume 83, Number 238 (Wednesday, December 12, 2018)]
[Notices]
[Pages 63953-63955]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-26831]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-84734; File No. SR-MIAX-2018-37]


Self-Regulatory Organizations; Miami International Securities 
Exchange, LLC; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change To Amend Exchange Rule 510, Minimum Price 
Variations and Minimum Trading Increments, To Adopt Interpretations and 
Policies .03

December 6, 2018.
    Pursuant to the provisions of 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 November 28, 2018, Miami International 
Securities Exchange, LLC (``MIAX Options'' or ``Exchange'') filed with 
the Securities and Exchange Commission (``Commission'') a 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.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 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 is filing a proposal to relocate Rule 404, 
Interpretations and Policies .11 (``SPIKES Index Options'') to Rule 
510, Minimum Price Variations and Minimum Trading Increments, new 
Interpretations and Policies .03, and to make a non-substantive 
conforming change to a cross-reference in the rule.
    The text of the proposed rule change is available on the Exchange's 
website at http://www.miaxoptions.com/rule-filings/ at MIAX Options' 
principal office, and at the Commission's Public Reference Room.

[[Page 63954]]

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 relocate existing Exchange Rule 404, 
Interpretations and Policies .11, SPIKES Index Options, to Rule 510 
(``Minimum Price Variations and Minimum Trading Increments''), 
Interpretations and Policies .03. This proposal seeks to better 
organize the rules of the Exchange in order to make the rules easier to 
read and to ensure that this rule is located in the appropriate 
chapter. The Exchange also proposes to make a non-substantive 
conforming change to a cross-reference in the rule, in order to reflect 
the relocation of the rule to a more suitable chapter in the Exchange's 
rulebook. Specifically, the Exchange proposes to change the current 
language which states that ``[n]otwithstanding any other provision of 
this Rule 404, the minimum trading increment for options on the SPIKES 
Index shall be as follows: (1) If the options series is trading at less 
than $3.00, five (5) cents; and (2) if the options series is trading at 
$3.00 or higher, ten (10) cents,'' to now read ``[n]otwithstanding any 
other provision of this Rule 510, the minimum trading increment for 
options on the SPIKES Index shall be as follows: (1) If the options 
series is trading at less than $3.00, five (5) cents; and (2) if the 
options series is trading at $3.00 or higher, ten (10) cents,'' in 
order to update the cross-reference in the rule.
    The Exchange notes that the changes proposed herein are non-
substantive rule changes, and do not modify the application of the rule 
which the Exchange proposes to relocate. The Exchange believes that by 
now relocating this rule, and making a non-substantive conforming 
change to a cross-reference within the rule, it will relocate the rule 
into a more appropriate chapter in the Exchange's rulebook.
2. Statutory Basis
    The Exchange believes that its proposed rule change is consistent 
with Section 6(b) of the Act \3\ in general, and furthers the 
objectives of Section 6(b)(5) of the Act \4\ in particular, 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 
mechanisms 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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    \3\ 15 U.S.C. 78f(b).
    \4\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes the proposed change promotes just and 
equitable principles of trade and removes impediments to and perfects 
the mechanism of a free and open market and a national market system 
because the proposed rule change improves the way the Exchange's 
rulebook is organized, making it easier to read, and avoids confusion 
by relocating a rule which is more appropriately located in another 
chapter of the Exchange's rulebook; and makes a non-substantive 
conforming change to a cross-reference in the rule, in order to reflect 
the relocation of the rule to a more suitable chapter in the Exchange's 
rulebook, therefore, helping market participants to better understand 
the rules of the Exchange. The Exchange notes that the proposed change 
does not alter the application of the rule. As such, the proposed 
amendment would foster cooperation and coordination with persons 
engaged in facilitating transactions in securities and would remove 
impediments to and perfect the mechanism of a free and open market and 
a national exchange system. In particular, the Exchange believes that 
the proposed change will provide greater clarity to Members \5\ and the 
public regarding the Exchange's Rules. It is in the public interest for 
rules to be accurate and concise so as to eliminate the potential for 
confusion.
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    \5\ The term ``Member'' means an individual or organization 
approved to exercise the trading rights associated with a Trading 
Permit. Members are deemed ``members'' under the Exchange Act. See 
Exchange Rule 100.
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B. Self-Regulatory Organization's Statement on Burden on Competition

