76642 Federal Register / Vol. 85, No. 230 / Monday, November 30, 2020 / Notices 

efficiency, competition, and capital formation. 15 

U.S.C. 78c(f). 

19 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3The Exchange notes that after volatility and 

unusual market conditions beginning at the end of 

2019 and continuously increasing through 2020 as 

a result of the impact of COVID19 and related 

factors, some market participants may have 

experienced significant trading losses, resulting in 

their limiting their trading behavior and risk 

exposure. The Exchange understands that firms, not 

otherwise highly active in the electronic markets, 

may have executed electronically in order to close 

positions, reduce exposure, and otherwise mitigate 

losses and reduce risk in light of market conditions 

experienced at various points throughout the year. 

These firms may have also reduced open outcry 

activity as part of the same risk-reducing strategy, 

resulting in a coincidental change in the mix of 

electronic versus open outcry volume for such 

generally floor-based Market-Makers. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2020–26282 Filed 11–27–20; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–90482; File No. SR–CBOE– 

2020–110] 

Self-Regulatory Organizations; Cboe 

Exchange, Inc.; Notice of Filing of a 

Proposed Rule Change Amending Rule 

5.52(d) in Connection With a MarketMaker’s Electronic Volume Transacted 

on the Exchange 

November 23, 2020. 

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 November 

13, 2020, Cboe Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘Cboe Options’’) 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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

Cboe Exchange, Inc. (the ‘‘Exchange’’ 

or ‘‘Cboe Options’’) proposes to amend 

Rule 5.52(d) in connection with a 

Market-Maker’s electronic volume 

transacted on the Exchange. The text of 

the proposed rule change is provided in 

Exhibit 5. 

The text of the proposed rule change 

is also available on the Exchange’s 

website (http://www.cboe.com/ 

AboutCBOE/CBOELegalRegulatory 

Home.aspx), 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 

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 

Rule 5.52(d) in connection with a 

Market-Maker’s electronic volume 

transacted on the Exchange. Current 

Rule 5.52(d)(1) provides that if a 

Market-Maker never trades more than 

20% of the Market-Maker’s contract 

volume electronically in an appointed 

class during any calendar quarter, a 

Market-Maker will not be obligated to 

quote electronically in any designated 

percentage of series within that class 

pursuant to subparagraph (d)(2) (which 

governs the continuous electronic 

quoting requirements for Market-Makers 

in their appointed classes). That is, once 

a Market-Maker surpasses the 20% 

electronic volume threshold in an 

appointed class, the Market-Maker is 

required to provide continuous 

electronic quotes in that appointed 

classes going forward. Neither Rule 

5.52(d)(1) nor (d)(2) permit a MarketMaker to reduce its electronic volume 

after surpassing the 20% threshold in 

order to reset the electronic volume 

trigger or otherwise undo the resulting 

obligation to stream electronic quotes 

once the 20% threshold is triggered in 

an appointed class. 

Market-Makers accustomed to 

executing volume on the trading floor 

have sophisticated and complicated risk 

modeling associated with their floor 

trading activity, including quoting, 

monitoring, and responding to the 

trading crowd. However, the Exchange 

understands that while such MarketMakers do have separate systems or 

third-party platforms for quoting, 

monitoring and responding to electronic 

markets, because these Market-Makers 

are almost exclusively floor-based, their 

technology or other platforms enabling 

them to quote electronically do not 

achieve the level of sophistication or 

complexity as the systems used by 

Market-Makers accustomed to quoting 

electronically. Indeed, to satisfy the 

continuous electronic quoting 

requirements, a Market-Maker must 

provide continuous bids and offers for 

90% of the time the Market-Maker is 

required to provide electronic quotes in 

an appointed option class on a given 

trading day and must provide 

continuous quotes in 60% of the series 

of the Market-Maker’s appointed 

classes. The Exchange determines 

compliance by a Market-Maker with this 

quoting obligation on a monthly basis. 

