52534 Federal Register / Vol. 86, No. 180 / Tuesday, September 21, 2021 / Notices 

27 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3NOM Options 4, Section 2 has an extra ‘‘as’’. 

NOM Options 4, Section 3(a)(1) contains a ‘‘The’’ 

instead of ‘‘the.’’ NOM Options 4, Section 3(b) uses 

the term ‘‘foregoing’’ as compared to ‘‘forgoing’’ on 

ISE. NOM Options 4, Section 3(h) defines the term 

‘‘NMS stock’’ whereas ISE defines the term ‘‘NMS.’’ 

NOM Options 4, Section 3(k)(1)(B) has an extra 

‘‘this.’’ The term ‘‘such’’ within NOM Options 4, 

Section 4(f)(5) is lowercase. The title 

‘‘Supplementary Material to Options 4, Section 6’’ 

within Options 4, Section 4 should instead state, 

‘‘Supplementary Material to Options 4, Section 4.’’ 

NOM Options 4, Section 5(a) has an extra ‘‘by the 

Exchange.’’ NOM Options 4, Section 5(b) has a 

‘‘the’’ and ISE Options 4, Section 5(b) has a ‘‘that.’’ 

Options 4, Section 5(e) has a lowercase ‘‘rule’’ and 

unlike the same rule in ISE does not have the 

registered trademarks. NOM Supplementary .01(a) 

to Options 4, Section 5 uses ‘‘$50’’ instead of 

‘‘$50.00,’’ has the term ‘‘option’’ instead of 

‘‘options,’’ spells out ‘‘one hundred fifty’’ and 

incorrectly uses the term ‘‘LEAPS’’ instead of 

‘‘LEAPs.’’ NOM Supplementary .01(b) to Options 4, 

Section 5 has the terms ‘‘security’’ instead of 

‘‘stock’’ and ‘‘the’’ instead of ‘‘its.’’ NOM 

Supplementary .01(d) to Options 4, Section 5 uses 

the term ‘‘Strike Program’’ instead of ‘‘Strike Price 

Program;’’ uses an extra ‘‘the’’; and phrases the last 

paragraph as, ‘‘Notwithstanding the above delisting 

policy, the Exchange may grant member requests to 

add strikes and/or maintain strikes in series of 

options classes traded pursuant to the $1 Strike 

Program that are eligible for delisting.’’ The last 

paragraph of ISE Supplementary .01(d) to Options 

4, Section 5 states, ‘‘Notwithstanding the above 

delisting policy, Member requests to add strikes 

and/or maintain strikes in series of options classes 

traded pursuant to the $1 Strike Price Interval 

Program that are eligible for delisting may be 

granted.’’ These differences are non-substantive. 

NOM Supplementary .02(d) to Options 4, Section 

5 has the term ‘‘section’’ instead of ‘‘Rule.’’ NOM 

Supplementary .03(e) to Options 4, Section 5 has 

rule in lowercase. NOM Options 4, Section 6(a) uses 

a different phrase than ISE Options 4, Section 6(a), 

‘‘Select provisions of the OLPP’’ versus ‘‘The 

provisions set forth in this Rule’’. This 

aforementioned difference is non-substantive. NOM 

Options 4, Section 6(b)(3) uses the term ‘‘options’’ 

instead of ‘‘option.’’ NOM Options 4, Section 

6(b)(ii)(1) uses the term ‘‘options’’ instead of 

‘‘option,’’ the term ‘‘Strike Program’’ instead of 

‘‘Strike Price Interval Program’’ and, ‘‘rules’’ instead 

of ‘‘Rules.’’ NOM Options 4, Section 9 uses the term 

‘‘Fund Shares’’ instead of ‘‘Exchange-Traded Fund 

Shares.’’ 

4NOM Options 4, Section 4(b)(5) should cite to 

‘‘Options 4, Section 3(c)’’ instead of ‘‘Options 4, 

Section 3.’’ In addition, NOM Options 4, Section 

4(b)(5) has two stray commas. NOM Options 4, 

Section 4(f) has an extra ‘‘in’’. NOM Options 4, 

Section 4(g)(2) has an extra ‘‘of Options 4’’ and two 

stray commas. NOM Options 4, Section 5(d) 

incorrectly cites to Section 3(i) instead of Section 

3(h). NOM Options 4, Section 6(b) incorrectly cites 

to Section 3(i) instead of Section 3(h). NOM 

Options 4, Section 6(b)(i) incorrectly cites to 

Supplementary Material .03(d) instead of 

Supplementary Material .02(d). This paragraph also 

uses the term ‘‘options’’ instead of ‘‘option.’’ 

