Document ID: SEC-2023-1366-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: BOX Exchange LLC
Posted Date: 2023-11-27T05:00Z

[Federal Register Volume 88, Number 226 (Monday, November 27, 2023)]
[Notices]
[Pages 82921-82925]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-26005]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-98987; File No. SR-BOX-2023-29]

Self-Regulatory Organizations; BOX Exchange LLC; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend Its Rules 
To Adopt Monthly Options Series

November 20, 2023.
    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 November 17, 2023, BOX Exchange LLC (``Exchange'') filed with the 
Securities and Exchange Commission (``Commission'') the proposed rule 
change as described in Items I and II below, which Items have been 
prepared by the Exchange. The Exchange filed the proposal as a ``non-
controversial'' proposed rule change pursuant to Section 
19(b)(3)(A)(iii) of the Act \3\ and Rule 19b-4(f)(6) thereunder.\4\ 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)(iii).
    \4\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend its Rules to adopt Monthly Options 
Series. The text of the proposed rule change is available from the 
principal office of the Exchange, at the Commission's Public Reference 
Room and also on the Exchange's internet website at https://rules.boxexchange.com/rulefilings.

[[Page 82922]]

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 Exchange proposes to amend its Rules to accommodate the listing 
of option series that would expire at the close of business on the last 
business day of a calendar month (``Monthly Options Series''). This is 
a competitive filing that is based on a proposal recently submitted 
Cboe Exchange, Inc (``CBOE'').\5\
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    \5\ See Securities Exchange Act Release No. 98915 (November 13, 
2023) (SR-CBOE-2023-049) (Order Approving a Proposed Rule Change to 
Adopt Monthly Options Series).
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    The Exchange proposes to amend its Rules to accommodate the listing 
of option series that would expire at the close of business on the last 
business day of a calendar month (``Monthly Options Series''). Pursuant 
to proposed IM-5050-13(1) and proposed IM-6090-4(i), the Exchange may 
list Monthly Options Series for up to five currently listed option 
classes that are either index options or options on exchange-traded 
funds (``ETFs'').\6\ In addition, the Exchange may also list Monthly 
Options Series on any options classes that are selected by other 
securities exchanges that employ a similar program under their 
respective rules.\7\ The Exchange may list 12 expirations for Monthly 
Options Series. Monthly Options Series need not be for consecutive 
months; however, the expiration date of a nonconsecutive expiration may 
not be beyond what would be considered the last expiration date if the 
maximum number of expirations were listed consecutively.\8\ Other 
expirations in the same class are not counted as part of the maximum 
numbers of Monthly Options Series expirations for a class.\9\ Monthly 
Options Series will be P.M.-settled.\10\
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    \6\ The Exchange proposes to amend Rule 5050(a) to provide that 
proposed IM-5050-13 will describe how the Exchange will fix a 
specific expiration date and exercise price for Monthly Options 
Series and that proposed IM-5050-13 will govern the procedures for 
opening Monthly Options Series, respectively. This is consistent 
with language in current Rule 5050(a) for other Short Term Option 
Series and Quarterly Options Series.
    \7\ The Exchange's proposal is based on a CBOE proposal and the 
Exchange believes that other options exchanges will adopt similar 
programs in the future.
    \8\ The Exchange notes this provision considers consecutive 
monthly listings. In other words, as other expirations (such as 
Quarterly Option Series) are not counted as part of the maximum, 
those expirations would not be considered when considering when the 
last expiration date would be if the maximum number were listed 
consecutively. For example, if it is January 2024 and the Exchange 
lists Quarterly Options Series in class ABC with expirations in 
March, June, September, December, and the following March, the 
Exchange could also list Monthly Options Series in class ABC with 
expirations in January, February, April, May, July, August, October, 
and November 2024 and January and February of 2025. This is because, 
if Quarterly Option Series, for example, were counted, the Exchange 
