7050 Federal Register / Vol. 80, No. 26 / Monday, February 9, 2015 / Notices 

10 15 U.S.C. 78s(b)(3)(a)(ii). 

11 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6) requires a self-regulatory organization to give 

the Commission written notice of its intent to file 

the proposed rule change at least five business days 

prior to the date of filing of the proposed rule 

change, or such shorter time as designated by the 

Commission. The Exchange has satisfied this 

requirement. 12 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 73512 

(Nov. 3, 2014), 79 FR 66442 (‘‘Notice’’). 

4All comments on the proposed rule change, 

including Amendment No. 1, are available on the 

Commission’s Web site at: http://www.sec.gov/

comments/sr-nysearca-2014-107/

nysearca2014107.shtml. 

5See Securities Exchange Act Release No. 73810, 

79 FR 74783 (Dec. 16, 2014). The Commission 

determined that it was appropriate to designate a 

longer period within which to take action on the 

proposed rule change so that it has sufficient time 

to consider the proposed rule change. Accordingly, 

the Commission designated February 5, 2015 as the 

date by which it should approve, disapprove, or 

institute proceedings to determine whether to 

disapprove the proposed rule change. 

6 15 U.S.C. 78s(b)(2)(B). 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

proposed rule change is not designed to 

address any competitive issues and does 

not pose an undue burden on nonClearing Participants because, unlike 

Clearing Participants, non-Clearing 

Participants do not guarantee the 

execution of a Participant’s transactions 

on the Exchange. The proposal is 

structured to offer the same 

enhancement to all Clearing 

Participants, regardless of size, and 

would not impose a competitive burden 

on any Participant. Any Participant that 

does not wish to share its designated 

risk settings with its Clearing 

Participant could avoid sharing such 

settings by becoming a Clearing 

Participant. 

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 

Because the foregoing proposed rule 

change does not: (i) Significantly affect 

the protection of investors or the public 

interest; (ii) impose any significant 

burden on competition; and (iii) become 

operative for 30 days from the date on 

which it was filed, or such shorter time 

as the Commission may designate, it has 

become effective pursuant to Section 

19(b)(3)(A)(ii) [sic] of the Act 10 and 

subparagraph (f)(6) of Rule 19b–4 

thereunder.11

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: (i) Necessary or appropriate in 

the public interest; (ii) for the protection 

of investors; or (iii) 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– 

BX–2015–007 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–BX–2015–007. 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 

offices 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–BX– 

2015–007, and should be submitted on 

or before March 2, 2015. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.12

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2015–02502 Filed 2–6–15; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–74199; File No. SR– 

NYSEArca–2014–107] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Order Instituting 

Proceedings To Determine Whether To 

Approve or Disapprove Proposed Rule 

Change, as Modified by Amendment 

No. 1 Thereto, To Reflect Changes to 

the Means of Achieving the Investment 

Objective Applicable to the 

Guggenheim Enhanced Short Duration 

ETF 

February 3, 2015. 

On October 21, 2014, NYSE Arca, Inc. 

(‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

19(b)(1) of the Securities Exchange Act 

of 1934 (‘‘Act’’) 1 and Rule 19b–4 

thereunder,2 a proposed rule change to 

reflect certain changes to the description 

of the Guggenheim Enhanced Short 

Duration ETF (‘‘Fund’’), a series of 

Claymore Exchange-Traded Fund Trust 

(‘‘Trust’’). On October 29, 2014, the 

Exchange filed Amendment No. 1 to the 

proposed rule change. The proposed 

rule change was published for comment 

in the Federal Register on November 7, 

2014.3 The Commission received one 

comment on the proposal.4 On 

December 10, 2014, the Commission 

designated a longer period within which 

to approve the proposed rule change, 

disapprove the proposed rule change, or 

institute proceedings to determine 

whether to disapprove the proposed 

rule change.5 This Order institutes 

proceedings under Section 19(b)(2)(B) of 

the Act 6 to determine whether to 

approve or disapprove the proposed 

rule change, as modified by Amendment 

No. 1 thereto. 

