Document ID: SEC-2011-1553-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: Chicago Mercantile Exchange, Inc.
Posted Date: 2011-10-12T04:00Z

[Federal Register Volume 76, Number 197 (Wednesday, October 12, 2011)]
[Notices]
[Pages 63339-63341]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-26271]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-65489; File No. SR-CME-2011-08]

Self-Regulatory Organizations; Chicago Mercantile Exchange, Inc.; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
and Amendment To Add One Additional Series of Credit Default Index 
Swaps Available for Clearing

October 5, 2011.
    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 26, 2011, Chicago Mercantile Exchange Inc. (``CME'') filed 
with the Securities and Exchange Commission (``Commission'') the 
proposed rule change described in Items I, II and III below, and an 
amendment thereto on the same day,\3\ which items have been prepared 
primarily by CME. CME filed the proposed rule change pursuant to 
Section 19(b)(3)(A) \4\ of the Act and Rule 19b-4(f)(4)(i) \5\ 
thereunder.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ The amendment was technical in nature.
    \4\ 15 U.S.C. 78s(b)(3)(A).
    \5\ 17 CFR 240.19b-4(f)(4)(i).
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I. Self-Regulatory Organization's Statement of Terms of Substance of 
the Proposed Rule Change

    The text of the proposed rule change is below. Italicized text 
indicates additions; bracketed text indicates deletions.
* * * * *

Chicago Mercantile Exchange Inc. Rulebook

Rule 100--80203--No Change.

* * * * *

CME Chapter 802 Rules: Appendix 1

Appendix 1

CDX Indices

----------------------------------------------------------------------------------------------------------------
                   CDX Index                        Series          Termination dat. (scheduled termination)
----------------------------------------------------------------------------------------------------------------
CDX North American Investment Grade                          9  20 Dec 2012.
 (CDX.NA.IG).                                                   20 Dec 2014.
                                                ..............  20 Dec 2017.
CDX North American Investment Grade                         10  20 Jun 2013.
 (CDX.NA.IG).                                                   20 Jun 2015.
                                                ..............  20 Jun 2018.
CDX North American Investment Grade                         11  20 Dec 2011.
 (CDX.NA.IG).                                                   20 Dec 2013.
                                                ..............  20 Dec 2015.
                                                ..............  20 Dec 2018.
CDX North American Investment Grade                         12  20 Jun 2012.
 (CDX.NA.IG).                                                   20 Jun 2014.
                                                ..............  20 Jun 2016.
                                                ..............  20 Jun 2019.
CDX North American Investment Grade                         13  20 Dec 2012.
 (CDX.NA.IG).                                                   20 Dec 2014.
                                                ..............  20 Dec 2016.

[[Page 63340]]

 
                                                ..............  20 Dec 2019.
CDX North American Investment Grade                         14  20 Jun 2013.
 (CDX.NA.IG).                                                   20 Jun 2015.
                                                ..............  20 Jun 2017.
                                                ..............  20 Jun 2020.
CDX North American Investment Grade                         15  20 Dec 2013.
 (CDX.NA.IG).                                                   20 Dec 2015.
                                                ..............  20 Dec 2017.
                                                ..............  20 Dec 2020.
CDX North American Investment Grade                         16  20 Jun 2014.
 (CDX.NA.IG).                                                   20 Jun 2016.
                                                ..............  20 Jun 2018.
                                                ..............  20 Jun 2021.
CDX North American Investment Grade                         17  20 Dec 2014.
 (CDX.NA.IG).                                                   20 Dec 2016.
                                                ..............  20 Dec 2018.
                                                ..............  20 Dec 2021.
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* * * * *

Rule 80301--End--No change

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

    In its filing with the Commission, CME included statements 
concerning the purpose 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. CME 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 Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    CME offers clearing services for certain credit default swap index 
products. Currently, CME offers clearing of the Markit CDX North 
American Investment Grade Index Series 10, 11, 12, 13, 14, 15, 16 and 
17. The proposed rule changes that are the subject of this filing are 
intended to expand CME's Markit Investment Grade Index product offering 
by incorporating one additional series for the existing products. More 
specifically, the proposed rule changes would add the Markit CDX North 
American Investment Grade Index Series 9 (with 5, 7 and 10 year 
maturities).
    In addition, the filing would amend certain typographical errors in 
CME Chapter 802 Rules: Appendix 1. The products are currently listed as 
``CDX North America Investment Grade'' and the changes would correctly 
list them as ``CDX North American Investment Grade''.
    The proposed rule changes that are the subject of this filing will 
become immediately effective.\6\ CME notes that it has also certified 
the proposed rule changes that are the subject of this filing to its 
primary regulator, the Commodity Futures Trading Commission (``CFTC''). 
The text of the CME proposed rule amendments is in Section I of this 
notice, with additions italicized and deletions in brackets.
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    \6\ The Commission notes that the rule change became effective 
upon filing with the Commission.
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    The proposed CME rule amendments merely incorporate one additional 
series to CME's existing offering of broad-based Markit Investment 
Grade index credit default swaps. As such, the proposed amendments 
simply effect changes to an existing service of a registered clearing 
agency that (1) Do not adversely affect the safeguarding of securities 
or funds in the custody or control of the clearing agency or for which 
it is responsible and (2) do not significantly affect the respective 
rights or obligations of the clearing agency or persons using its 
clearing agency services. Therefore, the proposed rule change is 
therefore properly filed under Section 19(b)(3)(A) and Rule 19b-
4(f)(4)(i) thereunder.

B. Self-Regulatory Organization's Statement on Burden on Competition

    CME does not believe that the proposed rule change will have any 
impact, or impose any burden, on competition.

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

    CME has not solicited, and does not intend to solicit, comments 
regarding this proposed rule change. CME has not received any 
unsolicited written comments from interested parties.

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

    The foregoing rule change was filed pursuant to Section 19(b)(3)(A) 
of the Act and paragraph (f)(4)(i) of Rule 19b-4 and became effective 
on filing. At any time within sixty days of the filing of such 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.

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 may be submitted by using the 
Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml), or send an e-mail to rule-comments@sec.gov. Please include 
File No. SR-CME-2011-08 on the subject line.
     Paper comments should be sent in triplicate to Elizabeth 
M. Murphy, Secretary, Securities and Exchange Commission, 100 F Street, 
NE., Washington, DC 20549-1090.
    All submissions should refer to File Number SR-CME-2011-08. This 
file number should be included on the subject line if e-mail 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

[[Page 63341]]

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 a.m. and 3 p.m. Copies of such 
filing also will be available for inspection and copying at the 
principal office of CME. 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-CME-2011-08 and 
should be submitted on or before November 2, 2011.

    For the Commission by the Division of Trading and Markets, 
pursuant to delegated authority.\7\
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    \7\ 17 CFR 200.30-3(a)(12).
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Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011-26271 Filed 10-11-11; 8:45 am]
BILLING CODE 8011-01-P