Federal Register / Vol. 83, No. 172 / Wednesday, September 5, 2018 / Notices 45165 

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

2 17 CFR 240.19b–4. 

3A MOC Order is an Order Type entered without 

a price that may be executed only during the 

Nasdaq Closing Cross. See Rule 4702(b)(11). 4A LOC Order is an Order Type entered with a 

price that may be executed only in the Nasdaq 

Closing Cross, and only if the price determined by 

the Nasdaq Closing Cross is equal to or better than 

the price at which the LOC Order was entered. See 

Rule 4702(b)(12). 5As used in this proposed rule change, the term 

‘‘Closing Cross Cutoff’’ refers to the various 3:50 

p.m. ET cutoff times described herein for the 

Nasdaq Closing Cross, including the regular cutoff 

time for entering MOC/LOC Orders described above 

and the related cutoff time for cancelling or 

modifying IO Orders, which is currently at or after 

3:50 p.m. ET in contrast to MOC/LOC Orders whose 

cutoff times are immediately prior to 3:50 p.m. ET. 

6 ‘‘Order Imbalance Indicator’’ means a message 

disseminated by electronic means containing 

information about MOC, LOC, IO, and Close 

Eligible Interest and the price at which those orders 

would execute at the time of dissemination. 

7See Rule 4702(b)(13)(A). 

8As used in this proposed rule change, the term 

‘‘Late Cutoff’’ refers to the various 3:55 p.m. ET 

cutoff times described herein for the Nasdaq 

Closing Cross, including the cutoff time for entering 

the LOC Orders described above and the cutoff time 

for correcting legitimate errors in an on close order. 

9 ‘‘First Reference Price’’ shall mean the Current 

Reference Price in the first Order Imbalance 

Indicator disseminated at or after 3:50 p.m. ET. See 

Rule 4754(a)(9). 

10See Rule 4702(b)(12)(A). 

11An IO Order is an Order entered with a price 

that may be executed only in the Nasdaq Closing 

Cross and only against MOC Orders or LOC Orders. 

See Rule 4702(b)(13). 

12See Rule 4702(b)(13)(A). 

13See Rule 4702(b)(11)(A), (13)(A). As provided 

in these rules, MOC and IO Orders cannot be 

cancelled or modified at or after the Late Cutoff for 

any reason. 

14See Rule 4702(b)(12)(A). 

15The Exchange proposes to reflect the proposed 

cutoff times throughout the Nasdaq rulebook, 

including Rule 4702(b)(11)–(13), which defines 

Continued 

Dated: August 30, 2018. 

Brent J. Fields, 

Secretary. 

[FR Doc. 2018–19258 Filed 8–31–18; 11:15 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83988; File No. SR– 

NASDAQ–2018–068] 

Self-Regulatory Organizations; The 

Nasdaq Stock Market LLC; Notice of 

Filing of Proposed Rule Change To 

Extend the Cutoff Times for Accepting 

On Close Orders Entered for 

Participation in the Nasdaq Closing 

Cross 

August 29, 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 August 

15, 2018, The Nasdaq Stock Market LLC 

(‘‘Nasdaq’’ or ‘‘Exchange’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I and II 

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 

The Exchange proposes to extend the 

cutoff times for accepting on close 

orders entered for participation in the 

Nasdaq Closing Cross, and make related 

changes. 

The text of the proposed rule change 

is available on the Exchange’s website at 

http://nasdaq.cchwallstreet.com, at the 

principal office of the Exchange, 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 purpose of the proposed rule 

change is to extend the cutoff times for 

accepting on close orders entered for 

participation in the Nasdaq Closing 

Cross. The Nasdaq Closing Cross 

provides a transparent auction process 

that determines a single price for the 

close. As the equities markets continue 

to evolve and become more efficient and 

automated, the Exchange believes that 

the current cutoff times are overly 

restrictive to market participants that 

wish to participate in the Nasdaq 

Closing Cross and that typically have to 

tie up on close interest for ten minutes 

or more at the end of the trading day to 

participate in the cross. Similar to 

cutoffs provided by other equities 

exchanges that operate a closing 

auction, the Exchange believes that the 

proposed cutoff times would give 

Participants greater control over their on 

close orders while still leaving enough 

time at the end of the trading day for 

Participants to react to and offset 

Imbalances. Last, the Exchange is 

proposing to begin disseminating the 

Order Imbalance Indicator at the new 

Closing Cross Cutoff. 

