Federal Register / Vol. 87, No. 86 / Wednesday, May 4, 2022 / Notices 26381 

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 240.19b–4(f)(6). 

5Securities Exchange Act Release No. 61439 

(January 28, 2010), 75 FR 5831 (February 4, 2010) 

(SR–CBOE–2009–087) (‘‘Approval Order’’). The 

initial pilot period was set to expire on March 28, 

2011, which date was added to the rules in 2010. 

See Securities Exchange Act Release No. 61676 

(March 9, 2010), 75 FR 13191 (March 18, 2010) (SR– 

CBOE–2010–026). 

6See Securities Exchange Act Release Nos. 64110 

(March 23, 2011), 76 FR 17463 (March 29, 2011) 

(SR–CBOE–2011–024); 66701 (March 30, 2012), 77 

FR 20673 (April 5, 2012) (SR–CBOE–2012–027); 

68145 (November 2, 2012), 77 FR 67044 (November 

8, 2012) (SR–CBOE–2012–102); 70752 (October 24, 

2013), 78 FR 65023 (October 30, 2013) (SR–CBOE– 

2013–099); 73460 (October 29, 2014), 79 FR 65464 

(November 4, 2014) (SR–CBOE–2014–080); 77742 

(April 29, 2016), 81 FR 26857 (May 4, 2016) (SR– 

CBOE–2016–032); 80443 (April 12, 2017), 82 FR 

18331 (April 18, 2017) (SR–CBOE–2017–032); 

83175 (May 4, 2018), 83 FR 21808 (May 10, 2018) 

(SR–CBOE–2018–037); 84537 (November 5, 2018), 

83 FR 56113 (November 9, 2018) (SR–CBOE–2018– 

071); 85707 (April 23, 2019), 84 FR 18100 (April 29, 

2019) (SR–CBOE–2019–021); 87515 (November 13, 

2020), 84 FR 63945 (November 19, 2019) (SR– 

CBOE–2019–108); 88782 (April 30, 2020), 85 FR 

27004 (May 6, 2020) (SR–CBOE–2020–039); 90279 

(October 28, 2020), 85 FR 69667 (November 3, 2020) 

(SR–CBOE–2020–103); 91782 (May 5, 2021), 86 FR 

25915 (May 11, 2021) (SR–CBOE–2021–031); and 

93500 (November 1, 2021), 86 FR 61340 (November 

5, 2021) (SR–CBOE–2021–064) (extending the pilot 

program through the earlier of May 2, 2022 or the 

date on which the pilot program is approved on a 

permanent basis). At the same time the permissible 

exercise settlement values pilot was established for 

FLEX Index Options, the Exchange also established 

a pilot program eliminating the minimum value size 

requirements for all FLEX Options. See Approval 

Order, supra note 5. The pilot program eliminating 

the minimum value size requirements was extended 

twice pursuant to the same rule filings that 

extended the permissible exercise settlement values 

(for the same extended periods) and was approved 

on a permanent basis in a separate rule change 

filing. See id; and Securities Exchange Act Release 

No. 67624 (August 8, 2012), 77 FR 48580 (August 

14, 2012) (SR–CBOE–2012–040) (Order Granting 

Approval of Proposed Rule Change Related to 

Permanent Approval of Its Pilot on FLEX Minimum 

Value Sizes). 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94812; File No. SR–CBOE– 

2022–020] 

Self-Regulatory Organizations; Cboe 

Exchange, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Extend the Operation 

of Its Flexible Exchange Options 

(‘‘FLEX Options’’) Pilot Program 

Regarding Permissible Exercise 

Settlement Values for FLEX Index 

Options 

April 28, 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 April 20, 

2022, Cboe Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘Cboe Options’’) filed 

with the Securities and Exchange 

Commission (the ‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been prepared by the Exchange. The 

Exchange filed the proposal as a ‘‘noncontroversial’’ 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 

Cboe Exchange, Inc. (the ‘‘Exchange’’ 

or ‘‘Cboe Options’’) proposes to extend 

the operation of its Flexible Exchange 

Options (‘‘FLEX Options’’) pilot 

program regarding permissible exercise 

settlement values for FLEX Index 

Options. The text of the proposed rule 

change is provided below. 

