66440 Federal Register / Vol. 79, No. 216 / Friday, November 7, 2014 / Notices 

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

2 17 CFR 240.19b–4. 

q. Indicator for quote leader—‘‘1’’ if the 

receiving market is the first market to post 

the NBB for a sell or NBO for a buy (as 

applicable); 

r. Average execution price-share-weighted 

average that includes only executions on the 

receiving market; 

s. Average execution time-share-weighted 

average period that includes only executions 

on the receiving market; 

t. Executed shares—the number of shares 

in the order that are executed; 

u. Canceled shares—the number of shares 

in the order that are canceled; 

v. Routed shares—the number of shares in 

the order that are routed to another exchange 

or market; 

w. Routed average execution price-share— 

weighted average that includes only shares 

routed away from the receiving market; 

x. Average routed execution time-share— 

weighted average period that includes only 

executions on the routed markets; and 

y. Indicator for special handling 

instructions (for example, slide, discretion, 

eligible counterparty, minimum quantity)— 

identifies orders that contain instructions 

that could result in delayed execution or an 

execution price other than the quote. 

III. Daily Market Maker Registration 

Statistics—Each Participant that is a National 

Securities Exchange will collect daily Market 

Maker registration statistics categorized by 

security, including the following columns of 

information: 

a. Ticker Symbol; 

b. SRO; 

c. Number of registered market makers; and 

d. Number of other registered liquidity 

suppliers. 

IV. Daily Market Maker Participation 

Statistics—Each Participant will collect daily 

Market Maker participation statistics with 

respect to each Market Maker engaging in 

trading activity on the trading center 

operated by the Participant. With respect to 

each Market Maker, the Participant will 

collect such statistics irrespective of whether 

the Market Maker is registered with the 

Participant. The participation statistics will 

be categorized by security, including the 

columns of information listed below, except 

that a Participant that is a national securities 

association will not be required to collect 

such statistics unless a Market Maker 

registers with its Alternative Display Facility 

prior to or during the Pilot Period: 

a. Ticker Symbol; 

b. Share participation—the number of 

shares purchased or sold by Market Makers 

in a principal trade, not including riskless 

principal. When aggregating across Market 

Makers, share participation will be an 

executed share-weighted average per Market 

Maker; 

c. Trade participation—the number of 

purchases and sales by Market Makers in a 

principal trade, not including riskless 

principal. When aggregating across Market 

Makers, trade participation will be a tradeweighted average per Market Maker; 

d. Cross-quote share (trade) participation— 

the number of shares purchased (the number 

of purchases) at or above the NBO and the 

number of shares sold (the number of sales) 

at or below the NBB at the time of the trade; 

e. Inside-the-quote share (trade) 

participation—the number of shares 

purchased (the number of purchases) and the 

number of shares sold (the number of sales) 

between the NBBO at the time of the trade; 

f. At-the-quote share (trade) participation— 

the number of shares purchased (the number 

of purchases) that are equal to the National 

Best Bid price and the number of shares sold 

(the number of sales) that are equal to the 

National Best Offer price at the time of or 

immediately before the trade. In the case of 

a downward moving National Best Bid or 

Offer, the National Best Bid or National Best 

Offer price immediately before the trade will 

be used; and 

g. Outside-the-quote share (trade) 

participation—the number of shares 

purchased (the number of purchases) that are 

less than the National Best Bid price and the 

number of shares sold (the number of sales) 

that are greater than the National Best Offer 

price at the time of or immediately before the 

trade. In the case of a downward moving 

National Best Bid or Offer, the National Best 

Bid or National Best Offer price immediately 

before the trade will be used. 

Appendix C—Data Collected by Market 

Makers 

Each Participant that is the Designated 

Examining Authority of a Market Maker will 

require such Market Maker to collect the data 

described in Item I with respect to orders and 

executions in Pilot Securities on any trading 

center and to transmit such data in a pipe 

delimited format to the Designated 

Examining Authority on a monthly basis, to 

be provided within 30 calendar days 

following month end. Data will only be 

collected with respect to those orders and 

executions occurring during Regular Trading 

Hours. The data will be provided for dates 

starting six months prior to the Pilot Period 

through six months after the end of the Pilot 

Period. Each Designated Examining 

Authority will be responsible for aggregating 

the data provided by the Market Makers 

under Item I and providing the data 

described in Item II in a pipe delimited 

format to the SEC. 

