Federal Register / Vol. 88, No. 177 / Thursday, September 14, 2023 / Notices 63169 

23 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)(4). 

5Capitalized terms not defined herein are defined 

in the Rules, By-Laws and Organization Certificate 

of DTC (the ‘‘Rules’’), available at www.dtcc.com/ 

-/media/Files/Downloads/legal/rules/dtc_rules.pdf, 

or in the Recovery & Wind-down Plan of DTC (the 

‘‘Recovery & Wind-down Plan,’’ ‘‘R&W Plan’’ or 

‘‘Plan’’). 

6See Securities Exchange Act Release Nos. 83972 

(Aug. 28, 2018), 83 FR 44964 (Sep. 4, 2018) (SR– 

DTC–2017–021); and 83953 (Aug. 27, 2018), 83 FR 

44381 (Aug. 30, 2018) (SR–DTC–2017–803). 

7 17 CFR 240.17Ad–22(e)(3)(ii). DTC is a ‘‘covered 

clearing agency’’ as defined in Rule 17Ad–22(a)(5) 

under the Act and must comply with paragraph (e) 

of Rule 17Ad–22. 

8See Securities Exchange Act Release No. 91429 

No. (Mar. 29, 2021), 86 FR 17421 (Apr. 2, 2021) 

(SR–DTC–2021–004). 9The Canadian-Link Service provides 

Participants with a single depository interface for 

CAD transactions. The link facilitates Participants’ 

ability to maintain U.S. and Canadian Security 

positions in their DTC accounts for Securities listed 

in both Canada and the United States (i.e., dually 

listed). In recent years, activity at DTC in CAD has 

accounted for less than 0.20 percent of DTC’s 

average daily valued settlement volume. While 

Participants continue to use the Canadian-Link 

Service for custody purposes to position securities 

inventory at CDS Clearing and Depository Services 

Inc., (‘‘CDS’’) through DTC’s CDS account and 

receive related distribution payments, no 

Participants have effectuated a DVP of Securities 

through the Canadian-Link Service since 2018. For 

DTC to continue to maintain access to CDS’s CAD 

settlement services, it would have been necessary 

for DTC to perform systems development in order 

to be able to continue to use this aspect of the 

Canadian-Link service. In DTC’s judgement, it 

would be impractical for DTC to incur the costs to 

undertake such changes, including incurring 

development costs, due to the lack of demand by 

its Participants to use the valued aspect of the 

Canadian Link Service. See Securities Exchange Act 

Release No. 34–91429 (Mar. 29, 2021), 86 FR 17421 

(Apr. 2, 2021) (SR–DTC–2021–004). 

10 DTCC operates on a shared service model with 

respect to DTC and its other affiliated clearing 

Continued 

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–NYSEAMER–2023–43 and should 

be submitted on or before October 5, 

2023. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.23

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–19842 Filed 9–13–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–98330; File No. SR–DTC– 

2023–008] 

Self-Regulatory Organizations; The 

Depository Trust Company; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Amend the 

Recovery and Wind-Down Plan 

September 8, 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 

September 1, 2023, 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 Rule 

19b–4(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 consists of 

amendments to the Recovery and Winddown Plan to reflect business and 

product developments that have taken 

place since the time it was last 

amended, and make certain changes to 

improve the clarity of the Plan and 

make other updates and technical 

revisions, as described in greater detail 

below.5

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 

Executive Summary 

The R&W Plan was adopted in August 

2018 6 and is maintained by DTC for 

compliance with Rule 17Ad–22(e)(3)(ii) 

under the Act.7 Rule 17Ad–22(e)(3)(ii) 

requires registered clearing agencies to, 

in short, establish, implement and 

maintain plans for the recovery and 

orderly wind-down of the covered 

clearing agency necessitated by credit 

losses, liquidity shortfalls, losses from 

general business risk, or any other 

losses. The Plan is intended to be used 

by the Board and DTC management in 

the event DTC encounters scenarios that 

could potentially prevent it from being 

able to provide its critical services to the 

marketplace as a going concern. 

