[Federal Register Volume 85, Number 240 (Monday, December 14, 2020)]
[Notices]
[Pages 80848-80852]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-27390]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-90596; File No. SR-ISE-2020-40]


Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend the 
Exchange's Market Maker Plus Program Under Options 7, Section 3, 
Regular Order Fees and Rebates

December 8, 2020.
    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 November 24, 2020, Nasdaq ISE, LLC (``ISE'' or ``Exchange'') filed 
with the Securities and Exchange Commission (``SEC'' or ``Commission'') 
the proposed rule change as described in Items I and II below, which 
Items have been prepared by the Exchange. The Commission is publishing 
this notice to solicit comments on the proposed rule change from 
interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend the Exchange's Market Maker Plus 
program under Options 7, Section 3, ``Regular Order Fees and Rebates.''
    The Exchange originally filed the proposed pricing change on 
November 2, 2020 (SR-ISE-2020-36). On November 12, 2020, the Exchange 
withdrew SR-ISE-2020-36 and submitted SR-ISE-2020-35 on November 13, 
2020. On November 24, 2020 the Exchange withdrew SR-ISE-2020-35 and 
submitted this replacement filing.
    The text of the proposed rule change is available on the Exchange's 
website at https://listingcenter.nasdaq.com/rulebook/ise/rules, at the 
principal office of the Exchange, and at the Commission's Public 
Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. The Exchange has prepared summaries, set forth in 
sections A, B, and C below, of the most significant aspects of such 
statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend the Market Maker Plus program under 
Options 7, Section 3, ``Regular Order Fees and Rebates.'' The purpose 
of the proposed rule change is to amend certain qualifications for 
Market Makers to achieve Market Maker Plus status in order to continue 
to incentivize Market Makers to add liquidity on ISE.
Background
    As set forth in Options 7, Section 3 of the Pricing Schedule, the 
Exchange operates a Market Maker Plus program for regular orders in 
Select Symbols \3\ and Non-Select Symbols \4\ that provides the below 
tiered rebates to Market Makers \5\ based on time spent quoting at the 
National Best Bid or National Best Offer (``NBBO''). This program is 
designed to reward Market Makers that contribute to market quality by 
maintaining tight markets in Select and Non-Select Symbols.
---------------------------------------------------------------------------

    \3\ ``Select Symbols'' are options overlying all symbols listed 
on the Nasdaq ISE that are in the Penny Interval Program. See 
Options 7, Section 1.
    \4\ ``Non-Select Symbols'' are options overlying all symbols 
excluding Select Symbols. See Options 7, Section 1.
    \5\ The term ``Market Makers'' refers to ``Competitive Market 
Makers'' and ``Primary Market Makers'' collectively. See Options 1, 
Section 1(a)(20).

       Select Symbols Other Than SPY, QQQ, IWM, AMZN, FB, and NVDA
------------------------------------------------------------------------
      Market maker plus tier (specified percentage)        Maker rebate
------------------------------------------------------------------------
Tier 1 (80% to less than 85%)...........................         ($0.15)
Tier 2 (85% to less than 95%)...........................          (0.18)
Tier 3 (95% or greater).................................          (0.22)
------------------------------------------------------------------------


                            SPY, QQQ, and IWM
------------------------------------------------------------------------
                                                           Linked maker
    Market maker plus tier (specified      Regular maker    rebate (9)
               percentage)                    rebate           (12)
------------------------------------------------------------------------
Tier 1a (50% to less than 65%)..........         ($0.00)             N/A
Tier 1b (65% to less than 80%)..........          (0.05)             N/A
Tier 2 (80% to less than 85%)...........          (0.18)          (0.15)
Tier 3 (85% to less than 90%)...........          (0.22)          (0.19)
Tier 4 (90% or greater).................          (0.26)          (0.23)
------------------------------------------------------------------------


                           AMZN, FB, and NVDA
------------------------------------------------------------------------
                                                           Maker rebate
      Market maker plus tier (specified percentage)           \(14)\
------------------------------------------------------------------------
Tier 1 (70% to less than 85%)...........................         ($0.15)
Tier 2 (85% to less than 95%)...........................          (0.18)

[[Page 80849]]

 
Tier 3 (95% or greater).................................          (0.22)
------------------------------------------------------------------------


           Non-Select Symbols (Excluding Index Options) \(7)\
------------------------------------------------------------------------
                                                            Maker fee/
      Market maker plus tier (specified percentage)           rebate
------------------------------------------------------------------------
Tier 1 (80% to less than 90%)...........................           $0.50
Tier 2 (90% to less than 98%)...........................            0.30
Tier 3 (98% or greater).................................    \(6)\ (0.40)
------------------------------------------------------------------------

