Self-Regulatory Organizations; Depository Trust Company; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to an Amendment of the Fee Schedule to Revise Fees for Certain Services Provided by DTC, 3409-3410 [E5-216]

Download as PDF Federal Register / Vol. 70, No. 14 / Monday, January 24, 2005 / Notices burden on competition not necessary or appropriate in furtherance of the purposes of the Act. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. publicly available. All submissions should refer to File Number SR–CBOE– 2005–06 and should be submitted on or before February 14, 2005. IV. Commission’s Findings and Order Granting Accelerated Approval of Proposed Rule Change After careful review, the Commission finds that the proposed rule change is consistent with the requirements of the III. Solicitation of Comments Act and the rules and regulations thereunder, applicable to a national Interested persons are invited to securities exchange,8 and, in particular, submit written data, views, and the requirements of Section 6(b)(5) of arguments concerning the foregoing, the Act.9 Specifically, the Commission including whether the proposed rule change is consistent with the Act. finds that the proposed rule change Comments may be submitted by any of should ensure that the Exchange’s the following methods: position limits and exercise limits on SPDR options provide its members with Electronic Comments sufficient flexibility to participate in the • Use the Commission’s Internet market for such options in a manner comment form (https://www.sec.gov/ that should provide greater depth and rules/sro.shtml); or liquidity for all market participants. • Send an e-mail to ruleThe Commission finds good cause for comments@sec.gov. Please include File approving this proposed rule change Number SR–CBOE–2005–06 on the prior to the thirtieth day after subject line. publication of notice thereof in the Paper Comments Federal Register. Specifically, the • Send paper comments in triplicate Commission believes that granting to Jonathan G. Katz, Secretary, accelerated approval to the proposed Securities and Exchange Commission, rule change should permit greater depth 450 Fifth Street, NW., Washington, DC and liquidity in the SPDR options 20549–0609. market that should benefit all market All submissions should refer to File participants, including retail investors. Number SR–CBOE–2005–06. This file Because the higher position limits and number should be included on the exercise limits mirror those that the subject line if e-mail is used. To help the Commission has previously approved Commission process and review your for like products, the Commission comments more efficiently, please use believes it is consistent with Sections only one method. The Commission will 6(b)(5) 10 and 19(b)(2) 11 of the Act to post all comments on the Commission’s approve the CBOE’s proposed rule Internet Web site (https://www.sec.gov/ change on an accelerated basis. rules/sro.shtml). Copies of the submission, all subsequent V. Conclusion amendments, all written statements It is therefore ordered, pursuant to with respect to the proposed rule Section 19(b)(2) of the Act,12 that the change that are filed with the proposed rule change (SR–CBOE–2005– Commission, and all written 06) is hereby approved on an communications relating to the accelerated basis. proposed rule change between the Commission and any person, other than For the Commission, by the Division of those that may be withheld from the Market Regulation, pursuant to delegated public in accordance with the authority.13 provisions of 5 U.S.C. 552, will be Margaret H. McFarland, available for inspection and copying in Deputy Secretary. the Commission’s Public Reference [FR Doc. E5–256 Filed 1–21–05; 8:45 am] Section, 450 Fifth Street, NW., BILLING CODE 8010–01–P Washington, DC 20549. Copies of such filing also will be available for 8 In approving this proposal, the Commission has inspection and copying at the principal considered its impact on efficiency, competition, office of the CBOE. All comments and capital formation. 15 U.S.C. 78c(f). received will be posted without change; 9 15 U.S.C. 78f(b)(5). the Commission does not edit personal 10 15 U.S.C. 78f(b)(5). identifying information from 11 15 U.S.C. 78s(b)(2). 12 15 U.S.C. 78s(b)(2). submissions. You should submit only 13 17 CFR 200.30–3(a)(12). information that you wish to make VerDate jul<14>2003 18:04 Jan 21, 2005 Jkt 205001 PO 00000 Frm 00055 Fmt 4703 Sfmt 4703 3409 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–51034; File No. SR–DTC– 2004–13] Self-Regulatory Organizations; Depository Trust Company; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to an Amendment of the Fee Schedule to Revise Fees for Certain Services Provided by DTC January 13, 2005. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 notice is hereby given that on December 27, 2004, The Depository Trust Company (‘‘DTC’’) filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which items have been prepared primarily by DTC. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The purpose of the proposed rule change is to revise fees for certain services provided by DTC. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, DTC 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. DTC has prepared summaries, set forth in sections (A), (B), and (C) below, of the most significant aspects of such statements.2 (A) Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change The changes to DTC’s fees for services include: 1. Reductions to book-entry delivery fees for book-entry deliveries and dropped deliveries, 2. Application of an existing surcharge for underwriting distributions of collateralized mortgage obligations to all asset-backed issues to cover the additional costs involved in handling these complex instruments, 1 15 U.S.C. 78s(b)(1). Commission has modified parts of these statements. 2 The E:\FR\FM\24JAN1.SGM 24JAN1 3410 Federal Register / Vol. 70, No. 14 / Monday, January 24, 2005 / Notices 3. Increases to delivery fees for money market instruments to recover the cost of recent modifications to the MMI system, 4. Increases to fees relating to various deposit service types to raise revenues for these services closer to full cost recovery, 5. Increases to voluntary offering instruction fees to increase cost recovery for this service in line with efforts to revise the overall fee structure for these types of corporate actions initiated last year, and 6. Increases to certain global tax services in line with a multiyear plan to revise the fee structure for this service to provide higher cost recovery. In addition, DTC’s Board approved certain disincentive fees to discourage behavior that keeps the industry from achieving peak efficiency in areas such as the use of physical securities certificates, manual adjustments, and hardcopy offering documents. The effective date for these fee adjustments is January 1, 2005. These proposed fee revisions are consistent with DTC’s overall pricing philosophy to align service fees with underlying costs, discourage manual and exception processing, and encourage immobilization and dematerialization of securities. DTC believes that the proposed rule change is consistent with the requirements of the Act, as amended, and the rules and regulations thereunder because it provides for a reasonable fee to cover costs. As such, it promotes the prompt and accurate clearance and settlement of securities transactions. (B) Self-Regulatory Organization’s Statement on Burden on Competition DTC does not believe the proposed rule change will have any impact or impose any burden on competition. (C) Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others Written comments relating to the proposed rule change have not yet been solicited or received. DTC will notify the Commission of any written comments received by DTC. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing rule change changes fees imposed by NSCC, it has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act 3 and Rule 19b– 4(f)(2) 4 promulgated thereunder. At any time within sixty days of the filing of the proposed rule change, the Commission may summarily abrogate 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. 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 • Use the Commission’s Internet comment form (https://www.sec.gov/ rules/sro.shtml) or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–DTC–2004–13 on the subject line. Paper Comments • Send paper comments in triplicate to Jonathan G. Katz, Secretary, Securities and Exchange Commission, 450 Fifth Street, NW., Washington, DC 20549–0609. All submissions should refer to File Number SR–DTC–2004–13. This file number should be included on the subject line if e-mail 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 Web site (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for inspection and copying in the Commission’s Public Reference Section, 450 Fifth Street, NW., Washington, DC 20549. Copies of such filing also will be available for inspection and copying at the principal office of DTC and on DTC’s Web site at https://www.dtc.org. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–DTC– 2004–13 and should be submitted on or before February 14, 2005. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.5 J. Lynn Taylor, Assistant Secretary. [FR Doc. E5–216 Filed 1–21–05; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–51037; File No. SR-FICC– 2004–18] Self-Regulatory Organizations; Fixed Income Clearing Corporation; Notice of Filing of Proposed Rule Change To Clarify Certain Sections of the Loss Allocation Rule of its Government Securities Division January 13, 2005. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 notice is hereby given that on October 1, 2004, the Fixed Income Clearing Corporation (‘‘FICC’’) filed with the Securities and Exchange Commission (‘‘Commission’’) and on October 27, 2004, amended the proposed rule change described in Items I, II, and III below, which items have been prepared primarily by FICC. The Commission is publishing this notice to solicit comments on the proposed rule change from interested parties. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The purpose of this proposed rule change is to clarify certain sections of the loss allocation rule of the Government Securities Division (‘‘GSD’’) of FICC. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, FICC 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. FICC has prepared summaries, set forth in sections (A), (B), 5 17 3 15 U.S.C. 78s(b)(3)(A)(ii). VerDate jul<14>2003 18:04 Jan 21, 2005 4 17 Jkt 205001 PO 00000 CFR 240.19b–4(f)(2). Frm 00056 Fmt 4703 Sfmt 4703 1 15 E:\FR\FM\24JAN1.SGM CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 24JAN1

