Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Regarding Technical and Conforming Changes to Nasdaq's 7000 Series Rules, 9805-9807 [E7-3751]
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Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices
governing the trading of equity
securities.
The Commission further believes that
the proposal is consistent with Section
11A(a)(1)(C)(iii) of the Act,25 which sets
forth Congress’ finding that it is in the
public interest and appropriate for the
protection of investors and the
maintenance of fair and orderly markets
to assure the availability to brokers,
dealers, and investors of information
with respect to quotations for and
transactions in securities. Quotations for
and last sale information regarding the
Shares are disseminated through the
facilities of the CTA and the
Consolidated Quotation System.
Furthermore, the IIV, updated to reflect
changes in currency exchange rates, is
calculated by Amex and published via
the facilities of the Consolidated Tape
Association on a 15-second delayed
basis throughout the Exchange’s Core
Trading Session. In addition, if the
listing market halts trading when the IIV
is not being calculated or disseminated,
the Exchange would halt trading in the
Shares.
The Commission notes that, if the
Shares should be delisted by the listing
exchange, the Exchange would no
longer have authority to trade the Shares
pursuant to this order.
In support of this proposal, the
Exchange has made the following
representations:
1. The Exchange’s surveillance
procedures are adequate to properly
monitor Exchange trading of the Shares
in all trading sessions and to deter and
detect violations of Exchange rules.
2. Prior to the commencement of
trading, the Exchange would inform its
members in an Information Bulletin of
the special characteristics and risks
associated with trading the Shares.
3. Prior to the commencement of
trading, the Exchange would inform its
members in an Information Bulletin the
requirement that members deliver a
prospectus to investors purchasing
newly issued Shares prior to or
concurrently with the confirmation of a
transaction.
This approval order is conditioned on
the Exchange’s adherence to these
representations.
The Commission finds good cause for
approving this proposal before the
thirtieth day after the publication of
notice thereof in the Federal Register.
As noted previously, the Commission
previously found that the listing and
trading of the Shares on Amex and the
trading of the Shares on NYSE Area
pursuant to UTP are consistent with the
25 15
U.S.C. 78k–1(a)(1)(C)(iii).
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Act. The Commission presently is not
aware of any regulatory issue that
should cause it to revisit those findings
or would preclude the trading of the
Shares on the Exchange pursuant to
UTP. Therefore, accelerating approval of
this proposal should benefit investors
by creating, without undue delay,
additional competition in the market for
the Shares.
V. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,26 that the
proposed rule change (SR–NASDAQ–
2007–011), be and it hereby is, approved
on an accelerated basis.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.27
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–3749 Filed 3–2–07; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–55355; File No. SR–
NASDAQ–2007–007]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change Regarding
Technical and Conforming Changes to
Nasdaq’s 7000 Series Rules
February 26, 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 February
9, 2007, The NASDAQ Stock Market
LLC (‘‘Nasdaq’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been
substantially prepared by Nasdaq.
Nasdaq has designated this proposal as
non-controversial under Section
19(b)(3)(A)(iii) of the Act 3 and Rule
19b–4(f)(6) thereunder,4 which renders
the proposed rule change effective upon
filing with the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
26 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
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).
27 17
PO 00000
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9805
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Nasdaq proposes to reflect in the Rule
7000 Series of Nasdaq’s rules certain
changes made to the Rule 7000 Series of
the rules of the National Association of
Securities Dealers, Inc. (‘‘NASD’’) in
recent months with respect to systems
operated by Nasdaq and its affiliates
under NASD rules, and to make other
conforming changes to reflect Nasdaq
commencing operations as an exchange
for trading non-Nasdaq listed securities
on February 12, 2007. Nasdaq proposed
to implement the proposed rule change
on February 12, 2007.
The text of the proposed rule change
is below. Proposed new language is in
italics; proposed deletions are in
brackets.
7013. Consolidated Quotation Service
and Exchange-Listed Securities
Transaction Credit.
(a) No change.
