Self-Regulatory Organizations; The Options Clearing Corporation; Notice of Filing and Order Granting Accelerated Approval of a Proposed Rule Change Relating to Options on Leveraged ETF Shares, 60925-60927 [E7-21179]
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Federal Register / Vol. 72, No. 207 / Friday, October 26, 2007 / Notices
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
Fee
any burden on competition that is not
$10,000 necessary or appropriate in furtherance
12,000 of the purposes of the Act.
In addition, the following annual fees
will apply to securities subject to
Section 902.09: 3
Shares outstanding
Up to 6 million ............................
6+ to 7 million .............................
7+ to 8 million .............................
8+ to 9 million .............................
9+ to 10 million ...........................
10+ to 15 million .........................
15+ to 25 million .........................
25+ to 50 million .........................
In excess of 50 million ................
14,000
16,000
18,000
20,000
25,000
42,000
55,000
These Annual Fees will be billed in
January for the forthcoming year.
The proposed $2,500 fee for certain
changes that involve modifications to
Exchange records is applicable under
the proposed fee schedule. This fee is
consistent with the provisions of
Sections 902.05 and 902.06 of the
Manual.
The Exchange also proposes to amend
Section 902.08 (Listing Fees for Debt
Securities) of the Manual to reflect that
the Automated Bond System is now
‘‘NYSE Bonds.’’
Finally, the Exchange currently
applies the fee schedules set forth in
Section 902.05 and 902.06 of the
Manual to securities listed pursuant to
Sections 703.15, 703.17 and 703.22 of
the Manual. However, Sections 902.05
and 902.06 of the Manual do not
identify Sections 703.15, 703.17 and
703.22 as securities to which the fees
would apply. As a result, the Exchange
requests permission to apply
retroactively for the period from June 7,
2006 to October 2, 2007 the fee
schedules set forth in Sections 902.05
and 902.06 of the Manual to all
securities previously listed pursuant to
Sections 703.15, 703.17 and 703.22 of
the Manual. Beginning October 3, 2007,
all securities listed pursuant to Sections
703.15, 703.17 and 703.22 of the Manual
would be subject to the fee schedule set
forth in Section 902.09 of the Manual.
rmajette on PROD1PC64 with NOTICES
2. Statutory Basis
The Exchange believes that the
proposal is consistent with Section 6(b)
of the Act 4 in general, and Section
6(b)(4) of the Act 5 in particular, in that
it provides for the equitable allocation
of reasonable dues, fees and other
charges among its issuers and other
persons using its facilities.
3 The Exchange notes that it currently lists one
Structured Product with 25 million shares or more
outstanding.
4 15 U.S.C. 78f(b).
5 15 U.S.C. 78f(b)(4).
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16:26 Oct 25, 2007
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C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange has neither solicited
nor received written comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed
Rule Change and Timing for
Commission Action
Within 35 days of the date of
publication of this notice in the Federal
Register or within such longer period (i)
as the Commission may designate up to
90 days of such date if it finds such
longer period to be appropriate and
publishes its reasons for so finding or
(ii) as to which the NYSE consents, the
Commission will:
(A) By order approve such proposed
rule change, or
(B) Institute proceedings to determine
whether the proposed rule change
should be disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–NYSE–2007–77 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–NYSE–2007–77. 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
PO 00000
Frm 00130
Fmt 4703
Sfmt 4703
60925
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, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
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–NYSE–2007–77 and should
be submitted on or before November 16,
2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.6
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–21218 Filed 10–25–07; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–56684; File No. SR–OCC–
2007–12]
Self-Regulatory Organizations; The
Options Clearing Corporation; Notice
of Filing and Order Granting
Accelerated Approval of a Proposed
Rule Change Relating to Options on
Leveraged ETF Shares
October 22, 2007.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 notice is hereby given that on
October 4, 2007, The Options Clearing
Corporation (‘‘OCC’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which items have been prepared
primarily by OCC. The Commission is
publishing this notice and order to
solicit comments on the proposed rule
change from interested persons and to
grant accelerated approval of the
proposal.
6 17
1 15
E:\FR\FM\26OCN1.SGM
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
26OCN1
60926
Federal Register / Vol. 72, No. 207 / Friday, October 26, 2007 / Notices
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The proposed rule change would
allow OCC to clear and settle options on
exchange traded fund (‘‘ETF’’) shares
generally known as ‘‘Leveraged ETF
Shares.’’
