[Federal Register Volume 84, Number 213 (Monday, November 4, 2019)]
[Notices]
[Pages 59428-59432]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-23975]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-87413; File No. SR-GEMX-2019-15]


Self-Regulatory Organizations; Nasdaq GEMX, LLC; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend Options 3, 
Section 17, the Exchange's Kill Switch Risk Protection

October 29, 2019.
    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 October 15, 2019, Nasdaq GEMX, LLC (``GEMX'' 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 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 Options 3, Section 17, which sets 
forth the Exchange's optional Kill Switch risk protection.
    The text of the proposed rule change is available on the Exchange's 
website at http://nasdaqgemx.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 expand the optional Kill Switch risk 
protection the Exchange offers to Members today to allow cancellation 
and restriction of quotes, orders, or both. This new functionality will 
be offered alongside the existing port Kill Switch (as defined below), 
which currently allows Members to cancel and restrict only their 
orders. The Exchange also proposes to amend its rules to add more 
detail on how the port Kill Switch operates today. As discussed further 
below, no functional changes to the existing port Kill Switch 
functionality are being contemplated by this rule change; rather, the 
Exchange is providing more detailed information on the port Kill Switch 
so that the rule is more aligned with the current operation of existing 
functionality.
Port Kill Switch
    Today, Kill Switch provides Members with a risk management tool for 
immediate control of their order activity. Specifically as set forth in 
Options 3, Section 17(a), Kill Switch enables Members to initiate a 
message \3\

[[Page 59429]]

