Federal Register / Vol. 83, No. 157 / Tuesday, August 14, 2018 / Notices 40373 

19 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3 The term ‘‘Market Makers’’ refers to Lead 

Market Makers (‘‘LMMs’’), Primary Lead Market 

Makers (‘‘PLMMs’’), and Registered Market Makers 

(‘‘RMMs’’) collectively. See Exchange Rule 100. A 

Directed Order Lead Market Maker (‘‘DLMM’’) and 

Directed Primary Lead Market Maker (‘‘DPLMM’’) is 

a party to a transaction being allocated to the LMM 

or PLMM and is the result of an order that has been 

directed to the LMM or PLMM. See Fee Schedule 

note 2. 

4 See Securities Exchange Act Release No. 83515 

(June 25, 2018), 83 FR 30786 (June 29, 2018) (SR– 

MIAX–2018–12). 

5 A ‘‘complex order’’ is any order involving the 

concurrent purchase and/or sale of two or more 

different options in the same underlying security 

(the ‘‘legs’’ or ‘‘components’’ of the complex order), 

for the same account, in a ratio that is equal to or 

greater than one-to-three (.333) and less than or 

equal to three-to-one (3.00) and for the purposes of 

executing a particular investment strategy. A 

complex order can also be a ‘‘stock-option’’ order, 

which is an order to buy or sell a stated number 

of units of an underlying security coupled with the 

purchase or sale of options contract(s) on the 

opposite side of the market, subject to certain 

contingencies set forth in the proposed rules 

governing complex orders. For a complete 

definition of a ‘‘complex order,’’ see Exchange Rule 

518(a)(5). See also Securities Exchange Act Release 

No. 78620 (August 18, 2016), 81 FR 58770 (August 

25, 2016) (SR–MIAX–2016–26). 

6 ‘‘Priority Customer’’ means a person or entity 

that (i) is not a broker or dealer in securities, and 

(ii) does not place more than 390 orders in listed 

options per day on average during a calendar month 

for its own beneficial accounts(s). A ‘‘Priority 

Customer Order’’ means an order for the account of 

a Priority Customer. See Exchange Rule 100. 

7 The term ‘‘Member’’ means an individual or 

organization approved to exercise the trading rights 

associated with a Trading Permit. Members are 

deemed ‘‘members’’ under the Exchange Act. See 

Exchange Rule 100. 

8 Under the PCRP, MIAX Options credits each 

Member the per contract amount resulting from 

each Priority Customer order transmitted by that 

Member which is executed electronically on the 

Exchange in all multiply-listed option classes 

Continued 

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– 

CboeBYX–2018–013 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–CboeBYX–2018–013. 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 

filing will also be available for 

inspection and copying at the principal 

office of the Exchange. All comments 

received will be posted without change. 

Persons submitting comments are 

cautioned that we do not redact or edit 

personal identifying information from 

comment submissions. You should 

submit only information that you wish 

to make available publicly. All 

submissions should refer to File 

Number SR–CboeBYX–2018–013 and 

should be submitted on or before 

September 4, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–17394 Filed 8–13–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83797; File No. SR–MIAX– 

2018–22] 

Self-Regulatory Organizations; Miami 

International Securities Exchange LLC; 

Notice of Filing and Immediate 

Effectiveness of a Proposed Rule 

Change To Amend Its Fee Schedule 

August 8, 2018. 

Pursuant to the provisions of 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 1, 2018, Miami International 

Securities Exchange LLC (‘‘MIAX 

Options’’ or the ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) a 

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 the Substance 

of the Proposed Rule Change 

The Exchange is filing a proposal to 

amend the MIAX Options Fee Schedule 

(the ‘‘Fee Schedule’’). 

The text of the proposed rule change 

is available on the Exchange’s website at 

http://www.miaxoptions.com/rulefilings, at MIAX’s principal office, 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 to (i) increase certain fees 

in certain Tiers for options transactions 

by MIAX Options Market Makers 3 in 

standard option classes in the Penny 

Pilot Program 4 (‘‘Penny classes’’) and in 

standard option classes which are not in 

the Penny Pilot Program (‘‘non-Penny 

classes’’) executed in the complex 

order 5 book; (ii) increase the per 

contract surcharge assessed for 

transactions by all market participants, 

except for Priority Customers,6 which 

remove liquidity against a resting 

Priority Customer complex order on the 

strategy book for options in Penny 

classes and for options in non-Penny 

classes (‘‘Complex Taker Surcharge’’) 

and to broaden the application of the 

Complex Taker Surcharge to other types 

of transactions (described below) and 

consequently to rename it as the 

‘‘Complex Surcharge;’’ (iii) increase the 

per contract credit assessable to Agency 

Orders (defined below) in a cPRIME 

Auction (‘‘cPRIME Agency Order 

Credit’’) by Members 7 in Tier 4 of the 

Priority Customer Rebate Program 

(‘‘PCRP’’) 8 and establish a limit as to 


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(excluding, in simple or complex as applicable, 

QCC and cQCC Orders, mini-options, Priority 

Customer-to-Priority Customer Orders, C2C and 

cC2C Orders, PRIME and cPRIME AOC Responses, 

PRIME and cPRIME Contra-side Orders, PRIME and 

cPRIME Orders for which both the Agency and 

Contra-side Order are Priority Customers, and 

executions related to contracts that are routed to 

one or more exchanges in connection with the 

Options Order Protection and Locked/Crossed 

Market Plan referenced in Exchange Rule 1400), 

provided the Member meets certain percentage 

thresholds in a month as described in the Priority 

Customer Rebate Program table. See Fee Schedule, 

Section 1)a)iii. 

