Federal Register: March 19, 2008 (Volume 73, Number 54)
DOCID: fr19mr08-117 FR Doc E8-5520
SECURITIES AND EXCHANGE COMMISSION
Securities and Exchange Commission
DOCUMENT ID: [Release No. 34-57494; File No. SR-CBOE-2008-21]
NOTICE: NOTICES
DOCID: fr19mr08-117
ACTION: Self-Regulatory Organizations; Proposed Rule Changes:
SUBJECT CATEGORY:
Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Modify the Cut-Off Time for the Submission of Strategy Orders During the Modified HOSS Opening Procedure
DOCUMENT SUMMARY:
March 13, 2008.
Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b4 thereunder,\2\ notice is hereby given that
on March 11, 2008, the Chicago Board Options Exchange, Incorporated
(``CBOE'' or ``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 substantially prepared by
CBOE. The Exchange has filed the proposal as a ``noncontroversial''
rule change pursuant to section 19(b)(3)(A) of the Act \3\ and Rule
19b4(f)(6) thereunder,\4\ which renders it effective upon filing with
the Commission. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons. \1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b4.
\3\ 15 U.S.C. 78s(b)(3)(A).
\4\ 17 CFR 240.19b4(f)(6).
I. SelfRegulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change
CBOE proposes to modify the cutoff time for the submission of index option orders for participation in the modified Hybrid Opening System (``HOSS'') opening related to a position in, or a trading strategy involving, volatility index options or futures. The text of the proposed rule change is available at CBOE, the Commission's Public Reference Room, and http://www.cboe.org/legal. II. SelfRegulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, CBOE 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. CBOE has prepared summaries, set forth in Sections A, B, and C below, of the most significant aspects of such statements. A. SelfRegulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change
1. Purpose
The settlement date for volatility index options and futures
contracts is on the Wednesday that is thirty days prior to the third
Friday of the calendar month immediately following the month in which
the applicable volatility index options or futures contract expires.\5\
On these settlement days, CBOE Rule 6.2B.01 provides for a modified
HOSS opening procedure only in those index option series (i) that are
Hybrid 3.0 classes, and (ii) whose prices are used to calculate a
volatility index on which an option or future is traded.\6\ Currently,
the only index options used to calculate a volatility index that trade
on the Hybrid 3.0 platform are S&P 500 Index (``SPX'') options, which
began trading on that platform on September 25, 2007. Specifically, SPX
options are used to calculate the CBOE Volatility Index (``VIX'').
\5\ If the third Friday of the month subsequent to expiration of
the applicable volatility index options or futures contract is a
CBOE holiday, the final settlement date for the respective contract
shall be thirty days prior to the CBOE business day immediately preceding that Friday.
\6\ The normal HOSS opening procedure is used on all other days
in those index options and on the volatility index options and
futures settlement date in all contract months whose prices are not used to calculate the applicable volatility index.
Under current Rule 6.2B.01, all index option orders for
participation in the modified HOSS opening procedure that are related
to positions in, or a trading strategy involving, volatility index
options or futures (``Strategy Orders'') and any change to or
cancellation of any such Strategy Order must be received prior to 8
a.m. (CT) (subject to a limited exception for errors). The cutoff time
for the entry of nonStrategy Orders on volatility index settlement
days is established on a classbyclass basis, provided the cutoff
time is no earlier than 8:25 a.m. (CT) and no later than the [[Page 14860]]
opening of trading in the option series.\7\ Any imbalance of contracts
to buy over contracts to sell in the applicable index option series, or
vice versa, as indicated on the electronic book, as well as expected
opening prices and sizes are published in a snapshot form on the CBOE
and CBOE Futures Exchange (``CFE'') Web sites as soon as practicable up
through the opening bell on settlement days when the modified HOSS
opening procedure is utilized. They are also currently continually disseminated on the Hybrid trading system.
\7\ See CBOE Rule 6.2B.01(c)(iv).
