Federal Register / Vol. 79, No. 202 / Monday, October 20, 2014 / Notices 62691 

16 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

persons using the service, within the 

meaning of Rule 19b–4(f)(4)(i). As 

discussed above, ICE Clear Europe is 

currently the clearing organization for 

the transitioning LIFFE contracts, and 

will continue to clear such contracts 

following the transition of trading to ICE 

Futures Europe. The contract terms of 

the transitioning contracts are not 

changing in any material respect, and 

ICE Clear Europe will continue to use 

substantially the same risk management, 

margin, guaranty fund, settlement and 

other policies and procedures following 

the transition as are currently used with 

respect to such contracts. The 

amendments to the Rules and 

Procedures discussed herein generally 

consist of conforming changes to 

defined terms and related transitional 

provisions that will accommodate the 

transition of trading activity. In ICE 

Clear Europe’s view, these changes will 

thus not significantly affect the 

safeguarding of funds or securities in 

the custody or control of ICE Clear 

Europe, or otherwise significantly affect 

the rights or obligations of the Clearing 

House and its Clearing Members. 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. 

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–ICEEU–2014–17 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–ICEEU–2014–17. 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 

filings will also be available for 

inspection and copying at the principal 

office of ICE Clear Europe and on ICE 

Clear Europe’s Web site at https://

www.theice.com/notices/

Notices.shtml?regulatoryFilings. 

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–ICEEU–2014–17 and 

should be submitted on or before 

November 10, 2014. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.16

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2014–24777 Filed 10–17–14; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73349; File No. SR–ISE– 

2014–47] 

Self-Regulatory Organizations; 

International Securities Exchange, 

LLC; Notice of Filing and Immediate 

Effectiveness of Proposed Rule 

Change To Amend the Schedule of 

Fees 

October 14, 2014. 

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 October 

1, 2014, the International Securities 

Exchange, LLC (the ‘‘Exchange’’ or the 

‘‘ISE’’) filed with the Securities and 

Exchange Commission the proposed 

rule change, as described in Items I, II, 

and III below, which items have been 

prepared by the self-regulatory 

organization. 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 ISE is proposing to amend its 

Schedule of Fees to introduce a new 

rebate tier for members that execute a 

specified volume of Qualified 

Contingent Cross (‘‘QCC’’) and/or other 

solicited crossing orders in a month. 

The text of the proposed rule change is 

available on the Exchange’s Web site 

(http://www.ise.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 

self-regulatory organization 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 self-regulatory organization 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 purpose of the proposed rule 

change is to amend the Schedule of Fees 

to introduce a new rebate tier for 

members that execute a specified 

volume of QCC and/or other solicited 

crossing orders in a month. The 

Exchange’s Schedule of Fees has 

separate tables for fees and rebates 

applicable to Standard Options and 

Mini Options. The Exchange notes that 

while the discussion below relates to 

rebates for Standard Options, the rebates 

for Mini Options, which are not 

discussed below, are and shall continue 

to be 1⁄10th of the rebates for Standard 

Options. 

The Exchange offers members tiered 

rebates in QCC and/or other solicited 

crossing orders, i.e. orders executed in 

the solicitation, facilitation, or price 

improvement mechanisms where the 

agency order is executed against an 

order solicited from another party (the 


tkelley on DSK3SPTVN1PROD with NOTICES
62692 Federal Register / Vol. 79, No. 202 / Monday, October 20, 2014 / Notices 

3 Volume in Standard Options and Mini Options 

is combined to calculate the tier a Member has 

reached. Based on the tier achieved, the member is 

rebated for that tier for all the Standard Options 

traded at the Standard Option rebate amount and 

for all the Mini Options traded at the Mini Option 

rebate amount. 

4The rebate is applied on all QCC and solicited 

crossing order contracts traded in a given month 

once a member reaches the specified volume 

threshold during that month. 

5 15 U.S.C. 78f. 

6 15 U.S.C. 78f(b)(4). 7 15 U.S.C. 78f(b)(8). 