    MIAX Options 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 Act. The proposed rule change 
will have no impact on competition as it is not designed to address any 
competitive issues but rather is designed to add additional clarity to 
existing rules by making a non-substantive change to relocate the rule 
to a different chapter in the Exchange's rulebook, and by making a 
conforming change to an existing cross-reference in the rule, in order 
to reflect the relocation of the rule to a more suitable chapter in the 
Exchange's rulebook.
    The Exchange does not believe that the proposed rule change will 
impose any burden on intermarket competition as the Rules apply equally 
to all Exchange Members.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    Written comments were neither solicited nor received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing 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)(iii) of the Act \6\ and 
subparagraph (f)(6) of Rule 19b-4 thereunder.\7\
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    \6\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \7\ 17 CFR 240.19b-4(f)(6). 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, along 
with a brief description and the text of the proposed rule change, 
at least five business days prior to the date of filing of the 
proposed rule change, or such shorter time as designated by the 
Commission. The Exchange has satisfied this requirement.
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    A proposed rule change filed under Rule 19b-4(f)(6) \8\ normally 
does not become operative prior to 30 days after the date of the 
filing. However, Rule 19b-4(f)(6)(iii) \9\ permits the Commission to 
designate a shorter time if such action is consistent with the 
protection of investors and the public interest. The Exchange has asked 
the Commission to waive the 30-day operative delay so that the proposal 
may become operative immediately upon filing. The Exchange states that 
the waiver will allow the Exchange to immediately improve the 
organization of its rulebook and avoid confusion for market 
participants reading the rules of

[[Page 63955]]

the Exchange. The Commission believes that waiver of the 30-day 
operative delay is consistent with the protection of investors and the 
public interest. Accordingly, the Commission hereby waives the 
operative delay and designates the proposed rule change as operative 
upon filing.\10\
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    \8\ 17 CFR 240.19b-4(f)(6).
    \9\ 17 CFR 240.19b-4(f)(6)(iii).
    \10\ For purposes only of waiving the 30-day operative delay, 
the Commission has also considered the proposed rule's impact on 
efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
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    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is: (i) 
Necessary or appropriate in the public interest; (ii) for the 
protection of investors; or (iii) otherwise in furtherance of the 
purposes of the Act. If the Commission takes such action, the 
Commission shall institute proceedings to determine whether the 
proposed rule should be approved or disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-MIAX-2018-37 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-MIAX-2018-37. 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-MIAX-2018-37 and should be submitted on 
or before January 2, 2019.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
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    \11\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-26831 Filed 12-11-18; 8:45 am]
 BILLING CODE 8011-01-P
Federal Register / Vol. 83, No. 238 / Wednesday, December 12, 2018 / Notices 63953