(additions are italicized; deletions are 

[bracketed]) 

* * * * * 

Rules of Cboe Exchange, Inc. 

* * * * * 

Rule 4.21. Series of FLEX Options 

(a) No change. 

(b) Terms. When submitting a FLEX 

Order for a FLEX Option series to the 

System, the submitting FLEX Trader 

must include one of each of the 

following terms in the FLEX Order (all 

other terms of a FLEX Option series are 

the same as those that apply to nonFLEX Options), provided that a FLEX 

Index Option with an index multiplier 

of one may not be the same type (put or 

call) and may not have the same 

exercise style, expiration date, 

settlement type, and exercise price as a 

non-FLEX Index Option overlying the 

same index listed for trading (regardless 

of the index multiplier of the non-FLEX 

Index Option), which terms constitute 

the FLEX Option series: 

(1)–(4) No change. 

(5) settlement type: 

(A) No change. 

(B) FLEX Index Options. FLEX Index 

Options are settled in U.S. dollars, and 

may be: 

(i) No change. 

(ii) p.m.-settled (with exercise 

settlement value determined by 

reference to the reported level of the 

index derived from the reported closing 

prices of the component securities), 

except for a FLEX Index Option that 

expires on any business day that falls on 

or within two business days of a third 

Friday-of-the-month expiration day for a 

non-FLEX Option (other than a QIX 

option) may only be a.m.-settled; 

however, for a pilot period ending the 

earlier of [May 2]November 7, 2022 or 

the date on which the pilot program is 

approved on a permanent basis, a FLEX 

Index Option with an expiration date on 

the third-Friday of the month may be 

p.m.-settled; 

(iii)–(iv) No change. 

* * * * * 

The text of the proposed rule change 

is also available on the Exchange’s 

website (http://www.cboe.com/ 

AboutCBOE/ 

CBOELegalRegulatoryHome.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 

On January 28, 2010, the Securities 

and Exchange Commission (the 

‘‘Commission’’) approved a Cboe 

Options rule change that, among other 

things, established a pilot program 

regarding permissible exercise 

settlement values for FLEX Index 

Options.5 The Exchange has extended 

the pilot period numerous times, which 

is currently set to expire on the earlier 

of May 2, 2022 or the date on which the 

pilot program is approved on a 

permanent basis.6 The purpose of this 

rule change filing is to extend the pilot 

program through the earlier of 

November 7, 2022 or the date on which 

the pilot program is approved on a 

permanent basis. This filing simply 

seeks to extend the operation of the 

pilot program and does not propose any 


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7 In 2019, prior Rule 24A.4.01, covering the pilot 

program, was relocated to current Rule 4.21(b)(5). 

See Securities Exchange Act Release No. 87235 

(October 4, 2019), 84 FR 54671 (October 10, 2019) 

(SR–CBOE–2019–084). 

8Except an Asian-settled or Cliquet-settled FLEX 

Option series, which must have an expiration date 

that is a business day but may only expire 350 to 

371 days (which is approximately 50 to 53 calendar 

weeks) from the date on which a FLEX Trader 

submits a FLEX Order to the System. 

9See Rule 4.21(b)(5)(B); see also Securities 

Exchange Act Release No. 87235 (October 4, 2019), 

84 FR 54671 (October 10, 2019) (SR–CBOE–2019– 

084). The rule change removed the provision 

regarding the exercise settlement value of FLEX 

Index Options on the NYSE Composite Index, as the 

Exchange no longer lists options on that index for 

trading, and included the provisions regarding how 

the exercise settlement value is determined for each 

settlement type, as how the exercise settlement 

value is determined is dependent on the settlement 

type. 

10For example, notwithstanding the pilot, the 

exercise settlement value of a FLEX Index Option 

that expires on the Tuesday before the third Fridayof-the-month could be a.m. or p.m. settled. 