(b) Nasdaq members that trade
securities listed on the NYSE (‘‘Tape
A’’) and Amex (‘‘Tape B’’) through
Nasdaq may receive from Nasdaq
transaction credits based on the number
of transactions attributed to them. A
transaction is attributed to a member if
the transaction is executed through
[CAES, ITS or Nasdaq’s Brut Facility]
the Nasdaq Market Center, and the
member acts as liquidity provider (i.e.,
the member sells in response to a buy
order or buys in response to a sell
order). A Nasdaq member may earn
credits from one or both pools
maintained by Nasdaq, each pool
representing 50% of the revenue paid by
the Consolidated Tape Association to
Nasdaq for each of Tape A and Tape B
transactions after deducting the amount
that Nasdaq pays to the Consolidated
Tape Association for capacity usage. A
Nasdaq member may earn credits from
the pools according to the member’s pro
rata share of transactions attributed to
Nasdaq members in each of Tape A and
Tape B for each calendar quarter.
Liquidity providers executing
transactions in Tape B securities
through the Nasdaq Market Center will
receive credits with respect to such
transactions on an estimated monthly
basis; all other credits under this rule
will be paid on a quarterly basis.
7014. [Computer Assisted Execution
Service] Nasdaq Market Center for
Non-Nasdaq Securities.
The charges to be paid by members
[receiving the Computer Assisted
Execution Service (CAES)] using the
Nasdaq Market Center for trading non-
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9806
Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices
Nasdaq exchange-listed securities
through the Nasdaq Market Center shall
consist of a fixed service charge of $200
per member per month, transaction
charges as provided in Nasdaq Rule
7018 and equipment-related charges as
provided elsewhere in the Rule 7000
Series.
Nasdaq Workstation Trader .....................................................................
Nasdaq Workstation Post Trade ..............................................................
*
(e)–(g) No change.
*
*
*
*
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 is modifying its 7000 Series
Rules to reflect certain changes made to
the Rule 7000 Series of the rules of the
NASD in recent months with respect to
systems operated by Nasdaq and its
affiliates under NASD rules, and to
make other conforming changes to
reflect Nasdaq commencing operations
as an exchange for trading non-Nasdaq
listed securities on February 12, 2007.
Specifically, Nasdaq is:
• Amending Nasdaq Rule 7013 to
reflect changes to NASD Rule 7010(c)(2)
by SR–NASD–2006–067 5 and to update
system names to reflect Nasdaq’s
operation as an exchange.
• Amending Nasdaq Rule 7014 to
update system names to reflect Nasdaq’s
operation as an exchange.
• Amending Nasdaq Rule 7015 to
correct a cross-reference in the rule.
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2. Statutory Basis
Nasdaq believes that the proposed
rule change is consistent with the
provisions of Section 6 of the Act,6 in
general, and with Sections 6(b)(4) and
(5) of the Act,7 in particular, in that the
proposal provides for the equitable
allocation of reasonable dues, fees and
5 Securities Exchange Act Release No. 54015
(June 19, 2006), 71 FR 36369 (June 26, 2006) (SR–
NASD–2006–067).
6 15 U.S.C. 78f.
7 15 U.S.C. 78f(b)(4) and (5).
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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
Because the foregoing 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 on which it was
filed, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, it has
become effective pursuant to Section
19(b)(3)(A) of the Act 8 and
subparagraph (f)(6)(iii) of Rule 19b–4
thereunder.9
A proposed rule change filed under
Rule 19b–4(f)(6) normally does not
become operative for 30 days after the
date of filing. However, Rule 19b–
4(f)(6)(iii) permits the Commission to
waive the operative delay if such action
is consistent with the protection of
9 17
PO 00000
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6)(iii).
Frm 00082
Fmt 4703
(a)–(c) No change.
(d) New Nasdaq Workstation.
$475 per user per month (including data entitlement package).
See Rule 7015[(d)](e).
other charges among members and
issuers and other persons using any
facility or system which Nasdaq
operates or controls, and 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.
8 15
7015. Access Services.
Sfmt 4703
investors and the public interest.
Nasdaq has requested that the
Commission waive the five-day notice
requirement and 30-day operative delay
and designate the proposed rule change
immediately operative.
The Commission is exercising its
authority to waive the five-day notice
requirement and believes that waiver of
the 30-day operative delay is consistent
with the protection of investors and the
public interest. The Commission notes
that the rule changes proposed herein
are intended to conform to changes
which have either recently been made
effective as changes to NASD rules or
are merely technical in nature. Thus,
Nasdaq’s proposal raises no new issues
of regulatory concern. Moreover,
waiving the operative delay will allow
Nasdaq to implement the changes
immediately in conjunction with
Nasdaq beginning to operate as a
national securities exchange for trading
non-Nasdaq securities. Therefore, the
Commission has determined to waive
both the five-day notice requirement
and the 30-day delay and allow the
proposed rule change to become
operative upon filing.10
At any time within 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.
