Notice2026-09963
Self-Regulatory Organizations; Miami International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Short Term Option Series Program
Primary source
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Published
May 19, 2026
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 91 Issue 96 (Tuesday, May 19, 2026)</title>
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[Federal Register Volume 91, Number 96 (Tuesday, May 19, 2026)]
[Notices]
[Pages 29180-29183]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-09963]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-105491; File No. SR-MIAX-2026-19]
Self-Regulatory Organizations; Miami International Securities
Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change To Amend the Short Term Option Series Program
May 14, 2026.
Pursuant to the provisions of 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 May 6, 2026, Miami International Securities
Exchange, LLC (``MIAX'' or ``Exchange'') filed with the Securities and
Exchange Commission (``Commission'') a 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 amend the Short Term Option Series Program
to add clarifying language concerning the listing and treatment of
Monday and Wednesday Short Term Daily Expirations for Qualifying
Securities when an Earnings Announcement \3\ occurs after market close.
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\3\ An Earnings Announcement shall include official public
quarterly or yearly earnings filed with the Securities and Exchange
Commission (the ``Commission'').
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The text of the proposed rule change is available on the Exchange's
website at <a href="https://www.miaxglobal.com/markets/us-options/all-options-exchanges/rule-filings">https://www.miaxglobal.com/markets/us-options/all-options-exchanges/rule-filings</a> and at MIAX's principal office.
[[Page 29181]]
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 Interpretation and Policy .02 to
Exchange Rule 404, Series of Options Contracts Open for Trading. The
amendment would add clarifying language concerning Monday and Wednesday
expiration listings for options on certain individual stocks or
Exchange-Traded Fund Shares (collectively ``Qualifying Securities'')
that are required to be marked closing only. Other technical changes
are also proposed to Exchange Rule 404, Series of Options Contracts
Open for Trading. The Exchange also proposes an amendment to Rule 1502,
Margin Requirements. Each change will be described below. This proposed
rule change is based on a similar proposal submitted by Nasdaq ISE, LLC
(``ISE'').\4\ The Exchange notes that Exchange Rule 404 as proposed to
be amended by this filing, is incorporated by reference into the MIAX
Emerald, LLC (``MIAX Emerald'') rulebook, and is thus a MIAX Emerald
rule applicable to MIAX Emerald members.
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\4\ See Securities Exchange Act Release No. 105313 (April 27,
2026) (Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change to Amend
the Short Term Options Series Program) (SR-ISE-2026-19).
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Short Term Options Series
Currently, the Exchange permits certain Qualifying Securities to
list up to two Monday and Wednesday Short Term Daily Expirations in
addition to the Friday weekly expiration, provided they meet the
eligibility requirements \5\ noted in Interpretation and Policy .02 to
Exchange Rule 404. Each calendar quarter, the Exchange applies the
above criteria to individual stocks and Exchange-Traded Fund Shares to
determine eligibility for the following quarter as a Qualifying
Security.\6\ The Exchange makes the list of Qualifying Securities
available by close of business on the first trading day of the quarter
on its website.
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\5\ Qualifying Securities must meet the following criteria on a
quarterly basis: (1) an underlying security, as measured on the last
day of the prior calendar quarter, must have: (A) a market
capitalization of greater than 700 billion dollars for an individual
stock based on the closing price, or (B) Assets under Management
(``AUM'') greater than 50 billion dollars for an Exchange-Traded
Fund Share based on net asset value; (2) monthly options volume, as
measured by sides traded in the last month preceding the quarter
end, of greater than 10 million options; (3) a position limit of at
least 250,000 contracts; and (4) participate in the Penny Interval
Program. See Interpretation and Policy .02 to Exchange Rule 404.
\6\ Beginning on the second trading day in the first month of
each calendar quarter, the market capitalization of individual
stocks is calculated based on the closing price established on the
primary exchange on the last trading day of the prior calendar
quarter and the AUM for Exchange-Traded Fund Shares is calculated
based on the NAV established on the primary exchange on the last
trading day of the prior calendar quarter. The data establishing the
volume thresholds is established by using data from the last month
of the prior calendar quarter from The Options Clearing Corporation.
For options listed on the first trading day of a given calendar
quarter, the volume is calculated using the last month of the
quarter prior to that calendar quarter. For example, if the Exchange
were to list Qualifying Securities in Q3 of 2026, the Exchange would
look at the volume, measured in sides, for the last month of Q2 2026
or June 2026.
