Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices 60005 

14 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)(iii). 

4 17 CFR 240.19b–4(f)(6). 5See Rule 5.7.03. 

6See Securities Exchange Act Release No. 34– 

92116 (June 7, 2021), 86 FR 31361 (June 11, 2021) 

(SR–CBOE–2021–036), which implemented the 16 

leg per order requirement in current Rule 5.7(f)(4). 7See Securities Exchange Act Release No. 74169 

(January 29, 2015), 80 FR 6145 (February 4, 2015) 

(SR–CBOE–2015–011), which implemented the 

previous 12 leg per order requirement. 8Each Floor Broker TPH has a Silexx workstation, 

which can be used to systematize orders. Therefore, 

each Floor Broker TPH will be able to immediately 

comply with the proposed rule change. The Silexx 

platform consists of a ‘‘front-end’’ order entry and 

management trading platform (also referred to as 

the ‘‘Silexx terminal’’) for listed stocks and options 

that supports both simple and complex orders, and 

a ‘‘back-end’’ platform which provides a connection 

to the infrastructure network. From the Silexx 

platform (i.e., the collective front-end and back-end 

platform), a Silexx user has the capability to, among 

other things, send option orders to U.S. options 

exchanges and send stock orders to U.S. stock 

exchanges (and other trading centers). The Silexx 

platform is designed so that a user may enter orders 

into the platform to send to an executing broker 

(including TPHs) of its choice with connectivity to 

the platform, which broker will then send the 

orders to Cboe Options (if the broker is a TPH) or 

other U.S. exchanges (and trading centers) in 

accordance with the user’s instructions. 

9See proposed Rule 5.7(f)(4). 

publication submitted material that is 

obscene or subject to copyright 

protection. All submissions should refer 

to File Number SR–ICEEU–2023–011 

and should be submitted on or before 

September 20, 2023. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–18676 Filed 8–29–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–98216; File No. SR–CBOE– 

2023–041] 

Self-Regulatory Organizations; Cboe 

Exchange, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend Its Rules in 

Connection With the Number of Legs 

of a Complex Order That May Be 

Entered on a Single Order Ticket at the 

Time of Systemization 

August 24, 2023. 

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 August 

17, 2023, 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 and II below, which Items have 

been prepared by the Exchange. The 

Exchange filed the proposal pursuant to 

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

Rule 19b–4(f)(6) thereunder.4 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 

its Rules in connection with the number 

of legs of a complex order that may be 

entered on a single order ticket at the 

time of systemization. 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/

CBOELegalRegulatoryHome.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 its 

Rules in connection with the number of 

legs of a complex order that may be 

entered on a single order ticket at the 

time of systemization, for certain 

complex order types. 

Specifically, Rule 5.7(f) currently 

provides that each order, cancellation 

of, or change to an order transmitted to 

the Exchange must be ‘‘systematized’’ in 

a format approved by the Exchange, 

either before it is sent to the Exchange 

or upon receipt on the Exchange’s 

trading floor. An order is systematized 

if (1) the order is sent electronically to 

the Exchange or (2) the order that is sent 

to the Exchange non-electronically (e.g., 

telephone orders) is input electronically 

into the Exchange’s systems 

contemporaneously upon receipt on the 

Exchange, and prior to representation of 

the order. Any proprietary system 

approved by the Exchange on the 

Exchange’s trading floor that receives 

orders is considered an Exchange 

system for purposes of this Rule.5

Regarding the systemization of complex 

orders, Rule 5.7(f)(4) particularly 

provides that complex orders of 16 legs 

or less (one leg of which may be for an 

underlying security or security future, 

as applicable) must be entered on a 

single order ticket at time of 

systemization. If permitted by the 

Exchange, complex orders of more than 

16 legs (one leg of which may be for an 

underlying security or security future, 

as applicable) may be split across 

multiple order tickets, if the Trading 

Permit Holder representing the complex 

order uses the fewest order tickets 

necessary to systematize the order and 

identifies for the Exchange the order 

tickets that are part of the same complex 

order (in a form and manner prescribed 

by the Exchange). 

