44234 Federal Register / Vol. 82, No. 182 / Thursday, September 21, 2017 / Notices 

2The requested relief would apply to direct sales 

of shares in Creation Units by a Fund to an 

Acquiring Fund and redemptions of those shares. 

Applicants, moreover, are not seeking relief from 

section 17(a) for, and the requested relief will not 

apply to, transactions where a Fund could be 

deemed an affiliated person, or a second-tier 

affiliate, of an Acquiring Fund because an Adviser 

or an entity controlling, controlled by or under 

common control with an Adviser provides 

investment advisory services to that Acquiring 

Fund. 

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

2 17 CFR 240.19b–4. 

3FICC also filed the Proposed Rule Change as 

advance notice SR–FICC–2017–802 (‘‘Advance 

Notice’’) pursuant to Section 806(e)(1) of the 

Payment, Clearing, and Settlement Supervision Act 

of 2010, 12 U.S.C. 5465(e)(1), and Rule 19b– 

4(n)(1)(i) under the Act, 17 CFR 240.19b–4(n)(1)(i). 

Notice of filing of the Advance Notice was 

published for comment in the Federal Register on 

March 15, 2017. Securities Exchange Act Release 

No. 80191 (March 9, 2017), 82 FR 13876 (March 15, 

2017) (SR–FICC–2017–802). The Commission 

extended the deadline for its review period of the 

Advance Notice from April 30, 2017 to June 29, 

2017. Securities Exchange Act Release No. 80520 

(April 25, 2017), 82 FR 20404 (May 1, 2017) (SR– 

FICC–2017–802). The Commission issued a notice 

of no objection to the Advance Notice on June 29, 

2017. Securities Exchange Act Release No. 81054 

(June 29, 2017), 82 FR 31356 (July 6, 2017). The 

proposal in the Proposed Rule Change and the 

Advance Notice shall not take effect until all 

regulatory actions required with respect to the 

proposal are completed. 

4Securities Exchange Act Release No. 80234 

(March 14, 2017), 82 FR 14401 (March 20, 2017) 

(SR–FICC–2017–002). 

5See letter from Robert E. Pooler Jr., Chief 

Financial Officer, Ronin Capital LLC (‘‘Ronin’’), 

dated April 10, 2017, to Robert W. Errett, Deputy 

Secretary, Commission; letter from Alan B. Levy, 

Managing Director, Industrial and Commercial Bank 

of China Financial Services LLC (‘‘ICBC’’), Philip 

Vandermause, Director, Aardvark Securities LLC 

(‘‘Aardvark’’), David Rutter, Chief Executive Officer, 

LiquidityEdge LLC, Robert Pooler, Chief Financial 

Officer, Ronin, Jason Manumaleuna, Chief Financial 

Officer and EVP, Rosenthal Collins Group LLC, and 

Scott Skyrm, Managing Director, Wedbush 

Securities Inc. (‘‘Wedbush’’); letter from Timothy J. 

Cuddihy, Managing Director, FICC, dated April 25, 

2017, to Robert W. Errett, Deputy Secretary, 

Commission; letter from Robert E. Pooler Jr., Chief 

Financial Officer, Ronin, dated June 19, 2017, to 

Robert W. Errett, Deputy Secretary, Commission; 

and letter from Alan B. Levy, Managing Director, 

ICBC, Philip Vandermause, Director, Aardvark, 

Robert Pooler, Chief Financial Officer, Ronin, and 

Scott Skyrm, Managing Director, Wedbush, dated 

June 27, 2017, to Robert W. Errett, Deputy 

Secretary, Commission, available at https://

www.sec.gov/comments/sr-ficc-2017-002/ 

ficc2017002.htm. 

6 15 U.S.C. 78s(b)(2)(B)(i). 

7See Securities Exchange Act Release No. 80812 

(May 30, 2017), 82 FR 25642 (June 2, 2017) (SR– 

FICC–2017–002). 

8 15 U.S.C. 78s(b)(2)(B)(ii). 

