Self-Regulatory Organizations; International Securities Exchange, LLC ; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Fee Changes, 78241-78242 [E6-22193]
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Federal Register / Vol. 71, No. 249 / Thursday, December 28, 2006 / Notices
available for inspection and copying at
the Office of the Secretary of the
Committee, currently located at the
NYSEArca, 100 South Wacker Drive,
Suite 1800, Chicago, IL 60606. 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 S7–24–89 and should be
submitted on or before January 18, 2007.
IV. Conclusion
It is therefore ordered, pursuant to
Sections 12(f) and 11A of the Act 12 and
paragraph (b)(4) of Rule 608
thereunder,13 that the operation of the
Plan, as modified by all changes
previously approved, be, and hereby is,
extended, for a period of 120 days from
the date of publication of this Date
Extension in the Federal Register.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.14
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E6–22198 Filed 12–27–06; 8:45 am]
BILLING CODE 8011–01–P
[Release No. 34–54971; File No. SR–ISE–
2006–65]
Self-Regulatory Organizations;
International Securities Exchange, LLC
; Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change Relating to Fee Changes
December 20, 2006.
sroberts on PROD1PC70 with NOTICES
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
21, 2006, the International Securities
Exchange, LLC (‘‘Exchange’’ or ‘‘ISE’’)
filed with the Securities and Exchange
Commission the proposed rule change,
as described in Items I, II, and III below,
which items have been prepared by the
Exchange. The ISE has designated this
proposal as one establishing or changing
a due, fee, or other charge imposed by
the CBOE under Section 19(b)(3)(A)(ii)
of the Act,3 and Rule 19b–4(f)(2)
U.S.C. 78l(f) and 15 U.S.C. 78k–1.
CFR 242.608(b)(4).
14 17 CFR 200.30–3(a)(27).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
13 17
VerDate Aug<31>2005
20:03 Dec 27, 2006
Jkt 211001
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The ISE is proposing to amend its
Schedule of Fees to establish fees for
transactions in options on 3 Premium
Products.5 The text of the proposed rule
change is available on the ISE’s Web site
(https://www.iseoptions.com), at the
principal office of the ISE, 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, the
ISE 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. The ISE 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
SECURITIES AND EXCHANGE
COMMISSION
12 15
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. Purpose
The Exchange is proposing to amend
its Schedule of Fees to establish fees for
transactions in options on the following
3 Premium Products: streetTRACKS
KBW Bank ETF (‘‘KBE’’), streetTRACKS
KBW Capital Markets ETF (‘‘KCE’’), and
streetTRACKS KBW Insurance ETF
(‘‘KIE’’).6 Specifically, the Exchange is
4 17
CFR 240.19b–4(f)(2).
Products is defined in the Schedule of
Fees as the products enumerated therein.
6 The ‘‘KBW Bank Indexsm’’, the ‘‘KBW Capital
Markets Indexsm,’’ the ‘‘KBW Insurance Indexsm,’’
‘‘KBW’’ and ‘‘Keefe, Bruyette & Woodssm’’ are
service marks of Keefe, Bruyette & Woods, Inc.sm,
and have been licensed for use by State Street bank
and Trust in connection with the listing and trading
of KBE, KCE, and KIE on the American Stock
Exchange. KBE, KCE and KIE are not sponsored,
sold or endorsed by Keefe, Bruyette &Woods, Inc.
