[Federal Register Volume 81, Number 86 (Wednesday, May 4, 2016)]
[Notices]
[Pages 26857-26861]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-10436]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-77742; File No. SR-CBOE-2016-032]


Self-Regulatory Organizations; Chicago Board Options Exchange, 
Incorporated; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change Relating to FLEX Options Pilot Program

April 29, 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 April 15, 2016, Chicago Board Options Exchange, Incorporated (the 
``Exchange'' or ``CBOE'') filed with the Securities and Exchange 
Commission (``Commission'') the proposed rule change as described in 
Items I and II below, which Items have been prepared by the Exchange. 
The Exchange filed the proposal as a ``non-controversial'' proposed 
rule change pursuant to Section 19(b)(3)(A)(iii) of the Act \3\ and 
Rule 19b-4(f)(6) thereunder.\4\ 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.
    \3\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \4\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to extend the operation of its Flexible 
Exchange Options (``FLEX Options'') pilot program through May 3, 
2017.\5\ The text of the proposed rule change is provided below.
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    \5\ FLEX Options provide investors with the ability to customize 
basic option features including size, expiration date, exercise 
style, and certain exercise prices. FLEX Options can be FLEX Index 
Options or FLEX Equity Options. In addition, other products are 
permitted to be traded pursuant to the FLEX trading procedures. For 
example, credit options are eligible for trading as FLEX Options 
pursuant to the FLEX rules in Chapters XXIVA and XXIVB. See CBOE 
Rules 24A.1(e) and (f), 24A.4(b)(1) and (c)(1), 24B.1(f) and (g), 
24B.4(b)(1) and (c)(1), and 29.18. The rules governing the trading 
of FLEX Options on the FLEX Request for Quote (``RFQ'') System 
platform are contained in Chapter XXIVA. The rules governing the 
trading of FLEX Options on the FLEX Hybrid Trading System platform 
are contained in Chapter XXIVB.

(additions are italicized; deletions are [bracketed])
* * * * *
Chicago Board Options Exchange, Incorporated Rules
* * * * *
Rule 24A.4. Terms of FLEX Options
No change.

[[Page 26858]]