9 The calculation of the volume thresholds does 

not include QCC and cQCC Orders, PRIME and 

cPRIME AOC Responses, and unrelated MIAX 

Market Maker quotes or unrelated MIAX Market 

Maker orders that are received during the Response 

Time Interval and executed against the PRIME 

Order (‘‘PRIME Participating Quotes or Orders’’) 

and unrelated MIAX Market Maker complex quotes 

or unrelated MIAX Market Maker complex orders 

that are received during the Response Time Interval 

and executed against a cPRIME Order (‘‘cPRIME 

Participating Quote or Order’’) (herein ‘‘Excluded 

Contracts’’). See Fee Schedule, page 2. 

10 See Securities Exchange Act Release Nos. 

78519 (August 9, 2016), 81 FR 54162 (August 15, 

2016)(SR–MIAX–2016–21); 79157 (October 26, 

2016), 81 FR 75885 (November 1, 2016 (SR–MIAX– 

2016–38). 

11 The term ‘‘System’’ means the automated 

trading system used by the Exchange for the trading 

of securities. See Exchange Rule 100. 

12 For purposes of the MIAX Options Fee 

Schedule, the term ‘‘Affiliate’’ means (i) an affiliate 

of a Member of at least 75% common ownership 

between the firms as reflected on each firm’s Form 

BD, Schedule A, (‘‘Affiliate’’), or (ii) the Appointed 

Market Maker of an Appointed EEM (or, conversely, 

the Appointed EEM of an Appointed Market 

Maker). An ‘‘Appointed Market Maker’’ is a MIAX 

Market Maker (who does not otherwise have a 

corporate affiliation based upon common 

ownership with an EEM) that has been appointed 

by an EEM and an ‘‘Appointed EEM’’ is an EEM 

(who does not otherwise have a corporate affiliation 

based upon common ownership with a MIAX 

Market Maker) that has been appointed by a MIAX 

Market Maker, pursuant to the following process. A 

MIAX Market Maker appoints an EEM and an EEM 

appoints a MIAX Market Maker, for the purposes 

of the Fee Schedule, by each completing and 

sending an executed Volume Aggregation Request 

Form by email to membership@miaxoptions.com no 

later than 2 business days prior to the first business 

day of the month in which the designation is to 

become effective. Transmittal of a validly 

completed and executed form to the Exchange along 

with the Exchange’s acknowledgement of the 

effective designation to each of the Market Maker 

and EEM will be viewed as acceptance of the 

appointment. The Exchange will only recognize one 

designation per Member. A Member may make a 

designation not more than once every 12 months 

(from the date of its most recent designation), which 

designation shall remain in effect unless or until the 

Exchange receives written notice submitted 2 

business days prior to the first business day of the 

month from either Member indicating that the 

appointment has been terminated. Designations will 

become operative on the first business day of the 

effective month and may not be terminated prior to 

the end of the month. Execution data and reports 

will be provided to both parties. 13 The ‘‘Strategy Book’’ is the Exchange’s 

electronic book of complex orders and complex 

quotes. See Exchange Rule 518(a)(17). 

how many contracts that the cPRIME 

Agency Order Credit shall apply; (iv) 

increase the per contract fee for Contraside Orders (defined below) in nonPenny classes in a cPRIME Auction 

assessable to all market participants, 

except Priority Customers; (v) establish 

an enhanced cPRIME Break-up Credit 

(defined below) for options in Penny 

classes and non-Penny classes 

assessable to all market participants 

who experience a greater than sixty 

percent (60%) break-up of their order in 

a cPRIME Auction; and (vi) remove the 

discounted cPRIME Response Fee 

(defined below) for Members or its 

Affiliates that qualify for Priority 

Customer Rebate Program (defined 

below) volume tiers 3 or higher, for 

standard complex order options in 

Penny classes and non-Penny classes. 

Market Maker Complex Transaction 

Fees 

Section 1(a)(i) of the Fee Schedule 

sets forth the Exchange’s Market Maker 

Sliding Scale for Market Maker 

Transaction Fees (the ‘‘Sliding Scale’’). 

The Sliding Scale assesses a per contract 

transaction fee on a Market Maker for 

the execution of simple orders and 

quotes (collectively, ‘‘simple orders’’) 

and complex orders and quotes 

(collectively, ‘‘complex orders’’). The 

percentage threshold by tier is based on 

the Market Maker’s percentage of total 

national market maker volume in all 

options classes that trade on the 

Exchange during a particular calendar 

month, or total aggregated volume 

(‘‘TAV’’), and the Exchange aggregates 

the volume executed by Market Makers 

in both simple orders and complex 

orders for purposes of determining the 

applicable tier and corresponding per 

contract transaction fee amount.9 The 

Sliding Scale applies to all MIAX 

Options Market Makers for transactions 

in all products (except for mini-options, 

for which there are separate product 

fees), with fees for standard options in 

both Penny classes and non-Penny 

classes. 

Additionally, the Exchange assesses 

one per contract fee for complex orders 

in each tier for Penny classes, and one 

per contract fee for complex orders in 

non-Penny classes, with a surcharge for 

removing liquidity in a specific 

scenario, as described below. For simple 

orders, the Sliding Scale assesses a per 

contract transaction fee, which is based 

upon whether the Market Maker is a 

‘‘Maker’’ or a ‘‘Taker.’’ 10 Members that 

place resting liquidity, i.e., quotes or 

orders on the MIAX Options System,11

are assessed the ‘‘maker’’ fee (each a 

‘‘Maker’’) and Members that execute 

against (remove) resting liquidity are 

assessed a higher ‘‘taker’’ fee (each a 

‘‘Taker’’). As an incentive for Market 

Makers to provide liquidity on the 

Exchange, the Exchange’s Maker fees are 

lower than the Taker fees. 

Further, the Exchange provides 

certain discounted Market Maker 

transaction fees for Members and their 

qualified Affiliates 12 that achieve 

certain volume thresholds through the 

submission of Priority Customer orders 

under the Exchange’s PCRP, which is 

set forth on two tables: one setting forth 

the transaction fees applicable to 

Members and their Affiliates that are in 

PCRP Volume Tier 3 or higher; and the 

other setting forth the transaction fees 

applicable to Members and their 

Affiliates that are not in PCRP Volume 

Tier 3 or higher. The Sliding Scale also 

includes Maker and Taker fees in both 

tables in each Tier for simple orders in 

Penny classes and non-Penny classes 

where the fees are discounted/ 

differentiated between the tables. 