    Market Makers are evaluated each trading day for the percentage of 
time spent on the NBBO for qualifying series that expire in two 
successive thirty calendar day periods beginning on that trading day. A 
Market Maker Plus is a Market Maker who is on the NBBO a specified 
percentage of the time on average for the month based on daily 
performance in the qualifying series for each of the two successive 
periods described above. Qualifying series are series trading between 
$0.03 and $3.00 (for options whose underlying stock's previous trading 
day's last sale price was less than or equal to $100) and between $0.10 
and $3.00 (for options whose underlying stock's previous trading day's 
last sale price was greater than $100) in premium. If a Market Maker 
would qualify for a different Market Maker Plus tier in each of the two 
successive 30 calendar day periods, then the lower of the two Market 
Maker Plus tier rebates shall apply to all contracts.\6\
---------------------------------------------------------------------------

    \6\ Market Makers may enter quotes in a symbol using one or more 
unique, exchange assigned identifiers--i.e., badge/suffix 
combinations. Market Maker Plus status is calculated independently 
based on quotes entered in a symbol for each of the Market Maker's 
badge/suffix combinations, and the highest tier achieved for any 
badge/suffix combination quoting that symbol applies to executions 
across all badge/suffix combinations that the member uses to trade 
in that symbol. Only badge/suffix combinations quoting a minimum of 
ten trading days within the month will be used to determine whether 
the Market Maker Plus status has been met and the specific tier to 
be applied to the Market Maker's performance for that month.
---------------------------------------------------------------------------

    A Market Maker's worst quoting day each month for each of the two 
successive periods described above, on a per symbol basis, is excluded 
in calculating whether a Market Maker qualifies for this rebate.\7\
---------------------------------------------------------------------------

    \7\ In addition, the Exchange may exclude from any member's 
monthly Market Maker Plus tier calculation any Unanticipated Event; 
provided that the Exchange will only remove the day for members that 
would have a lower time at the NBBO for the specified series with 
the day included. See Options 7, Section 1(a)(2) for the definition 
of ``Unanticipated Event.''
---------------------------------------------------------------------------

Proposal
    The Exchange proposes to amend Tiers 1b, 2, 3 and Tier 4 of the 
Market Maker Plus qualifications for options overlying SPY, QQQ and 
IWM. Today, a Market Maker that is on the NBBO 65% to less than 80% of 
the time, on average for the month based on daily performance in the 
qualifying series, qualifies for the SPY, QQQ and IWM Tier 1b. Today, a 
Market Maker that is on the NBBO 80% to less than 85% of the time, on 
average for the month based on daily performance in the qualifying 
series, qualifies for the SPY, QQQ and IWM Tier 2. Today, a Market 
Maker that is on the NBBO 85% to less than 90% of the time, on average 
for the month based on daily performance in the qualifying series, 
qualifies for the SPY, QQQ and IWM Tier 3. Today, a Market Maker that 
is on the NBBO 90% or greater of the time, on average for the month 
based on daily performance in the qualifying series, qualifies for the 
SPY, QQQ and IWM Tier 4.
    The Exchange proposes to amend the SPY, QQQ and IWM Market Maker 
Plus qualifications for Tiers 1b, 2, 3 and Tier 4 by adding an 
alternative means to qualify for these tiers. The Exchange proposes for 
SPY, QQQ and IWM Tier 1b, that in addition to the current 
qualification, a Market Maker that is on the NBBO over 50% of the time, 
on average for the month based on daily performance in the qualifying 
series, and adds liquidity in the qualifying symbol that is executed at 
a volume of greater than 0.10% of Customer Total Consolidated Volume 
\8\ may also qualify for the SPY, QQQ and IWM Tier 1b. The Exchange 
proposes for SPY, QQQ and IWM Tier 2, that in addition to the current 
qualification, a Market Maker that is on the NBBO over 50% of the time, 
on average for the month based on daily performance in the qualifying 
series, and adds liquidity in the qualifying symbol that is executed at 
a volume of greater than 0.20% of Customer Total Consolidated Volume 
\9\ may also qualify for the SPY, QQQ and IWM Tier 2. The Exchange 
proposes for SPY, QQQ and IWM Tier 3, that in addition to the current 
qualification, a Market Maker that is on the NBBO over 50% of the time, 
on average for the month based on daily performance in the qualifying 
series, and adds liquidity in the qualifying symbol that is executed at 
a volume of greater than 0.25% of Customer Total Consolidated Volume 
\10\ may also qualify for the SPY, QQQ and IWM Tier 3. Additionally, 
the Exchange proposes for SPY, QQQ and IWM Tier 4, that in addition to 
the current qualification, a Market Maker that is on the NBBO over 50% 
of the time, on average for the month based on daily performance in the 
qualifying series, and adds liquidity in the qualifying symbol that is 
executed at a volume of greater than 0.50% of Customer Total 
Consolidated Volume \11\ may also qualify for the SPY, QQQ and IWM Tier 
4.\12\ The Exchange believes that these alternative qualifications for 
SPY, QQQ and IWM Tiers 1b, 2, 3 and 4 will provide greater depth of 
liquidity

