Self-Regulatory Organizations; National Association of Securities Dealers, Inc.; Notice of Filing of Proposed Rule Change To Re-establish a Fee Pilot for National Quotation Data Service, 8027-8029 [E6-2110]
Download as PDF
<![CDATA[
8027
Federal Register / Vol. 71, No. 31 / Wednesday, February 15, 2006 / Notices
the proposed rule change, as amended,
would establish a uniform fee schedule
for the Nasdaq Facilities that takes
account of the higher volumes
associated with the combining of the
Nasdaq Facilities for purposes of
determining pricing discounts. Nasdaq
does not currently anticipate that the
new pricing structure would have a
material impact on its financial results.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
Nasdaq does not believe that the
proposed rule change, as amended, 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
Nasdaq states that written comments
were neither solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change, as
amended, is subject to Section
19(b)(3)(A)(ii) of the Act 18 and
subparagraph (f)(2) of Rule 19b–4 19
thereunder because it establishes or
changes a due, fee, or other charge
imposed by the self-regulatory
organization. Accordingly, the proposal
is effective upon Commission receipt of
the filing. 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.20
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change, as amended, is consistent with
the Act. Comments may be submitted by
any of the following methods:
18 15
U.S.C. 78s(b)(3)(A)(ii).
CFR 240.19b–4(f)(2).
20 The effective date of the original proposed rule
change is January 30, 2006, and the effective date
of Amendment No. 1 is February 1, 2006. For
purposes of calculating the 60-day period within
which the Commission may summarily abrogate the
proposed rule change, as amended, the Commission
considers the period to commence on February 1,
2006, the date on which the Exchange submitted
Amendment No. 1. See 15 U.S.C. 78s(b)(3)(C).
cprice-sewell on PROD1PC66 with NOTICES
19 17
VerDate Aug<31>2005
13:17 Feb 14, 2006
Jkt 208001
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–NASD–2006–013 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–NASD–2006–013. 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 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–2006–013 and
should be submitted on or before March
8, 2006.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.21
J. Lynn Taylor,
Assistant Secretary.
[FR Doc. E6–2106 Filed 2–14–06; 8:45 am]
BILLING CODE 8010–01–P
21 17
PO 00000
CFR 200.30–3(a)(12).
Frm 00116
Fmt 4703
Sfmt 4703
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–53254; File No. SR–NASD–
2006–008]
Self-Regulatory Organizations;
National Association of Securities
Dealers, Inc.; Notice of Filing of
Proposed Rule Change To Reestablish a Fee Pilot for National
Quotation Data Service
February 8, 2006.
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 January
24, 2006, 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 the Nasdaq. The
Commission is publishing this notice to
solicit comments on the proposed rule
change, as amended, from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Nasdaq proposes to re-establish
retroactively through September 1,
2005, a pilot program under NASD Rule
7010(h), which reduced from $50 to $10
the monthly fee that non-professional
users pay to receive National Quotation
Data Service (‘‘NQDS’’). Nasdaq is
simultaneously filing a separate rule
proposal to re-establish the same pilot
program prospectively through
December 29, 2006, the date the pilot
inadvertently was permitted to lapse.
The text of the rule is below. There is
no new proposed language.3
7010. System Services
*
*
*
*
*
(h) National Quotation Data Service
(NQDS)
(1) Except as provided in
subparagraph (2) of this section, the
charge to be paid for each interrogation
or display device receiving all or any
portion of the information disseminated
through the NQDS shall be $50.00 per
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Changes are marked to the rule text that appears
in the electronic NASD Manual found at https://
www.nasd.com. Prior to the date when The Nasdaq
Stock Market LLC (‘‘Nasdaq LLC’’ commences
operations, Nasdaq LLC will file a conforming
change to the rules of Nasdaq LLC approved in
Securities Exchange Act Release No. 53128 (January
13, 2006).
2 17
E:\FR\FM\15FEN1.SGM
15FEN1
8028
Federal Register / Vol. 71, No. 31 / Wednesday, February 15, 2006 / Notices
month. The NQDS information that will
be provided through service consists of
individual market maker quotations,
Nasdaq Level 1 Service and the Last
Sale Information Service.
(2) The charge to be paid by a nonprofessional for each interrogation or
display device receiving all or any
portion of the NQDS information
disseminated through an authorized
vendor shall be $10.00 per month.