In addition to this, a Market-Makers 

must, among other things, compete with 

other Market-Makers in its appointed 

classes, update quotations in response 

to changed market conditions in its 

appointed classes, maintain active 

markets in its appointed classes, and, 

overall, engage in a course of dealings 

reasonably calculated to contribute to 

the maintenance of a fair and orderly 

market. Market-Makers that are 

predominantly floor-based generally do 

not have the technology or electronic 

trading sophistication to fully satisfy the 

continuous electronic quoting 

obligations, as well as other heightened 

standards required of a Market-Maker in 

its appointed classes electronically, 

once the 20% electronic volume 

threshold is triggered. 

The Exchange has observed that in the 

past year, particularly given the 

significant increase in market volatility 

and unpredictability of market 

conditions in the months leading up to 

and during the COVID–19 pandemic,3

Market-Makers that almost exclusively 

execute their volume in open outcry and 

had not prior triggered an electronic 

quoting obligation pursuant to Rule 

5.52(d)(2), incidentally breached the 

20% electronic volume threshold in 

certain appointed classes during a single 

quarter and were thereby obliged to 

provide continuous electronic quotes in 

those classes going forward. As stated 

above, once a Market-Maker surpasses 

the electronic volume threshold in an 

appointed class, and the electronic 

quoting obligation is triggered, Rules 

5.52(d)(1) and (d)(2) do not permit a 

Market-Maker to reset the trigger — a 

Market-Maker is required to stream 

electronic quotes in that appointed class 

beginning the next calendar quarter and 

from there on out. As such, once the 


TKELLEY on DSKBCP9HB2PROD with NOTICES
Federal Register / Vol. 85, No. 230 / Monday, November 30, 2020 / Notices 76643 

4The Exchange is aware of at least two MarketMakers which have (1) triggered the 20% electronic 

volume threshold in the proposed timeframe and 

(2) have subsequently been unable to satisfy the 

continuous electronic quoting obligations for at 

least two consecutive months within the same 

timeframe. One such Market-Maker has been 

registered as a Market-Maker on the Exchange since 

1997 (however, such firm has recently been 

dissolved) and one has been registered as a MarketMaker on the Exchange since 2001. The Exchange 

also notes that there are other Market-Makers that 

are not currently subject to the continuous 

electronic quoting requirements in their appointed 

classes. For example, the Exchange is aware of at 

least three Market-Makers that are not currently 

obligated to provide continuous electronic quotes in 

SPX. 

5The proposed rule change also updates the 

format of Rule 5.51(d)(1) by adopting the title 

‘‘Electronic Volume Threshold’’ and Rule 

5.51(d)(1)(A) to govern the provision under current 

Rule 5.51(d)(1), and adopts the title ‘‘Continuous 

Electronic Quotes’’ for Rule 5.52(d)(2). 

6The proposed rule change also updates Rule 

5.52(d)(2) to reflect the proposed two consecutive 

quarter language where the Rule refers to the 

electronic volume threshold. 

7The Exchange notes that the proposed rule 

change does not preclude the application of Rule 

13.15(g)(14)(A), which, as part of the Minor Rule 

Violation Plan (‘‘MRVP’’), allows the Exchange to 

impose a fine on Market-Makers for failure to meet 

their continuous quoting obligations, including on 

any Market-Maker that is able to ‘‘reset’’ on January 

1, 2021. The Exchange additionally notes that the 

proposed rule change also does not preclude the 

Exchange from referring matters covered under the 

MRVP for formal disciplinary action, pursuant to 

Rule 13.15(f), whenever it determines that any 

violation is intentional, egregious or otherwise not 

minor in nature. 

8See Securities Exchange Act Release No. 47959 

(May 30, 2003), 68 FR 34441 (June 9, 2003) (SR– 

CBOE–2002–05). 

