[Federal Register Volume 91, Number 89 (Friday, May 8, 2026)]
[Notices]
[Pages 25393-25397]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-09122]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-105365; File No. SR-ISE-2026-22]
Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Filing
of Proposed Rule Change To Permit the Listing of A.M.-Settled Options
on the Nasdaq-100 Index That Expire on Any Monday, Tuesday, Wednesday,
Thursday, or Friday (Other Than the Third Friday-of-the-Month or Days
That Coincide With an End-of-Month Expiration) and Expire on the Last
Trading Day of the Month
May 5, 2026.
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 28, 2026, Nasdaq ISE, LLC (``ISE'' 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 permit the listing of A.M.-settled options
on the Nasdaq-100[supreg] Index \3\ (``NDX'' or ``NDX options'') that
expire (1) on any Monday, Tuesday, Wednesday, Thursday, or Friday
(other than the third Friday-of-the-month or days that coincide with an
end-of-month expiration) and (2) the last trading day of the month.
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\3\ The Nasdaq-100 Index is a modified market capitalization-
weighted index. A description of the Nasdaq-100 Index is available
on Nasdaq's website at https://indexes.nasdaqomx.com/docs/methodology_NDX.pdf. The Nasdaq-100 Index is a broad-based index, as
defined in Options 4A, Section 3. See also: https://www.nasdaq.com/NDX_NDXP_Factsheet.
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The text of the proposed rule change is available on the Exchange's
website at https://listingcenter.nasdaq.com/rulebook/ise/rulefilings,
and at the principal office of the Exchange.
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
[[Page 25394]]
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 its rules to permit the listing of
A.M.-settled NDX options that expire (1) on any Monday, Tuesday,
Wednesday, Thursday, or Friday (other than the third Friday-of-the-
month or days that coincide with an end-of-month expiration) (``A.M.-
settled Weekly Expirations'') and (2) on the last trading day of the
month (``EOMs'' or ``EOM Expirations'').
Background
When cash-settled \4\ index options were first introduced in the
1980s, they generally utilized closing-price settlement procedures
(i.e., P.M.-settlement).\5\ At the time, the Commission was concerned
with the impact of P.M.-settled, cash-settled index options on the
underlying cash equities markets, and in particular, added market
volatility and sharp price movements near the close on expiration
days.\6\ These concerns were particularly heightened during the
``triple-witching'' hour on the third Friday of March, June, September,
and December when index options, index futures, and options on index
futures expired concurrently.\7\ Academic research at the time provided
at least some evidence suggesting that futures and options expirations
contributed to excess volatility and reversals around the close on
those days.\8\ In light of the concerns with P.M.-settlement and to
help ameliorate the price effects associated with expirations of P.M.-
settled, cash-settled index products, in 1987, the Commodity Futures
Trading Commission approved a proposed rule change by the Chicago
Mercantile Exchange (``CME'') to provide for A.M.-settlement \9\ for
index futures, including futures on the S&P 500 Index.\10\ The
Commission subsequently approved a proposed rule change by Cboe
Exchange, Inc. (``Cboe'') to list and trade a.m.- settled options on
the S&P 500 Index.\11\ In 1992, the Commission approved Cboe's proposal
to transition all of its European-style cash-settled options on the S&P
500 Index to A.M.-settlement.\12\
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\4\ The seller of a ``cash-settled'' index option pays out the
cash value of the applicable index on expiration or exercise. A
``physical delivery'' option, like equity and ETF options, involves
the transfer of the underlying asset rather than cash. See
Characteristics and Risks of Standardized Options, available at:
https://www.theocc.com/Company-Information/Documents-and-Archives/Options-Disclosure-Document.
\5\ See Securities Exchange Act Release No. 65256 (September 2,
2011), 76 FR 55969, at 55972 (September 9, 2011) (SR-C2-2011-008)
(Order approving proposed rule change to establish a pilot program
to list and trade SPXPM options on the C2 Options Exchange,
Incorporated).
\6\ See id.
\7\ See id.