(3) A ‘‘non-professional’’ is a natural
person who is neither:
(A) Registered or qualified in any
capacity with the Commission, the
Commodity Futures Trading
Commission, any state securities
agency, any securities exchange or
association, or any commodities or
futures contract market or association;
(B) Engaged as an ‘‘investment
adviser’’ as that term defined in Section
201(11) of the Investment Advisors Act
of 1940 (whether or not registered or
qualified under that Act); nor
(C) Employed by a bank or other
organization exempt from registration
under federal or state securities laws to
perform functions that would require
registration or qualification if such
functions were performed for an
organization not so exempt.
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.
cprice-sewell on PROD1PC66 with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
Nasdaq proposes to re-establish
retroactively through September 1,
2005, the fee reduction pilot program
under NASD Rule 7010(h) that reduced
from $50 to $10 the monthly fee that
non-professional users pay to receive
NQDS.
NQDS delivers market maker
quotations, Nasdaq Level 1 4 service
(including calculation and display of
the inside market), and last sale
4 Pursuant to NASD Rule 7010(e), Nasdaq
separately distributes Level 1 data to nonprofessionals for a monthly fee of $1.00.
VerDate Aug<31>2005
13:17 Feb 14, 2006
Jkt 208001
information that is dynamically updated
on a real-time basis. NQDS data is used
not only by firms, associated persons,
and other market professionals, but also
by non-professionals who receive the
service through authorized vendors,
including, for example, on-line
brokerage firms. Prior to August 31,
2000, NQDS data was available through
authorized vendors at a monthly rate of
$50 for professionals and nonprofessionals users alike. In August
2000, the NASD, through Nasdaq, filed
a rule change to reduce from $50 to $10
the monthly fee that non-professional
users pay to receive NQDS data.5 The
Commission approved the pilot on
August 22, 2000, and the fee reduction
commenced on August 31, 2000 on a
one-year pilot basis.6 On September 5,
2001, August 29, 2002, August 15, 2003,
and August 20, 2004, Nasdaq filed
proposed rule changes to extend the
pilot for additional one-year periods.7
Nasdaq has consistently supported
broad, effective dissemination of market
information to public investors. Thus,
Nasdaq is proposing to re-establish the
fee-reduction pilot for the remainder of
2006. The pilot would cover the period
from January 24, 2006, through
December 29, 2006. Nasdaq notes that
the existing pilot reduced by 80% the
fees that non-professionals paid for
NQDS data prior to August 31, 2000.
Continuing the reduction of NQDS for
non-professional users demonstrates
Nasdaq’s continued commitment to
individual investors and responds to the
dramatic increase in the demand for
real-time market data by nonprofessional market participants. In
addition, NASD member firms often
supply real-time market data to their
customers through automated means.
Thus, NASD member firms’ customers
would benefit from the continued fee
reduction.
2. Statutory Basis
Nasdaq believes that the proposed
rule change is consistent with the
provisions of section 15A of the Act,8 in
general, and with section 15A(b)(5) of
the Act,9 in particular, in that it
provides for the equitable allocation of
reasonable dues, fees and other charges
5 See Securities Exchange Act Release No. 43190
(August 22, 2000), 65 FR 52460 (August 29, 2000)
(notice of filing and order granting accelerated
approval of NASD–00–47).
6 Id.
7 See Securities Exchange Act Release Nos. 44788
(September 13, 2001), 66 FR 48303 (September 19,
2001); 46446 (August 30, 2002), 67 FR 57260
(September 9, 2002); 48386 (August 21, 2003), 68
FR 51618 (August 27, 2003); and 50318 (September
3, 2004), 69 FR 54821 (September 10, 2004).
8 15 U.S.C. 78o–3.
9 15 U.S.C. 78o–3(b)(5).
PO 00000
Frm 00117
Fmt 4703
Sfmt 4703
among members and issuers and other
persons using any facility or system
which the Nasdaq operates or controls,
and it does not unfairly discriminate
between customers, issuers, brokers or
dealers. Nasdaq also believes that the
fee reduction enhances the public’s
access to market data that is relevant to
investors when they make financial
decisions and encourages increased
public participation in the securities
markets.
