Document ID: SEC-2014-2163-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: The Depository Trust Co.
Posted Date: 2014-12-23T05:00Z

[Federal Register Volume 79, Number 246 (Tuesday, December 23, 2014)]
[Notices]
[Pages 77063-77064]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-29966]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-73864; File No. SR-DTC-2014-12]

 Self-Regulatory Organizations; The Depository Trust Company; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change in 
Connection With the Amendment of the Existing Dividends Service Guide

December 17, 2014.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (``Act'') and Rule 19b-4 \2\ thereunder, notice is hereby given 
that on December 4, 2014, The Depository Trust Company (``DTC'') filed 
with the Securities Exchange Commission (``Commission'') the proposed 
rule change as described in Item I, II and III below, which Items have 
been prepared primarily by DTC. DTC filed the proposed rule change 
pursuant to Section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(4) 
thereunder.\4\ The proposed rule change was effective upon filing with 
the Commission. The Commission is publishing this notice to solicit 
comments on the proposed 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)(4).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    As more fully described below, the proposed rule change renames the 
``Dividends Service Guide'', the ``Distributions Service Guide'' (the 
``Guide''), and streamlines and updates the Guide to align with (i) the 
transition from the corporate actions functions of its Participant 
Terminal System (``PTS'')/Participant Browser Service (``PBS'') 
applications to the Corporate Action Web (``CA Web'') for the 
processing of distribution events, (ii) the migration to International 
Organization for Standardization (``ISO'') 20022 messaging to 
communicate corporate action distribution event information, and (iii) 
other technical changes as described below.\5\
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    \5\ Terms not otherwise defined herein have the meaning set 
forth in the Rules.
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II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, DTC 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. DTC 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
    With this rule filing, DTC is proposing to rename its ``Dividends 
Service Guide'', the ``Distributions Service Guide,'' and to streamline 
and update the Guide to align with: (i) The transition from the 
corporate actions functions of its PTS/PBS applications to CA Web for 
the processing of distribution events, (ii) the migration to ISO 20022 
messaging to communicate corporate action distribution event 
information and (iii) other technical changes as described below.
    On October 16, 2012, DTC filed a rule change \6\ introducing the CA 
Web and updating its standards for communicating information related to 
the announcement and processing of distribution events by publishing 
the data in the ISO 20022 format. Use of CA Web for distributions 
functionality provided by BOOK, DUEB and TAXI on PTS and their PBS 
equivalents had become mandatory for all DTC Participants utilizing 
these services beginning on October 16, 2014. The balance of the PTS 
functions and their PBS equivalents related to distributions, EDS, 
DIVA, DPAL, PIAR, ADJI, SDAR (Dept. D only), and DAWN will be retired 
in Q1 of 2015. Therefore, DTC has updated the Guide by updating and 
eliminating references to PTS/PBS functions which are being replaced by 
CA Web functionality, and introducing the concept of ISO 20022 
messaging. Additionally, the Guide has been updated for technical 
changes to remove a reference to the automated election instruction 
approval process function of the Elective Dividend Service. This 
optional function, is available in PBS only, provided Participant firms 
with an electronic means of internally reviewing and approving election 
instructions prior to their processing by DTC. It has been discontinued 
due to low levels of Participant adoption and usage.
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    \6\ Securities Exchange Act Release No. 68114 (Oct. 26, 2012); 
77 FR 66497 (Nov. 5, 2012) (SR-DTC-2012-08).
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    Further, DTC has added a notice to the Important Legal Information 
section, advising Participants that they should obtain their own tax 
advice regarding any particular corporate action or other taxable 
event.
Implementation Date
    The proposed rule change will be implemented on January 19, 2015.
2. Statutory Basis
    The proposed rule change would promote efficiencies in the way that 
Participants submit instructions and view information for distribution 
event types. As such, the proposed rule change is consistent with the 
provisions of Section 17A(b)(3)(F) \7\ of the Act which requires that 
the rules of the clearing agency be designed, inter alia, to promote 
the prompt and accurate clearance and settlement of securities 
transactions.
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    \7\ 15 U.S. C. 78q-1(b)(3)(F).

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[[Page 77064]]

(B) Self-Regulatory Organization's Statement on Burden on Competition

    All Participants would be subject to the proposed change, and 
therefore DTC does not believe that the proposed rule change would 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

    Written comments relating to the proposed rule change have not been 
solicited or received.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A) \8\ of the Act and paragraph (f)(4) \9\ of Rule 19b-4 
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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    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 240.19b-4(f)(4).
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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-DTC-2014-12 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-DTC-2014-12. 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 DTC and on DTC's 
Web site at http://dtcc.com/legal/sec-rule-filings.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-DTC-2014-12 
and should be submitted on or before January 13, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
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    \10\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-29966 Filed 12-22-14; 8:45 am]
BILLING CODE 8011-01-P