The Exchange notes that it adopted 

the 16-leg maximum per order ticket in 

2021 as a result of Exchange system 

limitations.6 At that time, the Exchange 

could only support the processing of up 

to 16 legs on a single order ticket for 

representation and execution in open 

outcry as a complex order. Prior to that, 

in 2015, the Exchange had adopted a 12- 

leg maximum per order ticket.7 The 

Exchange understands from Trading 

Permit Holders (‘‘TPHs’’) that some 

orders they receive do have more than 

16 legs, and many order entry and 

execution systems Floor Broker TPHs 

use on the trading floor, including 

Silexx,8 can support up to 100 legs. If 

a Floor Broker TPH receives a complex 

order for more than 16 legs for 

execution on the trading floor, it 

currently must break up the order into 

multiple tickets in accordance with Rule 

5.7(f)(4). The Exchange has enhanced its 

System to be able to support a greater 

number of legs per order ticket on the 

trading floor. As such, the Exchange 

proposes to amend Rule 5.7(f)(4) to 

increase the 16 leg maximum per single 

order ticket to a maximum of 100 legs 

per single order ticket at time of 

systemization, except for those complex 

orders designated as Electronic Only, 

which will continue to be subject to the 

current 16 leg limitation.9

Pursuant to proposed Rule 5.7(f)(4), 

complex orders of 100 legs or less (one 


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60006 Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices 

10To the extent a TPH wants to represent and 

execute a complex order (including SPX Combo 

Orders) in open outcry, the order must be entered 

(i.e. systematized) on a single order ticket and 

cannot, as proposed, exceed 100 legs or, if for more 

than 100 legs, entered on fewest order tickets 

necessary (linked in a form and manner prescribed 

by the Exchange). As similarly noted in the 2021 

filing that implemented the 16 leg per order 

requirement currently reflected in Rule 5.7(f)(4), 

TPHs will not be required to make changes to their 

own or third-party vendor’s order entry and 

execution systems. The Exchange is aware that each 

Floor Broker TPH currently has a Silexx terminal, 

which supports up to 100 legs on a single order 

ticket for purposes of systemization. The Exchange 

notes that Floor Broker TPHs may voluntarily 

choose to use other order entry and execution 

systems for systematization, some of which the 

Exchange understands already support 

systemization of up to 100 legs on a single order 

ticket. If the TPH intends to represent and execute 

complex orders with more than 16 legs (i.e., 

complex orders with 17 to 100 legs) on another 

order entry and execution system that cannot 

presently support up to 100 legs, then the TPH will 

need to enhance its existing system or utilize 

another order entry and execution system that 

supports the open outcry processing of such orders 

on a single order ticket. See also supra note 6. 

However, because all Floor Broker TPHs currently 

have Silexx terminals (in addition to potentially 

third-party terminals) on which they can 

systematize orders they receive via phone, IM or a 

system that supports fewer legs, all Floor Broker 

TPHs have immediate access to an order entry and 

execution system on the trading floor to systematize 

up to 100 legs on a single ticket for representation 

on the trading floor in compliance with the 

proposed rule change, making significant advanced 

notice of the proposed rule change unnecessary. 11The Exchange proposes to make a 

corresponding change to paragraph (3) under the 

definition of SPX Combo Order in Rule 5.6(c), 

which currently reflects the same 16 leg maximum 

per single order ticket at time of systemization, to 

increase the permissible number of legs on the same 

order ticket to 100. An ‘‘SPX Combo Order’’ is an 

order to purchase or sell one or more SPX option 

series and the offsetting number of SPX 

combinations defined by the delta. See Rule 5.6(c). 

12See supra note 8. 

13 15 U.S.C. 78f(b). 

14 15 U.S.C. 78f(b)(5). 