The Exchange proposes to make the 

following changes for both Members 

and their Affiliates in PCRP Volume 

Tier 3 or higher and Members and their 

Affiliates not in PCRP Volume Tier 3 or 

higher: (i) Increase the fees in certain 

Sliding Scale Tiers for options 

transactions in Penny classes executed 

in the complex order book; and (ii) 

increase the fees in all Sliding Scale 

Tiers for options transactions in nonPenny classes executed in the complex 

order book. Specifically, the Exchange 

proposes to increase the fees for 

complex orders in options in Penny 

classes in Tier 2 from $0.19 to $0.24, in 

Tier 3 from $0.12 to $0.21, in Tier 4 

from $0.07 to $0.20, and in Tier 5 from 

$0.05 to $0.19. The Exchange also 

proposes to increase the fees for 

complex orders in options in non-Penny 

classes in Tier 1 from $0.29 to $0.32, in 

Tier 2 from $0.23 to $0.29, in Tier 3 

from $0.16 to $0.25, in Tier 4 from $0.11 

to $0.24, and in Tier 5 from $0.09 to 

$0.23. 

Complex Surcharge 

The Exchange does not currently 

distinguish between a Maker and a 

Taker for complex order executions as it 

does in the traditional construct for 

simple orders and instead assesses the 

per contract transaction fee for all 

executions and a potential surcharge of 

$0.10 per executed contract for 

executions in complex orders. The 

current surcharge is assessed to a 

Market Maker and all other market 

participants except Priority Customers, 

when they remove liquidity by trading 

against a Priority Customer order that is 

resting on the Strategy Book.13 This 

surcharge is currently referred to as the 


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14 See Cboe Fees Schedule, p. 1, and footnote 35 

(charging a Complex Surcharge of $0.12 per 

contract per side for noncustomer complex order 

executions that remove liquidity from the COB and 

auction responses in the Complex Order Auction 

(‘‘COA’’) and the Automated Improvement 

Mechanism (‘‘AIM’’) in all classes except Sector 

Indexes and Underlying Symbol List A. The 

surcharge will not be assessed, however, on 

noncustomer complex order executions originating 

from a Floor Broker PAR, electronic executions 

against single leg markets, or for stock-option order 

executions. Auction responses in COA and AIM for 

noncustomer complex orders in Penny classes will 

be subject to a cap of $0.50 per contract, which 

includes the applicable transaction fee, Complex 

Surcharge and Marketing Fee (if applicable); see 

also NYSE American Fee Schedule, p. 8, footnote 

6 (charging $0.12 per contract to any Electronic 

Non-Customer Complex Order that executes against 

a Customer Complex Order, regardless of whether 

the execution occurs in a Complex Order Auction 

(‘‘COA’’). The surcharge does not apply to 

executions in CUBE Auctions. NYSE American 

reduces this per contract surcharge to $0.10 for ATP 

Holders that achieve at least 0.20% of TCADV of 

Electronic Non-Customer Complex Orders in a 

month). 

15 The term ‘‘Public Customer’’ means a person 

that is not a broker or dealer in securities. See 

Exchange Rule 100. 

16 A ‘‘non-MIAX Market Maker’’ is a market 

maker registered as such on another options 

exchange. See Fee Schedule, Section 1)a)ii. 

17 A ‘‘non-Member Broker-Dealer’’ is a brokerdealer that is not a member of the OCC, and that 

is not registered as a Member at MIAX or another 

options exchange. See Fee Schedule, Section 1)a)ii. 

18 A ‘‘Firm’’ fee is assessed on a MIAX Electronic 

Exchange Member ‘‘EEM’’ that enters an order that 

is executed for an account identified by the EEM 

for clearing in the Options Clearing Corporation 

(‘‘OCC’’) ‘‘Firm’’ range. See Fee Schedule, Section 

1)a)ii. 

19 See Securities Exchange Act Release No. 79072 

(October 7, 2016), 81 FR 71131 (October 14, 2016) 

(SR–MIAX–2016–26). 

20 See Securities Exchange Act Release No. 81131 

(July 12, 2017), 82 FR 32900 (July 18, 2017)(SR– 

MIAX–2017–19). (Order Granting Approval of a 

Proposed Rule Change to Amend MIAX Options 

Rules 515, Execution of Orders and Quotes; 515A, 

MIAX Price Improvement Mechanism (‘‘PRIME’’) 

and PRIME Solicitation Mechanism; and 518, 

Complex Orders). 

21 Id. 

22 The term ‘‘Electronic Exchange Member’’ 

means the holder of a Trading Permit who is not 

a Market Maker. Electronic Exchange Members are 

deemed ‘‘members’’ under the Exchange Act. 

23 See supra note 14. 

‘‘Complex Taker Surcharge’’. This 

surcharge is similar in structure to Cboe 

Exchange, Inc. (‘‘Cboe’’) and NYSE 

American LLC (‘‘NYSE American’’) 

surcharges of the same type.14

First, the Exchange proposes to 

increase the Complex Taker Surcharge 

on MIAX Market Makers in the Sliding 

Scale for both Members and their 

Affiliates in PCRP Volume Tier 3 or 

higher, and for Members and their 

Affiliates not in PCRP Volume Tier 3 or 

higher, in Section 1)a)i) of the Fee 

Schedule, from $0.10 to $0.12 in all 

Tiers. The Exchange also proposes to 

increase the Complex Taker Surcharge 

on other market participants (except for 

Priority Customers), including Public 

Customers 15 that are not Priority 

Customers, non-MIAX Market Makers,16

non-Member Broker-Dealers,17 and 

Firms 18 (collectively, the ‘‘Other Market 

Participants’’) in Section 1)a)ii) of the 

Fee Schedule, from $0.10 to $0.12. 

