5608 Federal Register / Vol. 80, No. 21 / Monday, February 2, 2015 / Notices 

13For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. See 15 U.S.C. 78c(f). 

14 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 

change on January 2, 2015 (SR–CBOE–2015–003). 

On January 14, 2015, the Exchange withdrew that 

filing and submitted this filing. 4The current Surcharge is $0.10 per contract for 

VIX and $0.05 per contract for VXST for contracts 

that have a premium of $0.11 or greater (see CBOE 

Fees Schedule, Customer Priority Surcharge). 5Upon resolution of the technical and billing 

issue, the Exchange will submit a rule filing to 

reinstate the Surcharge for complex orders in VIX 

and VXST. 6The Exchange notes that the technical and 

billing issue does not affect SPXW and as such, the 

proposed waiver does not apply to SPXW (i.e., the 

Priority Surcharge will continue to be assessed for 

complex orders in SPXW). 

Commission believes that waiving the 

30-day operative delay is consistent 

with the protection of investors and the 

public interest. Therefore, the 

Commission hereby waives the 

operative delay and designates the 

proposed rule change operative upon 

filing.13

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 

change should be approved or 

disapproved. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/

rules/sro.shtml); or 

• Send an email to rulecomments@sec.gov. Please include File 

Number SR–CBOE–2015–008 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Brent J. Fields, Secretary, Securities 

and Exchange Commission, 100 F Street 

NE., Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–CBOE–2015–008. This file 

number should be included on the 

subject line if email is used. To help the 

Commission process and review your 

comments more efficiently, please use 

only one method. The Commission will 

post all comments on the Commission’s 

Internet Web site (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 Web site 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; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. All submissions 

should refer to File Number SR–CBOE– 

2015–008, and should be submitted on 

or before February 23, 2015. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2015–01869 Filed 1–30–15; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–74143; File No. SR–CBOE– 

2015–006] 

Self-Regulatory Organizations: 

Chicago Board Options Exchange, 

Incorporated; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend the Fees 

Schedule 

January 27, 2015. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’),1 and Rule 19b–4 thereunder,2

notice is hereby given that on January 

14, 2015, Chicago Board Options 

Exchange, Incorporated (the ‘‘Exchange’’ 

or ‘‘CBOE’’) filed with the Securities 

and Exchange Commission (the 

‘‘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 

The Exchange proposes to amend its 

Fees Schedule. The text of the proposed 

rule change is available on the 

Exchange’s Web site (http://

www.cboe.com/AboutCBOE/CBOELegal

RegulatoryHome.aspx), at the 

Exchange’s Office of the Secretary, and 

at the Commission’s Public Reference 

Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, the 

Exchange included statements 

concerning the purpose of and basis for 

the proposed rule change and discussed 

any comments it received on the 

proposed rule change. The text of these 

statements may be examined at the 

places specified in Item IV below. The 

Exchange has prepared summaries, set 

forth in sections A, B, and C below, of 

the most significant aspects of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

Fees Schedule.3 The Exchange currently 

assesses a Customer Priority Surcharge 

for VIX and VXST options that are 

executed electronically.4 More 

specifically, the Customer Priority 

Surcharge for VIX and VXST is assessed 

on all Customer (C) VIX and VXST 

contracts executed electronically that 

are Maker and not Market Turner. 

Additionally, the Surcharge is only 

assessed on such contracts that have a 

premium of $0.11 or greater. The 

Exchange has learned of a technical and 

billing issue that prevents the effective 

assessment of the Surcharge to complex 

orders. As such, the Exchange proposes 

to waive the Surcharge for VIX and 

VXST complex orders pending 

resolution 5 of the abovementioned 

billing issue.6

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with the 

mstockstill on DSK4VPTVN1PROD with NOTICES

Federal Register / Vol. 80, No. 21 / Monday, February 2, 2015 / Notices 5609 

7 15 U.S.C. 78f(b). 

8 15 U.S.C. 78f(b)(4). 

9 15 U.S.C. 78f(b)(5). 

10 Id. 

11See e.g., International Securities Exchange, LLC 

(‘‘ISE’’) Schedule of Fees, Section IV and also C2 

Fees Schedule, Section 1C and 1D. 

12 15 U.S.C. 78s(b)(3)(A). 

13 17 CFR 240.19b–4(f). 14 17 CFR 200.30–3(a)(12). 

Securities Exchange Act of 1934 (the 

‘‘Act’’) [sic] and the rules and 

regulations thereunder applicable to the 

Exchange and, in particular, the 

requirements of Section 6(b) of the Act.7

Specifically, the Exchange believes the 

proposed rule change is consistent with 

Section 6(b)(4) of the Act,8 which 

provides that Exchange rules may 

provide for the equitable allocation of 

reasonable dues, fees, and other charges 

among its Trading Permit Holders and 

other persons using its facilities. 

Additionally, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) 9 requirements that 

the rules of an exchange be designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in regulating, clearing, 

settling, processing information with 

respect to, and facilitation transactions 

in securities, to remove impediments to 

and perfect the mechanism of a free and 

open market and a national market 

system, and, in general, to protect 

investors and the public interest. The 

Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5)10 requirement that the rules of an 

exchange not be designed to permit 

unfair discrimination between 

customers, issuers, brokers, or dealers. 

In particular, the Exchange believes 

that waiving the Surcharge for VIX and 

VXST complex orders is reasonable, 

equitable and not unfairly 

discriminatory because it is waiving a 

fee that is currently subject to a billing 

issue and the waiver applies to all 

Trading Permit Holders. The Exchange 

believes it is equitable and not unfairly 

discriminatory to temporarily waive the 

Surcharge for complex orders and not 

simple orders because the electronic 

complex order book has a different 

order flow demographic and market 

model than that for simple orders. 

Further, the Exchange notes that other 

exchanges currently offer different 

pricing for complex orders than for 

simple orders.11 Additionally, waiving 

the Surcharge for complex orders 

pending resolution of the technical and 

billing issue eliminates potential 

misassessment of a fee and eliminates 

confusion, thereby removing 

impediments to and perfecting the 

mechanism for a free and open market 

system, and in general, protecting 

investors and the public interest. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

CBOE does not believe that the 

proposed rule change will impose any 

burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

Exchange does not believe that the 

proposed changes impose any burden 

on intramarket competition as the 

waiver of the Surcharge applies to all 

Trading Permit Holders. As such, the 

proposed changes are equitable among 

all market participants and are not 

unfairly discriminatory. Additionally, 

the proposed change merely addresses a 

technical and billing issue on CBOE. To 

the extent that the proposed change 

makes CBOE a more attractive 

marketplace for market participants at 

other exchanges, such participants are 

welcome to become CBOE market 

participants. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange neither solicited nor 

received comments on the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act 12 and paragraph (f) of Rule 

19b–4 13 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 will institute proceedings 

to determine whether the proposed rule 

change should be approved or 

disapproved. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

CBOE–2015–006 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Brent J. Fields, Secretary, Securities 

and Exchange Commission, 100 F Street 

NE., Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–CBOE–2015–006. 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 Web site (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 Web site 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; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. 

All submissions should refer to File 

Number SR–CBOE–2015–006 and 

should be submitted on or before 

February 23, 2015. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2015–01861 Filed 1–30–15; 8:45 am] 

BILLING CODE 8011–01–P 

mstockstill on DSK4VPTVN1PROD with NOTICES