Self-Regulatory Organizations; Pacific Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to PCXE Rules 4.5 and 6.18(d), Relating to Compliance Date for the Series 24 and Series 27 Examination Requirements for ETP Holders, 11721-11722 [E5-977]
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Federal Register / Vol. 70, No. 45 / Wednesday, March 9, 2005 / Notices
PCAOB’s core functions of registration,
inspection, enforcement, and standardssetting.’’
In accordance with its responsibilities
to oversee the PCAOB, the Commission
reviewed both the original and revised
budgets filed by the PCAOB for 2005
and its aggregate accounting support fee
for 2005, which will fund the PCAOB’s
expenditures. During the course of the
Commission’s review, among other
things, the Commission staff reviewed
and relied upon representations and
supporting documentation from the
PCAOB.
The Commission did not identify any
proposed disbursements in the revised
budget that are not properly recoverable
through the annual accounting support
fee, and the Commission believes that
the revised aggregate proposed 2005
annual accounting support fee does not
exceed the PCAOB’s aggregate
recoverable budget expenses for 2005.
The Commission recognizes that the
PCAOB is continuing to develop its
infrastructure and will be increasing its
staffing levels significantly in 2005 in
order to fulfill its responsibilities under
the Act. However, during the next
budget cycle, the PCAOB will have
substantially completed its start-up
activities and finished a full year of
inspections, including inspections of
the eight largest registered public
accounting firms and a number of
smaller registered public accounting
firms. As the PCAOB already has
agreed, prior to the Commission’s
review of the 2006 PCAOB budget, the
Commission expects to have received:
(i) The PCAOB’s long-range strategic
plan for its operations and budget, (ii)
a self-assessment of its internal controls
for its operations and budget, and (iii)
a briefing regarding the Commission’s
initial inspection of the PCAOB, as
contemplated by Section 107(a) of the
Act, in order to enable the Commission
to assess whether the PCAOB is
fulfilling its statutory responsibilities.
Because of the specialized subject
matter of the PCAOB’s operations, we
expect that the Commission’s
examinations of the PCAOB will draw
on the expertise of several offices within
the Commission, including the Office of
Compliance, Inspections and
Examinations and the Office of the Chief
Accountant. Together, these offices will
ensure that the Commission’s
examinations of the PCAOB are tailored
to its specific operations.
Based on the foregoing, the
Commission has determined that the
PCAOB’s revised 2005 budget and
annual accounting support fee are
consistent with Section 109 of the Act.
Accordingly,
VerDate jul<14>2003
18:06 Mar 08, 2005
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It is ordered, pursuant to Section 109
of the Act, that the PCAOB budget and
annual accounting support fee for
calendar year 2005 are approved.
By the Commission.
L. Lynn Taylor,
Assistant Secretary.
[FR Doc. E5–982 Filed 3–8–05; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–51300; File No. SR–PCX–
2005–24]
Self-Regulatory Organizations; Pacific
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change to PCXE Rules 4.5 and
6.18(d), Relating to Compliance Date
for the Series 24 and Series 27
Examination Requirements for ETP
Holders
March 2, 2005.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on February
18, 2005, the Pacific Exchange, Inc.
(‘‘PCX’’ or ‘‘Exchange’’), through its
wholly owned subsidiary PCX Equities,
Inc. (‘‘PCXE’’), filed with the Securities
and Exchange Commission (‘‘SEC’’ or
‘‘Commission’’) the proposed rule
change as described in Items I, II and III
below, which Items have been prepared
by PCXE. PCXE filed this proposal
pursuant to Section 19(b)(3)(A) 3 of the
Act and Rule 19b–4(f)(3) thereunder,4
which renders the proposal effective
upon filing with the Commission. 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
PCXE proposes to amend PCXE Rule
4.5 to extend the compliance deadline
for financial/operations principals of
PCXE ETP firms to successfully
complete the National Association of
Securities Dealers, Inc.’s (‘‘NASD’’)
Financial and Operations Principal
Examination (‘‘Series 27 Examination’’)
until September 30, 2005. PCXE also
proposes to amend PCXE Rule 6.18(d) to
extend the deadline for compliance
supervisors of PCXE ETP firms to
successfully complete the NASD’s
General Securities Principal
PO 00000
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A).
4 17 CFR 240.19b–4(f)(3).