5See NOM Options 4, Section 3(c)(2). NOM 

utilizes citations to Options 4, Section 3(b)(1) and 

Options 4, Section 3(b)(2) instead of simply citing 

to ‘‘this Rules’’ as is the case with ISE Options 4, 

Section 3(c)(2). Other examples include NOM 

Options 4, Section 3(c)(3) which cites to Options 4, 

Section 3(b)(4), NOM Options 4, Section 

3(c)(4)(B)(ii) which cites to Options 4, Section 

3(b)(5)(i). 

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–NYSE–2021–50 and should 

be submitted on or before October 12, 

2021. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.27

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–20332 Filed 9–20–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–93003; File No. SR– 

NASDAQ–2021–070] 

Self-Regulatory Organizations; The 

Nasdaq Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Incorporate 

NOM Options 4 Rules by Reference to 

Nasdaq ISE, LLC Options 4 Rules 

September 15, 2021. 

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 

September 3, 2021, 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, 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 incorporate 

The Nasdaq Options Market LLC 

(‘‘NOM’’) Options 4 Rules by reference 

to Nasdaq ISE, LLC (‘‘ISE’’) Options 4 

Rules. 

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/nasdaq/rules, 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 NOM Options 4 Listing Rules 

provide for the options that may be 

listed and traded on NOM. The 

Exchange proposes to incorporate the 

NOM Options 4 Rules by reference to 

Nasdaq ISE, LLC (‘‘ISE’’) Options 4 

Rules. 

Currently, the NOM Options 4 Rules 

are very similar to the ISE Options 4 

Rules. The differences between the 

NOM and ISE Options 4 Rules are nonsubstantive technical differences.3 Other 

changes are non-substantive word 

choice differences.4 Finally, certain 

rules utilize the phrase ‘‘this Rule’’ 

instead of a citation.5 Of note, NOM 

Options 4, Section 3(h) does not list 

reverse repurchase agreements in the 

defined term ‘‘Financial Instruments’’. 

The Exchange proposes to include 

‘‘reverse repurchase agreements’’ within 

the list of securities deemed appropriate 

for options trading on NOM in order 

that the Exchange may list the same 

products as ISE may list today. Also, 

NOM Options 4, Section 8(a) should 

include the words ‘‘and continuity.’’ 

NOM’s continuity rules utilize the LEAP 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 86, No. 180 / Tuesday, September 21, 2021 / Notices 52535 

6The Exchange will separately request an 

exemption from the rule filing requirements of 

Section 19(b) of the Act for changes to NOM 

Options 4 Rules to the extent such rules are affected 

solely by virtue of a change to ISE Options 4 Rules. 

The Exchange’s proposed rule change will not 

become effective unless and until the Commission 

grants this exemption request. 

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

8 15 U.S.C. 78f(b)(5). 

9 15 U.S.C. 78s(b)(3)(A)(iii). 

10 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. 

term. ISE has this rule text within its 

Options 4, Section 8(a). 

The Exchange proposes to incorporate 

by reference the NOM Options 4 Rules 

to ISE Options 4 Rules. To that end, 

NOM proposes to replace the current 

NOM Options 4 Rules with the 

following rule text: 

The rules contained in Nasdaq ISE Options 

4, as such rules may be in effect from time 

to time (the ‘‘Options 4 Rules’’), are hereby 

incorporated by reference into this NOM 

Options 4, and are thus NOM Rules and 

thereby applicable to NOM Participants. 

NOM Participants shall comply with the 

Options 4 Rules as though such rules were 

fully set forth herein. All defined terms, 

including any variations thereof, contained 

in the Options 4 Rules shall be read to refer 

to the NOM related meaning of such term. 