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
10 For purposes only of waiving the operative
delay of this proposal, the Commission notes that
it has considered the proposed rule’s impact on
efficiency, competition, and capital formation. 15
U.S.C. 78c(f).
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Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices
No. SR–NASDAQ–2007–007 on the
subject line.
SECURITIES AND EXCHANGE
COMMISSION
Paper Comments
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
[Release No. 34–55346; File No. SR–NASD–
2007–014]
erjones on PRODPC74 with NOTICES
Self-Regulatory Organizations;
National Association of Securities
Dealers, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
All submissions should refer to File
Rule Change To Make Conforming
Changes to the Rules Relating to the
Number SR–NASDAQ–2007–007. This
NASD/NSX TRF, NASD/BSE TRF, and
file number should be included on the
subject line if e-mail is used. To help the NASD/NYSE TRF Consistent With the
New Requirements of Regulation NMS
Commission process and review your
comments more efficiently, please use
February 26, 2007.
only one method. The Commission will
Pursuant to Section 19(b)(1) of the
post all comments on the Commissions
Securities Exchange Act of 1934
Internet Web site (https://www.sec.gov/
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
rules/sro.shtml). Copies of the
notice is hereby given that on February
submission, all subsequent
12, 2007, the National Association of
amendments, all written statements
Securities Dealers, Inc. (‘‘NASD’’) filed
with respect to the proposed rule
with the Securities and Exchange
change that are filed with the
Commission (‘‘Commission’’) the
Commission, and all written
proposed rule change as described in
communications relating to the
Items I, II, and III below, which Items
proposed rule change between the
have been substantially prepared by
Commission and any person, other than NASD. NASD has filed the proposal as
those that may be withheld from the
a ‘‘non-controversial’’ rule change
public in accordance with the
pursuant to Section 19(b)(3)(A) of the
provisions of 5 U.S.C. 552, will be
Act 3 and Rule 19b–4(f)(6) thereunder,4
available for inspection and copying in
which renders it effective upon filing
with the Commission. The Commission
the Commission’s Public Reference
Room. Copies of such filing also will be is publishing this notice to solicit
comments on the proposed rule change
available for inspection and copying at
the principal office of the Exchange. All from interested persons.
comments received will be posted
I. Self-Regulatory Organization’s
without change; the Commission does
Statement of the Terms of Substance of
not edit personal identifying
the Proposed Rule Change
information from submissions. You
NASD proposes (1) amendments to
should submit only information that
the transaction reporting rules relating
you wish to make available publicly. All
to the NASD/NSX Trade Reporting
submissions should refer to File
Facility (‘‘NASD/NSX TRF’’), the
Number SR-NASDAQ–2007–007 and
NASD/BSE Trade Reporting Facility
should be submitted on or before March
(‘‘NASD/BSE TRF’’), and the NASD/
26, 2007.
NYSE Trade Reporting Facility (‘‘NASD/
For the Commission, by the Division of
NYSE TRF’’) (collectively referred to
Market Regulation, pursuant to delegated
herein as the ‘‘Subject TRFs’’) consistent
authority.11
with the new requirements of
Regulation NMS under the Act;5 and (2)
Florence E. Harmon,
technical amendments to conform, to
Deputy Secretary.
the extent practicable, the reporting
[FR Doc. E7–3751 Filed 3–2–07; 8:45 am]
rules of the Subject TRFs to the
BILLING CODE 8010–01–P
reporting rules of the NASD/Nasdaq
Trade Reporting Facility (‘‘NASD/
Nasdaq TRF’’) and NASD’s Alternative
Display Facility (‘‘ADF’’). The text of the
proposed rule change is available at
NASD, the Commission’s Public
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’’).
2 17
11 17
CFR 200.30–3(a)(12).