The R&W Plan is comprised of two 

primary sections: (i) the ‘‘Recovery 

Plan,’’ which sets out the tools and 

strategies to enable DTC to recover, in 

the event it experiences losses that 

exceed its prefunded resources, and (ii) 

the ‘‘Wind-down Plan,’’ which describes 

the tools and strategies to be used to 

conduct an orderly wind-down of DTC’s 

business in a manner designed to permit 

the continuation of DTC’s critical 

services in the event that its recovery 

efforts are not successful. 

The purpose of the rule proposal is to 

amend the R&W Plan to reflect business 

and product developments that have 

taken place since the time it was last 

amended,8 and make certain changes to 

improve the clarity of the Plan and 

make other updates and technical 

revisions. Some of the business and 

product-related amendments included 

in the proposed rule change are as 

follows (and described in more detail 

below): 

• Changes to reflect the 

discontinuation of the Canadian dollar 

(‘‘CAD’’) settlement feature of the 

Canadian-Link Service.9

• Removal of DTC’s inbound link 

with the Peruvian central securities 

depository, based on its voluntary 

termination. 

• The addition of The Bank of New 

York Mellon as a DTC Pledgee Bank. 

DTC believes that by helping to 

ensure that the R&W Plan reflects 

current business and product 

developments, providing additional 

clarity, and making necessary 

grammatical corrections, that the 

proposed rule change will help DTC 

continue to maintain the Plan in a 

manner that supports the continuity of 

DTC’s critical services and enables 

Participants and Pledgees to maintain 

access to DTC’s services through the 

transfer of its membership in the event 

DTC defaults or the Wind-down Plan is 

ever triggered by the Board. 

Background 

The R&W Plan is managed by the 

Office of Recovery & Resolution 

Planning (referred to in the Plan as the 

‘‘R&R Team’’) of DTC’s parent company, 

the Depository Trust & Clearing 

Corporation (‘‘DTCC’’),10 on behalf of 


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agencies, National Securities Clearing Corporation 

(‘‘NSCC’’) and Fixed Income Clearing Corporation 

(‘‘FICC’’). Most corporate functions are established 

and managed on an enterprise-wide basis pursuant 

to intercompany agreements under which it is 

generally DTCC that provides relevant services to 

DTC, NSCC and FICC (collectively, the ‘‘Clearing 

Agencies’’). 

11Supra note 6. 

12Supra note 8. 

13For purposes of consistency, under the 

proposed rule change all references to ‘‘FMI Links’’ 

would be revised to refer to these as ‘‘Clearing 

Agency Links.’’ 

14As defined in Rule 17Ad–22(a)(8) under the 

Act, a link ‘‘means, for purposes of paragraph 

(e)(20) of Rule 17Ad–22, a set of contractual and 

operational arrangements between two or more 

clearing agencies, financial market utilities, or 

trading markets that connect them directly or 

indirectly for the purposes of participating in 

settlement, cross margining, expanding their 

services to additional instruments or participants, 

or for any other purposes material to their 

business.’’ 17 CFR 240.17Ad–22(a)(8). 

15 DTC has identified certain critical external 

service providers that, as determined by DTC’s 

management, do not meet the specified criteria of 

‘‘link’’ but nevertheless are subject to the same 

review process as is conducted for links, referred 

to within DTC as ‘‘Schedule A Relationships.’’ 

16See DTC Important Notice issued to 

Participants on May 26, 2021 www.dtcc.com/-/ 

media/Files/pdf/2021/5/26/15230-21.pdf. 

17Supra note 9. 

18See Securities Exchange Act Release No. 34– 

93442 (Oct. 28, 2021), 86 FR 60721 (Nov. 3, 2021) 

(SR–DTC–2021–015). 