An example of a Strategy Order includes a market participant who
places SPX option orders on the book prior to the opening of trading on
the settlement date for VIX futures to unwind hedge strategies
involving SPX options. In particular, a commonly used hedge for VIX
futures involves holding a portfolio of SPX options that will be used
to calculate the settlement value of the VIX futures contract on the
settlement date. The Exchange has observed that traders holding hedged
VIX futures positions to settlement tend to trade out of their SPX options on VIX settlement days.\8\
\8\ The Exchange originally proposed a cutoff time for the
entry of Strategy Orders to provide market participants with time to
review order imbalances and to place offsetting orders in the book,
thereby encouraging additional market participation in the
applicable index option opening which improves the settlement value
calculation. See Securities Exchange Act Release No. 52367 (August
31, 2005), 70 FR 53401 (September 8, 2005) (SRCBOE200486). In
order to strike the appropriate balance between maintaining a time
period for market participants to respond to order imbalances and
providing traders seeking convergence with additional time to enter
Strategy Orders, the Exchange is currently proposing to modify the
cutoff time for the entry of Strategy Orders as described more fully herein.
Recently, the Exchange has received requests from market participants to extend the cutoff time for the entry of Strategy Orders on volatility index settlement days. Market participants have explained that because Strategy Orders cannot be modified or cancelled after 8 a.m. (CT) (except for errors), they are exposed to risk associated with market movements between 8 a.m. (CT) and the opening bell, which is after 8:30 a.m. (CT), and in the case of such market movements, may be unable to obtain convergence with the VIX futures final settlement value.
Specifically, the final value to which VIX futures settle is
calculated using the opening prices of constituent SPX options: Outof
themoney puts and calls that have nonzero bid prices. The Exchange
determines whether a particular option series is ``outofthemoney''
by reference to an ``atthemoney'' index strike price (K
In response, the Exchange believes that it is appropriate to
eliminate a specific cutoff time for Strategy Orders and instead
provide that the cutoff time may be established by the Exchange on a
classbyclass basis, provided that the established cutoff time cannot
be set earlier than 8 a.m. (CT) or later than the opening of trading in
the option series for which the modified HOSS opening procedure is
utilized. The amended rule text also provides that pronouncements
regarding changes to the established Strategy Order cutoff time would
be announced to the membership via a Regulatory Circular that is issued
at least one day prior to implementation. As proposed, the instant rule
change builds flexibility into the rule to allow for future
modifications to the applicable Strategy Order cutoff time, which may
be appropriate in the future as technology improves and processes
become more automated. In addition, the proposed rule provisions
regarding the cutoff time for Strategy Orders are consistent with
current rule provisions regarding the cutoff time for nonStrategy
Orders in that both sets of provisions are structured to permit the
Exchange to designate a cutoff time within a particular time range to
permit the Exchange to adjust the cutoff time as circumstances evolve.\9\
\9\ See Rule 6.2B.01(c)(iv); see also Securities Exchange Act
Release No. 54275 (August 4, 2006), 71 FR 45866 (August 10, 2006) (SRCBOE200661).
In support of this change, the Exchange notes that since the 8 a.m.
(CT) cutoff time for Strategy Orders was first established in 2005,
the trading system for receiving, processing, and matching orders
during the opening process has become much more automated.\10\ Also,
order imbalances are now published on the Hybrid trading system and are
thus more widely disseminated. For example, before SPX options traded
on the Hybrid 3.0 platform, order imbalances were only visible to
market participants in the trading crowd and in snapshots on the CBOE
and CFE Web sites. Now imbalances are also continually disseminated
prior to the opening of trading through the Hybrid trading system. As a
result of the enhanced trading system, it no longer takes as much time
for information regarding order imbalances to reach market
participants, and market participants can react to those order
imbalances sooner by placing offsetting orders. Accordingly, there does
not appear to be a need to have Strategy Orders submitted as early as
is the case currently, and the Exchange expects to move the Strategy
Order cutoff time to a later time. However, if the Exchange learns
from experience that the cutoff time needs to be adjusted further to
be earlier or later within the time range between 8 a.m. (CT) and the
opening of trading to provide for an optimal opening process, the
proposed rule will provide the Exchange with the flexibility to do that.
\10\ See supra note 8.
2. Statutory Basis
Because the proposed modification to the cutoff time for Strategy
Orders on volatility index settlement days will permit the Exchange to
provide market participants with additional time to enter Strategy
Orders, is designed to better enable market participants to meet their
trading objectives (e.g., obtain convergence with the VIX futures final
settlement value), and provides the Exchange with the ability to
continue to provide market participants with time to respond to order
imbalances, the Exchange believes the rule proposal is consistent with
the Act and the rules and regulations thereunder applicable to a
national securities exchange and, in particular, the requirements of
section 6(b) of the Act.\11\ Specifically, the Exchange believes that the proposed rule change is consistent with section
[[Page 14861]]
6(b)(5) of the Act,\12\ which requires that the rules of an exchange be
designed to promote just and equitable principles of trade, to prevent
fraudulent and manipulative acts and, in general, to protect investors
and the public interest. In addition, the Exchange notes that the
proposal which established the current rule provision governing the
cutoff time for nonStrategy Orders (which permits the Exchange to
designate a cutoff time within a particular time range) was designated
by the Commission to be effective and operative upon filing.\13\ \11\ 15 U.S.C. 78f(b).
