Notice2026-01373

Self-Regulatory Organizations; Fixed Income Clearing Corporation; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Modify the Schedule of ACS Triparty Trade Timeframes

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Published
January 26, 2026

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 91 Issue 16 (Monday, January 26, 2026)</title>
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[Federal Register Volume 91, Number 16 (Monday, January 26, 2026)]
[Notices]
[Pages 3256-3257]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-01373]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-104642; File No. SR-FICC-2026-001]


Self-Regulatory Organizations; Fixed Income Clearing Corporation; 
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change 
To Modify the Schedule of ACS Triparty Trade Timeframes

January 21, 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 January 15, 2026, Fixed Income Clearing Corporation (``FICC'') filed 
with the Securities and Exchange Commission (``Commission'') the 
proposed rule change as described in Items I, II and III below, which 
Items have been prepared by the clearing agency. FICC filed the 
proposed rule change pursuant to Section 19(b)(3)(A) of the Act \3\ and 
Rule 19b-4(f)(4) thereunder.\4\ The Commission is publishing this 
notice to solicit comments on the proposed rule change from interested 
persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(4).
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I. Clearing Agency's Statement of the Terms of Substance of the 
Proposed Rule Change

    The proposed rule change consists of modifications to the FICC 
Government Securities Division (``GSD'') Rulebook (``Rules'') \5\ to 
extend the deadline set forth in the Schedule of ACS Triparty Trade 
Timeframes for (i) substitutions of Purchased ACS Triparty Repo 
Securities, and (ii) satisfaction of ACS Triparty Collateral Return 
Obligations and cash payment obligations associated with ACS Triparty 
Collateral Return Entitlements by ACS Triparty Funds Lenders and ACS 
Triparty Funds Borrowers.
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    \5\ Capitalized terms not defined herein are defined in the 
Rules, available at <a href="http://www.dtcc.com/legal/rules-and-procedures">http://www.dtcc.com/legal/rules-and-procedures</a>.
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis 
for, the Proposed Rule Change

    In its filing with the Commission, the clearing agency 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 clearing agency has prepared summaries, 
set forth in sections A, B, and C below, of the most significant 
aspects of such statements.

(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis 
for, the Proposed Rule Change

1. Purpose
    FICC is proposing to extend the deadlines set forth in the Schedule 
of ACS Triparty Trade Timeframes for (i) substitutions of Purchased ACS 
Triparty Repo Securities, and (ii) satisfaction of ACS Triparty 
Collateral Return Obligations and cash payment obligations associated 
with ACS Triparty Collateral Return Entitlements by ACS Triparty Funds 
Lenders and ACS Triparty Funds Borrowers. The current deadline for 
these actions is 5:30 p.m., and the proposal would move this deadline 
to 7:00 p.m. (New York City times).
    The proposed later deadline would align these deadlines with the 
close of the Fedwire Funds Service at the Federal Reserve Bank of New 
York and would also align with the deadline for full settlement of the 
Start Leg of the ACS Triparty Trade in order for such ACS Triparty 
Trade to be Novated on that day, which was recently adopted at 7:00 
p.m.\6\
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    \6\ Securities Exchange Act Release No. 104492 (Dec. 22, 2025), 
90 FR 61200 (Dec. 30, 2025) (SR-FICC-2025-021).
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    This proposed change would also align these deadlines with the 
parallel deadlines applicable to Sponsored GC Trades, as set forth in 
the Schedule of Sponsored GC Trade Timeframes, which were also recently 
extended to 7:00 p.m.\7\
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    \7\ Securities Exchange Act Release No. 104374A (Dec. 12, 2025), 
90 FR 59225 (Dec. 18, 2025) (SR-FICC-2025-019).
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Implementation Timeframe
    FICC would implement the proposed rule change on January 26, 2026.
2. Statutory Basis
    Section 17A(b)(3)(F) of the Act requires, in part, that the Rules 
be designed to promote the prompt and accurate clearance and settlement 
of securities transactions and to protect investors and the public 
interest.\8\ FICC believes the proposed rule change is consistent with 
Section 17A(b)(3)(F) of the Act.
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    \8\ 15 U.S.C. 78q-1(b)(3)(F).
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    As described above, the proposed rule change would extend the 
deadline for GSD Members using the ACS Triparty Service to submit 
substitutions of Purchased ACS Triparty Repo Securities, and satisfy 
ACS Triparty Collateral Return Obligations and cash payment obligations 
associated with