a free and open market, as it will start Commission takes such action, the should be submitted on or before
the process of updating and Commission will institute proceedings January 2,2019.
reorganizing the Exchange’s Rulebook in to determine whether the proposed rule For the Commission, by the Division of
connection with the migration of its change should be approved or Trading and Markets, pursuant to delegated
system to Bats technology. This will disapproved. authority.10
ensure Trading Permit Holders can
easily identify the Rules that will be in IV. Solicitation of Comments Eduardo A. Aleman,
place upon implementation of the Interested persons are invited to Assistant Secretary.
technology migration, which benefits submit written data, views, and [FR Doc. 2018–26835 Filed 12–11–18; 8:45 am]
investors. The proposed rule change arguments concerning the foregoing, BILLING CODE 8011–01–P
makes no substantive changes to the including whether the proposed rule
current Rulebook. change is consistent with the Act.
B. Self-Regulatory Organization’s Comments may be submitted by any of SECURITIES AND EXCHANGE
Statement on Burden on Competition the following methods: COMMISSION
Cboe Options does not believe that Electronic Comments
[Release No. 34–84734; File No. SR–MIAX–
the proposed rule change will impose
any burden on competition that is not • Use the Commission’s internet 2018–37]
necessary or appropriate in furtherance comment form (http://www.sec.gov/
rules/sro.shtml); or Self-Regulatory Organizations; Miami
of the purposes of the Act. The
• Send an email to rule-comments@ International Securities Exchange,
proposed rule change makes
sec.gov. Please include File Number SR– LLC; Notice of Filing and Immediate
nonsubstantive changes and has no
impact on trading on the Exchange, as CBOE–2018–074 on the subject line. Effectiveness of a Proposed Rule
they are intended to start the process of Change To Amend Exchange Rule 510,
Paper Comments Minimum Price Variations and
updating and reorganizing the
Exchange’s Rulebook in connection • Send paper comments in triplicate Minimum Trading Increments, To
with the migration of its system to Bats to Secretary, Securities and Exchange Adopt Interpretations and Policies .03
technology. Commission, 100 F Street NE,
December 6, 2018.
Washington, DC 20549–1090.
C. Self-Regulatory Organization’s Pursuant to the provisions of Section
Statement on Comments on the All submissions should refer to File
19(b)(1) of the Securities Exchange Act
Proposed Rule Change Received From Number SR–CBOE–2018–074. This file
of 1934 (‘‘Act’’),1 and Rule 19b–4
Members, Participants, or Others number should be included on the
subject line if email is used. To help the thereunder,2 notice is hereby given that
The Exchange neither solicited nor on November 28, 2018, Miami
received comments on the proposed Commission process and review your
comments more efficiently, please use International Securities Exchange, LLC
rule change. (‘‘MIAX Options’’ or ‘‘Exchange’’) filed
only one method. The Commission will
III. Date of Effectiveness of the post all comments on the Commission’s with the Securities and Exchange
Proposed Rule Change and Timing for internet website (http://www.sec.gov/ Commission (‘‘Commission’’) a
Commission Action rules/sro.shtml). Copies of the proposed rule change as described in
Because the foregoing proposed rule submission, all subsequent Items I and II below, which Items have
change does not: (i) Significantly affect amendments, all written statements been prepared by the Exchange. The
the protection of investors or the public with respect to the proposed rule Commission is publishing this notice to
interest; (ii) impose any significant change that are filed with the solicit comments on the proposed rule
burden on competition; and (iii) become Commission, and all written change from interested persons.
operative for 30 days from the date on communications relating to the
which it was filed, or such shorter time proposed rule change between the I. Self-Regulatory Organization’s
as the Commission may designate, it has Commission and any person, other than Statement of the Terms of Substance of
become effective pursuant to Section those that may be withheld from the the Proposed Rule Change
19(b)(3)(A)(iii) of the Act 8 and public in accordance with the The Exchange is filing a proposal to
subparagraph (f)(6) of Rule 19b–4 provisions of 5 U.S.C. 552, will be relocate Rule 404, Interpretations and
thereunder.9 At any time within 60 days available for website viewing and
Policies .11 (‘‘SPIKES Index Options’’)
of the filing of the proposed rule change, printing in the Commission’s Public
the Commission summarily may to Rule 510, Minimum Price Variations
Reference Room, 100 F Street, NE,
temporarily suspend such rule change if Washington, DC 20549 on official and Minimum Trading Increments, new
it appears to the Commission that such business days between the hours of Interpretations and Policies .03, and to
action is necessary or appropriate in the 10:00 a.m. and 3:00 p.m. Copies of the make a non-substantive conforming
public interest, for the protection of filing also will be available for change to a cross-reference in the rule.
investors, or otherwise in furtherance of inspection and copying at the principal The text of the proposed rule change
the purposes of the Act. If the office of the Exchange. All comments is available on the Exchange’s website at
received will be posted without change. http://www.miaxoptions.com/rule-
8 15 U.S.C. 78s(b)(3)(A). Persons submitting comments are filings/ at MIAX Options’ principal
amozie on DSK3GDR082PROD with NOTICES1

9 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– cautioned that we do not redact or edit office, and at the Commission’s Public
4(f)(6)(iii) requires the Exchange to give the
Commission written notice of the Exchange’s intent
personal identifying information from Reference Room.
to file the proposed rule change, along with a brief comment submissions. You should
description and text of the proposed rule change, submit only information that you wish
at least five business days prior to the date of filing to make available publicly. All 10 17 CFR 200.30–3(a)(12).
of the proposed rule change, or such shorter time
as designated by the Commission. The Exchange
submissions should refer to File 1 15 U.S.C. 78s(b)(1).
has satisfied this requirement. Number SR–CBOE–2018–074 and 2 17 CFR 240.19b–4.