I. Description of the Proposal 

The Exchange proposes to reflect a 

change, as described below, to the 

mstockstill on DSK4VPTVN1PROD with NOTICES

Federal Register / Vol. 80, No. 26 / Monday, February 9, 2015 / Notices 7051 

7According to the Prior Release (defined below), 

the Fund uses a low duration strategy to seek to 

outperform the 1–3 month Treasury Bill Index, in 

addition to providing returns in excess of those 

available in U.S. Treasury bills, government 

repurchase agreements, and money market funds, 

while providing preservation of capital and daily 

liquidity. The Prior Release states that the Fund 

would hold under normal circumstances a 

diversified portfolio of fixed income instruments of 

varying maturities, but that have an average 

duration of less than 1 year. 

8See Securities Exchange Act Release No. 64550 

(May 26, 2011), 76 FR 32005 (June 2, 2011) (SR– 

NYSEArca–2011–11) (order approving listing and 

trading on the Exchange of the Guggenheim 

Enhanced Core Bond ETF and Guggenheim 

Enhanced Ultra-Short Bond ETF) (‘‘Prior Order’’). 

See also Securities Exchange Act Release No. 64224 

(Apr. 7, 2011), 76 FR 20401 (Apr. 12, 2011) (SR– 

NYSEArca–2011–11) (‘‘Prior Notice,’’ and together 

with the Prior Order, collectively ‘‘Prior Release’’). 

9The Trust is registered under the Investment 

Company Act of 1940 (‘‘1940 Act’’). On September 

27, 2013, the Trust filed with the Commission an 

amendment to its registration statement on Form N– 

1A under the Securities Act of 1933 (‘‘Securities 

Act’’) and the 1940 Act relating to the Fund (File 

Nos. 333–134551 and 811–21906) (‘‘Registration 

Statement’’). In addition, according to the 

Exchange, the Trust has obtained certain exemptive 

relief under the1940 Act. See Investment Company 

Act Release No. 29271, May 18, 2010 (File No. 812– 

13534). 

10Under the proposal, the Exchange seeks to 

reflect certain other conforming or clarifying 

changes to the description of the measures that the 

Adviser will utilize to implement the Fund’s 

investment objective. These other proposed changes 

can be found in more detail in the Notice. See supra 

note 3. 

11As stated in the Prior Release, the Fund may 

invest in MBS or other ABS issued or guaranteed 

by private issuers. The MBS in which the Fund may 

invest may also include residential MBS, 

collateralized mortgage obligations, and commercial 

MBS. In addition, the ABS in which the Fund may 

invest include collateralized debt obligations. 

12Specifically, the Exchange notes that such ABS 

are bonds backed by pools of loans or other 

receivables and are securitized by a wide variety of 

assets that are generally broken into three 

categories: Consumer, commercial, and corporate. 

The consumer category includes credit card, auto 

loan, student loan, and timeshare loan ABS. The 

commercial category includes trade receivables, 

equipment leases, oil receivables, film receivables, 

rental cars, aircraft securitizations, ship and 

container securitizations, whole business 

securitizations, and diversified payment right 

securitizations. Corporate ABS include cash flow 

collateralized loan obligations, collateralized by 

both middle market and broadly syndicated bank 

loans. ABS are issued through special purpose 

vehicles that are bankruptcy remote from the issuer 

of the collateral. The credit quality of an ABS 

tranche depends on the performance of the 

underlying assets and the structure. To protect ABS 

investors from the possibility that some borrowers 

could miss payments or even default on their loans, 

ABS include various forms of credit enhancement. 

13According to the Prior Release, the Fund may 

invest no more than 10% of its net assets in high 

yield securities, which are debt securities that are 

rated below investment grade by nationally 

recognized statistical rating organizations, or are 

unrated securities that the Adviser believes are of 

comparable quality. 

14The Fund will target floating rate, shorter 

maturity, shorter spread duration and other 

amortizing securities. These securities’ maturity 

and spread duration are consistent with the Fund’s 

investment objective. 

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

16 Id. 

17 15 U.S.C. 78f(b)(5). 

description of the measures that 

Guggenheim Funds Investment 

Advisors, LLC (‘‘Adviser’’) may use to 

implement the Fund’s investment 

objective, which is to seek maximum 

current income, consistent with 

preservation of capital and daily 

liquidity.7 The shares of the Fund 

(‘‘Shares’’) are currently listed and 

traded on the Exchange under NYSE 

Arca Equities Rule 8.600,8 which 

governs the listing and trading of 

Managed Fund Shares. The Shares are 

offered by the Trust, a statutory trust 

organized under the laws of the State of 

Delaware and registered with the 

Commission as an open-end 

management investment company.9 The 

Exchange represents that the Fund and 

the Shares are currently in compliance 

with the listing standards and other 

rules of the Exchange and the 

requirements set forth in the Prior 

Release. 