would otherwise never be able to list the maximum number of Monthly 
Options Series. This is consistent with the listing provisions for 
Quarterly Options Series, which permit give calendar quarter 
expirations. The need to list series with the same expiration in the 
current calendar year and the following calendar year (whether 
Monthly or Quarterly expiration) is to allow market participants to 
execute one-year strategies pursuant to which they may roll their 
exposures in the longer-dated options (e.g., January 2025) prior to 
the expiration of the nearer-dated option (e.g., January 2024).
    \9\ See proposed IM-5050-13(2) and proposed IM-6090-4(ii).
    \10\ See proposed IM-5050-13(3) and proposed IM-6090-4(iii).
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    The strike price of each Monthly Options Series will be fixed at a 
price per share, with at least two, but no more than five, strike 
prices above and at least two, but no more than five, strike prices 
below the value of the underlying index or price of the underlying 
security at about the time that a Monthly Options Series is opened for 
trading on the Exchange. The Exchange will list strike prices for 
Monthly Options Series that are reasonably related to the current price 
of the underlying security or current index value of the underlying 
index to which such series relates at about the time such series of 
options is first opened for trading on the Exchange. The term 
``reasonably related to the current price of the underlying security or 
index value of the underlying index'' means that the exercise price is 
within 30% of the current underlying security price or index value.\11\ 
Additional Monthly Options Series of the same class may be open for 
trading on the Exchange when the Exchange deems it necessary to 
maintain an orderly market, to meet customer demand, or when the market 
price of the underlying security moves substantially from the initial 
exercise price or prices. To the extent that any additional strike 
prices are listed by the Exchange, such additional strike prices will 
be within 30% above or below the closing price of the underlying index 
or security on the preceding day. The Exchange may also open additional 
strike prices of Monthly Options Series that are more than 30% above or 
below the current price of the underlying security, provided that 
demonstrated customer interest exists for such series, as expressed by 
institutional, corporate, or individual customers or their brokers. 
Market Makers trading for their own account will not be considered when 
determining customer interest under this provision. The opening of the 
new Monthly Options Series will not affect the series of options of the 
same class previously opened.\12\ The interval between strike prices on 
Monthly Options Series will be the same as the interval for strike 
prices for series in that same options class that expire in accordance 
with the normal monthly expiration cycle.\13\
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    \11\ See proposed IM-5050-13(4) and proposed IM-6090-4(iv). The 
Exchange notes these proposed provisions are consistent with the 
initial series provision for the Quarterly Options Series program in 
IM-5050-4(d). While different than the initial strike listing 
provision for the Quarterly Options Series program in current IM-
5050-4(c), the Exchange believes the proposed provision is 
appropriate, as it contemplates classes that may have strike 
intervals of $5 or greater. For consistency, the Exchange also 
proposes to amend IM-5050-4(c) to incorporate the same provision for 
initial series.
    \12\ See proposed IM-5050-13(5) and proposed IM-6090-4(v).
    \13\ See proposed IM-5050-13(6) and proposed IM-6090-4(vi); see 
also Rule 5050, IM-5050-1 (Strike Price Intervals), IM-5050-2 ($1 
Strike Price Interval Program), IM-5050-3 ($2.50 Strike Price 
Program) and Rule 6090(c) (Procedures for Adding and Deleting Strike 
Prices).
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    By definition, Monthly Options Series can never expire in the same 
week as a standard expiration series (which expire on the third Friday 
of a month) in the same class expires. The same, however, is not the 
case with regards to Short Term Options Series or Quarterly Options 
Series. Therefore, to avoid any confusion in the marketplace, the 
Exchange proposes to amend IM-5050-6 and IM-6090-2 to provide the 
Exchange will not list a Short Term Options Series in a class on a date 
on which a Monthly Options Series or Quarterly Options Series 
expires.\14\ Similarly, proposed IM-5050-13(2) and IM-6090-4(ii) 
provide that no Monthly

[[Page 82923]]

