Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing of a Proposed Rule Change Relating to Restrictions on Acting as Market Makers and Floor Broker, 70367-70369 [E7-23924]

Download as PDF Federal Register / Vol. 72, No. 237 / Tuesday, December 11, 2007 / Notices daily net asset value (‘‘NAV’’) of ETFs when equity markets close, typically 1 p.m. PT. Since ETFs trade until 1:15 p.m. PT, their closing price, which is the recorded price of the last trade, is often different than its NAV, calculated 15 minutes earlier. By synchronizing the closing auctions for ETFs with the close of the Exchange’s Core Trading Session, an ETF’s closing price will be better aligned with its NAV. The Exchange intends this system change to be effective on filing and operative on January 1, 2008. By amending the time of the Closing Auction for ETFs from 1:15 p.m. PT to 1 p.m. PT, users will benefit from a better alignment of an ETF’s NAV and closing price. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act 6 in general, and furthers the objectives of Section 6(b)(5) of the Act 7 in particular, because it 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 facilitating transactions in securities, and to remove impediments to and perfect the mechanism of a free and open market and a national market system. 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. pwalker on PROD1PC71 with NOTICES 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 Because the foregoing proposed rule change does not: (1) Significantly affect the protection of investors or the public interest; (2) impose any significant burden on competition; and (3) 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 6 15 U.S.C. 78f(b). 7 15 U.S.C. 78f(b)(5). VerDate Aug<31>2005 19:12 Dec 10, 2007 Jkt 214001 become effective pursuant to Section 19(b)(3)(A) of the Act 8 and Rule 19b– 4(f)(6) thereunder.9 At any time within 60 days of the filing of such proposed rule change, the Commission may summarily abrogate such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in the 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 (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–NYSEArca–2007–124 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–2007–124. 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, 100 F Street, NE., Washington, 8 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). In addition, NYSE Arca has given the Commission written notice of its intent to file the proposed rule change, along with a brief description and text of the proposed rule change, at least five business days prior to the date on which the Exchange filed the proposed rule change. See 17 CFR 240.19b–4(f)(6)(iii). 9 17 PO 00000 Frm 00079 Fmt 4703 Sfmt 4703 70367 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–NYSEArca–2007–124 and should be submitted on or before January 2, 2008. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.10 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–23918 Filed 12–10–07; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–56899; File No. SR– NYSEArca–2007–120] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing of a Proposed Rule Change Relating to Restrictions on Acting as Market Makers and Floor Broker December 5, 2007. Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 (the ‘‘Act’’)1 and Rule 19b–4 thereunder,2 notice is hereby given that on November 27, 2007, the NYSE Arca, Inc. (‘‘NYSE Arca’’ or the ‘‘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. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend certain Exchange rules to restrict an OTP Holder from concurrently registering as both a Market Maker and a Floor Broker. The text of the proposed rule change is available at the Exchange, at the Commission’s Public Reference Room, and http://www.nyse.com. 10 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 1 15 E:\FR\FM\11DEN1.SGM 11DEN1 70368 Federal Register / Vol. 72, No. 237 / Tuesday, December 11, 2007 / Notices II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the Exchange included statements concerning the purpose of, and basis, for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant aspects of such statements. pwalker on PROD1PC71 with NOTICES A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange states that the purpose of this proposal is to amend NYSE Arca Rules 6.33 and 6.44, in order to restrict an OTP Holder from concurrently registering as both a Market Maker and as a Floor Broker, on NYSE Arca. The Exchange also proposes to revise Rule 6.82(h) to restrict a Lead Market Maker from performing the functions of a Floor Broker. Further, the Exchange proposes to eliminate, in its entirety, Rule 6.38, which deals with restrictions when acting as a Market Maker and Floor Broker. Presently, OTP Holders may be registered as either a Market Maker or a Floor Broker, or in certain situations, both. An OTP Holder that wished to act in both capacities must apply for and receive approval from the Exchange.3 The Exchange noted that presently there are no OTP Holders registered in the dual capacity of Market Maker and Floor Broker, nor does the Exchange have any pending applications from existing OTP