Specifically, the proposal seeks to 

reflect a change to the Fund’s limitation 

on investments in certain asset-backed 

securities (‘‘ABS’’).10 According to the 

Prior Release, the Fund may invest up 

to 10% of its assets in mortgage-backed 

securities (‘‘MBS’’) or in other ABS.11

This 10% limitation does not apply to 

securities issued or guaranteed by 

federal agencies or U.S. government 

sponsored instrumentalities, such as the 

Government National Mortgage 

Administration (‘‘GNMA’’), the Federal 

Housing Administration (‘‘FHA’’), the 

Federal National Mortgage Association 

(‘‘FNMA’’), and the Federal Home Loan 

Mortgage Corporation (‘‘FHLMC’’). 

Under the proposal, the Fund would be 

permitted to invest up to 50% of its 

assets in ABS that are not mortgagerelated.12 This 50% limitation would 

not apply to securities issued or 

guaranteed by federal agencies or U.S. 

government sponsored 

instrumentalities, such as GNMA, FHA, 

FNMA, and FHLMC. The Fund would 

continue to be subject to a 10% limit on 

investments in MBS that are not issued 

or guaranteed by federal agencies or 

U.S. government sponsored 

instrumentalities. In addition, the 

Fund’s holdings in MBS and ABS 

would be subject to the respective 

limitations on the Fund’s investments in 

illiquid assets (as described below) and 

high yield securities.13

The Exchange states that this change 

to the Fund’s investment limitations 

would allow the Adviser to better 

achieve the Fund’s investment objective 

to seek maximum current income, 

consistent with preservation of capital 

and daily liquidity. In addition, 

according to the Exchange, the Fund’s 

increased investment in ABS that are 

not mortgage-related would continue to 

adhere to the Fund’s investment strategy 

of investing in short duration fixed 

income securities.14 The Exchange 

asserts that, due to the quality of ABS 

in which the Fund will invest, the 

Adviser does not expect that the Fund’s 

additional investments in ABS that are 

not mortgage-related will expose the 

Fund to additional liquidity risk. 

The Exchange states that there is no 

change to the Fund’s investment 

objective and represents that the Fund 

will continue to comply with all initial 

and continued listing requirements 

under NYSE Arca Equities Rule 8.600. 

In addition, the Exchange represents 

that, other than the proposed change 

described above and in the Notice, all 

other facts presented and 

representations made in the Prior 

Release remain unchanged. 

II. Proceedings To Determine Whether 

To Approve or Disapprove SR– 

NYSEArca–2014–107 and Grounds for 

Disapproval Under Consideration 

The Commission is instituting 

proceedings pursuant to Section 

19(b)(2)(B) of the Act 15 to determine 

whether the proposed rule change 

should be approved or disapproved. 

Institution of such proceedings is 

appropriate at this time in view of the 

legal and policy issues raised by the 

proposed rule change. Institution of 

proceedings does not indicate that the 

Commission has reached any 

conclusions with respect to any of the 

issues involved. Rather, as described 

below, the Commission seeks and 

encourages interested persons to 

provide comments on the proposed rule 

change. 

Pursuant to Section 19(b)(2)(B) of the 

Act,16 the Commission is providing 

notice of the grounds for disapproval 

under consideration. The Commission is 

instituting proceedings to allow for 

additional analysis of the proposed rule 

change’s consistency with Section 

6(b)(5) of the Act, which requires, 

among other things, that the rules of a 

national securities exchange be 

‘‘designed to prevent fraudulent and 

manipulative acts and practices, to 

promote just and equitable principles of 

trade,’’ and ‘‘to protect investors and the 

public interest.’’ 17

III. Procedure: Request for Written 

Comments 

The Commission requests that 

interested persons provide written 

mstockstill on DSK4VPTVN1PROD with NOTICES

7052 Federal Register / Vol. 80, No. 26 / Monday, February 9, 2015 / Notices 

18See supra note 3. 