However, the exercise settlement value of a FLEX 

Index Option that expires on the Wednesday before 

the third Friday-of-the-month could only be a.m. 

settled. 

11No change was necessary or requested with 

respect to FLEX Equity Options. Regardless of the 

expiration date, FLEX Equity Options are settled by 

physical delivery of the underlying. 

12The annual reports also contained certain pilot 

period and pre-pilot period analyses of volume and 

open interest for third Friday-of-the-month 

expiration days, a.m.-settled FLEX Index series and 

third Friday-of-the-month expiration day Non-FLEX 

Index series overlying the same index as a third 

Friday-of-the-month expiration day, p.m.-settled 

FLEX Index option. 

13 In further support, the Exchange also notes that 

the p.m. settlements are already permitted for FLEX 

Index Options on any other business day except on, 

or within two business days of, the third Friday-ofthe-month. The Exchange is not aware of any 

market disruptions or problems caused by the use 

of these settlement methodologies on these 

expiration dates (or on the expiration dates 

addressed under the pilot program). The Exchange 

is also not aware of any market disruptions or 

problems caused by the use of customized options 

in the over-the-counter (‘‘OTC’’) markets that expire 

on or near the third Friday-of-the-month and are 

p.m. settled. In addition, the Exchange believes the 

reasons for limiting expirations to a.m. settlement, 

which is something the SEC has imposed since the 

early 1990s for Non-FLEX Options, revolved around 

a concern about expiration pressure on the New 

York Stock Exchange (‘‘NYSE’’) at the close that are 

no longer relevant in today’s market. Today, the 

Exchange believes stock exchanges are able to better 

handle volume. There are multiple primary listing 

and unlisted trading privilege (‘‘UTP’’) markets, and 

trading is dispersed among several exchanges and 

alternative trading systems. In addition, the 

Exchange believes that surveillance techniques are 

much more robust and automated. In the early 

1990s, it was also thought by some that opening 

procedures allow more time to attract contra-side 

interest to reduce imbalances. The Exchange 

believes, however, that today, order flow is 

predominantly electronic and the ability to smooth 

out openings and closes is greatly reduced (e.g., 

market-on-close procedures work just as well as 

openings). Also, other markets, such as the 

NASDAQ Stock Exchange, do not have the same 

type of pre-opening imbalance disseminations as 

NYSE, so many stocks are not subject to the same 

procedures on the third Friday-of-the-month. In 

addition, the Exchange believes that NYSE has 

reduced the required time a specialist has to wait 

after disseminating a pre-opening indication. So, in 

this respect, the Exchange believes there is less time 

to react in the opening than in the close. Moreover, 

to the extent there may be a risk of adverse market 

effects attributable to p.m. settled options that 

would otherwise be traded in a non-transparent 

fashion in the OTC market, the Exchange continues 

to believe that such risk would be lessened by 

making these customized options eligible for 

trading in an exchange environment because of the 

added transparency, price discovery, liquidity, and 

financial stability available. 

14Rule 8.43(a) provides that ‘‘[i]n a manner and 

form prescribed by the Exchange, each Trading 

Permit Holder shall report to the Exchange, the 

name, address, and social security or tax 

identification number of any customer who, acting 

alone, or in concert with others, on the previous 

business day maintained aggregate long or short 

positions on the same side of the market of 200 or 

more contracts of any single class of option 

contracts dealt in on the Exchange. The report shall 

indicate for each such class of options, the number 

of option contracts comprising each such position 

and, in the case of short positions, whether covered 

substantive changes to the pilot 

program. 