Current Cutoff Times 

Generally, Market On Close 

(‘‘MOC’’) 3 and Limit on Close (‘‘LOC’’) 4

Orders are accepted today until 

immediately prior to 3:50 p.m. ET 

(‘‘Closing Cross Cutoff’’) 5 when the 

Exchange begins disseminating an Order 

Imbalance Indicator 6 that contains 

information about the Nasdaq Closing 

Cross. Imbalance Only (‘‘IO’’) Orders, on 

the other hand, are designed to allow 

Participants to offset Imbalances, and 

may therefore be entered until the time 

of execution of the Nasdaq Closing 

Cross, but may not be cancelled or 

modified at or after the Closing Cross 

Cutoff, except to correct legitimate 

errors as described below.7

The Exchange also continues to 

accept LOC Orders between the Closing 

Cross Cutoff and immediately prior to 

3:55 p.m. ET (‘‘Late Cutoff’’) 8 provided 

that there is a First Reference Price.9 In 

order to promote price stability in the 

Nasdaq Closing Cross, such LOC Orders 

entered during this period are either 

canceled or re-priced to the First 

Reference Price, based on the 

Participant’s instruction, if the LOC 

Order’s limit price is more aggressive 

than the First Reference Price.10

Imbalance Only (‘‘IO’’) Orders,11

meanwhile, are designed to permit 

Participants to offset Imbalances and 

therefore may be entered until 4:00 p.m. 

ET when the Exchange executes the 

Nasdaq Closing Cross and disseminates 

the executions via the consolidated 

tape.12

Participants may also be able to 

cancel and/or modify their on close 

orders between the Closing Cross Cutoff 

and immediately prior to the Late Cutoff 

in limited circumstances. Specifically, 

during this time period: (1) MOC Orders 

and IO Orders can be cancelled and/or 

modified,13 and (2) LOC Orders can be 

cancelled but not modified,14 in each 

case to correct a legitimate error in the 

order (e.g., Side, Size, Symbol, or Price, 

or duplication of an Order). 

Proposed Cutoff Times 

The Exchange now proposes to 

change the Closing Cross Cutoff to 3:55 

p.m. ET and the Late Cutoff to 3:58 p.m. 

ET.15 The Exchange believes that this 


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45166 Federal Register / Vol. 83, No. 172 / Wednesday, September 5, 2018 / Notices 

MOC, LOC, and IO Orders, as well as Rules 

4754(a)(9), (b)(1) and (b)(7)(B), which describe the 

Nasdaq Closing Cross. With the changed cutoff 

times, the Exchange will reject MOC Orders entered 

after the 3:55 p.m. ET cutoff, as described in 

proposed Rule 4702(b)(11)(B), and will reject LOC 

Orders and Closing Cross/Extended Hours Orders 

entered at or after 3:58 p.m. ET, as described in 

proposed Rule 4702(b)(12)(B). 

16See Securities Exchange Act Release Nos. 

48878 (December 4, 2003), 68 FR 69098 (December 

11, 2003) (Notice); 49406 (March 11, 2004), 69 FR 

12879 (March 18, 2004) (Approval Order) (SR– 

NASD–2003–173). 

17See BZX Rule 11.23(c)(1)(A). 

18See infra note 20. 

19See BZX Rule 11.23(c)(1)(A). 

20See Arca Rule 7.35–E(d)(2). 

21See Rule 4703(d). 

22Because the First Reference Price refers to the 

Current Reference Price in the first Order Imbalance 

Indicator disseminated to market participants, Rule 

4754(a)(9) will similarly be updated to reference 

3:55 p.m. ET, which is when the first Order 

Imbalance Indicator will now be disseminated. 

23See Rule 4754(b)(6). 

24See Rule 4752(d)(1). 

25See Rule 4753(b)(1). 

proposed change will enhance the 

experience provided to market 

participants who will be able to enter 

and interact with their on close orders 

later in the trading day. 