and Keefe, Bruyette &Woods, Inc. makes no
representation regarding the advisability of
investing in KBE, KCE and KIE. Keefe, Bruyette
&Woods, Inc. has not licensed or authorized ISE to
(i) engage in the creation, listing, provision of a
market for trading, marketing, and promotion of
options on KBE, KCE and KIE or (ii) to use and refer
to any of their trademarks or service marks in
connection with the listing, provision of a market
for trading, marketing, and promotion of options on
KBE, KCE and KIE or with making disclosures
concerning options on KBE, KCE and KIE under any
5 Premium
PO 00000
Frm 00114
Fmt 4703
Sfmt 4703
78241
proposing to adopt an execution fee and
a comparison fee for all transactions in
options on KBE, KCE and KIE.7 The
amount of the execution fee and
comparison fee for products covered by
this filing would be $0.15 and $0.03 per
contract, respectively, for all Public
Customer Orders 8 and Firm Proprietary
orders. The amount of the execution fee
and comparison fee for all ISE Market
Maker transactions would be equal to
the execution fee and comparison fee
currently charged by the Exchange for
ISE Market Maker transactions in equity
options.9 Finally, the amount of the
execution fee and comparison fee for all
non-ISE Market Maker transactions
would be $0.16 and $0.03 per contract,
respectively. All of the applicable fees
covered by this filing are identical to
fees charged by the Exchange for all
other Premium Products. The Exchange
believes the proposed rule change will
further the Exchange’s goal of
introducing new products to the
marketplace that are competitively
priced.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the requirement of Section 6(b)(4) of the
Act 10 that an exchange have an
equitable allocation of reasonable dues,
fees and other charges among its
members and other persons using its
facilities.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The ISE does not believe that the
proposed rule change will impose any
inappropriate burden on competition.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received from
Members, Participants, or Others
No written comments were either
solicited or received.
applicable federal or state laws, rules or regulations.
Keefe, Bruyette & Woods, Inc. does not sponsor,
endorse, or promote such activity by ISE and is not
affiliated in any manner with ISE. KBE, KCE, and
KIE constitute ‘‘Fund Shares,’’ as defined by ISE
Rule 502(h).
7 These fees will be charged only to Exchange
members. Under a pilot program that is set to expire
on July 31, 2007, these fees will also be charged to
Linkage Orders (as defined in ISE Rule 1900).
8 Public Customer Order is defined in Exchange
Rule 100(a)(33) as an order for the account of a
Public Customer. Public Customer is defined in
Exchange Rule 100(a)(32) as a person that is not a
broker or dealer in securities.
9 The execution fee is currently between $.21 and
$.12 per contract side, depending on the Exchange
Average Daily Volume, and the comparison fee is
currently $.03 per contract side.
10 15 U.S.C. 78f(b)(4).
E:\FR\FM\28DEN1.SGM
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78242
Federal Register / Vol. 71, No. 249 / Thursday, December 28, 2006 / Notices
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 11 and Rule 19b–4(f)(2) 12
thereunder. 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.
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–ISE–2006–65 and should be
submitted on or before January 18, 2007.
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 8011–01–P
sroberts on PROD1PC70 with NOTICES
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–ISE–2006–65 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–ISE–2006–65. 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 ISE. All
11 15
12 17
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
VerDate Aug<31>2005
20:03 Dec 27, 2006
Jkt 211001
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.13
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E6–22193 Filed 12–27–06; 8:45 am]
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–54952; File No. SR–NASD–
2006–039]
Self-Regulatory Organizations;
National Association of Securities
Dealers, Inc.; Order Granting Approval
to Proposed Rule Change and
Amendment Nos. 1 and 2 Thereto To
Amend NASD Rules To Modify and
Expand NASD’s Authority To Initiate
Trading and Quotation Halts in OTC
Equity Securities
December 18, 2006.
I. Introduction
On March 22, 2006, the National
Association of Securities Dealers, Inc.
(‘‘NASD’’) filed with the Securities and
Exchange Commission (‘‘Commission’’),
pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a
proposed rule change to: (1) Amend
NASD rules to modify and expand
NASD’s authority to direct its members
to halt trading and quotation in certain
over-the-counter (‘‘OTC’’) equity
securities (‘‘OTC Equity Securities’’); 3
and (2) adopt factors that NASD may
consider in determining, in its
discretion, whether to impose a trading
and quotation halt in OTC Equity
Securities. On May 23, 2006, NASD
filed with the Commission Amendment
No. 1 to the proposed rule change.4 The
proposed rule change, as amended, was
published for comment in the Federal
Register on June 7, 2006.5 The
Commission received one comment
13 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See NASD Rule 6610(d).
4 Amendment No. 1 replaced and superseded the
original rule filing in its entirety.
5 See Securities Exchange Act Release No. 53920
(June 1, 2006), 71 FR 33026 (‘‘Notice’’).
