74214 Federal Register / Vol. 88, No. 208 / Monday, October 30, 2023 / Notices 

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

2 17 CFR 240.19b–4. 

3Amendment No. 1 amends the Exhibit 5A and 

Exhibit 5B to correctly reflect the addition of the 

Document Handling subsection to each document’s 

Table of Contents. The proposed rule change 

includes an Exhibit 4A and Exhibit 4B. Exhibit 4A 

shows the change that Amendment No. 1 makes to 

Exhibit 5A, and Exhibit 4B does the same with 

respect to Exhibit 5B. 

4Securities Exchange Act Release No. 98207 

(August 23, 2023), 88 FR 59547 (August 29, 2023) 

(File No. SR–ICEEU–2023–022) (‘‘Notice’’). 

5Capitalized terms not otherwise defined herein 

have the meanings assigned to them in the Policy 

or the Procedures or, if not defined therein, ICE 

Clear Europe’s Clearing Rules. 

6The Clearing Membership Agreement is an 

agreement between ICEEU and a Clearing Member 

under which the Clearing House agrees to provide 

clearing in respect of Contracts to that Clearing 

Member and that Clearing Member agrees to be 

bound by and subject to ICEEU’s Clearing Rules. 

ICE Clear Europe Clearing Rule 101. 

7Clearing Membership Policy 2.1. 

8Securities Exchange Act Release No. 93178 

(Sept. 29, 2021), 86 FR 55045, 55046 (Oct. 5, 2021) 

(File No. SR–ICEEU–2021–014). 

9 In addition to the changes described below, 

ICEEU proposes various non-substantive changes to 

the Policy and Procedures. 

SUMMARY OF APPLICATION: Applicants 

request an order to permit certain 

registered closed-end investment 

companies to issue multiple classes of 

shares and to impose asset-based 

distribution and/or service fees and 

early withdrawal charges. 

APPLICANTS: Eaton Vance Floating-Rate 

Opportunities Fund and Eaton Vance 

Management. 

FILING DATES: The application was filed 

on March 15, 2023, and amended on 

April 11, 2023 and August 18, 2023. 

HEARING OR NOTIFICATION OF HEARING: An 

order granting the requested relief will 

be issued unless the Commission orders 

a hearing. Interested persons may 

request a hearing on any application by 

emailing the SEC’s Secretary at 

Secretarys-Office@sec.gov and serving 

the Applicants with a copy of the 

request by email, if an email address is 

listed for the relevant Applicant below, 

or personally or by mail, if a physical 

address is listed for the relevant 

Applicant below. Hearing requests 

should be received by the Commission 

by 5:30 p.m. on November 20, 2023, and 

should be accompanied by proof of 

service on the Applicants, in the form 

of an affidavit, or, for lawyers, a 

certificate of service. Pursuant to rule 0– 

5 under the Act, hearing requests should 

state the nature of the writer’s interest, 

any facts bearing upon the desirability 

of a hearing on the matter, the reason for 

the request, and the issues contested. 

Persons who wish to be notified of a 

hearing may request notification by 

emailing the Commission’s Secretary. 

ADDRESSES: The Commission: 

Secretarys-Office@sec.gov. Applicants: 

Deidre E. Walsh, Eaton Vance 

Management, dwalsh@eatonvance.com; 

with a copy to Sarah Clinton, Ropes & 

Gray LLP, sarah.clinton@ropesgray.com. 

FOR FURTHER INFORMATION CONTACT: 

Adam Large, Senior Special Counsel, at 

(202) 551–7358 (Division of Investment 

Management, Chief Counsel’s Office). 

SUPPLEMENTARY INFORMATION: For 

Applicants’ representations, legal 

analysis, and conditions, please refer to 

Applicants’ amended application, dated 

August 18, 2023, which may be 

obtained via the Commission’s website 

by searching for the file number at the 

top of this document, or for an 

Applicant using the Company name 

search field on the SEC’s EDGAR 

system. The SEC’s EDGAR system may 

be searched at https://www.sec.gov/ 

edgar/searchedgar/legacy/ 

companysearch.html. You may also call 

the SEC’s Public Reference Room at 

(202) 551–8090. 