. . . Interpretations and Policies:
.01 FLEX Index Option PM Settlements Pilot Program: Notwithstanding 
subparagraph (a)(2)(iv) above, for a pilot period ending the earlier of 
May 3, 201[6]7 or the date on which the pilot program is approved on a 
permanent basis, a FLEX Index Option that expires on an Expiration 
Friday may have any exercise settlement value that is permissible 
pursuant to subparagraph (b)(3) above.
.02 No change.
* * * * *
Rule 24B.4. Terms of FLEX Options
No change.
. . . Interpretations and Policies:
.01 FLEX Index Option PM Settlements Pilot Program: Notwithstanding 
subparagraph (a)(2)(iv) above, for a pilot period ending the earlier of 
May 3, 201[6]7 or the date on which the pilot program is approved on a 
permanent basis, a FLEX Index Option that expires on an Expiration 
Friday may have any exercise settlement value that is permissible 
pursuant to subparagraph (b)(3) above.
.02 No change.
* * * * *
    The text of the proposed rule change is also available on the 
Exchange's Web site (http://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the 
Secretary, 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
    On January 28, 2010, the Exchange received approval of a rule 
change that, among other things, established a pilot program regarding 
permissible exercise settlement values for FLEX Index Options.\6\ The 
Exchange has extended the pilot period five times, which is currently 
set to expire on the earlier of May 3, 2016 or the date on which the 
pilot program is approved on a permanent basis.\7\ The purpose of this 
rule change filing is to extend the pilot program through the earlier 
of May 3, 2017 or the date on which the pilot program is approved on a 
permanent basis. This filing simply seeks to extend the operation of 
the pilot program and does not propose any substantive changes to the 
pilot program.
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    \6\ Securities Exchange Act Release No. 61439 (January 28, 
2010), 75 FR 5831 (February 4, 2010) (SR-CBOE-2009-087) (``Approval 
Order''). The initial pilot period was set to expire on March 28, 
2011, which date was added to the rules in 2010. See Securities 
Exchange Act Release No. 61676 (March 9, 2010), 75 FR 13191 (March 
18, 2010) (SR-CBOE-2010-026).
    \7\ See Securities Exchange Act Release Nos. 64110 (March 23 
[sic], 2011), 76 FR 17463 (March 29, 2011) (SR-CBOE-2011-024) 
(extending the pilot program through the earlier of March 30, 2012 
or the date on which the pilot program is approved on the permanent 
basis); 66701 (March 30, 2012), 77 FR 20673 (April 5, 2012) (SR-
CBOE-2012-027) (extending the pilot through the earlier of November 
2, 2012 or the date on which the pilot program is approved on a 
permanent basis); 68145 (November 2, 2012), 77 FR 67044 (November 8, 
2012) (SR-CBOE-2012-102) (extending the pilot program through the 
earlier of November 2, 2013 or the date on which the pilot program 
is approved on a permanent basis); 70752 (October 24, 2013), 78 FR 
65023 (October 30, 2013) (SR-CBOE-2013-099) (extending the pilot 
program through the earlier of November 3, 2014 or the date on which 
the pilot program is approved on a permanent basis); and 73460 
(October 29, 2014), 79 FR 65464 (November 4, 2014) (SR-CBOE-2014-
080) (extending the pilot program through the earlier of May 3, 2016 
or the date on which the pilot program is approved on a permanent 
basis). At the same time the permissible exercise settlement values 
pilot was established for FLEX Index Options, the Exchange also 
established a pilot program eliminating the minimum value size 
requirements for all FLEX Options. See Approval Order, supra note 2 
[sic]. The pilot program eliminating the minimum value size 
requirements was extended twice pursuant to the same rule filings 
that extended the permissible exercise settlement values (for the 
same extended periods) and was approved on a permanent basis in a 
separate rule change filing. See id. and Securities Exchange Act 
Release No. 67624 (August 8, 2012), 77 FR 48580 (August 14, 2012) 
(SR-CBOE-2012-040).
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    Under Rules 24A.4, Terms of FLEX Options, and 24B.4, Terms of FLEX 
Options, a FLEX Option may expire on any business day specified as to 
day, month and year, not to exceed a maximum term of fifteen years. In 
addition, the exercise settlement value for a FLEX Index Option can be 
specified as the index value determined by reference to the reported 
level of the index as derived from the opening or closing prices of the 
component securities (``a.m. settlement'' or ``p.m. settlement,'' 
respectively) or as a specified average, provided that the average 
index value must conform to the averaging parameters established by the 
Exchange.\8\ However, prior to the initiation of the exercise 
settlement values pilot, only a.m. settlements were permitted if a FLEX 
Index Option expired on, or within two business days of, a third 
Friday-of-the-month expiration (``Expiration Friday'').\9\
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    \8\ See Rules 24A.4(b)(3) and 24B.4(b)(3); see also Securities 
Exchange Act Release No. 31920 (February 24, 1993), 58 FR 12280 
(March 3, 1993) (SR-CBOE-92-017). The Exchange has determined to 
limit the averaging parameters to three alternatives: The average of 
the opening and closing index values on the expiration date; the 
average of intra-day high and low index values on the expiration 
date; and the average of the opening, closing, and intra-day high 
and low index values on the expiration date. Any changes to the 
averaging parameters established by the Exchange would be announced 
to Trading Permit Holders via circular.
    \9\ For example, prior to the pilot, the exercise settlement 
value of a FLEX Index Option that expires on the Tuesday before 
Expiration Friday could have an a.m., p.m. or specified average 
settlement. However, the exercise settlement value of a FLEX Index 
Option that expires on the Wednesday before Expiration Friday could 
only have an a.m. settlement.
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    Under the exercise settlement values pilot, this restriction on 
p.m. and specified average price settlements in FLEX Index Options was 
eliminated.\10\ The exercise settlement values pilot is currently set 
to expire on the earlier of May 3, 2016 or the date on which the pilot 
program is approved on a permanent basis.
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    \10\ No change was necessary or requested with respect to FLEX 
Equity Options. Regardless of the expiration date, FLEX Equity 
Options are settled by physical delivery of the underlying.
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    CBOE is proposing to extend the pilot program through the earlier 
of May 3, 2017 or the date on which the pilot program is approved on a 
permanent basis. CBOE believes the pilot program has been successful 
and well received by its Trading Permit Holders and the investing 
public for the period that it has been in operation as a pilot. In 
support of the proposed extension of the pilot program, and as required 
by the pilot program's Approval Order, the Exchange has submitted to 
the Securities and Exchange Commission (the ``Commission'') pilot 
program reports regarding the pilot, which detail the Exchange's 
experience with the program. Specifically, the Exchange provided the 
Commission with annual reports analyzing volume and open interest for 
each broad-based FLEX Index Options class overlying an Expiration 
Friday, p.m.-settled FLEX Index Options series.\11\ The annual reports 
also contained information and analysis of FLEX Index Options trading