Options Series may expire on a date that coincides with an expiration 
date of a Quarterly Options Series in the same index or ETF class. In 
other words, the Exchange will not list a Short Term Options Series on 
an index or ETF if a Monthly Options Series on that index or ETF were 
to expire on the same date, nor will the Exchange list a Monthly 
Options Series on an ETF or index if a Quarterly Options Series on that 
index or ETF were to expire on the same date to prevent the listing of 
series with concurrent expirations.\15\
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    \14\ The Exchange also proposes to make a nonsubstantive change 
to IM-5050-6 and IM-6090-2 to change current references to ``monthly 
options series'' to ``standard expiration options series'' (i.e., 
series that expire on the third Friday of a month), to eliminate 
potential confusion. The current references to ``monthly options 
series'' are intended to refer to those series that expire on the 
third Friday of a month, which are generally referred to in the 
industry as standard expirations.
    \15\ The Exchange notes this would not prevent the Exchange from 
listing a P.M.-settled Monthly Options Series on an index with the 
same expiration date as an A.M.-settled Short Term Options Series on 
the same index, both of which may expire on a Friday. In other 
words, the Exchange may list a P.M-settled Monthly Options Series on 
an index concurrent with an A.M.-settled Short Term Options Series 
on that index and both of which expire on a Friday. The Exchange 
believes this concurrent listing would provide investors with yet 
another hedging mechanism and is reasonable given these series would 
not be identical (unlike if they were both P.M-settled). This could 
not occur with respect to ETFs, as all Short Term Options Series on 
ETFs are P.M.-settled.
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    With respect to Monthly Options Series added pursuant to proposed 
IM-5050-13(1) through (6) and proposed IM-6090-4(i) through (vi), the 
Exchange will, on a monthly basis, review series that are outside a 
range of five strikes above and five strikes below the current price of 
the underlying index or security, and delist series with no open 
interest in both the put and the call series having a: (i) strike 
higher than the highest strike price with open interest in the put and/
or call series for a given expiration month; and (ii) strike lower than 
the lowest strike price with open interest in the put and/or call 
series for a given expiration month. Notwithstanding this delisting 
policy, customer requests to add strikes and/or maintain strikes in 
Monthly Options Series in series eligible for delisting will be 
granted. In connection with this delisting policy, if the Exchange 
identifies series for delisting, the Exchange will notify other options 
exchanges with similar delisting policies regarding eligible series for 
delisting and will work with such other exchanges to develop a uniform 
list of series to be delisted, so as to ensure uniform series delisting 
of multiply listed Monthly Options Series.\16\
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    \16\ See proposed IM-5050-13(7) and proposed IM-6090-4(vii). 
Pursuant to Rule 3140, exercise limits for impacted index and ETF 
classes would be equal to the applicable position limits. For an 
Options Participant that has been granted an exemption to position 
limits pursuant Rule 3130(c) (Exemption to Position Limits), the 
number of contracts which can be exercised over a five (5) business 
day period shall equal the Options Participant's exempted position.
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    The Exchange believes that Monthly Options Series will provide 
investors with another flexible and valuable tool to manage risk 
exposure, minimize capital outlays, and be more responsive to the 
timing of events affecting the securities that underlie option 
contracts. The Exchange believes limiting Monthly Options Series to 
five classes will ensure the addition of these new series will have a 
negligible impact on the Exchange's and the Options Price Reporting 
Authority's (``OPRA's'') quoting capacity. The Exchange represents it 
has the necessary systems capacity to support new options series that 
will result from the introduction of Monthly Options Series. The 
Exchange also proposes to amend Rules 3120, 6040, and 6050 to provide 