For the Commission, by the Division of 

Investment Management, under delegated 

authority. 

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–23876 Filed 10–27–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–98790; File No. SR–ICEEU– 

2023–022] 

Self-Regulatory Organizations; ICE 

Clear Europe Limited; Order Approving 

Proposed Rule Change, as Modified by 

Amendment No. 1, Relating to 

Amendments to the Clearing 

Membership Policy and Clearing 

Membership Procedures 

October 24, 2023. 

I. Introduction 

On August 8, 2023, ICE Clear Europe 

Limited (‘‘ICEEU’’) 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 Clearing Membership Policy 

(‘‘Policy’’) and Clearing Membership 

Procedures (‘‘Procedures’’). On August 

22, 2023, ICE Clear Europe filed 

Amendment No. 1 to the proposed rule 

change to make certain changes to the 

Exhibits 5A and 5B.3 Notice of the 

proposed rule change, as modified by 

Amendment No. 1, was published for 

comment in the Federal Register on 

August 29, 2023.4 The Commission has 

not received any comments on the 

proposed rule change, as modified by 

Amendment No. 1 (hereinafter 

‘‘Proposed Rule Change’’). For the 

reasons discussed below, the 

Commission is approving the Proposed 

Rule Change.5

II. Description of the Proposed Rule 

Change 

ICEEU is registered with the 

Commission as a clearing agency for the 

purpose of clearing security-based 

swaps. In its role as a clearing agency 

for clearing security-based swaps, 

ICEEU provides services to its Clearing 

Members. ICEEU’s Clearing Members 

enter into a Clearing Membership 

Agreement with ICEEU and are 

admitted as clearing members of ICEEU 

under Part 2 of ICEEU’s clearing rules.6

As a result of its relationship with its 

Clearing Members, ICEEU faces a 

number of risks. For example, ICEEU’s 

Clearing Members may not meet 

membership criteria which ultimately 

could increase the chances of both a 

Clearing Member defaulting and ICEEU 

needing to use mutualized funds.7

ICEEU manages these risks, and 

relationships with its Clearing Members, 

through the Policy and the Procedures. 

The Policy describes ICEEU’s 

membership criteria and related 

processes for assessing applicants for 

membership, on-going monitoring of its 

Clearing Members, and termination of 

its Clearing Members. The Procedures in 

turn provide additional detail as to how 

ICE Clear Europe applies its policies for 

reviewing applications for clearing 

membership, variations of permissions 

for Clearing Members, ongoing 

monitoring of Clearing Members, and 

termination of clearing membership.8

Through the Proposed Rule Change, 

ICEEU proposes to make changes to 

both the Policy and the Procedures.9

These proposed changes correct an 

improper reference to model 

documents; clarify that clearing 

members must provide notice of certain 

situations; update sections on 

monitoring membership criteria; update 

sections on document governance; 

update the Procedures’ clearing 

membership application process; and 

clarify that ICEEU may take certain 

steps in its absolute discretion. 

1. Correction of Improper Reference to 

Model Documents in the Policy 

The current Policy notes that 

procedural aspects and relevant 


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Federal Register / Vol. 88, No. 208 / Monday, October 30, 2023 / Notices 74215 

10Notice, 88 FR at 59548. 

11 Id. 

12 Id. 13 Id. 14 Id. For example, ICEEU recently amended its 

Recovery Plan and Outsourcing Policy to make 

changes similar to those now proposed. See 

Securities Exchange Act Release No. 98337 (Sept. 

8, 2023), 88 FR 63149, 63154–55 (Sept. 14, 2023) 

(File No. SR–ICEEU–2023–020) (Recovery Plan); 

Securities Exchange Act Release No. 98387 (Sept. 