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For individual stocks on Qualifying Securities, the Exchange does
not list a Monday or Wednesday Short Term Daily Expiration on a day
when an Earnings Announcement occurs after market close. If a Monday or
Wednesday Short Term Option Daily Expiration is listed and an Earnings
Announcement is subsequently made after the listing becomes available
for trading, the Exchange immediately takes one of the following
actions: (1) delists the affected expiration if there is no open
interest, or (2) marks the affected expiration as closing only. This is
the Exchange's current practice to avoid violating the listing
requirements of Interpretation and Policy .02 to Exchange Rule 404.
At this time, the Exchange proposes to codify this practice in its
rule text to provide Members \7\ with clear expectations regarding
listing availability. The Exchange proposes to state,
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\7\ The term ``Member'' means an individual or organization
approved to exercise the trading rights associated with a Trading
Permit. Members are deemed ``members'' under the Exchange Act. See
Exchange Rule 100.
For individual stocks on Qualifying Securities, the Exchange
will not list a Monday or Wednesday Short Term Option Daily
Expiration on a day when an Earnings Announcement will occur after
market close. If a Monday or Wednesday Short Term Option Daily
Expiration is listed and an Earnings Announcement is subsequently
made after the listing becomes available for trading, the Exchange
will: (1) delist the affected expiration if there is no open
interest; or (2) if there is open interest, designate the affected
expiration as closing only. ``Earnings Announcement'' shall include
official public quarterly or yearly earnings filed with the
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Securities and Exchange Commission.
Additionally, the Exchange proposes to remove current text in
Interpretation and Policy .02 to Exchange Rule 404 which states that,
``For Qualifying Securities, the Exchange would not list an expiry on a
day where there will be an Earnings Announcement that takes place after
market close.'' The proposed rule text makes this sentence unnecessary.
Finally, the Exchange proposes to relocate the current description of
an Earnings Announcement into the proposed text.
The Exchange also proposes other technical amendments to
Interpretation and Policy .02 to Exchange Rule 404 to reorganize the
rule text and improve readability. The Exchange proposes to relocate
current Interpretation and Policy .11 to Exchange Rule 404 regarding
listing Short Term Option Series in equity options, excluding Exchange-
Traded Fund Shares and ETNs, which have an expiration date more than
twenty-one days from the listing date to a new Interpretation and
Policy .02(g) to Exchange Rule 404, additionally the Exchange proposes
to slightly modify current Interpretation and Policy .11 to Exchange
Rule 404 to improve readability. Also, the Exchange proposes to amend
the citations in current Interpretation and Policy .11 to Exchange Rule
404 to reflect the relocation to current Interpretation and Policy
.02(g) to Exchange Rule 404.
Other Amendments to Exchange Rule 404
The Exchange proposes to renumber current Interpretation and Policy
.12 to Exchange Rule 404, Low Priced Stock Strike Price Interval
Program, as Interpretation and Policy .11 and also proposes to renumber
current Interpretation and Policy .13 to Exchange Rule 404, Monthly
Options Series Program, as Interpretation and Policy .12.
Margin
Currently, Rule 1502, Margin Requirements, provides at subparagraph
(a) that a Member must elect to be bound by the initial and maintenance
margin requirements of either the Chicago Board of Options Exchange
(``Cboe'') or the New York Stock Exchange as the same may be in effect
[[Page 29182]]
from time to time.\8\ The Exchange proposes to update Cboe's name from
``Chicago Board of Options Exchange'' to ``Cboe Exchange, Inc.''
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\8\ The Exchange notes that all the rules of Chapter XV of MIAX,
including 1502, are incorporated by reference into the rulebooks of
MIAX Emerald, MIAX Pearl, LLC and MIAX Sapphire, LLC.
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2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\9\ in general, and furthers the objectives of Section
6(b)(5) of the Act,\10\ in particular, in that it is designed to
promote just and equitable principles of trade, 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.
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\9\ 15 U.S.C. 78f(b).
\10\ 15 U.S.C. 78f(b)(5).
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The Exchange believes that codifying its existing practice
regarding the treatment of Monday and Wednesday Short Term Daily
Expiration listings for Qualifying Securities promotes just and
equitable principles of trade by providing Members with clear and
transparent expectations concerning the availability of such listings.