\8\ See Securities and Exchange Commission, Division of Economic
Risk and Analysis, Memorandum dated February 2, 2021 on Cornerstone
Analysis of PM Cash-Settled Index Option Pilots (September 16, 2020)
(``Pilot Memo'') at 5, available at: https://www.sec.gov/files/Analysis_of_PM_Cash_Settled_Index_Option_Pilots.pdf (citing, among
other papers, Stoll, Hans R., and Robert E. Whaley, ``Expiration day
effects of index options and futures,'' Monograph Series in Finance
and Economics, no. 3 (1986)).
\9\ The term ``A.M.-settled index option'' means an index
options contract for which the current index value at expiration
shall be determined as provided in Options 4A, Section 12(a)(5). See
Options 4A, Section 2(c).
\10\ See Proposed Amendments Relating to the Standard and Poor's
500, the Standard and Poor's 100 and the Standard Poor's OTC Stock
Price Index Futures Contract, 51 FR 47053 (December 30, 1986)
(notice of proposed rule change from the CME). See also Securities
Exchange Act Release No. 24367 (April 17, 1987), 52 FR 13890 (April
27, 1987) (SR-CBOE-87-11) (noting that the CME moved the S&P 500
futures contract's settlement value to opening prices on the
delivery date).
\11\ See Securities Exchange Act Release No. 24367 (April 17,
1987), 52 FR 13890 (April 27, 1987) (SR-CBOE-87-11).
\12\ See Securities Exchange Act Release No. 30944 (July 21,
1992), 57 FR 33376 (July 28, 1992) (SR-CBOE-92-09). The Commission
also approved proposals by other options markets to transfer most of
their cash-settled index products to A.M.-settlement. See, e.g.,
Securities Exchange Act Release No. 25804 (June 15, 1988), 53 FR
23475 (June 22, 1988) (SR-NYSE-87-11 and 88-04).
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In 1993, the Commission approved a proposed rule change allowing
Cboe to list P.M.- settled options on certain broad-based indexes,
including the S&P 500, expiring at the end of each calendar quarter
(since approved as permanent).\13\ Starting in 2006, the Commission
approved a number of proposals, on a pilot basis, permitting Cboe and
other options exchanges to introduce other index options with P.M.-
settlement.\14\ These include P.M.-settled index options expiring
weekly (other than the third Friday) and at the end of each month.\15\
Subsequently, other exchanges, including ISE, sought to permit the
listing and trading of p.m.-settled options on certain broad-based
indices. In February 2018, the Commission approved ISE's nonstandard
expirations pilot program on a pilot basis (``Nonstandard Pilot'').\16\
Specifically, ISE was permitted to open for trading Weekly Expirations
on any broad-based index eligible for standard options trading to
expire on any Monday, Wednesday, or Friday (other than the third
Friday-of-the-month or days that coincide with an EOM expiration).\17\
The Commission subsequently approved a proposed rule change to amend
the Nonstandard Expirations Program to allow the Exchange to also list
P.M.-settled Tuesday and Thursday expirations on the Nasdaq-100.\18\ In
2023, ISE received approval for P.M.-settled index options expiring on
the third Friday-of-the-month.\19\
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\13\ See Securities Exchange Act Release No. 31800 (February 1,
1993), 58 FR 7274 (February 5, 1993) (SR-CBOE-92-13). See also
Securities Exchange Act Release Nos. 54123 (July 11, 2006), 71 FR
40558 (July 17, 2006) (SR-CBOE-2006-65); and 60164 (June 23, 2009),
74 FR 31333 (June 30, 2009) (SR-CBOE-2009-029).
\14\ In 2006, the Commission approved a proposed rule change
allowing the then International Securities Exchange, Inc. to list
and trade options series on indexes or on Exchange Traded Fundsthat
that expire at the close of business (P.M.-settled) on the last day
of a calendar quarter (``Quarterly Options Series''). See Securities
Exchange Act Release No. 60275 (July 9, 2009), 74 FR 34809 (July 17,
2009) (SR-ISE-2009-50) (Notice of Filing and Immediate Effectiveness
of Proposed Rule Change To Permanently Establish the Quarterly
Options Series Pilot Program).
\15\ See Securities Exchange Act Release Nos. 62911 (September
14, 2010), 75 FR 57539 (September 21, 2010) (SR-CBOE-2009-075);
76529 (November 30, 2015), 80 FR 75695 (December 3, 2015) (SR-CBOE-
2015-106); and 78531 (August 10, 2016), 81 FR 54643 (August 16,
2016) (SR-CBOE-2016-046).