14, 2023), 88 FR 64953, 64955 (Sept. 20, 2023) (File 

No. SR–ICEEU–2023–018) (Outsourcing Policy). 

15Notice, 88 FR at 59548. 

16 Id. 

17 Id. 

parameters related to the Policy are set 

out in the corresponding procedures 

and model documents. However, Policy 

parameters are set forth in parameter 

documents, not model documents.10

Therefore the Proposed Rule Change 

would remove the reference to model 

documents and state instead that 

procedural aspects and relevant 

parameters related to the Policy are set 

out in the corresponding procedures 

and parameter documents respectively. 

2. Requiring Clearing Members To 

Provide Certain Notifications in the 

Policy and Procedures 

In the ‘‘Objective’’ section of the 

current Policy, ICEEU notes that it 

achieves the objectives of the Policy by, 

among other things, ‘‘includ[ing] 

relevant notifications to ensure that 

Clearing Members’’ promptly notify 

ICEEU of certain changes that could 

impact their ability to meet ICEEU’s 

membership criteria. The ‘‘Objective’’ 

section of the current Procedures 

includes similar language. The Proposed 

Rule Change would change this 

language in both the Policy and the 

Procedures to specify that ICEEU 

achieves the objectives of the Policy and 

Procedures by, among other things, 

‘‘requir[ing]’’ that Clearing Members 

promptly notify ICEEU of any changes 

to their business which may affect their 

ability to meet ICEEU’s membership 

criteria.11

3. Monitoring of Membership Criteria in 

the Policy 

The current Policy states that in order 

to monitor Clearing Members’ on-going 

adherence to the membership criteria, 

ICEEU carries out periodic in-depth 

counterparty reviews; undertakes a 

quarterly review of financial position 

using Audited Annual Accounts and 

quarterly financial information; updates 

its Counterparty Rating System on a 

quarterly basis; maintains a Watch List; 

requires Clearing Members to complete 

an Annual Member Return; and 

monitors operational matters daily, 

including, for example, margin calls and 

end-of-day price submissions. ICEEU 

proposes to remove and consolidate 

much of this text. The Policy as revised 

would state that in order to monitor 

Clearing Members’ on-going adherence 

to the membership criteria, ICEEU 

carries out periodic in-depth 

counterparty reviews; undertakes 

ongoing monitoring, which consists of 

continuous monitoring and additional 

trigger-based reviews, including relating 

to credit and AML/KYC risk and to 

daily operational matters (such as 

margin calls); and requires Clearing 

Members to complete an Annual 

Member Return. 

ICEEU proposes to remove the text 

discussing quarterly review of financial 

position through Audited Annual 

Accounts and financial information, 

updates to its Counter Party Rating 

System done quarterly, and the 

requirement to maintain a Watch List 

because these subjects relate to credit 

issues that are covered in its 

Counterparty Credit Risk Policy and 

Procedures.12 Given the deletion of this 

text, ICEEU proposes to remove the 

sentence noting that information on 

monitoring is available in the Clearing 

Membership Procedures and the 

Counterparty Credit Risk Policy because 

ICEEU believes this cross reference to 

support now-deleted references would 

no longer be necessary.13 Finally, ICEEU 

proposes deleting the sentence that 

provides that ICEEU monitors a number 

of specific operational matters daily 

because it would be replaced with the 

text noting that ICEEU undertakes 

ongoing monitoring. 