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63954 Federal Register / Vol. 83, No. 238 / Wednesday, December 12, 2018 / Notices

II. Self-Regulatory Organization’s 2. Statutory Basis proposed rule change will have no
Statement of the Purpose of, and The Exchange believes that its impact on competition as it is not
Statutory Basis for, the Proposed Rule proposed rule change is consistent with designed to address any competitive
Change Section 6(b) of the Act 3 in general, and issues but rather is designed to add
In its filing with the Commission, the furthers the objectives of Section 6(b)(5) additional clarity to existing rules by
Exchange included statements making a non-substantive change to
of the Act 4 in particular, in that it is
concerning the purpose of and basis for relocate the rule to a different chapter in
designed to prevent fraudulent and
the proposed rule change and discussed the Exchange’s rulebook, and by making
manipulative acts and practices, to
any comments it received on the a conforming change to an existing
promote just and equitable principles of
proposed rule change. The text of these cross-reference in the rule, in order to
trade, to foster cooperation and
statements may be examined at the reflect the relocation of the rule to a
coordination with persons engaged in
places specified in Item IV below. The more suitable chapter in the Exchange’s
facilitating transactions in securities, to
Exchange has prepared summaries, set rulebook.
remove impediments to and perfect the The Exchange does not believe that
forth in sections A, B, and C below, of mechanisms of a free and open market
the most significant aspects of such the proposed rule change will impose
and a national market system and, in any burden on intermarket competition
statements. general, to protect investors and the as the Rules apply equally to all
A. Self-Regulatory Organization’s public interest. Exchange Members.
Statement of the Purpose of, and The Exchange believes the proposed
Statutory Basis for, the Proposed Rule change promotes just and equitable C. Self-Regulatory Organization’s
Change principles of trade and removes Statement on Comments on the
impediments to and perfects the Proposed Rule Change Received From
1. Purpose mechanism of a free and open market Members, Participants, or Others
The Exchange proposes to relocate and a national market system because Written comments were neither
existing Exchange Rule 404, the proposed rule change improves the solicited nor received.
Interpretations and Policies .11, SPIKES way the Exchange’s rulebook is
Index Options, to Rule 510 (‘‘Minimum organized, making it easier to read, and III. Date of Effectiveness of the
Price Variations and Minimum Trading avoids confusion by relocating a rule Proposed Rule Change and Timing for
Increments’’), Interpretations and which is more appropriately located in Commission Action
Policies .03. This proposal seeks to another chapter of the Exchange’s Because the foregoing proposed rule
better organize the rules of the Exchange rulebook; and makes a non-substantive change does not: (i) Significantly affect
in order to make the rules easier to read conforming change to a cross-reference the protection of investors or the public
and to ensure that this rule is located in in the rule, in order to reflect the interest; (ii) impose any significant
the appropriate chapter. The Exchange relocation of the rule to a more suitable burden on competition; and (iii) become
also proposes to make a non-substantive chapter in the Exchange’s rulebook, operative for 30 days from the date on
conforming change to a cross-reference therefore, helping market participants to which it was filed, or such shorter time
in the rule, in order to reflect the better understand the rules of the as the Commission may designate, it has
relocation of the rule to a more suitable Exchange. The Exchange notes that the become effective pursuant to Section
chapter in the Exchange’s rulebook. proposed change does not alter the 19(b)(3)(A)(iii) of the Act 6 and
Specifically, the Exchange proposes to application of the rule. As such, the subparagraph (f)(6) of Rule 19b–4
change the current language which proposed amendment would foster thereunder.7
states that ‘‘[n]otwithstanding any other cooperation and coordination with A proposed rule change filed under
provision of this Rule 404, the persons engaged in facilitating Rule 19b–4(f)(6) 8 normally does not
minimum trading increment for options transactions in securities and would become operative prior to 30 days after
on the SPIKES Index shall be as follows: remove impediments to and perfect the the date of the filing. However, Rule
(1) If the options series is trading at less mechanism of a free and open market 19b–4(f)(6)(iii) 9 permits the
than $3.00, five (5) cents; and (2) if the and a national exchange system. In Commission to designate a shorter time
options series is trading at $3.00 or particular, the Exchange believes that if such action is consistent with the
higher, ten (10) cents,’’ to now read the proposed change will provide protection of investors and the public
‘‘[n]otwithstanding any other provision greater clarity to Members 5 and the interest. The Exchange has asked the
of this Rule 510, the minimum trading public regarding the Exchange’s Rules. Commission to waive the 30-day
increment for options on the SPIKES It is in the public interest for rules to be operative delay so that the proposal may
Index shall be as follows: (1) If the accurate and concise so as to eliminate become operative immediately upon
options series is trading at less than the potential for confusion. filing. The Exchange states that the
$3.00, five (5) cents; and (2) if the waiver will allow the Exchange to
options series is trading at $3.00 or B. Self-Regulatory Organization’s immediately improve the organization
higher, ten (10) cents,’’ in order to Statement on Burden on Competition of its rulebook and avoid confusion for
update the cross-reference in the rule. MIAX Options does not believe that market participants reading the rules of
The Exchange notes that the changes the proposed rule change will impose
proposed herein are non-substantive any burden on competition that is not 6 15 U.S.C. 78s(b)(3)(A)(iii).
7 17 CFR 240.19b–4(f)(6). In addition, Rule 19b–
rule changes, and do not modify the necessary or appropriate in furtherance
4(f)(6)(iii) requires a self-regulatory organization to
application of the rule which the of the purposes of the Act. The
amozie on DSK3GDR082PROD with NOTICES1