Holders. The practice of dual registration dates back to the early days of floor-based, open outcry trading. Open outcry trading was for the most part a manual process, necessitating the need for a large number of Floor Brokers. On occasion, often in periods of unusually active market conditions, there might have been a shortage of brokers on the floor, and in the interest of maintaining a fair and orderly market, Market Makers could be called upon to act as Floor Brokers. Automation has led to a dramatic decrease in open outcry trading and has greatly reduced the reliance on Floor Brokers to execute orders. Because the vast majority of trades on NYSE Arca now occur 3 See NYSE Arca Rule 6.38(b)(4). VerDate Aug<31>2005 19:12 Dec 10, 2007 Jkt 214001 electronically, the Exchange does not feel there would ever be a shortage of Floor Brokers such that it could be detrimental to efficient order handling, even in times of unusual market activity. The Exchange proposes establishing new Rule 6.33(b) stating that an OTP Holder registered as a Market Maker on NYSE Arca may not be concurrently registered as a Floor Broker on NYSE Arca. Accordingly, the Exchange also proposes establishing new Rule 6.44(b), stating that an OTP Holder presently registered as a Floor Broker on NYSE Arca cannot be concurrently registered as a Market Maker on NYSE Arca. The Exchange also proposes making nonsubstantive changes regarding the numbering of existing rules in order to accommodate the new rules. Pursuant to NYSE Arca Rule 6.82(h)(3), Lead Market Makers (‘‘LMM’’) may perform the functions of a Floor Broker. Historically, LMMs might perform the duties of a Floor Broker and represent public customer orders when there was a shortage of Floor Brokers available. As stated above, due to increased automation in the marketplace, the Exchange does not anticipate a shortage of Floor Brokers such that it would necessitate an LMM to have to act as a Floor Broker. As such, the Exchange proposes deleting Rule 6.82(h)(3) in its entirety. The Exchange also proposes deleting Commentary .02 to Rule 6.82 relating to a LMM’s handling of public customer orders. Presently, OTP Holders acting as both Floor Broker and Market Maker are subject to certain restrictions under NYSE Arca Rule 6.38. Upon approval of the above-mentioned rule changes, these restrictions will become obsolete. Since Market Makers will be prohibited from acting as Floor Brokers, and vice-versa, there is no need to have specific restrictions governing their trading activity. Therefore, the Exchange proposes eliminating Rule 6.38 in its entirety. The Exchange noted that LMMs and InterMarket Linkage Maker Makers (‘‘IMM’’) are exempt from certain provisions contained in NYSE Arca Rule 6.38. Currently, LMMs and IMMs may be called upon to send Principal Acting as Agent (‘‘P/A’’) Orders through the InterMarket Linkage System (‘‘Linkage’’) pursuant to NYSE Arca Rules 6.92 and 6.93. Linkage is a fully automated process on NYSE Arca, and while the IMM or LMM may be acting in an agency capacity, as the responsible party for sending the order, they are not acting in the capacity of a Floor Broker. The Exchange’s electronic system automatically routes orders through PO 00000 Frm 00080 Fmt 4703 Sfmt 4703 Linkage, on behalf of the IMM or LMM. Neither the IMM nor LMM has any manual interaction with the system, nor the individual Linkage orders. Eliminating NYSE Arca Rule 6.38 will not affect their ability to carry out any Linkage obligations. Thus, the Exchange proposes to add language to Rule 6.33(b) stating that a prohibition on concurrent registration as both a Market Maker and Floor Broker will not prevent an IMM or LMM from acting in an agency capacity for Linkage purposes. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with section 6(b) of the Act 4 in general, and furthers the objectives of section 6(b)(5) of the Act 5 in particular, because it 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 facilitating transactions in securities, and to remove impediments to and perfect the mechanism of a free and open market and to protect investors and the public interest. 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 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 Exchange consents, the Commission will: A. By order approve the proposed rule change, or B. institute proceedings to determine whether the proposed rule change should be disapproved. 4 15 5 15 E:\FR\FM\11DEN1.SGM U.S.C. 78f(b). U.S.C. 78f(b)(5). 11DEN1 Federal Register / Vol. 72, No. 237 / Tuesday, December 11, 2007 / Notices 70369 For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.6 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–23924 Filed 12–10–07; 8:45 am] Percent 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: BILLING CODE 8011–01–P SMALL BUSINESS ADMINISTRATION • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send e-mail to rulecomments@sec.gov. Please include File Number SR–NYSEArca–2007–120 on the subject line. pwalker on PROD1PC71 with NOTICES Electronic Comments [Disaster Declaration #11120 and #11121] Jkt 214001 4.000 4.000 U.S. Small Business Administration. ACTION: Notice. The number assigned to this disaster for physical damage is 111206 and for economic injury is 111210. (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) AGENCY: 6 17 19:12 Dec 10, 2007 5.250 Indiana Disaster #In–00014 SUMMARY: This is a Notice of the Presidential declaration of a major Paper Comments disaster for the State of Indiana (FEMA– 1732–DR), dated 11/30/2007. • Send paper comments in triplicate Incident: Severe Storms and Flooding. to Nancy M. Morris, Secretary, Incident Period: 08/15/2007 through Securities and Exchange Commission, 08/27/2007. 