SEC opens proceeding on NYSE American cash-settlement rule change
The Commission has instituted proceedings to review NYSE American's proposal to allow cash settlement for up to 50 non-ETF FLEX equity options, with comments due Oct. 27, 2026.
On October 1, 2026, the Securities and Exchange Commission issued Order SR-NYSEAMER-2026-54, instituting proceedings to determine whether to approve or disapprove NYSE American LLC's proposed amendment to Rules 903G and 906G. The exchange seeks to permit cash settlement for up to 50 non-ETF Flexible Exchange (FLEX) equity options and to revise the selection criteria for qualifying securities.
The Commission designated October 5, 2026, as the date by which it must act on the proposal or institute proceedings, citing the legal and policy issues raised. In accordance with Section 6(b)(5) of the Securities Exchange Act, the Commission will consider whether the rule change is consistent with the Act's requirements to prevent fraud, promote equitable trade, and protect investors.
The Commission invites written comments on the sufficiency of the exchange's supporting statements and any other concerns. Comments must reference file number SR-NYSEAMER-2026-54 and be submitted by October 27, 2026. Rebuttal comments are due by November 10, 2026. Submissions may be made electronically via the SEC's comment form or email, or in paper form sent in triplicate to the SEC Secretary in Washington, DC.
Oral presentations are not anticipated, but the Commission will consider any request for an oral hearing under Rule 19b-4. All comments will be posted on the SEC's website and made available for public inspection.
Further reading