Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to the Extension of the Pilot Period Applicable to the Listing and Trading of Options on the iShares MSCI Emerging Markets Index, 1348-1350 [E7-233]
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1348
Federal Register / Vol. 72, No. 7 / Thursday, January 11, 2007 / Notices
cprice-sewell on PROD1PC66 with NOTICES
that the initial capital investment in an
investment company be made without
any intention to dispose of the
investment. Applicants state that, under
this interpretation, a Series would not
satisfy section 14(a) because of the
Depositor’s intention to sell all the Units
of the Series.
2. Rule 14a–3 under the Act exempts
UITs from section 14(a) if certain
conditions are met, one of which is that
the UIT invest only in ‘‘eligible trust
securities,’’ as defined in the rule.
Applicants state that they may not rely
on rule 14a–3 because certain future
Series (collectively, ‘‘Equity Series’’)
will invest all or a portion of their assets
in equity securities or registered
investment company securities pursuant
to an exemptive order, which do not
satisfy the definition of eligible trust
securities.
3. Applicants request an exemption
under section 6(c) of the Act to the
extent necessary to exempt the Equity
Series from the net worth requirement
in section 14(a). Applicants state that
the Series and the Depositor will
comply in all respects with the
requirements of rule 14a–3, except that
the Equity Series will not restrict their
portfolio investments to ‘‘eligible trust
securities.’’
D. Capital Gains Distribution
1. Section 19(b) of the Act and rule
19b–1 under the Act provide that,
except under limited circumstances, no
registered investment company may
distribute long-term gains more than
once every twelve months. Rule 19b–
1(c), under certain circumstances,
exempts a UIT investing in eligible trust
securities (as defined in rule 14a–3)
from the requirements of rule 19b–1.
Because the Equity Series do not limit
their investments to eligible trust
securities, however, the Equity Series
will not qualify for the exemption in
paragraph (c) of rule 19b–1. Applicants
therefore request an exemption under
section 6(c) from section 19(b) and rule
19b–1 to the extent necessary to permit
capital gains earned in connection with
the sale of portfolio securities to be
distributed to Unitholders along with
the Equity Series’ regular distributions.
In all other respects, applicants will
comply with section 19(b) and rule 19b–
1.
2. Applicants state that their proposal
meets the standards of section 6(c).
Applicants assert that any sale of
portfolio securities would be triggered
by the need to meet Trust expenses,
Installment Payments, or by redemption
requests, events over which the
Depositor and the Equity Series do not
have control. Applicants further state
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15:52 Jan 10, 2007
Jkt 211001
that, because principal distributions
must be clearly indicated in
accompanying reports to Unitholders as
a return of principal and will be
relatively small in comparison to
normal dividend distributions, there is
little danger of confusion from failure to
differentiate among distributions.
Applicants’ Conditions
Applicants agree that any order
granting the requested relief will be
subject to the following conditions:
A. DSC Relief and Exchange and
Rollover Options
1. Whenever the Exchange Option or
the Rollover Option is to be terminated
or its terms are to be amended
materially, any holder of a security
subject to that privilege will be given
prominent notice of the impending
termination or amendment at least 60
days prior to the date of termination or
the effective date of the amendment,
provided that: (a) No such notice need
be given if the only material effect of an
amendment is to reduce or eliminate the
sales charge payable at the time of an
exchange, to add one or more new
Series eligible for the Exchange Option
or the Rollover Option, or to delete a
Series which has terminated; and (b) no
notice need be given if, under
extraordinary circumstances, either (i)
there is a suspension of the redemption
of Units of the Series under section
22(e) of the Act and the rules and
regulations promulgated thereunder, or
(ii) a Series temporarily delays or ceases
the sale of its Units because it is unable
to invest amounts effectively in
accordance with applicable investment
objectives, policies and restrictions.
2. An investor who purchases Units
under the Exchange Option or the
Rollover Option will pay a lower sales
charge than that which would be paid
for the Units by a new investor.
3. The prospectus of each Series
offering exchanges or rollovers and any
sales literature or advertising that
mentions the existence of the Exchange
Option or Rollover Option will disclose
that the Exchange Option and the
Rollover Option are subject to
modification, termination or suspension
without notice, except in certain limited
cases.
4. Any DSC imposed on a Series’
Units will comply with the
requirements of subparagraphs (1), (2)
and (3) of rule 6c–10(a) under the Act.