give the Commission written notice of its intent to
Exchange proposes to relocate. The file the proposed rule change, along with a brief
Exchange believes that by now 3 15U.S.C. 78f(b). description and the text of the proposed rule
relocating this rule, and making a non- 4 15U.S.C. 78f(b)(5). change, at least five business days prior to the date
5 The term ‘‘Member’’ means an individual or of filing of the proposed rule change, or such
substantive conforming change to a shorter time as designated by the Commission. The
organization approved to exercise the trading rights
cross-reference within the rule, it will associated with a Trading Permit. Members are Exchange has satisfied this requirement.
relocate the rule into a more appropriate deemed ‘‘members’’ under the Exchange Act. See 8 17 CFR 240.19b–4(f)(6).

chapter in the Exchange’s rulebook. Exchange Rule 100. 9 17 CFR 240.19b–4(f)(6)(iii).

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Federal Register / Vol. 83, No. 238 / Wednesday, December 12, 2018 / Notices 63955

the Exchange. The Commission believes provisions of 5 U.S.C. 552, will be The text of the proposed rule change
that waiver of the 30-day operative available for website viewing and is available on the Exchange’s website at
delay is consistent with the protection printing in the Commission’s Public http://ise.cchwallstreet.com/, at the
of investors and the public interest. Reference Room, 100 F Street NE, principal office of the Exchange, and at
Accordingly, the Commission hereby Washington, DC 20549, on official the Commission’s Public Reference
waives the operative delay and business days between the hours of Room.
designates the proposed rule change as 10:00 a.m. and 3:00 p.m. Copies of the
operative upon filing.10 filing also will be available for II. Self-Regulatory Organization’s
At any time within 60 days of the inspection and copying at the principal Statement of the Purpose of, and
filing of the proposed rule change, the office of the Exchange. All comments Statutory Basis for, the Proposed Rule
Commission summarily may received will be posted without change. Change
temporarily suspend such rule change if Persons submitting comments are In its filing with the Commission, the
it appears to the Commission that such cautioned that we do not redact or edit Exchange included statements
action is: (i) Necessary or appropriate in personal identifying information from concerning the purpose of and basis for
the public interest; (ii) for the protection comment submissions. You should the proposed rule change and discussed
of investors; or (iii) otherwise in submit only information that you wish any comments it received on the
furtherance of the purposes of the Act. to make available publicly. All proposed rule change. The text of these
If the Commission takes such action, the submissions should refer to File statements may be examined at the
Commission shall institute proceedings Number SR–MIAX–2018–37 and should places specified in Item IV below. The
to determine whether the proposed rule be submitted on or before January 2, Exchange has prepared summaries, set
should be approved or disapproved. 2019. forth in sections A, B, and C below, of
IV. Solicitation of Comments For the Commission, by the Division of the most significant aspects of such
Trading and Markets, pursuant to delegated statements.
Interested persons are invited to authority.11
submit written data, views, and Eduardo A. Aleman, A. Self-Regulatory Organization’s
arguments concerning the foregoing, Statement of the Purpose of, and
Assistant Secretary.
including whether the proposed rule Statutory Basis for, the Proposed Rule
[FR Doc. 2018–26831 Filed 12–11–18; 8:45 am]
change is consistent with the Act. Change
BILLING CODE 8011–01–P
Comments may be submitted by any of
the following methods: 1. Purpose