The Nasdaq Closing Cross was 

established by the Exchange in 2004 to 

create a more robust close that would 

allow for price discovery, and an 

execution that would result in an 

accurate, tradable closing price.16 While 

the Exchange has made changes to the 

Nasdaq Closing Cross in the fourteen 

years since it was established, including 

by recently permitting LOC Orders to be 

entered until the Late Cutoff in certain 

circumstances, the normal Closing Cross 

Cutoff has remained at 3:50 p.m. ET. At 

the same time, the equities markets have 

become more efficient and automated. 

The Exchange therefore no longer 

believes that ten minutes is needed for 

market participants to react to and 

resolve Imbalances in the Nasdaq 

Closing Cross. As a result, the Exchange 

is proposing to extend the Closing Cross 

Cutoff time to 3:55 p.m. ET, which is 

consistent with the cutoff time provided 

in the CBOE BZX Exchange, Inc. 

(‘‘BZX’’) closing auction.17 While other 

exchanges operate closing auctions with 

various cutoff times as late as 3:59 p.m. 

ET,18 the Exchange believes that a 3:55 

p.m. ET Closing Cross Cutoff strikes the 

appropriate balance for the Nasdaq 

Closing Cross in today’s trading 

environment. 

The Exchange also continues to 

believe that it is beneficial to price 

discovery to permit Participants to 

submit LOC Orders after the regular 

Closing Cross Cutoff if there is a First 

Reference Price as provided in SR– 

Nasdaq–2017–061. Likewise, the 

Exchange continues to believe that it is 

appropriate to provide a brief period of 

additional time for Participants to 

correct legitimate errors in their orders 

entered for participation in the Nasdaq 

Closing Cross. The Exchange therefore 

proposes to extend the Late Cutoff to 

3:58 p.m. ET. Other exchanges also 

accept similar orders in this timeframe. 

For example, BZX offers ‘‘Late-LimitOn-Close Orders’’ that are accepted 

until the execution of their closing 

auction at 4:00 p.m. ET,19 and NYSE 

Arca, Inc. (‘‘Arca’’) initiates its ‘‘Closing 

Auction Imbalance Freeze’’ for all MOC 

and LOC Orders at 3:59 p.m. ET.20 LOC 

Orders submitted after the proposed 

Closing Cross Cutoff and before the 

proposed Late Cutoff will continue to be 

handled as they are today, and would 

therefore only be accepted if there is a 

First Reference Price, and would be 

subject to re-pricing if the limit price of 

the LOC Order is more aggressive than 

the First Reference Price or rejection, 

depending on the election of the 

member. Furthermore, the cancellation 

and/or modification of orders during the 

extended period would continue to be 

allowed only to correct a legitimate 

error in the order. 

In addition, Rule 4702(b)(12)(A) 

currently provides that a Closing Cross/ 

Extended Hours Order that is entered 

between 3:50 p.m. ET and the time of 

the Nasdaq Closing Cross will be 

rejected if it has been assigned a Pegging 

Attribute. Pegging is an Order Attribute 

that allows an Order to have its price 

automatically set with reference to the 

national best bid or offer (‘‘NBBO’’), and 

is therefore available only during 

Market Hours.21 Since a Pegging 

Attribute is only available during 

Market Hours, an Order with a Pegging 

Attribute can never be entered as a 

Closing Cross/Extended Hours Order, 

which would be valid only after Market 

Hours had concluded. The Exchange 

proposes to make this clear in Rule 

4702(b)(12)(B) by removing the current 

reference to the time during which such 

an Order is entered. As proposed, the 

rule would provide that a Closing Cross/ 

Extended Hours Order will be rejected 

if it has been assigned a Pegging 

Attribute. 

