Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Fee Changes, 2567-2568 [E7-691]

Download as PDF Federal Register / Vol. 72, No. 12 / Friday, January 19, 2007 / Notices Electronic Comments • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml) or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–DTC–2006–19 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–DTC–2006–19. 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 (http://www.sec.gov/ rules/sro.shtml). The text of the proposed rule change is available at DTC, the Commission’s Public Reference Room, and http:// www.dtc.org. 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–DTC– 2006–19 and should be submitted on or before February 9, 2007. For the Commission by the Division of Market Regulation, pursuant to delegated authority.8 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–692 Filed 1–18–07; 8:45 am] SECURITIES AND EXCHANGE COMMISSION Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Fee Changes 3 15 sroberts on PROD1PC70 with NOTICES Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (the ‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on December 26, 2006, the International Securities VerDate Aug<31>2005 18:10 Jan 18, 2007 Jkt 211001 U.S.C. 78s(b)(3)(A)(ii). CFR 240.19b–4(f)(2). 5 Premium Products is defined in the ISE’s Schedule of Fees as the products enumerated therein. 6 The Market Vectors—Gold Miners ETF (‘‘GDX’’) is distributed by Van Eck Securities Corporation and tracks the Amex Gold Miners Index, which is published by the American Stock Exchange (‘‘Amex’’). The Amex Gold Miners Index is a trademark of the Amex and is licensed for use by Van Eck Associates Corporation (‘‘Van Eck’’) in connection with GDX. The Amex does not sponsor, endorse, or promote GDX and makes no representation regarding the advisability of 4 17 January 11, 2007. CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 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. 1. Purpose The Exchange is proposing to amend its Schedule of Fees to establish fees for transactions in options on the following two Premium Products: Market Vectors—Gold Miners ETF 6 (‘‘GDX’’) [Release No. 34–55089; File No. SR–ISE– 2006–80] 1 15 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 two Premium Products.5 The text of the proposed rule change is available at the Exchange, the Commission’s Public Reference Room, and at http://www.iseoptions.com. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change BILLING CODE 8011–01–P 8 17 Exchange, LLC (‘‘ISE’’ 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 substantially prepared by the ISE. The ISE has designated this proposal as one establishing or changing a due, fee, or other charge applicable only to a member 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. PO 00000 Frm 00078 Fmt 4703 Sfmt 4703 2567 and Merrill Lynch Telecom HOLDRs Trust 7 (‘‘TTH’’).8 Specifically, the Exchange is proposing to adopt an execution fee and a comparison fee for all transactions in options on GDX and TTH.9 The amount of the execution fee and comparison fee for products covered by this filing shall be $0.15 and $0.03 per contract, respectively, for all Public Customer Orders 10 and Firm Proprietary orders.11 The amount of the execution fee and comparison fee for all ISE Market Maker transactions shall be equal to the execution fee and comparison fee currently charged by the Exchange for ISE Market Maker transactions in equity options.12 Finally, the amount of the execution fee and comparison fee for all non-ISE Market Maker transactions shall be $0.16 and investing in GDX. Van Eck 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 GDX 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 GDX or with making disclosures concerning options on GDX under any applicable federal or state laws, rules or regulations. Van Eck does not sponsor, endorse, or promote such activity by ISE, and is not affiliated in any manner with ISE. 7 The Merrill Lynch Telecom HOLDRSSM Trust (‘‘TTH’’) issues Depositary Receipts called Telecom HOLDRSSM representing undivided beneficial ownership in the U.S.-traded common stock of a group of specified companies that, among other things, are involved in various segments of the telecom industry. ‘‘HOLDRS’’ and ‘‘HOLding Company Depositary ReceiptS’’ are service marks of Merrill Lynch & Co., Inc. (‘‘Merrill Lynch’’). All other trademarks and service marks are the property of their respective owners. Merrill Lynch 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 TTH 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 TTH or with making disclosures concerning options on TTH under any applicable federal or state laws, rules or regulations. Merrill Lynch does not sponsor, endorse, or promote such activity by ISE, and is not affiliated in any manner with ISE. 8 GDX and TTH constitute ‘‘Fund Shares,’’ as defined by ISE Rule 502(h). 