Notice2026-07776

Reopening of Comment Period; Notice of Request for Exemptive Relief, Pursuant to Section 36(a) of the Securities Exchange Act of 1934, From Certain Aspects of Rule 17ad-22(e)(18)(iv) of the Securities Exchange Act of 1934 and Request for Comment

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Published
April 22, 2026

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 91 Issue 77 (Wednesday, April 22, 2026)</title>
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[Federal Register Volume 91, Number 77 (Wednesday, April 22, 2026)]
[Notices]
[Pages 21584-21585]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-07776]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-105261; File No. S7-2026-07]


Reopening of Comment Period; Notice of Request for Exemptive 
Relief, Pursuant to Section 36(a) of the Securities Exchange Act of 
1934, From Certain Aspects of Rule 17ad-22(e)(18)(iv) of the Securities 
Exchange Act of 1934 and Request for Comment

April 17, 2026.

I. Introduction

    On December 13, 2023, the Commission adopted,\1\ among other 
things, Rule 17ad-22(e)(18)(iv)(A) (the ``Trade Submission 
Requirement'') \2\ under the Exchange Act. The Trade Submission 
Requirement requires a covered clearing agency that provides central 
counterparty services for transactions in U.S. Treasury securities 
(``U.S. Treasury securities CCA'') \3\ to establish, implement, 
maintain and enforce written policies and procedures reasonably 
designed to require that any direct participant must submit for 
clearance and settlement all ``eligible secondary market transactions'' 
to which that direct participant is a counterparty. An ``eligible 
secondary market transaction'' is, in turn, defined as (i) a repurchase 
or reverse repurchase agreement collateralized by U.S. Treasury 
securities, in which one of the counterparties is a direct participant 
(``repo''); or (ii) a purchase or sale, between a direct participant 
and: (A) any counterparty, if the direct participant of the covered 
clearing agency brings together multiple buyers and sellers using a 
trading facility (such as a limit order book) and is a counterparty to 
both the buyer and seller in two separate transactions; or (B) a 
registered broker-dealer, government securities broker, or government 
securities dealer.\4\
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    \1\ Standards for Covered Clearing Agencies for U.S. Treasury 
Securities and Application of the Broker-Dealer Customer Protection 
Rule With Respect to U.S. Treasury Securities, Exchange Act Release 
No. 99149 (Dec. 13, 2023), 89 FR 2714, 2737 (Jan. 16, 2024).
    \2\ 17 CFR 240.17ad-22(e)(18)(iv)(A).
    \3\ The U.S. Treasury securities CCAs are the Fixed Income 
Clearing Corporation, the CME Securities Clearing Corp., and ICE 
Clear Credit, LLC.
    \4\ 17 CFR 240.17ad-22(a).
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    On February 27, 2026, a trade association submitted a letter to the 
Commission requesting exemptive relief from the Trade Submission 
Requirement for certain Non-U.S. Transactions, specifically, the 
transactions of foreign financial institutions who are direct 
participants of a U.S. Treasury securities

[[Page 21585]]

CCA when transacting with non-U.S. clients. On March 6, 2026, the 
Commission published the Notice to request and encourage interested 
persons to comment on the request for exemptive relief pursuant to 
Section 36 of the Exchange Act, including whether the Commission should 
grant the request.\5\ As part of the Notice, the Commission included 
specific questions to which it is soliciting comments.
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    \5\ Notice of Request for Exemptive Relief, Pursuant to Section 
36(a) of the Securities Exchange Act of 1934, From Certain Aspects 
of Rule 17ad-22(e)(18)(iv) of the Securities Exchange Act of 1934 
and Request for Comment, Exchange Act Release No. 104944 (Mar. 6, 
2026), 91 FR 12030 (Mar. 11, 2026) (``Notice'').
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    The comment period for the Notice closed on April 10, 2026. The 
Commission believes that providing the public with additional time to 
consider and comment on the matters addressed in the Notice would 
benefit the Commission in its consideration of whether to grant the 
request for exemptive relief. Specifically, the Commission requests 
comments on (i) whether the relief requested interacts, if at all, with 
the relief requested by the Securities Industry and Financial Markets 
Association (``SIFMA''),\6\ and (ii) whether there are any competitive 
concerns that could arise if the Commission granted the relief 
requested as noticed, including, but not limited to, the potential 
impact on liquidity in the U.S. Treasury market. Therefore, the 
Commission is reopening the comment period for the Notice until May 29, 
2026.
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    \6\ Notice of Request for Exemptive Relief, Pursuant to Section 
36(a) of the Securities Exchange Act of 1934, From Certain Aspects 
of Rule 17ad-22(e)(18)(iv) of the Securities Exchange Act of 1934 
and Request for Comment, Exchange Act Release No. 105262 (Apr. 17, 
2026).
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II. Request for Comment

    We request and encourage any interested person to submit comments 
on the requested relief, including whether the Commission should grant 
exemptive relief.
    Comments may be submitted by any of the following methods:

Electronic Comments

    <bullet> Use the Commission's internet comment form (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>); or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#e89a9d848dc58b8785858d869c9ba89b8d8bc68f879e"><span class="__cf_email__" data-cfemail="2d5f584148004e4240404843595e6d5e484e034a425b">[email&#160;protected]</span></a>. Please include 
file number S7-2026-07 on the subject line.

Paper Comments

    <bullet> Send paper comments in triplicate to Vanessa A. Coutryman, 
Secretary, Securities and Exchange Commission, 100 F Street NE, 
Washington, DC 20549-1090.

All submissions should refer to File Number S7-2026-07. 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-regulations/exchange-act-exemptive-notices-orders">https://www.sec.gov/rules-regulations/exchange-act-exemptive-notices-orders</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 publications submitted 
material that is obscene or subject to copyright protection.
    For further information, you may contact Elizabeth Fitzgerald, 
Assistant Director, at (202) 551-6036, or Heather Percival, Senior 
Special Counsel, at (202) 551-3498, in the Division of Trading and 
Markets; U.S. Securities and Exchange Commission, 100 F Street NE, 
Washington, DC 20549.

    By the Commission.

    Dated: April 17, 2026.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2026-07776 Filed 4-21-26; 8:45 am]
BILLING CODE 8011-01-P


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