[[Page 80850]]

in SPY, QQQ and IWM, and, in turn, attract additional volume on ISE.
---------------------------------------------------------------------------

    \8\ 0.10% of Customer Total Consolidated Volume is approximately 
22,000 contracts per day. Customer Total Consolidated Volume means 
the total national volume cleared at The Options Clearing 
Corporation in the Customer range in equity and ETF options in that 
month. See Options 7, Section 1(b).
    \9\ 0.20% of Customer Total Consolidated Volume is approximately 
44,000 contracts per day.
    \10\ 0.25% of Customer Total Consolidated Volume is 
approximately 55,000 contracts per day.
    \11\ 0.50% of Customer Total Consolidated Volume is 
approximately 110,000 contracts per day.
    \12\ For example, if a Market Maker adds 40,000 contracts of 
liquidity in SPY on ISE and the average Customer Total Consolidated 
Volume for the month is 20,000,000 per day, then the Market Maker 
would have a percentage of 0.20% (40,000 divided by 20,000,000) of 
Customer Total Consolidated Volume and would qualify for Tier 2 in 
SPY and would be entitled to the $0.18 per contract Regular Maker 
Rebate and the $0.15 per contract Linked Maker Rebate. The Exchange 
arrives at 40,000 contracts by accumulating all executed volume that 
added liquidity (including quotes and orders) by a particular Market 
Maker Participant in SPY.
---------------------------------------------------------------------------

    No rate changes are proposed for SPY, QQQ and IWM Tiers 1b, 2, 3 or 
4 for the Regular Maker Rebate or the Linked Maker Rebate.
    The Exchange also proposes to add a period at the end of Options 7, 
Section 3 after note 18 in the Pricing Schedule.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) of the Act,\13\ in general, and furthers the objectives of 
Sections 6(b)(4) and 6(b)(5) of the Act,\14\ in particular, in that it 
provides for the equitable allocation of reasonable dues, fees, and 
other charges among members and issuers and other persons using any 
facility, and is not designed to permit unfair discrimination between 
customers, issuers, brokers, or dealers.
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78f(b).
    \14\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------

    The Exchange's proposed changes to its Pricing Schedule are 
reasonable in several respects. As a threshold matter, the Exchange is 
subject to significant competitive forces in the market for options 
securities transaction services that constrain its pricing 
determinations in that market. The fact that this market is competitive 
has long been recognized by the courts. In NetCoalition v. Securities 
and Exchange Commission, the D.C. Circuit stated as follows: ``[n]o one 
disputes that competition for order flow is `fierce.' . . . As the SEC 
explained, `[i]n the U.S. national market system, buyers and sellers of 
securities, and the broker-dealers that act as their order-routing 
agents, have a wide range of choices of where to route orders for 
execution'; [and] `no exchange can afford to take its market share 
percentages for granted' because `no exchange possesses a monopoly, 
regulatory or otherwise, in the execution of order flow from broker 
dealers'. . ..'' \15\
---------------------------------------------------------------------------

    \15\ NetCoalition v. SEC, 615 F.3d 525, 539 (D.C. Cir. 2010) 
(quoting Securities Exchange Act Release No. 59039 (December 2, 
2008), 73 FR 74770, 74782-83 (December 9, 2008) (SR-NYSEArca-2006-
21)).
---------------------------------------------------------------------------

    The Commission and the courts have repeatedly expressed their 
preference for competition over regulatory intervention in determining 
prices, products, and services in the securities markets. In Regulation 
NMS, while adopting a series of steps to improve the current market 
model, the Commission highlighted the importance of market forces in 
determining prices and SRO revenues and, also, recognized that current 
regulation of the market system ``has been remarkably successful in 
promoting market competition in its broader forms that are most 
important to investors and listed companies.'' \16\
---------------------------------------------------------------------------

    \16\ Securities Exchange Act Release No. 51808 (June 9, 2005), 
70 FR 37496, 37499 (June 29, 2005) (``Regulation NMS Adopting 
Release'').
---------------------------------------------------------------------------