Electronic Comments SECURITIES AND EXCHANGE ISE proposes several amendments in
COMMISSION this rule change. First, the Exchange
• Use the Commission’s internet proposes to amend ISE Rule 701,
comment form (http://www.sec.gov/ [Release No. 34–84729; File No. SR–ISE– entitled ‘‘Opening’’ and ISE Rule 803,
rules/sro.shtml); or 2018–96] entitled ‘‘Obligations of Market Makers’’
• Send an email to rule-comments@ to correct inconsistencies between the
sec.gov. Please include File Number SR– Self-Regulatory Organizations; Nasdaq
Exchange’s rule text and the operation
MIAX–2018–37 on the subject line. ISE, LLC; Notice of Filing and
of the System. Second, the Exchange
Immediate Effectiveness of Proposed
Paper Comments proposes to add definitions to ISE Rule
Rule Change Relating to Bid/Ask
• Send paper comments in triplicate 100 to define ‘‘in-the-money’’ and ‘‘out-
Differentials
to Secretary, Securities and Exchange of-the-money’’ option series. Third, the
Commission, 100 F Street NE, December 6, 2018. Exchange proposes to correct various
Washington, DC 20549–1090. Pursuant to Section 19(b)(1) of the cross references to Rule 100. Each
Securities Exchange Act of 1934 amendment will be described in more
All submissions should refer to File
(‘‘Act’’),1 and Rule 19b–4 thereunder,2 detail below.
Number SR–MIAX–2018–37. This file
number should be included on the notice is hereby given that on November Rule 701
subject line if email is used. To help the 28, 2018, Nasdaq ISE, LLC (‘‘ISE’’ or
‘‘Exchange’’) filed with the Securities Today, for the Opening Process, ISE
Commission process and review your
and Exchange Commission Rule 701(a)(8) defines a ‘‘Valid Width
comments more efficiently, please use
(‘‘Commission’’) the proposed rule Quote’’ as a two-sided electronic
only one method. The Commission will
change as described in Items I and II quotation submitted by a Market Maker
post all comments on the Commission’s
below, which Items have been prepared that consists of a bid/ask differential
internet website (http://www.sec.gov/
by the Exchange. The Commission is that is compliant with Rule 803(b)(4).3
rules/sro.shtml). Copies of the
submission, all subsequent publishing this notice to solicit
3 ISE Rule 803(b)(4) provides:
amendments, all written statements comments on the proposed rule change
from interested persons. ‘‘To price options contracts fairly by, among other
with respect to the proposed rule things, bidding and offering so as to create
change that are filed with the I. Self-Regulatory Organization’s differences of no more than $5 between the bid and
Commission, and all written Statement of the Terms of Substance of offer following the opening rotation in an equity or
index options contract. Prior to the opening
communications relating to the the Proposed Rule Change rotation, spread differentials shall be no more than
proposed rule change between the The Exchange proposes to amend ISE $.25 between the bid and offer for each options
Commission and any person, other than Rule 701, entitled ‘‘Opening,’’ ISE Rule
contract for which the bid is less than $2, no more
amozie on DSK3GDR082PROD with NOTICES1

those that may be withheld from the than $.40 where the bid is at least $2 but does not
803, entitled ‘‘Obligations of Market exceed $5, no more than $.50 where the bid is more
public in accordance with the Makers’’ and ISE Rule 100, entitled than $5 but does not exceed $10, no more than $.80
‘‘Definitions.’’ where the bid is more than $10 but does not exceed
10 For purposes only of waiving the 30-day $20, and no more than $1 where the bid is $20 or
operative delay, the Commission has also greater, provided that the Exchange may establish
11 17 CFR 200.30–3(a)(12).
considered the proposed rule’s impact on differences other than the above for one or more
1 15 U.S.C. 78s(b)(1).
efficiency, competition, and capital formation. See options series.
15 U.S.C. 78c(f). 2 17 CFR 240.19b–4. Continued

VerDate Sep<11>2014 18:39 Dec 11, 2018 Jkt 247001 PO 00000 Frm 00131 Fmt 4703 Sfmt 4703 E:\FR\FM\12DEN1.SGM 12DEN1
Document Created: 2018-12-12 01:39:25
Document Modified: 2018-12-12 01:39:25
Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		83 FR 63953