Document ID: SEC-2017-1589-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE American, LLC
Posted Date: 2017-09-25T04:00Z

[Federal Register Volume 82, Number 184 (Monday, September 25, 2017)]
[Notices]
[Pages 44683-44685]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-20361]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-81651; File No. SR-NYSEAMER-2017-14]

Self-Regulatory Organizations; NYSE American LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change Amending Its 
Rules To Make Technical and Conforming Updates, in Connection With the 
Merger of NYSE Arca Equities, Inc. With and Into the Exchange's 
Affiliate NYSE Arca, Inc. and the Name Change of NYSE National, Inc.

September 19, 2017.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the ``Act'' or ``Exchange Act'') \2\ and Rule 19b-4 
thereunder,\3\ notice is hereby given that, on September 6, 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 and II, below, which Items have 
been prepared by the self-regulatory organization. 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\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
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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 make technical and 
conforming updates, in connection with (a) the merger of NYSE Arca 
Equities, Inc. with and into the Exchange's affiliate NYSE Arca, Inc., 
and (b) the name change of NYSE National, Inc.
    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, set forth in sections A, B, and C below, of the most 
significant parts of such statements.

[[Page 44684]]

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

1. Purpose
    The Exchange proposes to amend its rules to make technical and 
conforming updates in connection with (a) the merger of NYSE Arca 
Equities, Inc. (``NYSE Arca Equities'') with and into the Exchange's 
affiliate NYSE Arca, Inc. (``NYSE Arca''), and (b) the name change of 
NYSE National, Inc.\4\
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    \4\ The Exchange originally filed the proposed changes on August 
25, 2017 (SR-NYSEAmer-2017-09). SR-NYSEAmer-2017-09 was subsequently 
withdrawn on September 6, 2017 and replaced by this filing.
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Background
    On June 2, 2017, the Exchange's affiliate, NYSE Arca, filed rule 
changes with the Commission in connection with the proposed merger of 
NYSE Arca's wholly-owned subsidiary, NYSE Arca Equities, with and into 
NYSE Arca (the ``Merger'').\5\ The proposed changes were approved by 
the Commission on August 17, 2017, and the Merger occurred on that same 
date.\6\
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    \5\ See Securities Exchange Act Release No. 80929 (June 14, 
2017), 82 FR 28157 (June 20, 2017) (SR-NYSEArca-2017-40).
    \6\ See Securities Exchange Act Release No. 81419 (August 17, 
2017), 82 FR 40044 (August 23, 2017) (SR-NYSEArca-2017-40).
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    Prior to the Merger, NYSE Arca had two rulebooks: The NYSE Arca 
rules for its options market and the NYSE Arca Equities rules for its 
equities market. At the Merger, the NYSE Arca Equities rules were 
integrated into the NYSE Arca rules, so that there is now one NYSE Arca 
rulebook.\7\ As part of such integration, some of the NYSE Arca rules 
were renumbered. Accordingly, the Exchange proposes to amend certain of 
its rules, as detailed below, to make technical and conforming updates 
to its rules that cross reference the NYSE Arca rules and delete 
references to the NYSE Arca Equities rules.
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    \7\ See id. at 40044.
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    In January 2017, the Exchange's parent NYSE Group, Inc. acquired 
all the capital stock of National Stock Exchange, Inc., which was 
renamed ``NYSE National, Inc.'' \8\ The Exchange proposes to update a 
reference to National Stock Exchange, Inc. found in the Exchange's 
rules to reflect the new name of such entity, NYSE National, Inc.
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    \8\ See Securities Exchange Act Release No. 79902 (January 30, 
2017), 82 FR 9258 (February 3, 2017) (SR-NSX-2016-16).
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Proposed Rule Changes
     In Exchange Rule 5.2E(j) (Exchange Traded Products), the 
Exchange proposes to update the cross references to NYSE Arca Equities 
Rule 5.2(j)(1) by deleting the word ``Equities'' from the term ``NYSE 
Arca Equities Rule'' and appending an ``-E'' to the end of the rule 
number. The new cross reference would be to ``NYSE Arca Rule 5.2-
E(j)(1).''
     In Rule 6.3E (Prevention of the Misuse of Material, 
Nonpublic Information), the Exchange proposes to update the references 
to NYSE Arca Equities Rules 5E and 8E by deleting the word ``Equities'' 
from the term ``NYSE Arca Equities Rules'' and inserting the dash 
between the rule number and the ``E.'' The new reference would be to 
``NYSE Arca Rules 5-E and 8-E.''
     Lastly, the Exchange proposes to replace ``National Stock 
Exchange, LLC'' with ``NYSE National, Inc.'' in Rule 7.37E (Order 
Execution and Ranking).
    None of the foregoing changes are substantive.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Exchange Act,\9\ in general, and with Section 
6(b)(1) \10\ in particular, in that it enables the Exchange to be so 
organized as to have the capacity to be able to carry out the purposes 
of the Exchange Act and to comply, and to enforce compliance by its 
exchange members and persons associated with its exchange members, with 
the provisions of the Exchange Act, the rules and regulations 
thereunder, and the rules of the Exchange.
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    \9\ 15 U.S.C. 78f(b).
    \10\ 15 U.S.C. 78f(b)(1).
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    The proposed rule change is a non-substantive change and does not 
impact the governance or ownership of the Exchange. The Exchange 
believes that the proposed rule change would enable the Exchange to 
continue to be so organized as to have the capacity to carry out the 
purposes of the Exchange Act and comply and enforce compliance with the 
provisions of the Exchange Act by its members and persons associated 
with its members, because ensuring that the rules accurately cross 
reference the rules of NYSE Arca and the name of NYSE National, Inc. 
would contribute to the orderly operation of the Exchange by adding 
clarity and transparency to its rules.
    For similar reasons, the Exchange also believes that the proposed 
rule change is consistent with Section 6(b)(5) of the Act,\11\ 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.
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    \11\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes that the proposed rule change would remove 
impediments to and perfect the mechanism of a free and open market and 
a national market system by ensuring that market participants can more 
easily navigate, understand and comply with its rules. The Exchange 
believes that, by ensuring that such rules accurately cross-reference 
the rules of NYSE Arca and the name of NYSE National, Inc., the 
proposed rule change would reduce potential investor or market 
participant confusion.

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 that is not necessary or appropriate 
in furtherance of the purposes of the Act. The proposed rule change is 
not intended to address competitive issues but rather is concerned 
solely with updating the rules to reflect its affiliate's merger and 
integrated rulebook.

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

    No written comments were solicited or received with respect to the 
proposed rule change.

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

    The foregoing proposed rule change is concerned solely with the 
administration of the Exchange pursuant to Section 19(b)(3)(A) \12\ of 
the Act and Rule 19b-4(f)(3) \13\ thereunder. 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.
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    \12\ 15 U.S.C. 78s(b)(3)(A).
    \13\ 17 CFR 240.19b-4(f)(3).
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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

[[Page 44685]]

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-NYSEAMER-2017-14 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-NYSEAMER-2017-14. 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-NYSEAMER-2017-14 and should 
be submitted on or before October 16, 2017.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\14\
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    \14\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-20361 Filed 9-22-17; 8:45 am]
 BILLING CODE 8011-01-P