4. Document Governance in the Policy 

and Procedures 

The Proposed Rule Change would 

update the Document Governance and 

Exception Handling sections of both the 

Policy and the Procedures to make them 

consistent with similar document 

governance provisions in other ICEEU 

policies.14 The updates would specify 

that the scope of the document review 

encompasses, at a minimum, regulatory 

compliance, documentation and 

purpose, implementation, use, and open 

items from previous validations or 

reviews (where appropriate). The 

Proposed Rule Change would also add 

text identifying the document owner or 

relevant staff as the individuals 

responsible for conducting document 

reviews to ensure they are updated and 

reviewed in accordance with the 

internal governance processes. The 

changes would also specify that the 

head of the department (or their 

delegate) and the Chief Risk Officer (or 

their delegate) provide approval for 

document reviews and that, in some 

circumstances, the document review 

findings are reported to the Model 

Oversight Committee, but outside of 

those circumstances, the document 

review’s results, including any findings, 

are reported to the Executive Risk 

Committee along with the priority of 

findings, proposed remediations, and 

target due date to remediate the 

findings. The updates also would 

provide that it is the document owner’s 

responsibility to address any findings, 

complete internal governance, and, if 

necessary, obtain regulatory approvals 

before the subsequent annual review is 

due. Finally, the proposed changes 

would note that changes to the Policy 

and Procedures must be approved in 

accordance with ICEEU’s governance 

process and will take effect after 

completion of all necessary internal and 

regulatory approvals. 

5. Clearing Membership Procedures 

The Proposed Rule Change would 

amend the Clearing Membership 

Procedures to make certain 

clarifications and updates. One 

proposed change would clarify that 

applicants must provide sufficient 

evidence, details, and information to 

ICEEU as required by the Rules, as 

opposed to sufficient evidence, details, 

or information.15 Another adds text 

indicating that the membership team 

will ensure that all Applicants are 

added to the schedule of insured 

entities by the ICE Group insurer. The 

Proposed Rule Change would also 

delete a provision noting that after 

approval of an application by the 

Executive Risk Committee, the relevant 

Product Risk Committees would be 

notified of a new application for 

clearing membership. ICEEU believes 

that it is unnecessary to notify the 

Product Risk Committees because those 

committees’ duties and functions are 

not implicated by a new member being 

admitted.16 ICEEU’s proposed 

amendments would also clarify that 

ICEEU issues a Circular confirming 

approval of a Clearing Member once 

their application is approved and move 

a clause indicating that Clearing 

Members are required to respond to 

additional information requests in a 

timely manner statement to a standalone 

sentence. ICEEU believes stating this 

requirement in a standalone sentence 

makes the information clearer.17

6. ICEEU’s Absolute Discretion in the 

Procedures 

Throughout the Procedures, ICEEU 

proposes to add the phrase ‘‘in its 

absolute discretion’’ in connection with 


khammond on DSKJM1Z7X2PROD with NOTICES
74216 Federal Register / Vol. 88, No. 208 / Monday, October 30, 2023 / Notices 

18 Id. 

19 15 U.S.C. 78s(b)(2)(C). 

20 15 U.S.C. 78q–1(b)(3)(F). 

21 17 CFR 240.17Ad–22(e)(2). 

22 17 CFR 240.17Ad–22(e)(18). 

23 15 U.S.C. 78q–1(b)(3)(F). 

24Notice, 88 FR at 59548. 

25 Id. 

26 15 U.S.C. 78q–1(b)(3)(F). 

27 17 CFR 240.17Ad–22(e)(2). 

28Notice, 88 FR at 59548. 

certain actions described in the 

Procedures. Specifically, ICEEU’s 

proposed changes note that ICEEU has 

absolute discretion to take certain 

actions with respect to its minimum 

capital requirements, standards and 

characteristics of subordinated loans, 

the acceptability of a Controller 

Guarantee, cash or collateral 

requirements, and its guaranty fund. 