20% threshold was surpassed by 

Market-Makers accustomed to quoting 

on the trading floor, these MarketMakers had to be equipped to uphold 

continuous electronic quoting 

obligations by just the next calendar 

quarter, production of which was 

exacerbated by the volatile and unusual 

market conditions present in the 

markets over the past year. As a result, 

the Exchange has observed that at least 

one Market-Maker 4 has been unable to 

successfully fulfill its new continuous 

electronic quoting obligations in 

subsequent months. The Exchange 

understands this is due to the MarketMaker not having the appropriate 

technology to successfully provide 

continuous electronic quotes. The 

Exchange believes requiring a MarketMaker not accustomed to and lacking 

the appropriate technology to provide 

continuous electronic quotes may 

potentially pose risk to the maintenance 

of fair and order markets as well as risk 

to the Market-Makers themselves as they 

are not able to compete in the electronic 

markets. 

Therefore, the Exchange proposes to 

amend Rule 5.52(d)(1) in a manner that 

allows Market-Makers that, up until 

recently, have not before been obliged to 

provide continuous electronic quotes in 

their appointed classes to essentially 

reset the trigger on their electronic 

volume threshold in Rule 5.52(d)(1). 

Specifically, the proposed rule change 

adopts Rule 5.52(d)(1)(B) 5 which 

provides that if, between October 1, 

2019 and December 31, 2020, a MarketMaker (i) has, for the first time, traded 

more than 20% of the Market-Maker’s 

contract volume electronically in an 

appointed class during any calendar 

quarter and, subsequently, (ii) has not 

provided electronic continuous quotes 

pursuant to subparagraph (d)(2) below 

for any two consecutive months, then, 

beginning January 1, 2021, the MarketMaker will be subject to subparagraph 

(d)(1)(A) above. Proposed Rule 

5.52(d)(1)(A) amends the current 

language in Rule 5.52(d)(1) to provide 

that if a Market-Maker never trades 

more than 20% of the Market-Maker’s 

contract volume electronically in an 

appointed class during any two 

consecutive calendar quarters, a MarketMaker will not be obligated to quote 

electronically in any designated 

percentage of series within that class 

pursuant to subparagraph (d)(2).6 In this 

way, the proposed rule change allows 

those Market-Makers that 

predominantly provide liquidity on the 

trading floor and surpassed the 

electronic volume threshold only in the 

past year due to extraordinary and 

extreme volatility, and, subsequently, 

are not able to satisfy the continuous 

electronic quoting requirement on a 

monthly basis going forward, to again be 

subject only to open outcry quoting 

requirements so they may focus on 

providing liquidity in open outcry in 

accordance with their business models.7

The proposed rule change to change 

the electronic volume threshold trigger 

from one calendar quarter to two 

consecutive calendar quarters is 

designed to mitigate any potential future 

risk that Market-Makers accustomed to 

providing liquidity on the trading floor 

that incidentally trigger the threshold as 

market volatility and unusual market 

conditions arise have to quote 

electronically. The proposed rule 

change provides a grace period for such 

Market-Makers to reduce their 

electronic volume in the subsequent 

quarter, thus not automatically 

subjecting them to the continuous 

electronic quoting requirements and 

providing them the opportunity to 

continue to focus on providing liquid 

markets in open outcry in accordance 

with their business models. As such, the 

proposed rule change is designed to 

maintain fair and orderly markets, in 

that, it reduces the likelihood that 

Market-Makers not equipped to compete 

and stream quotes in the electronic 

markets at competitive prices because 

their business models apply primarily to 

open outcry trading are not compelled 

to attempt do so. The Exchange believes 

imposing continuous electronic quoting 

obligations on such Market-Makers may 

result in their inability to consistently 

stream electronic quotes on a monthly 

basis going forward and to comply with 

their other Market-Maker 

responsibilities, including engaging in a 

course of dealings that must be 

reasonably calculated to contribute to 

the maintenance of a fair and orderly 

market, refraining from making bids or 

offers that are inconsistent with such 

course of dealings, and updating 

quotations in response to changed 

market conditions. The proposed rule 

change instead allows those MarketMakers to continue to provide liquidity 

to their appointed classes in open 

outcry. By allowing for a grace period 

for a Market-Maker to reduce their 

electronic volume if the electronic 

