Self-Regulatory Organizations; National Association of Securities Dealers, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Establish Fees for Non-Members Using the New Nasdaq Workstation, 21481-21482 [E5-1970]
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Federal Register / Vol. 70, No. 79 / Tuesday, April 26, 2005 / Notices
Important Notice. At any time within
sixty days of the filing of the proposed
rule change, the Commission may
summarily abrogate the 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.
should refer to File Number SR–FICC–
2005–08 and should be submitted on or
before May 17, 2005.
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:
BILLING CODE 8010–01–P
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–FICC–2005–08 on the
subject line.
Self-Regulatory Organizations;
National Association of Securities
Dealers, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Establish Fees for
Non-Members Using the New Nasdaq
Workstation
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–FICC–2005–08. 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
filings also will be available for
inspection and copying at the principal
office of FICC and on FICC’s Web site
at https://www.ficc.com. 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
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 March 30,
2005, the National Association of
Securities Dealers, Inc. (‘‘NASD’’),
through its subsidiary, The Nasdaq
Stock Market, Inc. (‘‘Nasdaq’’), 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 Nasdaq. Nasdaq
has filed the proposal as a ‘‘noncontroversial’’ rule change pursuant to
Section 19(b)(3)(A) of the Act 3 and Rule
19b–4(f)(6) thereunder,4 which renders
the proposed rule change effective
immediately upon filing. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
VerDate jul<14>2003
11:52 Apr 25, 2005
Jkt 205001
For the Commission by the Division of
Market Regulation, pursuant to delegated
authority.12
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5–1974 Filed 4–25–05; 8:45 am]
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–51583; File No. SR–NASD–
2005–042]
April 20, 2005.
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
Nasdaq proposes to establish fees for
non-members using the new Nasdaq
Workstation. Nasdaq will begin making
the Nasdaq Workstation available to
users on or about May 2, 2005.
The text of the proposed rule change
is available on the NASD’s Web site
(https://www.nasd.com), at the NASD’s
Office of the Secretary, and at the
Commission’s Public Reference Room.
PO 00000
12 17
CFR 200.30–3(a)(12).
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)(6).
1 15
Frm 00093
Fmt 4703
Sfmt 4703
21481
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
Nasdaq 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. Nasdaq 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
As announced in recent Nasdaq Head
Trader alerts,5 Nasdaq is replacing its
current front-end workstation, the
Nasdaq Workstation II (the ‘‘NWII’’),
with a new front-end offering. The new
Nasdaq WorkstationSM will be available
through a dedicated high-bandwidth
circuit or an internet broadband
connection, but in contrast to the NWII,
the new Nasdaq Workstation will not
require use of a service delivery
platform (‘‘SDP’’), a hardware unit
located at the subscriber’s premises.
Nasdaq believes the elimination of SDPs
would result in substantial cost savings
to users of the new Nasdaq Workstation
in comparison with the NWII. The main
version of the Nasdaq Workstation will
be referred to as ‘‘Nasdaq Workstation
Trader,’’ and can be used by members
for order and quotation entry, trade
reporting, and outbound order routing.6
In SR–NASD–2005–041,7 which is
being filed on an immediately effective
basis, Nasdaq has proposed applying the
fee schedule described below to
members using the new Workstation. In
this filing, Nasdaq is proposing applying
the same fee schedule to non-members
that subscribe to this service. The nonmembers that currently subscribe to the
NWII are service bureaus that use the
NWII to monitor information supplied
over NWII terminals for purposes of
comparison with data supplied through
their own services. Non-members are
not permitted to use the NWII, and will
5 See Nasdaq Head Trader Alert 2005–019 (March
1, 2005) and Nasdaq Head Trader Alert 2005–009
(January 25, 2005) (https://www.nasdaqtrader.com/
dynamic/ newsindex/headtraderalerts_2005.stm)
and Nasdaq Head Trader Alert 2004–105 (July 30,
2004).
6 Nasdaq’s current Weblink ACT product, which
is used for trade reporting, is being renamed
‘‘Nasdaq Workstation Post Trade.’’
7 Securities Exchange Act Release No. 51581
(April 20, 2005).
E:\FR\FM\26APN1.SGM
26APN1
21482
Federal Register / Vol. 70, No. 79 / Tuesday, April 26, 2005 / Notices
not be permitted to use the new Nasdaq
Workstation, for purposes of entering
quotes or orders.8
The new Nasdaq Workstation will
include all of the same functionality as
the NWII, however, with the exception
of a little-used market statistic query
function. Accordingly, member firms
may continue to use the Workstation
either as their primary trading medium
or as a supplemental backup system.
Nasdaq expects to discontinue support
of the NWII by the end of October 2005.
Firms that currently use the NWII will
need to transition to the new
Workstation or another front-end
solution by that time. Nasdaq will
contact all NWII customers to assist
them in their transition. Customers will
be provided with materials and training
support for the transition.
