The Office of Market Oversight ("Market Oversight") within the Office of Compliance
Exhibit of SEC Announces 2016 Examination Priorities
summary
No fraud occurred or was alleged in this document, which is a non-binding SEC OCIE letter outlining fiscal year 2016 examination priorities for securities exchanges, with no charges, monetary amounts, or misconduct identified.
paragraph
This document is a routine, non-binding examination priorities letter from the SEC’s Office of Compliance Inspections and Examinations (OCIE) for fiscal year 2016, targeting national securities exchanges and self-regulatory organizations. It identifies areas of focus such as compliance with prior Commission orders, regulatory practices, listing programs, SCI adherence, and exchange opening procedures, but contains no allegations of fraud, misconduct, penalties, or dollar amounts. The letter explicitly states it is not legal advice and does not create any enforceable rights or obligations.
narrative
This document is a non-binding, forward-looking guidance letter issued by the SEC’s Office of Compliance Inspections and Examinations (OCIE) outlining its fiscal year 2016 examination priorities for national securities exchanges and self-regulatory organizations. It details areas of regulatory focus—including compliance with prior Commission orders, regulatory practices, options and equities listing programs, exchange opening procedures, and adherence to Regulation SCI and Section 31 obligations—but does not accuse any entity or individual of wrongdoing. There are no allegations of fraud, misconduct, financial penalties, or enforcement actions mentioned anywhere in the text. The letter explicitly disclaims legal authority, stating it is not intended to create enforceable rights or obligations for any party. It is part of a routine, risk-based examination planning process, not an enforcement or investigative outcome. No dollar amounts, charges, or resolutions are referenced, and no parties are named or implicated. The document serves solely as a public statement of regulatory intent, subject to change based on market conditions or resource availability.
Classified non-corporate(confidence 100%). No EDGAR filing fingerprint (criminal/DOJ-side scheme). detection rule →
Statutes
Rule 17a-1
Parties
market oversight
Keywords
market oversightexaminationmarketoversightexamination prioritiescomplianceprioritiesexchanges'regulatoryoversight marketoversight withinwithin complianceexamination ofcertainexchanges' complianceregulatory functions
Extracted insights
Entities 1
- person market oversight
Triples 12
- Market Oversight is pleased to present its examination priorities for Fiscal Year 2016
- Market Oversight conducts examinations of the national securities exchanges and other self-regulatory organizations
- Market Oversight establishes examination priorities to guide the selection of the programs and areas it will examine in the upcoming fiscal year
- Market Oversight develops examination priorities in consultation with the Commissioners, staff from the Commission's policy-making divisions, and staff from other Commission offices and divisions
- Market Oversight includes examination of certain exchanges' compliance with undertakings imposed by applicable Commission orders
- Market Oversight includes examination of certain exchanges' regulatory practices
- Market Oversight includes examination of options exchanges' listing programs, including assessing compliance with listing requirements and evaluating the policies and procedures regarding listing programs
- Market Oversight includes examination of certain options exchanges' opening processes for adherence to the rules and procedures governing openings
- Market Oversight includes examination of certain equities exchanges' listing programs
- Market Oversight includes examination of certain exchanges' compliance with Regulation Systems Compliance and Integrity (SCI)
- Market Oversight includes examination of certain exchanges' compliance with obligations under Section 31 of the Exchange Act and Rule 31 thereunder
- Market Oversight looks forward to working with you and your staff during the upcoming year to complete these examination priorities
Text layers
Extracted body text (3,473c)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON , D.C. 20549
OFFICE OF COMPLIANCE
INSPECTIONS AND
January 11, 201 6
EXAMINATIONS
Dear Chief Regulatory Officer:
The Office
of Market Oversight ("Market Oversight") within the Office of Compliance
Inspections and Examinations ("OCIE") is pleased to present its examination priorities for Fiscal
Year 20
16.
1
As you know, Market Oversight conducts examinations ofthe national securities
exchanges and other self-regulatory organizations pursuant to Sections 1
7(a)(l) and 17(b) ofthe
Securities Exchange Act
of 1934 ("Exchange Act") and Rule 17a-1 thereunder.
Each year, as part of its risk-based examination program, Market Oversight establishes
examination priorities to guide the selection
ofthe programs and areas it will examine in the
upcoming
fiscal year. Market Oversight develops its examination priorities in consultation with
the Commissioners, st
aff from the Commission's policy-making divisions, and staff from other
Commission offices and divisions.
Market Oversight's examination priorities for Fiscal Year 2
016 include the following:
• Examination ofcertain exchanges' compliance with undertakings imposed by applicable
Commission orders.