\12\ 15 U.S.C. 78f(b)(5).
\13\ See supra note 9.
B. SelfRegulatory Organization's Statement on Burden on Competition
CBOE 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.
C. SelfRegulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others
Written comments on the proposed rule change were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action
Because the foregoing rule change does not: (1) Significantly affect the protection of investors or the public interest; (2) impose any significant burden on competition; and (3) become operative for 30 days after the date of this filing, or such shorter time as the Commission may designate, it has become effective pursuant to section 19(b)(3)(A) of the Act \14\ and Rule 19b4(f)(6) thereunder.\15\ \14\ 15 U.S.C. 78s(b)(3)(A).
\15\ 17 CFR 240.19b4(f)(6).
A proposed rule change filed under 19b4(f)(6) normally may not
become operative prior to 30 days after the date of filing.\16\
However, Rule 19b4(f)(6)(iii) \17\ 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 30day operative delay. The Commission believes
that waiving the 30day operative delay is consistent with the
protection of investors and the public interest because such waiver
will allow market participants to receive the benefits of the proposed
rule change prior to the next settlement date when the modified HOSS
opening procedure will be utilized, which will be on Wednesday, March
19, 2008. For this reason, the Commission designates the proposed rule
change to be operative upon filing with the Commission.\18\ \16\ 17 CFR 240.19b4(f)(6)(iii). In addition, Rule 19b
4(f)(6)(iii) requires that a selfregulatory organization submit to
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 the fiveday prefiling notice requirement.
\17\ Id.
\18\ For the purposes only of waiving the 30day operative
delay, the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C. 78c(f).
At any time within 60 days of the filing of such proposed rule change the Commission may summarily abrogate 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
Paper Comments
All submissions should refer to File Number SRCBOE200821. 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 inspection and copying 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 CBOE. 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 SRCBOE200821 and should be submitted on or before April 9, 2008.
\19\ 17 CFR 200.303(a)(12).
For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\19\
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E85520 Filed 31808; 8:45 am]
BILLING CODE 801101P
SUMMARY:
Chicago Board Options Exchange, Inc.,
DOCUMENT BODY 2:
March 13, 2008.
Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b4 thereunder,\2\ notice is hereby given that
on March 11, 2008, the Chicago Board Options Exchange, Incorporated
(``CBOE'' or ``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 substantially prepared by
CBOE. The Exchange has filed the proposal as a ``noncontroversial''
rule change pursuant to section 19(b)(3)(A) of the Act \3\ and Rule
19b4(f)(6) thereunder,\4\ which renders it effective upon filing with
the Commission. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons. \1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b4.
\3\ 15 U.S.C. 78s(b)(3)(A).
\4\ 17 CFR 240.19b4(f)(6).
I. SelfRegulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change
CBOE proposes to modify the cutoff time for the submission of index option orders for participation in the modified Hybrid Opening System (``HOSS'') opening related to a position in, or a trading strategy involving, volatility index options or futures. The text of the proposed rule change is available at CBOE, the Commission's Public Reference Room, and http://www.cboe.org/legal. II. SelfRegulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, CBOE 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. CBOE has prepared summaries, set forth in Sections A, B, and C below, of the most significant aspects of such statements. A. SelfRegulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change
1. Purpose
The settlement date for volatility index options and futures
contracts is on the Wednesday that is thirty days prior to the third
Friday of the calendar month immediately following the month in which
the applicable volatility index options or futures contract expires.\5\
On these settlement days, CBOE Rule 6.2B.01 provides for a modified
HOSS opening procedure only in those index option series (i) that are
Hybrid 3.0 classes, and (ii) whose prices are used to calculate a
volatility index on which an option or future is traded.\6\ Currently,
the only index options used to calculate a volatility index that trade
on the Hybrid 3.0 platform are S&P 500 Index (``SPX'') options, which
began trading on that platform on September 25, 2007. Specifically, SPX
options are used to calculate the CBOE Volatility Index (``VIX'').