to the System \4\ to promptly cancel orders and restrict entry of new 
orders until re-entry has been enabled. Members may submit a request to 
the System to cancel orders for that Member. The System will send an 
automated message to the Member when a Kill Switch request has been 
processed by the Exchange's System.
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    \3\ Today, Members are able to send a message to the Exchange to 
initiate the Kill Switch. A Kill Switch message may be sent through 
the Exchange order entry ports FIX, OTTO, or Precise (hereinafter, 
referred to as ``port Kill Switch'').
    \4\ The term ``System'' means the electronic system operated by 
the Exchange that receives and disseminates quotes, executes orders 
and reports transactions. See Options 1, Section 1(a)(48).
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    If orders are cancelled by the Member utilizing the Kill Switch, it 
will result in the removal of all orders for the Member.\5\ The Member 
is unable to enter additional orders until the Member has made a verbal 
request to the Exchange and Exchange staff has set a re-entry indicator 
to enable re-entry.\6\ Once enabled for re-entry, the System will send 
a Re-entry Notification Message to the Member. The applicable Clearing 
Member for that Member will also be notified of the re-entry into the 
System after orders are cancelled as a result of the Kill Switch, 
provided the Clearing Member has requested to receive such 
notification.
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    \5\ Members may not cancel orders by symbol. Of note, Opening 
Sweeps are also cancelled. An Opening Sweep is a Market Maker order 
submitted for execution against eligible interest in the system 
during the Opening Process pursuant to Options 3, Section 8(b)(1). 
See Options 3, Section 7(t). Consistent with current auction 
functionality, PIM auction orders and responses are not cancelled. 
PIM is the Exchange's price improvement mechanism. See Options 3, 
Section 13. Other auctions orders and responses are cancelled.
    \6\ The Member must directly and verbally contact the Exchange 
to request the re-set.
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    The Exchange now proposes to provide additional detail regarding 
the port Kill Switch described above to better align the Rule with 
existing system functionality. The Exchange proposes to clarify that 
Members may submit a Kill Switch request to the System through FIX, 
OTTO, or Precise for the Member's requested identifier (i.e., badge \7\ 
or mnemonic \8\) (``Identifier'') on a user level (i.e., by individual 
badge or mnemonic).\9\ As such, Members using the port Kill Switch 
today may elect to cancel all existing orders and restrict entry of 
additional orders by individual badge/mnemonic (i.e., Identifier). 
Furthermore, if the Member's requested Identifier(s) is enabled to 
trade on both the Exchange and the Exchange's affiliate, Nasdaq ISE 
(``ISE''), the port Kill Switch applies across both GEMX and ISE.\10\ 
If a Member chooses to configure its Identifier on GEMX but not ISE, 
the port Kill Switch activated on GEMX will only apply to that 
Identifier on GEMX.
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    \7\ A ``badge'' shall mean an account number, which may contain 
letters and/or numbers, assigned to Market Makers. A Market Maker 
account may be associated with multiple badges. See Options 1, 
Section 1(a)(4).
    \8\ A ``mnemonic'' shall mean an acronym comprised of letters 
and/or numbers assigned to Electronic Access Members. An Electronic 
Access Member account may be associated with multiple mnemonics. See 
Options 1, Section 1(a)(22).
    \9\ Using the port Kill Switch, Members are only able to cancel 
and restrict their order activity at the user level (i.e., by 
individual Identifier). As discussed below, the new Kill Switch 
enhancement will offer Members the additional option of submitting 
requests at the user level or group level--in other words, by 
individual Identifier or for a group of Identifiers. See, e.g., 
Nasdaq Options Market (``NOM'') Chapter VI, Sec. 6(d), which sets 
forth NOM's Kill Switch rule, for similar terminology related to 
Identifier.
    \10\ Thus, for example, an Electronic Access Member that is 
configured to trade on ISE and GEMX in mnemonics ABCD1, ABCD2, and 
ABCD3 would submit a separate request for each mnemonic using the 
port Kill Switch, which would result in the cancellation of all 
existing orders and the restriction of additional orders associated 
with mnemonics ABCD1, ABCD2, and ABCD3 across both ISE and GEMX. The 
ability to kill interest across both ISE and GEMX is a feature that 
was carried over from the Exchange's previous T7 trading system.
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    While the current rule text does not specifically provide for these 
two features (i.e., the ability to cancel and restrict orders by 
individual Identifier(s) and, if set by the Member, across both GEMX 
and ISE), the existing port Kill Switch functionality operates in this 
manner today. Accordingly, the Exchange proposes to replace the 
existing language in section (a)(1) with the following to make clear 
how the System operates today: ``A Member may submit a request to the 
System through FIX, OTTO, or Precise to cancel all existing orders and 
restrict entry of additional orders for the requested Identifier(s) on 
a user level on Nasdaq GEMX, or across both Nasdaq GEMX and Nasdaq ISE, 
in either case as set by the Member.''
    As noted above, the Exchange is not proposing any functional 
modifications to the existing port Kill Switch; rather, all of the 
changes proposed above are to provide additional specificity as to how 
the port Kill Switch operates today for greater consistency between the 
rule text and the operation of the System. Lastly, the Exchange 
proposes to delete the last sentence of (a)(1), which is redundant with 
the re-entry provisions already set forth in the Rule.\11\
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    \11\ See Options 3, Section 17(a)(2). As discussed below, this 
section will be renumbered as section (a)(3) under this proposal.
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GUI Kill Switch
    The Exchange also proposes to add new functionality that would 
enhance the current Kill Switch risk protection for orders to apply to 
both orders and quotes.\12\ The Exchange will provide this enhancement 
through a separate graphical user interface (hereinafter, ``GUI Kill 
Switch'') as an alternative way for Members to manage their trading 
activity.\13\ As discussed below, the new GUI Kill Switch will be 
functionally similar to the existing port Kill Switch, with the most 
notable difference being the added ability to cancel all existing 
quotes and block the entry of additional quotes. For instance, similar 
to the port Kill Switch today, Members will be able to use the GUI Kill 
Switch for requested Identifier(s) to apply either on GEMX only or 
across both GEMX and ISE, depending on how the Identifier(s) was set up 
by the Member. Accordingly, Options 3, Section 17 will be amended to 
reflect that the Exchange will offer the proposed GUI Kill Switch 
alongside the existing port Kill Switch. In particular, paragraph (a) 
will provide that Kill Switch would enable Members to initiate a 
message to the System to promptly cancel and restrict their quote and 
order activity on GEMX, or across both GEMX and ISE, as further 
described in the Rule. The Exchange also proposes to specify that 
Members may submit a Kill Switch request to the System for certain 
Identifier(s) on either a user or group level. Permissible groups must 
reside within a single Member firm.\14\
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    \12\ As discussed more fully later in the filing, the proposed 
Kill Switch enhancement will also have additional features to allow 
Members to kill quotes and/or orders for requested Identifier(s) on 
either a user or group level.
    \13\ The GUI Kill Switch will be available to all Members 
through a web-based interface.
    \14\ For example, a permissible group could include all badges 
associated with a Market Maker. Member would be able to set up these 
groups beforehand to include all or some of the Identifiers 
associated with the Member firm so that a GUI Kill Switch request 
could apply to this pre-defined group.
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    As discussed above, while the proposed language in section (a) on 
applying Kill Switch for requested Identifier(s) across both GEMX and 
ISE is new, these features exist today with respect to the port Kill 
Switch. Accordingly, the proposed changes in (a) with respect to order 
cancellation and restriction clarify the current manner in which the 
port Kill Switch operates today, and also extends the rule to encompass 
the proposed GUI Kill Switch.
    The Exchange further proposes to describe the new GUI Kill Switch 
functionality in new section (a)(2).\15\ Specifically, the Exchange 
proposes to add the following: ``Alternatively, a