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
OCC 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. OCC has prepared
summaries, set forth in sections (A), (B),
and (C) below, of the most significant
aspects of such statements.2
rmajette on PROD1PC64 with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
The purpose of the proposed rule
change is to accommodate the
introduction of options on ETF shares
that represent interests in entities
making a broad array of investments in
order to provide investment returns that
are equivalent to (a) a multiple of the
percentage return of a specific stock
index (‘‘Multiple Fund Shares’’ or
‘‘Index Multiple ETFs’’) or (b) a multiple
of the inverse percentage return of a
specific stock index (‘‘Inverse Fund
Shares’’ or ‘‘Index Inverse ETFs’’)
(Multiple Fund Shares, Index Multiple
ETFs, Inverse Fund Shares, and Index
Inverse ETFs are collectively
‘‘Leveraged ETF Shares’’).3 According to
the proposed rule changes filed by the
exchanges seeking to list and trade
Leveraged ETF Shares, the ETF issuing
the Leveraged ETF Shares may make a
variety of exchange-traded and over-thecounter investments, including stock
index futures contracts, options on
futures, options on securities, options
on indexes, caps on stock, collars on
stock, floors on stock, swap agreements,
forward contracts, repurchase
agreements, and reverse repurchase
agreements.4
2 The Commission has modified parts of these
statements.
3 The ProShares Ultra Funds, which trades on the
American Stock Exchange (‘‘Amex’’), is an example
of a Multiple Fund Share or Index Multiple ETF.
The Short Funds and the UltraShort Funds, which
also trade on Amex, are examples of Inverse Fund
Shares Index Inverse ETFs.
4 File Nos. SR–Amex–2007–35 and SR–ISE–2007–
87. The Commission recently issued an order
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15:23 Oct 25, 2007
Jkt 214001
Currently, the definition of ‘‘fund
share’’ in Article I, Section 1 of OCC’s
By-Laws lists the various underlying
investments that may be made by the
ETF issuing the fund share. In order to
avoid creating an ever-lengthening list
of possible investments that may prove
to be non-exhaustive, OCC proposes to
amend the definition of ‘‘fund share’’ to
state that the term means ‘‘a publicly
traded security (as defined in Section
3(a)(10) of the Securities Exchange Act
of 1934, as amended) that represents an
interest in a trust, investment company,
commodity pool, or similar entity
holding and/or trading in one or more
investments.’’ 5
The proposed rule change is
consistent with the requirements of
Section 17A of the Act because it (1)
promotes the prompt and accurate
clearance and settlement of transactions
in options on Leveraged ETF Shares by
applying the same basic rules and
procedures to such options as are
applied to options on other equity
interests, (2) fosters cooperation and
coordination with persons engaged in
the clearance and settlement of
securities transactions, (3) removes
impediments to and perfects the
mechanism of a national system for the
prompt and accurate clearance and
settlement of securities transactions,
and (4) protects investors and the public
interest. The proposed rule change is
not inconsistent with the rules of OCC,
including any rule proposed to be
amended.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
OCC does not believe that the
proposed rule change would impose any
burden on competition.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were not and are
not intended to be solicited with respect
to the proposed rule change, and none
have been received.
granting approval of SR–Amex–2007–35 that allows
Amex to list and trade options on Multiple Fund
Shares and on Inverse Fund Shares. Securities
Exchange Act Release No. 56650 (October 12, 2007),
72 FR 59123 (October 18, 2007).
5 The Commission previously approved a
supplement to the ‘‘options disclosure document’’
defining ‘‘fund shares’’ in a similar manner. Part III
of the May 2007 Supplement to Characteristics and
Risks of Standardized Options provides that the
term ‘‘fund shares’’ includes interests in exchangetraded funds and other entities holding or trading
in one or more types of investments. Securities
Exchange Act Release No. 55702 (May 3, 2007), 72
FR 26671 (May 10, 2007) (File No. SR–ODD–2007–
02).
PO 00000
Frm 00131
Fmt 4703
Sfmt 4703
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Section 17A(b)(3)(F) of the Act
requires, among other things, that the
rules of a clearing agency be designed to
promote the prompt and accurate
clearance and settlement of securities
transactions.6 By amending OCC’s ByLaws so that OCC may clear and settle
options on Leveraged ETF Shares that
are to be listed and traded on Amex, the
proposed rule change should help
promote the prompt and accurate
clearance and settlement of such
securities transactions.