19 DTC maintains an interface with NSCC for the 

book-entry movement of securities to settle NSCC 

Continuous Net Settlement (‘‘CNS’’) transactions. 

As part of the interface, DTC and NSCC have 

established certain limited cross-guarantees and 

arrangements to permit transactions to flow 

smoothly between DTC and NSCC in a 

collateralized environment. 

20The Securities Financing Transaction (SFT) 

Clearing service is a National Securities Clearing 

Corporation (NSCC) product offering central 

clearing and settlement services for overnight 

borrows and loans of equity securities (collectively 

‘‘SFTs’’). The SFT Clearing service: (i) supports 

central clearing of equity SFTs intermediated by 

Sponsoring Members or Agent Clearing Members, 

(ii) supports central clearing of equity SFTs 

between NSCC full-service members, and (iii) 

maximizes capital efficiency and mitigates systemic 

risk by introducing more membership and cleared 

transaction opportunities for market participants. 

NSCC novates and guarantees the off-leg/return of 

an SFT (i) when delivery of underlying SFT 

security completes at DTC, (ii) at the point of 

validation in the case of a bilaterally settled SFT or 

an SFT with a Sponsored Member client or (iii) 

when the daily pair-off occurs, in the case of a 

rolled SFT. See Securities Exchange Act Release 

No. 34–95011 (May 31, 2022), 87 FR 34339 (Jun. 6, 

2022) (SR–NSCC–2022–003); and Securities 

Exchange Act Release No. 34–95012 (May 31, 2022), 

87 FR 34325 (Jun. 6, 2022) (SR–DTC–2022–002). 

21A ‘‘DVP Link’’ refers to a link that is a delivery 

vs payment account. This in-bound link enables 

non-U.S. investors to buy and hold DTC eligible 

securities abroad, while custody is maintained at 

DTC in the U.S. 

DTC, with review and oversight by the 

DTCC Management Committee and the 

Board. In accordance with the SEC’s 

Approval Order covering the Plan,11 the 

Board, or such committees as may be 

delegated authority by the Board from 

time to time, is required to review and 

approve the R&W Plan biennially and 

would also review and approve any 

changes that are proposed to the R&W 

Plan outside of the biennial review. DTC 

completed its most recent biennial 

review in 2022. The proposed rule 

change reflects amendments proposed 

to the Plans resulting from that review, 

which are described in greater detail 

below. None of the proposed changes 

modify DTC’s general objectives and 

approach with respect to its recovery 

and wind-down strategy as set forth 

under the current Plan. 

Proposed Amendments 

A. Proposed Changes To Reflect 

Business or Product Developments 

DTC is proposing changes to the 

following sections of the Plan based 

upon business updates that have 

occurred since the Plan was last 

amended.12

Section 2.2 (DTC Settlement) 

currently states that DTC is the primary 

U.S. central securities depository 

(‘‘CSD’’) and Securities Settlement 

System for eligible securities and that 

Fedwire book entry securities (U.S. 

Treasuries and Federal Agencies) are 

also eligible for deposit at DTC. This 

section also includes a bullet point list 

of the primary services performed by 

DTC. The proposal would clarify that 

U.S. Treasuries and Federal Agencies 

securities are eligible for all activity at 

DTC (not deposit activity only). It would 

also clarify the fact that DTC provides 

a platform to support the book entry 

transfer of eligible security positions 

and an end-of-day net funds settlement 

relating to eligible securities transfers 

and the processing of principal and 

interest distributions. 

Section 2.4 (Intercompany 

Arrangements) describes how corporate 

support services are provided to DTC 

from DTCC and DTCC’s other 

subsidiaries, through intercompany 

agreements under a shared services 

model. This section includes a table, 

(Facilities, Table 2–B), that lists each of 

the DTCC facilities utilized by the 

Clearing Agencies and indicates 

whether the facility is owned or leased. 