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
Within 35 days of the date of
publication of this notice in the Federal
Register or within such longer period (i)
as the Commission may designate up to
90 days of such date if it finds such
longer period to be appropriate and
publishes its reasons for so finding or
(ii) as to which the NASD consents, the
Commission will:
(A) By order approve such proposed
rule change or
(B) Institute proceedings to determine
whether the proposed rule change
should be disapproved.
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–NASD–2006–008 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
Station Place, 100 F Street, NE.,
Washington, DC 20549–1090.
E:\FR\FM\15FEN1.SGM
15FEN1
Federal Register / Vol. 71, No. 31 / Wednesday, February 15, 2006 / Notices
All submissions should refer to File
Number SR–NASD–2006–008. 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 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–2006–008 and
should be submitted on or before March
8, 2006.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.10
J. Lynn Taylor,
Assistant Secretary.
[FR Doc. E6–2110 Filed 2–14–06; 8:45 am]
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–53253; File No. SR–PCX–
2005–123]
Self-Regulatory Organizations; Pacific
Exchange, Inc.; Notice of Filing and
Order Granting Accelerated Approval
of Proposed Rule Change and
Amendment Nos. 1 and 2 Thereto
Relating to Currency Trust Shares.
cprice-sewell on PROD1PC66 with NOTICES
February 8, 2006.
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 November
11, 2005, the Pacific Exchange, Inc.
(‘‘PCX’’ or ‘‘Exchange’’), through its
wholly owned subsidiary PCX Equities,
CFR 200.30–3(a)(12).
U.S.C 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
VerDate Aug<31>2005
13:17 Feb 14, 2006
Jkt 208001
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange, through PCXE,
proposes to amend its rules governing
the Archipelago Exchange (‘‘ArcaEx’’),
the equities trading facility of PCXE.
The Exchange proposes new PCXE Rule
8.202 in order to permit trading, either
by listing or pursuant to unlisted trading
privileges (‘‘UTP’’), shares issued by a
trust that holds a specified non-U.S.
currency (‘‘Currency Trust Shares’’). In
addition, the Exchange proposes to
trade, pursuant to UTP, Euro Shares
(‘‘Shares’’ or ‘‘Euro Shares’’), which
represent units of fractional undivided
beneficial interest in and ownership of
the Euro Currency Trust (the ‘‘Trust’’),
which is sponsored by Rydex
Specialized Products LLC.
The text of the proposed rule change
appears below. Additions are in italics.
Deleted items are in [brackets].
*
*
*
*
*
Rule 8.202.
BILLING CODE 8010–01–P
10 17
Inc. (‘‘PCXE’’ or ‘‘Corporation’’), filed
with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II below, which Items have
been prepared by the Exchange. On
January 13, 2006, PCX filed Amendment
No. 1 to the proposed rule change.3 On
January 13, 2006, PCX filed Amendment
No. 2 to the proposed rule change.4 The
Commission is publishing this notice to
solicit comments on the proposed rule
change, as amended, from interested
persons and is approving the proposal
on an accelerated basis.
Currency Trust Shares
(a) The Corporation will consider for
trading, whether by listing or pursuant
to unlisted trading privileges, Currency
Trust Shares that meet the criteria of
this Rule.
(b) Applicability. This Rule is
applicable only to Currency Trust
Shares. Except to the extent inconsistent
with this Rule, or unless the context
otherwise requires, the provisions of the
trust issued receipts rules, Bylaws, and
all other rules and procedures of the
Board of Directors shall be applicable to
the trading on the Corporation of such
securities. Currency Trust Shares are
included within the definition of
‘‘security’’ or ‘‘securities’’ as such terms
3 3 In Amendment No. 1, the Exchange clarified
and supplemented certain aspects of its proposal.
Amendment No. 1 replaces and supplements the
information provided in various sections of the
Exchange’s Form 19b–4.
4 In Amendment No. 2, the Exchange further
clarified and supplemented certain aspects of its
proposal.
PO 00000
Frm 00118
Fmt 4703
Sfmt 4703
8029
are used in the Bylaws and Rules of the
Corporation.
(c) Currency Trust Shares. The term
‘‘Currency Trust Shares’’ as used in the
Rules shall, unless the context otherwise
requires, mean a security that (a) is
issued by a trust (‘‘Trust’’) that holds a
specified non-U.S. currency deposited
with the Trust; (b) when aggregated in
some specified minimum number may
be surrendered to the Trust by the
beneficial owner to receive the specified
non-U.S. currency; and (c) pays
beneficial owners interest and other
distributions on the deposited non-U.S.
currency, if any, declared and paid by
the Trust.