The fee for the new Nasdaq
Workstation will be $435 per user per
month, plus charges for any market data
services received through the
Workstation. The fee for the NWII is
$525 per logon 9 per month for the first
150 logons, but the NWII includes an
entitlement to Total View data and
UQDF/UTDF data, which otherwise cost
$70 per user per month and $20 per user
per month respectively. Thus, the fee for
the new Workstation plus Total View
data and UQDF/UTDF data is identical
to the fee for Nasdaq’s current NWII
offering.
To ease the transition from NWII to
the new Workstation, Nasdaq will allow
current NWII users to use any form of
the new Nasdaq Workstation without
charge for a 60-day period commencing
on the firm’s scheduled first date of use
of the new service, provided that users
continue to pay charges for existing
NWII service during that period.
2. Statutory Basis
Nasdaq believes that the proposed
rule change is consistent with the
provisions of Section 15A of the Act,10
in general, and Section 15A(b)(5) 11 of
the Act, in particular, in that it provides
for the equitable allocation of reasonable
dues, fees and other charges among
members and issuers and other persons
using any facility or system which the
NASD operates or controls. Nasdaq also
believes that the proposed rule change
would result in non-members that
receive the new Nasdaq Workstation
paying the same fees for the service as
will be paid by NASD members. Such
8 In limited circumstances, non-members may
report trades to Nasdaq. See NASD Rule 6120.
9 The term ‘‘logon’’ refers to an individual right
of access, and therefore is equivalent to the term
‘‘user’’ in the new rule.
10 15 U.S.C. 78o–3.
11 15 U.S.C. 78o–3(5).
VerDate jul<14>2003
11:52 Apr 25, 2005
Jkt 205001
Electronic Comments
fees, when added to the fees for the
TotalView and UQDF/UTDF data feeds,
are identical to the current fees for the
NWII. Because the new Workstation will
allow the elimination of SDPs
supporting the NWII, however, Nasdaq
believes that the proposed rule change
would result in substantial cost savings
for subscribers that opt to receive the
new Workstation service.
• 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–NASD–2005–042 on the
subject line.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
Nasdaq does not believe that the
proposed rule change will result in any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
• Send paper comments in triplicate
to Jonathan G. Katz, Secretary,
Securities and Exchange Commission,
450 Fifth Street, NW., Washington, DC
20549–0609.
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 proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 12 and subparagraph (f)(6) of
Rule 19b–4 thereunder,13 because
Nasdaq has designated the proposed
rule change as one that: (i) Does not
significantly affect the protection of
investors or the public interest; (ii) does
not impose any significant burden on
competition; and (iii) does not become
operative for 30 days from the date on
which it was filed, or such shorter time
as the Commission may designate if
consistent with the protection of
investors and the public interest.
Nasdaq provided the Commission with
written notice of its intent to file this
proposed rule change at least five
business days prior to the date of filing
the proposed rule change. At any time
within 60 days of the filing of such 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
purpose 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:
PO 00000
12 15
13 17
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
Frm 00094
Fmt 4703
Sfmt 4703
Paper Comments
All submissions should refer to File
Number SR–NASD–2005–042. 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 the NASD. 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–NASD–
2005–042 and should be submitted on
or before May 17, 2005.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.14
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5–1970 Filed 4–25–05; 8:45 am]
BILLING CODE 8010–01–P
14 17
E:\FR\FM\26APN1.SGM
CFR 200.30–3(a)(13).
26APN1
]]>Agencies
[Federal Register Volume 70, Number 79 (Tuesday, April 26, 2005)]
[Notices]
[Pages 21481-21482]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-1970]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-51583; File No. SR-NASD-2005-042]
Self-Regulatory Organizations; National Association of Securities
Dealers, Inc.; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change To Establish Fees for Non-Members Using the New Nasdaq
Workstation
April 20, 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 March 30, 2005, the National Association of Securities Dealers, Inc.
(``NASD''), through its subsidiary, The Nasdaq Stock Market, Inc.
(``Nasdaq''), 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 Nasdaq. Nasdaq has
filed the proposal as a ``non-controversial'' rule change pursuant to
Section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(6) thereunder,\4\
which renders the proposed rule change effective immediately upon
filing. 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)(6).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
Nasdaq proposes to establish fees for non-members using the new
Nasdaq Workstation. Nasdaq will begin making the Nasdaq Workstation
available to users on or about May 2, 2005.
The text of the proposed rule change is available on the NASD's Web
site (https://www.nasd.com), at the NASD'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, Nasdaq 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. Nasdaq 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
As announced in recent Nasdaq Head Trader alerts,\5\ Nasdaq is
replacing its current front-end workstation, the Nasdaq Workstation
II[supreg] (the ``NWII''), with a new front-end offering.
