Document ID: SEC-2016-1224-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NASDAQ BX, Inc.
Posted Date: 2016-07-15T04:00Z

[Federal Register Volume 81, Number 136 (Friday, July 15, 2016)]
[Notices]
[Pages 46135-46139]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-16725]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-78286; File No. SR-BX-2016-032]

Self-Regulatory Organizations; NASDAQ BX, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Relating to the 
Automated Removal of Quotes

July 11, 2016.
    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 July 1, 2016, NASDAQ BX, Inc. (``BX'' or ``Exchange'') filed with 
the Securities and Exchange Commission (``SEC'' or ``Commission'') the 
proposed rule change as described in Items I and II below, which Items 
have been prepared by the Exchange. 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.
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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 Chapter VII, Section 6(f), entitled 
``Automated Removal of Quotes.''
    The text of the proposed rule change is available on the Exchange's 
Web site at http://nasdaqomxbx.cchwallstreet.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 Exchange 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 Exchange 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 BX Rules at Chapter VII, Section 
6(f), entitled ``Automated Removal of Quotes'' to modify the minimum 
Specified Percentage (as described below). A BX Options Market Maker 
\3\ sets the Specified Percentage to enhance its risk management for an 
underlying security as market conditions warrant, based on its own risk 
tolerance level and quoting behavior. The Exchange proposes to permit 
the BX Options Market Maker to set the Specified Percentage more 
broadly, no less than 1%, with this rule change. The Exchange also 
proposes to replace the definition of ``disseminated size'' \4\ with a 
quantitative description to add transparency with respect to the 
calculation of Series Percentage.
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    \3\ The term ``BX Options Market Maker'' or ``Options Market 
Maker'' (herein ``BX Options Market Maker'') means an Options 
Participant registered with the Exchange for the purpose of making 
markets in options contracts traded on the Exchange and that is 
vested with the rights and responsibilities specified in Chapter VII 
of these Rules.'' [sic] See BX Rules at Chapter I, Section 1(a)(9).
    \4\ See Securities Exchange Act Release No. 76317 (October 30, 
2015), 80 FR 68586 at 68587 (November 5, 2015) (SR-BX-2015-060). The 
Exchange defined disseminated size in this rule change in footnote 
12, as the original size quoted by the Participant.
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Background
    Today, Chapter VII, Section 6(f) permits BX Options Market Makers 
to monitor risk arising from multiple executions across multiple 
options series of a single underlying security. A BX Options Market 
Maker may provide a specified time period and a specified percentage by 
which the Exchange's System will automatically remove a BX Options 
Market Maker's quotes in all series of an underlying security submitted 
through designated BX protocols, as specified by the Exchange, during a 
specified time period not to exceed 15 seconds (``Percentage-Based 
Specified Time Period'').\5\
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    \5\ A specified time period commences for an option when a 
transaction occurs in any series in such option.
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    For each series in an option, the System determines: (i) The 
percentage that the number of contracts executed in that series 
represents relative to the BX Options Market Maker's disseminated size 
of each side in that series (``Series Percentage''); and (ii) the sum 
of the Series Percentage in the option issue (``Issue Percentage''). 
The Exchange proposes herein to replace the term ``disseminated size'' 
with the more precise phrase ``number of contracts available at the 
time of execution plus the number of contracts executed in unexpired 
prior executions.''
    The System tracks and calculates the net impact of positions in the 
same option issue during the Percentage-Based Specified Time Period. 
Specifically, the System tracks transactions, i.e., the sum of buy-side 
put percentages, the sum of sell-side put percentages, the sum of buy-
side call percentages, and the sum of sell-side call percentages. The 
System then calculates the absolute value of the difference between the 
buy-side puts and the sell-side puts plus the absolute value of the 
difference between the buy-side calls and the sell-side calls. If the 
Issue Percentage, rounded to the nearest integer, equals or exceeds a 
percentage established by the BX Options Market Maker, not less than 
100% (``Specified Percentage''), the System automatically removes a BX 
Options Market Maker's quotes in all series of an underlying security 
submitted through designated BX protocols, as specified by the 
Exchange, during the Percentage-Based Specified Time.
    The Percentage-Based Specified Time Period commences for an option 
every time an execution occurs in any series in such option and 
continues until the System removes quotes as described in Chapter VII, 
Section 6(f)(iv) or (v) or the Percentage-Based Specified Time Period 
expires. The Percentage-Based Specified Time Period operates on a 
rolling basis among all series in an option in that there may be 
multiple Percentage-Based Specified Time Periods occurring 
simultaneously and such Percentage-Based Specified Time periods may 
overlap.
Proposal
    The Exchange proposes to lower the minimum Specified Percentage, 
which