Second, the Exchange proposes to 

broaden the application of the Complex 

Taker Surcharge so that it will now 

apply to a Market Maker and Other 

Market Participants (other than Priority 

Customers) when trading against a 

Priority Customer (i) on the Strategy 

Book; or (ii) as a Response or unrelated 

quote or order in a complex order 

auction other than a cPRIME Auction. 

Exchange Rule 518(d) describes the 

process for determining if a complex 

order is eligible to begin a Complex 

Order Auction and to participate in a 

Complex Order Auction that is in 

progress, and provides that upon entry 

into the System or upon evaluation of a 

complex order resting at the top of the 

Strategy Book, complex auction-eligible 

orders may be subject to an automated 

request for responses (‘‘RFR’’).19

Members may submit Responses to the 

RFR, which can be either a complex 

Auction or Cancel (‘‘AOC’’) order or a 

complex AOC eQuote. 

Exchange Rule 518(b)(7) defines a 

cPRIME Order as a type of complex 

order that is submitted for participation 

in a cPRIME Auction and trading of 

cPRIME Orders is governed by Rule 

515A, Interpretations and Policies .12.20

cPRIME Orders are processed and 

executed in the Exchange’s PRIME 

mechanism, the same mechanism that 

the Exchange uses to process and 

execute simple PRIME orders, pursuant 

to Exchange Rule 515A.21 PRIME is a 

process by which a Member may 

electronically submit for execution an 

order it represents as agent (an ‘‘Agency 

Order’’) against principal interest and/or 

solicited interest. The Member that 

submits the Agency Order (‘‘Initiating 

Member’’) agrees to guarantee the 

execution of the Agency Order by 

submitting a contra-side order 

representing principal interest or 

solicited interest (‘‘Contra-Side Order’’). 

When the Exchange receives a properly 

designated Agency Order for Auction 

processing, an RFR detailing the option, 

side, size and initiating price is 

broadcasted to MIAX Options 

participants up to an optional 

designated limit price. Members may 

submit responses to the RFR, which can 

be either an AOC order or an AOC 

eQuote. A cPRIME Auction is the priceimprovement mechanism of the 

Exchange’s System pursuant to which 

an Initiating Member electronically 

submits a complex Agency Order into a 

cPRIME Auction. The Initiating 

Member, in submitting an Agency 

Order, must be willing to either (i) cross 

the Agency Order at a single price 

against principal or solicited interest, or 

(ii) automatically match against 

principal or solicited interest, the price 

and size of a RFR that is broadcast to 

MIAX Options participants up to an 

optional designated limit price. Such 

responses are defined as cPRIME AOC 

Responses or cPRIME eQuotes. 

Specifically, the Exchange proposes to 

broaden the application of the Complex 

Taker Surcharge so that it will apply to 

an Electronic Exchange Member 

(‘‘EEM’’),22 for trading against a Priority 

Customer Complex Order for Penny and 

Non-Penny Classes, when trading 

against a Priority Customer: (i) On the 

Strategy Book; or (ii) as a Response or 

unrelated order in a complex order 

auction other than a cPRIME Auction. 

Consequently, the Exchange proposes to 

change the name of the surcharge from 

‘‘Complex Taker Surcharge’’ to 

‘‘Complex Surcharge’’ since the 

surcharge will apply to more complex 

transactions than just those transactions 

which remove liquidity from the 

Strategy Book. The Exchange notes that 

both Cboe and NYSE American apply 

their respective surcharges in a more 

expansive manner than the Exchange’s 

current application of its surcharge, and 

similar to how the Exchange is 

proposing to expand its surcharge. 

However, Cboe caps its fees at $0.50 per 

contract in its complex order auction 

mechanisms. And NYSE American does 

not assess its surcharge in its paired 

complex auction mechanism. As 

proposed, the Exchange will apply its 

surcharge in its single-sided complex 

auction mechanism (COA), but it will 

not apply the surcharge in its paired 

complex auction mechanism (cPRIME). 

Accordingly, as proposed to be 

expanded, the Exchange’s surcharge 

will be more in line with Cboe’s and 

NYSE American’s surcharges, but it will 

be no more expansive than either such 

exchange.23

Additionally, the Exchange proposes 

to remove the Discounted cPRIME 

Response Fee of $0.46 per contract for 

Members or its Affiliates that qualify for 

Priority Customer Rebate Program 

volume tiers 3 or higher and submit a 

cPRIME AOC Response that is received 

during the Response Time Interval and 

executed against the cPRIME Order, or 

a cPRIME Participating Quote or Order 

that is received during the Response 

Time Interval and executed against the 

cPRIME Order for standard complex 

order options in Penny classes; and 


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24 See NYSE American Fee Schedule, p. 17, 

Complex CUBE Auction (charging a RFR Response 

Fee Non-Customer in Penny Pilot issues of $0.50 

and an RFR Response Fee Non-Customer in NonPenny Pilot issues of $1.05). 

25See Securities Exchange Act Release No. 83532 

(June 28, 2018), 83 FR 31205 (July 3, 2018) (SR– 

NYSEAMER–2018–32) (Notice of Filing and 

Immediate Effectiveness of Proposed Change to 

Modify the NYSE American Options Fee Schedule). 

26See for example NYSE American Fee Schedule, 

p. 18, Initiating Participant Credit. (NYSE American 

offers a ‘‘break-up’’ credit to Initiating Participants 

for each contract in a Complex Contra Order paired 

with a Complex CUBE Order that does not trade 

with the Complex CUBE Order because it is 

replaced at auction. Depending on the Tier for 

which the ATP holder qualifies, it may receive 

anywhere from a $0.20 to a $0.35 credit in Penny 

Pilot issues and anywhere from $0.50 to $0.75 in 

non-Penny Pilot issues, with those who qualify for 

ACE Tier 5, and execute more than 1% TCADV in 

monthly Initiating Complex CUBE Orders being 

eligible to receive an alternative enhance Initiating 

Participant Credit of $0.45 per contract for Penny 

Pilot issues and $0.90 per contract for non-Penny 

Pilot issues. 

