Self-Regulatory Organizations; Miami International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Exchange Rule 1801, Definitions

<NOTICE> SECURITIES AND EXCHANGE COMMISSION <DEPDOC>[Release No. 34-103635; File No. SR-MIAX-2025-34]</DEPDOC> <SUBJECT>Self-Regulatory Organizations; Miami International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Exchange Rule 1801, Definitions</SUBJECT> <DATE>August 5, 2025</DATE> Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (“Act”)  <SU>1</SU> <FTREF/> and Rule 19b-4 thereunder, <SU>2</SU> <FTREF/> notice is hereby given that on July 21, 2025, 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. <FTNT> <SU>1</SU>  15 U.S.C. 78s(b)(1). </FTNT> <FTNT> <SU>2</SU>  17 CFR 240.19b-4. </FTNT> <HD SOURCE="HD1">I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change</HD> The Exchange proposes to amend Interpretation and Policy .01 to Exchange Rule 1801 to update the name of an index on which the Exchange may list and trade options. The text of the proposed rule change is available on the Exchange's website at <E T="03">https://www.miaxglobal.com/markets/us-options/all-options-exchanges/rule-filings,</E> and at MIAX's principal office. <HD SOURCE="HD1">II. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change</HD> 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. <HD SOURCE="HD2">A. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change</HD> <HD SOURCE="HD3">1. Purpose</HD> The Exchange proposes to amend Interpretation and Policy .01 to Exchange Rule 1801 to update the table of reporting authorities  <SU>3</SU> <FTREF/> for indexes on which the Exchange may list and trade options. In particular, the Exchange proposes to amend the name of the “Bloomberg US Large Cap Price Return Index” (the “B500 Index”) to “Bloomberg 500 Index,” due to Bloomberg Index Services Limited (“BISL”) rebranding the B500 Index under the new name “Bloomberg 500 Index”. <SU>4</SU> <FTREF/> <FTNT> <SU>3</SU>  The term “reporting authority” with respect to a particular index means the institution or reporting service designated by the Exchange as the official source for (1) calculating the level of the index from the reported prices of the underlying securities that are the basis of the index and (2) reporting such level. The reporting authority for each index approved for options trading on the Exchange shall be Specified (as provided in Rule 1800) in the Interpretations and Policies to Rule 1801. <E T="03">See</E> Exchange Rule 1801(q). </FTNT> <FTNT> <SU>4</SU>   <E T="03">See</E> Index Announcement, Bloomberg US Large Cap Index To Be Renamed Bloomberg 500 Index, <E T="03">available at</E> <E T="03">https://assets.bbhub.io/professional/sites/27/Bloomberg-US-Large-Cap-Index-To-Be-Renamed-Bloomberg-500-Index.pdf</E> (last visited July 11, 2025). </FTNT> On March 10, 2025, the Exchange filed its proposal with the Securities and Exchange Commission (the “Commission”) to amend certain of the Exchange's rules in connection with the Exchange's plan to list and trade options on the B500 Index. <SU>5</SU> <FTREF/> The B500 Index is a broad-based, float  <SU>6</SU> <FTREF/> market-capitalization-weighted benchmark of the 500 most highly capitalized U.S.-listed companies. <SU>7</SU> <FTREF/> All constituents of the B500 Index  <SU>8</SU> <FTREF/> are securities consisting of common stocks, real estate investment trusts (“REITs”), and tracking stocks, which are primarily listed on a U.S. securities exchange, as provided for in the Methodology Guide. <SU>9</SU> <FTREF/> The components of the B500 Index are determined from the U.S.-listed companies that have the largest cumulative free-float market capitalization. Each component security of the B500 Index must also meet certain minimum eligibility and liquidity screening requirements, as detailed in the Methodology Guide. <SU>10</SU> <FTREF/> Since the Commission issued the B500 Approval Order and to date, the Exchange has not listed options for trading on the B500 Index for business reasons. <SU>11</SU> <FTREF/> <FTNT> <SU>5</SU>   <E T="03">See</E> Securities Exchange Act Release No. 102959 (April 30, 2025), 90 FR 19236 (May 6, 2025) (SR-MIAX-2025-08) (Order Granting Approval of a Proposed Rule Change To Amend Certain MIAX Options Exchange Rules To Permit the Listing and Trading of Options on the Bloomberg US Large Cap Price Return Index) (the “B500 Approval Order”). </FTNT> <FTNT> <SU>6</SU>  As part of the construction of the B500 Index, BISL, the administrator of the B500 Index, performs a liquidity screening for each component security that is initially