that positions in Monthly Options Series will be aggregated with 
positions in options contracts on the same underlying security or 
index.\17\ This is consistent with how position (and exercise) limits 
are currently imposed on series with other expirations (Short Term 
Options Series and Quarterly Options Series). Therefore, positions in 
options within class of index or ETF options, regardless of their 
expirations, would continue to be subject to existing position (and 
exercise) limits. The Exchange believes this will address potential 
manipulative schemes and adverse market impacts surrounding the use of 
options.
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    \17\ See proposed IM-3120-5 (regarding positions in options 
contracts on the same underlying security), Rule 6040(d) (regarding 
position limits for Broad-Based Index Options), and Rule 6050(d) 
(regarding position limits for Industry Index Options). The Exchange 
notes the proposed rule change adds IM-3120-5 to state that 
positions in Short Term Option Series, Monthly Options Series, and 
Quarterly Options Series shall be aggregated with positions in 
options contracts on the same underlying security. This is currently 
true with respect to Short Term Option Series and Quarterly Options 
Series but was inadvertently omitted from Rule 3120.
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    The Exchange also represents its current surveillance programs will 
apply to Monthly Options Series and will properly monitor trading in 
the proposed Monthly Options Series. The Exchange currently lists 
Quarterly Options Series in certain ETF classes, which expire at the 
close of business at the end of four calendar months (i.e., the end of 
each calendar quarter), and has not experienced any market disruptions 
nor issues with capacity. The Exchange's surveillance programs 
currently in place to support and properly monitor trading in these 
Quarterly Options Series, as well as Short Term Option Series and 
standard expiration series, will apply to the proposed Monthly Options 
Series. The Exchange believes its surveillances continue to be designed 
to deter and detect violations of its Rules, including position and 
exercise limits and possible manipulative behavior, and these 
surveillances will apply to Monthly Options Series that the Exchange 
determines to list for trading. Ultimately, the Exchange does not 
believe the proposed rule change raises any unique regulatory concerns 
because existing safeguards--such as position and exercise limits (and 
the aggregation of options overlying the same index or ETF) and 
reporting requirements--would continue to apply.
2. Statutory Basis
    The Exchange believes that the proposal is consistent with the 
requirements of Section 6(b) of the Securities Exchange Act of 1934 
(the ``Act''),\18\ in general, and Section 6(b)(5) of the Act,\19\ in 
particular, in that it is designed to prevent fraudulent and 
manipulative acts and practices, to promote just and equitable 
principles of trade, to foster cooperation and coordination with 
persons engaged in 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. In particular, the Exchange believes the introduction 
of Monthly Options Series will remove impediments to and perfect the 
mechanism of a free and open market and a national market system by 
expanding hedging tools available to market participants. The Exchange 
believes the proposed monthly expirations will allow market 
participants to transact in the index and ETF options listed pursuant 
to the proposed rule change based on their timing as needed and allow 
them to tailor their investment and hedging needs more effectively. 
Further, the Exchange believes the availability of Monthly Options 
Series would protect investors and the public interest by providing 
investors with more flexibility to closely tailor their investment and 
hedging decisions in these options, thus allowing them to better manage 
their risk exposure.
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    \18\ 15 U.S.C. 78f(b).
    \19\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes the Quarterly Options Series Program has been 
successful to date and the proposed Monthly Options Series program 
simply expands the ability of investors to hedge risk against market 
movements stemming from economic releases or market events that occur 
at months' ends in the same way the Quarterly

