21230 Federal Register / Vol. 87, No. 69 / Monday, April 11, 2022 / Notices 

20 17 CFR 240.17Ad–22(e)(6)(vi)(A). 

21The CDS Back-Testing Policy requires that ICE 

Clear Europe conduct back-testing daily. See SelfRegulatory Organizations; ICE Clear Europe 

Limited; Order Approving Proposed Rule Change 

Relating to Amendments to the ICE Clear Europe 

CDS Risk Policy (the ‘‘CDS Risk Policy’’), CDS 

Clearing Back-Testing Policy (the ‘‘Back-Testing 

Policy’’) and CDS Stress-Testing Policy (the ‘‘StressTesting Policy’’) (Collectively, the ‘‘CDS Policies’’), 

Exchange Act Release No. 85236 (Mar. 1, 2019); 84 

FR 8348 (Mar. 7, 2019) (SR–ICEEU–2018–010). 

22 17 CFR 240.17Ad–22(e)(6)(vi)(A). 

23 15 U.S.C. 78q–1(b)(3)(F). 

24 17 CFR 240.17Ad–22(e)(4)(vi)(A) and 17 CFR 

240.17Ad–22(e)(6)(vi)(A). 

25 15 U.S.C. 78s(b)(2). 

26 In approving the proposed rule change, the 

Commission considered the proposal’s impact on 

efficiency, competition, and capital formation. 15 

U.S.C. 78c(f). 

27 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3 17 CFR 240.19b–4(f)(6). 

4 If the Exchange seeks to provide additional 

temporary relief from the rule requirements 

identified in this proposed rule change beyond July 

31, 2022, the Exchange will submit a separate rule 

filing to further extend the temporary extension of 

time. The amended Exchange rules will revert to 

their original form at the conclusion of the 

temporary relief period and any extension thereof. 

5See Securities Exchange Act Release No. 94430 

(March 16, 2022), 87 FR 16262 (March 22, 2022) 

(Notice of Filing and Immediate Effectiveness of 

File No. SR–FINRA–2022–004) (‘‘FINRA Filing’’). 

The Exchange notes that the FINRA Filing also 

proposed to temporarily amend FINRA Rules 9261, 

9524, and 9830, which govern hearings in 

connection with appeals of disciplinary actions, 

eligibility proceedings, and temporary and 

permanent cease and desist orders. The Exchange’s 

Rules 9261, 9524, and 9830 incorporate by 

reference The Nasdaq Stock Market LLC rules, 

which are the subject of a separate filing. See SR– 

NASDAQ–2022–028. Therefore, the Exchange is not 

proposing to adopt that aspect of the FINRA Filing. 

6See Securities Exchange Act Release No. 93853 

(December 22, 2021), 86 FR 74164 (December 29, 

2021) (Notice of Filing and Immediate Effectiveness 

of File No. SR–Phlx–2021–75); see also Securities 

Exchange Act Release No. 92906 (September 9, 

2021), 86 FR 51404 (September 15, 2021) (Notice of 

Filing and Immediate Effectiveness of File No. SR– 

Phlx–2021–49); Securities Exchange Act Release 

No. 91766 (May 4, 2021), 86 FR 25014 (May 10, 

2021) (Notice of Filing and Immediate Effectiveness 

of File No. SR–Phlx–2021–27); Securities Exchange 

Act Release No. 90758 (December 21, 2020), 85 FR 

85782 (December 29, 2020) (Notice of Filing and 

Immediate Effectiveness of File No. SR–Phlx–2020– 

053). 

by conducting backtests of its margin 

model at least once each day using 

standard predetermined parameters and 

assumptions.20 As discussed above, the 

Commission believes the changes to the 

CDS Back-Testing Policy would overall 

make the policy easier to use and apply. 