[[Page 3257]]

ACS Triparty Collateral Return Entitlements by ACS Triparty Funds 
Lenders and ACS Triparty Funds Borrowers. By providing users of the ACS 
Triparty Service with more time to complete these end of day actions, 
the proposed change would further facilitate the settlement of 
activity. Therefore, FICC believes that the proposed rule change would 
help promote the prompt and accurate clearance and settlement of 
securities transactions, consistent with the requirements of the Act, 
in particular Section 17A(b)(3)(F) of the Act.\9\
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    \9\ Id.
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(B) Clearing Agency's Statement on Burden on Competition

    Section 17A(b)(3)(I) of the Act \10\ requires that the rules of the 
clearing agency do not impose any burden on competition not necessary 
or appropriate in furtherance of the Act. FICC does not believe that 
the proposed rule change would impose a burden or otherwise have a 
significant impact on competition. As described above, the proposed 
rule change would extend the deadlines for Members using the ACS 
Triparty Service to take certain end of day actions with respect to ACS 
Triparty Service activity. These extended deadlines would facilitate 
the settlement of activity and would apply to all Members using this 
service. Thus, the proposed rule change should not have any competitive 
impact on Members or their use of FICC's services.
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    \10\ 15 U.S.C. 78q-1(b)(3)(I).
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(C) Clearing Agency's Statement on Comments on the Proposed Rule Change 
Received From Members, Participants, or Others

    FICC has not received or solicited any written comments relating to 
this proposal. If any written comments are received, they will be 
publicly filed as an Exhibit 2 to this filing, as required by Form 19b-
4 and the General Instructions thereto.
    Persons submitting comments are cautioned that, according to 
Section IV (Solicitation of Comments) of the Exhibit 1A in the General 
Instructions to Form 19b-4, the Commission does not edit personal 
identifying information from comment submissions. Commenters should 
submit only information that they wish to make available publicly, 
including their name, email address, and any other identifying 
information.
    All prospective commenters should follow the Commission's 
instructions on how to submit comments, available at <a href="http://www.sec.gov/rules-regulations/how-submit-comment">www.sec.gov/rules-regulations/how-submit-comment</a>. General questions regarding the rule 
filing process or logistical questions regarding this filing should be 
directed to the Main Office of the Commission's Division of Trading and 
Markets at <a href="/cdn-cgi/l/email-protection#4135332025282f26202f252c20332a243532013224226f262e37"><span class="__cf_email__" data-cfemail="d3a7a1b2b7babdb4b2bdb7beb2a1b8b6a7a093a0b6b0fdb4bca5">[email&#160;protected]</span></a> or 202-551-5777.
    FICC reserves the right to not respond to any comments 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) of the Act \11\ and paragraph (f) of Rule 19b-4 
thereunder.\12\ 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.
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    \11\ 15 U.S.C. 78s(b)(3)(A).
    \12\ 17 CFR 240.19b-4(f).
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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

    <bullet> Use the Commission's internet comment form (<a href="http://www.sec.gov/rules/sro.shtml">www.sec.gov/rules/sro.shtml</a>); or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#5c2e293039713f3331313932282f1c2f393f723b332a"><span class="__cf_email__" data-cfemail="91e3e4fdf4bcf2fefcfcf4ffe5e2d1e2f4f2bff6fee7">[email&#160;protected]</span></a>. Please include 
File Number SR-FICC-2026-001 on the subject line.

Paper Comments

    <bullet> Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE, Washington, DC 20549.

All submissions should refer to File Number SR-FICC-2026-001. 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 (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>). Copies of the filing will be available for inspection and 
copying at the principal office of FICC and on DTCC's website (<a href="https://www.dtcc.com/legal/sec-rule-filings.aspx">https://www.dtcc.com/legal/sec-rule-filings.aspx</a>). 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-FICC-2026-001 and should be submitted on or 
before February 17, 2026.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\13\
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    \13\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-01373 Filed 1-23-26; 8:45 am]
BILLING CODE 8011-01-P


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