DTC proposes to update this table to 

add Washington DC, London, UK, and 

McLean, Virginia as additional DTCC 

facility locations. 

Section 2.5 (FMI Links) 13 describes 

some of the key financial market 

infrastructures (‘‘FMIs’’), both domestic 

and foreign, that DTC has identified as 

critical ‘‘links.’’ 14 As set out in this 

section of the Plan, the inventory of 

DTC’s links is maintained by DTCC’s 

Systemic Risk Office (‘‘SRO’’) and the 

SRO has set forth a set of practices and 

protocols for managing and reviewing 

the various risks and controls associated 

with clearing agency links. Based on a 

change to the SRO Clearing Agency 

Links-Risk Review Procedures, the 

proposal would clarify that in addition 

to approval by the Chief Systemic Risk 

Officer, the inventory of clearing agency 

links is also subject to the approval of 

a Deputy General Counsel of the General 

Counsel’s Office. 

This section of the Plan also includes 

two tables (Table 2–C, Links and Table 

2–D: Schedule A Relationships) 15 that 

sets out a brief description of DTC’s FMI 

links and Schedule A Relationships. 

The rule proposal would make the 

following updates to Table 2–C: (i) 

remove (x) Peru CSD, Cavali 

S.A.I.C.L.V., due to its voluntary 

termination from DTC,16 and (y) 

Canadian Derivatives Clearing 

Corporation (‘‘CDCC’’) due to 

termination of their Pledgee Account, 

(ii) in entries describing DTC’s inbound 

and outbound links with CDS, remove 

the description of the Settlement Link 

Service because this service was 

discontinued and would be revised to 

state that DTC settles corporate action 

entitlements in Canadian dollars,17 (iii) 

in the entry describing DTCs inbound 

link, with Euroclear Bank SA/NV 

(‘‘EB’’), remove the reference to DTC 

Rule 34 (EB Collateral Positioning) 

because the rule and associated service 

were terminated,18 (iv) in the entry 

describing the NSCC/DTC Interface,19

add that this link is also used for 

NSCC’s Securities Financing 

Transaction (‘‘SFT’’) clearing service,20

this entry would be revised to state that 

EB (which refers to the link described in 

(iii) above) maintains an in-bound DVP 

Link with DTC,21 (v) in the entry 

describing S.D. Indeval, S.A. de C.V, the 

Mexico CSD, clarify that this link is a 

DVP account, and (v) in the entry 

describing Depo ́ sito Central de Valores, 

the Chile CSD, clarify that this link is a 

DVP account. Additionally, for purposes 

of consistency with SRO’s inventory, (i) 

Table 2–D would be updated to broaden 

the description of JPMorgan Chase 

(‘‘JPM’’) as Corporate Actions 

Concentration Bank to reflect that JPM 

collects and disburses funds for various 

types of corporate action events, 

including profit and loss amounts, and 

(ii) The Bank of New York Mellon 

(‘‘BNYM’’), in its role as a Pledgee bank 

would be added. BNYM maintains 

repurchase Pledgee and other Pledgee 

accounts at DTC in order to facilitate the 


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22As set forth in the Recovery Plan, the phases 

of the ‘‘Crisis Continuum’’ include (1) a stable 

market phase, (2) a stressed market phase, (3) a 

phase commencing with DTC’s decision to cease to 

act for a Participant or Affiliated Family of 

Participants (The Plan refers to an ‘‘Affiliated 

Family’’ of Participants as a number of affiliated 

entities that are all Participants of DTC), and (4) a 

recovery phase. 

23The ‘‘Recovery Phase’’ refers to the actions to 

be taken by DTC to restore its financial resources 

and avoid a wind-down of its business. 

24The majority of the Corridor Indicators, as 

identified in the Recovery Plan, relate directly to 

conditions that may require DTC to adjust its 

strategy for hedging and liquidating collateral 

securities, and any such changes would include an 

assessment of the status of the Corridor Indicators. 

