Self-Regulatory Organizations; Chicago Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Participant Fees and Credits, 18700-18701 [E7-6963]

Download as PDF 18700 Federal Register / Vol. 72, No. 71 / Friday, April 13, 2007 / Notices (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 notice is hereby given that on March 23, • Send paper comments in triplicate 2007, the Chicago Stock Exchange, Inc. to Nancy M. Morris, Secretary, (‘‘CHX’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission, Securities and Exchange Commission 100 F Street, NE., Washington, DC (‘‘Commission’’) the proposed rule 20549–1090. change as described in Items I, II, and III below, which Items have been All submissions should refer to File substantially prepared by the Exchange. Number SR–Amex–2007–33. This file CHX has filed the proposal pursuant to number should be included on the subject line if e-mail is used. To help the Section 19(b)(3)(A) of the Act 3 and Rule 19b–4(f)(2) thereunder,4 which renders Commission process and review your the proposal effective upon filing with comments more efficiently, please use only one method. The Commission will the Commission. The Commission is post all comments on the Commission’s publishing this notice to solicit comments on the proposed rule change Internet Web site (http://www.sec.gov/ from interested persons. rules/sro.shtml). Copies of the submission, all subsequent I. Self-Regulatory Organization’s amendments, all written statements Statement of the Terms of Substance of with respect to the proposed rule the Proposed Rule Change change that are filed with the CHX proposes to amend its Fee Commission, and all written Schedule to confirm that it will not communications relating to the charge a fee or pay a credit in proposed rule change between the Commission and any person, other than connection with the execution, in the Matching System, of a single-sided those that may be withheld from the order for 100 or more shares at a price public in accordance with the less than $1.00 per share. The text of the provisions of 5 U.S.C. 552, will be proposed rule change is available at available for inspection and copying in CHX, the Commission’s Public the Commission’s Public Reference Room. Copies of such filing also will be Reference Room, and http:// www.chx.com/rules/ available for inspection and copying at proposed_rules.htm. the principal office of the Amex. All comments received will be posted II. Self-Regulatory Organization’s without change; the Commission does Statement of the Purpose of, and not edit personal identifying Statutory Basis for, the Proposed Rule information from submissions. You Change should submit only information that In its filing with the Commission, you wish to make available publicly. All CHX included statements concerning submissions should refer to File the purpose of and basis for the Number SR–Amex–2007–33 and should proposed rule change and discussed any be submitted by May 4, 2007. comments it received on the proposed For the Commission by the Division of rule change. The text of these statements Market Regulation, pursuant to delegated may be examined at the places specified authority.19 in Item IV below. CHX has prepared Florence E. Harmon, summaries, set forth in Sections A, B, Deputy Secretary. and C below, of the most significant aspects of such statements. [FR Doc. E7–7054 Filed 4–12–07; 8:45 am] Paper Comments BILLING CODE 8010–01–P A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55595; File No. SR–CHX– 2007–14] pwalker on PROD1PC71 with NOTICES Self-Regulatory Organizations; Chicago Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Participant Fees and Credits April 6, 2007. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 19 17 CFR 200.30–3(a)(12). VerDate Aug<31>2005 17:52 Apr 12, 2007 Jkt 211001 1. Purpose The Exchange proposes to amend its Fee Schedule to confirm that it will not charge a fee or pay a credit in connection with the execution, in the Matching System, of a single-sided order for 100 or more shares at a price less than $1.00 per share. This provision is designed, in part, to confirm that the Exchange will not charge a fee that is greater than the maximum access fee set out in Rule 610(c)(2) of Regulation NMS.5 It also confirms that the Exchange has determined that it would not be appropriate to provide a credit in connection with these no-cost executions. 2. Statutory Basis CHX believes that the proposed rule change is consistent with the provisions of Section 6 of the Act,6 in general, and with Section 6(b)(4) of the Act,7 in particular, in that the proposal provides for the equitable allocation of reasonable dues, fees, and other charges among its members. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange 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 No written comments were either solicited or received. 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)(ii) of the Act 8 and subparagraph (f)(2) of Rule 19b–4 thereunder 9 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: 5 See 17 CFR 242.610(c)(2). U.S.C. 78f. 7 15 U.S.C. 78f(b)(4). 8 15 U.S.C. 78s(b)(3)(A)(ii). 9 17 CFR 240.19b–4(f)(2). 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). PO 00000 Frm 00081 Fmt 4703 6 15 Sfmt 4703 E:\FR\FM\13APN1.SGM 13APN1 Federal Register / Vol. 72, No. 71 / Friday, April 13, 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–CHX–2007–14 on the subject line. Paper Comments pwalker on PROD1PC71 with NOTICES • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549–1090. SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55586; File No. SR–ISE– 2007–19] Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Access to the Exchange by Sponsored Customers April 5, 2007. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 All submissions should refer to File notice is hereby given that on March 13, Number SR–CHX–2007–14. This file 2007, the International Securities number should be included on the Exchange, LLC (‘‘ISE’’ or ‘‘Exchange’’) subject line if e-mail is used. To help the filed with the Securities and Exchange Commission process and review your Commission (‘‘Commission’’) the comments more efficiently, please use proposed rule change as described in only one method. The Commission will Items I and II below, which Items have post all comments on the Commission’s been substantially prepared by ISE. The Internet Web site (http://www.sec.gov/ Exchange has filed the proposal as a rules/sro.shtml). Copies of the ‘‘non-controversial’’ rule change submission, all subsequent pursuant to Section 19(b)(3)(A) of the amendments, all written statements Act 3 and Rule 19b–4(f)(6) thereunder,4 with respect to the proposed rule which renders it effective upon filing change that are filed with the with the Commission. The Commission Commission, and all written is publishing this notice to solicit communications relating to the comments on the proposed rule change proposed rule change between the from interested persons. Commission and any person, other than I. Self-Regulatory Organization’s those that may be withheld from the Statement of the Terms of Substance of public in accordance with the the Proposed Rule Change provisions of 5 U.S.C. 552, will be available for inspection and copying in ISE proposes to amend ISE Rule 706 the Commission’s Public Reference to permit Sponsored Customers of a Room. Copies of the filing also will be Member to access the Exchange. The available for inspection and copying at text of the proposed rule change is the principal office of CHX. All available at ISE, the Commission’s comments received will be posted Public Reference Room, and without change; the Commission does www.iseoptions.com. not edit personal identifying II. Self-Regulatory Organization’s information from submissions. You Statement of the Purpose of, and should submit only information that you wish to make available publicly. All Statutory Basis for, the Proposed Rule Change submissions should refer to File Number SR–CHX–2007–14 and should In its filing with the Commission, ISE be submitted on or before May 4, 2007. included statements concerning the For the Commission, by the Division of purpose of and basis for the proposed Market Regulation, pursuant to delegated rule change and discussed any authority.10 comments it received on the proposed Florence E. Harmon, rule change. The text of these statements may be examined at the places specified Deputy Secretary. in Item IV below. ISE has prepared [FR Doc. E7–6963 Filed 4–12–07; 8:45 am] summaries, set forth in Sections A, B, BILLING CODE 8010–01–P and C below, of the most significant aspects of such statements. 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). 2 17 CFR 200.30–3(a)(12). VerDate Aug<31>2005 17:52 Apr 12, 2007 Jkt 211001 PO 00000 Frm 00082 Fmt 4703 A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose This proposed rule change seeks to permit Sponsored Customers of Members to access the Exchange provided that a Sponsored Customer Agreement has been entered into with the Exchange by the Sponsored Customer, and provided certain other conditions are satisfied. The proposed revisions to Rule 706 outlines the requirements that Sponsoring Members and Sponsored Customers would be required to meet prior to engaging in a Sponsoring Member/Sponsored Customer relationship.5 A ‘‘Sponsored Customer’’ is a nonMember of the Exchange, such as an institutional investor, that trades under a Sponsoring Member’s execution and clearing identity pursuant to a sponsorship arrangement between such non-Member and a Member. The Sponsoring Member must have documentation acknowledging it has full and complete responsibility for all trading activity conducted by its Sponsored Customer. A Sponsoring Member that provides access to a Sponsored Customer also has a continuing obligation to comply with all ISE rules and procedures and the federal securities laws and regulations. A Sponsoring Member must also continue to satisfy any agency obligations that may exist between itself and its Sponsored Customer. A Sponsored Customer’s access to the Exchange is conditioned on the following requirements being met: Sponsored Customers would be required to enter into a sponsorship arrangement with a ‘‘Sponsoring Member,’’ which is defined as an ISE Member that has been designated by a Sponsored Customer to execute, clear and settle transactions on ISE. The sponsorship arrangement consists of three separate components. First, the Sponsored Customer would have to enter into and maintain a customer agreement with its Sponsoring Member, establishing a proper relationship and account through which the Sponsored Customer would be permitted to trade on ISE. Second, the Sponsored Customer and its Sponsoring Member would have to enter into a written agreement that 5 ISE notes that this proposed rule change will enable Sponsored Customers of Members to access both its Options Exchange, as per Rule 706, and its Stock Exchange, as per Rule 2100, which incorporates Rule 706 by cross-reference. 1 15 10 17 18701 Sfmt 4703 E:\FR\FM\13APN1.SGM 13APN1

