Federal Register #SR-CboeBZX-2026-055

SEC Notice: Cboe BZX Exchange Proposed Rule Change for ETP IPO Auction Collar Price Adjustment

This notice from the Securities and Exchange Commission (SEC) addresses a proposed rule change by Cboe BZX Exchange, Inc. regarding ETP IPO auction procedures. - Government buyer: - Securities and Exchange Commission (SEC) - OEMs and vendors mentioned: - Cboe BZX Exchange, Inc. - Nasdaq (referenced for similar rule) - Products/services requested: - No products, part numbers, or purchase quantities are requested - No services are being procured - Unique or notable requirements: - The proposed rule change would allow Cboe BZX Exchange to adjust the issue price of an Exchange-Traded Product (ETP) IPO security for the purpose of applying the collar price range during ETP IPO auctions - The adjustment is intended to ensure the collar price range reflects current market conditions, especially during market volatility or when external data sources change - The rule is modeled after a similar provision adopted by Nasdaq - The goal is to promote fair and orderly price discovery in ETP IPO auctions - This is not a procurement opportunity and does not involve the purchase of goods or services

Description

The Securities and Exchange Commission published a notice regarding a proposed rule change by Cboe BZX Exchange, Inc. The rule change explicitly authorizes the exchange to adjust the issue price of an Exchange-Traded Product (ETP) IPO security to apply the collar price range during an ETP IPO auction. This adjustment is intended to reflect current market conditions more accurately when the original issue price does not. The rule change is effective immediately upon publication.

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