5. Each Series offering Units subject to
a DSC will include in its prospectus the
disclosure required by Form N–1A
relating to deferred sales charges
(modified as appropriate to reflect the
differences between UITs and open-end
PO 00000
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management investment companies)
and a schedule setting forth the number
and date of each Installment Payment.
B. Net Worth Requirement
1. Applicants will comply in all
respects with the requirements of rule
14a–3, except that the Equity Series will
not restrict their portfolio investments
to ‘‘eligible trust securities.’’
For the Commission, by the Division of
Investment Management, under delegated
authority.
Nancy M. Morris,
Secretary.
[FR Doc. E7–209 Filed 1–10–07; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–55040; File No. SR–Amex–
2007–01]
Self-Regulatory Organizations;
American Stock Exchange LLC; Notice
of Filing and Immediate Effectiveness
of a Proposed Rule Change Relating to
the Extension of the Pilot Period
Applicable to the Listing and Trading
of Options on the iShares MSCI
Emerging Markets Index
January 3, 2007.
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 3,
2007, the American Stock Exchange LLC
(‘‘Amex’’ or ‘‘Exchange’’) 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. The Amex has filed
the proposed rule change, pursuant to
Section 19(b)(3)(A)(iii) of the Act 3 and
Rule 19b–4(f)(6) thereunder,4 which
renders the proposal effective upon
filing with the Commission.5 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 Exchange proposes to extend the
pilot period applicable to the listing and
trading of options on the iShares MSCI
Emerging Markets Index Fund (‘‘Fund
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(iii).
4 17 CFR 240.19b–4(f)(6).
5 The Exchange requested the Commission to
waive the five-day pre-filing notice requirement and
the 30-day operative delay, as specified in Rule
19b(f)(6)(iii). 17 CFR 240.19b–4(f)(6)(iii).
2 17
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Federal Register / Vol. 72, No. 7 / Thursday, January 11, 2007 / Notices
Options’’). The Amex is not proposing
any changes to the rule text.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
Amex 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 Amex 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
On May 17, 2006, the Commission
approved the Amex proposal 6 to list
and trade the Fund Options for a sixtyday pilot period that expired July 2,
2006 (the ‘‘Pilot’’).7 On June 30, 2006
the Commission approved a 90-day
extension to the Pilot that was due to
expire October 1, 2006 8 and on
September 29, 2006 the Commission
approved a 90-day extension to the Pilot
that expired on January 2, 2007.9 The
Fund Options will continue to meet
substantially all of the listing and
maintenance standards in Commentary
.06 to Amex Rule 915 and Commentary
.07 to Amex Rule 916. For the
requirements that are not satisfied, the
Exchange continues to represent that
sufficient mechanisms exist that would
provide the Exchange with adequate
surveillance and regulatory information
with respect to the Fund Options.
Continuation of the Pilot would permit
the Exchange to continue to work with
the Bolsa Mexicana de Valores (‘‘Bolsa’’)
to develop a surveillance sharing
agreement.
Accordingly, the Exchange proposes
to extend the Pilot for an additional 180days, until June 30, 2007.
6 See
SR–Amex–2006–43.
Securities Exchange Act Release No. 53824
(May 17, 2006), 71 FR 30003 (May 24, 2006).
8 See Securities Exchange Act Release No. 54081
(June 30, 2006), 70 FR 131 (July 10, 2006).
9 See Securities Exchange Act Release No. 54553
(September 29, 2006), 71 FR 59561 (October 10,
2006). The Commission notes that the Amex
inadvertently stated in its filing that the Pilot was
to expire on December 31, 2006. Rather, the Pilot
was to expire on January 2, 2007. Telephone
conference between Jeffrey Burns, Vice President
and Associate General Counsel, Amex and Geoffrey
Pemble, Special Counsel, Commission, on January
3, 2007.
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7 See
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15:52 Jan 10, 2007
Jkt 211001
2. Statutory Basis
The proposed rule change is
consistent with Section 6(b) of the Act 10
in general, and furthers the objectives of
Section 6(b)(5) of the Act,11 in
particular, in that 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 regulating, clearing,
settling, processing information with
respect to, and facilitating transactions
in securities, to remove impediments to
and perfect the mechanism of a free and
open market and a national market
system, and, in general, to protect
investors and the public interest; and is
not designed to permit unfair
discrimination between customers,
issuers, brokers, or dealers, or to
regulate by virtue of any authority
conferred by the Act matters not related
to the purpose of the Act or the
administration of the Exchange.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The proposed rule change does not
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
No written comments were solicited
or received with respect to the proposed
rule change.