2 17
Frm 00117
Fmt 4703
Sfmt 4703
11721
Examination (‘‘Series 24 Examination’’)
until September 30, 2005. The text of
the proposed rule change is available on
PCX’s web site (https://
www.pacificex.com/legal/
legal_pending.html), at the PCX’s Office
of the Secretary, and at the
Commission’s Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
PCXE included statements concerning
the purpose of and basis for its proposal
and discussed any comments it received
regarding the proposal. The text of these
statements may be examined at the
places specified in Item IV below. PCXE
has prepared summaries, set forth in
Sections A, B and C below, of the most
significant aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Commission recently approved a
rule proposal by the Exchange to amend
PCXE Rule 4.5 and add PCXE Rule
6.18(d) to require all financial/
operations principals of PCXE Equity
Trading Permit Holders (‘‘ETP’’) Firms
to successfully complete the Series 27
Examination and to require all
compliance supervisors of PCXE ETP
Firms to successfully complete the
Series 24 Examination.5 Both rules
contained compliance deadlines of
March 31, 2005. The purpose of this
filing is to extend the compliance
deadline until September 30, 2005. For
ETP Holders to become compliant with
the approved rules they either need to
study for and pass the Series 24 and 27
Examinations or hire individuals who
have already passed these examinations.
The Commission approved these rules
on January 14, 2005 and the notice
approving these rules appeared in the
Federal Register on January 24, 2005.6
The Exchange believes that providing
ETP Holders with only two months time
to become compliant with the recently
approved rules is neither sufficient nor
practical. In addition, the Exchange
underestimated the number of ETP
Holders who would be affected by this
rule change as well as the impact it
would have on all ETP Holders,
especially the smaller ETP Holders.
Therefore, extending the compliance
5 See Securities Exchange Act Release No. 51038
(January 14, 2005), 70 FR 03417 (January 24, 2005)
(SR–PCX–2004–96).
6 See supra note 5.
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09MRN1
11722
Federal Register / Vol. 70, No. 45 / Wednesday, March 9, 2005 / Notices
deadline until September 30, 2005 is
necessary to give ETP Holders a
reasonable amount of time come into
compliance with the new rules.
2. Statutory Basis
PCXE believes that the proposed rule
change is consistent with Section 6(b) of
the Act 7 in general, and further the
objectives of Section 6(b)(5) of the Act 8
in particular, because it is designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to foster
cooperation and coordination with
persons engaged in facilitating
transactions in securities, and to remove
impediments to and perfect the
mechanism of a free and open market
and a national market system.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
PCXE does not believe that the
proposed rule change will impose any
burden on competition that is 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
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing proposed rule change
has become effective pursuant to
Section 19(b)(3)(A)(iii) of the Act 9 and
Rule 19b–4(f)(3) 10 thereunder because it
constitutes a stated policy with respect
to the enforcement of an existing rule of
the self-regulatory organization. At any
time within 60 days of the filing of such
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–PCX–2005–24 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–PCX–2005–24. 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
Room. Copies of such filing also will be
available for inspection and copying at
the principal office of the PCX. 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–PCX–2005–24 and should
be submitted on or before March 30,
2005.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.11
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5–977 Filed 3–8–05; 8:45 am]
BILLING CODE 8010–01–P
7 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
9 15 U.S.C. 78s(b)(3)(A)(iii).
10 17 CFR 240.19b–4(f)(3).
8 15
VerDate jul<14>2003
18:06 Mar 08, 2005
11 17
Jkt 205001
PO 00000
CFR 200.30–3(a)(12).
Frm 00118
Fmt 4703
Sfmt 4703
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–51302; File No. SR–Phlx–
2005–09]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of a Proposed Rule Change by the
Philadelphia Stock Exchange, Inc.
Relating to Fees for Data Provided to
Streaming Quote Traders Trading
Options on the Exchange’s Electronic
Trading Platform, Phlx XL
March 2, 2005.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 2 thereunder,
notice is hereby given that on January
28, 2005, the Philadelphia Stock
Exchange, Inc. (‘‘Phlx’’ or ‘‘Exchange’’)
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 by the Phlx. The
proposed rule change has been filed by
the Phlx as establishing or changing a
due, fee, or other change, pursuant to
Section 19(b)(3)(A)(ii) of the Act,3 and
Rule 19b–4(f)(2) 4 thereunder, which
renders the proposal effective upon
filing with the Commission. 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 Phlx proposes to amend its fee
schedule relating to its electronic
trading platform for options, Phlx XL.5
Specifically, the Exchange proposes to
establish charges applicable to Exchange
Registered Options Traders (‘‘ROTs’’)
that submit proprietary electronic
quotations (‘‘streaming quotes’’).6
The Exchange has determined to
charge SQTs a 100% pass-through
charge relating to costs borne by the
Exchange for data it will provide to
SQTs who desire to obtain real-time
underlying data to enable them to price
the overlying options (known as
‘‘Hyperfeed’’ costs) 7 in addition to any
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
5 See Securities Exchange Act Release No. 49832
(June 8, 2004), 69 FR 33442 (June 15, 2004) (SR–
Phlx–2003–59).
6 Such ROTs are known as Streaming Quote
Traders (‘‘SQTs’’). See Exchange Rule 1014(b).
7 SQTs trading options on Phlx XL generally use
handheld devices for the purpose of streaming
quotations in options in which they are assigned.