[[Page 46136]]

is set by the BX Options Market Maker, from 100% to 1%. The proposal 
would amend the rule text to state, if the Issue Percentage, rounded to 
the nearest integer, equals or exceeds a percentage established by the 
BX Options Market Maker, not less than 1% (``Specified Percentage''), 
the System automatically removes a BX Options Market Maker's quotes in 
all series of an underlying security submitted through designated BX 
protocols, as specified by the Exchange, during the Percentage-Based 
Specified Time. This proposal would allow a BX Options Market Maker to 
establish a Specified Percentage at any percentage level greater than 
or equal to 1% for an option in which the BX Options Market Maker is 
appointed. Today, the Specified Percentage would be set by the BX 
Options Market Maker at greater than or equal to 100%. This amendment 
will allow BX Options Market Makers to better manage their risk and 
assist them to avoid trading a number of contracts that exceeds the BX 
Options Marker Maker's risk tolerance level across multiple series of a 
single underlying when such series are executed in rapid succession.
    BX Options Market Makers will be able to more precisely customize 
their risk settings within the System. BX Options Market Makers will be 
able to consider factors such as present and anticipated market 
conditions, news in an option, and a sudden change in volatility of an 
option. BX Options Market Makers are required to utilize either the 
Percentage Based Threshold or the Volume Based Threshold. BX Options 
Market Makers that select to utilize the Percentage-Based Threshold 
will be able to adopt more precise controls with this proposal based on 
the BX Options Market Maker's risk tolerance level. BX Options Market 
Makers must utilize either the Percentage-Based \6\ or Volume-Based 
risk controls. BX Options Market Makers may contact Market Operations 
to set their percentage, which is 1% or greater with this proposal, and 
specified time period.
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    \6\ BX Options Market Makers selecting the Percentage-Based risk 
control in Rule 1095(i) [sic] are required to provide a specified 
time period, up to 15 seconds, and a specified percentage with a 
number of 1% or greater, as proposed herein, to the BX Market 
Operations staff to select this risk control. If a BX Options Market 
Maker does not desire to utilize the Percentage-Based risk control 
the BX Options Market Maker must utilize the Volume-Based risk 
control which is similarly set-up by contacting Market Operations 
and providing certain settings.
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    By way of example, if a BX Options Market Maker has set the 
percentage setting to 50% and a Specified Time Period of 15 seconds and 
the Order Book reflects:
    MM1 has a displayed quote of 1.10 (100) x 1.20 (100) for IBM May 
20, 2016 70 puts and MM1 is the only displayed size on BX and an order 
is submitted to buy 75 IBM May 20, 2016 70 Puts for 1.20.
    Chapter VII, Section 6(f) would cause the following:
    (1) Provide MM1 with an execution --Sld [sic] 75 @ 1.20; and
    (2) Trigger the Percentage-Based Threshold and remove MM1's quotes 
in IBM.
    Another example is with multiple executions. Presume the following:
    MM1 has set the percentage setting to 80% by 5 seconds and MM1 has 
a displayed quote of 2.00 (100) x 2.25 (100) for IBM May 20, 2016 70 
puts and he is the only displayed size on the BX. Also, presume an 
order comes in to buy 50 IBM May 20, 2016 70 puts for 2.25.
    Chapter VII, Section 6(f) would cause the following:
    (1) Provide MM1 with an execution--Sold 50 @ 2.25;
    (2) Update MMI [sic] quote to 2.00 (100) x 2.25 (50);
