39920 Federal Register / Vol. 82, No. 161 / Tuesday, August 22, 2017 / Notices 

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

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 79081 

(Oct. 11, 2016), 81 FR 71548 (Oct. 17, 2016) (SR– 

NASDAQ–2016–135); see also Securities Exchange 

Act Release No. 80708 (May 17, 2017), 82 FR 23690 

(May 23, 2017) (SR–NASDAQ–2017–040); see also 

Securities Exchange Act Release No. 80810 (May 

30, 2017), 82 FR 26205 (June 6, 2017) (SR– 

NASDAQ–2017–052). 

4See Securities Exchange Act Release No. 80708 

(May 17, 2017), 82 FR 23690 (May 23, 2017) (SR– 

NASDAQ–2017–040). 

5 In addition to submitting the index components 

to the Exchange on a quarterly basis, the Exchange 

believes that it would be appropriate for issuers to 

review the index components for compliance with 

the continued listing requirements in connection 

with index rebalances, reconstitutions, or other 

material changes to the index components. 

6See, for example, Letter, dated July 11, 2017, 

from Dorothy Donohue, Acting General Counsel, 

Investment Company Institute to Brent J. Fields, 

Secretary, Securities and Exchange Commission, 

available at https://www.sec.gov/comments/srnasdaq-2016-135/nasdaq2016135-1846208- 

155175.pdf. 

7 15 U.S.C. 78f(b). 

8 15 U.S.C. 78f(b)(5). 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–81406; File No. SR– 

NASDAQ–2017–081] 

Self-Regulatory Organizations; The 

NASDAQ Stock Market LLC; Notice of 

Filing of a Proposed Rule Change To 

Extend the Implementation Date for 

Certain Changes to the Rule 5700 

Series and Rule 5810 

August 16, 2017. 

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 August 7, 

2017, The NASDAQ Stock Market LLC 

(‘‘Nasdaq’’ 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 

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 

date on which certain changes 

concerning the continued listing 

requirements for exchange-traded 

products (‘‘ETPs’’) in the Nasdaq Rule 

5700 Series, as well as a related 

amendment to Nasdaq Rule 5810 

(Notification of Deficiency by the 

Listing Qualifications Department), are 

implemented. 

The Exchange proposes to delay the 

implementation date of these changes 

until July 1, 2018. Given the scope of 

the proposed rule changes, the 

Exchange believes that this will ensure 

that ETP issuers have adequate time to 

develop and put into operation the new 

processes and systems necessitated by 

them. 

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 September 30, 2016, the Exchange 

filed a proposed rule change, as 

subsequently amended by Amendments 

No. 1 and 2 thereto, and as 

supplemented by two clean-up filings 3

(as amended and supplemented, 

collectively, the ‘‘Proposed Rule 

Change’’), to adopt certain changes to 

the Nasdaq Rule 5700 Series, as well as 

a related amendment to Nasdaq Rule 

5810 (Notification of Deficiency by the 

Listing Qualifications Department), to 

add additional continued listing 

standards for ETPs, as well as clarify the 

procedures that the Exchange will 

undertake when an ETP is 

noncompliant with applicable rules. 

On May 3, 2017, the Exchange filed to 

extend the implementation date from 

August 1, 2017 until October 1, 2017.4

The Exchange now proposes to extend 

the implementation date of the 

amendments specified in the Proposed 

Rule Change to July 1, 2018. 

Since the Proposed Rule Change was 

approved, the Exchange has engaged in 

extensive conversations with issuers of 

listed ETPs, industry advocacy groups 

and index providers to discuss the new 

rule requirements and offer guidance on 

rule interpretation and application.5 As 

a result of these conversations, ETP 

issuers have expressed concern about 

their ability to have in place systems 

and procedures to ensure compliance by 

the current October 1, 2017 

implementation date. In particular, 

listed ETP issuers, and industry 

advocacy groups on their behalf, have 

explained that issuers will require time 

to design and test new compliance 

systems as well as engage in discussions 

with third-party providers to source and 

track new data elements required for 

rule compliance.6

The Exchange believes it is 

appropriate to extend the 

implementation date of the Proposed 

Rule Change to July 1, 2018 to provide 

listed ETP issuers with the time needed 

to develop and test their compliance 

procedures. In support of its proposal, 

the Exchange notes that the Proposed 

Rule Change imposes significant new 

compliance requirements on issuers that 

they have not been subject to 

previously. To meet these new 

compliance requirements, issuers must 

develop internal systems as well as 

coordinate with third-party service 

providers, such as index providers, to 

develop procedures by which they can 

obtain essential data. Listed issuers have 

informed the Exchange that they are 

unable to complete this extensive 

project by the pending October 1, 2017 

implementation date. The Exchange 

believes that it is critical for listed ETP 

issuers to have the appropriate 

procedures and systems in place to 

monitor and evidence ETP compliance 

with the new continued listing rules 

before such rules are implemented. 

Therefore, the Exchange proposes to 

extend the implementation date for the 

Proposed Rule Change until July 1, 

2018. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Act,7 in general, and furthers the 

objectives of Section 6(b)(5) of the Act,8

in particular, in that it is designed 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. 

The Exchange believes that the 

proposed rule change is consistent with 

the protection of investors because it 

will enable listed issuers to have the 

systems and procedures needed to 

monitor and evidence compliance with 

the Proposed Rule Change prior to such 

rule being implemented. Providing 


sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 82, No. 161 / Tuesday, August 22, 2017 / Notices 39921 

9See Footnote 6, infra. [sic] 

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. 

listed issuers with additional time to 

ensure that they have adequate 

compliance systems in place furthers 

the protection of investors and the 

public interest because it will enhance 

investor confidence that listed issuers 

are complying with Exchange rules. 

For these reasons, Nasdaq believes the 

proposed rule change is consistent with 

the requirements of Section 6(b)(5) of 

the Act. 

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 not 

necessary or appropriate in furtherance 

of the purposes of the Act, as amended. 

The Exchange believes that the 

proposed rule change will facilitate 

listed issuer ability to monitor and 

evidence compliance with approved 

continued listing rules by providing 

issuers with additional time to develop 

and test their internal systems and 

procedures prior to the implementation 

date. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange received a copy of a 

letter from the Investment Company 

Institute, on behalf of listed ETP issuers, 

to the SEC.9 As described in Item 3 [sic], 

above, the Investment Company 

Institute detailed challenges that listed 

ETP issuers are facing in developing 

compliance systems to address the 

amendments contained in the Proposed 

Rule Change and have requested that 

the implementation date for such 

amendments be extended to July 1, 

2018. 

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 

such 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– 

NASDAQ–2017–081 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–NASDAQ–2017–081. 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 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– 

NASDAQ–2017–081 and should be 

submitted on or before September 12, 

2017. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.10

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2017–17682 Filed 8–21–17; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–81408; File No. SR– 

NYSEAMER–2017–04] 

Self-Regulatory Organizations; NYSE 

American LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Modify the NYSE 

American Options Fee Schedule 

August 16, 2017. 

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 August 

1, 2017, NYSE American LLC (the 

‘‘Exchange’’ or ‘‘NYSE American’’) 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 selfregulatory 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 the Substance 

of the Proposed Rule Change 

The Exchange proposes to modify the 

NYSE American Options Fee Schedule 

(‘‘Fee Schedule’’). The Exchange 

proposes to implement the fee change 

effective August 1, 2017. The proposed 

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, 


sradovich on DSK3GMQ082PROD with NOTICES