(d) Designation of Non-U.S. Currency.
The Corporation may trade, either by
listing or pursuant to unlisted trading
privileges, Currency Trust Shares that
hold a specified non-U.S. currency.
Each issue of Currency Trust Shares
shall be designated as a separate series
and shall be identified by a unique
symbol.
(e) Initial and Continued Listing.
Currency Trust Shares will be listed and
traded on the Corporation subject to
application of the following criteria:
(1) Initial Listing —the Corporation
will establish a minimum number of
Currency Trust Shares required to be
outstanding at the time of
commencement of trading on the
Corporation.
(2) Continued Listing —following the
initial 12 month period following
commencement of trading on the
Corporation of Currency Trust Shares,
the Corporation will consider the
suspension of trading in or removal
from listing of such series under any of
the following circumstances:
(i) if the Trust has more than 60 days
remaining until termination and there
are fewer than 50 record and/or
beneficial holders of Currency Trust
Shares for 30 or more consecutive
trading days; or
(ii) if the Trust has fewer than 50,000
Currency Trust Shares issued and
outstanding; or
(iii) if the market value of all Currency
Trust Shares issued and outstanding is
less than $1,000,000; or
(iv) if the value of the applicable nonU.S. currency is no longer calculated or
available on at least a 15-second
delayed basis from a source unaffiliated
with the sponsor, Trust, custodian or the
Exchange or the Exchange stops
providing a hyperlink on its Web site to
any such unaffiliated applicable nonU.S. currency value;
(v) if the Indicative Trust Value is no
longer made available on at least a 15second delayed basis; or
E:\FR\FM\15FEN1.SGM
15FEN1
]]>Agencies
[Federal Register Volume 71, Number 31 (Wednesday, February 15, 2006)]
[Notices]
[Pages 8027-8029]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-2110]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-53254; File No. SR-NASD-2006-008]
Self-Regulatory Organizations; National Association of Securities
Dealers, Inc.; Notice of Filing of Proposed Rule Change To Re-establish
a Fee Pilot for National Quotation Data Service
February 8, 2006.
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 January 24, 2006, 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 the Nasdaq. The
Commission is publishing this notice to solicit comments on the
proposed rule change, as amended, from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Nasdaq proposes to re-establish retroactively through September 1,
2005, a pilot program under NASD Rule 7010(h), which reduced from $50
to $10 the monthly fee that non-professional users pay to receive
National Quotation Data Service (``NQDS''). Nasdaq is simultaneously
filing a separate rule proposal to re-establish the same pilot program
prospectively through December 29, 2006, the date the pilot
inadvertently was permitted to lapse. The text of the rule is below.
There is no new proposed language.\3\
---------------------------------------------------------------------------
\3\ Changes are marked to the rule text that appears in the
electronic NASD Manual found at https://www.nasd.com. Prior to the
date when The Nasdaq Stock Market LLC (``Nasdaq LLC'' commences
operations, Nasdaq LLC will file a conforming change to the rules of
Nasdaq LLC approved in Securities Exchange Act Release No. 53128
(January 13, 2006).
---------------------------------------------------------------------------
7010. System Services
* * * * *
(h) National Quotation Data Service (NQDS)
(1) Except as provided in subparagraph (2) of this section, the
charge to be paid for each interrogation or display device receiving
all or any portion of the information disseminated through the NQDS
shall be $50.00 per
[[Page 8028]]
month. The NQDS information that will be provided through service
consists of individual market maker quotations, Nasdaq Level 1 Service
and the Last Sale Information Service.
(2) The charge to be paid by a non-professional for each
interrogation or display device receiving all or any portion of the
NQDS information disseminated through an authorized vendor shall be
$10.00 per month.
(3) A ``non-professional'' is a natural person who is neither:
(A) Registered or qualified in any capacity with the Commission,
the Commodity Futures Trading Commission, any state securities agency,
any securities exchange or association, or any commodities or futures
contract market or association;
(B) Engaged as an ``investment adviser'' as that term defined in
Section 201(11) of the Investment Advisors Act of 1940 (whether or not
registered or qualified under that Act); nor
(C) Employed by a bank or other organization exempt from
registration under federal or state securities laws to perform
functions that would require registration or qualification if such
functions were performed for an organization not so exempt.