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15:17 Mar 02, 2007
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Frm 00083
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Sfmt 4703
9807
Reference Room, and https://
www.nasd.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,
NASD 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. NASD 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
Background
On June 29, 2005, the Commission
published its release adopting
Regulation NMS,6 which established
new substantive rules designed to
modernize and strengthen the regulatory
structure of the U.S. equities markets.
Pursuant to Regulation NMS, the
Commission, among other things,
adopted Rule 611 (‘‘Order Protection
Rule’’) to establish protection against
trade-throughs for NMS stocks.7
In general, the Order Protection Rule
requires a trading center (which
includes national securities exchanges,
self-regulatory organization (‘‘SRO’’)
trading facilities, alternative trading
systems, OTC market makers, and block
positioners) to establish, maintain, and
enforce written policies and procedures
that are reasonably designed to prevent
trade-throughs on that trading center of
protected quotations and, if relying on
an exception, that are reasonably
designed to assure compliance with the
terms of the exception. There currently
are nine exceptions and two exemptions
to the Order Protection Rule.8 In
6 Id.
7 NMS stock is defined in Rule 600(b)(47) of
Regulation NMS as ‘‘any NMS security other than
an option.’’ Rule 600(b)(46) of Regulation NMS
defines NMS security as ‘‘any security or class of
securities for which transaction reports are
collected, processed, and made available pursuant
to an effective transaction reporting plan, or an
effective national market system plan for reporting
transactions in listed options.’’
8 See 17 CFR 242.611; Securities Exchange Act
Release Nos. 54389 (August 31, 2006), 71 FR 52829
(September 7, 2006) (Order Granting an Exemption
for Qualified Contingent Trades from Rule 611(a) of
Regulation NMS) and 54678 (October 31, 2006), 71
FR 65018 (November 6, 2006) (Order Exempting
Certain Sub-Penny Trade-Throughs from Rule 611
of Regulation NMS).
E:\FR\FM\05MRN1.SGM
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]]>Agencies
[Federal Register Volume 72, Number 42 (Monday, March 5, 2007)]
[Notices]
[Pages 9805-9807]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-3751]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-55355; File No. SR-NASDAQ-2007-007]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Regarding Technical and Conforming Changes to Nasdaq's 7000 Series
Rules
February 26, 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 February 9, 2007, The NASDAQ Stock Market LLC (``Nasdaq'') filed
with the Securities and Exchange Commission (``Commission'') the
proposed rule change as described in Items I and II below, which Items
have been substantially prepared by Nasdaq. Nasdaq has designated this
proposal as non-controversial under Section 19(b)(3)(A)(iii) of the Act
\3\ and Rule 19b-4(f)(6) thereunder,\4\ which renders the proposed rule
change 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)(iii).
\4\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Nasdaq proposes to reflect in the Rule 7000 Series of Nasdaq's
rules certain changes made to the Rule 7000 Series of the rules of the
National Association of Securities Dealers, Inc. (``NASD'') in recent
months with respect to systems operated by Nasdaq and its affiliates
under NASD rules, and to make other conforming changes to reflect
Nasdaq commencing operations as an exchange for trading non-Nasdaq
listed securities on February 12, 2007. Nasdaq proposed to implement
the proposed rule change on February 12, 2007.
The text of the proposed rule change is below. Proposed new
language is in italics; proposed deletions are in brackets.
7013. Consolidated Quotation Service and Exchange-Listed Securities
Transaction Credit.
(a) No change.
(b) Nasdaq members that trade securities listed on the NYSE (``Tape
A'') and Amex (``Tape B'') through Nasdaq may receive from Nasdaq
transaction credits based on the number of transactions attributed to
them. A transaction is attributed to a member if the transaction is
executed through [CAES, ITS or Nasdaq's Brut Facility] the Nasdaq
Market Center, and the member acts as liquidity provider (i.e., the
member sells in response to a buy order or buys in response to a sell
order). A Nasdaq member may earn credits from one or both pools
maintained by Nasdaq, each pool representing 50% of the revenue paid by
the Consolidated Tape Association to Nasdaq for each of Tape A and Tape
B transactions after deducting the amount that Nasdaq pays to the
Consolidated Tape Association for capacity usage. A Nasdaq member may
earn credits from the pools according to the member's pro rata share of
transactions attributed to Nasdaq members in each of Tape A and Tape B
for each calendar quarter. Liquidity providers executing transactions
in Tape B securities through the Nasdaq Market Center will receive
credits with respect to such transactions on an estimated monthly
basis; all other credits under this rule will be paid on a quarterly
basis.