[[Page 82924]]

Options Series Program has expanded the landscape of hedging for 
quarter-end news. Monthly Options Series will also complement Short 
Term Options Series, which allow investors to hedge risk against events 
that occur throughout a month. The Exchange believes the availability 
of additional expirations should create greater trading and hedging 
opportunities for investors, as well as provide investors with the 
ability to tailor their investment objectives more effectively.
    The Exchange notes the proposed terms of Monthly Options Series, 
including the limitation to five index and ETF option classes, are 
substantively the same as the current terms of Quarterly Options 
Series.\20\ Quarterly Options Series expire on the last business day of 
a calendar quarter, which is the last business day of every third 
month. The proposed Monthly Options Series would fill the gaps between 
Quarterly Options Series expirations by permitting series to expire on 
the last business day of every month, rather than every third month. 
The proposed Monthly Options Series may be listed in accordance with 
the same terms as Quarterly Options Series, including permissible 
strikes. As is the case with Quarterly Options Series, no Short Term 
Options Series may expire on the same day as a Monthly Options Series. 
Similarly, as proposed, no Monthly Options Series may expire on the 
same day as a Quarterly Options Series. The Exchange believes 
preventing listing series with concurrent expirations in a class will 
eliminate potential investors confusion and thus protect investors and 
the public interest. Given that Quarterly Options Series the Exchange 
currently lists are essentially Monthly Options Series that can expire 
at the end of only certain calendar months, the Exchange believes it is 
reasonable to list Monthly Options Series in accordance with the same 
terms, as it will promote just and equitable principles of trade. The 
Exchange believes limiting Monthly Options Series to five classes will 
ensure the addition of these new series will have a negligible impact 
on the Exchange's and OPRA's quoting capacity. The Exchange represents 
it has the necessary systems capacity to support new options series 
that will result from the introduction of Monthly Options Series.
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    \20\ Compare proposed IM-5050-13 and proposed IM-6090-4 to IM-
5050-4 and IM-6090-1, respectively.
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    The Exchange further believes the proposed rule change regarding 
the treatment of Monthly Options Series with respect to determining 
compliance with position and exercise limits is designed to prevent 
fraudulent and manipulative acts and practices and promote just and 
equitable principles of trade. Monthly Options Series will be 
aggregated with options overlying the same ETF or index for purposes of 
compliance with position (and exercise) limits, which is consistent 
with how position (and exercise) limits are currently imposed on series 
with other expirations (Short Term Options Series and Quarterly Options 
Series). Therefore, options positions within ETF or index option 
classes for which Monthly Options Series are listed, regardless of 
their expirations, would continue to be subject to existing position 
(and exercise) limits. The Exchange believes this will address 
potential manipulative schemes and adverse market impacts surrounding 
the use of options. The Exchange also represents its current 
surveillance programs will apply to Monthly Options Series and will 
properly monitor trading in the proposed Monthly Options Series. The 
Exchange currently trades Quarterly Options Series in certain ETF 
classes, which expire at the close of business at the end of four 
calendar months (i.e., the end of each calendar quarter), and has not 
experienced any market disruptions nor issues with capacity. The 
Exchange's surveillance programs currently in place to support and 
properly monitor trading in these Quarterly Options Series, as well as 
Short Term Option Series and standard expiration series, will apply to 
the proposed Monthly Options Series. The Exchange believes its 
surveillances continue to be designed to deter and detect violations of 
its Rules, including position and exercise limits and possible 
manipulative behavior, and these surveillances will apply to Monthly 
Options Series that the Exchange determines to list for trading. 
Ultimately, the Exchange does not believe the proposed rule change 
raises any unique regulatory concerns because existing safeguards--such 
as position and exercise limits (and the aggregation of options 
overlying the same ETF or index) and reporting requirements would 
continue to apply.

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. In this regard and as indicated 
above, the Exchange notes that the rule change is being proposed as a 
competitive response to a filing submitted by CBOE.
    The Exchange does not believe the proposed rule change to list 
Monthly Options Series will impose any burden on intramarket 
competition that is not necessary or appropriate in furtherance of the 
purposes of the Act, as any Monthly Options Series the Exchange lists 
for trading will be available in the same manner for all market 
participants who wish to trade such options. The Exchange notes the 
proposed terms of Monthly Options Series, including the limitation to 
five index and ETF option classes, are substantively the same as the 
current terms of Quarterly Options Series.\21\ Quarterly Options Series 
expire on the last business day of a calendar quarter, which is the 
last business day of every third month, making the concept of Monthly 
Options Series in a limited number of index and ETF options not novel. 
The proposed Monthly Options Series will fill the gaps between 
Quarterly Options Series expirations by permitting series to expire on 
the last business day of every month, rather than every third month. 
The proposed Monthly Options Series may be listed in accordance with 
the same terms as Quarterly Options Series, including permissible 
strikes. Monthly Options Series will trade on the Exchange in the same 
manner as other options in the same class. The Exchange does not 
believe the proposed rule change to list Monthly Options Series will 
impose any burden on intermarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act, as nothing 
prevents other options exchanges from proposing similar rules. As 
discussed above, the proposed rule change would permit listing of 
Monthly Options Series in five index or ETF options, as well as any 
other classes that other exchanges may list under similar programs. To 
the extent that the availability of Monthly Options Series makes the 
Exchange a more attractive marketplace to market participants at other 
exchanges, market participants are free to elect to become market 
participants on the Exchange. The Exchange believes that the proposed 
rule change may relieve any burden on, or otherwise promote, 
competition. Similar to Short Term Options Series and Quarterly Options 
Series, the Exchange believes the introduction of Monthly Options 
Series will not impose an undue burden on competition. The Exchange 
believes that it will, among other things, expand hedging tools 
available to market participants. The Exchange believes