OCC has requested that the
Commission approve the proposed rule
prior to the thirtieth day after
publication of the notice of the filing.
The Commission finds good cause for
approving the proposed rule change
prior to the thirtieth day after the
publication of notice because such
approval will allow Amex to commence
trading of options on Leveraged ETF
Shares without any unnecessary delay.7
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml) or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–OCC–2007–12 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–OCC–2007–12. 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
6 15
U.S.C. 78q–1(b)(3)(F).
note 4.
7 Supra
E:\FR\FM\26OCN1.SGM
26OCN1
Federal Register / Vol. 72, No. 207 / Friday, October 26, 2007 / Notices
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, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
Copies of such filing also will be
available for inspection and copying at
the principal office of OCC. 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–OCC–2007–12 and should
be submitted on or before November 16,
2007.
V. Conclusion
On the basis of the foregoing, the
Commission finds that the proposed
rule change is consistent with the
requirements of the Act and in
particular Section 17A of the Act and
the rules and regulations thereunder.8
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act, that the
proposed rule change (File No. SR–
OCC–2007–12) be and hereby is
approved.
For the Commission by the Division of
Market Regulation, pursuant to delegated
authority.9
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–21179 Filed 10–25–07; 8:45 am]
BILLING CODE 8011–01–P
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
[Summary Notice No. PE–2007–36]
Petition for Exemption; Summary of
Petition Received
Federal Aviation
Administration (FAA), DOT.
ACTION: Notice of petition for exemption
received.
rmajette on PROD1PC64 with NOTICES
AGENCY:
SUMMARY: This notice contains a
summary of a petition seeking relief
from specified requirements of 14 CFR.
8 In approving the proposed rule change, the
Commission considered the proposal’s impact on
efficiency, competition and capital formation. 15
U.S.C. 78c(f).
9 17 CFR 200.30–3(a)(12).
VerDate Aug<31>2005
15:23 Oct 25, 2007
Jkt 214001
The purpose of this notice is to improve
the public’s awareness of, and
participation in, this aspect of FAA’s
regulatory activities. Neither publication
of this notice nor the inclusion or
omission of information in the summary
is intended to affect the legal status of
the petition or its final disposition.
DATE: Comments on this petition must
identify the petition docket number
involved and must be received on or
before November 15, 2007.
ADDRESSES: You may send comments
identified by Docket Number FAA–
2007–0007 using any of the following
methods:
• Government-wide rulemaking Web
site: Go to https://www.regulations.gov
and follow the instructions for sending
your comments electronically.
• Mail: Send comments to the Docket
Management Facility; U.S. Department
of Transportation, 1200 New Jersey
Avenue, SE., West Building Ground
Floor, Room W12–140, Washington, DC
20590.
• Fax: Fax comments to the Docket
Management Facility at 202–493–2251.
• Hand Delivery: Bring comments to
the Docket Management Facility in
Room W12–140 of the West Building
Ground Floor at 1200 New Jersey
Avenue, S.E., Washington, DC, between
9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays.
Privacy: We will post all comments
we receive, without change, to https://
www.regulations.gov, including any
personal information you provide.
Using the search function of our docket
Web site, anyone can find and read the
comments received into any of our
dockets, including the name of the
individual sending the comment (or
signing the comment for an association,
business, labor union, etc.). You may
review DOT’s complete Privacy Act
Statement in the Federal Register
published on April 11, 2000 (65 FR
19477–78).
Docket: To read background
documents or comments received, go to
https://www.regulations.gov at any time
or to the Docket Management Facility in
Room W12–140 of the West Building
Ground Floor at 1200 New Jersey
Avenue, SE., Washington, DC, between
9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays.
FOR FURTHER INFORMATION CONTACT:
Tyneka Thomas (202) 267–7626 or
Frances Shaver (202) 267–9681, Office
of Rulemaking, Federal Aviation
Administration, 800 Independence
Avenue, SW., Washington, DC 20591.
This notice is published pursuant to
14 CFR 11.85.
PO 00000
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Sfmt 4703
60927
Issued in Washington, DC, on October 22,
2007.