I. Market Maker Profitability—Daily Market 

Maker profitability statistics categorized by 

security, including the following columns of 

information: 

a. Total number of shares of orders 

executed by the Market Maker; 

b. Raw Market Maker realized trading 

profits—the difference between the market 

value of Market Maker sales (shares sold x 

price) and the market value of Market Maker 

purchases (shares purchased x price). A 

LIFO-like method will be used for 

determining which share prices to use in the 

calculation; 

c. Market Maker realized trading profits net 

of fees and rebates—realized trading profits 

plus rebates the Market Maker collects from 

trading on that day minus access fees the 

Market Maker pays for trading on that day (if 

estimated before allocation of rebates and 

fees, use expected rebates and fees); and 

d. Raw Market Maker unrealized trading 

profits—the difference between the purchase 

or sale price of the end-of-day inventory 

position of the Market Maker and the Closing 

Price. In case of a short position, the Closing 

Price from the sale will be subtracted. In the 

case of a long position, the purchase price 

will be subtracted from the Closing Price. 

II. Aggregated Market Maker Profitability— 

Total Daily Market Maker profitability 

statistics categorized by security, including 

the following columns of information: 

a. Total Raw Market Maker realized trading 

profits—the difference between the market 

value of Market Maker sales (shares sold x 

price) and the market value of Market Maker 

purchases (shares purchased x price). A 

LIFO-like method will be used for 

determining which share prices to use in the 

calculation; 

b. Volume-weighted average of Raw Market 

Maker realized trading profits; 

c. Total Market Maker realized trading 

profits net of fees and rebates—realized 

trading profits plus rebates the Market Maker 

collects from trading on that day minus 

access fees the Market Maker pays for trading 

on that day (if estimated before allocation of 

rebates and fees, use expected rebates and 

fees); 

d. Volume-weighted average of Market 

Maker realized trading profits net of fees and 

rebates; 

e. Total Raw Market Maker unrealized 

trading profits—the difference between the 

purchase or sale price of the end-of-day 

inventory position of the Market Maker and 

the Closing Price. In case of a short position, 

the Closing Price from the sale will be 

subtracted. In the case of a long position, the 

purchase price will be subtracted from the 

Closing Price; and 

f. Volume-weighted average of Market 

Maker unrealized trading profits. 

[FR Doc. 2014–26463 Filed 11–6–14; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73497; File No. SR–OCC– 

2014–18] 

Self-Regulatory Organizations; The 

Options Clearing Corporation; Notice 

of Filing of Proposed Rule Change to 

Provide That the Options Clearing 

Corporation’s President Will Be Its 

Chief Operating Officer, and That the 

President Will Not Be a Management 

Director 

November 3, 2014. 

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 October 

31, 2014, The Options Clearing 

Corporation, (‘‘OCC’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I, II and III 

below, which Items have been prepared 

by OCC. The Commission is publishing 

mstockstill on DSK4VPTVN1PROD with NOTICES

Federal Register / Vol. 79, No. 216 / Friday, November 7, 2014 / Notices 66441 

3 15 U.S.C. 78q–1(b)(3)(F). 

4 15 U.S.C. 78q–1(b)(3)(I). 

5 15 U.S.C. 78q–1(b)(3)(I). 

this notice to solicit comments on the 

proposed rule change from interested 

persons. 

I. Clearing Agency’s Statement of the 

Terms of Substance of the Proposed 

Rule Change 

This proposed rule change by OCC 

would revise OCC’s By-Laws to provide 

that OCC’s President will be its Chief 

Operating Officer, rather than its Chief 

Executive Officer, and that the President 

will not be a Management Director. 

Conforming amendments are also 

proposed to OCC’s Stockholders 

Agreement, Board of Directors Charter 

and Fitness Standards for Directors, 

Clearing Members and Others. 

II. Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Proposed Rule Change 

In its filing with the Commission, 

OCC 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. OCC has prepared 

summaries, set forth in sections (A), (B), 

and (C) below, of the most significant 

aspects of these statements. 

