[Federal Register Volume 86, Number 7 (Tuesday, January 12, 2021)]
[Notices]
[Pages 2472-2473]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-00350]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-90861; File No. SR-ICEEU-2020-018]


Self-Regulatory Organizations; ICE Clear Europe Limited; Notice 
of Filing of Partial Amendment No. 1 To Proposed Rule Change Relating 
to Amendments to the ICE Clear Europe CDS Procedures and CDS Default 
Management Policy

January 6, 2021.
    On December 14, 2020, ICE Clear Europe Limited (``ICE Clear 
Europe'' or the ``Clearing House'') filed with the Securities and 
Exchange Commission (``Commission''), pursuant to Section 19(b)(1) of 
the Securities Exchange Act of 1934 (``Act''),\1\ and Rule 19b-4 
thereunder,\2\ a proposed rule change to modify its CDS Procedures and 
CDS Default Management Policy related to its CDS Default Committee. The 
proposed rule change was published for comment in the Federal Register 
on January 4, 2021.\3\ On December 31, 2020, ICE Clear Europe filed 
Partial Amendment No. 1 to the proposed rule change. Pursuant to 
Section 19(b)(1) of the Act \4\ and Rule 19b-4 thereunder,\5\ the 
Commission is publishing notice of this Partial Amendment No. 1 to the 
proposed rule change as described in Item I below, which has been 
prepared primarily by ICE Clear Europe. The Commission is publishing 
this notice to solicit comment on Partial Amendment No. 1 from 
interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Self-Regulatory Organizations; ICE Clear Europe Limited; 
Notice of Filing of Proposed Rule Change Relating to Amendments to 
the ICE Clear Europe CDS Procedures and CDS Default Management 
Policy, Securities Exchange Act Release No. 90806 (December 28, 
2020), 86 FR 169 (January 4, 2021) (SR-ICEEU-2020-018).
    \4\ 15 U.S.C. 78s(b)(1)
    \5\ 17 CFR 240.19b-4.
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I. Clearing Agency's Statement of the Terms of Partial Amendment No. 1 
to the Proposed Rule Change

    ICE Clear Europe submits this partial amendment (``Partial 
Amendment No. 1'') to its previously submitted proposed rule changes 
(the ``Initial Filing'') to modify its CDS Procedures (the ``CDS 
Procedures'' or the ``Procedures'') \6\ to update the requirements for 
a Clearing Member to be approved to be a CDS Committee-Eligible 
Clearing Member for purposes of the CDS Default Committee, as well as 
certain other updates and clarifications, and to modify its CDS Default 
Management Policy (the ``CDS Default Management Policy'' or ``Policy'') 
to make corresponding updates to the requirements for a Clearing Member 
to be eligible to serve on the CDS Default Committee, as well as to 
provide more detail with respect to review and testing of its default 
procedures, remove appendices and make certain other updates and 
clarifications to be consistent with other ICE Clear Europe policies. 
Partial Amendment No. 1 is intended to amend Item 3(a) of the Initial 
Filing to add an explanation as to the circumstances pursuant to which 
ICE Clear Europe may permit a CDS Committee-Eligible Clearing Member to 
postpone participation in the CDS Default Committee for a Relevant CDS 
Default Committee Period for which it is otherwise due to take part. 
The text of the proposed rule changes in the Initial Filing is 
unchanged.
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    \6\ Capitalized terms used but not defined herein have the 
meanings specified in the ICE Clear Europe Clearing Rules and the 
CDS Procedures.
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    As described in the Initial Filing, amendments to paragraph 5.3 of 
the CDS Procedures would add that if a CDS Committee-Eligible Clearing 
Member considers that it is unable to take part in the CDS Default 
Committee for the Relevant CDS Default Committee Period for which it is 
due to take part, it may request to postpone its participation for that 
period. ICE Clear Europe could, at its discretion, approve such 
request. In this Partial Amendment No. 1, ICE Clear Europe is providing 
the explanation in the paragraph below to supplement the description of 
the amendment to paragraph 5.3 of the CDS Procedures that was provided 
in the Initial Filing.
    In general, paragraph 5.3 is intended to give ICE Clear Europe a 
degree of flexibility in responding to a request for postponement from 
a Clearing Member, in light of the difficulty in outlining in advance 
all potential scenarios where it may be appropriate. In ICE Clear 
Europe's view, based on its experience and discussions with Clearing 
Members about service on the committee, an acceptable excuse would most 
likely relate to temporary resource constraints at the Clearing Member. 
For example, if the committee member were already serving on the 
default committee of another clearing house during the relevant period 
or if a committee member otherwise had limited staffing resources to 
commit to the committee during that period, this may be considered 
satisfactory. ICE Clear Europe would expect to discuss the particular 
situation with the Clearing Member in question and would respond to any 
request for postponement to let the Clearing Member know whether its 
rationale was satisfactory. ICE Clear Europe believes this type of 
flexible approach is ultimately more favorable to both the Clearing 
House and Clearing Members than having a more rigid rule.
    The purpose of the rule change as set out in Item 3(a) of the 
Initial Filing is otherwise unchanged.

II. 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 self-regulatory organization consents, the Commission will:

[[Page 2473]]

    (A) By order approve or disapprove the proposed rule change or
    (B) institute proceedings to determine whether the proposed rule 
change should be disapproved.

III. 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

    <bullet> Use the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml) or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#ed9f988188c08e8280808883999ead9e888ec38a829b"><span class="__cf_email__" data-cfemail="94e6e1f8f1b9f7fbf9f9f1fae0e7d4e7f1f7baf3fbe2">[email protected]</span></a>. Please include 
File Number SR-ICEEU-2020-018 on the subject line.

Paper Comments

    <bullet> 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-ICEEU-2020-018. 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 such filings will also be available for inspection 
and copying at the principal office of ICE Clear Europe and on ICE 
Clear Europe's website https://www.theice.com/clear-europe/regulation.
    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-ICEEU-2020-018 and should be 
submitted on or before February 2, 2021.
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    \7\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\7\
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-00350 Filed 1-11-21; 8:45 am]
BILLING CODE 8011-01-P


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