Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Fees for Round-Lot Transactions in NYSE-Listed Securities (Other Than ETFs) Routed Outside the Book, 12653-12654 [E7-4787]

Download as PDF Federal Register / Vol. 72, No. 51 / Friday, March 16, 2007 / Notices 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–NYSEArca–2007–24 on the subject line. SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55435; File No. SR– NYSEArca–2007–23] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Fees for Round-Lot Transactions in NYSEListed Securities (Other Than ETFs) Routed Outside the Book March 9, 2007. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 and Rule 19b–4 thereunder,2 • Send paper comments in triplicate notice is hereby given that on February to Nancy M. Morris, Secretary, 26, 2007, NYSE Arca, Inc. (‘‘NYSE Securities and Exchange Commission, Arca’’ or ‘‘Exchange’’), through its 100 F Street, NE., Washington, DC wholly owned subsidiary NYSE Arca 20549–1090. Equities, Inc. (‘‘NYSE Arca Equities’’), All submissions should refer to File filed with the Securities and Exchange Number SR–NYSEArca–2007–24. This Commission (‘‘Commission’’) the file number should be included on the proposed rule change as described in subject line if e-mail is used. To help the Items I, II, and III below, which Items Commission process and review your have been substantially prepared by comments more efficiently, please use NYSE Arca. NYSE Arca has filed the only one method. The Commission will proposal pursuant to Section 19(b)(3)(A) post all comments on the Commission’s of the Act 3 and Rule 19b–4(f)(2) Internet Web site (https://www.sec.gov/ thereunder,4 which renders the proposal rules/sro.shtml). Copies of the effective upon filing with the submission, all subsequent Commission. The Commission is amendments, all written statements publishing this notice to solicit with respect to the proposed rule comments on the proposed rule change change that are filed with the from interested persons. Commission, and all written I. Self-Regulatory Organization’s communications relating to the Statement of the Terms of Substance of proposed rule change between the Commission and any person, other than the Proposed Rule Change The Exchange proposes to amend the those that may be withheld from the section of its Schedule of Fees and public in accordance with the Charges for Exchange Services (‘‘Fee provisions of 5 U.S.C. 552, will be Schedule’’) that applies to round-lot available for inspection and copying in transactions by ETP Holders 5 in the Commission’s Public Reference securities (other than exchange-traded Room. Copies of the filing also will be funds, or ‘‘ETFs’’) listed on the New available for inspection and copying at the principal office of the Exchange. All York Stock Exchange LLC (‘‘NYSE’’). While changes to the Fee Schedule comments received will be posted pursuant to this proposal will be without change; the Commission does effective upon filing, the changes will not edit personal identifying become operative on March 1, 2007. The information from submissions. You text of the proposed rule change is should submit only information that you wish to make available publicly. All available at NYSE Arca, the Commission’s Public Reference Room, submissions should refer to File and https://www.nysearca.com. Number SR–NYSEArca–2007–24 and should be submitted on or before April II. Self-Regulatory Organization’s 6, 2007. Statement of the Purpose of, and Statutory Basis for, the Proposed Rule For the Commission, by the Division of Change Market Regulation, pursuant to delegated sroberts on PROD1PC70 with NOTICES Paper Comments authority.6 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–4786 Filed 3–15–07; 8:45 am] BILLING CODE 8010–01–P 6 17 CFR 200.30–3(a)(12). VerDate Aug<31>2005 15:24 Mar 15, 2007 Jkt 211001 In its filing with the Commission, NYSE Arca included statements 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)(2). 5 See NYSE Arca Equities Rule 1.1(n). 2 17 PO 00000 Frm 00064 Fmt 4703 Sfmt 4703 12653 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. NYSE Arca 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 proposes to amend the section of its Fee Schedule that applies to round-lot transactions by ETP Holders in NYSE-listed securities (other than ETFs). While changes to the Fee Schedule pursuant to this proposal will be effective upon filing, the changes will become operative on March 1, 2007. The Fee Schedule currently provides that ETP Holders are charged $0.001 per share for round-lot transactions in NYSE-listed securities that are routed outside the NYSE Arca Book. The Exchange proposes to amend its Fee Schedule to increase this fee to $0.003 per share for such routed orders executed at any away market center other than the NYSE. ETP Holders will continue to be charged $0.001 per share for round-lot transactions in NYSElisted securities that are routed to, and executed on, the NYSE. The Exchange proposes to increase this fee in direct response to the recent fee announced by The NASDAQ Stock Market LLC (‘‘Nasdaq’’) of $0.003 per share for orders that remove liquidity from the Nasdaq Market Center for NYSE-, Amexand regional-listed securities (excluding ETFs), effective January 1, 2007.6 Specifically, the Exchange proposes this increase so that it may pass through to its ETP Holders the increased fee that Nasdaq is charging the Exchange for such ETP Holders’ transactions. 2. Statutory Basis The Exchange believes that the proposal is consistent with the provisions of Section 6(b) of the Act,7 in general, and with Section 6(b)(4) of the Act,8 in particular, in that the proposal 6 See Securities Exchange Act Release No. 54742 (November 13, 2006), 71 FR 67179 (November 20, 2006) (SR–NASD–2006–122). See also Securities Exchange Act Release Nos. 54932 (December 13, 2006), 71 FR 76406 (December 20, 2006) (SR– NASD–2006–132); 55137 (January 19, 2007), 72 FR 3452 (January 25, 2007) (SR–NASDAQ–2006–068); and 55284 (February 13, 2007), 72 FR 8231 (February 23, 2007) (SR–NASDAQ–2007–003). 