15 Id. 

16As set forth in Rule 5.33(g), the Exchange’s 

System may only electronically execute complex 

orders with up to 16 legs, and firms interested in 

electronic processing of their orders are not 

impacted by this change. 

17See also supra note 9. [sic] 

leg of which may be for an underlying 

security or security future, as 

applicable), except for those complex 

orders designated as Electronic Only, 

must be entered on a single order ticket 

at time of systemization and orders of 

more than 100 legs may be split across 

multiple order tickets.10 The TPH 

representing the complex order must 

continue to use the fewest order tickets 

necessary to systematize the order and 

to identify for the Exchange the order 

tickets that are part of the same complex 

order.11

Due to Exchange system limitations 

that may prevent a complex order with 

more than a certain number of legs from 

being entered on a single order ticket for 

representation and execution in open 

outcry, inefficiencies exist in the 

processing and tracking of such orders, 

as they currently must be entered on 

multiple tickets. The single order ticket 

leg increase to 100 legs for floor orders 

is intended to provide consistency in 

processing and enhance the Exchange’s 

audit trail by reducing the number of 

tickets required for larger complex 

orders. Notwithstanding the necessity of 

order ticket leg maximums given 

Exchange system limitations, the 

Exchange notes that splitting an order 

across multiple order tickets takes 

additional time, can leave room for 

error, and requires additional TPH and 

Exchange regulatory surveillance 

administrative resources, as a TPH must 

identify for the Exchange the order 

tickets that are part of the same complex 

order (in a form and manner prescribed 

by the Exchange). The Exchange notes 

that complex orders with more than 16 

legs may be sent to Floor Brokers on the 

Exchange’s trading floor nonelectronically (e.g., via telephone or 

instant message) or electronically 

through order entry and routing systems 

that may support fewer than 16 legs 

(some as few as 4 legs) on a single order 

ticket. As the proposed rule change only 

applies to the systemization of orders 

prior to representation of the order on 

the trading floor, the Floor Broker 

(which is a TPH) will be required to 

enter these multi-legged orders on a 

single order ticket. As noted above, each 

Floor Broker TPH has a Silexx 

workstation, which already supports up 

to 100 legs on a single ticket, thus 

permitting each Floor Broker TPH to 

immediately comply with the proposed 

rule change.12 Therefore, only 

alternative systems Floor Brokers may 

use on the Exchange’s trading floor for 

systemization would need to be updated 

to allow for the input of orders with up 

to 100 legs on a single order ticket (if 

they are not already capable of allowing 

up to 100 legs on a single order ticket). 

The proposed rule change is designed to 

reduce the number of complex orders 

that TPHs need to break up into 

multiple order tickets, and ultimately 

allows TPHs to more effectively and 

efficiently systematize complex orders 

for execution in open outcry, and 

improves regulatory surveillance and 

tracking of such orders. Complex orders 

that are submitted for electronic 

processing will continue to be subject to 

the current 16 legs requirement. 

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.13 Specifically, 

the Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5) 14 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) 15 requirement that 

the rules of an exchange not be designed 

to permit unfair discrimination between 

customers, issuers, brokers, or dealers. 

In particular, the Exchange believes 

the proposed rule change will allow 

TPHs to submit order tickets for their 

open outcry complex orders (including 

SPX Combo Orders) in a manner that is 

more compatible with the processing 

capacity that the Exchange and available 

order entry systems are able to support, 

thus reducing the number of complex 

orders that need to be broken up into 

multiple order tickets. By allowing 

TPHs to more effectively and efficiently 

systematize complex orders with a large 

amount of legs for execution in open 

outcry within the processing capacity 

limits of the order entry systems they 

use, the Exchange believes the proposed 

rule change removes impediments to 

and perfects the mechanism of a free 

and open market and national market 

system. The Exchange notes that the 

proposed rule change does not impact 

the current manner in which TPHs may 

represent a complex order in open 

outcry, nor does it impact the 

permissible ratios of complex orders. 