Because ICE Clear Europe uses the CDS 

Back-Testing Policy to conduct daily 

backtests of its margin model, the 

Commission believes these aspects of 

the proposed rule change should help to 

ensure that ICE Clear Europe conducts 

backtests of its margin model at least 

once each day using standard 

predetermined parameters and 

assumptions.21 Therefore, the 

Commission finds that this aspect of the 

proposed rule change is consistent with 

Rule 17Ad–22(e)(6)(vi)(A).22

IV. Conclusion 

On the basis of the foregoing, the 

Commission finds that the proposed 

rule change is consistent with the 

requirements of the Act, and in 

particular, with the requirements of 

Section 17A(b)(3)(F) of the Act,23 and 

Rules 17Ad–22(e)(4)(vi)(A) and 17Ad– 

22(e)(6)(vi)(A) thereunder.24

It is therefore ordered pursuant to 

Section 19(b)(2) of the Act 25 that the 

proposed rule change (SR–ICEEU–2022– 

004) be, and hereby is, approved.26

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.27

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–07623 Filed 4–8–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94611; File No. SR–Phlx– 

2022–15] 

Self-Regulatory Organizations; Nasdaq 

PHLX LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Extend the Expiration 

Date of the Temporary Amendments 

Concerning Video Conference 

Hearings 

April 5, 2022. 

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 March 23, 

2022, 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 and II 

below, which Items have been prepared 

by the Exchange. The Exchange has 

designated the proposed rule change as 

constituting a ‘‘non-controversial’’ rule 

change under paragraph (f)(6) of Rule 

19b–4 under the Act,3 which renders 

the proposal effective upon receipt of 

this filing by the Commission. 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 

expiration date of the temporary 

amendments in SR–Phlx–2020–53 from 

March 31, 2022, to July 31, 2022.4 The 

proposed rule change would not make 

any changes to the text of the Exchange 

rules. 

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 continue to 

harmonize Exchange Rule General 3, 

Section 16 with recent changes by the 

Financial Industry Regulatory 

Authority, Inc. (‘‘FINRA’’) to its Rule 

1015 in response to the COVID–19 

global health crisis and the 

corresponding need to restrict in-person 

activities.5 The Exchange originally 

filed proposed rule change SR–Phlx– 

2020–53, which allows the Exchange 

Review Council (‘‘ERC’’) to conduct 

hearings in connection with appeals of 

Membership Application Program 

decisions, on a temporary basis, by 

video conference, if warranted by the 

current COVID–19-related public health 

risks posed by an in-person hearing. In 

December 2021, the Exchange filed a 

proposed rule change, SR–Phlx–2021– 

75, to extend the expiration date of the 

temporary amendments in SR–Phlx– 

2020–53 from December 31, 2021, to 

March 31, 2022.6 While there are 

material signs of improvement, 

uncertainty still remains for the coming 

months. The continued presence of 

COVID–19 variants, dissimilar 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 87, No. 69 / Monday, April 11, 2022 / Notices 21231 

7For example, on February 18, 2022, President 

Joe Biden continued the national emergency 

concerning COVID–19 beyond March 1, 2022, 

because COVID–19 ‘‘continues to cause significant 

risk to the public health and safety’’ of the United 

States. See Continuation of the National Emergency 

Concerning the Coronavirus Disease 2019 (COVID– 

19) Pandemic, 87 FR 10289 (February 23, 2022). 

8For instance, the Centers for Disease Control 

(‘‘CDC’’) recommends that people wear a mask in 

public indoor settings in areas with a high COVID– 

19 community level regardless of vaccination status 

or individual risk. See https://www.cdc.gov/ 

coronavirus/2019-ncov/prevent-getting-sick/aboutface-coverings.html. Furthermore, numerous states 

currently have COVID–19 restrictions in place. 

Hawaii requires most people to wear masks in 

indoor public places regardless of vaccination 

status and several other states have mask mandates 

in certain settings, such as healthcare and 

correctional facilities. 

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

10 15 U.S.C. 78f(b)(5). 

11See supra note 5. 

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

13 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. 

14 17 CFR 240.19b–4(f)(6). 

