[Federal Register Volume 78, Number 57 (Monday, March 25, 2013)]
[Notices]
[Pages 17957-17958]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-06714]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-69172; File No. SR-CME-2013-02]


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

March 19, 2013.
    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 March 12, 2013, 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, which 
items have been prepared primarily by CME. CME filed the proposed rule 
change pursuant to Section 19(b)(3)(A) \3\ of the Act and Rule 19b-
4(f)(4)(i) \4\ thereunder. The Commission is publishing this notice to 
solicit comments on the rule change from interested parties.
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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)(i).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    CME proposes amendments that would facilitate offering additional 
series of Credit Default Index Swaps for clearing. The amendments would 
also remove from the current list of accepted credit default swap 
indices certain CDX North American Investment Grade products whose 
termination dates have already passed.
    The text of the proposed changes is available at the CME's Web site 
at http://www.cmegroup.com, at the principal office of CME, and at the 
Commission's Public Reference Room.

II. Self-Regulatory Organizations 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 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 self-regulatory organization has 
prepared summaries, set forth in sections A, B, and C below, of the 
most significant aspects of such statements.\5\
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    \5\ The Commission has modified the text of the summaries 
prepared by CME.
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A. Self-Regulatory Organization's Statement of the 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 8, 9, 10, 11, 12, 13, 14, 15, 
16, 17, 18 and 19 and also offers clearing of the Markit CDX North 
American High Yield Index Series 11, 12, 13, 14, 15, 16, 17, 18 and 19.
    The proposed rule changes would expand CME's Markit CDX North 
American Investment Grade (``CDX IG'') Index and Markit CDX North 
American High Yield (``CDX HY'') Index product offerings by 
incorporating the upcoming Series 20 for both sets of index products. 
Additionally, the proposed changes would remove from the current list 
of accepted CDX Indices certain CDX North American Investment Grade 
products whose termination dates have passed and make certain 
typographical corrections.
    The proposed rule changes are immediately effective but will become 
operational as follows: CME will accept CDX IG Series 20 for clearing 
on March 20, 2013, and will accept CDX HY Series 20 for clearing on 
March 27, 2013. 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''), in CFTC Submission 
13-071R.
    The proposed CME rule amendments merely (1) incorporate one 
additional series to CME's existing offering of broad-based Markit CDX 
North American Investment Grade and High Yield Index credit default 
swaps and (2) remove from the current list of accepted CDX Indices 
certain CDX North American Investment Grade products whose termination 
dates have passed. 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.

[[Page 17958]]

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

    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 has been filed pursuant to Section 
19(b)(3)(A) \6\ of the Act and paragraph (f)(4)(i) of Rule 19b-4 \7\ 
thereunder and will become effective on filing. 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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    \6\ Supra note 3.
    \7\ Supra note 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 may be submitted by using the 
Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml), or send an email to [email protected]. Please include 
File No. SR-CME-2013-02 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-2013-02. 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. 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-2013-02 and 
should be submitted on or before April 15, 2013.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-06714 Filed 3-22-13; 8:45 am]
BILLING CODE 8011-01-P