Corridor Indicators include, for example, the 

effectiveness and speed of DTC’s efforts to liquidate 

Collateral securities, and an impediment to the 

availability of DTC’s resources to repay any 

borrowings due to any Participant Default. For each 

Corridor Indicator, the Recovery Plan identifies (1) 

measures of the indicator, (2) evaluations of the 

status of the indicator, (3) metrics for determining 

the status of the deterioration or improvement of 

the indicator, and (4) ‘‘Corridor Actions,’’ which are 

steps that may be taken to improve the status of the 

indicator, as well as management escalations 

required to authorize those steps. 

25Hedging is a risk management strategy that 

would be employed when executing the liquidation 

of a defaulting participant’s portfolio to potentially 

help reduce the risk of loss of an existing position. 

26The Retirements/Transaction Reductions 

indicator measures Participant terminations or 

curtailment of transactions that impact the financial 

viability of DTC. 

27The Embedded Risk Management group 

supports the R&R Team. For example, they may 

assist in the identification of new initiatives, 

processes, or product developments that may 

impact DTC’s R&W Plan. 

28 15 U.S.C. 78q–1(b)(3)(F). 

29 17 CFR 240.17Ad–22(e)(3)(ii). 

30 Id. 

free payment of pledges of collateral by 

Participants that elect to do so. 

Section 5 (Participant Default Losses 

through the Crisis Continuum) of the 

Plan is comprised of multiple 

subsections that identify the risk 

management surveillance, tools, and 

governance that DTC may employ across 

an increasing stress environment, 

referred to as the ‘‘Crisis Continuum.’’ 22

This section identifies, among other 

things, the tools that can be employed 

by DTC to mitigate losses, and mitigate 

or minimize liquidity needs, as the 

market environment becomes 

increasingly stressed. One of those 

subsections, Section 5.2.4 (Recovery 

Corridor and Recovery Phase), outlines 

the early warning indicators to be used 

by DTC to measure the potential need to 

enter the ‘‘Recovery Phase’’ of the 

Plan.23 Included in this section are 

descriptions of potential stress events 

that could lead to recovery, and several 

early warning indicators and metrics 

that DTC has established. These 

indicators, which are referred to in the 

Recovery Plan as recovery corridor 

indicators (‘‘Corridor Indicators’’),24 are 

listed in an associated table (Table 5–A, 

Corridor Indicators). The table provides 

a brief description of each Corridor 

Indicator, along with columns reflecting 

how the indicator is measured, 

evaluated, how its status (i.e., 

deteriorating or improving) is 

determined, and the escalation process 

if triggered. The proposed rule change 

would update this table to add to the 

‘‘hedging’’ 25 indicator entry that it is the 

Financial Risk Management group 

(‘‘FRM’’) that is responsible for 

measuring hedging status with input 

from DTC’s investment advisor. Also, 

the entry covering Retirements/ 

Transaction Reductions indicator 26

would be corrected to state that its 

status is measured by the Client 

Account Services and Global Business 

Operations team, and not FRM and the 

general manager of DTC. 

B. Other Updates, Clarifications and 

Technical Revisions 

DTC is also proposing to make other 

updates and technical revisions to the 

Plan. These technical revisions would, 

for example, make grammatical 

corrections, update the names of certain 

DTC internal groups, and clarify the 

description of internal organizations, 

without changing the substantive 

statements being revised. 

For example, in Section 2.4, Table 2– 

A (SIFMU Legal Entity Structure and 

Intercompany Agreements), for 

purposes of clarifying the full scope of 

DTC’s services. the description of DTC’s 

services would be revised from 

‘‘Underwriting, Securities Processing, 

Corporate Actions,’’ to ‘‘Asset Services.’’ 