15 17 CFR 240.19b–4(f)(6)(iii). 

vaccination rates throughout the United 

States, and the current medium to high 

COVID–19 community levels in many 

states indicate that COVID–19 remains 

an active and real public health 

concern.7 Due to the uncertainty and the 

lack of a clear timeframe for a sustained 

and widespread abatement of COVID– 

19-related health concerns and 

corresponding restrictions,8 the 

Exchange believes that there is a 

continued need for temporary relief 

beyond March 31, 2022. Accordingly, 

the Exchange proposes to extend the 

expiration date of the temporary rule 

amendments in SR–Phlx–2020–53 from 

March 31, 2022, to July 31, 2022. 

As set forth in SR–Phlx–2020–53, the 

Exchange also relies on COVID–19 data 

and criteria to determine whether the 

current public health risks presented by 

an in-person hearing may warrant a 

hearing by video conference. Based on 

that data and criteria, the Exchange does 

not believe the COVID–19-related health 

concerns necessitating this relief will 

meaningfully subside by March 31, 

2022, and believes that there will be a 

continued need for this temporary relief 

beyond that date. Accordingly, the 

Exchange proposes to extend the 

expiration date of the temporary rule 

amendments originally set forth in SR– 

Phlx–2020–53 from March 31, 2022, to 

July 31, 2022. The extension of the 

temporary amendments allowing for 

specified ERC hearings to proceed by 

video conference will allow the 

Exchange’s critical adjudicatory 

functions to continue to operate 

effectively in these extraordinary 

circumstances—enabling the Exchange 

to fulfill its statutory obligations to 

protect investors and maintain fair and 

orderly markets—while also protecting 

the health and safety of hearing 

participants. 

The Exchange has filed the proposed 

rule change for immediate effectiveness 

and has requested that the SEC waive 

the requirement that the proposed rule 

change not become operative for 30 days 

after the date of the filing, so the 

Exchange can implement the proposed 

rule change immediately. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Act,9 in general, and furthers the 

objectives of Section 6(b)(5) of the Act,10

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, by 

providing greater harmonization 

between the Exchange rules and FINRA 

rules of similar purpose,11 resulting in 

less burdensome and more efficient 

regulatory compliance. 

The proposed rule change, which 

extends the expiration date of the 

temporary amendments to the Exchange 

rules set forth in SR–Phlx–2020–53, will 

continue to aid the Exchange’s efforts to 

timely conduct hearings in connection 

with its core adjudicatory functions. 

Given the current and frequently 

changing COVID–19 conditions and the 

uncertainty around when those 

conditions will see meaningful, 

widespread and sustained 

improvement, without this relief 

allowing ERC hearings to proceed by 

video conference, the Exchange might 

be required to postpone some or almost 

all hearings indefinitely. The Exchange 

must be able to perform its critical 

adjudicatory functions to fulfill its 

statutory obligations to protect investors 

and maintain fair and orderly markets. 

As such, this relief is essential to the 

Exchange’s ability to fulfill its statutory 

obligations and allows hearing 

participants to avoid the serious 

COVID–19-related health and safety 

risks associated with in-person hearings. 

Among other things, this relief will 

allow the ERC to timely provide 

members, disqualified individuals and 

other applicants an approval or denial 

of their applications. As set forth in 

detail in SR–Phlx–2020–53, this 

temporary relief allowing ERC hearings 

to proceed by video conference accounts 

for fair process considerations and will 

continue to provide fair process while 

avoiding the COVID–19-related public 

health risks for hearing participants. 

Accordingly, the proposed rule change 

extending this temporary relief is in the 

public interest and consistent with the 

Act’s purpose. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the temporary proposed rule change 

will impose any burden on competition 

not necessary or appropriate in 

furtherance of the purposes of the Act. 

As set forth in SR–Phlx–2020–53, the 

proposed rule change is intended solely 

to extend temporary relief necessitated 

by the continued impacts of the COVID– 

19 outbreak and the related health and 

safety risks of conducting in-person 

activities. The Exchange believes that 

the proposed rule change will prevent 

unnecessary impediments to its 

operations, including its critical 

adjudicatory processes, and its ability to 

fulfill its statutory obligations to protect 

investors and maintain fair and orderly 

markets that would otherwise result if 

the temporary amendments were to 

expire on March 31, 2022. 