9 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). See Securities Exchange Act Release No. 54204 (July 25, 2006), 71 FR 43548 (August 1, 2006)(SR–ISE–2006– 38). 10 Public Customer Order is defined in Exchange Rule 100(a)(39) as an order for the account of a Public Customer. Public Customer is defined in Exchange Rule 100(a)(38) as a person that is not a broker or dealer in securities. 11 The Commission notes that the proposed execution and comparison fees for Public Customer Orders and Firm Proprietary Orders in the two new Premium Products will be the same respective amounts that are charged for other Premium Products. 12 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. E:\FR\FM\19JAN1.SGM 19JAN1 2568 Federal Register / Vol. 72, No. 12 / Friday, January 19, 2007 / Notices Electronic Comments $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. • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File No. SR–ISE–2006–80 on the subject line. 2. Statutory Basis Paper Comments The basis under the Act for this proposed rule change is the requirement under Section 6(b)(4) 13 that an exchange have an equitable allocation of reasonable dues, fees and other charges among its members and other persons using its facilities. • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, Station Place, 100 F Street, NE., Washington, DC 20549–1090. 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 The Exchange has not solicited, and does not intend to solicit, comments on this proposed rule change. The Exchange has not received any unsolicited written comments from members or other interested parties. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing rule change establishes or changes a due, fee, or other charge imposed by the Exchange, it has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act 14 and Rule 19b–4(f)(2) 15 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. sroberts on PROD1PC70 with NOTICES VI. 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: U.S.C. 78f(b)(4). U.S.C. 78s(b)(3)(A)(ii). 15 17 CFR 19b–4(f)(2). All submissions should refer to File Number SR–ISE–2006–80. 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 (http://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–2006–80 and should be submitted on or before February 9, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.16 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–691 Filed 1–18–07; 8:45 am] BILLING CODE 8011–01–P 13 15 14 15 VerDate Aug<31>2005 18:10 Jan 18, 2007 16 17 Jkt 211001 PO 00000 CFR 200.30–3(a)(12). Frm 00079 Fmt 4703 Sfmt 4703 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55101; File No. SR–NASD– 2007–002] Self-Regulatory Organizations; National Association of Securities Dealers, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to Make Conforming Changes to the NASD/Nasdaq Trade Reporting Facility Rules Consistent With the New Requirements of Regulation NMS January 12, 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 8, 2007, the National Association of Securities Dealers, Inc. (‘‘NASD’’) 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 substantially prepared by NASD. NASD has filed the proposal pursuant to Section 19(b)(3)(A) of the Act 3 and Rule 19b–4(f)(6) thereunder,4 which renders the proposal effective upon filing with the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change NASD proposes to make conforming changes to the transaction reporting rules relating to the NASD/Nasdaq Trade Reporting Facility (‘‘NASD/ Nasdaq TRF’’) consistent with the new requirements of Regulation NMS under the Act.5 Below is the text of the proposed rule change. Proposed new language is italicized and proposed deletions are in [brackets]. 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). 4 17 CFR 240.19b–4(f)(6). 5 See Securities Exchange Act Release No. 51808 (June 9, 2005), 70 FR 37496 (June 29, 2005) (‘‘Regulation NMS Adopting Release’’). The Commission has approved proposed rule changes to establish Trade Reporting Facilities in conjunction with the National Stock Exchange, Inc. and the Boston Stock Exchange, Inc. See Securities Exchange Act Release Nos. 54715 (November 6, 2006), 71 FR 66354 (November 14, 2006) (SR– NASD–2006–108) (‘‘NASD/NSX TRF’’) and 54931 (December 13, 2006), 71 FR 76409 (December 20, 2006) (SR–NASD–2006–115) (‘‘NASD/BSE TRF’’). NASD intends to file a separate proposed rule change to align the transaction reporting rules for the NASD/NSX TRF and the NASD/BSE TRF, and any additional Trade Reporting Facilities approved by the Commission, with Regulation NMS. 2 17 E:\FR\FM\19JAN1.SGM 19JAN1