7 15 U.S.C. 78f(b). 8 15 U.S.C. 78f(b)(4). E:\FR\FM\16MRN1.SGM 16MRN1 12654 Federal Register / Vol. 72, No. 51 / Friday, March 16, 2007 / Notices provides for the equitable allocation of reasonable dues, fees, and other charges among its members and other persons using its facilities. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will 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 Written comments on the proposed rule change were neither solicited nor received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing proposed rule change is subject to Section 19(b)(3)(A)(ii) of the Act 9 and subparagraph (f)(2) of Rule 19b–4 thereunder 10 because it establishes or changes a due, fee, or other charge applicable only to a member imposed by the self-regulatory organization. Accordingly, the proposal is effective upon Commission receipt of the filing. At any time within 60 days of the filing of 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: All submissions should refer to File Number SR–NYSEArca–2007–23. This file number should be included on the subject line if e-mail is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s Internet Web site (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for inspection and copying in the Commission’s Public Reference Room. Copies of the filing also will be available for inspection and copying at the principal office of NYSE Arca. 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–NYSEArca–2007–23 and should be submitted on or before April 6, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.11 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–4787 Filed 3–15–07; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55442; File No. SR– NYSEArca–2007–09] sroberts on PROD1PC70 with NOTICES Electronic Comments • Use the Commission’s Internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–NYSEArca–2007–23 on the subject line. Self-Regulatory Organizations; NYSE Arca, Inc.; Order Granting Approval of Proposed Rule Change Relating to the Expansion of Business Activities of Archipelago Securities, L.L.C. Paper Comments • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. On January 25, 2007, the NYSE Arca, Inc. (‘‘NYSE Arca’’ or the ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘Commission’’), pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 9 15 U.S.C. 78s(b)(3)(A)(ii). CFR 240.19b–4(f)(2). 15:24 Mar 15, 2007 I. Introduction 11 17 10 17 VerDate Aug<31>2005 March 12, 2007. 1 15 Jkt 211001 PO 00000 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). Frm 00065 Fmt 4703 Sfmt 4703 19b–4 thereunder,2 a proposal to allow Archipelago Securities, L.L.C. (‘‘Archipelago Securities’’) to act as a marketing agent on behalf of the NYSE Arca Tech 100 Index (the ‘‘Index’’) and the NYSE Arca Tech 100 ETF (the ‘‘ETF’’) and provide reasonable services attendant thereto. The proposed rule change was published for comment in the Federal Register on February 9, 2007.3 The Commission received no comments regarding the proposal. This order approves the proposed rule change. II. Description of the Proposal Archipelago Securities 4 succeeded Wave Securities, L.L.C. (‘‘Wave’’), which was approved by the Commission to operate as a facility of the Exchange,5 and assumed some of Wave’s duties, including Wave’s function as the outbound router for the Exchange. Pursuant to the order approving rule changes proposed by the Exchange in connection with the acquisition of the Exchange (formerly Pacific Exchange, Inc.) by Archipelago Holdings, Inc., now the parent company of the Exchange, any expansion of the business activities of Archipelago Securities must be approved by the Commission.6 NYSE Arca is now proposing to expand the business activities of Archipelago Securities to allow Archipelago Securities to act as a marketing agent on behalf of the Index and the ETF and provide reasonable services attendant thereto.7 In the proposal, the Exchange represents that as marketing agent for the Index and the ETF, Archipelago Securities will develop a marketing plan designed to advertise, promote, and increase public awareness of the Index and the ETF within the financial services industry and investing public (‘‘Marketing Plan’’), including: branding; promotional activities; development and design of marketing materials, collateral 2 17 CFR 240.19b–4. Securities Exchange Act Release No. 55232 (February 2, 2007), 72 FR 6308. 4 Archipelago Securities is a registered brokerdealer, a member of several self-regulatory organizations including the NASD, and a facility of the Exchange. 5 See Securities Exchange Act Release No. 44983 (October 25, 2001), 66 FR 55225 (November 1, 2001) (SR–PCX–00–25). 6 See Securities Exchange Act Release No. 52497 (September 22, 2005), 70 FR 56949 (September 29, 2005) (SR–PCX–2005–90) (‘‘Archipelago/PCX Acquisition Release’’). 7 Recently, the Commission approved the expansion of the business activities of Archipelago Securities to include, as a facility of the Exchange, the function of routing option orders for members of the Exchange. See Securities Exchange Act Release No. 54238 (July 28, 2006), 71 FR 44758 (August 7, 2006) (SR–NYSEArca–2006–13). 3 See E:\FR\FM\16MRN1.SGM 16MRN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 72, Number 51 (Friday, March 16, 2007)]
[Notices]
[Pages 12653-12654]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-4787]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55435; File No. SR-NYSEArca-2007-23]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Amending Fees for 
Round-Lot Transactions in NYSE-Listed Securities (Other Than ETFs) 
Routed Outside the Book