1 15
PO 00000
Frm 00115
Fmt 4703
Sfmt 4703
letter in response to the proposal.6 On
November 8, 2006, NASD filed
Amendment No. 2 to the proposed rule
change.7 The text of Amendment No. 2
to the proposed rule change is available
on NASD’s Web site at https://
www.nasd.com, at NASD’s Office of the
Secretary, and at the Commission’s
Public Reference Room. This order
approves the proposed rule change, as
amended.
II. Description of the Proposal
NASD proposes to expand the scope
of its authority with respect to trading
and quotation halts in OTC Equity
Securities. Currently, NASD Rule 6545
provides NASD with limited trading
and quotation halt authority solely for
securities quoted on the OTC Bulletin
Board (‘‘OTCBB’’). Specifically, under
NASD Rule 6545, NASD can direct
NASD members to halt trading and
quotations in OTCBB securities only
where: (1) The OTCBB security (or
security underlying an OTCBB
American Depository Receipt (‘‘ADR’’))
is listed on or registered with a foreign
securities exchange or market and the
foreign securities exchange or market or
regulatory authority halts trading in the
security; (2) the OTCBB security (or the
security underlying the OTCBB ADR) is
a derivative or component of a security
listed on or registered with The
NASDAQ Stock Market LLC or a
national securities exchange or foreign
securities exchange or market and that
exchange or market halts trading in the
underlying security; or (3) the issuer of
the OTCBB security (or security
underlying the OTCBB ADR) fails to
comply with the requirements of Rule
10b–17 under the Act.8 NASD Rule
6545 provides NASD with authority to
halt trading and quotations of OTCBB
securities in the foregoing
6 See Letter from R. Cromwell Coulson, Chief
Executive Office, Pink Sheets LLC (‘‘Pink Sheets’’),
to Nancy M. Morris, Secretary, Commission, dated
July 10, 2006.
7 In Amendment No. 2, which supplemented the
proposed rule change as filed, NASD made
typographical, non-substantive changes to the rule
text contained in the proposed rule change. Two of
the technical changes that are the subject of
Amendment No. 2 were incorporated into the rule
text that was published in the Notice. See Notice,
supra note 5, at note 5 and accompanying text
(citing to a conversation between Kosha Dalal,
Associate General Counsel, NASD, and Tim Fox,
Special Counsel, Division of Market Regulation,
Commission, on June 1, 2006). In addition, in
Amendment No. 2, NASD responded to the
comments raised in the Pink Sheets Letter. In light
of the purely technical nature of Amendment No.
2, the Commission is not publishing Amendment
No. 2 for public comment.
8 17 CFR 240.10b–17. Rule 10b–17 generally
requires the issuer of a class of publicly-traded
securities to provide NASD with notice no later
than 10 days prior to the record date of a dividend
or distribution.
E:\FR\FM\28DEN1.SGM
28DEN1
]]>Agencies
[Federal Register Volume 71, Number 249 (Thursday, December 28, 2006)]
[Notices]
[Pages 78241-78242]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-22193]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-54971; File No. SR-ISE-2006-65]
Self-Regulatory Organizations; International Securities Exchange,
LLC ; Notice of Filing and Immediate Effectiveness of Proposed Rule
Change Relating to Fee Changes
December 20, 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 21, 2006, the International Securities Exchange, LLC
(``Exchange'' or ``ISE'') filed with the Securities and Exchange
Commission the proposed rule change, as described in Items I, II, and
III below, which items have been prepared by the Exchange. The ISE has
designated this proposal as one establishing or changing a due, fee, or
other charge imposed by the CBOE under Section 19(b)(3)(A)(ii) of the
Act,\3\ and Rule 19b-4(f)(2) 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)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The ISE is proposing to amend its Schedule of Fees to establish
fees for transactions in options on 3 Premium Products.\5\ The text of
the proposed rule change is available on the ISE's Web site (https://
www.iseoptions.com), at the principal office of the ISE, and at the
Commission's Public Reference Room.
---------------------------------------------------------------------------
\5\ Premium Products is defined in the Schedule of Fees as the
products enumerated therein.