Pamela Hamilton-Powell,
Director, Office of Rulemaking.
Petition for Exemption
Docket No.: FAA–2007–0007.
Petitioner: Future Flight LLC.
Section of 14 CFR Affected:
§§ 21.191(i)(1)(3) and 21.193(e)(1).
Description of Relief Sought: The
petitioner is seeking relief to allow it to
produce and sell experimental, ready-tofly gyroplanes for operation in the lightsport category. The gyroplanes would
meet all other provisions of §§ 21.190,
21.191 and 21.193, including the
requirement that such aircraft meet the
applicable consensus standard.
[FR Doc. E7–21105 Filed 10–25–07; 8:45 am]
BILLING CODE 4910–13–P
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
[Summary Notice No. PE–2007–38]
Petitions for Exemption; Summary of
Petitions Received
Federal Aviation
Administration (FAA), DOT.
ACTION: Notice of petitions for
exemption received.
AGENCY:
SUMMARY: This notice contains a
summary of certain petitions seeking
relief from specified requirements of 14
CFR. The purpose of this notice is to
improve the public’s awareness of, and
participation in, this aspect of FAA’s
regulatory activities. Neither publication
of this notice nor the inclusion or
omission of information in the summary
is intended to affect the legal status of
any petition or its final disposition.
DATES: Comments on petitions received
must identify the petition docket
number involved and must be received
on or before November 15, 2007.
ADDRESSES: You may send comments
identified by Docket Number FAA–
2007–29267 using any of the following
methods:
• Government-wide rulemaking Web
site: Go to https://www.regulations.gov
and follow the instructions for sending
your comments electronically.
• Mail: Send comments to the Docket
Management Facility; U.S. Department
of Transportation, 1200 New Jersey
Avenue, SE., West Building Ground
Floor, Room W12–140, Washington, DC
20590.
• Fax: Fax comments to the Docket
Management Facility at 202–493–2251.
• Hand Delivery: Bring comments to
the Docket Management Facility in
E:\FR\FM\26OCN1.SGM
26OCN1
]]>Agencies
[Federal Register Volume 72, Number 207 (Friday, October 26, 2007)]
[Notices]
[Pages 60925-60927]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-21179]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-56684; File No. SR-OCC-2007-12]
Self-Regulatory Organizations; The Options Clearing Corporation;
Notice of Filing and Order Granting Accelerated Approval of a Proposed
Rule Change Relating to Options on Leveraged ETF Shares
October 22, 2007.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on October 4, 2007, The
Options Clearing Corporation (``OCC'') filed with the Securities and
Exchange Commission (``Commission'') the proposed rule change as
described in Items I and II below, which items have been prepared
primarily by OCC. The Commission is publishing this notice and order to
solicit comments on the proposed rule change from interested persons
and to grant accelerated approval of the proposal.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------
[[Page 60926]]
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The proposed rule change would allow OCC to clear and settle
options on exchange traded fund (``ETF'') shares generally known as
``Leveraged ETF Shares.''
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, OCC 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. OCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\2\
---------------------------------------------------------------------------
\2\ The Commission has modified parts of these statements.
---------------------------------------------------------------------------
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
The purpose of the proposed rule change is to accommodate the
introduction of options on ETF shares that represent interests in
entities making a broad array of investments in order to provide
investment returns that are equivalent to (a) a multiple of the
percentage return of a specific stock index (``Multiple Fund Shares''
or ``Index Multiple ETFs'') or (b) a multiple of the inverse percentage
return of a specific stock index (``Inverse Fund Shares'' or ``Index
Inverse ETFs'') (Multiple Fund Shares, Index Multiple ETFs, Inverse
Fund Shares, and Index Inverse ETFs are collectively ``Leveraged ETF
Shares'').\3\ According to the proposed rule changes filed by the
exchanges seeking to list and trade Leveraged ETF Shares, the ETF
issuing the Leveraged ETF Shares may make a variety of exchange-traded
and over-the-counter investments, including stock index futures
contracts, options on futures, options on securities, options on
indexes, caps on stock, collars on stock, floors on stock, swap
agreements, forward contracts, repurchase agreements, and reverse
repurchase agreements.\4\
---------------------------------------------------------------------------
\3\ The ProShares Ultra Funds, which trades on the American
Stock Exchange (``Amex''), is an example of a Multiple Fund Share or
Index Multiple ETF. The Short Funds and the UltraShort Funds, which
also trade on Amex, are examples of Inverse Fund Shares Index
Inverse ETFs.