\5\ If the third Friday of the month subsequent to expiration of
the applicable volatility index options or futures contract is a
CBOE holiday, the final settlement date for the respective contract
shall be thirty days prior to the CBOE business day immediately preceding that Friday.
\6\ The normal HOSS opening procedure is used on all other days
in those index options and on the volatility index options and
futures settlement date in all contract months whose prices are not used to calculate the applicable volatility index.
Under current Rule 6.2B.01, all index option orders for
participation in the modified HOSS opening procedure that are related
to positions in, or a trading strategy involving, volatility index
options or futures (``Strategy Orders'') and any change to or
cancellation of any such Strategy Order must be received prior to 8
a.m. (CT) (subject to a limited exception for errors). The cutoff time
for the entry of nonStrategy Orders on volatility index settlement
days is established on a classbyclass basis, provided the cutoff
time is no earlier than 8:25 a.m. (CT) and no later than the [[Page 14860]]
opening of trading in the option series.\7\ Any imbalance of contracts
to buy over contracts to sell in the applicable index option series, or
vice versa, as indicated on the electronic book, as well as expected
opening prices and sizes are published in a snapshot form on the CBOE
and CBOE Futures Exchange (``CFE'') Web sites as soon as practicable up
through the opening bell on settlement days when the modified HOSS
opening procedure is utilized. They are also currently continually disseminated on the Hybrid trading system.
\7\ See CBOE Rule 6.2B.01(c)(iv).
An example of a Strategy Order includes a market participant who
places SPX option orders on the book prior to the opening of trading on
the settlement date for VIX futures to unwind hedge strategies
involving SPX options. In particular, a commonly used hedge for VIX
futures involves holding a portfolio of SPX options that will be used
to calculate the settlement value of the VIX futures contract on the
settlement date. The Exchange has observed that traders holding hedged
VIX futures positions to settlement tend to trade out of their SPX options on VIX settlement days.\8\
\8\ The Exchange originally proposed a cutoff time for the
entry of Strategy Orders to provide market participants with time to
review order imbalances and to place offsetting orders in the book,
thereby encouraging additional market participation in the
applicable index option opening which improves the settlement value
calculation. See Securities Exchange Act Release No. 52367 (August
31, 2005), 70 FR 53401 (September 8, 2005) (SRCBOE200486). In
order to strike the appropriate balance between maintaining a time
period for market participants to respond to order imbalances and
providing traders seeking convergence with additional time to enter
Strategy Orders, the Exchange is currently proposing to modify the
cutoff time for the entry of Strategy Orders as described more fully herein.
Recently, the Exchange has received requests from market participants to extend the cutoff time for the entry of Strategy Orders on volatility index settlement days. Market participants have explained that because Strategy Orders cannot be modified or cancelled after 8 a.m. (CT) (except for errors), they are exposed to risk associated with market movements between 8 a.m. (CT) and the opening bell, which is after 8:30 a.m. (CT), and in the case of such market movements, may be unable to obtain convergence with the VIX futures final settlement value.
Specifically, the final value to which VIX futures settle is
calculated using the opening prices of constituent SPX options: Outof
themoney puts and calls that have nonzero bid prices. The Exchange
determines whether a particular option series is ``outofthemoney''
by reference to an ``atthemoney'' index strike price (K
In response, the Exchange believes that it is appropriate to
eliminate a specific cutoff time for Strategy Orders and instead
provide that the cutoff time may be established by the Exchange on a
classbyclass basis, provided that the established cutoff time cannot
be set earlier than 8 a.m. (CT) or later than the opening of trading in
the option series for which the modified HOSS opening procedure is
utilized. The amended rule text also provides that pronouncements
regarding changes to the established Strategy Order cutoff time would
be announced to the membership via a Regulatory Circular that is issued
at least one day prior to implementation. As proposed, the instant rule
change builds flexibility into the rule to allow for future
modifications to the applicable Strategy Order cutoff time, which may
be appropriate in the future as technology improves and processes
become more automated. In addition, the proposed rule provisions
regarding the cutoff time for Strategy Orders are consistent with
current rule provisions regarding the cutoff time for nonStrategy
Orders in that both sets of provisions are structured to permit the
Exchange to designate a cutoff time within a particular time range to
permit the Exchange to adjust the cutoff time as circumstances evolve.\9\
\9\ See Rule 6.2B.01(c)(iv); see also Securities Exchange Act
Release No. 54275 (August 4, 2006), 71 FR 45866 (August 10, 2006) (SRCBOE200661).