eligible to be included in the B500 Index. Part of the liquidity screening process involves removing all securities from the B500 Index that failed the minimum free-float shares screening. Free-float shares are used in calculation of the B500 Index. BISL calculates the free-float shares figure by subtracting shares held by insiders and those deemed to be stagnant shareholders from the shares outstanding. Securities should have free-float market capitalization equal to or greater than 50% of the equity universe minimum size requirement (total market capitalization) to be included in the index. <E T="03">See</E> Bloomberg US Domestic Equity Indices Methodology, at page 6, dated September 2024, <E T="03">available at https://assets.bbhub.io/professional/sites/10/Bloomberg-US-Domestic-Equity-Indices-Methodology.pdf</E> (the “Methodology Guide”). </FTNT> <FTNT> <SU>7</SU>   <E T="03">See</E> Bloomberg US Large Cap Index Fact Sheet, dated March 31, 2025, <E T="03">available at https://assets.bbhub.io/professional/sites/27/Bloomberg-US-Large-Cap-Index-Fact-Sheet.pdf</E> (the “Fact Sheet”). </FTNT> <FTNT> <SU>8</SU>  In the B500 Approval Order, references to the “B500 Index” were to the “Bloomberg US Large Cap Price Return Index,” as described in the Methodology Guide. The Exchange notes that the Bloomberg US Large Cap Total Return Index and Bloomberg US Large Cap Net Return Index have different calculations than the Bloomberg US Large Cap Price Return Index. For example, the Bloomberg US Large Cap Total Return Index reflects reinvestment of gross dividends and the Bloomberg US Large Cap Net Return Index reflects the reinvestment of net of tax dividends. <E T="03">See</E> Methodology Guide, <E T="03">supra</E> note 6, at pages 14-15. </FTNT> <FTNT> <SU>9</SU>   <E T="03">See</E> Methodology Guide, <E T="03">supra</E> note 6. Each component security of the B500 Index must be primarily listed on one of the following U.S. securities exchanges: NYSE, NYSE American, NYSE ARCA, IEX, NASDAQ CM, NASDAQ GS, NASDAQ GM and CBOE BZX. <E T="03">See id.,</E> at page 4. </FTNT> <FTNT> <SU>10</SU>   <E T="03">See</E> Methodology Guide, <E T="03">supra</E> note 6, at pages 4-7. </FTNT> <FTNT> <SU>11</SU>  As previously represented to the Commission, the Exchange will not list for trading B500 Index options until (i) the self-certification filing by MIAX Futures is past the CFTC's statutory review period; and (ii) MIAX Futures has commenced the listing and trading of B500 Index futures. See Letter from Joseph W. Ferraro III, SVP and Deputy General Counsel, the Exchange, to Vanessa Countryman, Commission, dated April 2, 2025, <E T="03">available at https://www.sec.gov/comments/sr-miax-2025-08/srmiax202508-586555-1695102.pdf</E> . At the time of this filing, MIAX Futures has not yet listed B500 Index futures. </FTNT> As announced, BISL plans to rebrand the Bloomberg US Large Cap Price Return Index as the Bloomberg 500 Index. <SU>12</SU> <FTREF/> For the avoidance of doubt and to keep the name succinct for references across various sites and collateral, BISL removed “Price Return” from the name of the B500 Index. However, references to the “Total Return” and “Net Return” derivations of the B500 Index, will be to the “Bloomberg 500 Total Return Index” or the “Bloomberg 500 Net Return Index,” as the case may be. Accordingly, the Exchange proposes to amend the table of indexes in Exchange Rule 1801, Interpretation and Policy .01, to amend the name of the B500 Index from the “Bloomberg US Large Cap Price Return Index” to “Bloomberg 500 Index” under the heading “Underlying Index”. The purpose of the proposed rule change is to reflect the rebranded name of the B500 Index on which the Exchange is authorized to list and trade options. This is to promote transparency in its rules and eliminate any potential confusion among market participants. <FTNT> <SU>12</SU>   <E T="03">See supra</E> note 4. </FTNT> <HD SOURCE="HD3">2. Statutory Basis</HD> The Exchange believes the proposed rule change is consistent with the Act and the rules and regulations thereunder applicable to the Exchange and, in particular, the requirements of Section 6(b) of the Act. <SU>13</SU> <FTREF/> Specifically, the Exchange believes the proposed rule change is consistent with the Section 6(b)(5)  <SU>14</SU> <FTREF/> requirements that the rules of an exchange be designed to prevent fraudulent and ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Preview showing 10k of 17k characters. Full document text is stored and available for version comparison. ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━