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
Nasdaq proposes to re-establish retroactively through September 1,
2005, the fee reduction pilot program under NASD Rule 7010(h) that
reduced from $50 to $10 the monthly fee that non-professional users pay
to receive NQDS.
NQDS delivers market maker quotations, Nasdaq Level 1 \4\ service
(including calculation and display of the inside market), and last sale
information that is dynamically updated on a real-time basis. NQDS data
is used not only by firms, associated persons, and other market
professionals, but also by non-professionals who receive the service
through authorized vendors, including, for example, on-line brokerage
firms. Prior to August 31, 2000, NQDS data was available through
authorized vendors at a monthly rate of $50 for professionals and non-
professionals users alike. In August 2000, the NASD, through Nasdaq,
filed a rule change to reduce from $50 to $10 the monthly fee that non-
professional users pay to receive NQDS data.\5\ The Commission approved
the pilot on August 22, 2000, and the fee reduction commenced on August
31, 2000 on a one-year pilot basis.\6\ On September 5, 2001, August 29,
2002, August 15, 2003, and August 20, 2004, Nasdaq filed proposed rule
changes to extend the pilot for additional one-year periods.\7\
---------------------------------------------------------------------------
\4\ Pursuant to NASD Rule 7010(e), Nasdaq separately distributes
Level 1 data to non-professionals for a monthly fee of $1.00.
\5\ See Securities Exchange Act Release No. 43190 (August 22,
2000), 65 FR 52460 (August 29, 2000) (notice of filing and order
granting accelerated approval of NASD-00-47).
\6\ Id.
\7\ See Securities Exchange Act Release Nos. 44788 (September
13, 2001), 66 FR 48303 (September 19, 2001); 46446 (August 30,
2002), 67 FR 57260 (September 9, 2002); 48386 (August 21, 2003), 68
FR 51618 (August 27, 2003); and 50318 (September 3, 2004), 69 FR
54821 (September 10, 2004).
---------------------------------------------------------------------------
Nasdaq has consistently supported broad, effective dissemination of
market information to public investors. Thus, Nasdaq is proposing to
re-establish the fee-reduction pilot for the remainder of 2006. The
pilot would cover the period from January 24, 2006, through December
29, 2006. Nasdaq notes that the existing pilot reduced by 80% the fees
that non-professionals paid for NQDS data prior to August 31, 2000.
Continuing the reduction of NQDS for non-professional users
demonstrates Nasdaq's continued commitment to individual investors and
responds to the dramatic increase in the demand for real-time market
data by non-professional market participants. In addition, NASD member
firms often supply real-time market data to their customers through
automated means. Thus, NASD member firms' customers would benefit from
the continued fee reduction.
2. Statutory Basis
Nasdaq believes that the proposed rule change is consistent with
the provisions of section 15A of the Act,\8\ in general, and with
section 15A(b)(5) of the Act,\9\ 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 Nasdaq operates or controls, and it does not unfairly
discriminate between customers, issuers, brokers or dealers. Nasdaq
also believes that the fee reduction enhances the public's access to
market data that is relevant to investors when they make financial
decisions and encourages increased public participation in the
securities markets.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78o-3.
\9\ 15 U.S.C. 78o-3(b)(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
Within 35 days of the date of publication of this notice in the
Federal Register or within such longer period (i) as the Commission may
designate up to 90 days of such date if it finds such longer period to
be appropriate and publishes its reasons for so finding or (ii) as to
which the NASD consents, the Commission will:
(A) By order approve such proposed rule change or
(B) Institute proceedings to determine whether the proposed rule
change should be disapproved.
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-2006-008 on the subject line.
Paper Comments
Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, Station Place, 100 F
Street, NE., Washington, DC 20549-1090.
[[Page 8029]]
All submissions should refer to File Number SR-NASD-2006-008. 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 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-2006-008 and should be submitted on or before March
8, 2006.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\10\
J. Lynn Taylor,
Assistant Secretary.
---------------------------------------------------------------------------
\10\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
[FR Doc. E6-2110 Filed 2-14-06; 8:45 am]
BILLING CODE 8010-01-P