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 12 and Rule 19b–4(f)(6) 13
thereunder because the proposed rule
change: (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 of the filing, or such
shorter time as the Commission may
designate if consistent with the
protection of investors and the public
interest pursuant to Section
19(b)(3)(A)(iii) of the Act 14 and Rule
19b–4(f)(6) thereunder.15
Amex has requested that the
Commission waive both the five-day
10 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
12 15 U.S.C. 78s(b)(3)(A).
13 17 CFR 240.19b–4(f)(6).
14 15 U.S.C. 78s(b)(3)(A)(iii).
15 17 CFR 240.19b–4(f)(6).
11 15
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1349
pre-filing requirement and the 30-day
delayed operative delay.16 The
Commission is exercising its authority
to waive the five-day pre-filing notice
requirement and believes that the
waiver of the 30-day operative delay is
consistent with the protection of
investors and the public interest. Waiver
of the five-day pre-filing and 30-day
operative periods will extend the Pilot,
which expired on January 2, 2007, and
allow the Amex to continue in its efforts
to obtain a surveillance agreement with
Bolsa. The Commission notes that
another self-regulatory organization
recently adopted a substantially similar
rule change that was effective upon
filing.17 Accordingly, the Commission
designates the proposal to be effective
and operative upon filing with the
Commission.18
At any time within sixty (60) days of
the filing of the proposed rule change,
the Commission may summarily
abrogate such rule change if it appears
to the Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors
or otherwise in furtherance of the
purposes of the Act.19
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–Amex–2007–01 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–Amex–2007–01. This file
number should be included on the
subject line if e-mail is used. To help the
16 17
CFR 240.19b–4(f)(6)(iii).
Securities Exchange Act Release No. 54876
(December 5, 2006), 71 FR 74968 (December 13,
2006) (order approving File No. SR–CBOE 2006–
103).
18 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. 15 U.S.C. 78c(f).
19 See Section 19(b)(3)(C) of the Act, 15 U.S.C.
78s(b)(3)(C).
17 See
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11JAN1
1350
Federal Register / Vol. 72, No. 7 / Thursday, January 11, 2007 / Notices
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, 100 F Street, NE., Washington,
DC 20549. Copies of such filing also will
be available for inspection and copying
at the principal office of the Amex. 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–Amex–2007–01 and should
be submitted on or before February 1,
2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.20
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–233 Filed 1–10–07; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–55034; File No. SR–CBOE–
2006–112]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing of
Proposed Rule Change Relating to Its
Non-option Security Trading Rules
cprice-sewell on PROD1PC66 with NOTICES
December 29, 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 December
29, 2006, the Chicago Board Options
Exchange, Incorporated (‘‘CBOE’’ 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
20 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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15:52 Jan 10, 2007
Jkt 211001
substantially prepared by the Exchange.
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 Exchange submits this rule
change filing to modify its non-option
security trading rules. The text of the
proposed rule change is available at
CBOE, the Commission’s Public
Reference Room, and www.cboe.com.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
CBOE 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 Exchange 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
In September 2006, the Commission
approved Exchange Chapters 50–55
governing the trading of non-option
securities on the Exchange.3 Also in
September 2006, the Commission
approved modifications 4 to the
Exchange’s non-option trading rules to
conform those rules to aspects of
Regulation NMS.5 Thus, the Exchange
currently operates a purely electronic
stock trading platform that has in place
certain rules required by Regulation
NMS in order to qualify as a market
center with protected quotations. The
Exchange now proposes to further
modify Chapters 50–55 in connection
with the establishment of the CBOE
Stock Exchange (‘‘CBSX’’). CBSX would
be a facility of the Exchange and serve
as the Exchange’s vehicle for trading
non-option securities. CBSX would be a
separate legal entity (a Delaware
Limited Liability Company) owned by
the Exchange and several strategic
partners (the Exchange owns roughly
3 See Securities Exchange Act Release No. 54422
(September 11, 2006), 71 FR 54537 (September 15,
2006) (approving SR–CBOE–2004–21).