\4\ File Nos. SR-Amex-2007-35 and SR-ISE-2007-87. The Commission
recently issued an order granting approval of SR-Amex-2007-35 that
allows Amex to list and trade options on Multiple Fund Shares and on
Inverse Fund Shares. Securities Exchange Act Release No. 56650
(October 12, 2007), 72 FR 59123 (October 18, 2007).
---------------------------------------------------------------------------
Currently, the definition of ``fund share'' in Article I, Section 1
of OCC's By-Laws lists the various underlying investments that may be
made by the ETF issuing the fund share. In order to avoid creating an
ever-lengthening list of possible investments that may prove to be non-
exhaustive, OCC proposes to amend the definition of ``fund share'' to
state that the term means ``a publicly traded security (as defined in
Section 3(a)(10) of the Securities Exchange Act of 1934, as amended)
that represents an interest in a trust, investment company, commodity
pool, or similar entity holding and/or trading in one or more
investments.'' \5\
---------------------------------------------------------------------------
\5\ The Commission previously approved a supplement to the
``options disclosure document'' defining ``fund shares'' in a
similar manner. Part III of the May 2007 Supplement to
Characteristics and Risks of Standardized Options provides that the
term ``fund shares'' includes interests in exchange-traded funds and
other entities holding or trading in one or more types of
investments. Securities Exchange Act Release No. 55702 (May 3,
2007), 72 FR 26671 (May 10, 2007) (File No. SR-ODD-2007-02).
---------------------------------------------------------------------------
The proposed rule change is consistent with the requirements of
Section 17A of the Act because it (1) promotes the prompt and accurate
clearance and settlement of transactions in options on Leveraged ETF
Shares by applying the same basic rules and procedures to such options
as are applied to options on other equity interests, (2) fosters
cooperation and coordination with persons engaged in the clearance and
settlement of securities transactions, (3) removes impediments to and
perfects the mechanism of a national system for the prompt and accurate
clearance and settlement of securities transactions, and (4) protects
investors and the public interest. The proposed rule change is not
inconsistent with the rules of OCC, including any rule proposed to be
amended.
B. Self-Regulatory Organization's Statement on Burden on Competition
OCC does not believe that the proposed rule change would impose any
burden on competition.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments were not and are not intended to be solicited with
respect to the proposed rule change, and none have been received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Section 17A(b)(3)(F) of the Act requires, among other things, that
the rules of a clearing agency be designed to promote the prompt and
accurate clearance and settlement of securities transactions.\6\ By
amending OCC's By-Laws so that OCC may clear and settle options on
Leveraged ETF Shares that are to be listed and traded on Amex, the
proposed rule change should help promote the prompt and accurate
clearance and settlement of such securities transactions.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------
OCC has requested that the Commission approve the proposed rule
prior to the thirtieth day after publication of the notice of the
filing. The Commission finds good cause for approving the proposed rule
change prior to the thirtieth day after the publication of notice
because such approval will allow Amex to commence trading of options on
Leveraged ETF Shares without any unnecessary delay.\7\
---------------------------------------------------------------------------
\7\ Supra note 4. 7
---------------------------------------------------------------------------
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-OCC-2007-12 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-OCC-2007-12. 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
[[Page 60927]]
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, 100 F Street, NE., Washington, DC
20549, on official business days between the hours of 10 a.m. and 3
p.m. Copies of such filing also will be available for inspection and
copying at the principal office of OCC. 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-OCC-2007-12 and should be submitted on
or before November 16, 2007.
V. Conclusion
On the basis of the foregoing, the Commission finds that the
proposed rule change is consistent with the requirements of the Act and
in particular Section 17A of the Act and the rules and regulations
thereunder.\8\
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\8\ In approving the proposed rule change, the Commission
considered the proposal's impact on efficiency, competition and
capital formation. 15 U.S.C. 78c(f).
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It is therefore ordered, pursuant to Section 19(b)(2) of the Act,
that the proposed rule change (File No. SR-OCC-2007-12) be and hereby
is approved.
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\9\ 17 CFR 200.30-3(a)(12).
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\9\
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-21179 Filed 10-25-07; 8:45 am]
BILLING CODE 8011-01-P