7014. [Computer Assisted Execution Service] Nasdaq Market Center for
Non-Nasdaq Securities.
The charges to be paid by members [receiving the Computer Assisted
Execution Service (CAES)] using the Nasdaq Market Center for trading
non-
[[Page 9806]]
Nasdaq exchange-listed securities through the Nasdaq Market Center
shall consist of a fixed service charge of $200 per member per month,
transaction charges as provided in Nasdaq Rule 7018 and equipment-
related charges as provided elsewhere in the Rule 7000 Series.
7015. Access Services.
(a)-(c) No change.
(d) New Nasdaq Workstation.
------------------------------------------------------------------------
------------------------------------------------------------------------
Nasdaq Workstation Trader.............. $475 per user per month
(including data entitlement
package).
Nasdaq Workstation Post Trade.......... See Rule 7015[(d)](e).
------------------------------------------------------------------------
(e)-(g) No change.
* * * * *
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 is modifying its 7000 Series Rules to reflect certain
changes made to the Rule 7000 Series of the rules of the NASD in recent
months with respect to systems operated by Nasdaq and its affiliates
under NASD rules, and to make other conforming changes to reflect
Nasdaq commencing operations as an exchange for trading non-Nasdaq
listed securities on February 12, 2007.
Specifically, Nasdaq is:
Amending Nasdaq Rule 7013 to reflect changes to NASD Rule
7010(c)(2) by SR-NASD-2006-067 \5\ and to update system names to
reflect Nasdaq's operation as an exchange.
---------------------------------------------------------------------------
\5\ Securities Exchange Act Release No. 54015 (June 19, 2006),
71 FR 36369 (June 26, 2006) (SR-NASD-2006-067).
---------------------------------------------------------------------------
Amending Nasdaq Rule 7014 to update system names to
reflect Nasdaq's operation as an exchange.
Amending Nasdaq Rule 7015 to correct a cross-reference in
the rule.
2. Statutory Basis
Nasdaq believes that the proposed rule change is consistent with
the provisions of Section 6 of the Act,\6\ in general, and with
Sections 6(b)(4) and (5) of the Act,\7\ in particular, in that the
proposal 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 Nasdaq operates or controls, and 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.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f.
\7\ 15 U.S.C. 78f(b)(4) and (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
Because the foregoing 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 on which
it was filed, or such shorter time as the Commission may designate, if
consistent with the protection of investors and the public interest, it
has become effective pursuant to Section 19(b)(3)(A) of the Act \8\ and
subparagraph (f)(6)(iii) of Rule 19b-4 thereunder.\9\
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\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 17 CFR 240.19b-4(f)(6)(iii).
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A proposed rule change filed under Rule 19b-4(f)(6) normally does
not become operative for 30 days after the date of filing. However,
Rule 19b-4(f)(6)(iii) permits the Commission to waive the operative
delay if such action is consistent with the protection of investors and
the public interest. Nasdaq has requested that the Commission waive the
five-day notice requirement and 30-day operative delay and designate
the proposed rule change immediately operative.
The Commission is exercising its authority to waive the five-day
notice requirement and believes that waiver of the 30-day operative
delay is consistent with the protection of investors and the public
interest. The Commission notes that the rule changes proposed herein
are intended to conform to changes which have either recently been made
effective as changes to NASD rules or are merely technical in nature.
Thus, Nasdaq's proposal raises no new issues of regulatory concern.
Moreover, waiving the operative delay will allow Nasdaq to implement
the changes immediately in conjunction with Nasdaq beginning to operate
as a national securities exchange for trading non-Nasdaq securities.
Therefore, the Commission has determined to waive both the five-day
notice requirement and the 30-day delay and allow the proposed rule
change to become operative upon filing.\10\
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\10\ For purposes only of waiving the operative delay of this
proposal, the Commission notes that it 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 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.
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
[[Page 9807]]
No. SR-NASDAQ-2007-007 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-NASDAQ-2007-007. 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 Commissions 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 Exchange. 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-NASDAQ-2007-007 and should be submitted on or before
March 26, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-3751 Filed 3-2-07; 8:45 am]
BILLING CODE 8010-01-P