100 F Street NE., Washington, DC Effective Date: 11/30/2007. 20549–1090. Physical Loan Application Deadline Date: 01/29/2008. All submissions should refer to File Economic Injury (EIDL) Loan Number SR–NYSEArca–2007–120. This Application Deadline Date: 09/01/2008. file number should be included on the subject line if e-mail is used. To help the ADDRESSES: Submit completed loan applications to: U.S. Small Business Commission process and review your Administration, Processing and comments more efficiently, please use only one method. The Commission will Disbursement Center, 14925 Kingsport post all comments on the Commission’s Road, Fort Worth, TX 76155. FOR FURTHER INFORMATION CONTACT: A. Internet Web site (http://www.sec.gov/ Escobar, Office of Disaster Assistance, rules/sro.shtml). Copies of the U.S. Small Business Administration, submission, all subsequent 409 3rd Street, SW., Suite 6050, amendments, all written statements Washington, DC 20416. with respect to the proposed rule SUPPLEMENTARY INFORMATION: Notice is change that are filed with the hereby given that as a result of the Commission, and all written President’s major disaster declaration on communications relating to the 11/30/2007, applications for disaster proposed rule change between the Commission and any person, other than loans may be filed at the address listed above or other locally announced those that may be withheld from the locations. public in accordance with the The following areas have been provisions of 5 U.S.C. 552, will be determined to be adversely affected by available for inspection and copying in the disaster: the Commission’s Public Reference Primary Counties (Physical Damage and Room, 100 F Street, NE., Washington, Economic Injury Loans): Lake. DC 20549, on official business days Contiguous Counties (Economic Injury between the hours of 10 a.m. and 3 p.m. Loans Only): Copies of such filing will also be Indiana: Jasper, Newton, Porter. available for inspection and copying at Illinois: Cook, Kankakee, Will. the principal office of the Exchange. All The Interest Rates are: comments received will be posted without change; the Commission does Percent not edit personal identifying For Physical Damage: information from submissions. You Homeowners With Credit Availshould submit only information that able Elsewhere ...................... 6.250 you wish to make available publicly. All Homeowners Without Credit submissions should refer to File number Available Elsewhere .............. 3.125 SR–NYSEArca–2007–120 and should be Businesses With Credit Available Elsewhere ...................... 8.000 submitted by January 2, 2008. VerDate Aug<31>2005 Other (Including Non-Profit Organizations) With Credit Available Elsewhere .............. Businesses and Non-Profit Organizations Without Credit Available Elsewhere .............. For Economic Injury: Businesses and Small Agricultural Cooperatives Without Credit Available Elsewhere ... PO 00000 CFR 200.30–3(a)(12). Frm 00081 Fmt 4703 Sfmt 4703 James E. Rivera, Acting Associate Administrator for Disaster Assistance. [FR Doc. 07–6002 Filed 12–10–07; 8:45 am] BILLING CODE 8025–01–M DEPARTMENT OF STATE [PUBLIC NOTICE 6012] Culturally Significant Objects Imported for Exhibition Determinations: ‘‘The World of 1607’’ ACTION: Notice, correction. SUMMARY: On March 7, 2007, notice was published on page 10289 of the Federal Register (volume 72, number 44) of determinations made by the Department of State pertaining to the Exhibit, ‘‘The World of 1607.’’ The referenced notice is corrected as to additional objects to be included in the exhibition. Pursuant to the authority vested in me by the Act of October 19, 1965 (79 Stat. 985; 22 U.S.C. 2459), Executive Order 12047 of March 27, 1978, the Foreign Affairs Reform and Restructuring Act of 1998 (112 Stat. 2681, et seq.; 22 U.S.C. 6501 note, et seq.), Delegation of Authority No. 234 of October 1, 1999, Delegation of Authority No. 236 of October 19, 1999, as amended, and Delegation of Authority No. 257 of April 15, 2003 [68 FR 19875], I hereby determine that the objects to be included in the exhibition ‘‘The World of 1607’’, imported from abroad for temporary exhibition within the United States, are of cultural significance. The objects are imported pursuant to loan agreements with the foreign owners or custodians. I also determine that the exhibition or display of the exhibit objects at the Jamestown Settlement, Williamsburg, Virginia, from on or about January 1, 2008, until on or about April 25, 2008, and at possible additional exhibitions or venues yet to be determined, is in the national interest. Public Notice of these E:\FR\FM\11DEN1.SGM 11DEN1