    Numerous indicia demonstrate the competitive nature of this market. 
For example, clear substitutes to the Exchange exist in the market for 
options security transaction services. The Exchange is only one of 
sixteen options exchanges to which market participants may direct their 
order flow. Within this environment, market participants can freely and 
often do shift their order flow among the Exchange and competing venues 
in response to changes in their respective pricing schedules. As such, 
the proposal represents a reasonable attempt by the Exchange to 
increase its liquidity and market share relative to its competitors.
    The Exchange's proposal to amend the SPY, QQQ and IWM Tiers 1b, 2, 
3 and Tier 4 qualifications by adding an alternative means \17\ to 
qualify for these tiers is reasonable. With respect to SPY, QQQ and 
IWM, Market Makers may continue to qualify for Tier 1b, by being on the 
NBBO 65% to less than 80% of the time, on average for the month based 
on daily performance in the qualifying series. Likewise, Market Makers 
may continue to qualify for SPY, QQQ and IWM Tier 2, by being on the 
NBBO 80% to less than 85% of the time, on average for the month based 
on daily performance in the qualifying series. Market Makers may 
continue to qualify for SPY, QQQ and IWM Tier 3 by being on the NBBO 
85% to less than 90% of the time, on average for the month based on 
daily performance in the qualifying series. Finally, Market Makers may 
continue to qualify for SPY, QQQ and IWM Tier 4 by being on the NBBO 
90% or greater of the time, on average for the month based on daily 
performance in the qualifying series. In summary, Market Makers that 
met the SPY, QQQ and IWM Tier 1b, 2, 3 or 4 qualifications last month 
would continue to qualify for those tiers, provided each trading day 
they continued to spend the same percentage of time on the NBBO for 
qualifying series. With this proposal, the Exchange believes that these 
alternative qualifications for SPY, QQQ and IWM in Tiers 1b, 2, 3 and 4 
will provide an opportunity for Market Makers to contribute greater 
depth of liquidity in SPY, QQQ and IWM on ISE, and, in turn, attract 
additional customer volume on ISE. The Exchange notes that the 
alternative qualifications, which require that Market Makers add 
liquidity in Customer volume, will incentivize Marker Makers to tighten 
their quotes to execute against an increased number of orders, which 
benefits all Members who may interact with that interest on ISE's Order 
Book.
---------------------------------------------------------------------------

    \17\ The Exchange proposes for SPY, QQQ and IWM Tier 1b, that in 
addition to the current qualification, a Market Maker that is on the 
NBBO over 50% of the time, on average for the month based on daily 
performance in the qualifying series, and adds liquidity in the 
qualifying symbol that is executed at a volume of greater than 0.10% 
of Customer Total Consolidated Volume may also qualify for the SPY, 
QQQ and IWM Tier 1b. The Exchange proposes for SPY, QQQ and IWM Tier 
2, that in addition to the current qualification, a Market Maker 
that is on the NBBO over 50% of the time, on average for the month 
based on daily performance in the qualifying series, and adds 
liquidity in the qualifying symbol that is executed at a volume of 
greater than 0.20% of Customer Total Consolidated Volume may also 
qualify for the SPY, QQQ and IWM Tier 2. The Exchange proposes for 
SPY, QQQ and IWM Tier 3, that in addition to the current 
qualification, a Market Maker that is on the NBBO over 50% of the 
time, on average for the month based on daily performance in the 
qualifying series, and adds liquidity in the qualifying symbol that 
is executed at a volume of greater than 0.25% of Customer Total 
Consolidated Volume may also qualify for the SPY, QQQ and IWM Tier 
3. Additionally, the Exchange proposes for SPY, QQQ and IWM Tier 4, 
that in addition to the current qualification, a Market Maker that 
is on the NBBO over 50% of the time, on average for the month based 
on daily performance in the qualifying series, and adds liquidity in 
the qualifying symbol that is executed at a volume of greater than 
0.50% of Customer Total Consolidated Volume may also qualify for the 
SPY, QQQ and IWM Tier 4.
---------------------------------------------------------------------------

    The Exchange's proposal to amend the SPY, QQQ and IWM Tiers 1b, 2, 
3 and Tier 4 qualifications by adding an alternative means to qualify 
for these tiers is equitable and not unfairly discriminatory. The 
proposal would continue to require Market Makers who qualify for the 
Market Maker Plus program to quote significantly at the NBBO, thereby 
continuing to contribute to market quality in a meaningful way. All 
Market Makers will be subject to the same qualification criteria for 
Market Maker Plus. The Exchange also continues to believe that it is 
not unfairly discriminatory to offer rebates under this program to only 
Market Makers. Market Makers, and in particular, those Market Makers 
that participate in the Market Maker Plus Program and achieve Market 
Maker Plus status, add value through continuous quoting \18\ and are 
subject to additional requirements and obligations (such as quoting 
obligations) \19\ that other market participants are not.
---------------------------------------------------------------------------