Agencies

[Federal Register Volume 72, Number 12 (Friday, January 19, 2007)]
[Notices]
[Pages 2567-2568]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-691]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55089; File No. SR-ISE-2006-80]


Self-Regulatory Organizations; International Securities Exchange, 
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule 
Change Relating to Fee Changes

 January 11, 2007.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on December 26, 2006, the International Securities Exchange, LLC 
(``ISE'' 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 substantially 
prepared by the ISE. The ISE has designated this proposal as one 
establishing or changing a due, fee, or other charge applicable only to 
a member 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).
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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 two Premium Products.\5\ The text 
of the proposed rule change is available at the Exchange, the 
Commission's Public Reference Room, and at http://www.iseoptions.com.
---------------------------------------------------------------------------

    \5\ Premium Products is defined in the ISE's 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 two Premium 
Products: Market Vectors--Gold Miners ETF \6\ (``GDX'') and Merrill 
Lynch Telecom HOLDRs Trust \7\ (``TTH'').\8\ Specifically, the Exchange 
is proposing to adopt an execution fee and a comparison fee for all 
transactions in options on GDX and TTH.\9\ The amount of the execution 
fee and comparison fee for products covered by this filing shall be 
$0.15 and $0.03 per contract, respectively, for all Public Customer 
Orders \10\ and Firm Proprietary orders.\11\ The amount of the 
execution fee and comparison fee for all ISE Market Maker transactions 
shall be equal to the execution fee and comparison fee currently 
charged by the Exchange for ISE Market Maker transactions in equity 
options.\12\ Finally, the amount of the execution fee and comparison 
fee for all non-ISE Market Maker transactions shall be $0.16 and

[[Page 2568]]

$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 Market Vectors--Gold Miners ETF (``GDX'') is distributed 
by Van Eck Securities Corporation and tracks the Amex Gold Miners 
Index, which is published by the American Stock Exchange (``Amex''). 
The Amex Gold Miners Index is a trademark of the Amex and is 
licensed for use by Van Eck Associates Corporation (``Van Eck'') in 
connection with GDX. The Amex does not sponsor, endorse, or promote 
GDX and makes no representation regarding the advisability of 
investing in GDX. Van Eck 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 GDX 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 GDX or with making disclosures concerning options on 
GDX under any applicable federal or state laws, rules or 
regulations. Van Eck does not sponsor, endorse, or promote such 
activity by ISE, and is not affiliated in any manner with ISE.
    \7\ The Merrill Lynch Telecom HOLDRSSM Trust 
(``TTH'') issues Depositary Receipts called Telecom 
HOLDRSSM representing undivided beneficial ownership in 
the U.S.-traded common stock of a group of specified companies that, 
among other things, are involved in various segments of the telecom 
industry. ``HOLDRS'' and ``HOLding Company Depositary ReceiptS'' are 
service marks of Merrill Lynch & Co., Inc. (``Merrill Lynch''). All 
other trademarks and service marks are the property of their 
respective owners. Merrill Lynch 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 TTH 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 TTH or with making disclosures concerning 
options on TTH under any applicable federal or state laws, rules or 
regulations. Merrill Lynch does not sponsor, endorse, or promote 
such activity by ISE, and is not affiliated in any manner with ISE.
    \8\ GDX and TTH constitute ``Fund Shares,'' as defined by ISE 
Rule 502(h).
    \9\ 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). See Securities Exchange Act Release No. 54204 (July 25, 
2006), 71 FR 43548 (August 1, 2006)(SR-ISE-2006-38).
    \10\ Public Customer Order is defined in Exchange Rule 
100(a)(39) as an order for the account of a Public Customer. Public 
Customer is defined in Exchange Rule 100(a)(38) as a person that is 
not a broker or dealer in securities.
    \11\ The Commission notes that the proposed execution and 
comparison fees for Public Customer Orders and Firm Proprietary 
Orders in the two new Premium Products will be the same respective 
amounts that are charged for other Premium Products.
    \12\ 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.
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2. Statutory Basis
    The basis under the Act for this proposed rule change is the 
requirement under Section 6(b)(4) \13\ that an exchange have an 
equitable allocation of reasonable dues, fees and other charges among 
its members and other persons using its facilities.
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

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

    The Exchange has not solicited, and does not intend to solicit, 
comments on this proposed rule change. The Exchange has not received 
any unsolicited written comments from members or other interested 
parties.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing rule change establishes or changes a due, 
fee, or other charge imposed by the Exchange, it has become effective 
pursuant to Section 19(b)(3)(A)(ii) of the Act \14\ and Rule 19b-
4(f)(2) \15\ 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.
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \15\ 17 CFR 19b-4(f)(2).
---------------------------------------------------------------------------

VI. 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 (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File No. SR-ISE-2006-80 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.

All submissions should refer to File Number SR-ISE-2006-80. 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 (http://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-2006-80 
and should be submitted on or before February 9, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\16\
---------------------------------------------------------------------------

    \16\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-691 Filed 1-18-07; 8:45 am]
BILLING CODE 8011-01-P