\16\ See Securities Exchange Act Release No. 92612 (February 1,
2018), 83 FR 5470 (February 7, 2018) (SR-ISE-2017-111).
\17\ See id.
\18\ See Securities Exchange Act Release No. 95393 (July 29,
2022), 87 FR 47807 (August 4, 2022) (SR-ISE-2022-13).
\19\ See Securities Exchange Act Release No. 98643 (September
29, 2023), 88 FR 68841 (October 4, 2023) (SR-ISE-2023-20).
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Current Rules
Currently, under the Nonstandard Expirations Program set forth in
Supplementary Material .07(a) to Options 4A, Section 12, the Exchange
may open for Weekly Expirations on any broad-based index eligible for
standard options trading to expire on any Monday, Tuesday, Wednesday,
Thursday or Friday (other than the third Friday-of-the-month or days
that coincide with an EOM expiration). Further, under its current
rules, the Exchange may open for trading standard monthly expirations
with A.M.-settlement on the third Friday-of the-month,\20\ Weekly
Expirations with P.M.-
[[Page 25395]]
settlement \21\ (including P.M.-settled Third Friday Index Options);
\22\ and EOM expirations with P.M.-settlement.\23\
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\20\ See Options 4A, Section 12(a)(3) and (4).
\21\ See Supplementary Material .07(a) to Options 4A, Section
12.
\22\ See Options 4A, Section 12(a)(6)(i).
\23\ See Supplementary Material .07(b) to Options 4A, Section
12.
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Proposal
The Exchange now proposes to amend its rules to permit the listing
of A.M.-settled Weekly and EOM Expirations on NDX options.
The Exchange proposes to amend Supplementary Material .07 to
Options 4A, Section 12 which governs its Nonstandard Expirations
Program, to permit A.M.-settled NDX options that expire (1) on any
Monday, Tuesday, Wednesday, Thursday, or Friday (other than the third
Friday-of-the-month (``Expiration Friday'') or days that coincide with
an EOM expiration) (``A.M.- settled Weekly Expirations'') and (2) EOMs.
A.M.-settled Weekly Expirations and EOM Expirations on NDX are
subject to all provisions of Options 4A, Section 12 and treated the
same as A.M.-settled options on NDX that expire on the third Friday of
the expiration month, as well as P.M.-settled Weekly and EOM NDX
options. The maximum number of expirations that may be listed for each
A.M.-settled Weekly Expiration on NDX options (i.e., a A.M.-settled
Monday expiration, A.M.-settled Tuesday expiration, A.M.-settled
Wednesday expiration, A.M.-settled Thursday Expiration, or A.M.-settled
Friday expiration, as applicable) \24\ and each A.M.-settled EOM
Expiration on NDX options is the same as the maximum number of
expirations permitted in Options 4A, Section 12(a)(3) for standard
options on NDX. A.M.-settled Weekly Expirations on NDX need not be for
consecutive Monday, Tuesday, Wednesday, Thursday, or Friday expirations
as applicable; however, the expiration date of a nonconsecutive
expiration may not be beyond what would be considered the last
expiration date if the maximum number of expirations were listed
consecutively. A.M.-settled Weekly Expirations that are first listed in
NDX options may expire up to four weeks from the actual listing date.
Similarly, A.M.-settled EOMs on NDX need not be for consecutive end of
month expirations; however, the expiration date of a non-consecutive
expiration may not be beyond what would be considered the last
expiration date if the maximum number of expirations were listed
consecutively. A.M.-settled EOMs that are first listed in NDX options
may expire up to four weeks from the actual listing date. If the
Exchange lists A.M.-settled EOMs and A.M.-settled Weekly Expirations on
NDX, the Exchange will list an A.M.-settled EOM instead of an A.M.-
settled Weekly Expiration that expires on the same day in the given
class. Other expirations in the same class are not counted as part of
the maximum number of Weekly or EOM Expirations for NDX.