4 See Securities Exchange Act Release No. 54526
(September 27, 2006), 71 FR 58646 (October 4,
2006) (approving SR–CBOE–2006–70).
5 17 CFR 242.600 et seq.
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Frm 00042
Fmt 4703
Sfmt 4703
half of CBSX). The Exchange has
submitted a separate rule filing
proposing to establish CBSX as a facility
of the Exchange.6 This filing changes
certain portions of the Exchange’s nonoption trading rules to fit the market
model envisioned for CBSX. These
changes are described below.
a. Agency Function
Under the current rules, DPMs on the
system serve as agent for certain orders
that must be processed ‘‘manually.’’
More specifically, in the event the
Exchange is not the NBBO at the time
a marketable order is received and no
market-makers on the Exchange step up
to match the NBBO price, the order is
routed to the DPM for manual handling.
As part of this manual handling, the
DPM determines whether to provide
price improvement for the order or
whether to route it to the NBBO market
for execution. During this time, and
during any time that the order is routed,
the DPM acts as agent for the order. The
other instance in which DPMs perform
an agency function is in the execution
of pre-opening orders at the opening
price of the primary market for stocks in
which the Exchange is not the primary
market. The Exchange now proposes to
eliminate all agency functions for CBSX
DPMs.
The Exchange intends for the CBSX
system (it’s the same system as the
current system—just a new name) to
automatically route marketable non-IOC
orders to other market centers when
CBSX is not the NBBO and no marketmakers have stepped up to match the
NBBO. This routing logic is contained
in the CBSX trade engine, and CBSX
would use an unaffiliated routing broker
pursuant to an agreement to transmit
orders on CBSX’s behalf to better-priced
protected quotations consistent with
Regulation NMS. The handling and
routing would all be done electronically
by the CBSX system without any
manual intervention. As far as the
opening, the Exchange proposes to
eliminate a DPM’s agency obligation to
manually execute orders in connection
with the opening print on the primary
market by changing the time in which
CBSX will open. CBSX would enter an
open state at 8:15 a.m. Chicago time
(before the primary market openings).
The opening would be automatically
performed by the system. That is, the
CBSX system would automatically
execute pre-opening orders at a price
that allows the greatest number of preopening shares to trade. This would
allow customers that are interested in an
6 See SR–CBOE–2006–110 (filed December 26,
2006).
E:\FR\FM\11JAN1.SGM
11JAN1
]]>Agencies
[Federal Register Volume 72, Number 7 (Thursday, January 11, 2007)]
[Notices]
[Pages 1348-1350]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-233]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-55040; File No. SR-Amex-2007-01]
Self-Regulatory Organizations; American Stock Exchange LLC;
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change
Relating to the Extension of the Pilot Period Applicable to the Listing
and Trading of Options on the iShares MSCI Emerging Markets Index
January 3, 2007.
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 3, 2007, the American Stock Exchange LLC (``Amex'' or
``Exchange'') 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. The Amex has
filed the proposed rule change, pursuant to Section 19(b)(3)(A)(iii) of
the Act \3\ and Rule 19b-4(f)(6) thereunder,\4\ which renders the
proposal effective upon filing with the Commission.\5\ 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)(iii).
\4\ 17 CFR 240.19b-4(f)(6).
\5\ The Exchange requested the Commission to waive the five-day
pre-filing notice requirement and the 30-day operative delay, as
specified in Rule 19b(f)(6)(iii). 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to extend the pilot period applicable to the
listing and trading of options on the iShares MSCI Emerging Markets
Index Fund (``Fund
[[Page 1349]]
Options''). The Amex is not proposing any changes to the rule text.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, Amex 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 Amex 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
On May 17, 2006, the Commission approved the Amex proposal \6\ to
list and trade the Fund Options for a sixty-day pilot period that
expired July 2, 2006 (the ``Pilot'').\7\ On June 30, 2006 the
Commission approved a 90-day extension to the Pilot that was due to
expire October 1, 2006 \8\ and on September 29, 2006 the Commission
approved a 90-day extension to the Pilot that expired on January 2,
2007.\9\ The Fund Options will continue to meet substantially all of
the listing and maintenance standards in Commentary .06 to Amex Rule
915 and Commentary .07 to Amex Rule 916. For the requirements that are
not satisfied, the Exchange continues to represent that sufficient
mechanisms exist that would provide the Exchange with adequate
surveillance and regulatory information with respect to the Fund
Options. Continuation of the Pilot would permit the Exchange to
continue to work with the Bolsa Mexicana de Valores (``Bolsa'') to
develop a surveillance sharing agreement.