Agencies

[Federal Register Volume 70, Number 14 (Monday, January 24, 2005)]
[Notices]
[Pages 3409-3410]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-216]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-51034; File No. SR-DTC-2004-13]


Self-Regulatory Organizations; Depository Trust Company; Notice 
of Filing and Immediate Effectiveness of a Proposed Rule Change 
Relating to an Amendment of the Fee Schedule to Revise Fees for Certain 
Services Provided by DTC

January 13, 2005.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on December 27, 2004, The 
Depository Trust Company (``DTC'') filed with the Securities and 
Exchange Commission (``Commission'') the proposed rule change as 
described in Items I, II, and III below, which items have been prepared 
primarily by DTC. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The purpose of the proposed rule change is to revise fees for 
certain services provided by DTC.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, DTC 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. DTC has prepared summaries, set forth in sections (A), 
(B), and (C) below, of the most significant aspects of such 
statements.\2\
---------------------------------------------------------------------------

    \2\ The Commission has modified parts of these statements.
---------------------------------------------------------------------------

(A) Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    The changes to DTC's fees for services include:
    1. Reductions to book-entry delivery fees for book-entry deliveries 
and dropped deliveries,
    2. Application of an existing surcharge for underwriting 
distributions of collateralized mortgage obligations to all asset-
backed issues to cover the additional costs involved in handling these 
complex instruments,

[[Page 3410]]

    3. Increases to delivery fees for money market instruments to 
recover the cost of recent modifications to the MMI system,
    4. Increases to fees relating to various deposit service types to 
raise revenues for these services closer to full cost recovery,
    5. Increases to voluntary offering instruction fees to increase 
cost recovery for this service in line with efforts to revise the 
overall fee structure for these types of corporate actions initiated 
last year, and
    6. Increases to certain global tax services in line with a 
multiyear plan to revise the fee structure for this service to provide 
higher cost recovery.
    In addition, DTC's Board approved certain disincentive fees to 
discourage behavior that keeps the industry from achieving peak 
efficiency in areas such as the use of physical securities 
certificates, manual adjustments, and hardcopy offering documents.
    The effective date for these fee adjustments is January 1, 2005. 
These proposed fee revisions are consistent with DTC's overall pricing 
philosophy to align service fees with underlying costs, discourage 
manual and exception processing, and encourage immobilization and 
dematerialization of securities.
    DTC believes that the proposed rule change is consistent with the 
requirements of the Act, as amended, and the rules and regulations 
thereunder because it provides for a reasonable fee to cover costs. As 
such, it promotes the prompt and accurate clearance and settlement of 
securities transactions.

(B) Self-Regulatory Organization's Statement on Burden on Competition

    DTC does not believe the proposed rule change will have any impact 
or impose any burden on competition.

(C) Self-Regulatory Organization's Statement on Comments on the 
Proposed Rule Change Received From Members, Participants, or Others

    Written comments relating to the proposed rule change have not yet 
been solicited or received. DTC will notify the Commission of any 
written comments received by DTC.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing rule change changes fees imposed by NSCC, it 
has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act \3\ 
and Rule 19b-4(f)(2) \4\ promulgated thereunder. At any time within 
sixty days of the filing of the proposed rule change, the Commission 
may summarily abrogate 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.
---------------------------------------------------------------------------

    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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

     Use the Commission's Internet comment form (https://
www.sec.gov/rules/sro.shtml) or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-DTC-2004-13 on the subject line.

Paper Comments

     Send paper comments in triplicate to Jonathan G. Katz, 
Secretary, Securities and Exchange Commission, 450 Fifth Street, NW., 
Washington, DC 20549-0609.
    All submissions should refer to File Number SR-DTC-2004-13. This 
file number should be included on the subject line if e-mail 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 Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the submission, all subsequent amendments, 
all written statements with respect to the proposed rule change that 
are filed with the Commission, and all written communications relating 
to the proposed rule change between the Commission and any person, 
other than those that may be withheld from the public in accordance 
with the provisions of 5 U.S.C. 552, will be available for inspection 
and copying in the Commission's Public Reference Section, 450 Fifth 
Street, NW., Washington, DC 20549. Copies of such filing also will be 
available for inspection and copying at the principal office of DTC and 
on DTC's Web site at https://www.dtc.org. All comments received will be 
posted without change; the Commission does not edit personal 
identifying information from submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-DTC-2004-13 and should be submitted on 
or before February 14, 2005.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\5\
---------------------------------------------------------------------------

    \5\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

J. Lynn Taylor,
Assistant Secretary.
 [FR Doc. E5-216 Filed 1-21-05; 8:45 am]
BILLING CODE 8010-01-P
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