    (3) Within 1 second an order comes in to buy 45 IBM May 20, 2016 70 
puts for 2.25;
    (4) Provide MM1 with an execution--Sold 45 @ 2.25; and
    (5) Trigger the Percentage-Based Threshold and remove MM1's quotes 
in IBM.
    The Exchange also proposes to replace the term ``disseminated 
size'' with a quantitative description to add transparency with respect 
to the calculation of Series Percentage. The language proposed amends 
the original definition of disseminated size. With respect to the 
disseminated size, the Exchange previously defined disseminated size as 
``. . . the original size quoted by the Participant.'' \7\
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    \7\ See note 4 above.
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    The Exchange proposes to amend the definition as follows: ``For 
each series in an option, the System will determine: (i) The percentage 
that the number of contracts executed in that series represents 
relative to the number of contracts available at the time of execution 
plus the number of contracts executed in unexpired prior executions of 
each side in that series (``Series Percentage''); and (ii) the sum of 
the Series Percentage in the option issue (``Issue Percentage'').'' The 
Exchange counts Specialized Quote Feed (``SQF'') \8\ quotes in 
determining the number of contracts traded and removed by the System. 
SQF permits a two-sided quote for each BX Options Market Maker.
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    \8\ SQF permits the receipt of quotes. SQF Auction Responses and 
market sweeps are also not included.
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    By way of example, with the proposed definition, if a BX Options 
Market Maker with a Percentage-Based Specified Time Period of 10 
seconds and a Specified Percentage of 100% submits a quote over SQF of 
1.00 (100) x 1.10 (100) and a buy order executes 75, the remaining size 
would be 1.00 (100) x 1.10 (25). Thereafter a new Percentage-Based 
Specified Time Period begins and current Series Percentage executed is 
75 and three seconds pass and the BX Options Market Maker re-quotes 
1.00 (100) x 1.10 (100), an incoming buy order of 43 would cause the 
Issue Percentage to meet the Percentage-Based Threshold. This is due to 
a counted size of 175 (the executed 75 plus the newly quoted 100) and 
rounding (0.75 + 43/175 = 0.9957 rounds up to 100%). If the former 
definition applied, the size would have been 100 and an execution of 
only 25 contracts on the same side would have caused the Issue 
Percentage to meet the Percentage-Based Threshold, which is not the 
case. In other words, the current SQF quote on that side for that 
series (for that BX Options Market Maker) in addition to all the 
executions that have occurred on that side for that series (for that BX 
Options Market Maker) within the Percentage-Based Specified Time Period 
would comprise the size.
    This new definition accurately represents the manner in which the 
Issue Percentage is calculated. Also, the more precise language within 
the rule text will provide BX Options Market Makers with a more 
accurate description of the operation of this risk mechanism. The 
Exchange has always calculated the BX Options Market Maker's size in 
this fashion. The definition, as described in the prior rule change, 
was not accurate and the Exchange seeks to amend the definition with 
this proposal and memorialize the definition within the rule.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) of the Act \9\ in general, and furthers the objectives of Section 
6(b)(5) of the Act \10\ in particular, in that it is designed to 
promote just and equitable principles of trade, 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, by