[[Page 59430]]

Member may submit a request to the System through a graphical user 
interface to cancel all existing, and restrict entry of additional, 
quotes and/or orders for the requested Identifier(s) on either a user 
or group level on Nasdaq GEMX, or across both Nasdaq GEMX and Nasdaq 
ISE, in either case as set by the Member.'' \16\
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    \15\ In light of adopting this new section, current (a)(2) will 
be renumbered as (a)(3).
    \16\ Members may not cancel orders and quotes by symbol using 
the GUI Kill Switch, similar to how orders may not be cancelled by 
symbol through the port Kill Switch today. Also similar to the port 
Kill Switch, Opening Sweeps will be cancelled upon initiating the 
GUI Kill Switch. Lastly, all auction orders and responses other than 
PIM orders/responses will similarly be cancelled. See supra note 5.
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    The Exchange believes that the proposed enhancement to the Kill 
Switch will offer Members an alternative means to control their 
exposure, through a separate interface which is not dependent on the 
integrity of the member's own systems, should the member experience a 
failure. Because the proposed enhancement will be provided through a 
separate user interface instead of one of the Exchange's order entry 
ports, the Exchange believes it would promote transparency in its Rules 
to separately define these alternative methods in (a)(1) and (a)(2). As 
noted above, the proposed enhancement is similar to the existing port 
Kill Switch that allows Members to control their order activity but has 
additional optionality, most significantly the ability to cancel and 
restrict quotes, orders, or both. Furthermore, Members can set up the 
GUI Kill Switch so they are able to control their quote and/or order 
activity for an individual Identifier or a group of Identifiers,\17\ as 
compared to the port Kill Switch which is limited to individual 
Identifiers only.\18\
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    \17\ As noted above, NOM Chapter VI, Sec. 6(d) has similar 
terminology in its Kill Switch rule. See supra note 9. Furthermore, 
the proposed GUI Kill Switch is functionally similar to NOM's Kill 
Switch in that both are offered through a separate graphical user 
interface and have similar features, including the ability for 
members to apply Kill Switch for certain identifiers on a user or 
group level.
    \18\ As an example of the GUI Kill Switch, assume a Market Maker 
is configured to trade on ISE and GEMX in badges 123A, 123B, and 
123C, with pre-defined settings that include all three badges as one 
group to which the GUI Kill Switch will apply. The Market Maker 
could then submit a GUI Kill Switch request to restrict their quote 
activity for the pre-defined group, resulting in the cancellation of 
all existing quotes and restriction of additional quotes associated 
with badges 123A, 123B, and 123C across both ISE and GEMX. The same 
Market Maker could instead opt to submit a GUI Kill Switch request 
for only badge 123A to cancel all existing quotes and restrict entry 
of additional quotes for that individual badge. The proposed 
functionality therefore allows the Member to have more optionality 
as compared to the existing mechanism.
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    The re-entry provisions in section (a)(3) will also be amended 
throughout to reflect that the re-entry process after initiating the 
GUI Kill Switch will be identical to the current process for the port 
Kill Switch. Specifically, once a Member initiates either the port or 
GUI Kill Switch, the Member will be unable to enter additional orders, 
and/or quotes if pursuant to the GUI Kill Switch, for the affected 
Identifier(s) until the Member has made a verbal request to the 
Exchange and Exchange staff has set a re-entry indicator to enable re-
entry.\19\ Lastly, the Exchange proposes to make a related change in 
the last sentence of section (a)(3) to delete the reference to order 
cancellation, and also provide that the ``applicable Clearing Member 
will be notified of such re-entry . . .'' for better readability.
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    \19\ Identical to re-entry for the port Kill Switch, Members 
must directly and verbally contact the Exchange to request the re-
set if they initiate the GUI Kill Switch. See supra note 6 with 
accompanying text.
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2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) of the Act \20\ in general, and furthers the objectives of Section 
6(b)(5) of the Act \21\ 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 enhancing the risk protections available to Members. The 
proposal promotes policy goals of the Commission which has highlighted 
the need for execution venues, exchange and non-exchange alike, to 
enhance risk protection tools and other mechanisms to decrease risk and 
increase stability.\22\
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    \20\ 15 U.S.C. 78f(b).
    \21\ 15 U.S.C. 78f(b)(5).
    \22\ See, e.g., Securities Exchange Act Release Nos. 69077 
(March 8, 2013), 78 FR 18083 (March 25, 2013) (Proposing Release) at 
18090-91; and 73639 (November 19, 2014), 79 FR 72251 (December 5, 
2014) (Adopting Release) at 72253 (highlighting that quality 
standards, testing and improved error response mechanisms are among 
the issues needing very thoughtful and focused attention in today's 
securities markets).
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    The proposed GUI Kill Switch, similar to the existing port Kill 
Switch, is designed to protect Members in the event the Member 
encounters a situation, like a systems issue, for which they would need 
to withdraw temporarily from the market. The individual Member firm 
benefits of enhanced risk protections, including Kill Switch 
mechanisms, flow downstream to counter-parties both at the Exchange and 
at other options exchanges, thereby increasing systemic protections as 
well. Additionally, because the Exchange will continue offer this 
optional risk tool to all Members, the Exchange believes that it will 
encourage liquidity generally and 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. To the extent the Exchange's 
proposal provides Members with greater control over their quotes and 
orders, and allows them to remove quotes and cancel orders in an 
appropriate manner, then the proposal may encourage Members to provide 
liquidity on GEMX and thus contribute to fair and orderly markets in a 
manner that protects the public interest and protects investors.
    As noted above, this optional risk tool will continue to be offered 
to all Members. The Exchange further represents that its proposal will 
continue to operate consistently with the firm quote obligations of a 
broker-dealer pursuant to Rule 602 of Regulation NMS and that the 
functionality is not mandatory. Specifically, any interest that is 
executable against a Member's orders or quotes that are received \23\ 
by the Exchange, prior to the time the Kill Switch is processed by the 
System, will automatically execute at the price up to the Member's 
size. The Kill Switch message will be accepted by the System in the 
order of receipt in the queue and will be processed in that order so 
that interest that is already accepted into the System will be 
processed prior to the Kill Switch message. Messages sent to the System 
by the Kill Switch are processed in the order they are received by the 
matching engine, through the same queuing mechanism that a quote or 
order message is processed. The Exchange also notes that the latency 
profile of the GUI Kill Switch is comparable to the latency profile of 
killing interest through a message based Kill Switch from a Member's 
order entry port.
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    \23\ The time of receipt for an order or quote is the time such 
message is processed by the Exchange's order book.
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    A Market Maker's obligation to provide two-sided quotes on a daily 
basis is not diminished by the removal of such quotes and/or orders by 
utilizing the Kill Switch. Market Makers that utilize Kill Switch will 
not be relieved of the obligation to provide intra-day quotes pursuant 
to Options 2, Section 5(e), nor will it prohibit the Exchange from 
taking disciplinary action against a Market Maker for failing to meet 
its quoting obligations each trading day.
    The proposed changes will also permit Clearing Members that clear 
transactions on a Member's behalf