ICEEU also proposes changes making 

clear that it defines a maximum period 

between in-depth counterparty reviews 

and a threshold for following up with 

the Clearing Member regarding negative 

changes to its financial condition in its 

absolute discretion. ICEEU believes that 

these amendments do not change its 

existing authority, but more explicitly 

state the scope of its discretion.18

III. Discussion and Commission 

Findings 

Section 19(b)(2)(C) of the Act requires 

the Commission to approve a proposed 

rule change of a self-regulatory 

organization if it finds that the proposed 

rule change is consistent with the 

requirements of the Act and the rules 

and regulations thereunder applicable to 

the organization.19 For the reasons given 

below, the Commission finds that the 

Proposed Rule Change is consistent 

with Section 17A(b)(3)(F) of the Act 20

and Rules 17Ad–22(e)(2)(i), (e)(2)(v),21

and (e)(18).22

A. Consistency With Section 

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

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

ICEEU’s rules, among other things, must 

be ‘‘designed to promote the prompt and 

accurate clearance and settlement of 

securities transactions and, to the extent 

applicable, derivative agreements, 

contracts, and transactions, to assure the 

safeguarding of securities and funds 

which are in the custody or control of 

the clearing agency or for which it is 

responsible . . . and, in general, to 

protect investors and the public interest 

. . . .’’ 23 Based on its review of the 

record, and for the reasons discussed 

below, the Commission concludes that 

ICEEU’s Proposed Rule Change is 

consistent with Section 17A(b)(3)(F) of 

the Act. 

As noted above, ICEEU faces a 

number of risks as a result of its 

relationship with its Clearing Members. 

These risks include operational, default, 

and other risks that could impact or 

threaten ICEEU’s ability to clear and 

settle transactions, safeguard securities 

and funds which are in its possession or 

control or for which it is responsible, or 

otherwise protect investors and the 

public interest. ICEEU manages these 

risks through, among other things, the 

Policy and Procedures. Therefore, 

improving or enhancing the Policy and 

Procedures likewise improves or 

enhances ICEEU’s ability to manage or 

mitigate the risks it faces as a result of 

its relationship with its Clearing 

Members. 

As discussed above, the Proposed 

Rule Change would enhance the Policy 

and Procedures in a number of ways, 

including clarifying certain provisions, 

highlighting certain important 

information, removing incorrect or 

duplicative information, and ensuring 

the Policy and Procedures are consistent 

with each other and with ICEEU’s other 

policies and procedures. For example, 

the Proposed Rule Change would clarify 

in both the Policy and Procedures that 

Clearing Members must promptly notify 

ICEEU of any changes to their business 

which may impact their ability to meet 

membership criteria. Additionally, the 

Proposed Rule Change would revise the 

Procedures to clarify that Clearing 

Membership applicants must provide 

sufficient evidence, details, and 

information to ICEEU as required by the 

Rules, that ICEEU will issue a Circular 

confirming approval of a Clearing 

Member once its membership 

application is approved, that Clearing 

Members must respond to information 

requests from ICEEU in a timely 

manner, and that ICEEU has absolute 

discretion to take certain steps.24

Similarly, the Proposed Rule Change 

would update the Policy to note that 

procedural aspects and relevant 

parameters related to the Policy are set 

out in the corresponding procedures 

and parameter documents, rather than 

model documents as the current Policy 

states, and highlight that procedural 

aspects related to the Policy are set out 

in the corresponding procedures. The 

Proposed Rule Change also would 

delete as unnecessary and duplicative 

certain information related to its 

monitoring of Clearing Members’ 

financial information because that 

information is addressed in other ICEEU 

policies.25

The Proposed Rule Change will help 

clarify the Policy and Procedures and 

ensure that they are accurate and 

consistent both with each other and 

with ICEEU’s other policies and 

procedures, which will enhance the 

ability of ICEEU and its stakeholders to 

understand the Policy and Procedures 

and apply them accurately and 

consistently. Ensuring the Policy and 

Procedures are easily understood and 

applied accurately and consistently 

will, in turn, help ensure that ICEEU 

effectively manages and mitigates the 

operational and other risks presented by 

its relationship with Clearing Members, 

thereby supporting ICEEU’s ability to 

promote the prompt and accurate 

clearance and settlement of securities 

transactions, assure the safeguarding of 

securities and funds which are in 

ICEEU’s custody or control or for which 

it is responsible, and protect investors 

and the public interest. 