9 Id. 

10 Id. 

Portfolio Positions currently held by the 

Funds. Applicants also seek relief from 

the prohibitions on affiliated 

transactions in section 17(a) to permit a 

Fund to sell its shares to and redeem its 

shares from an Acquiring Fund, and to 

engage in the accompanying in-kind 

transactions with the Acquiring Fund.2

The purchase of Creation Units by an 

Acquiring Fund directly from a Fund 

will be accomplished in accordance 

with the policies of the Acquiring Fund 

and will be based on the NAVs of the 

Funds. 

9. Section 6(c) of the Act permits the 

Commission to exempt any persons or 

transactions from any provision of the 

Act if such exemption is necessary or 

appropriate in the public interest and 

consistent with the protection of 

investors and the purposes fairly 

intended by the policy and provisions of 

the Act. Section 12(d)(1)(J) of the Act 

provides that the Commission may 

exempt any person, security, or 

transaction, or any class or classes of 

persons, securities, or transactions, from 

any provision of section 12(d)(1) if the 

exemption is consistent with the public 

interest and the protection of investors. 

Section 17(b) of the Act authorizes the 

Commission to grant an order 

permitting a transaction otherwise 

prohibited by section 17(a) if it finds 

that (a) the terms of the proposed 

transaction are fair and reasonable and 

do not involve overreaching on the part 

of any person concerned; (b) the 

proposed transaction is consistent with 

the policies of each registered 

investment company involved; and (c) 

the proposed transaction is consistent 

with the general purposes of the Act. 

For the Commission, by the Division of 

Investment Management, under delegated 

authority. 

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2017–20143 Filed 9–20–17; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–81638; File No. SR–FICC– 

2017–002] 

Self-Regulatory Organizations; Fixed 

Income Clearing Corporation; Notice of 

Designation of Longer Period for 

Commission Action on Proceedings To 

Determine Whether To Approve or 

Disapprove a Proposed Rule Change 

To Implement the Capped Contingency 

Liquidity Facility in the Government 

Securities Division Rulebook 

September 15, 2017. 

On March 1, 2017, Fixed Income 

Clearing Corporation (‘‘FICC’’) filed 

with the Securities and Exchange 

Commission (‘‘Commission’’) proposed 

rule change SR–FICC–2017–002 

(‘‘Proposed Rule Change’’) pursuant to 

Section 19(b)(1) of the Securities 

Exchange Act of 1934 (‘‘Act’’),1 and 

Rule 19b–4 thereunder,2 to implement a 

Capped Contingency Liquidity Facility 

in FICC’s Government Securities 

Division Rulebook.3 The Proposed Rule 

Change was published for comment in 

the Federal Register on March 20, 

2017.4 The Commission received five 

comment letters 5 to the Proposed Rule 

Change, including a response letter from 

FICC. On May 30, 2017, the Commission 

instituted proceedings under Section 

19(b)(2)(B)(i) of the Act 6 to determine 

whether to approve or disapprove the 

Proposed Rule Change.7

Section 19(b)(2)(B)(ii) of the Act 

provides that, after initiating 

proceedings, the Commission shall issue 

an order approving or disapproving the 

proposed rule change not later than 180 

days after the date of publication of 

notice of filing of the proposed rule 

change.8 The Commission may, 

however, extend the period for issuing 

an order approving or disapproving the 

proposed rule change by not more than 

60 days if the Commission determines 

that a longer period is appropriate and 

publishes the reasons for such 

determination.9

The 180th day after publication of the 

notice for the Proposed Rule Change in 

the Federal Register is September 16, 

2017. The Commission finds it 

appropriate to designate a longer period 

within which to issue an order 

approving or disapproving the Proposed 

Rule Change so that it has sufficient 

time to consider the Proposed Rule 

Change and the comments received. 

Accordingly, the Commission, pursuant 

to Section 19(b)(2)(B)(ii) of the Act,10

designates November 15, 2017 as the 

date by which the Commission shall 

either approve or disapprove the 

Proposed Rule Change. 