27 15 U.S.C. 78f(b). 

28 15 U.S.C. 78f(b)(4). 

29 15 U.S.C. 78f(b)(1) and (b)(5). 

remove the Discounted cPRIME 

Response Fee of $0.95 per contract in 

the same tiers, for standard complex 

order options in non-Penny classes. By 

removing these discounts, the Exchange 

will charge such Members and their 

Affiliates the standard cPRIME rates in 

the cPRIME tier that otherwise apply to 

such transactions. The Exchange notes 

that this is a business decision to 

discontinue offering the discount, and 

as a result, it will align its fees more 

closely to those of NYSE American.24

cPRIME Agency Order Fees 

In the PCRP, the Exchange assesses an 

Agency Order Credit for cPRIME 

Agency Orders. The Exchange currently 

credits each Member $0.10 per contract 

per leg for each Priority Customer 

complex order submitted into the 

cPRIME Auction as a cPRIME Agency 

Order in each Tier. However, no credit 

is paid if the cPRIME Agency Order 

executes against a Contra-Side Order 

which is also a Priority Customer. The 

Exchange proposes to increase the 

Agency Order Credit for cPRIME 

Agency Orders submitted by Members 

who are in PCRP Volume Tier 4 from 

$0.10 to $0.22. The purpose of such 

increase in Tier 4 is to encourage market 

participants to submit more Priority 

Customer cPRIME Agency Orders and 

therefore increase Priority Customer 

order flow. The Exchange additionally 

proposes to limit the cPRIME Agency 

Order Credit to be payable to the first 

1,000 contracts per leg for each cPRIME 

Agency Order. Such limit will be 

applicable to all Tiers of the PCRP. 

cPRIME Contra-Side Order Fees 

The Exchange assesses a per contract 

fee to all market participants except 

Priority Customers for Contra-Side 

Orders in cPRIME Auctions. Currently, 

the cPRIME Contra-Side Order Fee is 

$0.05 for options in Penny classes and 

non-Penny classes. The Exchange 

proposes to increase the fee assessed to 

all market participants except Priority 

Customers for cPRIME Contra-Side 

Orders for options in non-Penny classes 

from $0.05 to $0.07. To implement this 

change on the Fee Schedule, the 

Exchange is proposing to bifurcate the 

fee for Penny classes and non-Penny 

classes by adding a new column to the 

table under Section 1)a)vi) of the Fee 

Schedule for the cPRIME Contra-Side 

Order fees assessable for orders in nonPenny classes setting forth the increased 

fee of $0.07 for all market participants 

except Priority Customers. The purpose 

of increasing such fee for options in 

non-Penny classes is to more closely 

align the Exchange’s fees for cPRIME 

Contra-Side Orders with similar fees of 

other exchanges.25

cPRIME Break-Up Credit 

The Exchange applies a break-up 

credit to an EEM that submitted a 

cPRIME Order for agency contracts that 

are submitted to the cPRIME Auction 

that trade with a cPRIME AOC Response 

or a cPRIME Participating Quote or 

Order that trades with the cPRIME 

Order (‘‘cPRIME Break-up Credit’’). 

Currently, the per contract cPRIME 

Break-up Credit payable to all market 

participants for options in Penny classes 

is $0.25 and for options in non-Penny 

classes is $0.60. The current cPRIME 

Break-up Credit does not take into 

account the degree to which the cPRIME 

Order was broken up. 

The Exchange now proposes to take 

into account the degree to which the 

cPRIME Order was broken up, through 

paying a higher credit amount if the 

cPRIME Order experienced a greater 

degree of break-up. In particular, the 

Exchange proposes to pay an enhanced 

cPRIME Break-up Credit to all market 

participants who experience a greater 

than sixty percent (60%) break-up of 

their cPRIME Order in a cPRIME 

Auction, instead of the regular cPRIME 

Break-up Credit specified in the Fee 

Schedule. If the market participant 

experiences a greater than sixty percent 

(60%) break-up of their cPRIME Order 

in a cPRIME Auction, then it shall be 

credited $0.28, an additional $0.03 per 

contract, for options in Penny classes, 

and $0.72, an additional $0.12 per 

contract, for options in non-Penny 

classes. For example, if the original 

cPRIME Agency Order in a Penny class 

was for 100 contracts and the Member 

received only 30 contracts of the 

original cPRIME Order as a result of the 

break-up, and the other 70 contracts 

traded with a cPRIME AOC response or 

a cPRIME Participating Quote or Order 

(which equals 70%), then they would be 

credited $0.28 as a cPRIME Break-up 

Credit. As another example, if the 

original cPRIME Agency Order in a 

Penny class was for 100 contracts and 

the Member received 40 contracts of the 

original cPRIME Order as a result of the 

break-up and the other 60 contracts 

traded with a cPRIME AOC response or 

a cPRIME Participating Quote or Order 

(which equals 60%), then they would 

only be credited $0.25 as a cPRIME 

Break-up Credit. The decision to offer 

an enhanced cPRIME Break-up Credit is 

based on an analysis of current revenue 

and volume levels and is intended to 

encourage market participants to 

continue participating in cPRIME 

Auctions. The Exchange believes that by 

offering Members this enhanced 

cPRIME Break-up Credit, it will be able 

to further incentivize Members to send 

cPRIME orders to the Exchange, and 

enable it to better compete with NYSE 

American. Although it is a business 

decision to bifurcate the Exchange’s 

enhanced cPRIME Break-up Credit 

based on the degree to which the 

cPRIME Order is broken up, the 

Exchange notes that its credit still 

remains lower than those of NYSE 

American, which the Exchange believes 

will serve to enhance competition. 