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pursuant to a Letter of Guarantee \24\ to receive information regarding 
the Member's re-entry into the System after the Member initiates the 
GUI Kill Switch, and makes the verbal request to the Exchange for re-
entry pursuant to Options 3, Section 17(a). As is the case today with 
the port Kill Switch, because such Clearing Members guarantee all 
transactions on behalf of that Member and therefore bear the risk 
associated with those transactions, the Exchange believes that it is 
appropriate for the Clearing Member to receive information regarding 
re-entry into the System after quotes and/or orders are cancelled as a 
result of the GUI Kill Switch, should the Clearing Member request such 
notification. This information may help provide Clearing Members with 
greater control and flexibility in managing the risk associated with 
the Member's activity.
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    \24\ A Letter of Guarantee obligates the issuing Clearing Member 
to accept financial responsibilities for all Exchange transactions 
made by the guaranteed Member. See Options 6, Section 4(a) and (b).
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    The Exchange's proposal also extends the cross-market feature 
available today through the port Kill Switch to the proposed GUI Kill 
Switch. The Exchange notes that issues that would prompt a Member to 
submit a Kill Switch request are normally not confined to a member's 
activity on a single exchange. Accordingly, the Exchange believes that 
offering both the port and GUI Kill Switch protections on a cross-
market basis would help Members to more effectively manage their risk 
when trading on multiple markets, and reduce disruptive trading events 
to the benefit of all members and investors. For the same reasons, the 
Exchange already offers other cross market risk protections pursuant to 
the Market Wide Risk Protection (``MWRP'') \25\ as well as for market 
maker quotes, both of which can be applied across GEMX and ISE similar 
to the port and GUI Kill Switch.\26\ Like MWRP and the cross-market 
protections for market maker quotes, the Exchange ported over the Kill 
Switch's cross-market feature from the Exchange's previous trading 
system with minimal modifications to minimize the impact to Members 
that were already familiar with the existing risk management tools.
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    \25\ See Options 3, Section 15(b)(1)(D).
    \26\ See Options 3, Section 15(b)(3)(B)(vi).
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    Lastly, the Exchange believes that the proposed changes to add 
greater specificity with respect to how the port Kill Switch currently 
operates (i.e., that a Kill Switch request sent through FIX, OTTO, or 
Precise will result in the cancellation of all existing orders, and 
restrict entry of additional orders for the requested Identifier(s) on 
a user level on GEMX, or across both GEMX and ISE, in either case as 
set by the Member) will promote greater transparency around the 
existing Kill Switch, and will serve to better align the Exchange's 
rules with current System functionality, to the benefit of investors 
and the public interest.