volume threshold is triggered in a 

preceding quarter, the proposed rule 

change is intended to support the 

overall purpose of the rule in providing 

open outcry Market-Makers the 

opportunity to continue to provide 

liquid markets on the Exchange’s 

trading floor without having to quote 

electronically in accordance with their 

intended business model. The Exchange 

notes that the proposed rule change 

would not impact streaming quotes and 

liquidity in the electronic markets, as 

any Market-Maker subject to the 

continuous electronic quoting obligation 

prior to October 1, 2019 will continue 

to be subject this obligation. 

Finally, the proposed rule change also 

removes the rollout period for new 

classes in Rule 5.52(d)(1), which 

currently provides that for a period of 

90 days commencing immediately after 

a class begins trading on the System, 

this subparagraph (d)(1) governs trading 

in that class. The rollout period was 

implemented in connection with the 

transition of certain classes to the 

Exchange’s former Hybrid System.8 As 

of 2018, all classes listed for trading on 

the Exchange now trade on the same 

platform, the Exchange’s System. 

Therefore, a rollout period is no longer 

necessary. All Market-Makers in new 

classes and likewise all new MarketMakers will be equally subject to the 

electronic volume threshold pursuant to 

Rule 5.52(d)(1) and (d)(2) upon starting 

out. 


TKELLEY on DSKBCP9HB2PROD with NOTICES
76644 Federal Register / Vol. 85, No. 230 / Monday, November 30, 2020 / Notices 

9 15 U.S.C. 78f(b). 

10 15 U.S.C. 78f(b)(5). 

11 Id. 12 15 U.S.C. 78f(c)(3). 

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) and the rules and regulations 

thereunder applicable to the Exchange 

and, in particular, the requirements of 

Section 6(b) of the Act.9 Specifically, 

the Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5) 10 requirements that the rules of 

an exchange be 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 regulating, clearing, settling, 

processing information with respect to, 

and 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. 

Additionally, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) 11 requirement that 

the rules of an exchange not be designed 

to permit unfair discrimination between 

customers, issuers, brokers, or dealers. 

In particular, the proposed rule 

change is consistent with the Act in that 

it removes impediments to and perfects 

the mechanism of a free and open 

market and in general protects investors 

by allowing Market-Makers accustomed 

to quoting on the trading floor and, 

therefore, not readily equipped to 

successfully stream electronic quotes on 

a continuous basis going forward, to 

essentially reset the trigger on their 

electronic volume threshold. As 

described above, the Exchange 

understands that certain Market-Makers 

who primarily operate on the trading 

floor do not support systems with the 

level of sophistication and complexity 

that would allow them to compete in 

the electronic markets or satisfy the 

continuous electronic quoting 

obligations month-to-month pursuant to 

the Exchange Rules. Therefore, the 

Exchange believes the proposed rule 

change to essentially reset the electronic 

volume threshold for any Market-Maker 

that breached the threshold since 

October 1, 2019 (in which the markets 

regularly experienced periods of high 

volatility and overall unusual market 

conditions) and to implement two 

consecutive quarters in connection with 

the 20% electronic volume threshold 

will assist in the maintenance of a fair 

and orderly market, and the protection 

of investors generally, by reducing the 

likelihood that Market-Makers without 

sufficient equipment to stream 

competitive electronic quotes on an 

ongoing basis that may incidentally 

trigger the electronic volume threshold, 

especially in light of market volatility 

and unusual market conditions that 

continue to arise as a result of the 

ongoing COVID–19 pandemic, are not 

necessarily required to do so. In turn, 

the Exchange believes the proposed rule 

change will provide these MarketMakers with the opportunity to 

continue to focus on providing liquidity 

on the trading floor and satisfy their 

obligation to engage in a course of 

dealings reasonably calculated to 

contribute to the maintenance of a fair 

and orderly market and their other 

Market-Maker obligations. Therefore, 

the Exchange also believes the proposed 

rule change furthers the objectives of 

Section 6(c)(3) of the Act,12 which 

authorizes the Exchange to, among other 

things, prescribe standards of financial 

responsibility or operational capability 

and standards of training, experience 

and competence for its Trading Permit 

Holders and person associated with 

Trading Permit Holders. 