---------------------------------------------------------------------------
\6\ See SR-Amex-2006-43.
\7\ See Securities Exchange Act Release No. 53824 (May 17,
2006), 71 FR 30003 (May 24, 2006).
\8\ See Securities Exchange Act Release No. 54081 (June 30,
2006), 70 FR 131 (July 10, 2006).
\9\ See Securities Exchange Act Release No. 54553 (September 29,
2006), 71 FR 59561 (October 10, 2006). The Commission notes that the
Amex inadvertently stated in its filing that the Pilot was to expire
on December 31, 2006. Rather, the Pilot was to expire on January 2,
2007. Telephone conference between Jeffrey Burns, Vice President and
Associate General Counsel, Amex and Geoffrey Pemble, Special
Counsel, Commission, on January 3, 2007.
---------------------------------------------------------------------------
Accordingly, the Exchange proposes to extend the Pilot for an
additional 180-days, until June 30, 2007.
2. Statutory Basis
The proposed rule change is consistent with Section 6(b) of the Act
\10\ in general, and furthers the objectives of Section 6(b)(5) of the
Act,\11\ in particular, in that 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 regulating, clearing, settling, processing
information with respect to, and facilitating transactions in
securities, to remove impediments to and perfect the mechanism of a
free and open market and a national market system, and, in general, to
protect investors and the public interest; and is not designed to
permit unfair discrimination between customers, issuers, brokers, or
dealers, or to regulate by virtue of any authority conferred by the Act
matters not related to the purpose of the Act or the administration of
the Exchange.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The proposed rule change does not 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
No written comments were solicited or received with respect to the
proposed rule change.
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 \12\ and Rule 19b-4(f)(6) \13\ thereunder
because the proposed rule change: (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 of the filing, or such shorter time
as the Commission may designate if consistent with the protection of
investors and the public interest pursuant to Section 19(b)(3)(A)(iii)
of the Act \14\ and Rule 19b-4(f)(6) thereunder.\15\
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\12\ 15 U.S.C. 78s(b)(3)(A).
\13\ 17 CFR 240.19b-4(f)(6).
\14\ 15 U.S.C. 78s(b)(3)(A)(iii).
\15\ 17 CFR 240.19b-4(f)(6).
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Amex has requested that the Commission waive both the five-day pre-
filing requirement and the 30-day delayed operative delay.\16\ The
Commission is exercising its authority to waive the five-day pre-filing
notice requirement and believes that the waiver of the 30-day operative
delay is consistent with the protection of investors and the public
interest. Waiver of the five-day pre-filing and 30-day operative
periods will extend the Pilot, which expired on January 2, 2007, and
allow the Amex to continue in its efforts to obtain a surveillance
agreement with Bolsa. The Commission notes that another self-regulatory
organization recently adopted a substantially similar rule change that
was effective upon filing.\17\ Accordingly, the Commission designates
the proposal to be effective and operative upon filing with the
Commission.\18\
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\16\ 17 CFR 240.19b-4(f)(6)(iii).
\17\ See Securities Exchange Act Release No. 54876 (December 5,
2006), 71 FR 74968 (December 13, 2006) (order approving File No. SR-
CBOE 2006-103).
\18\ For purposes only of waiving the 30-day operative delay,
the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. 15 U.S.C. 78c(f).
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At any time within sixty (60) days of the filing of the proposed
rule change, the Commission may summarily abrogate such rule change if
it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors or
otherwise in furtherance of the purposes of the Act.\19\
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\19\ See Section 19(b)(3)(C) of the Act, 15 U.S.C. 78s(b)(3)(C).
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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-Amex-2007-01 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-Amex-2007-01. This file
number should be included on the subject line if e-mail is used. To
help the
[[Page 1350]]
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, 100 F Street, NE., Washington,
DC 20549. Copies of such filing also will be available for inspection
and copying at the principal office of the Amex. 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-Amex-2007-01 and should be submitted on
or before February 1, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\20\
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\20\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-233 Filed 1-10-07; 8:45 am]
BILLING CODE 8011-01-P