[[Page 46137]]

offering BX Options Market Makers the ability to better manage their 
own risk with this risk feature.
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    \9\ 15 U.S.C. 78f(b).
    \10\ 15 U.S.C. 78f(b)(5).
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    BX Options Market Makers are obligated to submit continuous two-
sided quotations in a certain number of series in their appointed 
option classes for a certain percentage of each trading session.\11\ 
This obligation renders them vulnerable to risk from unusual market 
condition, volatility in specific options, and other market events that 
may cause them to receive multiple, extremely rapid automatic 
executions before they can adjust their quotations and overall risk 
exposure in the market. Without adequate risk management tools in place 
on the Exchange, the incentive for BX Options Market Makers to quote 
aggressively, respecting both price and size could be diminished. Such 
a result may undermine the quality of the markets, which are enhanced 
by the depth and liquidity such Market Makers provide in the 
marketplace.
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    \11\ Pursuant to BX Rules at Chapter VII, Section 5, entitled 
``Obligations of Market Makers'', in registering as a market maker, 
an Options Participant commits himself to various obligations. 
Transactions of a BX Options Market Maker must constitute a course 
of dealings reasonably calculated to contribute to the maintenance 
of a fair and orderly market, and Market Makers should not make bids 
or offers or enter into transactions that are inconsistent with such 
course of dealings. Further, all Market Makers are designated as 
specialists on BX for all purposes under the Act or rules 
thereunder. See Chapter VII, Section 5.
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    By allowing the Specified Percentage provided by the BX Options 
Market Maker to be reduced from 100% to 1%, the Exchange provides its 
BX Options Market Makers the desired flexibility to take into account 
such factors as present and anticipated market conditions, news in an 
option or sudden change in volatility of an option without any 
limitation regarding the Specified Percentage. This should encourage BX 
Options Market Makers to provide additional depth and liquidity to the 
Exchange's markets, thereby removing impediments to and perfecting the 
mechanisms of a free and open market and a national market system and, 
in general, protecting investors and the public interest.
    The proposal is consistent with the Act because the reduction of 
the Specified Percentage to not less than 1% provides more alternatives 
to BX Options Market Makers in setting their percentage without 
impacting their firm quote obligations. The System operates 
consistently with the firm quote obligations of a broker-dealer 
pursuant to Rule 602 of Regulation NMS. Specifically, with respect to 
BX Options Market Makers, their obligation to provide continuous two-
sided quotes on a daily basis is not diminished by the removal of such 
quotes by the Percentage-Based Threshold. BX Options Market Makers are 
required to provide continuous two-sided quotes on a daily basis.\12\ 
BX Options Market Makers that utilize the Percentage-Based Threshold 
will not be relieved of the obligation to provide continuous two-sided 
quotes on a daily basis, nor will the change prohibit the Exchange from 
taking disciplinary action against a BX Options Market Maker for 
failing to meet the continuous quoting obligation each trading day. All 
quotes entered into the System are considered firm. Quotes will only be 
removed from the System once the Percentage-Based Threshold has been 
met if the quote was not otherwise executed by an incoming order.
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    \12\ Id.
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    This risk feature will continue to remove impediments to and 
perfect the mechanism of a free and open market and a national market 
system and protect investors and the public interest by allowing BX 
Options Market Makers to remove their quotes in the event that market 
conditions warrant, based on their own risk tolerance level. BX Options 
Market Makers provide liquidity to the market place and have 
obligations unlike other market participants.\13\ This risk feature is 
important because it will enable BX Options Market Makers to manage 
their exposure at the Exchange. Further, permitting BX Options Market 
Makers to enter a broader setting would continue to allow BX Options 
Market Makers to have flexibility in setting their risk exposure to 
prevent unintended triggers of the Percentage-Based Threshold. This 
proposal continues to allow BX Options Market Makers to also select a 
Percentage-Based Specified Time Period. Each BX Options Market Maker 
has different levels of sensitivity and its own system safeguards as 
well. The proposed setting would permit each BX Options Market Maker to 
select a setting that is appropriate to capture the needs of that BX 
Options Market Maker.
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    \13\ Id.
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    Further, it is important to note that any interest that is 
executable against a BX Options Market Maker's quotes and orders that 
are received \14\ by the Exchange prior to the trigger of the 
Percentage-Based Threshold, which is processed by the System, 
automatically executes at a price up to the BX Options Market Maker's 
size. The system-generated Purge Notification Message is accepted by 
the System in the order of receipt in the queue and is processed in 
that order so that interest that is already accepted into the System is 
processed prior to the message. Incoming orders received prior to the 
Purge Notification Message would not be cancelled, rather they be [sic] 
executed at a price up to the BX Options Market Maker's size.
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    \14\ The time of receipt for an order or quote is the time such 
message is processed by the Exchange book.
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    The Exchange notes that Miami International Securities Exchange, 
LLC (``MIAX'') implemented a rule that changed its Allowable Engagement 
Percentage from a minimum of 100% to any percentage established by the 
Market Maker.\15\ The BX rule is similar to MIAX's in that a member is 
required to have a setting, although MIAX has a default setting in 
place in the instance that no percentage is provided. BX Options Market 
Makers that select the Percentage-Based risk tool must provide the 
Exchange with a Percentage-Based Specified Time Period and a Specified 
Percentage greater than or equal to 1%.
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    \15\ See Securities Exchange Act Release No. 77817 (May 12, 
2016), 81 FR 31286 (May 18, 2016) (SR-MIAX-2016-10).
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    Amending the definition of disseminated size will provide market 
participants with greater information on the manner in which the 
Exchange computes the Issue Percentage. The Exchange believes that the 
manner in which the Exchange calculates the number of contracts, which 
are counted for the Issue Percentage, is consistent with the Act. The 
counting method permits the Exchange to update the reference number to 
include the executed contracts. While this method differs from the 
method previously described, the Exchange believes that there is no 
industry standard for counting and its method permits market 
participants to achieve the desired risk protection. With the proposed 
definition, each execution uses the Percentage-Based Specified Time 
Period that existed at the time of the execution. BX Options Market 
Makers can change the Percentage-Based Specified Time Period at any 
time. If a BX Options Market Maker is using a Percentage-Based 
Specified Time Period of 15 seconds when an execution happens, then 
changes the Percentage-Based Specified Time Period to half a second, 
that first execution will not expire until 15 seconds have passed. The 
selected Percentage-Based Specified Time Period will persist for 15 
seconds and the number of executed contracts will be included in the 
denominator of subsequent executions for a full 15 seconds.