In addition to this, the Exchange 

believe that the proposed rule change is 

reasonably designed to apply to those 

Market-Makers that incidentally 

breached the electronic volume 

threshold during a specific timeframe in 

which the Exchange observed regular 

periods of volatility and overall unusual 

market conditions, which led to higher 

volume that the Exchange believes 

resulted in certain Market-Makers 

triggering the continuous electronic 

quoting requirement threshold. The 

Exchange also believes that the specific 

timeframe and application of proposed 

rule does not affect Market-Makers that 

fall outside the scope of the proposed 

rule, as such Market-Makers were, prior 

to the proposed timeframe, already 

obliged to provide continuous electronic 

quotes in their appointed classes and 

will continue to be obligated to satisfy 

such monthly quoting requirements. 

The Exchange believes that the 

proposed rule change will generally 

protect investors as it is designed to 

support the overall purpose of the rule 

in permitting open outcry MarketMakers to continue to conduct their 

business as intended—providing liquid 

markets on the Exchange’s trading floor 

without having to quote electronically. 

Finally, the Exchange believes that 

the proposed rule change to remove the 

rollout provision for new classes will 

remove impediments to and perfect the 

mechanism of a free and open market 

and national market system because it 

removes a provision that is no longer 

necessary as a result of the full 

transition of all classes listed on the 

Exchange to trading on the Exchange’s 

System. All Market-Makers in new 

classes, and likewise all new MarketMakers, will continue to have the 

opportunity to acclimate to their market 

making obligations in newly appointed 

classes as they will be equally subject to 

the electronic volume threshold 

pursuant to Rule 5.52(d)(1) and (d)(2) 

upon starting out. 

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 Act. The 

Exchange does not believe that the 

proposed rule change will impose any 

burden on intramarket competition that 

is not necessary or appropriate in 

furtherance of the purposes of the Act, 

because the proposed rule change will 

apply in the same manner to all MarketMakers that, for the first time ever, 

reached the electronic volume threshold 

between October 1, 2019 and December 

31, 2020. The proposed 20% threshold 

will continue to apply equally to all 

Market-Makers, yet Market-Makers that 

incidentally reach the threshold may 

have a grace period to realign their 

volume in accordance with their 

intended business model—providing 

liquid markets on the Exchange’s 

trading floor without having to quote 

electronically. The Exchange also does 

not believe that the proposed rule 

change would impose any significant 

burden on those Market-Makers that do 

not fall within the scope of the proposed 

rule because all such Market-Makers 

will continue to be obligated to provide 

continuous electronic volume in their 

appointed classes as they do today. In 

addition to this, the proposed deletion 

of the new class rollout period would 

not impose any burden on competition 

as it merely removes a rollout period 

related to the Exchange’s prior 

transition of classes to its former Hybrid 

System that is no longer necessary. All 

new classes and all new Market-Makers 

will be equally subject to the electronic 

volume threshold pursuant to Rule 

5.52(d)(1) and (d)(2) upon starting out. 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on intermarket competition 

that is not necessary or appropriate in 

furtherance of the purposes of the Act 

because the electronic volume threshold 

applies only for the purposes of 


TKELLEY on DSKBCP9HB2PROD with NOTICES
Federal Register / Vol. 85, No. 230 / Monday, November 30, 2020 / Notices 76645 

13 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3 15 U.S.C. 78s(b)(3)(A). 

4 17 CFR 240.19b–4(f)(2) and (f)(4). 