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\24\ As part of the proposed changes, the Exchange proposes
conforming amendments to Supplementary Material .07(a) and (b) to
Options 4A, Section 12 to replace certain existing references to
``Weekly Expirations'' with ``P.M.-settled Weekly Expirations,'' to
reflect that those provisions are applicable to P.M.-settled options
series and to distinguish them from the A.M.-settled Weekly
Expirations proposed. For the avoidance of doubt, there are no
changes to the P.M.-settled Weekly Expirations or EOMs as a result
of the proposed change. The Exchange also proposes to remove
language stating that Weekly Expirations and EOMs shall be P.M-
settled.
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If the Exchange is not open for business on a respective Monday,
the normally Monday expiring Weekly Expirations will expire on the
following business day. If the Exchange is not open for business on a
respective Tuesday, Wednesday, Thursday, or Friday, the normally
Tuesday, Wednesday, Thursday, or Friday expiring Weekly Expirations
will expire on the previous business day. If two different Weekly
Expirations on an index would expire on the same day because the
Exchange is not open for business on a certain weekday, the Exchange
will list only one of such Weekly Expirations.
The Exchange believes that the introduction of A.M.-settled Weekly
Expirations and EOMs on NDX options will provide market participants
with additional hedging tools and greater trading opportunities. By
offering expanded expirations along with the current standard A.M.-
settled expirations (as well as P.M.-settled weekly, monthly and
quarterly expirations), the proposed rule change will allow market
participants to purchase options on NDX available for trading on the
Exchange in a manner more aligned with specific timing needs (such as
to hedge special events) and more effectively tailor their investment
and hedging strategies and manage their portfolios.
The Exchange believes that expanding the NDX options offering to
include A.M.-Settled Weekly and EOM Expirations would allow market
participants to purchase an option based on their needed timing and
allow them to tailor their investment or hedging needs more
effectively. Further, the Exchange believes there is sufficient
investor interest and demand in A.M-settled Weekly and EOM Expirations
on NDX options to inclusion in the Nonstandard Expirations Program and
in the Rules, and that the Nonstandard Expirations Program and the
Rules, as amended, will continue to provide investors with additional
means of managing their risk exposures and carrying out their
investment objectives.
With regard to the impact of this proposal on system capacity, the
Exchange has analyzed its capacity and represents that it believes that
the Exchange has the necessary systems capacity to handle any potential
additional traffic associated with trading of A.M-Settled Weekly
Expirations and EOM Expirations for NDX options. The Options Price
Reporting Authority (``OPRA'') also informed the Exchange it believes
it has the necessary systems capacity to handle the additional traffic
associated with the listing of A.M-Settled Weekly Expirations and EOM
Expirations for NDX options that would result from this proposed rule
change.
The Exchange does not believe that its Members will experience any
capacity issues as a result of this proposal and represents that it
will monitor the trading volume associated with any possible additional
NDX options series listed as a result of this proposal and the effect
(if any) of these additional series on market fragmentation and on the
capacity of the Exchange's automated systems.
In addition to this, the Exchange believes that its existing
surveillance and reporting safeguards in place are adequate to deter
and detect possible manipulative behavior which might arise from
listing and trading A.M-settled Weekly and EOM Expirations for NDX
options (as the Exchange currently applies these to NDX options that
are A.M.-settled with standard expirations, as well as P.M.-settled
with weekly, monthly and quarterly expirations) and will support the
protection of investors and the public interest. Furthermore, the
trading of A.M-settled Weekly and EOM Expirations for NDX options will
be subject to the same rules that currently govern the trading of these
options with other expirations, including governing customer accounts,
position and exercise limits,\25\ margin requirements and trading halt
procedures, among other Rules, which are designed to prevent fraudulent
and manipulative acts and practices.
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\25\ There are no position limits for NDX Options pursuant to
Options 4A, Section 6(a).
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In response to any potential concerns that disruptive trading
conduct could occur as a result of the concurrent
[[Page 25396]]
listing and trading of two index option products based on the same
index but for which different settlement methodologies exist (i.e., one
is A.M.-settled and one is P.M.-settled), the Exchange notes that Cboe,
for roughly five years (1987 to 1992), listed and traded an A.M.-
settled S&P 500 index option under symbol NSX at the same time it
listed and traded a P.M.-settled S&P 500 index option under symbol SPX,
and Cboe noted that it did not observe any market disruptions as a
result of offering both products.\26\
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\26\ See Securities Exchange Act Release No. 105320 (April 28,
2026) (not yet published) (SR-Cboe-2026-044). Further, Cboe noted in
its rule proposal that currently A.M.-settled SPX options and P.M.-
settled SPX options trade under different symbols (i.e., SPX and
SPXW, respectively).