• Examination
ofcertain exchanges' regulatory practices. For example, potential
examinations in this area may include reviews
of an exchange's performance of
regulatory functions, outsourcing ofregulatory functions, internal controls over
regulatory programs, funding of regulatory functions, and the governance and oversight
over regulatory functions.
• Examination
ofoptions exchanges' listing programs, including assessing compliance
with listing requirements and evaluating the policies and procedures regarding listing
programs.
• Examination of certain options exchanges' opening processes for adherence to the rules
and procedures governing openings.
This document was prepared by SEC staff, and the views expressed herein are those of OCIE. The
Commission has expressed no view on th is document' s content
s. It is not legal advice; it is not intended to,
does not, and may not be re
lied upon to create any rights, substantive or procedural, enforceable at law by
any party in any matter civ
il or criminal.
• Examination ofcertain equities exchanges' listing programs. For example, potential
examinations in this area may include reviews
ofthe appellate process for delisting
decisions.
• In coordination with OCIE
's Technology Controls Program ("TCP"), examination of
certain exchanges' compliance with Regulation Systems Compliance and Integrity
("SCI").
• In coordination with TCP, examination
of certain exchanges' compliance with
obligations under Section
31 ofthe Exchange Act and Rule 31 thereunder.
The preceding list
ofMarket Oversight examination priorities is not static and remains subject to
change due to unexpected events in the market or other factors. Furthermore, subject to the
availability
of resources and other factors, Market Oversight also may establish additional
examination priorities.
Market Oversight looks forward to working with you and your staff during the upcoming year to
complete these examination priorities.
Ifyou have any questions concerning the matters
discussed in this letter, please contact me at (202) 551-4981.
Sincerely,
l
, John Polise
National Associate Director
1
OCIE Office of Market Oversight 'j
2
OCR text (3,483c · tika · 95% conf)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON , D.C . 20549
OFFICE OF COMPLIANCE
INSPECTIONS AND January 11, 201 6
EXAMINATIONS
Dear Chief Regulatory Officer:
The Office of Market Oversight ("Market Oversight") within the Office of Compliance
Inspections and Examinations ("OCIE") is pleased to present its examination priorities for Fiscal
Year 2016. 1 As you know, Market Oversight conducts examinations of the national securities
exchanges and other self-regulatory organizations pursuant to Sections 17(a)(l) and 17(b) of the
Securities Exchange Act of 1934 ("Exchange Act") and Rule 17a-1 thereunder.
Each year, as part of its risk-based examination program, Market Oversight establishes
examination priorities to guide the selection of the programs and areas it will examine in the
upcoming fiscal year. Market Oversight develops its examination priorities in consultation with
the Commissioners, staff from the Commission's policy-making divisions, and staff from other
Commission offices and divisions.
Market Oversight's examination priorities for Fiscal Year 201 6 include the following:
• Examination of certain exchanges' compliance with undertakings imposed by applicable
Commission orders.
• Examination ofcertain exchanges ' regulatory practices. For example, potential
examinations in this area may include reviews of an exchange's performance of
regulatory functions, outsourcing of regulatory functions, internal controls over
regulatory programs, funding of regulatory functions, and the governance and oversight
over regulatory functions.
• Examination of options exchanges ' listing programs, including assessing compliance
with listing requirements and evaluating the policies and procedures regarding listing
programs.
• Examination of certain options exchanges' opening processes for adherence to the rules
and procedures governing openings.
This document was prepared by SEC staff, and the views expressed herein are those of OCIE. The
Commission has expressed no view on this document' s contents. It is not legal advice; it is not intended to,
does not, and may not be relied upon to create any rights, substantive or procedural, enforceable at law by
any party in any matter civil or criminal.
• Examination of certain equities exchanges' listing programs. For example, potential
examinations in this area may include reviews of the appellate process for delisting
decisions.
• In coordination with OCIE's Technology Controls Program ("TCP"), examination of
certain exchanges' compliance with Regulation Systems Compliance and Integrity
("SCI").
• In coordination with TCP, examination of certain exchanges' compliance with
obligations under Section 31 of the Exchange Act and Rule 31 thereunder.
The preceding list of Market Oversight examination priorities is not static and remains subject to
change due to unexpected events in the market or other factors. Furthermore, subject to the
availability of resources and other factors, Market Oversight also may establish additional
examination priorities.
Market Oversight looks forward to working with you and your staff during the upcoming year to
complete these examination priorities. Ifyou have any questions concerning the matters
discussed in this letter, please contact me at (202) 551-4981.
Sincerely,
l
, John Polise
National Associate Director
1 OCIE Office of Market Oversight 'j
2