[[Page 82925]]

Monthly Options Series will allow market participants to purchase 
options based on their timing as needed and allow them to tailor their 
investment and hedging needs more effectively. The Exchange does not 
believe the proposed rule change to provide that positions in Monthly 
Options Series will be aggregated with positions in options contracts 
on the same underlying index or security for purposes of determining 
compliance with position (and exercise) limits will impose any burden 
on intramarket competition that is not necessary or appropriate in 
furtherance of the purposes of the Act, as it will apply in the same 
manner to all market participants. The Exchange proposes to apply 
position (and exercise) limits to Monthly Options Series in the same 
manner it applies position limits to series with other expirations 
(Short Term Options Series and Quarterly Options Series). Therefore, 
positions in options in a class of ETF or index options, regardless of 
their expirations, would continue to be subject to existing position 
(and exercise) limits. Additionally, the Exchange does not believe this 
proposed change will impose any burden on intermarket competition that 
is not necessary or appropriate in furtherance of the purposes of the 
Act, because it will address potential manipulative schemes and adverse 
market impacts surrounding the use of options.
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    \21\ See IM-5050-4 and IM-6090-1.
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C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    The Exchange has neither solicited nor received comments on 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 \22\ and Rule 19b-4(f)(6) thereunder.\23\ 
Because the foregoing 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 for 
30 days from the date on which it was filed, or such shorter time as 
the Commission may designate, it has become effective pursuant to 
Section 19(b)(3)(A)(iii) of the Act \24\ and subparagraph (f)(6) of 
Rule 19b-4 thereunder.\25\
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    \22\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \23\ 17 CFR 240.19b-4(f)(6).
    \24\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \25\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii) 
requires a self-regulatory organization to give the Commission 
written notice of its intent to file the proposed rule change, along 
with a brief description and text of the proposed rule change, at 
least five business days prior to the date of filing of the proposed 
rule change, or such shorter time as designated by the Commission. 
The Exchange has satisfied this requirement.
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    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the 
Act \26\ normally does not become operative for 30 days after the date 
of its filing. However, Rule 19b-4(f)(6)(iii) \27\ permits the 
Commission to designate a shorter time if such action is consistent 
with the protection of investors and the public interest. The Exchange 
has requested that the Commission waive the 30-day operative delay so 
that the Exchange may establish Monthly Options Series at the same time 
as CBOE, which the Exchange believes is consistent with the protection 
of investors and the public interest because it will ensure fair 
competition among the exchanges. The Exchange notes that its proposal 
is substantially similar in all material respects to a proposal 
submitted by CBOE to implement the Monthly Options Series program, that 
was recently approved by the Commission.\28\ The Commission believes 
that the proposed rule change presents no novel issues and that waiver 
of the 30-day operative delay is consistent with the protection of 
investors and the public interest. Accordingly, the Commission hereby 
waives the operative delay and designates the proposed rule change 
operative upon filing.\29\
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    \26\ 17 CFR 240.19b-4(f)(6).
    \27\ 17 CFR 240.19b-4(f)(6)(iii).
    \28\ See supra, note 5, order approving CBOE's proposed rule 
change.
    \29\ For purposes only of waiving the 30-day operative delay, 
the Commission has also considered the proposed rule's impact on 
efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
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    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. 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 (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
file number SR-BOX-2023-29 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-BOX-2023-29. 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 website (https://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 website 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 
a.m. and 3 p.m. Copies of the filing also will be available for 
inspection and copying at the principal office of the Exchange. Do not 
include personal identifiable information in submissions; you should 
submit only information that you wish to make available publicly. We 
may redact in part or withhold entirely from publication submitted 
material that is obscene or subject to copyright protection. All 
submissions should refer to file number SR-BOX-2023-29 and should be 
submitted on or before December 18, 2023.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\30\
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    \30\ 17 CFR 200.30-3(a)(12), (59).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-26005 Filed 11-24-23; 8:45 am]
BILLING CODE 8011-01-P