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 proposal does not impose an 
undue burden on intramarket competition because all Members may avail 
themselves of the Kill Switch. The Kill Switch risk protection is 
optional. The proposed rule change to expand this risk protection to 
encompass quote cancellation and restriction will further protect 
Members in the event the Member is suffering from a systems issue or 
from the occurrence of unusual or unexpected market activity that would 
require them to withdraw from the market in order to protect investors. 
As discussed above, the proposed GUI Kill Switch, like the existing 
port Kill Switch, would be offered cross-market to Members that want to 
be protected from inadvertent exposure to excessive risk when trading 
on both GEMX and ISE. The Exchange does not believe that permitting 
this functionality to be cross-market will impose any undue burden on 
intermarket competition that is not necessary or appropriate in 
furtherance of the purposes of the Act because the target of the cross-
market feature is to reduce risk for Members that trade on GEMX and 
ISE. As noted above, issues that would prompt a Member to submit a Kill 
Switch request are normally not confined to a Member's activity on a 
single exchange, so the Exchange believes that having the ability to 
manage risk across more than one market will ultimately be beneficial 
by providing Members with greater control over their quotes and orders, 
which may reduce disruptive trading events to the benefit of all 
investors and the public interest. Finally, the Exchange notes other 
exchanges, including the Exchange's affiliated options markets, 
similarly offer Kill Switch protections for both quotes and orders.\27\
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    \27\ The proposed GUI Kill Switch protections are similar to 
those available on its affiliated options markets Nasdaq BX 
(``BX''), NOM, and Nasdaq Phlx (``Phlx''), except BX, NOM, and Phlx 
Kill Switches do not apply cross-market to other affiliated 
exchanges. As discussed above, the proposed GUI Kill Switch may 
apply across GEMX and ISE, if set by the Exchange member. See BX 
Chapter VI, Section 6(d); NOM Chapter VI, Section 6(d); and Phlx 
Rule 1019(b). See also CBOE Exchange Rule 5.34(c)(7) and BOX Options 
Exchange Rule 7280(b) for other options exchanges that offer Kill 
Switch protections for quotes and orders.
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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)(iii) of the Act \28\ and 
subparagraph (f)(6) of Rule 19b-4 thereunder.\29\
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    \28\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \29\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii) 
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 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 requested that the Commission waive the pre-filing 
requirement. The Commission hereby waives that requirement.
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    A proposed rule change filed under Rule 19b-4(f)(6) \30\ normally 
does not become operative prior to 30 days after the date of the 
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\31\ 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. 
According to the Exchange, waiver of the operative delay is consistent 
with the protection of investors and the public interest because it 
would provide Members with greater control over their quotes and 
orders, which may reduce disruptive trading events to the benefit of 
all investors and the public interest. The Exchange notes that similar 
kill switch protections are available on other options exchanges and 
that the Commission has previously approved similar cross market risk 
protections,\32\ and that as such, the proposed rule change does not 
raise any new, unique or substantive issues. The Commission

[[Page 59432]]

believes that waiving the 30-day operative delay is consistent with the 
protection of investors and the public interest. Accordingly, the 
Commission waives the 30-day operative delay and designates the 
proposed rule change operative upon filing.\33\
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    \30\ 17 CFR 240.19b-4(f)(6).
    \31\ 17 CFR 240.19b-4(f)(6)(iii).
    \32\ See supra notes 25-27 and accompanying text.
    \33\ For purposes only of waiving the 30-day operative delay, 
the Commission also 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
     Send an email to [email protected]. Please include 
File Number SR-GEMX-2019-15 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-GEMX-2019-15. 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 website (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 website 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. Persons submitting comments are 
cautioned that we do not redact or edit personal identifying 
information from comment submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-GEMX-2019-15 and should be submitted on 
or before November 25, 2019.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\34\
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    \34\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-23975 Filed 11-1-19; 8:45 am]
BILLING CODE 8011-01-P