There are several approaches used by 

Exchanges to attract certain types of 

order flow, and many approaches often 

rely on the existence of certain 

conditions and thresholds being met.26

This proposed approach of offering an 

enhanced credit based on the degree of 

break-up of a cPRIME Order is another 

variation of one such type of condition. 

The proposed rule changes are 

scheduled to become operative August 

1, 2018. 

2. Statutory Basis 

The Exchange believes that its 

proposal to amend its fee schedule is 

consistent with Section 6(b) of the Act 27

in general, and furthers the objectives of 

Section 6(b)(4) of the Act,28 in that it is 

an equitable allocation of reasonable 

fees and other charges among Exchange 

members and issuers and other persons 

using its facilities, and 6(b)(5) of the 

Act,29 in that it is 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 facilitating transactions in securities, 


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30See supra notes 14, 24, 25 and 26. 

31 15 U.S.C. 78f(b)(4). 

32See supra note 14. 

33See Cboe Fees Schedule, footnote 35; see also 

NYSE American Fee Schedule, p. 11; see Securities 

Exchange Act Release No. 83532 (June 28, 2018), 83 

FR 31206 (July 3, 2018) (SR–NYSEAMER–2018–32). 

34 15 U.S.C. 78f(b)(1) and (b)(5). 

35See supra note 14. 

36 Id. 

37 15 U.S.C. 78f(b)(4). 

38See supra note 26. 

39 15 U.S.C. 78f(b)(1) and (b)(5). 

40See supra note 26. 

41 15 U.S.C. 78f(b)(4). 

to remove impediments to and perfect 

the mechanisms of a free and open 

market and a national market system 

and, in general, to protect investors and 

the public interest. 

The proposed fee increases for the 

various Sliding Scale tiers in Penny and 

non-Penny classes for complex orders is 

equitable and not unfairly 

discriminatory because all MIAX 

Options Market Makers are subject to 

the same fees and access to the 

Exchange is offered on terms that are 

not unfairly discriminatory. The 

Exchange initially set its complex order 

fees at the various volume levels based 

upon business determinations and an 

analysis of current complex order fees 

and volume levels at other exchanges. 

When the Exchange initially adopted 

complex order fees, it set its complex 

order fees lower than other exchanges in 

order to encourage its Market Makers to 

reach for higher volume levels in order 

to achieve greater discounts. For 

competitive and business reasons, the 

Exchange believes that it is now 

appropriate to increase complex order 

fees to be more in line with competing 

exchanges. The Exchange notes that the 

increased complex order fees are 

comparable to those assessed by other 

exchanges.30

Furthermore, the proposed increases 

to the fees for complex orders in Penny 

and non-Penny classes in the specified 

tiers promotes just and equitable 

principles of trade, fosters cooperation 

and coordination with persons engaged 

in facilitating transactions in securities, 

and protects investors and the public 

interest, because even with the 

increases, the Exchange’s proposed fees 

for Market Makers complex orders still 

remain competitive with certain other 

options exchanges offering comparable 

pricing models, and should enable the 

Exchange to continue to attract order 

flow and grow market share. The 

Exchange believes that the amount of 

such fees, as proposed to be increased, 

will continue to encourage MIAX 

Options Market Makers to send complex 

orders to the Exchange. To the extent 

that order flow is increased by the 

proposal, market participants will 

increasingly compete for the 

opportunity to trade on the Exchange, 

including sending more orders which 

will have the potential to be assessed 

lower fees and higher rebates than 

certain other competing options 

exchanges. The resulting increased 

volume and liquidity will benefit all 

Exchange participants by providing 

more trading opportunities and tighter 

spreads. 

The Exchange’s proposal to increase 

the Complex Taker Surcharge and 

broaden its application and rename it as 

the ‘‘Complex Surcharge’’ is consistent 

with Section 6(b)(4) of the Act 31

because it applies equally to all market 

participants (both MIAX Market Makers 

and Other Market Participants, except 

Priority Customers) that would be 

charged such Complex Surcharge. 

Assessing the Complex Surcharge to 

MIAX Market Makers and Other Market 

Participants (except Priority Customers), 

in a broader application, similar to that 

of other exchanges, is reasonable and 

not unfairly discriminatory because it 

will provide MIAX Options Market 

Makers and Other Market Participants 

with equal surcharges when trading 

against a Priority Customer. As stated 

above, the Complex Surcharge is similar 

to surcharges assessed on Cboe and 

NYSE American.32 The Exchange notes 

that, although the increase of the 

Complex Surcharge represents a slight 

fee increase, the Exchange believes that 

this increase is fair and equitable 

because it is in line with the amount of 

surcharges assessed on other options 

exchanges, when trading against Priority 

Customer Complex Orders, including 

trading in a complex order book, 

complex order auctions, and complex 

order price improvement mechanisms.33

The Exchange’s proposal to broaden 

the application of the Complex Taker 

Surcharge and to rename it as the 

‘‘Complex Surcharge’’ is also consistent 

with Section 6(b)(5) of the Act 34

because it perfects the mechanisms of a 

free and open market and a national 

market system and protect investors and 

the public interest by aligning the 

broader application of the Complex 

Surcharge and the definition of 

Complex Surcharge to that of other 

options exchanges,35 which will help to 

create consistency and uniformity in the 

marketplace. The proposed Complex 

Surcharge increase is similar to the 

surcharge increase effected by Cboe and 

NYSE American.36 The Exchange 

believes for these reasons that the 

Complex Surcharge and the broadened 

application of it, is equitable, reasonable 

and not unfairly discriminatory, and 

thus consistent with the Act. 