Under the proposed rule text, Members will have express notice that the
Exchange will not list a Monday or Wednesday Short Term Daily
Expiration on a day when an Earnings Announcement is scheduled to occur
after market close, and that in the event an Earnings Announcement is
announced after such a listing becomes available for trading, the
Exchange will either delist the affected expiration if there is no open
interest or mark the expiration as closing only. By memorializing this
practice in the rule text, the Exchange ensures that all market
participants are informed of the manner in which the Exchange
administers its Short Term Option Series Program with respect to
Qualifying Securities, thereby promoting fairness and transparency in
the marketplace.
The Exchange further believes the proposal removes impediments to
and perfects the mechanism of a free and open market and a national
market system by ensuring that Monday or Wednesday Short Term Daily
Expirations are not listed or do not remain available for new opening
positions in circumstances that could expose investors to heightened
risks associated with post-market-close Earnings Announcements. Options
expiring on a day following an afterhours Earnings Announcement may be
subject to significant price volatility and uncertainty that could
disadvantage investors who are unable to react to material information
disclosed after the close of trading. By formalizing the Exchange's
practice of either not listing such expirations or marking them as
closing only when an Earnings Announcement is announced after listing,
depending on whether there is open interest, the proposal helps ensure
that the options market operates in a manner that mitigates these risks
and supports the integrity of the national market system.
The Exchange notes that the proposal does not raise any new or
novel regulatory concerns. The proposed rule change merely codifies the
Exchange's current practice, which has been in effect to ensure
compliance with Interpretation and Policy .02 to Exchange Rule 404. The
Exchange is not proposing to alter its existing approach to
administering the Short Term Option Series Program for Qualifying
Securities; rather, the Exchange seeks to formalize that approach in
its rule text to enhance clarity and predictability for Members and
other market participants.
The Exchange's proposal to amend citations, relocate and amend
Interpretation and Policy .11 to Exchange Rule 404, and to renumber
current Interpretation and Policy .12 to Exchange Rule 404, Low Priced
Stock Strike Price Interval Program and Interpretation and Policy .13
to Exchange Rule 404, Monthly Options Series Program are non-
substantive amendments intended to reorganize the Exchange's current
rules.
The amendment to Exchange Rule 1502, Margin Requirements to change
Cboe's name is a non-substantive technical amendment.
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.
With respect to intra-market competition, the Exchange does not
believe the proposal will place any category of market participant at a
competitive disadvantage relative to any other category of market
participant. All market participants will be subject to the same rules
regarding the listing and treatment of Monday and Wednesday Short Term
Daily Expirations for Qualifying Securities when an Earnings
Announcement occurs after market close.
With respect to inter-market competition, the Exchange does not
believe the proposal will place the Exchange at a competitive
disadvantage relative to other options exchanges or impose any burden
on competition among options exchanges. The proposed rule change does
not alter the competitive landscape for options trading, as it merely
formalizes the Exchange's current practice in rule text which practice
is consistent with that of other options exchanges that have the same
listing rules.
The Exchange's proposal to amend citations, relocate Interpretation
and Policy .11 to Exchange Rule 404, and to renumber current
Interpretation and Policy .12 to Exchange Rule 404, Low Priced Stock
Strike Price Interval Program and Interpretation and Policy .13 to
Exchange Rule 404, Monthly Options Series Program are non-substantive
amendments intended to reorganize the Exchange's current rules.
The amendment to Exchange Rule 1502, Margin Requirements to change
Cboe's name is a non-substantive technical amendment.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule change does not: (i)
significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
become operative for 30 days from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A)(iii) of the Act \11\ and
subparagraph (f)(6) of Rule 19b-4 thereunder.\12\
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\11\ 15 U.S.C. 78s(b)(3)(A)(iii).
\12\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change at
least five business days prior to the date of filing of the proposed
rule change, or such shorter time as designated by the Commission.
The Exchange has satisfied this requirement.
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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. If the Commission
takes such action, the Commission shall institute proceedings to
determine whether the proposed rule should be approved or disapproved.
[[Page 29183]]
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="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#b7c5c2dbd29ad4d8dadad2d9c3c4f7c4d2d499d0d8c1"><span class="__cf_email__" data-cfemail="2654534a430b45494b4b434852556655434508414950">[email protected]</span></a>. Please include
file number SR-MIAX-2026-19 on the subject line.
Paper Comments
<bullet> Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.
All submissions should refer to file number SR-MIAX-2026-19. 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 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-MIAX-2026-19 and should be submitted on
or before June 9, 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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J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2026-09963 Filed 5-18-26; 8:45 am]
BILLING CODE 8011-01-P
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