5Each term not otherwise defined herein has its 

respective meaning as set forth in the Rules, ByLaws and Organization Certificate of DTC (the 

‘‘Rules’’), the Guide to the DTC Fee Schedule (‘‘Fee 

Guide’’), and the Reorganizations Service Guide 

(‘‘Reorganizations Guide’’), available at http://

www.dtcc.com/legal/rules-and-procedures.aspx. 

6Each of the CCF Entitlements and Allocations 

Files falls into one of two categories (each, a ‘‘File 

Category’’): (i) Pre-allocation (‘‘Pre-Allocation CCF 

Files’’), which includes files containing a 

Participant’s allocation projections and 

entitlements, or (ii) allocation/post-allocation 

(‘‘Allocation/Post-Allocation CCF Files’’), which 

includes files containing information on a 

Participant’s allocations and pending allocations. 

See Important Notice 13851–20 (August 27, 2020), 

available at https://www.dtcc.com/legal/importantnotices. 

determining when a Market-Maker is 

subject to certain quoting obligations on 

the Exchange. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange neither solicited nor 

received comments on the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 45 days of the date of 

publication of this notice in the Federal 

Register or within such longer period 

up to 90 days (i) as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or (ii) as to which 

the Exchange consents, the Commission 

will: 

A. By order approve or disapprove 

such proposed rule change, or 

B. institute proceedings to determine 

whether the proposed rule change 

should be 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 rule-comments@

sec.gov. Please include File Number SR– 

CBOE–2020–110 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–CBOE–2020–110. 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–CBOE–2020–110 and 

should be submitted on or before 

December 21, 2020. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2020–26279 Filed 11–27–20; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–90490; File No. SR–DTC– 

2020–016] 

Self-Regulatory Organizations; The 

Depository Trust Company; Notice of 

Filing and Immediate Effectiveness of 

a Proposed Rule Change To Amend 

the Reorganizations Service Guide and 

the Guide to the Fee Schedule 

November 23, 2020. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 

(‘‘Act’’) 1 and Rule 19b–4 thereunder,2

notice is hereby given that on November 

19, 2020, The Depository Trust 

Company (‘‘DTC’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I, II and III 

below, which Items have been prepared 

by the clearing agency. DTC filed the 

proposed rule change pursuant to 

Section 19(b)(3)(A) of the Act 3 and 

Rules 19b–4(f)(2) and (f)(4) thereunder.4

The Commission is publishing this 

notice to solicit comments on the 

proposed rule change from interested 

persons. 

I. Clearing Agency’s Statement of the 

Terms of Substance of the Proposed 

Rule Change 

The proposed rule change 5 would 

amend the Reorganizations Guide and 

the Fee Guide to (i) postpone the 

retirement of DTC’s legacy computer to 

computer facility (‘‘CCF’’) files for 

corporate actions entitlements and 

allocations (‘‘CCF Entitlements and 

Allocations Files’’) 6 to January 1, 2022, 

and (ii) amend the Fee Guide to apply 

the CCF File Fee to Participants that 

continue to consume CCF Entitlements 

and Allocations Files between January 

1, 2021 and December 31, 2021, as more 

fully described below. 

II. Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Proposed Rule Change 

In its filing with the Commission, the 

clearing agency 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 

clearing agency has prepared 

summaries, set forth in sections A, B, 

and C below, of the most significant 

aspects of such statements. 

(A) Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Proposed Rule Change 

1. Purpose 

The proposed rule change would 

amend the Reorganizations Guide and 

the Fee Guide to (i) postpone the 

retirement of CCF Entitlements and 

Allocations Files to January 1, 2022, and 

(ii) amend the Fee Guide to apply the 

CCF File Fee to Participants that 

continue to consume CCF Entitlements 

and Allocations Files between January 

1, 2021 and December 31, 2021, as more 

fully described below. 


TKELLEY on DSKBCP9HB2PROD with NOTICES