Solely by way of example, and not in 

limitation or in exhaustion: The defined term 

‘‘Exchange’’ in the Options 4 Rules shall be 

read to refer to NOM; the defined term 

‘‘Rule’’ in the Options 4 Rules shall be read 

to refer to the NOM Rule; the defined terms 

‘‘Competitive Market Maker’’ and ‘‘Market 

Maker’’ in the Options 4 Rules shall be read 

to refer to the NOM Market Maker (NOM 

does not have an equivalent to the ‘‘Lead 

Market Maker’’ term on ISE); and the defined 

terms ‘‘Electronic Access Member,’’ ‘‘EAM,’’ 

or ‘‘Member’’ in the Options 4 Rules shall be 

read to refer to the NOM Participant. 

This rule text will account for 

differences that may exist in the usage 

of terms as between NOM and ISE. The 

proposed rule text list instances in 

which cross references in the ISE 

Options 4 Rules to NOM Options 4 

Rules shall be read to refer instead to 

the Exchange Rules, and references to 

ISE terms (whether or not defined) shall 

be read to refer to the Exchange-related 

meanings of those terms. For instance, 

references to defined terms ‘‘Exchange’’ 

or ‘‘ISE’’ shall be read to refer to ISE. 

The Exchange proposes to delete in 

their entirety the NOM Options 4 Rules 

and incorporate by reference the ISE 

Options 4 Rules.6 Today, the rules of 

Nasdaq GEMX, LLC and Nasdaq MRX, 

LLC are incorporated by reference to the 

rules of ISE. The Exchange will also 

separately file to incorporate the 

Options 4 Rules of Nasdaq BX, Inc. and 

Nasdaq Phlx LLC to the ISE Options 4 

Rules once those exchanges conform 

those rules, respectively, to ISE. The 

Exchange believes that harmonizing the 

Options 4 Rules across its 6 Nasdaq 

Affiliated Options Exchanges will assist 

the Exchange in listing options across 

its affiliated markets. Also, 

incorporating by reference the ISE 

Options 4 Rules into the Exchange’s 

rulebook will organize those listing 

rules in a more logical order, thereby 

eliminating unnecessary complexity in 

the listing process and otherwise 

streamlining the Exchange’s existing 

listing rules and their associated 

procedures. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Act,7 in general, and furthers the 

objectives of Section 6(b)(5) of the Act,8

in particular, in that it is designed to 

promote just and equitable principles of 

trade and to protect investors and the 

public interest. The Exchange believes 

that its proposal to delete its existing 

listing rules and incorporate by 

reference the ISE Options 4 Rules will 

promote a free and open market, and 

will benefit investors, the public, and 

the markets, because the new rules will 

be clearer, better organized, and 

simpler. Also, the proposal is just and 

equitable because it will render the 

Exchange’s listing rules easier for 

Participants to read and understand. 

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 does not expect that its 

proposed changes to incorporate NOM’s 

Options 4 Rules to ISE’s Options 4 Rules 

will have any competitive impact on 

NOM’s listing rules, to the contrary, the 

Exchange hopes that by clarifying, 

reorganizing, and streamlining its listing 

rules, the Exchange’s listing process will 

be clear. The proposed changes will 

apply equally to all market 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 

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)(iii) of the Act 9 and 

subparagraph (f)(6) of Rule 19b–4 

thereunder.10

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– 

NASDAQ–2021–070 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–2021–070. 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 


lotter on DSK11XQN23PROD with NOTICES1
52536 Federal Register / Vol. 86, No. 180 / Tuesday, September 21, 2021 / Notices 

11 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 204.19b–4(f)(6). 

5The term ‘‘Order Entry Firm’’ or ‘‘OEF’’ means 

a member organization that submits orders, as agent 

or principal, on the Exchange. See Phlx Options 1, 

Section 1(b)(32). 

6Phlx General 4 is incorporated by reference to 

the General 4 Rules of The Nasdaq Stock Market 

LLC. 

7 General 4, Rule 1220(a)(8) provides, in part, 

‘‘Each member that is engaged in transactions in 

options with the public shall have at least one 

Registered Options Principal. In addition, each 

principal as defined in paragraph (a)(1) of this Rule 

who is responsible for supervising a member’s 

options sales practices with the public shall be 

required to register with the Exchange as a 

Registered Options Principal, subject to the 

following exception. If a principal’s options 

activities are limited solely to those activities that 

may be supervised by a General Securities Sales 

Supervisor, then such person may register as a 

General Securities Sales Supervisor pursuant to 

paragraph (a)(10) of this Rule in lieu of registering 

as a Registered Options Principal.’’ 