Order Imbalance Indicator 

Once MOC/LOC Orders are locked in 

at the Closing Cross Cutoff, the 

Exchange begins disseminating the 

Order Imbalance Indicator to provide 

market participants with information 

about the Nasdaq Closing Cross. With 

the proposed changes to the Closing 

Cross Cutoff, the Exchange is proposing 

to also begin disseminating the Order 

Imbalance Indicator at the new Closing 

Cross Cutoff of 3:55 p.m. ET.22 The 

Exchange has always disseminated the 

Order Imbalance Indicator once MOC/ 

LOC Orders are locked in at the Closing 

Cross Cutoff. Prior to the Closing Cross 

Cutoff, Participants have significantly 

more leeway to enter new on close 

orders or cancel or modify on close 

orders already entered. The Exchange 

therefore believes that continuing to 

disseminate the Order Imbalance 

Indicator starting at the Closing Cross 

Cutoff, which as proposed will be 3:55 

p.m. ET, will ensure that market 

participants receive a more complete 

picture of on close interest when such 

interest is relatively settled. 

Currently, the Order Imbalance 

Indicator is disseminated every five 

seconds starting at the Closing Cross 

Cutoff discussed above. The Exchange 

believes, however, that more frequent 

dissemination will be beneficial to 

market participants that use this 

information, and is therefore proposing 

to increase the frequency of 

dissemination to every second. This 

proposed change will apply to the Order 

Imbalance Indicator for the Nasdaq 

Closing Cross as well as the similar 

Order Imbalance Indicator provided for 

the LULD Closing Cross,23 Nasdaq 

Opening Cross,24 and the Nasdaq Halt 

Cross,25 which each have a five second 

dissemination frequency today. 

Conforming Changes 

Last, the Exchange is proposing to 

make conforming changes to Rule 

7018(a), which provides the fees and 

credits available to members for the use 

of the order execution and routing 

services of the Nasdaq Market Center for 

all securities priced at $1 or more that 

it trades. Under Rules 7018(a)(1) and (2), 

Nasdaq has credits that exclude Limiton-Close Order entered between 3:50 

p.m. ET and immediately prior to 3:55 

p.m. ET. The Exchange is proposing to 

update these times to reflect the times 

proposed herein. 

Implementation 

The Exchange proposes to implement 

all of the changes described in this 

proposed rule change in either Q3 or Q4 

2018. The Exchange will announce the 

implementation date of these changes in 

an Equity Trader Alert issued to 

Participants prior to implementing the 

change. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 


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Federal Register / Vol. 83, No. 172 / Wednesday, September 5, 2018 / Notices 45167 

26 15 U.S.C. 78f(b). 

27 15 U.S.C. 78f(b)(5). 

28The ‘‘Closing Cross Cutoff’’ refers to various 

3:50 p.m. ET cutoff times for the Nasdaq Closing 

Cross. As such, this change will impact 

functionality that is tied to the regular cutoff time 

for entering MOC/LOC Orders, such as the cutoff 

time for cancelling or modifying IO Orders. See 

supra note 5. The Exchange believes that 

Participants should continue to be able to cancel or 

modify their IO Orders, which are designed to offset 

Imbalances, until such time as MOC/LOC Orders 

are locked in at the Closing Cross Cutoff. 29See Arca Rule 7.35–E(a)(4)(A). 

of the Act,26 in general, and furthers the 

objectives of Section 6(b)(5) of the Act,27

in particular, in that it is designed to 

promote just and equitable principles of 

trade, to remove impediments to and 

perfect the mechanism of a free and 

open market and a national market 

system, and, in general to protect 

investors and the public interest. 

Specifically, the Exchange believes that 

extending the cutoff times for 

submitting on close orders will allow 

market participants to retain control 

over their orders for a longer period of 

time, and thereby assist those market 

participants in managing their trading at 

the close. Furthermore, the Exchange 

believes that the proposed changes to 

the Order Imbalance Indicator will 

protect investors and the public interest 

by continuing to provide complete and 

timely information to the market. 