Further, those complex orders 

designated as Electronic Only will 

continue to be subject to the current 16 

legs requirement.16 The proposed rule 

change merely increases the leg limit 

per single order ticket for non-Electronic 

Only complex orders, which may 

increase trading efficiencies for TPHs by 

allowing TPHs to reduce the number of 

order tickets submitted for their larger 

complex orders,17 while continuing to 

provide consistency in processing and 

further enhancing the Exchange’s audit 

trail (as fewer orders will require 

multiple tickets). This, in turn, serves to 


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Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices 60007 

18 15 U.S.C. 78s(b)(3)(A). 

19 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6) requires a self-regulatory organization to give 

the Commission written notice of its intent to file 

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. 20 17 CFR 200.30–3(a)(12). 

protect investors by promoting 

transparency, assisting in surveillance, 

and providing the Exchange the ability 

to better enforce compliance by its TPHs 

with the Act and the Exchange Rules. 

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 a maximum number of legs per 

single order ticket will continue to 

apply equally to all market participants 

that systematize complex orders 

(including SPX Combo Orders) for 

execution in open outcry. 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 

proposed rule change is not competitive 

in nature nor does it relate to trading on 

the Exchange. Rather, it relates solely to 

the manner in which market 

participants systematize complex orders 

for trading on the Exchange’s trading 

floor. 

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 

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) of the Act 18 and Rule 19b– 

4(f)(6) thereunder.19 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. 

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–2023–041 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–2023–041. 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 

a.m. and 3 p.m. Copies of the filing also 

will be available for inspection and 

copying at the principal office of the 

Exchange. Do not include personal 

identifiable information in submissions; 

you should submit only information 

that you wish to make available 

publicly. We may redact in part or 

withhold entirely from publication 

submitted material that is obscene or 

subject to copyright protection. All 

submissions should refer to file number 

SR–CBOE–2023–041 and should be 

submitted on or before September 20, 

2023. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.20

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–18675 Filed 8–29–23; 8:45 am] 

BILLING CODE 8011–01–P 

SMALL BUSINESS ADMINISTRATION 

National Women’s Business Council; 

Notice of Public Meeting 

AGENCY: Small Business Administration, 

National Women’s Business Council 

(NWBC). 

ACTION: Notice of open public meeting. 

DATES: The public meeting will be held 

on Wednesday, September 13, 2023, 

from 1:30 p.m. to 3:30 p.m. EDT. 

ADDRESSES: This meeting is in-person. 

For those attending in-person, the event 

location will be shared on the 

Eventbrite. 

FOR FURTHER INFORMATION CONTACT: For 

more information, please visit the 

NWBC website at www.nwbc.gov, email 

info@nwbc.gov or call Jordan Chapman 

(NWBC Communications Specialist) at 

(202) 941–6001. 

The meeting is open to the public; 

however, advance notice of attendance 

is requested. To RSVP, please visit the 

NWBC website at www.nwbc.gov. The 

‘‘Public Meetings’’ section under 

‘‘Events’’ will feature a link to register 

on Eventbrite. 

SUPPLEMENTARY INFORMATION: Pursuant 

to section 10(a)(2) of the Federal 

Advisory Committee Act, NWBC 

announces its final public meeting of 

Fiscal Year 2023. The 1988 Women’s 

Business Ownership Act established 

NWBC to serve as an independent 

source of advice and policy 

recommendations to the President, 

Congress, and the Administrator of the 

U.S. Small Business Administration 

(SBA) on issues of importance to 

women entrepreneurs. This meeting 

will allow the Council to recap its 

activity and engagement over the course 

of Fiscal Year 2023. Each of the 

Council’s three subcommittees (Access 

to Capital & Opportunity, Women in 

STEM, and Inclusive Entrepreneurial 

Ecosystems) will present their policy 

recommendations to the full body for 


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