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The adoption of trading of A.M-settled Weekly and EOM Expirations
on the Nasdaq-100 Index on the same exchange as A.M.-settled (with
standard expirations) and P.M-settled options on the Nasdaq-100 Index
would provide greater spread opportunities. This manner of trading
allows a market participant to take advantage of the different
expiration times, which provides expanded trading opportunities. In the
options market currently, market participants regularly trade similar
or related products in conjunction with each other, which contributes
to overall market liquidity.
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\27\ in general, and furthers the objectives of Section
6(b)(5) of the Act,\28\ in particular, in that it is 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) \29\ requirement that the rules of an exchange not be
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers.
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\27\ 15 U.S.C. 78f(b).
\28\ 15 U.S.C. 78f(b)(5).
\29\ 15 U.S.C. 78(f)(b)(5).
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In particular, the Exchange believes that the proposed rule change
will 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. The Exchange believes that the
introduction of A.M-settled Weekly and EOM Expirations for NDX options
will provide investors with expanded hedging tools and greater trading
opportunities. As a result, investors will have additional means to
manage their risk exposures and carry out their investment objectives.
By offering expanded expirations along with the current standard A.M.-
settled expirations (as well as P.M.-settled weekly, monthly and
quarterly expirations), the proposed rule change will allow market
participants to purchase options on NDX available for trading on the
Exchange in a manner more aligned with specific timing needs (such as
to hedge special events) and more effectively tailor their investment
and hedging strategies and manage their portfolios. For example, the
proposed rule change will allow market participants to spread risk
across more trading days and incorporate daily changes in the markets,
which may reduce the premium cost of buying protection. The Exchange
represents that it believes that it has the necessary systems capacity
to support any additional traffic associated with trading of A.M-
settled Weekly and EOM Expirations for NDX options and does not believe
that its Members will experience any capacity issues as a result of
this proposal.
The Exchange does not believe that the addition of A.M-settled
Weekly and EOM Expirations for NDX options to the Nonstandard
Expirations Program will raise any prohibitive regulatory concerns, nor
adversely impact fair and orderly markets on expiration days. The
Exchange has not experienced any meaningful regulatory concerns, nor
adverse impact on fair and orderly markets, in connection with these
programs, nor with the listing of standard A.M.-settled expirations for
NDX options along with P.M.-settled expirations, (as the Exchange
currently does) and is unaware of any reason why adding A.M.-settled
options with expirations each day of the week for NDX options would be
create such concerns or impact. Particularly, the Exchange does not
believe increases in the number of options series and expirations will
have any significant adverse economic impact on the futures, index, or
underlying index component securities markets. The Exchange believes
that the proposed rule change will provide investors with greater
trading and hedging opportunities and flexibility, allowing them to
transact in NDX options in a manner more aligned with specific timing
needs and more effectively tailor their investment and hedging
objectives by listing these A.M-settled options that expire each
trading day of the week, in addition to options that expire at on the
third Friday-of-the-month or that are P.M-settled and expire daily,
monthly and quarterly (which, as noted above, the Exchange may already
do pursuant to separate listing programs in the Rules).
The Commission previously recognized the benefits of A.M-settlement
for broad-based index options when it approved Cboe Options' proposal
to transition most of its cash-settled index options, including on the
S&P 500 Index, to A.M.-settlement.\30\ Specifically, the Commission
identified several advantages of opening price settlement, including:
(1) the ability to facilitate contra-side interest to alleviate order
imbalances caused by the unwinding of index-related positions, without
requiring market participants to assume overnight or weekend position
risk; (2) providing market participants the remainder of the trading
day to adjust to price movements resulting from expiration activity and
assess whether those movements reflect changes in fundamental value or
short-term supply and demand; and (3) allowing stock positions
associated with expiring contracts to benefit from orderly opening
procedures designed to facilitate price discovery.\31\
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\30\ See Securities Exchange Act Release No. 30944 (July 21,
1992), 57 FR 33376 (July 28, 1992) (SRCBOE-92-09). Thereafter, the
Commission approved proposals by the options markets to transfer
most of their cash-settled index products to A.M. settlement.