Cutoff Times 

While the Exchange originally 

implemented a Closing Cross Cutoff 

time in 2004 that was ten minutes prior 

to the execution of the Nasdaq Closing 

Cross, the Exchange no longer believes 

that this much time is required for 

market participants to respond to and 

offset Imbalances. To promote price 

discovery in the Nasdaq Closing Cross, 

the Exchange disseminates an Order 

Imbalance Indicator with certain 

information about the cross to market 

participants beginning at 3:50 p.m. ET, 

at which time market participants have 

more limited means of entering orders 

to participate in the Nasdaq Closing 

Cross. Specifically, Participants cannot 

enter new MOC Orders on or after 3:50 

p.m. ET, and between 3:50 p.m. ET and 

immediately prior to 3:55 p.m. ET are 

limited to entering LOC Orders that are 

subject to being rejected or re-priced if 

too aggressive based on the First 

Reference Price disseminated at that 

time (or rejected if there is no First 

Reference Price). Otherwise, the ability 

to update MOC or LOC Orders is limited 

to correcting legitimate errors. The 

Exchange believes that market 

participants would be better served if 

the Closing Cross Cutoff was extended 

to 3:55 p.m. ET so that the period of 

time where they have limited control 

over their orders is reduced.28 The 

Exchange believes that this will reduce 

risk for market participants that 

participate in the Nasdaq Closing Cross, 

and improve price discovery by 

facilitating additional participation by 

market participants that may not be 

willing to lose control over their on 

close interest for ten minutes. Another 

equities exchange, BZX, already uses a 

3:55 p.m. ET cutoff for regular MOC/ 

LOC entry in its closing auction, and the 

Exchange believes that this cutoff time 

reflects the efficiency and more 

automated nature of trading in today’s 

market. 

In addition, the Exchange continues 

to believe that it is appropriate to offer 

a later cutoff time for certain LOC 

Orders, as well as for the correction of 

legitimate errors. The Exchange 

launched the functionality described in 

SR–Nasdaq–2017–061 last year, and 

believes that it provides a helpful means 

for promoting price discovery in the 

Nasdaq Closing Cross. Since the 

Exchange is extending the Closing Cross 

Cutoff to the time that these LOC Orders 

are accepted until today, the Exchange 

is proposing to extend the Late Cutoff as 

well. The Exchange believes that the 

market will continue to benefit from 

permitting LOC Orders to be submitted 

until 3:58 p.m. ET, subject to the 

conditions described in the current rule 

with respect to rejection or re-pricing 

and orders being accepted only when 

there is matched buy and sell interest 

that is eligible to participate in the 

Nasdaq Closing Cross, as evidenced by 

a First Reference Price being 

disseminated to market participants. 

BZX, which offers a similar ‘‘Late-LimitOn-Close Order’’ accepts those orders 

until 4:00 p.m. ET, when that exchange 

runs its closing auction, and Arca 

initiates its ‘‘Closing Auction Imbalance 

Freeze’’ for all MOC and LOC Orders at 

3:59 p.m. ET. The Exchange therefore 

believes that there is ample precedent in 

the industry for continuing to accept 

these orders until 3:58 p.m. ET, as 

proposed. 

Furthermore, the Exchange believes 

that it is appropriate to clarify in its 

rules that a Closing Cross/Extended 

Hours Order will be rejected if it has 

been assigned a Pegging Attribute (i.e., 

regardless of the time the Order is 

entered). Although the current rule 

references Closing Cross/Extended 

Hours Order entered between 3:50 p.m. 

ET and the time of the Nasdaq Closing 

Cross, Pegging Attributes are available 

during Market Hours only, and therefore 

Closing Cross/Extended Hours Orders 

are rejected if entered with a Pegging 

Attribute at other times as well. Thus, 

the Exchange believes the proposed 

change will increase transparency 

around the operation of the Exchange. 

Order Imbalance Indicator 

The Exchange also believes that it is 

appropriate to continue to disseminate 

the Order Imbalance Indicator starting at 

the Closing Cross Cutoff. As explained 

in the purpose section of this proposed 

rule change, the Exchange has always 

disseminated the Order Imbalance 

Indicator beginning at the Closing Cross 

Cutoff, which is when the Exchange 

believes it is possible to disseminate 

meaningful information about the 

Nasdaq Closing Cross. Prior to this time, 

Participants are generally free to submit 

additional on close interest and/or 

cancel or modify on close interest 

already submitted. Furthermore, many 

Participants may wait until immediately 

prior to the Closing Cross Cutoff to enter 

their on close interest. Thus, the 

Exchange believes that any information 

disseminated before the Closing Cross 

Cutoff has the potential to be misleading 

to some market participants. As a result, 

the Exchange believes that it is 

consistent with the protection of 

investors and the public interest to 

continue to disseminate this 

information at the Closing Cross Cutoff, 

which will be moved to 3:55 p.m. ET, 

as proposed. 

