Cboe Announces Start Date for Cboe Market Close

Cboe Global Markets, Inc. announced that it plans to launch Cboe Market Close (CMC) on the company’s BZX Exchange on Monday, August 20, 2018, contingent upon the Securities and Exchange Commission (SEC) reaffirming the staff’s initial approval. CMC was approved by SEC staff on January 17, 2018, after an extended and robust public comment period. Cboe submitted four comment letters responding to industry queries on CMC’s functionality over the course of the process. The mechanism, first proposed in May 2017, allows participants to route Market-On-Close (MOC) orders to CMC on Cboe's BZX Exchange, where they are pre-matched with other MOC orders. When the primary exchange closing price is published, pre-matched trades are executed, saving participants from paying closing auction fees on orders that are not price forming. The timing of the CMC match allows any MOC orders that go unmatched to be sent to the primary exchange closing auctions.