The Commission also seeks additional 

comment to help further inform its 

analysis of the Proposed Rule Change. 

Specifically, the Commission invites 

interested persons to provide views, 

data, and arguments concerning the 

Proposed Rule Change, including 

whether the Proposed Rule Change is 

consistent with the Act and the 

applicable rules or regulations 

thereunder. Please note that comments 

previously received on the substance of 

the Proposed Rule Change will be 

considered together with comments 

submitted in response to this notice. 

Therefore, while commenters are free to 


asabaliauskas on DSKBBXCHB2PROD with NOTICES
Federal Register / Vol. 82, No. 182 / Thursday, September 21, 2017 / Notices 44235 

11See Securities Exchange Act Release No. 80234 

(March 14, 2017), 82 FR 14401 (March 20, 2017) 

(SR–FICC–2017–002). 12 17 CFR 200.30–3(a)(57). 

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

2 17 CFR 240.19b–4. 

submit additional comments at this 

time, they need not re-submit earlier 

comments. In addition, the Commission 

seeks comment on the following: 

1. The Proposed Rule Change would 

require each Netting Member to attest 

that its Individual Total Amount has 

been incorporated into its liquidity 

plans (‘‘Attestation Requirement’’).11

The Commission requests comment on 

the means by which the various types of 

Netting Members anticipate complying 

with the Proposed Rule Change, 

including the Attestation Requirement, 

and the expected cost (monetary or 

otherwise) of such compliance. To the 

extent possible, please provide specific 

data, analyses, or studies for support. 

2. The Proposed Rule Change would 

require FICC to provide each Netting 

Member with a daily ‘‘liquidity funding 

report’’ to help the Netting Member 

monitor and manage the liquidity risk it 

presents to FICC. The Commission 

requests comment on the value of such 

daily reporting to Netting Members and 

the extent to which and, if so, how 

Netting Members anticipate adjusting 

their trading behavior or otherwise 

managing the liquidity risk they present 

to FICC, whether in reliance on the 

daily liquidity funding report or 

otherwise. Please explain and, to the 

extent possible, provide specific data, 

analyses, or studies on potential 

changes to trading behavior or other 

adjustments to manage liquidity 

obligations to FICC for support. 

a. If such adjustments would include 

changes in market participation, 

participation in certain market 

segments, or the quantity or price of 

services offered to clients, please 

provide information of such changes, in 

addition to any supporting data, 

analyses, or studies. 

b. If such adjustments would include 

deciding to clear repo transactions 

bilaterally, instead of centrally through 

FICC, please provide the rationale and 

factors considered in making that 

decision, in addition to any supporting 

data, analyses, or studies. 

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– 

FICC–2017–002 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–FICC–2017–002. 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 also will be available for 

inspection and copying at the principal 

office of FICC and on DTCC’s Web site 

(http://dtcc.com/legal/sec-rulefilings.aspx). 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–FICC– 

2017–002 and should be submitted on 

or before October 6, 2017. Any person 

who wishes to file a rebuttal to any 

other person’s submission must file that 

rebuttal on or before October 12, 2017. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.12

Eduardo Aleman, 

Assistant Secretary. 

[FR Doc. 2017–20090 Filed 9–20–17; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–81632; File No. SR–GEMX– 

2017–42] 

Self-Regulatory Organizations; Nasdaq 

GEMX, LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend Its Schedule of 

Fees To Offer Monthly Subscriptions 

for Open and Close Trade Profile 

Information 

September 15, 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 

September 1, 2017, Nasdaq GEMX, LLC 

(‘‘GEMX’’ 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 amend its 

Schedule of Fees to offer monthly 

subscriptions for Open and Close Trade 

Profile Information. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at 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 

Exchange included statements 

concerning the purpose of and basis for 

the proposed rule change and discussed 

any comments it received on the 

proposed rule change. The text of these 

statements may be examined at the 

places specified in Item IV below. The 

Exchange has prepared summaries, set 

forth in sections A, B, and C below, of 

the most significant aspects of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

Schedule of Fees to offer monthly 


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