Document ID: SEC-2015-1362-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: ICE Clear Europe, Ltd.
Posted Date: 2015-08-14T04:00Z

[Federal Register Volume 80, Number 157 (Friday, August 14, 2015)]
[Notices]
[Pages 48937-48938]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-20008]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75657; File No. SR-ICEEU-2015-014]

Self-Regulatory Organizations; ICE Clear Europe Limited; Notice 
of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt 
Revised Fee Schedule

August 10, 2015.
    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 3, 2015, ICE Clear Europe Limited (``ICE Clear Europe'') 
filed with the Securities and Exchange Commission (``Commission'') the 
proposed rule change described in Items I, II and III below, which 
Items have been primarily prepared by ICE Clear Europe. ICE Clear 
Europe filed the proposal pursuant to Section 19(b)(3)(A) of the 
Act,\3\ and Rule 19b-4(f)(2) \4\ thereunder, so that the proposal was 
effective upon filing with the Commission. The Commission is publishing 
this notice to solicit comments on the proposed rule change from 
interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(2).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The principal purpose of the proposed rule change is to specify 
certain fees applicable to the maintenance of certain segregated 
customer accounts at ICE Clear Europe.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, ICE Clear Europe included 
statements concerning the purpose of and basis for the proposed rule 
change. The text of these statements may be examined at the places 
specified in Item IV below. ICE Clear Europe 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 for ICE Clear Europe to 
specify certain fees (and related volume discounts) applicable to 
segregated customer accounts, margin flow co-mingled accounts (also 
known as ``individually segregated, operationally co-mingled'' or 
``ISOC'' accounts) and individually segregated sponsored accounts of 
Non-FCM/BD Clearing Members that are required to be made available 
under the European Market Infrastructure Regulation (EMIR) 
(collectively, the ``EMIR Customer Accounts''). Certain such accounts 
may also be used by Non-FCM/BD Clearing Members prior to EMIR 
authorization of ICE Clear Europe.
    Specifically, an application fee and an annual fee will apply to 
various EMIR Customer Accounts as follows:

------------------------------------------------------------------------
                                    Application fee       Annual fee
------------------------------------------------------------------------
Segregated Customer Accounts      Waived............  Waived.
 (``F'', ``S'' and ``T'').
ISOC Account (``I'' and ``J''     Waived............  [euro]5,000 per
 Account).                                             annum per
                                                       Individual
                                                       Customer.
Individually Segregated           [euro]10,000 per    [euro]25,000 per
 Sponsored Account (``Sponsored    Sponsored           annum per
 Account'').                       Principal.          Sponsored
                                                       Principal.
------------------------------------------------------------------------

    The rule change also establishes volume discounts applicable where 
a client establishes a number of separate individually segregated 
accounts, detailed as follows:

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                             Sponsored
                                                              Minimum      Cost per ISOC   Minimum cost      principal      Cost per SP    Minimum cost
                   Number of accounts                        number of     account (EUR       of ISOC       application    account (EUR    of SP package
                                                             accounts          p.a.)          package           fee            p.a.)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Individual Accounts.....................................               1           5,000           5,000          10,000          25,000          35,000
50 or more..............................................              50           3,300         165,000             N/A          16,500         825,000
100 or more.............................................             100           2,150         215,000             N/A          10,750       1,085,000
--------------------------------------------------------------------------------------------------------------------------------------------------------

[[Page 48938]]

    The rule change also specifies the timing of payment of such fees, 
with annual fees initially becoming due on August 31, 2015, as set 
forth in further detail in a Circular to be published by ICE Clear 
Europe.
2. Statutory Basis
    ICE Clear Europe has determined that the fees are reasonable and 
appropriate to charge for establishing and maintaining EMIR Customer 
Accounts for Non-FCM/BD Clearing Members. In particular, ICE Clear 
Europe believes that the fees, and related volume discounts from them, 
have been set at an appropriate level given the costs and expenses to 
ICE Clear Europe in offering and maintaining the relevant EMIR Customer 
Accounts. The fees (and related discounts) apply equally to all Non-
FCM/BD Clearing Members that use EMIR Customer Accounts. ICE Clear 
Europe believes that imposing such clearing fees is consistent with the 
requirements of Section 17A of the Act \5\ and the regulations 
thereunder applicable to it, and in particular provides for the 
equitable allocation of reasonable dues, fees, and other charges among 
its Clearing Members, within the meaning of Section 17A(b)(3)(D) of the 
Act.\6\ ICE Clear Europe thus believes that the proposed rule change is 
consistent with the requirements of Section 17A of the Act and 
regulations thereunder applicable to it.
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    \5\ 15 U.S.C. 78q-1.
    \6\ 15 U.S.C. 78q-1(b)(3)(D).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    ICE Clear Europe does not believe the proposed rule change would 
have any impact, or impose any burden, on competition not necessary or 
appropriate in furtherance of the purpose of the Act. As noted above, 
ICE Clear Europe believes that the fees and related discounts have been 
set at an appropriate level given the costs and expenses to ICE Clear 
Europe in offering and maintaining the relevant EMIR Customer Accounts. 
The fees and related discounts apply equally to all Non-FCM/BD Clearing 
Members that use EMIR Customer Accounts. ICE Clear Europe does not 
believe that the amendments would adversely affect the ability of such 
Clearing Members or other market participants generally to engage in 
cleared transactions or to access clearing. ICE Clear Europe further 
believes that the fees will not otherwise adversely affect competition 
among Clearing Members, adversely affect the market for clearing 
services or limit market participants' choices for obtaining clearing 
services.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

    Written comments relating to the proposed rule change have not been 
solicited or received. ICE Clear Europe will notify the Commission of 
any written comments received by ICE Clear Europe.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing proposed rule change has become effective upon filing 
pursuant to Section 19(b)(3)(A) \7\ of the Act and Rule 19b-4(f)(2) \8\ 
thereunder because it establishes a fee or other charge imposed by ICE 
Clear Europe on its Clearing Members. Specifically, the proposed rule 
change will establish fees to be paid by Non-FCM/BD Clearing Members to 
ICE Clear Europe in connection with EMIR Customer Accounts. At any time 
within 60 days of the filing of the proposed rule change, the 
Commission summarily may temporarily suspend such proposed 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.
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    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f)(2).
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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-2015-014 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-2015-014. 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/clear-europe/regulation. 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-2015-014 and should be submitted on or before September 4, 2015.
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    \9\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015-20008 Filed 8-13-15; 8:45 am]
 BILLING CODE 8011-01-P