19Section 19(b)(2) of the Act, as amended by the 

Securities Act Amendments of 1975, Public Law 

94–29 (June 4, 1975), grants the Commission 

flexibility to determine what type of proceeding— 

either oral or notice and opportunity for written 

comments—is appropriate for consideration of a 

particular proposal by a self-regulatory 

organization. See Securities Act Amendments of 

1975, Senate Comm. on Banking, Housing & Urban 

Affairs, S. Rep. No. 75, 94th Cong., 1st Sess. 30 

(1975). 

20 17 CFR 200.30–3(a)(57). 

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

2 17 CFR 240.19b–4. 

submissions of their views, data, and 

arguments with respect to the proposal 

summarized above and information 

described in the Notice,18 as well as any 

other concerns they may have with the 

proposal. In particular, the Commission 

invites the written views of interested 

persons concerning whether the 

proposal is consistent with Section 

6(b)(5) or any other provision of the Act, 

or the rules and regulations thereunder. 

Although there do not appear to be any 

issues relevant to approval or 

disapproval that would be facilitated by 

an oral presentation of views, data, and 

arguments, the Commission will 

consider, pursuant to Rule 19b–4, any 

request for an opportunity to make an 

oral presentation.19

Interested persons are invited to 

submit written data, views, and 

arguments regarding whether the 

proposal should be approved or 

disapproved by March 2, 2015. Any 

person who wishes to file a rebuttal to 

any other person’s submission must file 

that rebuttal by March 16, 2015. 

The Commission asks that 

commenters address the sufficiency and 

merit of the Exchange’s and 

commenter’s statements in support of 

the proposal, in addition to any other 

comments they may wish to submit 

about the proposed rule change. In 

particular, the Commission seeks 

comment on the following: 

1. Does the Notice contain sufficient 

information about the Fund’s proposed 

investments in ABS for commenters to 

evaluate the liquidity and transparency 

of the underlying markets for those 

ABS? 

2. What are commenters’ views on the 

liquidity of the Fund’s proposed 

holdings in ABS? What are commenters’ 

views on pricing transparency in the 

market for these ABS? Does the pricing 

transparency vary for investors, market 

makers, and other market participants? 

If so, how and why? 

3. The Exchange states that, because 

the preponderance of the Fund’s 

investments in ABS will be in 

investment-grade instruments, ‘‘the 

Adviser does not expect that the 

proposed additional investments in ABS 

that are not mortgage-related will 

expose the Fund to additional liquidity 

risk.’’ Do commenters agree? Why or 

why not? 

4. Do commenters believe that the 

proposal to increase the Fund’s holdings 

in ABS would have any effect on the 

arbitrage mechanism with respect to the 

Fund? If so, what effect and why? If not, 

why not? Do commenters believe that 

the proposed change in the Fund’s 

investments would have any effect on 

market pricing of the Fund relative to its 

net asset value? Why or why not? 

5. What are commenters’ views on 

whether the Fund’s proposal to increase 

its ABS holdings would affect the ability 

of market makers to make markets in the 

Shares of the Fund? 

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– 

NYSEArca–2014–107 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 

Numbers SR–NYSEArca–2014–107. 

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 these 

filings 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– 

NYSEArca–2014–107 and should be 

submitted on or before March 2, 2015. 

Rebuttal comments should be submitted 

by March 16, 2015. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.20

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2015–02512 Filed 2–6–15; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–74190; File No. SR– 

NASDAQ–2015–006] 

Self-Regulatory Organizations; The 

NASDAQ Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Modify the 

List of Securities Eligible for the Select 

Symbol Program Under Rule 7018(a)(4) 

February 3, 2015. 

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 January 

27, 2015, The NASDAQ Stock Market 

LLC (‘‘NASDAQ’’ or ‘‘Exchange’’) filed 

with the Securities and Exchange 

Commission (‘‘SEC’’ or ‘‘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 the Substance 

of the Proposed Rule Change 

The Exchange proposes to modify the 

list of securities eligible for the Select 

Symbol program under Rule 7018(a)(4). 

The text of the proposed rule change 

is available on the Exchange’s Web site 

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 

mstockstill on DSK4VPTVN1PROD with NOTICES