400 South LaSalle Street › Chicago, IL 60605 › cboe.com

May 13, 2019

Christopher J. Kirkpatrick

Secretary

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

Re: Cboe Futures Exchange, LLC Rule Certification

Submission Number CFE-2019-009

Dear Mr. Kirkpatrick:

Pursuant to Section 5c(c)(1) of the Commodity Exchange Act, as amended (“Act”), and 

§40.6(a) of the regulations promulgated by the Commodity Futures Trading Commission (“CFTC” or 

“Commission”) under the Act, Cboe Futures Exchange, LLC (“CFE” or “Exchange”) hereby submits 

a CFE rule amendment (“Amendment”) relating to a rule of Cboe Exchange, Inc. (“Cboe Options”) 

that is incorporated into two CFE rules by reference. The Amendment will become effective on May

28, 2019.

CFE was originally formed by Cboe Options, which is a securities exchange affiliate of CFE. 

When CFE was approved as a Designated Contract Market (“DCM”), the Commission permitted CFE 

to incorporate certain Cboe Options rules into CFE’s rules by reference. In particular, CFE Rule 209 

(Business Conduct Committee) provides, in relevant part, that the functions and responsibilities of the 

CFE Business Conduct Committee shall be assumed by the business conduct committee of Cboe 

Options, as appointed from time to time pursuant to Cboe Options Rule 2.1(a). Similarly, CFE Rule 

211 (Appeals Committee) provides, in relevant part, that the functions and responsibilities of the CFE 

Appeals Committee shall be assumed by the appeals committee of Cboe Options, as appointed from 

time to time pursuant to Cboe Options Rule 2.1(a).

Cboe Options recently amended its rules to delete Cboe Options Rule 2.1(a) and to no longer 

include in its rules a specific rule regarding the appointment of Cboe Options committees. Instead, 

Cboe Options intends to rely upon the more general authority of its Board of Directors under the Cboe 

Options Bylaws with respect to the establishment of Cboe Options committees. Accordingly, CFE is 

amending CFE Rules 209 and 211 to delete reference to Cboe Options Rule 2.1(a) and to refer to the 

applicable Cboe Options committee as the business conduct committee or appeals committee appointed 

from time to time by Cboe Options.

CFE believes that the Amendment is consistent with Designated Contract Market Core 

Principle 7 (Availability of General Information) under Section 5 the Act because the Amendment 

updates provisions of the CFE Rulebook to remove reference to a Cboe Options rule that no longer 

exists.

CFE believes that the impact of the Amendment will be beneficial to the public and market 
2

participants. CFE is not aware of any substantive opposing views to the Amendment. CFE hereby 

certifies that the Amendment complies with the Act and the regulations thereunder. CFE further 

certifies that CFE has posted a notice of pending certification with the Commission and a copy of this 

submission on CFE’s Web site (http://cfe.cboe.com/aboutcfe/rules.aspx) concurrent with the filing of 

this submission with the Commission.

The Amendment, marked to show additions in underlined text and deletions in [bracketed] text, 

consists of the following:

* * * * *

Cboe Futures Exchange, LLC Rules

* * * * *

209. Business Conduct Committee

The functions and responsibilities of the Business Conduct Committee shall be 

assumed by the business conduct committee of Cboe Options, as appointed from time to time 

[pursuant to Cboe Options Rule 2.1(a)] by Cboe Options. The Business Conduct Committee 

shall not include any Exchange regulatory staff. The Business Conduct Committee shall have 

the authority and rights assigned to it in Chapter 7, which shall be exercised in each instance 

by a panel of the Business Conduct Committee (each such panel, a “BCC Panel”). Each BCC 

Panel shall consist of no fewer than three members of the Business Conduct Committee, each 

of whom shall be appointed by the chairman of the Business Conduct Committee. At least one 

member of the Business Conduct Committee and of each BCC Panel shall be an individual 

who would qualify as a Public Director as defined in Rule 201(b)(ii). No group or class of 

industry participants shall dominate or exercise disproportionate influence on the Business 

Conduct Committee or any BCC Panel. No member of a BCC Panel that considers whether to 

accept a settlement or letter of consent in a disciplinary matter under Chapter 7 shall be a 

member of the BCC Panel that conducts a hearing or summary proceedings in that matter under 

Chapter 7. No BCC Panel shall include any member of the Business Conduct Committee that 

has a financial, personal or other direct interest in the matter under consideration.

* * * * *

211. Appeals Committee

The functions and responsibilities of the Appeals Committee shall be assumed by the 

appeals committee of Cboe Options, as appointed from time to time [pursuant to Cboe Options 

Rule 2.1(a)] by Cboe Options. The Appeals Committee shall have the authority and rights 

assigned to it in Chapter 9.

* * * * *

Questions regarding this submission may be directed to Arthur Reinstein at (312) 786-7570 or 

Nicole Gordon at (312) 786-8109. Please reference our submission number CFE-2019-009 in any 
3

related correspondence.

Cboe Futures Exchange, LLC

/s/ Matthew McFarland

By: Matthew McFarland 

Managing Director