The Exchange’s proposal to remove 

the Discounted cPRIME Response Fee of 

$0.46 per contract for Members or its 

Affiliates that qualify for Priority 

Customer Rebate Program volume tiers 

3 or higher and submit a cPRIME AOC 

Response that is received during the 

Response Time Interval and executed 

against the cPRIME Order, or a cPRIME 

Participating Quote or Order that is 

received during the Response Time 

Interval and executed against the 

cPRIME Order for standard complex 

order options in Penny classes; and 

remove the Discounted cPRIME 

Response Fee of $0.95 per contract in 

the same tiers, for standard complex 

order options in non-Penny classes, is 

consistent with Section 6(b)(4) of the 

Act 37 because it applies equally to all 

market participants and although by 

removing this discount, the Exchange 

notes this would increase the cPRIME 

Response Fee for some market 

participants, it represents a slight 

increase, and the Exchange believes that 

this increase is fair and equitable 

because it is in line with the amount of 

surcharges assessed on other options 

exchanges.38 Further, the proposal is 

also consistent with Section 6(b)(5) of 

the Act 39 because it perfects the 

mechanisms of a free and open market 

and a national market system and 

protects investors and the public 

interest because it will align the 

Exchange’s rule to that of other options 

exchanges, which will help to create 

consistency and uniformity in the 

marketplace. In addition, the removal of 

the discounted for the cPRIME Response 

Fee would align the Exchange’s fees 

closer to those of another options 

exchange.40

The Exchange’s proposal to increase 

the cPRIME Agency Order Credit 

assessable to cPRIME Agency Orders by 

Members in Tier 4 of the PCRP is 

consistent with Section 6(b)(4) of the 

Act 41 because it applies equally to all 

participants in that tier. The Exchange 

believes that the proposed PCRP rebate 

increase in Tier 4 for Priority Customer 

orders submitted into cPRIME Auctions 

is fair, equitable, and not unreasonably 

discriminatory. The PCRP is reasonably 

designed because it will incentivize 

providers of Priority Customer order 

flow to send that Priority Customer 

order flow to the Exchange in order to 

obtain the highest volume threshold and 

receive a credit in a manner that enables 

the Exchange to improve its overall 

competitiveness and strengthen its 


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42 15 U.S.C. 78f(b)(1) and (b)(5). 

43 15 U.S.C. 78f(b)(4). 

44 15 U.S.C. 78f(b)(1) and (b)(5). 

45See Cboe Fees Schedule, p. 3; see also NYSE 

American Fee Schedule, p. 18, footnote 2 under 

Section I.G. 

46 15 U.S.C. 78f(b)(4). 47 15 U.S.C. 78f(b)(1) and (b)(5). 

48 15 U.S.C. 78f(b)(4). 

49See supra note 26. 

50 15 U.S.C. 78f(b)(1) and (b)(5). 

market quality for all market 

participants. 

In addition, the proposal is also 

consistent with Section 6(b)(5) of the 

Act 42 because it perfects the 

mechanisms of a free and open market 

and a national market system and 

protects investors and the public 

interest because, while only Priority 

Customer order flow qualifies for the 

rebate program under the PCRP and 

specifically only order flow by Members 

in Tier 4 of the PCRP will receive the 

greater rebate, an increase in Priority 

Customer order flow will bring greater 

volume and liquidity, which benefit all 

market participants by providing more 

trading opportunities and tighter 

spreads. To the extent Priority Customer 

order flow is increased by the proposal, 

market participants will increasingly 

compete for the opportunity to trade on 

the Exchange including sending more 

orders and providing narrower and 

larger-sized quotations in the effort to 

trade with such Priority Customer order 

flow. 

The Exchange’s proposal to establish 

a limit as to how many contracts the 

cPRIME Agency Order Credit shall 

apply to is consistent with Section 

6(b)(4) of the Act 43 because it applies 

equally to all market participants who 

submit cPRIME Agency Orders. Further, 

the proposal is also consistent with 

Section 6(b)(5) of the Act 44 because it 

perfects the mechanisms of a free and 

open market and a national market 

system and protects investors and the 

public interest because it will align the 

Exchange’s rule to that of other options 

exchanges, which will help to create 

consistency and uniformity in the 

marketplace. It is also not novel since 

other exchanges similarly limit a similar 

rebate to the first 1,000 contracts.45

The Exchange’s proposal to increase 

the cPRIME Contra-Side Orders fees 

assessable to all market participants 

except for Priority Customers in nonPenny classes is consistent with Section 

6(b)(4) of the Act 46 because the 

Exchange believes that it is reasonable 

to assess lower transaction and credit 

rates to options in Penny classes than 

non-Penny classes. The Exchange 

believes that options which trade at 

these wider spreads merit offering 

greater inducement for market 

participants. 

The Exchange believes that is 

equitable and not unfairly 

discriminatory that Priority Customers 

be charged lower fees in cPRIME 

Auctions than other market participants. 

The exchanges, in general, have 

historically aimed to improve markets 

for investors and develop various 

features within their market structure 

for customer benefit. The Exchange 

assesses Priority Customers lower or no 

transactions fees because Priority 

Customer order flow enhances liquidity 

on the Exchange for the benefit of all 

market participants. Priority Customer 

liquidity benefits all market participants 

by providing more trading 

opportunities, which attracts Market 

Makers. An increase in the activity of 

these market participants in turn 

facilitates tighter spreads, which may 

cause an additional corresponding 

increase in order flow from other market 

participants. 

Moreover, the Exchange believes that 

assessing all other market participants 

that are not Priority Customers a higher 

transaction fee than Priority Customers 

for cPRIME Order transactions is 

reasonable, equitable, and not unfairly 

discriminatory because these types of 

market participants are more 

sophisticated and have higher levels of 

order flow activity and system usage. 

This level of trading activity draws on 

a greater amount of system resources 

than that of Priority Customers, and 

thus, generates greater ongoing 

operational costs. Further, the Exchange 

believes that charging all market 

participants that are not Priority 

Customers the same fee for all cPRIME 

transactions is not unfairly 

discriminatory as the fees will apply to 

all these market participants equally. 

In addition, the proposal is also 

consistent with Section 6(b)(5) of the 

Act 47 because it perfects the 

mechanisms of a free and open market 

and a national market system and 

protects investors and the public 

interest because, within the cPRIME 

Auction, the fee difference between 

Penny and non-Penny classes provides 

greater opportunity for market 

participants to offer price improvement. 