---------------------------------------------------------------------------
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the ISE 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. The ISE 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 Exchange is proposing to amend its Schedule of Fees to
establish fees for transactions in options on the following 3 Premium
Products: streetTRACKS KBW Bank ETF (``KBE''), streetTRACKS KBW Capital
Markets ETF (``KCE''), and streetTRACKS KBW Insurance ETF (``KIE'').\6\
Specifically, the Exchange is proposing to adopt an execution fee and a
comparison fee for all transactions in options on KBE, KCE and KIE.\7\
The amount of the execution fee and comparison fee for products covered
by this filing would be $0.15 and $0.03 per contract, respectively, for
all Public Customer Orders \8\ and Firm Proprietary orders. The amount
of the execution fee and comparison fee for all ISE Market Maker
transactions would be equal to the execution fee and comparison fee
currently charged by the Exchange for ISE Market Maker transactions in
equity options.\9\ Finally, the amount of the execution fee and
comparison fee for all non-ISE Market Maker transactions would be $0.16
and $0.03 per contract, respectively. All of the applicable fees
covered by this filing are identical to fees charged by the Exchange
for all other Premium Products. The Exchange believes the proposed rule
change will further the Exchange's goal of introducing new products to
the marketplace that are competitively priced.
---------------------------------------------------------------------------
\6\ The ``KBW Bank Index\sm\'', the ``KBW Capital Markets
Indexsm,'' the ``KBW Insurance Indexsm,'' ``KBW'' and ``Keefe,
Bruyette & Woodssm'' are service marks of Keefe, Bruyette & Woods,
Inc.sm, and have been licensed for use by State Street bank and
Trust in connection with the listing and trading of KBE, KCE, and
KIE on the American Stock Exchange. KBE, KCE and KIE are not
sponsored, sold or endorsed by Keefe, Bruyette &Woods, Inc. and
Keefe, Bruyette &Woods, Inc. makes no representation regarding the
advisability of investing in KBE, KCE and KIE. Keefe, Bruyette
&Woods, Inc. has not licensed or authorized ISE to (i) engage in the
creation, listing, provision of a market for trading, marketing, and
promotion of options on KBE, KCE and KIE or (ii) to use and refer to
any of their trademarks or service marks in connection with the
listing, provision of a market for trading, marketing, and promotion
of options on KBE, KCE and KIE or with making disclosures concerning
options on KBE, KCE and KIE under any applicable federal or state
laws, rules or regulations. Keefe, Bruyette & Woods, Inc. does not
sponsor, endorse, or promote such activity by ISE and is not
affiliated in any manner with ISE. KBE, KCE, and KIE constitute
``Fund Shares,'' as defined by ISE Rule 502(h).
\7\ These fees will be charged only to Exchange members. Under a
pilot program that is set to expire on July 31, 2007, these fees
will also be charged to Linkage Orders (as defined in ISE Rule
1900).
\8\ Public Customer Order is defined in Exchange Rule 100(a)(33)
as an order for the account of a Public Customer. Public Customer is
defined in Exchange Rule 100(a)(32) as a person that is not a broker
or dealer in securities.
\9\ The execution fee is currently between $.21 and $.12 per
contract side, depending on the Exchange Average Daily Volume, and
the comparison fee is currently $.03 per contract side.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the requirement of Section 6(b)(4) of the Act \10\ that an
exchange have an equitable allocation of reasonable dues, fees and
other charges among its members and other persons using its facilities.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The ISE does not believe that the proposed rule change will impose
any inappropriate burden on competition.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received from Members, Participants, or Others
No written comments were either solicited or received.
[[Page 78242]]
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \11\ and Rule 19b-4(f)(2) \12\ thereunder. 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.
---------------------------------------------------------------------------
\11\ 15 U.S.C. 78s(b)(3)(A).
\12\ 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-ISE-2006-65 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-ISE-2006-65. 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 ISE. 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-ISE-2006-65 and should be submitted on or before January
18, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\13\
---------------------------------------------------------------------------
\13\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E6-22193 Filed 12-27-06; 8:45 am]
BILLING CODE 8011-01-P