8 15 U.S.C. 78s(b)(3)(A)(ii). 

9 17 CFR 240.19b–4(f)(2). 

‘‘QCC and Solicitation Rebate’’). These 

rebates are provided for each originating 

side of a crossing order, based on a 

member’s volume in the crossing 

mechanisms during a given month.3

Currently, the rebate is $0.07 per 

contract for members that execute from 

200,000 to 499,999 originating contract 

sides, $0.08 per contract for members 

that execute from 500,000 to 699,999 

originating contract sides, $0.09 per 

contract for members that execute from 

700,000 to 999,999 originating contract 

sides, and $0.11 per contract for 

members that execute 1,000,000 

originating contract sides or more.4 The 

Exchange now proposes to extend this 

pricing initiative to members that 

execute from 100,000 to 199,999 

originating contract sides in a given 

month, who will now be eligible to 

receive a QCC and Solicitation Rebate of 

$0.05 per contract for their QCC and/or 

other solicited crossing orders. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the provisions of Section 6 of the Act,5

in general, and Section 6(b)(4) of the 

Act,6 in particular, in that it is designed 

to provide for the equitable allocation of 

reasonable dues, fees, and other charges 

among its members and other persons 

using its facilities. Currently, members 

must execute a minimum of 200,000 

originating contract sides in QCC and/ 

or other solicited crossing orders, in 

order to qualify for a QCC and 

Solicitation Rebate. The Exchange 

believes that the proposed fee change is 

reasonable and equitable as members 

that meet the lower volume threshold 

established in this filing will now be 

entitled to receive a rebate for their QCC 

and/or solicited crossing orders. 

Moreover, lowering the threshold level 

at which members are entitled to receive 

a rebate for their QCC and/or solicited 

crossing orders will attract more of this 

order flow to the ISE, to the benefit of 

all members that trade on the Exchange. 

The Exchange does not believe that the 

proposed fee change is unfairly 

discriminatory as the rebate will be 

uniformly applied to all members that 

meet the volume threshold for the new 

tier. By lowering the volume threshold 

required to receive a QCC and 

Solicitation Rebate, the proposed fee 

change is designed to allow more 

members to qualify. At the same time, 

members who execute a higher volume 

of QCC and/or solicited crossing orders 

will continue to receive rebates at the 

current higher rates. 

The Exchange notes that it has 

determined to charge fees and provide 

rebates in Mini Options at a rate that is 

1⁄10th the rate of fees and rebates the 

Exchange provides for trading in 

Standard Options. The Exchange 

believes it is reasonable and equitable 

and not unfairly discriminatory to 

assess lower fees and rebates to provide 

market participants an incentive to trade 

Mini Options on the Exchange. The 

Exchange believes the proposed rebates 

are reasonable and equitable in light of 

the fact that Mini Options have a 

smaller exercise and assignment value, 

specifically 1⁄10th that of a standard 

option contract, and, as such, is 

providing fees and rebates for Mini 

Options that are 1⁄10th of those 

applicable to Standard Options. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

In accordance with Section 6(b)(8) of 

the Act,7 the Exchange does not believe 

that the proposed rule change will 

impose any burden on intermarket or 

intramarket competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. To the 

contrary, the Exchange believes that the 

proposed rule change is pro-competitive 

as it is designed to attract additional 

crossing order flow by offering attractive 

rebates to members that bring their QCC 

and/or solicited crossing orders to the 

ISE. The Exchange operates in a highly 

competitive market in which market 

participants can readily direct their 

order flow to competing venues. In such 

an environment, the Exchange must 

continually review, and consider 

adjusting, its fees to remain competitive 

with other exchanges. For the reasons 

described above, the Exchange believes 

that the proposed fee changes reflect 

this competitive environment. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants or Others 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or other interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act 8 and 

subparagraph (f)(2) of Rule 19b–4 

thereunder,9 because it establishes a 

due, fee, or other charge imposed by 

ISE. 