As such, the Exchange believes that the 

opportunity for additional price 

improvement provided by these wider 

spreads again merits offering greater 

incentive for market participants to 

increase the potential price 

improvement for customer orders in 

these transactions. 

The Exchange’s proposal to pay an 

enhanced cPRIME Break-up Credit for 

options in Penny classes and non-Penny 

classes to all market participants who 

experience a greater than sixty percent 

(60%) break-up of their cPRIME Order 

in a cPRIME Auction is consistent with 

Section 6(b)(4) of the Act 48 because it 

will encourage market participants to 

continue participating in cPRIME 

Auctions. The Exchange believes that 

the enhanced cPRIME Break-up Credit 

should improve market quality for all 

market participants. Additionally, the 

Exchange believes that by offering this 

enhanced cPRIME Break-up Credit, it 

will be able to incentivize initiating 

orders in order to compete with NYSE 

American. Although it is a business 

decision to bifurcate the Exchange’s 

enhanced cPRIME Break-up Credit, the 

Exchange notes that its credit still 

remains lower than those of NYSE 

American, which the Exchange believes 

will serve to enhance competition.49

In addition, the proposal is also 

consistent with Section 6(b)(5) of the 

Act 50 because it perfects the 

mechanisms of a free and open market 

and a national market system and 

protects investors and the public 

interest because it applies equally to all 

cPRIME orders which are subject to a 

break-up and access to the Exchange is 

offered on terms that are not unfairly 

discriminatory. 

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 not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

Exchange believes that the proposed 

increase in the Complex Surcharge for 

complex transactions is intended to 

promote narrower spreads and greater 

liquidity at the best prices. The feebased incentives for market participants 

to provide liquidity by submitting 

complex orders to the Exchange, and 

thereby improve liquidity on the 

Exchange, should enable the Exchange 

to attract order flow and compete with 

other exchanges which also provide 

such incentives to their market 

participants for similar transactions. 

The Exchange believes that increased 

complex order flow will bring greater 

volume and liquidity which in turn 

benefits all market participants by 

providing more trading opportunities 

and tighter spreads. Therefore, any 

potential effects that the increased 

Complex Surcharge for complex 

transactions may have on intra-market 

competition are justifiable due to the 

reasons stated above. 


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51See supra note 14. 

52 15 U.S.C. 78s(b)(3)(A)(ii). 

53 17 CFR 240.19b–4(f)(2). 

54 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

The Exchange believes that the 

proposed changes to the rebates and fees 

for participation in a cPRIME Auction 

are not going to have an impact on intramarket competition based on the total 

cost for participants to transact in such 

order types versus the cost for 

participants to transact in the other 

order types available for trading on the 

Exchange. As noted above, the Exchange 

believes that the proposed changes in 

the rebates and fees for the cPRIME 

Auction are comparable to that of other 

exchanges offering similar electronic 

price improvement mechanisms for 

complex orders and the Exchange 

believes that, based on experience with 

electronic price improvement crossing 

mechanisms on other markets, market 

participants understand that the priceimproving benefits offered by the 

cPRIME Auction justify the transaction 

costs associated with the cPRIME 

Auction. To the extent that there is a 

difference between non-cPRIME 

Auction transactions and cPRIME 

Auction transactions, the Exchange does 

not believe this difference will cause 

participants to refrain from responding 

to cPRIME Auctions. 

With respect to cPRIME Auctions, the 

Exchange notes that Cboe caps its fees 

at $0.50 per contract in its complex 

order auction mechanisms. And NYSE 

American does not assess its surcharge 

in its paired complex auction 

mechanism. As proposed, the Exchange 

will apply its surcharge in its singlesided complex auction mechanism 

(COA), but it will not apply the 

surcharge in its paired complex auction 

mechanism (cPRIME). Accordingly, as 

proposed to be expanded, the 

Exchange’s surcharge will be more in 

line with Cboe’s and NYSE American’s 

surcharges, but it will be no more 

expansive than either such exchange.51

Because the Complex Surcharge will not 

be applied in its cPRIME Auction, the 

Exchange believes that the proposed 

rule change will not impose any burden 

on competition not necessary or 

appropriate in furtherance of the 

purposes of the Act. 

The Exchange notes that it operates in 

a highly competitive market in which 

market participants can readily favor 

competing venues if they deem fee 

levels at a particular venue to be 

excessive. In such an environment, the 

Exchange must continually adjust its 

fees to remain competitive with other 

exchanges and to attract order flow. The 

Exchange believes that the proposed 

rule change reflects this competitive 

environment because they modify the 

Exchange’s fees in a manner that 

encourages market participants to 

provide liquidity and to send order flow 

to the Exchange. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

Written comments were neither 

solicited nor 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)(ii) of the Act,52 and Rule 

19b–4(f)(2) 53 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. If the Commission 

takes such action, the Commission shall 

institute proceedings to determine 

whether the proposed rule 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– 

MIAX–2018–22 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–MIAX–2018–22. 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 

filing also will be available for 

inspection and copying at the principal 

office of the Exchange. All comments 

received will be posted without change. 

Persons submitting comments are 

cautioned that we do not redact or edit 

personal identifying information from 

comment submissions. You should 

submit only information that you wish 

to make available publicly. All 

submissions should refer to File 

Number SR–MIAX–2018–22, and 

should be submitted on or before 

September 4, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.54

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–17393 Filed 8–13–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83799; File No. SR–OCC– 

2018–011] 

Self-Regulatory Organizations; The 

Options Clearing Corporation; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change To Make 

Clarifying and Conforming Changes to 

The Options Clearing Corporation’s 

Margins Methodology and Margin 

Policy 

August 8, 2018. 

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 July 24, 

2018, The Options Clearing Corporation 

(‘‘OCC’’) 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 OCC. OCC filed 

the proposed rule change pursuant to 


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