(A) Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Proposed Rule Change 

1. Purpose 

The purpose of this proposed rule 

change is to provide that OCC’s 

President will be its Chief Operating 

Officer, rather than its Chief Executive 

Officer, and that the President will not 

be a Management Director. These 

changes are proposed to be made in 

connection with the resignation of 

OCC’s former President and Chief 

Executive Officer, a transition plan that 

includes the election of OCC’s current 

Chief Operating Officer as President and 

Chief Operating Officer, and the 

appointment of an Ad Hoc Search 

Committee to identify an appropriate 

candidate to become OCC’s Chief 

Executive Officer (collectively, the 

‘‘Transition Plan’’). OCC’s Board of 

Directors has determined that in light of 

the resignation of the former President 

and Chief Executive Officer and the 

election of the current Chief Operating 

Officer as President, the positions of 

President and Chief Executive Officer 

should be separated and the position of 

President should instead be combined 

with the position of Chief Operating 

Officer. To reflect this change, OCC is 

proposing to revise Section 8 of Article 

IV of its By-Laws to state that the 

President will be OCC’s Chief Operating 

Officer, rather than its Chief Executive 

Officer. 

While OCC’s existing By-Laws 

provide that the President, who is also 

the Chief Executive Officer, serves as a 

Management Director on OCC’s Board of 

Directors, given the separation of the 

President and Chief Executive Officer 

positions and the pending search for a 

new Chief Executive Officer, OCC’s 

Board of Directors has also determined 

that the President should not be a 

Management Director. Accordingly, 

OCC proposes to amend its By-Laws 

such that the President is not a 

Management Director. To reflect this 

change, OCC is proposing to revise 

Section 7 of Article III of its By-Laws to 

refer only to the Executive Chairman, 

and not the President, as a Management 

Director. OCC also proposes to make a 

conforming revision to Section 8 of 

Article IV of its By-Laws to state that the 

President will not preside at meetings of 

the Board of Directors or the 

stockholders in the absence or disability 

of the Executive Chairman and the 

Management Vice Chairman because the 

President will no longer serve as a 

Management Director. 

OCC is also proposing amendments to 

its Stockholder Agreement, Board of 

Directors Charter and Fitness Standards 

for Directors, Clearing Members and 

Others. In each case, conforming 

changes would be made to provide that 

only the Executive Chairman, not the 

President, will serve as a Management 

Director. 

Once a replacement Chief Executive 

Officer has been elected by the Board of 

Directors, OCC intends to reconsider the 

appropriate number of Management 

Directors. The currently proposed rule 

change represents a short-term measure 

to implement the Transition Plan, and 

OCC does not intend a permanent 

change in the composition of the Board 

of Directors. Therefore, once OCC’s 

Board of Directors has elected a Chief 

Executive Officer, OCC would propose 

further changes to its By-Laws, 

Stockholders Agreement, Board of 

Directors Charter and Fitness Standards 

for Directors, Clearing Members and 

Others. OCC believes that the short-term 

flexibility reflected in the foregoing 

changes will assist OCC and its Board of 

Directors in implementing the 

Transition Plan efficiently and 

governing OCC effectively. 

2. Statutory Basis 

OCC believes the proposed rule 

change is consistent with Section 

17A(b)(3)(F) of the Act 3 because the 

proposed rule change would remove 

impediments to and perfect the 

mechanism of a national system for the 

prompt and accurate clearance and 

settlement of securities transactions. As 

described above, recent changes at OCC 

have prompted initiation of the 

Transition Plan. This proposed rule 

change will promote transparency with 

respect to the Transition Plan because it 

will clarify who may and who may not 

be a Board member from a senior 

management perspective. In addition, 

the proposed rule change is consistent 

with Section 17A(b)(3)(I) 4 of the Act 

because it will not impose a burden on 

competition. The Transition Plan will 

allow OCC to continue to provide 

clearance and settlement service 

without affecting competition between 

clearing members, clearing agencies and 

market participants because the 

Transition Plan will facilitate 

uninterrupted, ongoing, operations at 

OCC notwithstanding the above 

described change at OCC. The proposed 

rule change is not inconsistent with the 

existing rules of OCC, including any 

other rules proposed to be amended. 

(B) Clearing Agency’s Statement on 

Burden on Competition 

OCC does not believe that the 

proposed rule change would impose any 

burden on competition.5 Changes to the 

rules of a clearing agency may have an 

impact on the participants in a clearing 

agency and the markets that the clearing 

agency serves. This proposed rule 

change primarily affects OCC in that it 

amends certain By-Laws governing 

OCC’s management structure. The 

proposed modifications would not 

unfairly inhibit access to OCC’s services 

or disadvantage or favor any particular 

user in relationship to another user 

because they relate to OCC governance 

issues and would not impose any 

additional substantive burden on 

clearing members or other OCC 

participants. 