\31\ See Securities Exchange Act Release No. 30944 (July 21,
1992), 57 FR 33376 (July 28, 1992) (SRCBOE-92-09). Thereafter, the
Commission approved proposals by the options markets to transfer
most of their cash-settled index products to A.M. settlement.
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The Exchange believes the benefits set forth by the Commission are
not unique to standard monthly expirations. Specifically, as daily and
end-of-month P.M.-settled NDX expirations have grown in prominence, the
same concerns regarding order imbalance and price discovery could arise
at any expiration (not just the third Friday of each month).
Accordingly, the Exchange believes that extending A.M.-settlement to
daily and end-of-month expirations is consistent with the Commission's
own rationale, and would provide market participants with those same
protections across the full expiration calendar.
Finally, the Exchange believes its proposal to introduce changes to
specify between A.M.-settled Weekly Expirations and P.M.-settled Weekly
Expirations are reasonable, as they
[[Page 25397]]
provide clarity within the Exchange rules, thereby mitigating potential
investor confusion.
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 that is not necessary or appropriate
in furtherance of the purposes of the Act.
The Exchange does not believe that the proposed rule change will
impose any burden on intra-market competition that is not necessary or
appropriate in furtherance of the purposes of the Act because A.M.-
settled NDX options with Weekly and EOM Expirations will be available
to all market participants. By listing NDX options with these
expirations (in addition to the standard Expiration Friday expirations
(A.M.-settled) and weekly and EOM expirations (P.M.-settled) that are
currently listed), the proposed rule change will provide all investors
that participate in the markets for these index options available for
trading on the Exchange with greater trading and hedging opportunities
and flexibility to meet their investment and hedging needs.
The Exchange does not believe that the proposal to list A.M.-
settled NDX options with Weekly and EOM Expirations will impose any
burden on intermarket competition that is not necessary or appropriate
in furtherance of the purposes of the Act because these options are
proprietary Exchange products. To the extent that the addition of these
expirations for NDX options makes the Exchange a more attractive
marketplace to market participants at other exchanges, such market
participants are free to elect to become market participants on the
Exchange. Further, to other exchanges offer ``nonstandard'' expirations
\32\ for index options and are welcome to similarly propose to list
options on those index or equity products with similar expirations as
proposed herein. Finally, as noted above, NDX options with these
expirations will trade in the same manner as other options with these
expirations.
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\32\ Cboe's Nonstandard Expirations Program, set forth in Rule
4.13(e), permits Cboe to open for trading (1) Weekly Expirations on
any broad-based index eligible for standard options trading and on
CBTX, MBTX, and the Cboe Magnificent 10 Index to expire on any
Monday, Tuesday, Wednesday, Thursday, or Friday (other than the
third Friday-of-the-month or days that coincide with an EOM
expiration) and (2) EOMs on any broad-based index eligible for
standard options trading and on CBTX, MBTX, and the Cboe Magnificent
10 Index to expire on last trading day of the month.
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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
Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days (i) as the
Commission may designate if it finds such longer period to be
appropriate and publishes its reasons for so finding or (ii) as to
which the self-regulatory organization consents, the Commission will:
(A) by order approve or disapprove such proposed rule change, or
(B) institute proceedings to determine whether the proposed rule
change should be 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 (https://www.sec.gov/rules/sro.shtml); or
Send an email to [email protected]. Please include
file number SR-ISE-2026-22 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-2026-22. 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 (https://www.sec.gov/rules/sro.shtml). Copies of the filing will be available for inspection and
copying at the principal office of the Exchange. Do not include
personal identifiable information in submissions; you should submit
only information that you wish to make available publicly. We may
redact in part or withhold entirely from publication submitted material
that is obscene or subject to copyright protection. All submissions
should refer to file number SR-ISE-2026-22 and should be submitted on
or before May 29, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\33\
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\33\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2026-09122 Filed 5-7-26; 8:45 am]
BILLING CODE 8011-01-P