[[Page 26859]]

patterns. The Exchange also provided the Commission, on a periodic 
basis, interim reports of volume and open interest. In providing the 
pilot reports to the Commission, the Exchange has requested 
confidential treatment of the pilot reports under the Freedom of 
Information Act (``FOIA'').\12\ The confidentiality of the pilot 
reports is subject to the provisions of FOIA.
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    \11\ The annual reports also contained certain pilot period and 
pre-pilot period analyses of volume and open interest for Expiration 
Friday, a.m.-settled FLEX Index series and Expiration Friday Non-
FLEX Index series overlying the same index as an Expiration Friday, 
p.m.-settled FLEX Index option.
    \12\ 5 U.S.C. 552.
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    The Exchange believes there is sufficient investor interest and 
demand in the pilot program to warrant its extension. The Exchange 
believes that, for the period that the pilot has been in operation, the 
program has provided investors with additional means of managing their 
risk exposures and carrying out their investment objectives. 
Furthermore, the Exchange believes that it has not experienced any 
adverse market effects with respect to the pilot program, including any 
adverse market volatility effects that might occur as a result of large 
FLEX exercises in FLEX Option series that expire near Non-FLEX 
expirations and use a p.m. settlement (as discussed below).
    In that regard, based on the Exchange's experience in trading FLEX 
Options to date and over the pilot period, CBOE continues to believe 
that the restrictions on exercise settlement values are no longer 
necessary to insulate Non-FLEX expirations from the potential adverse 
market impacts of FLEX expirations.\13\ To the contrary, CBOE believes 
that the restriction actually places the Exchange at a competitive 
disadvantage to its OTC counterparts in the market for customized 
options, and unnecessarily limits market participants' ability to trade 
in an exchange environment that offers the added benefits of 
transparency, price discovery, liquidity, and financial stability.
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    \13\ In further support, the Exchange also notes that the p.m. 
and specified average price settlements are already permitted for 
FLEX Index Options on any other business day except on, or within 
two business days of, Expiration Friday. The Exchange is not aware 
of any market disruptions or problems caused by the use of these 
settlement methodologies on these expiration dates (or on the 
expiration dates addressed under the pilot program). The Exchange is 
also not aware of any market disruptions or problems caused by the 
use of customized options in the over-the-counter (``OTC'') markets 
that expire on or near Expiration Friday and have a p.m. or 
specified average exercise settlement value. In addition, the 
Exchange believes the reasons for limiting expirations to a.m. 
settlement, which is something the SEC has imposed since the early 
1990s for Non-FLEX Options, revolved around a concern about 
expiration pressure on the New York Stock Exchange (``NYSE'') at the 
close that are no longer relevant in today's market. Today, the 
Exchange believes stock exchanges are able to better handle volume. 
There are multiple primary listing and unlisted trading privilege 
(``UTP'') markets, and trading is dispersed among several exchanges 
and alternative trading systems. In addition, the Exchange believes 
that surveillance techniques are much more robust and automated. In 
the early 1990s, it was also thought by some that opening procedures 
allow more time to attract contra-side interest to reduce 
imbalances. The Exchange believes, however, that today, order flow 
is predominantly electronic and the ability to smooth out openings 
and closes is greatly reduced (e.g., market-on-close procedures work 
just as well as openings). Also, other markets, such as the NASDAQ 
Stock Exchange, do not have the same type of pre-opening imbalance 
disseminations as NYSE, so many stocks are not subject to the same 
procedures on Expiration Friday. In addition, the Exchange believes 
that NYSE has reduced the required time a specialist has to wait 
after disseminating a pre-opening indication. So, in this respect, 
the Exchange believes there is less time to react in the opening 
than in the close. Moreover, to the extent there may be a risk of 
adverse market effects attributable to p.m. settled options (or 
certain average price settled options related to the closing price) 
that would otherwise be traded in a non-transparent fashion in the 
OTC market, the Exchange continues to believe that such risk would 
be lessened by making these customized options eligible for trading 
in an exchange environment because of the added transparency, price 
discovery, liquidity, and financial stability available.