Some other examples include: (i) a 

revision would be made throughout the 

Plan to reflect an internal name change 

from DTCC’s ‘‘Operational Risk 

Management’’ to ‘‘Operational Risk,’’ 

and add a new internal organization, 

‘‘Embedded Risk Management,’’ 27 (ii) 

all references to ‘‘FMI Links’’ would be 

revised to refer to these as ‘‘Clearing 

Agency Links,’’ and (iii) in the section 

covering DTCC facilities the name of the 

DTCC legal entity that is the holder of 

the lease for the Manila location would 

be changed from ‘‘DTCC’’ to ‘‘DTCC 

Manila.’’ 

DTC believes the proposed updates 

and technical revisions would improve 

the clarity and accuracy of the Plan and, 

therefore, would help facilitate the 

execution of Plan, if necessary. 

2. Statutory Basis 

DTC believes that the proposal is 

consistent with the requirements of the 

Act and the rules and regulations 

thereunder applicable to a registered 

clearing agency. In particular, DTC 

believes that the amendments to the 

R&W Plan are consistent with section 

17A(b)(3)(F) of the Act 28 and Rule 

17Ad–22(e)(3)(ii) under the Act,29 for 

the reasons described below. 

Section 17A(b)(3)(F) of the Act 

requires, in part, that the rules of DTC 

be designed to promote the prompt and 

accurate clearance and settlement of 

securities transactions. As described 

above, the proposed rule change would 

update the R&W Plan to reflect business 

and product developments and make 

certain technical corrections. By helping 

to ensure that the R&W Plan reflects 

current business and product 

developments, and providing additional 

clarity, DTC believes that the proposed 

rule change would help it continue to 

maintain the Plan in a manner that 

supports the continuity of DTC’s critical 

services and enables its Participants and 

Pledgees to maintain access to DTC’s 

services through the transfer of its 

membership in the event DTC defaults 

or the Wind-down Plan is ever triggered 

by the Board. Further, by facilitating the 

continuity of its critical clearance and 

settlement services, DTC believes the 

Plan and the proposed rule change 

would continue to promote the prompt 

and accurate clearance and settlement of 

securities transactions. Therefore, DTC 

believes the proposed amendments to 

the R&W Plan are consistent with the 

requirements of section 17A(b)(3)(F) of 

the Act. 

Rule 17Ad–22(e)(3)(ii) under the Act 

requires DTC to establish, implement, 

maintain and enforce written policies 

and procedures reasonably designed to 

maintain a sound risk management 

framework for comprehensively 

managing legal, credit, liquidity, 

operational, general business, 

investment, custody, and other risks 

that arise in or are borne by the covered 

clearing agency, which includes plans 

for the recovery and orderly wind-down 

of the covered clearing agency 

necessitated by credit losses, liquidity 

shortfalls, losses from general business 

risk, or any other losses.30

Specifically, the Recovery Plan 

defines the risk management activities, 

stress conditions and indicators, and 

tools that DTC may use to address stress 

scenarios that could eventually prevent 

it from being able to provide its critical 

services as a going concern. Through the 

framework of the Crisis Continuum, the 

Recovery Plan addresses measures that 

DTC may take to address risks of credit 

losses and liquidity shortfalls, and other 

losses that could arise from a Participant 

default. The Recovery Plan also 


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31 Id. 

32 15 U.S.C. 78s(b)(3)(A). 

33 17 CFR 240.19b–4(f). 34 17 CFR 200.30–3(a)(12). 

addresses the management of general 

business risks and other non-default 

risks that could lead to losses. The 

Wind-down Plan would be triggered by 

a determination by the Board that 

recovery efforts have not been, or are 

unlikely to be, successful in returning 

DTC to viability as a going concern. 

Once triggered, the Wind-down Plan 

sets forth clear mechanisms for the 

transfer of DTC’s membership and 

business and is designed to facilitate 

continued access to DTC’s critical 

services and to minimize market impact 

of the transfer. By establishing the 

framework and strategy for the 

execution of the transfer and winddown of DTC in order to facilitate 

continuous access to its critical services, 

the Wind-down Plan establishes a plan 

for the orderly wind-down of DTC. 