Agencies

[Federal Register Volume 72, Number 71 (Friday, April 13, 2007)]
[Notices]
[Pages 18700-18701]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-6963]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55595; File No. SR-CHX-2007-14]


Self-Regulatory Organizations; Chicago Stock Exchange, Inc.; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to Participant Fees and Credits

April 6, 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 March 23, 2007, the Chicago Stock Exchange, Inc. (``CHX'' 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 
Exchange. CHX 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.
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    \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).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    CHX proposes to amend its Fee Schedule to confirm that it will not 
charge a fee or pay a credit in connection with the execution, in the 
Matching System, of a single-sided order for 100 or more shares at a 
price less than $1.00 per share. The text of the proposed rule change 
is available at CHX, the Commission's Public Reference Room, and http:/
/www.chx.com/rules/proposed_rules.htm.

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

    In its filing with the Commission, CHX 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. CHX 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 its Fee Schedule to confirm that it 
will not charge a fee or pay a credit in connection with the execution, 
in the Matching System, of a single-sided order for 100 or more shares 
at a price less than $1.00 per share. This provision is designed, in 
part, to confirm that the Exchange will not charge a fee that is 
greater than the maximum access fee set out in Rule 610(c)(2) of 
Regulation NMS.\5\ It also confirms that the Exchange has determined 
that it would not be appropriate to provide a credit in connection with 
these no-cost executions.
---------------------------------------------------------------------------

    \5\ See 17 CFR 242.610(c)(2).
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2. Statutory Basis
    CHX believes that the proposed rule change is consistent with the 
provisions of Section 6 of the Act,\6\ in general, and with Section 
6(b)(4) of the Act,\7\ in particular, in that the proposal provides for 
the equitable allocation of reasonable dues, fees, and other charges 
among its members.
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    \6\ 15 U.S.C. 78f.
    \7\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange 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

    No written comments were either solicited or received.

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)(ii) of the Act \8\ and subparagraph (f)(2) of Rule 19b-4 
thereunder \9\ 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.
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    \8\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \9\ 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:

[[Page 18701]]

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 Number SR-CHX-2007-14 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-CHX-2007-14. 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 the filing 
also will be available for inspection and copying at the principal 
office of CHX. 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-CHX-
2007-14 and should be submitted on or before May 4, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\10\
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    \10\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-6963 Filed 4-12-07; 8:45 am]
BILLING CODE 8010-01-P