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    The Exchange also notes that certain position limit, aggregation 
and exercise limit requirements continue to apply to FLEX Index Options 
in accordance with Rules 24A.7, Position Limits and Reporting 
Requirements, 24A.8, Exercise Limits, 24B.7, Position Limits and 
Reporting Requirements, and 24B.8, Exercise Limits. Additionally, all 
FLEX Options remain subject to the position reporting requirements in 
paragraph (a) of CBOE Rule 4.13, Reports Related to Position 
Limits.\14\ Moreover, the Exchange and its Trading Permit Holder 
organizations each have the authority, pursuant to CBOE Rule 12.10, 
Margin Required is Minimum, to impose additional margin as deemed 
advisable. CBOE continues to believe these existing safeguards serve 
sufficiently to help monitor open interest in FLEX Option series and 
significantly reduce any risk of adverse market effects that might 
occur as a result of large FLEX exercises in FLEX Option series that 
expire near Non-FLEX expirations and use a p.m. settlement.
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    \14\ CBOE Rule 4.13(a) provides that ``[i]n a manner and form 
prescribed by the Exchange, each Trading Permit Holder shall report 
to the Exchange, the name, address, and social security or tax 
identification number of any customer who, acting alone, or in 
concert with others, on the previous business day maintained 
aggregate long or short positions on the same side of the market of 
200 or more contracts of any single class of option contracts dealt 
in on the Exchange. The report shall indicate for each such class of 
options, the number of option contracts comprising each such 
position and, in the case of short positions, whether covered or 
uncovered.'' For purposes of Rule 4.13, the term ``customer'' in 
respect of any Trading Permit Holder includes ``the Trading Permit 
Holder, any general or special partner of the Trading Permit Holder, 
any officer or director of the Trading Permit Holder, or any 
participant, as such, in any joint, group or syndicate account with 
the Trading Permit Holder or with any partner, officer or director 
thereof.'' Rule 4.13(d).
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    CBOE is also cognizant of the OTC market, in which similar 
restrictions on exercise settlement values do not apply. CBOE continues 
to believe that the pilot program is appropriate and reasonable and 
provides market participants with additional flexibility in determining 
whether to execute their customized options in an exchange environment 
or in the OTC market. CBOE continues to believe that market 
participants benefit from being able to trade these customized options 
in an exchange environment in several ways, including, but not limited 
to, enhanced efficiency in initiating and closing out positions, 
increased market transparency, and heightened contra-party 
creditworthiness due to the role of the Options Clearing Corporation as 
issuer and guarantor of FLEX Options.
    If, in the future, the Exchange proposes an additional extension of 
the pilot program, or should the Exchange propose to make the pilot 
program permanent, the Exchange will submit, along with any filing 
proposing such amendments to the pilot program, an annual report 
(addressing the same areas referenced above and consistent with the 
pilot program's Approval Order) to the Commission at least two months 
prior to the expiration date of the program. The Exchange will also 
continue, on a periodic basis, to submit interim reports of volume and 
open interest consistent with the terms of the exercise settlement 
values pilot program as described in the pilot program's Approval 
Order. All such pilot reports would continue to be provided by the 
Exchange along with a request for confidential treatment under 
FOIA.\15\ As noted in the pilot program's Approval Order, any positions 
established under the pilot program would not be impacted by the 
expiration of the pilot program.\16\
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    \15\ See supra note 7 [sic] and surrounding discussion. If the 
Exchange seeks permanent approval of the pilot program, the Exchange 
recognizes that certain information in the pilot reports may need to 
be made available on a public basis.
    \16\ For example, a position in a p.m.-settled FLEX Index Option 
series that expires on Expiration Friday in January 2018 could be 
established during the exercise settlement values pilot. If the 
pilot program were not extended (or made permanent), then the 
position could continue to exist. However, the Exchange notes that 
any further trading in the series would be restricted to 
transactions where at least one side of the trade is a closing 
transaction. See Approval Order at footnotes 9 and 10, supra note 2 
[sic].
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2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with 
the Act