The Exchange does not supply the handheld
devices; SQTs generally obtain the handheld
2 17
E:\FR\FM\09MRN1.SGM
09MRN1
]]>Agencies
[Federal Register Volume 70, Number 45 (Wednesday, March 9, 2005)]
[Notices]
[Pages 11721-11722]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-977]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-51300; File No. SR-PCX-2005-24]
Self-Regulatory Organizations; Pacific Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change to PCXE
Rules 4.5 and 6.18(d), Relating to Compliance Date for the Series 24
and Series 27 Examination Requirements for ETP Holders
March 2, 2005.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on February 18, 2005, the Pacific Exchange, Inc. (``PCX'' or
``Exchange''), through its wholly owned subsidiary PCX Equities, Inc.
(``PCXE''), filed with the Securities and Exchange Commission (``SEC''
or ``Commission'') the proposed rule change as described in Items I, II
and III below, which Items have been prepared by PCXE. PCXE filed this
proposal pursuant to Section 19(b)(3)(A) \3\ of the Act and Rule 19b-
4(f)(3) thereunder,\4\ which renders the proposal effective upon filing
with the Commission. 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).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A).
\4\ 17 CFR 240.19b-4(f)(3).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
PCXE proposes to amend PCXE Rule 4.5 to extend the compliance
deadline for financial/operations principals of PCXE ETP firms to
successfully complete the National Association of Securities Dealers,
Inc.'s (``NASD'') Financial and Operations Principal Examination
(``Series 27 Examination'') until September 30, 2005. PCXE also
proposes to amend PCXE Rule 6.18(d) to extend the deadline for
compliance supervisors of PCXE ETP firms to successfully complete the
NASD's General Securities Principal Examination (``Series 24
Examination'') until September 30, 2005. The text of the proposed rule
change is available on PCX's web site (https://www.pacificex.com/legal/
legal_pending.html), at the PCX's Office of the Secretary, and at the
Commission's Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, PCXE included statements
concerning the purpose of and basis for its proposal and discussed any
comments it received regarding the proposal. The text of these
statements may be examined at the places specified in Item IV below.
PCXE has prepared summaries, set forth in Sections A, B and C below, of
the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Commission recently approved a rule proposal by the Exchange to
amend PCXE Rule 4.5 and add PCXE Rule 6.18(d) to require all financial/
operations principals of PCXE Equity Trading Permit Holders (``ETP'')
Firms to successfully complete the Series 27 Examination and to require
all compliance supervisors of PCXE ETP Firms to successfully complete
the Series 24 Examination.\5\ Both rules contained compliance deadlines
of March 31, 2005. The purpose of this filing is to extend the
compliance deadline until September 30, 2005. For ETP Holders to become
compliant with the approved rules they either need to study for and
pass the Series 24 and 27 Examinations or hire individuals who have
already passed these examinations. The Commission approved these rules
on January 14, 2005 and the notice approving these rules appeared in
the Federal Register on January 24, 2005.\6\ The Exchange believes that
providing ETP Holders with only two months time to become compliant
with the recently approved rules is neither sufficient nor practical.
In addition, the Exchange underestimated the number of ETP Holders who
would be affected by this rule change as well as the impact it would
have on all ETP Holders, especially the smaller ETP Holders. Therefore,
extending the compliance
[[Page 11722]]
deadline until September 30, 2005 is necessary to give ETP Holders a
reasonable amount of time come into compliance with the new rules.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 51038 (January 14,
2005), 70 FR 03417 (January 24, 2005) (SR-PCX-2004-96).
\6\ See supra note 5.
---------------------------------------------------------------------------
2. Statutory Basis
PCXE believes that the proposed rule change is consistent with
Section 6(b) of the Act \7\ in general, and further the objectives of
Section 6(b)(5) of the Act \8\ in particular, because it is designed to
prevent fraudulent and manipulative acts and practices, to promote just
and equitable principles of trade, to foster cooperation and
coordination with persons engaged in facilitating transactions in
securities, and to remove impediments to and perfect the mechanism of a
free and open market and a national market system.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
PCXE does not believe that the proposed rule change will impose any
burden on competition that is 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
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing proposed rule change has become effective pursuant to
Section 19(b)(3)(A)(iii) of the Act \9\ and Rule 19b-4(f)(3) \10\
thereunder because it constitutes a stated policy with respect to the
enforcement of an existing rule of the self-regulatory organization. At
any time within 60 days of the filing of such 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.
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78s(b)(3)(A)(iii).
\10\ 17 CFR 240.19b-4(f)(3).
---------------------------------------------------------------------------
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-PCX-2005-24 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-PCX-2005-24. 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 Room. Copies of such
filing also will be available for inspection and copying at the
principal office of the PCX. 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-PCX-2005-24 and should be submitted on or before March
30, 2005.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\11\
---------------------------------------------------------------------------
\11\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5-977 Filed 3-8-05; 8:45 am]
BILLING CODE 8010-01-P