For the foregoing reasons, OCC 

believes that the proposed rule change 

is in the public interest, would be 

consistent with the requirements of the 

Act applicable to clearing agencies and 

would not impose a burden on 

competition. 

(C) Clearing Agency’s Statement on 

Comments on the Proposed Rule 

Change Received From Members, 

Participants, or Others 

Written comments on the proposed 

rule change were not and are not 

intended to be solicited with respect to 

mstockstill on DSK4VPTVN1PROD with NOTICES

66442 Federal Register / Vol. 79, No. 216 / Friday, November 7, 2014 / Notices 

6 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78s(b)(1). 

3 17 CFR 240.19b–4. 

4Amendment No. 1 clarified the last sentence in 

footnote 6 of the proposed rule change filing and 

footnote 7 of the Exchange’s Exhibit 1 by replacing 

the sentence with the following: ‘‘The asset-back 

securities in which the Fund may invest include 

collateralized debt obligations, as described in the 

Prior Release.’’ 

5See Securities Exchange Act Release No. 64550 

(May 26, 2011), 76 FR 32005 (June 2, 2011) (SR– 

NYSEArca–2011–11) (order approving listing and 

trading on the Exchange of the Guggenheim 

Enhanced Core Bond ETF and Guggenheim 

Enhanced Ultra-Short Bond ETF) (‘‘Prior Order’’). 

See also Securities Exchange Act Release No. 64224 

(April 7, 2011), 76 FR 20401 (April 12, 2011) (SR– 

NYSEArca–2011–11) (‘‘Prior Notice,’’ and together 

with the Prior Order, the ‘‘Prior Release’’). The 

name of the Guggenheim Enhanced Ultra-Short 

Bond ETF was changed to the Guggenheim 

Enhanced Short Duration Bond ETF in a 

supplement to the Registration Statement (as 

defined below) effective December 5, 2011, and was 

further changed to Guggenheim Enhanced Short 

Duration ETF in a supplement to the Registration 

Statement (as defined below) effective September 

27, 2013 (‘‘September 27, 2013 Amendment’’). The 

Fund and the Shares are currently in compliance 

with the listing standards and other rules of the 

Exchange and the requirements set forth in the Prior 

Release. 

the proposed rule change and none have 

been received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 45 days of the date of 

publication of this notice in the Federal 

Register or within such longer period 

up to 90 days (i) as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or (ii) as to which 

the self- regulatory organization 

consents, the Commission will: 

(A) by order approve or disapprove 

the proposed rule change, or 

(B) institute proceedings to determine 

whether the proposed rule change 

should be 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– 

OCC–2014–18 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–OCC–2014–18. 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 the 

filing also will be available for 

inspection and copying at the principal 

office of OCC and on OCC’s Web site 

http://www.theocc.com/components/

docs/legal/rules_and_bylaws/sr_occ_14_

18.pdf. 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–OCC–2014–18 and should 

be submitted on or before November 28, 

2014. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.6

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2014–26460 Filed 11–6–14; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73512; File No. SR– 

NYSEArca–2014–107] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing of Proposed 

Rule Change, as Modified by 

Amendment No. 1 Thereto, To Reflect 

Changes to the Means of Achieving the 

Investment Objective Applicable to the 

Guggenheim Enhanced Short Duration 

ETF 

November 3, 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 

21, 2014, NYSE Arca, Inc. (the 

‘‘Exchange’’ or ‘‘NYSE Arca’’) 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. On October 29, 2014, the 

Exchange filed Amendment No. 1 to the 

proposal.4 The Commission is 

publishing this notice to solicit 

comments on the proposed rule change, 

as modified by Amendment No. 1 

thereto, from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of the Substance 

of the Proposed Rule Change 

The Exchange proposes to submit a 

rule change to reflect changes to the 

means of achieving the investment 

objective applicable to the Guggenheim 

Enhanced Short Duration ETF (the 

‘‘Fund’’). The shares of the Fund are 

currently listed and traded on the 

Exchange under NYSE Arca Equities 

Rule 8.600. 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 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Commission has approved listing 

and trading on the Exchange of shares 

(‘‘Shares’’) of the Guggenheim Enhanced 

Short Duration ETF, a series of 

Claymore Exchange-Traded Fund Trust 

(the ‘‘Trust’’),5 under NYSE Arca 

mstockstill on DSK4VPTVN1PROD with NOTICES