In support of this change, the Exchange notes that since the 8 a.m.
(CT) cutoff time for Strategy Orders was first established in 2005,
the trading system for receiving, processing, and matching orders
during the opening process has become much more automated.\10\ Also,
order imbalances are now published on the Hybrid trading system and are
thus more widely disseminated. For example, before SPX options traded
on the Hybrid 3.0 platform, order imbalances were only visible to
market participants in the trading crowd and in snapshots on the CBOE
and CFE Web sites. Now imbalances are also continually disseminated
prior to the opening of trading through the Hybrid trading system. As a
result of the enhanced trading system, it no longer takes as much time
for information regarding order imbalances to reach market
participants, and market participants can react to those order
imbalances sooner by placing offsetting orders. Accordingly, there does
not appear to be a need to have Strategy Orders submitted as early as
is the case currently, and the Exchange expects to move the Strategy
Order cutoff time to a later time. However, if the Exchange learns
from experience that the cutoff time needs to be adjusted further to
be earlier or later within the time range between 8 a.m. (CT) and the
opening of trading to provide for an optimal opening process, the
proposed rule will provide the Exchange with the flexibility to do that.
\10\ See supra note 8.
2. Statutory Basis
Because the proposed modification to the cutoff time for Strategy
Orders on volatility index settlement days will permit the Exchange to
provide market participants with additional time to enter Strategy
Orders, is designed to better enable market participants to meet their
trading objectives (e.g., obtain convergence with the VIX futures final
settlement value), and provides the Exchange with the ability to
continue to provide market participants with time to respond to order
imbalances, the Exchange believes the rule proposal is consistent with
the Act and the rules and regulations thereunder applicable to a
national securities exchange and, in particular, the requirements of
section 6(b) of the Act.\11\ Specifically, the Exchange believes that the proposed rule change is consistent with section
[[Page 14861]]
6(b)(5) of the Act,\12\ which requires that the rules of an exchange be
designed to promote just and equitable principles of trade, to prevent
fraudulent and manipulative acts and, in general, to protect investors
and the public interest. In addition, the Exchange notes that the
proposal which established the current rule provision governing the
cutoff time for nonStrategy Orders (which permits the Exchange to
designate a cutoff time within a particular time range) was designated
by the Commission to be effective and operative upon filing.\13\ \11\ 15 U.S.C. 78f(b).
\12\ 15 U.S.C. 78f(b)(5).
\13\ See supra note 9.
B. SelfRegulatory Organization's Statement on Burden on Competition
CBOE 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.
C. SelfRegulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others
Written comments on the proposed rule change were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action
Because the foregoing rule change does not: (1) Significantly affect the protection of investors or the public interest; (2) impose any significant burden on competition; and (3) become operative for 30 days after the date of this filing, or such shorter time as the Commission may designate, it has become effective pursuant to section 19(b)(3)(A) of the Act \14\ and Rule 19b4(f)(6) thereunder.\15\ \14\ 15 U.S.C. 78s(b)(3)(A).
\15\ 17 CFR 240.19b4(f)(6).
A proposed rule change filed under 19b4(f)(6) normally may not
become operative prior to 30 days after the date of filing.\16\
However, Rule 19b4(f)(6)(iii) \17\ 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 30day operative delay. The Commission believes
that waiving the 30day operative delay is consistent with the
protection of investors and the public interest because such waiver
will allow market participants to receive the benefits of the proposed
rule change prior to the next settlement date when the modified HOSS
opening procedure will be utilized, which will be on Wednesday, March
19, 2008. For this reason, the Commission designates the proposed rule
change to be operative upon filing with the Commission.\18\ \16\ 17 CFR 240.19b4(f)(6)(iii). In addition, Rule 19b
4(f)(6)(iii) requires that a selfregulatory organization submit to
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 the fiveday prefiling notice requirement.
\17\ Id.
\18\ For the purposes only of waiving the 30day operative
delay, the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C. 78c(f).
At any time within 60 days of the filing of such proposed rule change the Commission may summarily abrogate 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
Paper Comments
All submissions should refer to File Number SRCBOE200821. 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 inspection and copying 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 CBOE. 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 SRCBOE200821 and should be submitted on or before April 9, 2008.
\19\ 17 CFR 200.303(a)(12).
For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\19\
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E85520 Filed 31808; 8:45 am]
BILLING CODE 801101P