For these reasons, the Commission 

finds that the Proposed Rule Change is 

consistent with the requirements of 

Section 17A(b)(3)(F) of the Act.26

B. Consistency With Rule 17Ad– 

22(e)(2)(i) and (v) 

Rules 17Ad–22(e)(2)(i) and (v) require 

ICEEU to ‘‘establish, implement, 

maintain, and enforce written policies 

and procedures reasonably designed to 

. . . provide for governance 

arrangements that are clear and 

transparent . . . and specify clear and 

direct lines of responsibility.’’ 27 Based 

on its review of the record, and for the 

reasons discussed below, the 

Commission finds that the Proposed 

Rule Change is consistent with Rule 

17Ad–22(e)(2)(i) and (v). 

The Proposed Rule Change clearly 

defines responsibilities for a number of 

ICEEU employees. For instance, in both 

the Policy and Procedures, the Proposed 

Rule Change identifies the document 

owner and relevant staff as responsible 

for conducting document reviews, 

remediating findings, completing 

internal governance, and receiving 

regulatory approvals. The Proposed 

Rule Change also would add text to the 

Procedures that makes clear that the 

Membership team will ensure that all 

Applicants are added to the schedule of 

insured entities by the ICE Group 

insurer, and would remove as 

unnecessary text requiring notification 

of the relevant Product Risk Committees 

of new applications for clearing 

membership.28 By defining who has or 

does not have responsibilities and 

making this information readily 

available in the Policy and Procedures 

the Proposed Rule Change achieves 

clarity and transparency. 

The Commission finds, therefore, that 

the Proposed Rule Change is consistent 


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Federal Register / Vol. 88, No. 208 / Monday, October 30, 2023 / Notices 74217 

29 17 CFR 240.17Ad–22(e)(2). 

30 17 CFR 240.17Ad–22(e)(18). 

31 17 CFR 240.17Ad–22(e)(18). 

32 17 CFR 240.17Ad–22(e)(18). 

33 15 U.S.C. 78q–1(b)(3)(F). 

34 17 CFR 240.17Ad–22(e)(2). 

35 17 CFR 240.17Ad–22(e)(18). 

36 In approving the Proposed Rule Change, the 

Commission considered the proposal’s impacts on 

efficiency, competition, and capital formation. 15 

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

37 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3The Exchange initially filed the proposed fee 

changes on July 3, 2023 (SR–CboeBYX–2023–010). 

On September 1, 2023, the Exchange withdrew that 

filing and submitted SR-CboeBYX–2023–013. On 

September 29, 2023, the Securities and Exchange 

Commission issued a Suspension of and Order 

Instituting Proceedings to Determine whether to 

Approve or Disapprove a Proposed Rule Change to 

Amend its Fees Schedule Related to Physical Port 

Fees (the ‘‘OIP’’). On September 29, 2023, the 

Exchange filed the proposed fee change (SR– 

CboeBYX–2023–014). On October 13, 2023, the 

Exchange withdrew that filing and submitted this 

filing. No comment letters were received in 

connection with any of the foregoing rule filings. 

4See e.g., The Nasdaq Stock Market LLC 

(‘‘Nasdaq’’), General 8, Connectivity to the 

Exchange. Nasdaq and its affiliated exchanges 

charge a monthly fee of $15,000 for each 10Gb Ultra 

fiber connection to the respective exchange, which 

is analogous to the Exchange’s 10Gb physical port. 