March 9, 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 26, 2007, NYSE Arca, Inc. (``NYSE Arca'' or ``Exchange''), 
through its wholly owned subsidiary NYSE Arca Equities, Inc. (``NYSE 
Arca Equities''), 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 NYSE 
Arca. NYSE Arca has filed the proposal pursuant to Section 19(b)(3)(A) 
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).
    \4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend the section of its Schedule of Fees 
and Charges for Exchange Services (``Fee Schedule'') that applies to 
round-lot transactions by ETP Holders \5\ in securities (other than 
exchange-traded funds, or ``ETFs'') listed on the New York Stock 
Exchange LLC (``NYSE''). While changes to the Fee Schedule pursuant to 
this proposal will be effective upon filing, the changes will become 
operative on March 1, 2007. The text of the proposed rule change is 
available at NYSE Arca, the Commission's Public Reference Room, and 
https://www.nysearca.com.
---------------------------------------------------------------------------

    \5\ See NYSE Arca Equities Rule 1.1(n).
---------------------------------------------------------------------------

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, NYSE Arca 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. NYSE Arca 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 proposes to amend the section of its Fee Schedule that 
applies to round-lot transactions by ETP Holders in NYSE-listed 
securities (other than ETFs). While changes to the Fee Schedule 
pursuant to this proposal will be effective upon filing, the changes 
will become operative on March 1, 2007.
    The Fee Schedule currently provides that ETP Holders are charged 
$0.001 per share for round-lot transactions in NYSE-listed securities 
that are routed outside the NYSE Arca Book. The Exchange proposes to 
amend its Fee Schedule to increase this fee to $0.003 per share for 
such routed orders executed at any away market center other than the 
NYSE. ETP Holders will continue to be charged $0.001 per share for 
round-lot transactions in NYSE-listed securities that are routed to, 
and executed on, the NYSE. The Exchange proposes to increase this fee 
in direct response to the recent fee announced by The NASDAQ Stock 
Market LLC (``Nasdaq'') of $0.003 per share for orders that remove 
liquidity from the Nasdaq Market Center for NYSE-, Amex- and regional-
listed securities (excluding ETFs), effective January 1, 2007.\6\ 
Specifically, the Exchange proposes this increase so that it may pass 
through to its ETP Holders the increased fee that Nasdaq is charging 
the Exchange for such ETP Holders' transactions.
---------------------------------------------------------------------------

    \6\ See Securities Exchange Act Release No. 54742 (November 13, 
2006), 71 FR 67179 (November 20, 2006) (SR-NASD-2006-122). See also 
Securities Exchange Act Release Nos. 54932 (December 13, 2006), 71 
FR 76406 (December 20, 2006) (SR-NASD-2006-132); 55137 (January 19, 
2007), 72 FR 3452 (January 25, 2007) (SR-NASDAQ-2006-068); and 55284 
(February 13, 2007), 72 FR 8231 (February 23, 2007) (SR-NASDAQ-2007-
003).
---------------------------------------------------------------------------

2. Statutory Basis
    The Exchange believes that the proposal is consistent with the 
provisions of Section 6(b) of the Act,\7\ in general, and with Section 
6(b)(4) of the Act,\8\ in particular, in that the proposal

[[Page 12654]]

provides for the equitable allocation of reasonable dues, fees, and 
other charges among its members and other persons using its facilities.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78f(b).
    \8\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
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

    Written comments on the proposed rule change were neither solicited 
nor received.

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

    The foregoing proposed rule change is subject to Section 
19(b)(3)(A)(ii) of the Act \9\ and subparagraph (f)(2) of Rule 19b-4 
thereunder \10\ because it establishes or changes a due, fee, or other 
charge applicable only to a member imposed by the self-regulatory 
organization. Accordingly, the proposal is effective upon Commission 
receipt of the filing. At any time within 60 days of the filing of 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.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \10\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (https://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-NYSEArca-2007-23 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-NYSEArca-2007-23. 
This file number should be included on the subject line if e-mail is 
used. To help the Commission process and review your comments more 
efficiently, please use only one method. The Commission will post all 
comments on the Commission's Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the submission, all subsequent amendments, 
all written statements with respect to the proposed rule change that 
are filed with the Commission, and all written communications relating 
to the proposed rule change between the Commission and any person, 
other than those that may be withheld from the public in accordance 
with the provisions of 5 U.S.C. 552, will be available for inspection 
and copying in the Commission's Public Reference Room. Copies of the 
filing also will be available for inspection and copying at the 
principal office of NYSE Arca. 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-NYSEArca-2007-23 and should be submitted on or before 
April 6, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\11\
---------------------------------------------------------------------------

    \11\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-4787 Filed 3-15-07; 8:45 am]
BILLING CODE 8010-01-P

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