At any time within 60 days of the 

filing of such 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 No. SR–ISE– 

2014–47 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–ISE–2014–47. 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 


tkelley on DSK3SPTVN1PROD with NOTICES
Federal Register / Vol. 79, No. 202 / Monday, October 20, 2014 / Notices 62693 

10 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4See Securities Exchange Act Release No. 71988 

(April 22, 2014), 79 FR 23393 (April 28, 2014) (SR– 

NYSEMKT–2014–34). See also FINRA Regulatory 

Notices 14–10 and 14–11. 

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

6 15 U.S.C. 78f(b)(5). 

7 15 U.S.C. 78s(b)(3)(A)(iii). 

8 17 CFR 240.19b–4(f)(6). 

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 

office of the ISE. 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–ISE– 

2014–47 and should be submitted by 

November 10, 2014. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.10

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2014–24778 Filed 10–17–14; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73346; File No. SR– 

NYSEMKT–2014–88] 

Self-Regulatory Organizations; NYSE 

MKT LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change to Make Conforming 

Amendments to Reflect Recent 

Deletion of Rule 343—Equities 

October 14, 2014. 

Pursuant to Section 19(b)(1) 1 of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that on October 

10, 2014, NYSE MKT LLC (the 

‘‘Exchange’’ or ‘‘NYSE MKT’’) 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 self-regulatory 

organization. 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 make 

conforming amendments to reflect its 

recent deletion of Rule 343—Equities. 

The text of the proposed rule change is 

available on the Exchange’s Web site at 

www.nyse.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 

self-regulatory organization 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 those 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 parts of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to make 

conforming amendments to reflect its 

recent deletion of Rule 343—Equities. 

The Exchange deleted Rule 343— 

Equities and its interpretation, effective 

as of April 7, 2014.4 The Exchange 

accordingly proposes to delete obsolete 

references to Rule 343—Equities in Rule 

321—Equities, governing formation or 

acquisition of subsidiaries by member 

organizations, and Rule 476A, which 

governs minor rule violations. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

Section 6(b) of the Act,5 in general, and 

furthers the objectives of Section 6(b)(5) 

of the Act,6 in particular, because it is 

designed to prevent fraudulent and 

manipulative acts and practices, to 

foster cooperation and coordination 

with persons engaged in facilitating 

transactions in securities, and to remove 

impediments to and perfect the 

mechanism of a free and open market 

and a national market system and, in 

general, help to protect investors and 

the public interest. Specifically, the 

Exchange believes that deleting 

references to obsolete rules removes 

impediments to and perfects the 

mechanism of a free and open market by 

removing confusion that may result 

from having references to obsolete rules 

in the Exchange’s rulebook. The 

Exchange further believes that the 

proposal removes impediments to and 

perfects the mechanism of a free and 

open market by ensuring that persons 

subject to the Exchange’s jurisdiction, 

regulators, and the investing public can 

more easily navigate and understand the 

Exchange’s rulebook. The Exchange 

believes that eliminating references to 

obsolete rules would not be inconsistent 

with the public interest and the 

protection of investors because investors 

will not be harmed and in fact would 

benefit from increased transparency as 

to which rules are operable, thereby 

reducing potential confusion. Removing 

such obsolete cross references will also 

further the goal of transparency and add 

clarity to the Exchange’s rules 

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 that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

proposed change is not designed to 

address any competitive issue but rather 

would make the Exchange’s rules 

internally consistent, thereby reducing 

confusion and making the Exchange’s 

rules easier to understand and navigate. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were solicited 

or received with respect to the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The Exchange has filed the proposed 

rule change pursuant to Section 

19(b)(3)(A)(iii) of the Act 7 and Rule 

19b–4(f)(6) thereunder.8 Because the 

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 

prior to 30 days from the date on which 

it was filed, or such shorter time as the 

Commission may designate, if 

consistent with the protection of 

investors and the public interest, the 

proposed rule change has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act and Rule 19b–4(f)(6)(iii) 

thereunder. 


tkelley on DSK3SPTVN1PROD with NOTICES