Under Rule 4.21(b), Series of FLEX 

Options (regarding terms of a FLEX 

Option),7 a FLEX Option may expire on 

any business day (specified to day, 

month and year) no more than 15 years 

from the date on which a FLEX Trader 

submits a FLEX Order to the System.8

FLEX Index Options are settled in U.S. 

dollars, and may be a.m.-settled (with 

exercise settlement value determined by 

reference to the reported level of the 

index derived from the reported 

opening prices of the component 

securities) or p.m.-settled (with exercise 

settlement value determined by 

reference to the reported level of the 

index derived from the reported closing 

prices of the component securities).9

Specifically, a FLEX Index Option that 

expires on, or within two business days 

of, a third Friday-of-the-month 

expiration day for a non-FLEX Option 

(other than a QIX option), may only be 

a.m. settled.10 However, under the 

exercise settlement values pilot, this 

restriction on p.m.-settled FLEX Index 

Options was eliminated.11 As stated, the 

exercise settlement values pilot is 

currently set to expire on the earlier of 

May 2, 2022 or the date on which the 

pilot program is approved on a 

permanent basis. 

Cboe Options is proposing to extend 

the pilot program through the earlier of 

November 7, 2022 or the date on which 

the pilot program is approved on a 

permanent basis. Cboe Options believes 

the pilot program has been successful 

and well received by its Trading Permit 

Holders and the investing public for the 

period that it has been in operation as 

a pilot. In support of the proposed 

extension of the pilot program, and as 

required by the pilot program’s 

Approval Order, the Exchange has 

submitted to the Commission pilot 

program reports regarding the pilot, 

which detail the Exchange’s experience 

with the program. Specifically, the 

Exchange provided the Commission 

with annual reports analyzing volume 

and open interest for each broad-based 

FLEX Index Options class overlying a 

third Friday-of-the-month expiration 

day, p.m.-settled FLEX Index Options 

series.12 The annual reports also 

contained information and analysis of 

FLEX Index Options trading patterns. 

The Exchange also provided the 

Commission, on a periodic basis, 

interim reports of volume and open 

interest. 

The Exchange believes there is 

sufficient investor interest and demand 

in the pilot program to warrant its 

extension. The Exchange believes that, 

for the period that the pilot has been in 

operation, the program has provided 

investors with additional means of 

managing their risk exposures and 

carrying out their investment objectives. 

Furthermore, the Exchange believes that 

it has not experienced any adverse 

market effects with respect to the pilot 

program, including any adverse market 

volatility effects that might occur as a 

result of large FLEX exercises in FLEX 

Option series that expire near NonFLEX expirations and use a p.m. 

settlement (as discussed below). 

In that regard, based on the 

Exchange’s experience in trading FLEX 

Options to date and over the pilot 

period, Cboe Options continues to 

believe that the restrictions on exercise 

settlement values are no longer 

necessary to insulate Non-FLEX 

expirations from the potential adverse 

market impacts of FLEX expirations.13

To the contrary, Cboe Options believes 

that the restriction actually places the 

Exchange at a competitive disadvantage 

to its OTC counterparts in the market for 

customized options, and unnecessarily 

limits market participants’ ability to 

trade in an exchange environment that 

offers the added benefits of 

transparency, price discovery, liquidity, 

and financial stability. 

The Exchange also notes that certain 

position limit, aggregation and exercise 

limit requirements continue to apply to 

FLEX Index Options in accordance with 

Rules 8.35, Position Limits for FLEX 

Options, 8.42(g) Exercise Limits (in 

connection with FLEX Options) and 

8.43(j), Reports Related to Position 

Limits (in connection with FLEX 

Options). Additionally, all FLEX 

Options remain subject to the general 

position reporting requirements in Rule 

8.43(a).14 Moreover, the Exchange and 


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or uncovered.’’ For purposes of Rule 8.43, the term 

‘‘customer’’ in respect of any Trading Permit Holder 

includes ‘‘the Trading Permit Holder, any general 

or special partner of the Trading Permit Holder, any 

officer or director of the Trading Permit Holder, or 

any participant, as such, in any joint, group or 

syndicate account with the Trading Permit Holder 

or with any partner, officer or director thereof.’’ 

Rule 8.43(d). 

15For example, if the Exchange plans on 

submitting a proposal in October 2022 requesting 

permanent approval of the pilot program expiring 

November 7, 2022, the Exchange would have to 

submit an annual report no later than September 7, 

2022 covering the full prior year. 