[[Page 26860]]

and the rules and regulations thereunder applicable to the Exchange 
and, in particular, the requirements of Section 6(b) of the Act.\17\ 
Specifically, the Exchange believes the proposed rule change is 
consistent with the Section 6(b)(5) \18\ requirements that the rules of 
an exchange be 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 regulating, 
clearing, settling, processing information with respect to, and 
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. 
Additionally, the Exchange believes the proposed rule change is 
consistent with the Section 6(b)(5) \19\ requirement that the rules of 
an exchange not be designed to permit unfair discrimination between 
customers, issuers, brokers, or dealers.
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    \17\ 15 U.S.C. 78f(b).
    \18\ 15 U.S.C. 78f(b)(5).
    \19\ Id.
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    In particular, the Exchange believes that the proposed extension of 
the pilot program, which permits additional exercise settlement values, 
would provide greater opportunities for investors to manage risk 
through the use of FLEX Options. Further, the Exchange believes that it 
has not experienced any adverse effects from the operation of the pilot 
program, including any adverse market volatility effects that might 
occur as a result of large FLEX exercises in FLEX Option series that 
expire near Non-FLEX expirations and use a p.m. settlement. The 
Exchange also believes that the extension of the exercise settlement 
values pilot does not raise any unique regulatory concerns. In 
particular, although p.m. settlements may raise questions with the 
Commission, the Exchange believes that, based on the Exchange's 
experience in trading FLEX Options to date and over the pilot period, 
market impact and investor protection concerns will not be raised by 
this rule change. The Exchange also believes that the proposed rule 
change would continue to provide Trading Permit Holders and investors 
with additional opportunities to trade customized options in an 
exchange environment (which offers the added benefits of transparency, 
price discovery, liquidity, and financial stability as compared to the 
over-the-counter market) and subject to exchange-based rules, and 
investors would benefit as a result.

B. Self-Regulatory 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. The Exchange believes there is 
sufficient investor interest and demand in the pilot program to warrant 
its extension. The Exchange believes that, for the period that the 
pilot has been in operation, the program has provided investors with 
additional means of managing their risk exposures and carrying out 
their investment objectives. Furthermore, the Exchange believes that it 
has not experienced any adverse market effects with respect to the 
pilot program, including any adverse market volatility effects that 
might occur as a result of large FLEX exercises in FLEX Option series 
that expire near Non-Flex expirations and use a p.m. settlement. CBOE 
believes that the restriction actually places the Exchange at a 
competitive disadvantage to its OTC counterparts in the market for 
customized options, and unnecessarily limits market participants' 
ability to trade in an exchange environment that offers the added 
benefits of transparency, price discovery, liquidity, and financial 
stability. Therefore, the Exchange does not believe that the proposed 
rule change will impose any burden on competition.

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

    The Exchange neither solicited nor received comments on the 
proposed rule change.

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

    Because the 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 if consistent with the protection of investors 
and the public interest, the proposed rule change has become effective 
pursuant to Section 19(b)(3)(A) of the Act \20\ and Rule 19b-4(f)(6) 
thereunder.\21\
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    \20\ 15 U.S.C. 78s(b)(3)(A).
    \21\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) 
requires the Exchange to give 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 this requirement.
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    A proposed rule change filed under Rule 19b-4(f)(6) \22\ normally 
does not become operative for 30 days after the date of filing. 
However, pursuant to Rule 19b-4(f)(6)(iii),\23\ the Commission may 
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 30-day operative delay so that 
the proposal may become operative immediately upon filing. The Exchange 
states that such waiver will allow the Exchange to extend the pilot 
program prior to its expiration on May 3, 2016, and maintain the status 
quo, thereby reducing market disruption.
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    \22\ 17 CFR 240.19b-4(f)(6).
    \23\ 17 CFR 240.19b-4(f)(6)(iii).
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    The Commission believes that waiving the 30-day operative delay is 
consistent with the protection of investors and the public interest. 
Waiver of the operative delay will allow the Exchange to extend the 
pilot program prior to its expiration on May 3, 2016, which will ensure 
that the program continues to operate uninterrupted. Therefore, the 
Commission hereby waives the 30-day operative delay and designates the 
proposed rule change to be operative upon filing with the 
Commission.\24\
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    \24\ For purposes only of waiving the operative delay for this 
proposal, 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 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

[[Page 26861]]

     Send an email to [email protected]. Please include 
File Number SR-CBOE-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-CBOE-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-CBOE-2016-032 and should be 
submitted on or before May 25, 2016.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\25\
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    \25\ 17 CFR 200.30-3(a)(12) and (59).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-10436 Filed 5-3-16; 8:45 am]
BILLING CODE 8011-01-P