[[Page 46138]]

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. The Percentage-Based Threshold 
is intended to protect BX Options Market Makers from exposure to 
excessive risk. The Exchange believes this proposal will foster 
competition by providing BX Options Market Makers with the ability to 
enhance and customize their percentage in order to compete for 
executions and order flow. Specifically, the proposal does not impose a 
burden on intra-market or inter-market competition; rather, it provides 
BX Options Market Makers with the opportunity to avail themselves of 
similar risk tools, which are currently available on other 
exchanges.\16\ BX Options Market Makers quote across many series in an 
option creating the possibility of ``rapid fire'' executions that can 
create large, unintended principal positions that expose BX Options 
Market Makers. The Percentage-Based Threshold permits BX Options Market 
Makers to monitor risk arising from multiple executions across multiple 
options series of a single underlying security.
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    \16\ See Section 8 of the 19b4.
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    The Exchange is proposing this rule change to continue to permit BX 
Options Market Makers to reduce their risk in the event the BX Options 
Market Maker is suffering from a system issue or due to the occurrence 
of unusual or unexpected market activity. Reducing such risk will 
enable BX Options Market Makers to enter quotations without any fear of 
inadvertent exposure to excessive risk, which in turn will benefit 
investors through increased liquidity for the execution of their 
orders. Reducing risk by utilizing the proposed risk protections 
enables BX Options Market Makers, specifically, to enter quotations 
with larger size, which in turn will benefit investors through 
increased liquidity for the execution of their orders. Such increased 
liquidity benefits investors because they receive better prices and 
because it lowers volatility in the options market.
    The Exchange believes that amending the definition of disseminated 
size does not create an undue burden on competition because the 
Exchange will uniformly calculate the Percentage-Based Threshold in a 
uniform manner for all BX Options Market Makers. The Exchange is 
memorializing the definition within the Rule.

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

    No written comments were either solicited or received.

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

    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) of the Act \17\ and Rule 19b-
4(f)(6) thereunder.\18\ The Exchange has requested that the Commission 
waive the thirty-day operative delay so that the proposal may become 
operative immediately. The Commission believes that waiving the thirty-
day operative delay is consistent with the protection of investors and 
the public interest. The Exchange proposes to change a setting in an 
existing risk protection feature to enhance market makers' ability to 
protect against excessive risk arising from multiple executions across 
multiple options series of a single underlying security. The Commission 
notes that another options exchange currently has a similar setting for 
a like risk protection feature for market makers. Moreover, the 
Commission notes that the proposal to replace the term ``disseminated 
size'' with an accurate and more precise description would add 
transparency with respect to the operation of the risk protection 
feature. Therefore, the Commission hereby waives the thirty-day 
operative delay and designates the proposal operative upon filing.\19\
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    \17\ 15 U.S.C. 78s(b)(3)(A).
    \18\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) 
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 the 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.
    \19\ For purposes of waiving the 30-day operative delay, the 
Commission has 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 change 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 (http://www.sec.gov/rules/sro.shtml); or
     Send an email to rule-comments@sec.gov. Please include 
File Number SR-BX-2016-032 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-BX-2016-032. 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-BX-2016-032 and should be 
submitted on or before August 5, 2016.

[[Page 46139]]

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\20\
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    \20\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-16725 Filed 7-14-16; 8:45 am]
 BILLING CODE 8011-01-P