8Supplementary Material .04 to General 4, Rule 

1220 provides, in part, ‘‘Any person required to be 

registered as a principal who supervises sales 

activities in corporate, municipal and option 

securities, investment company products, variable 

contracts, direct participation program securities 

and security futures may be registered solely as a 

General Securities Sales Supervisor. In addition to 

branch office managers, other persons such as 

regional and national sales managers may also be 

registered solely as General Securities Sales 

Supervisors as long as they supervise only sales 

activities.’’ 

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–2021–070 and 

should be submitted on or before 

October 12, 2021. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.11

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–20334 Filed 9–20–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–92986; File No. SR–Phlx– 

2021–52] 

Self-Regulatory Organizations; Nasdaq 

PHLX LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Adopt Phlx Options 

10, Section 5, Branch Office, and 

Options 10, Section 17, Profit Sharing 

Rules 

September 15, 2021. 

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 

September 3, 2021, Nasdaq PHLX LLC 

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

Securities and Exchange Commission 

(‘‘SEC’’ or ‘‘Commission’’) the proposed 

rule change as described in Items I, II, 

and III, below, which Items have been 

prepared by the Exchange. Phlx filed the 

proposal as a ‘‘non-controversial’’ 

proposed rule change pursuant to 

Section 19(b)(3)(A)(iii) of the Act 3 and 

Rule 19b–4(f)(6) thereunder.4 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 adopt new 

Phlx Options 10, Section 5, Branch 

Office, and Options 10, Section 17, 

Profit Sharing. The Exchange also 

proposes to amend General 9, Section 

58, and Options 10, Section 6, Opening 

of Accounts. 

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/phlx/rules, 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 Exchange proposes to adopt two 

new rules at Options 10, Section 5, 

Branch Office, and Options 10, Section 

17, Profit Sharing. The Exchange also 

proposes to amend General 9, Section 

58 and Options 10, Section 6, Opening 

of Accounts. Each change will be 

described below. 

Options 10, Section 5 

The Exchange proposes to adopt a 

new Options 10, Section 5, titled 

‘‘Branch Offices.’’ Options 10, Section 5 

is currently reserved. The proposed rule 

would be similar to Nasdaq BX, Inc. 

(‘‘BX’’) and The Nasdaq Options Market 

LLC (‘‘NOM’’) Options 10, Section 5. 

The proposed rule text would provide, 

(a) Every OEF approved to do options 

business with the public under this Options 

10 shall file with Phlx Regulation and keep 

current a list of each of its branch offices 

showing the location of each such office and 

the name of the manager of each such office. 

(b) No branch office of an OEF shall 

transact options business with the public 

unless the manager of such branch office has 

been qualified as a Options Principal or 

General Securities Sales Supervisor; 

provided, that this requirement shall not 

apply to branch offices in which not more 

than three (3) representatives are located so 

long as the OEF can demonstrate to the 

satisfaction of Phlx Regulation that the 

options activities of such branch offices are 

appropriately supervised by a Options 

Principal or General Securities Sales 

Supervisor. 

Similar to BX and NOM, Phlx would 

require every Order Entry Firm or 

‘‘OEF’’ 5 that is approved to do business 

with the public pursuant to Options 10 

to file with Phlx Regulation a list of 

each branch office. The list must 

include the location of the branch office 

and the name of the manager of the 

office. The OEF must keep this list 

current. Further, an OEF must ensure 

that the branch office manager is 

qualified prior to transacting business 

with the public in the branch office. A 

manager must be registered as an 

Options Principal or General Securities 

Sales Supervisor, unless there are not 

more than three representatives in that 

branch office and the OEF can 

demonstrate to the satisfaction of Phlx 

Regulation that the options activities of 

such branch offices are appropriately 

supervised by an Options Principal or 

General Securities Sales Supervisor. 

Currently, Phlx General 4,6 Section 

1220(a)(8) 7 and Supplementary Material 

.04 of that rule 8 require the manager to 

be registered as an Options Principal or 

General Securities Sales Supervisor. In 


lotter on DSK11XQN23PROD with NOTICES1