    \18\ See Options 2, Section 5.
    \19\ See Options 2, Section 4 and Options 3, Section 8(c).
---------------------------------------------------------------------------

    The Exchange will apply the proposed changes to SPY, QQQ, and IWM 
as they are three of the most actively traded symbols on ISE. The 
Exchange believes that providing an alternative means for Market Makers 
to qualify for Market Maker Plus tiers will

[[Page 80851]]

incentivize additional liquidity in these three names, which will have 
a beneficial impact on market quality on the Exchange. Further, the 
Exchange believes that the proposed new Tier 1b, 2, 3 and 4 
qualifications for SPY, QQQ, and IWM will continue to require Market 
Makers to quote at the NBBO for a significant percentage of time in 
order to glean the benefits of the associated incentives. For the 
foregoing reasons, the Exchange believes that its proposal will further 
encourage Market Makers to maintain tight markets in SPY, QQQ, and IWM, 
thereby increasing liquidity and attracting additional order flow to 
the Exchange and, will benefit all market participants in the quality 
of order interaction.

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.
    Inter-Market Competition
    The proposal does not impose an undue burden on inter-market 
competition. The Exchange believes its proposal remains competitive 
with other options markets and will offer market participants with 
another choice of where to transact options. The Exchange notes that it 
operates in a highly competitive market in which market participants 
can readily favor competing venues if they deem fee levels at a 
particular venue to be excessive, or rebate opportunities available at 
other venues to be more favorable. In such an environment, the Exchange 
must continually adjust its fees to remain competitive with other 
exchanges that have been exempted from compliance with the statutory 
standards applicable to exchanges. Because competitors are free to 
modify their own fees in response, and because market participants may 
readily adjust their order routing practices, the Exchange believes 
that the degree to which fee changes in this market may impose any 
burden on competition is extremely limited.
    Intra-Market Competition
    The Exchange's proposal to amend the SPY, QQQ and IWM Tiers 1b, 2, 
3 and Tier 4 qualifications by adding an alternative means \20\ to 
qualify for these tiers does not impose an undue burden on competition. 
The proposal would continue to require Market Makers who qualify for 
the Market Maker Plus program to quote significantly at the NBBO, 
thereby continuing to contribute to market quality in a meaningful way. 
All Market Makers will be subject to the same qualification criteria 
for Market Maker Plus. The Exchange also continues to believe that it 
is not unfairly discriminatory to offer rebates under this program to 
only Market Makers. Market Makers, and in particular, those Market 
Makers that participate in the Market Maker Plus Program and achieve 
Market Maker Plus status, add value through continuous quoting \21\ and 
are subject to additional requirements and obligations (such as quoting 
obligations \22\) that other market participants are not.
---------------------------------------------------------------------------

    \20\ See note 17 above.
    \21\ See Options 2, Section 5.
    \22\ See Options 2, Section 4 and Options 3, Section 8(c).
---------------------------------------------------------------------------

    The Exchange will apply the proposed changes to SPY, QQQ, and IWM 
as they are three of the most actively traded symbols on ISE. The 
Exchange believes that providing an alternative means for Market Makers 
to qualify for Market Maker Plus tiers will incentivize additional 
liquidity in these three names which will have a beneficial impact on 
market quality on the Exchange. Further, the Exchange believes that the 
proposed new Tier 1b, 2, 3 and 4 qualifications for SPY, QQQ, and IWM 
will continue to require Market Makers to quote at the NBBO for a 
significant percentage of time in order to glean the benefits of the 
associated incentives. For the foregoing reasons, the Exchange believes 
that its proposal will further encourage Market Makers to maintain 
tight markets in SPY, QQQ, and IWM, thereby increasing liquidity and 
attracting additional order flow to the Exchange, which will benefit 
all market participants in the quality of order interaction.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Act \23\ and Rule 19b-4(f)(2) \24\ thereunder. 
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: (i) Necessary or 
appropriate in the public interest; (ii) for the protection of 
investors; or (iii) 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.
---------------------------------------------------------------------------

    \23\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \24\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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-ISE-2020-40 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-ISE-2020-40. 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

[[Page 80852]]

Number SR-ISE-2020-40 and should be submitted on or before January 4, 
2021.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\25\
---------------------------------------------------------------------------

    \25\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-27390 Filed 12-11-20; 8:45 am]
BILLING CODE 8011-01-P