Finally, the Exchange believes that 

market participants will benefit from a 

more frequent dissemination of the 

Order Imbalance Indicator for the 

Nasdaq Closing Cross, LULD Closing 

Cross, Nasdaq Opening Cross, and 

Nasdaq Halt Cross. While the Exchange 

initially chose to disseminate this 

information once every five seconds, the 

Exchange believes that the increased 

automation and efficiency in the 

equities markets that spurred the 

changed cutoff times described above 

also justify increasing the frequency for 

disseminating information to the 

market. Arca similarly updates Auction 

Imbalance Information at least every 

second, unless there is no change to the 

information.29 The Exchange believes 

that an increased frequency of data 

dissemination for each of the auctions 

described above will be helpful to 

Participants that will benefit from a 

more timely view of the market. 

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 intermarket or 

intramarket competition not necessary 


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45168 Federal Register / Vol. 83, No. 172 / Wednesday, September 5, 2018 / Notices 

30 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

or appropriate in furtherance of the 

purposes of the Act. Rather, the 

Exchange believes that the proposed 

rule change is evidence of the 

competitive forces in the equities 

markets. The Exchange originally 

launched the Nasdaq Closing Cross in 

2004 with a ten minute cutoff period 

where Participants would no longer 

have the ability to enter additional 

MOC/LOC Orders, and would have 

limited ability to interact with their 

already entered orders. While the 

Exchange launched functionality last 

year to accept LOC Orders up to five 

minutes before the execution of the 

Nasdaq Closing Cross, these orders are 

subject to conditions that may not 

appeal to all market participants. 

Meanwhile, exchanges that have 

launched closing auctions more recently 

have typically adopted them with 

shorter cutoff periods. The Exchange 

believes that the market participants 

that trade in the Nasdaq Closing Cross, 

which determines the Nasdaq Official 

Closing Price for all Nasdaq listed 

stocks, would similarly benefit from a 

shorter cutoff period. The proposed 

cutoff times would apply equally to all 

Participants and reflects the current 

market environment where trading is 

increasingly more automated and 

efficient, and where competing 

exchanges already offer later cutoff 

times than those currently in place on 

Nasdaq. The Exchange believes that the 

proposed changes to the Order 

Imbalance Indicator similarly reflect the 

current competitive environment as the 

Exchange’s changes are designed to 

continue to provide complete and 

timely information to the market, to the 

benefit of Participants that trade on 

Nasdaq. The proposed changes to the 

Order Imbalance Indicator, like the 

changes being made to the cutoff times, 

will apply equally to all Participants. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were either 

solicited or received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 45 days of the date of 

publication of this notice in the Federal 

Register or within such longer period 

up to 90 days (i) as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or (ii) as to which 

the self-regulatory organization 

consents, the Commission will: 

(A) By order approve or disapprove 

such proposed rule change, or 

(B) institute proceedings to determine 

whether the proposed rule change 

should be 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– 

NASDAQ–2018–068 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–NASDAQ–2018–068. 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 the 

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–NASDAQ–2018–068 and 

should be submitted on or before 

September 26, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.30

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–19148 Filed 9–4–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83982; File No. SR– 

NYSEArca–2018–62] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Relating to Listing and 

Trading of Shares of the American 

Century Diversified Municipal Bond 

ETF Under NYSE Arca Rule 8.600–E 

August 29, 2018. 

Pursuant to Section 19(b)(1) 1 of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that, on August 

17, 2018, NYSE Arca, Inc. (the 

‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with 

the Securities and Exchange 

Commission (the ‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been prepared by the self-regulatory 

organization. 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 

The Exchange proposes to list and 

trade shares of the American Century 

Diversified Municipal Bond ETF under 

NYSE Arca Rule 8.600–E (‘‘Managed 

Fund Shares’’). The proposed rule 

change is available on the Exchange’s 

website at www.nyse.com, at the 

principal office of the Exchange, 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 

self-regulatory organization 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 those statements may be examined at 


daltland on DSKBBV9HB2PROD with NOTICES