16The Exchange is required to submit the interim 

reports on a quarterly basis within 15 days of the 

end of each calendar quarter that the pilot is in 

effect. 

17Available at https://www.cboe.com/aboutcboe/ 

legal-regulatory/national-market-system-plans/pmsettlement-flex-pm-data. 

18For example, a position in a p.m.-settled FLEX 

Index Option series that expires on the third Fridayof-the-month in January 2020 could be established 

during the exercise settlement values pilot. If the 

pilot program were not extended (or made 

permanent), then the position could continue to 

exist. However, the Exchange notes that any further 

trading in the series would be restricted to 

transactions where at least one side of the trade is 

a closing transaction. See Approval Order at 

footnote 3, supra note 5. 

19 15 U.S.C. 78f(b). 

20 15 U.S.C. 78f(b)(5). 21 Id. 

its Trading Permit Holder organizations 

each have the authority, pursuant to 

Rule 10.9, Margin Required is Minimum, 

to impose additional margin as deemed 

advisable. Cboe Options continues to 

believe these existing safeguards serve 

sufficiently to help monitor open 

interest in FLEX Option series and 

significantly reduce any risk of adverse 

market effects that might occur as a 

result of large FLEX exercises in FLEX 

Option series that expire near NonFLEX expirations and use a p.m. 

settlement. 

Cboe Options is also cognizant of the 

OTC market, in which similar 

restrictions on exercise settlement 

values do not apply. Cboe Options 

continues to believe that the pilot 

program is appropriate and reasonable 

and provides market participants with 

additional flexibility in determining 

whether to execute their customized 

options in an exchange environment or 

in the OTC market. Cboe Options 

continues to believe that market 

participants benefit from being able to 

trade these customized options in an 

exchange environment in several ways, 

including, but not limited to, enhanced 

efficiency in initiating and closing out 

positions, increased market 

transparency, and heightened contraparty creditworthiness due to the role of 

the Options Clearing Corporation as 

issuer and guarantor of FLEX Options. 

If, in the future, the Exchange 

proposes an additional extension of the 

pilot program, or should the Exchange 

propose to make the pilot program 

permanent, the Exchange will submit, 

along with any filing proposing such 

amendments to the pilot program, an 

annual report (addressing the same 

areas referenced above and consistent 

with the pilot program’s Approval 

Order) to the Commission at least two 

months prior to the expiration date of 

the program. The Exchange is required 

to submit an annual report at least 

yearly. Currently, the Exchange 

provides annual reports that cover the 

period from August 1st to July 31st of 

the applicable year. The Exchange will 

continue to provide reports covering 

this period annually and any additional 

report at least two months prior to the 

expiration date of the program covering 

the full prior year in the case that the 

Exchange is requesting permanent 

approval of the program.15 The 

Exchange will also continue, on a 

periodic basis, to submit interim reports 

of volume and open interest consistent 

with the terms of the exercise settlement 

values pilot program as described in the 

pilot program’s Approval Order.16

Additionally, the Exchange will provide 

the Commission with any additional 

data or analyses the Commission 

requests because it deems such data or 

analyses necessary to determine 

whether the pilot program is consistent 

with the Exchange Act. The Exchange is 

in the process of making public on its 

website all data and analyses previously 

submitted to the Commission under the 

pilot program, and will make public any 

data and analyses it submits to the 

Commission under the pilot program in 

the future.17

As noted in the pilot program’s 

Approval Order, any positions 

established under the pilot program 

would not be impacted by the 

expiration of the pilot program.18

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) and the rules and regulations 

thereunder applicable to the Exchange 

and, in particular, the requirements of 

Section 6(b) of the Act.19 Specifically, 

the Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5) 20 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 facilitating 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. 