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 12 and 

subparagraph (f)(6) of Rule 19b–4 

thereunder.13

A proposed rule change filed under 

Rule 19b–4(f)(6) 14 normally does not 

become operative prior to 30 days after 

the date of the filing. However, pursuant 

to Rule 19b–4(f)(6)(iii),15 the 

Commission may designate a shorter 

time if such action is consistent with the 

protection of investors and the public 

interest. The Exchange has asked the 

Commission to waive the 30-day 

operative delay so that the proposal may 

become operative immediately upon 


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21232 Federal Register / Vol. 87, No. 69 / Monday, April 11, 2022 / Notices 

16See supra Item II. 

17See FINRA Filing, 86 FR 16262, 16264 (noting 

the same in granting FINRA’s request to waive the 

30-day operative delay so that SR–FINRA–2022– 

004 would become operative immediately upon 

filing). 

18See supra note 6. 

19See supra note 4. As noted above, the Exchange 

states that if it requires temporary relief from the 

rule requirements identified in this proposal 

beyond July 31, 2022, it may submit a separate rule 

filing to extend the effectiveness of the temporary 

relief under these rules. 

20For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule change’s impact on efficiency, 

competition, and capital formation. See 15 U.S.C. 

78c(f). 

21 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3See Exchange Rule 1.5(p). 

filing. The Exchange has indicated that 

the proposed rule change to extend the 

expiration date will continue to prevent 

unnecessary impediments to its 

operations, including its critical 

adjudicatory processes, and its ability to 

fulfill its statutory obligations to protect 

investors and maintain fair and orderly 

markets that would otherwise result if 

the temporary amendments were to 

expire on March 31, 2022.16

Importantly, extending the temporary 

relief provided in SR–Phlx–2020–53 

immediately upon filing and without a 

30-day operative delay will allow the 

Exchange to continue critical 

adjudicatory and review processes in a 

reasonable and fair manner and meet its 

critical investor protection goals, while 

also following best practices with 

respect to the health and safety of its 

employees.17 The Commission also 

notes that this proposal extends without 

change the temporary relief previously 

provided by SR–Phlx–2020–53.18 As 

proposed, the temporary changes would 

be in place through July 31, 2022 and 

the amended rules will revert back to 

their original state at the conclusion of 

the temporary relief period and, if 

applicable, any extension thereof.19 For 

these reasons, the Commission believes 

that waiver of the 30-day operative 

delay for this proposal is consistent 

with the protection of investors and the 

public interest. Accordingly, the 

Commission hereby waives the 30-day 

operative delay and designates the 

proposal operative upon filing.20

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– 

Phlx–2022–15 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–Phlx–2022–15. 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; 

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–Phlx– 

2022–15 and should be submitted on or 

before May 2, 2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.21

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–07626 Filed 4–8–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94614; File No. SR–MEMX– 

2022–03] 

Self-Regulatory Organizations; MEMX 

LLC; Notice of Filing and Immediate 

Effectiveness of a Proposed Rule 

Change To Amend the Exchange’s Fee 

Schedule To Adopt Market Data Fees 

April 5, 2022. 

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 March 24, 

2022, MEMX LLC (‘‘MEMX’’ or the 

‘‘Exchange’’) 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 is filing with the 

Commission a proposed rule change to 

amend the Exchange’s fee schedule 

applicable to Members 3 and nonMembers (the ‘‘Fee Schedule’’) pursuant 

to Exchange Rules 15.1(a) and (c). The 

Exchange proposes to implement the 

changes to the Fee Schedule pursuant to 

this proposal on April 1, 2022. The text 

of the proposed rule change is provided 

in Exhibit 5. 

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 


lotter on DSK11XQN23PROD with NOTICES1