See also New York Stock Exchange LLC, NYSE 

American LLC, NYSE Arca, Inc., NYSE Chicago 

Inc., NYSE National, Inc. Connectivity Fee 

Schedule, which provides that 10 Gb LX LCN 

Circuits (which are analogous to the Exchange’s 10 

Gb physical port) are assessed $22,000 per month, 

per port. 

with the requirements of Rule 17Ad– 

22(e)(2)(i) and (v).29

C. Consistency With Rule 17Ad– 

22(e)(18) 

Rule 17Ad–22(e)(18) requires ICEEU 

to ‘‘establish, implement, maintain, and 

enforce written policies and procedures 

reasonably designed to . . . establish 

objective, risk-based, and publicly 

disclosed criteria for participation, 

which permit fair and open access by 

direct and, where relevant, indirect 

participants and other financial market 

utilities, require participants to have 

sufficient financial resources and robust 

operational capacity to meet obligations 

arising from participation in the clearing 

agency, and monitor compliance with 

such participation requirements on an 

ongoing basis.’’ 30 Based on its review of 

the record, and for the reasons 

discussed below, the Commission finds 

that the Proposed Rule Change is 

consistent with Rule 17Ad–22(e)(18).31

The Proposed Rule Change would 

update the Policy to specify that ICEEU 

undertakes ongoing monitoring to 

monitor Clearing Member’s adherence 

to membership criteria and that ongoing 

monitoring consists of continuous 

monitoring and additional trigger-based 

reviews, including relating to credit and 

AML/KYC risk and to daily operational 

matters (such as margin calls). Because 

these aspects of the Proposed Rule 

Change are reasonably designed to help 

ensure that ICEU monitors compliance 

with its membership criteria on an 

ongoing basis, the Commission finds 

that the Proposed Rule Change is 

consistent with the requirements of Rule 

17Ad–22(e)(18).32

IV. Conclusion 

On the basis of the foregoing, the 

Commission finds that the Proposed 

Rule Change is consistent with the 

requirements of the Act, and in 

particular, Section 17A(b)(3)(F) of the 

Act 33 and Rules 17Ad–22(e)(2)(i), 

(e)(2)(v),34 and (e)(18) thereunder.35

It is therefore ordered pursuant to 

Section 19(b)(2) of the Act that the 

Proposed Rule Change (SR–ICEEU– 

2023–022) be, and hereby is, 

approved.36

For the Commission by the Division of 

Trading and Markets, pursuant to delegated 

authority.37

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–23814 Filed 10–27–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–98793; File No. SR– 

CboeBYX–2023–015] 

Self-Regulatory Organizations; Cboe 

BYX Exchange, Inc.; Notice of Filing 

and Immediate Effectiveness of a 

Proposed Rule Change To Amend Its 

Fees Schedule Related to Physical 

Port Fees 

October 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 October 

13, 2023, Cboe BYX Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘BYX Equities’’) 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 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 BYX Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘BYX Equities’’) 

proposes to amend its Fees Schedule. 

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://markets.cboe.com/us/ 

equities/regulation/rule_filings/byx/), 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 

fee schedule relating to physical 

connectivity fees.3

By way of background, a physical port 

is utilized by a Member or non-Member 

to connect to the Exchange at the data 

centers where the Exchange’s servers are 

located. The Exchange currently 

assesses the following physical 

connectivity fees for Members and nonMembers on a monthly basis: $2,500 per 

physical port for a 1 gigabit (‘‘Gb’’) 

circuit and $7,500 per physical port for 

a 10 Gb circuit. The Exchange proposes 

to increase the monthly fee for 10 Gb 

physical ports from $7,500 to $8,500 per 

port. The Exchange notes the proposed 

fee change better enables it to continue 

to maintain and improve its market 

technology and services and also notes 

that the proposed fee amount, even as 

amended, continues to be in line with, 

or even lower than, amounts assessed by 

other exchanges for similar 

connections.4 The physical ports may 

also be used to access the Systems for 

the following affiliate exchanges and 

only one monthly fee currently (and 

will continue) to apply per port: the 

Cboe BZX Exchange, Inc. (options and 

equities), Cboe EDGX Exchange, Inc. 

(options and equities platforms), Cboe 


khammond on DSKJM1Z7X2PROD with NOTICES