Additionally, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) 21 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 the proposed extension of the pilot 

program, which permits an additional 

exercise settlement value, would 

provide greater opportunities for 

investors to manage risk through the use 

of FLEX Options. Further, the Exchange 

believes that it has not experienced any 

adverse effects from the operation of the 

pilot program, including any adverse 

market volatility effects that might occur 

as a result of large FLEX exercises in 

FLEX Option series that expire near 

Non-FLEX expirations and are p.m.- 

settled. The Exchange also believes that 

the extension of the exercise settlement 

values pilot does not raise any unique 

regulatory concerns. In particular, 

although p.m. settlements may raise 

questions with the Commission, the 

Exchange believes that, based on the 

Exchange’s experience in trading FLEX 

Options to date and over the pilot 

period, market impact and investor 

protection concerns will not be raised 

by this rule change. The Exchange also 

believes that the proposed rule change 

would continue to provide Trading 

Permit Holders and investors with 

additional opportunities to trade 

customized options in an exchange 

environment (which offers the added 

benefits of transparency, price 

discovery, liquidity, and financial 

stability as compared to the over-thecounter market) and subject to 

exchange-based rules, and investors 

would benefit as a result. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

Cboe Options 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 believes there is sufficient 

investor interest and demand in the 

pilot program to warrant its extension. 

The Exchange believes that, for the 

period that the pilot has been in 

operation, the program has provided 

investors with additional means of 

managing their risk exposures and 

carrying out their investment objectives. 

Furthermore, the Exchange believes that 


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22 15 U.S.C. 78s(b)(3)(A). 

23 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

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

give the Commission written notice of its intent to 

file the proposed rule change, along with a brief 

description and text of 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. 

24 17 CFR 240.19b–4(f)(6) 

25 17 CFR 240.19b–4(f)(6)(iii). 

26For purposes only of waiving the operative 

delay for this proposal, the Commission has 

considered the proposed rule’s impact on 

efficiency, competition, and capital formation. See 

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. 

it has not experienced any adverse 

market effects with respect to the pilot 

program, including any adverse market 

volatility effects that might occur as a 

result of large FLEX exercises in FLEX 

Option series that expire near Non-Flex 

expirations and use a p.m. settlement. 

Cboe Options believes that the 

restriction actually places the Exchange 

at a competitive disadvantage to its OTC 

counterparts in the market for 

customized options, and unnecessarily 

limits market participants’ ability to 

trade in an exchange environment that 

offers the added benefits of 

transparency, price discovery, liquidity, 

and financial stability. Therefore, the 

Exchange does not believe that the 

proposed rule change will impose any 

burden on competition. 

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 

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) of the Act 22 and Rule 19b– 

4(f)(6) thereunder.23

A proposed rule change filed under 

Rule 19b–4(f)(6) 24 normally does not 

become operative for 30 days after the 

date of filing. However, pursuant to 

Rule 19b–4(f)(6)(iii),25 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 filing. The Exchange 

states that such waiver will allow the 

Exchange to extend the pilot program 

and maintain the status quo, thereby 

reducing market disruption. 

The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest, as it 

will allow the pilot program to continue 

uninterrupted, thereby avoiding 

investor confusion that could result 

from a temporary interruption in the 

pilot program. For this reason, the 

Commission designates the proposed 

rule change to be operative upon 

filing.26

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– 

CBOE–2022–020 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–CBOE–2022–020. 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. 

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–CBOE–2022–020, and 

should be submitted on or before May 

25, 2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.27

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–09518 Filed 5–3–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94810; File No. SR–NYSE– 

2021–45] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Withdrawal of Proposed Rule Change, 

as Modified by Amendment No. 2, to 

Adopt Listing Standards for 

Subscription Warrants Issued by a 

Company Organized Solely for the 

Purpose of Identifying an Acquisition 

Target 

April 28, 2022. 

On August 24, 2021, the New York 

Stock Exchange LLC (‘‘NYSE’’ or 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

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

of 1934 (‘‘Act’’ or ‘‘Exchange Act’’) 1 and 

Rule 19b–4 thereunder,2 a proposed rule 

change to adopt listing standards for 

subscription warrants issued by a 

company organized solely for the 

purpose of identifying an acquisition 

target. The proposed rule change was 


khammond on DSKJM1Z7X2PROD with NOTICES