The new Nasdaq WorkstationSM will be available through a
dedicated high-bandwidth circuit or an internet broadband connection,
but in contrast to the NWII, the new Nasdaq Workstation will not
require use of a service delivery platform (``SDP''), a hardware unit
located at the subscriber's premises. Nasdaq believes the elimination
of SDPs would result in substantial cost savings to users of the new
Nasdaq Workstation in comparison with the NWII. The main version of the
Nasdaq Workstation will be referred to as ``Nasdaq Workstation
Trader,'' and can be used by members for order and quotation entry,
trade reporting, and outbound order routing.\6\
---------------------------------------------------------------------------
\5\ See Nasdaq Head Trader Alert 2005-019 (March 1, 2005) and
Nasdaq Head Trader Alert 2005-009 (January 25, 2005) (https://
www.nasdaqtrader.com/dynamic/newsindex/headtraderalerts_2005.stm)
and Nasdaq Head Trader Alert 2004-105 (July 30, 2004).
\6\ Nasdaq's current Weblink ACT product, which is used for
trade reporting, is being renamed ``Nasdaq Workstation Post Trade.''
---------------------------------------------------------------------------
In SR-NASD-2005-041,\7\ which is being filed on an immediately
effective basis, Nasdaq has proposed applying the fee schedule
described below to members using the new Workstation. In this filing,
Nasdaq is proposing applying the same fee schedule to non-members that
subscribe to this service. The non-members that currently subscribe to
the NWII are service bureaus that use the NWII to monitor information
supplied over NWII terminals for purposes of comparison with data
supplied through their own services. Non-members are not permitted to
use the NWII, and will
[[Page 21482]]
not be permitted to use the new Nasdaq Workstation, for purposes of
entering quotes or orders.\8\
---------------------------------------------------------------------------
\7\ Securities Exchange Act Release No. 51581 (April 20, 2005).
\8\ In limited circumstances, non-members may report trades to
Nasdaq. See NASD Rule 6120.
---------------------------------------------------------------------------
The new Nasdaq Workstation will include all of the same
functionality as the NWII, however, with the exception of a little-used
market statistic query function. Accordingly, member firms may continue
to use the Workstation either as their primary trading medium or as a
supplemental backup system. Nasdaq expects to discontinue support of
the NWII by the end of October 2005. Firms that currently use the NWII
will need to transition to the new Workstation or another front-end
solution by that time. Nasdaq will contact all NWII customers to assist
them in their transition. Customers will be provided with materials and
training support for the transition.
The fee for the new Nasdaq Workstation will be $435 per user per
month, plus charges for any market data services received through the
Workstation. The fee for the NWII is $525 per logon \9\ per month for
the first 150 logons, but the NWII includes an entitlement to Total
View data and UQDF/UTDF data, which otherwise cost $70 per user per
month and $20 per user per month respectively. Thus, the fee for the
new Workstation plus Total View data and UQDF/UTDF data is identical to
the fee for Nasdaq's current NWII offering.
---------------------------------------------------------------------------
\9\ The term ``logon'' refers to an individual right of access,
and therefore is equivalent to the term ``user'' in the new rule.
---------------------------------------------------------------------------
To ease the transition from NWII to the new Workstation, Nasdaq
will allow current NWII users to use any form of the new Nasdaq
Workstation without charge for a 60-day period commencing on the firm's
scheduled first date of use of the new service, provided that users
continue to pay charges for existing NWII service during that period.
2. Statutory Basis
Nasdaq believes that the proposed rule change is consistent with
the provisions of Section 15A of the Act,\10\ in general, and Section
15A(b)(5) \11\ of the Act, in particular, in that it provides for the
equitable allocation of reasonable dues, fees and other charges among
members and issuers and other persons using any facility or system
which the NASD operates or controls. Nasdaq also believes that the
proposed rule change would result in non-members that receive the new
Nasdaq Workstation paying the same fees for the service as will be paid
by NASD members. Such fees, when added to the fees for the TotalView
and UQDF/UTDF data feeds, are identical to the current fees for the
NWII. Because the new Workstation will allow the elimination of SDPs
supporting the NWII, however, Nasdaq believes that the proposed rule
change would result in substantial cost savings for subscribers that
opt to receive the new Workstation service.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78o-3.
\11\ 15 U.S.C. 78o-3(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
Nasdaq does not believe that the proposed rule change will result
in 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 proposed rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \12\ and subparagraph (f)(6) of Rule 19b-4
thereunder,\13\ because Nasdaq has designated the proposed rule change
as one that: (i) Does not significantly affect the protection of
investors or the public interest; (ii) does not impose any significant
burden on competition; and (iii) does not become operative for 30 days
from the date on which it was filed, or such shorter time as the
Commission may designate if consistent with the protection of investors
and the public interest. Nasdaq provided the Commission with written
notice of its intent to file this proposed rule change at least five
business days prior to the date of filing the proposed rule change. At
any time within 60 days of the filing of such 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 purpose of the Act.
---------------------------------------------------------------------------
\12\ 15 U.S.C. 78s(b)(3)(A).
\13\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
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-NASD-2005-042 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-NASD-2005-042. 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 the NASD. 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-NASD-2005-042 and should be
submitted on or before May 17, 2005.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\14\
---------------------------------------------------------------------------
\14\ 17 CFR 200.30-3(a)(13).
---------------------------------------------------------------------------
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5-1970 Filed 4-25-05; 8:45 am]
BILLING CODE 8010-01-P