As described above, the proposed rule 

change would update the R&W Plan to 

reflect business and product 

developments and make certain 

technical corrections. By ensuring that 

material provisions of the Plan are 

current, clear, and technically correct, 

DTC believes that the proposed 

amendments are designed to support the 

maintenance of the Plan for the recovery 

and orderly wind-down of the covered 

clearing agency necessitated by credit 

losses, liquidity shortfalls, losses from 

general business risk, or any other 

losses, and, as such, meets the 

requirements of Rule 17Ad–22(e)(3)(ii) 

under the Act.31 Therefore, the 

proposed changes would help DTC to 

maintain the Plan in a way that 

continues to be consistent with the 

requirements of Rule 17Ad–22(e)(3)(ii). 

(B) Clearing Agency’s Statement on 

Burden on Competition 

DTC does not believe that the 

proposed rule change would have any 

impact, or impose any burden, on 

competition. DTC does not anticipate 

that the proposal would affect its dayto-day operations under normal 

circumstances, or in the management of 

a typical Participant default scenario or 

non-default event. The R&W Plan was 

developed and documented in order to 

satisfy applicable regulatory 

requirements, as discussed above. The 

proposal is intended to enhance and 

update the Plan to ensure it is clear and 

remains current in the event it is ever 

necessary to be implemented. The 

proposed revisions would not affect any 

changes to the overall structure or 

operation of the Plan or DTC’s recovery 

and wind-down strategy as set forth 

under the current Plan. As such, DTC 

believes the proposal would not have 

any impact, or impose any burden, on 

competition. 

(C) Clearing Agency’s Statement on 

Comments on the Proposed Rule 

Change Received From Members, 

Participants, or Others 

DTC has not received or solicited any 

written comments relating to this 

proposal. If any written comments are 

received, DTC will amend this filing to 

publicly file such comments as an 

Exhibit 2 to this filing, as required by 

Form 19b–4 and the General 

Instructions thereto. 

Persons submitting written comments 

are cautioned that, according to Section 

IV (Solicitation of Comments) of the 

Exhibit 1A in the General Instructions to 

Form 19b–4, the Commission does not 

edit personal identifying information 

from comment submissions. 

Commenters should submit only 

information that they wish to make 

available publicly, including their 

name, email address, and any other 

identifying information. 

All prospective commenters should 

follow the Commission’s instructions on 

How to Submit Comments, available at 

www.sec.gov/regulatory-actions/how-tosubmit-comments. General questions 

regarding the rule filing process or 

logistical questions regarding this filing 

should be directed to the Main Office of 

the Commission’s Division of Trading 

and Markets at tradingandmarkets@

sec.gov or 202–551–5777. 

DTC reserves the right to not respond 

to any comments received. 

III. Date of Effectiveness of the 

Proposed Rule Change, and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to section 

19(b)(3)(A) 32 of the Act and paragraph 

(f) 33 of Rule 19b–4 thereunder. At any 

time within 60 days of the filing of the 

proposed rule change, the Commission 

summarily may temporarily suspend 

such rule change if it appears to the 

Commission that such action is 

necessary or appropriate in the public 

interest, for the protection of investors, 

or otherwise in furtherance of the 

purposes of the Act. 

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 (https://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include file number SR– 

DTC–2023–008 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 

Commission, 100 F Street NE, 

Washington, DC 20549. 

All submissions should refer to file 

number SR–DTC–2023–008. 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 (https://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 DTC 

and on DTCC’s website (http://

dtcc.com/legal/sec-rule-filings.aspx). 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–DTC–2023–008 and 

should be submitted on or before 

October 5, 2023. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.34

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–19841 Filed 9–13–23; 8:45 am] 

BILLING CODE 8011–01–P 


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