Agencies

[Federal Register Volume 72, Number 237 (Tuesday, December 11, 2007)]
[Notices]
[Pages 70367-70369]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-23924]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-56899; File No. SR-NYSEArca-2007-120]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
of a Proposed Rule Change Relating to Restrictions on Acting as Market 
Makers and Floor Broker

December 5, 2007.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act'')\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on November 27, 2007, the NYSE Arca, Inc. (``NYSE Arca'' or the 
``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. 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.
---------------------------------------------------------------------------

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

    The Exchange proposes to amend certain Exchange rules to restrict 
an OTP Holder from concurrently registering as both a Market Maker and 
a Floor Broker. The text of the proposed rule change is available at 
the Exchange, at the Commission's Public Reference Room, and http://
www.nyse.com.

[[Page 70368]]

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

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of, and basis, for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. The Exchange 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 states that the purpose of this proposal is to amend 
NYSE Arca Rules 6.33 and 6.44, in order to restrict an OTP Holder from 
concurrently registering as both a Market Maker and as a Floor Broker, 
on NYSE Arca. The Exchange also proposes to revise Rule 6.82(h) to 
restrict a Lead Market Maker from performing the functions of a Floor 
Broker. Further, the Exchange proposes to eliminate, in its entirety, 
Rule 6.38, which deals with restrictions when acting as a Market Maker 
and Floor Broker.
    Presently, OTP Holders may be registered as either a Market Maker 
or a Floor Broker, or in certain situations, both. An OTP Holder that 
wished to act in both capacities must apply for and receive approval 
from the Exchange.\3\ The Exchange noted that presently there are no 
OTP Holders registered in the dual capacity of Market Maker and Floor 
Broker, nor does the Exchange have any pending applications from 
existing OTP Holders.
---------------------------------------------------------------------------

    \3\ See NYSE Arca Rule 6.38(b)(4).
---------------------------------------------------------------------------

    The practice of dual registration dates back to the early days of 
floor-based, open outcry trading. Open outcry trading was for the most 
part a manual process, necessitating the need for a large number of 
Floor Brokers. On occasion, often in periods of unusually active market 
conditions, there might have been a shortage of brokers on the floor, 
and in the interest of maintaining a fair and orderly market, Market 
Makers could be called upon to act as Floor Brokers. Automation has led 
to a dramatic decrease in open outcry trading and has greatly reduced 
the reliance on Floor Brokers to execute orders. Because the vast 
majority of trades on NYSE Arca now occur electronically, the Exchange 
does not feel there would ever be a shortage of Floor Brokers such that 
it could be detrimental to efficient order handling, even in times of 
unusual market activity.
    The Exchange proposes establishing new Rule 6.33(b) stating that an 
OTP Holder registered as a Market Maker on NYSE Arca may not be 
concurrently registered as a Floor Broker on NYSE Arca. Accordingly, 
the Exchange also proposes establishing new Rule 6.44(b), stating that 
an OTP Holder presently registered as a Floor Broker on NYSE Arca 
cannot be concurrently registered as a Market Maker on NYSE Arca. The 
Exchange also proposes making non-substantive changes regarding the 
numbering of existing rules in order to accommodate the new rules.
    Pursuant to NYSE Arca Rule 6.82(h)(3), Lead Market Makers (``LMM'') 
may perform the functions of a Floor Broker. Historically, LMMs might 
perform the duties of a Floor Broker and represent public customer 
orders when there was a shortage of Floor Brokers available. As stated 
above, due to increased automation in the marketplace, the Exchange 
does not anticipate a shortage of Floor Brokers such that it would 
necessitate an LMM to have to act as a Floor Broker. As such, the 
Exchange proposes deleting Rule 6.82(h)(3) in its entirety. The 
Exchange also proposes deleting Commentary .02 to Rule 6.82 relating to 
a LMM's handling of public customer orders.
    Presently, OTP Holders acting as both Floor Broker and Market Maker 
are subject to certain restrictions under NYSE Arca Rule 6.38. Upon 
approval of the above-mentioned rule changes, these restrictions will 
become obsolete. Since Market Makers will be prohibited from acting as 
Floor Brokers, and vice-versa, there is no need to have specific 
restrictions governing their trading activity. Therefore, the Exchange 
proposes eliminating Rule 6.38 in its entirety.
    The Exchange noted that LMMs and InterMarket Linkage Maker Makers 
(``IMM'') are exempt from certain provisions contained in NYSE Arca 
Rule 6.38. Currently, LMMs and IMMs may be called upon to send 
Principal Acting as Agent (``P/A'') Orders through the InterMarket 
Linkage System (``Linkage'') pursuant to NYSE Arca Rules 6.92 and 6.93. 
Linkage is a fully automated process on NYSE Arca, and while the IMM or 
LMM may be acting in an agency capacity, as the responsible party for 
sending the order, they are not acting in the capacity of a Floor 
Broker. The Exchange's electronic system automatically routes orders 
through Linkage, on behalf of the IMM or LMM. Neither the IMM nor LMM 
has any manual interaction with the system, nor the individual Linkage 
orders. Eliminating NYSE Arca Rule 6.38 will not affect their ability 
to carry out any Linkage obligations. Thus, the Exchange proposes to 
add language to Rule 6.33(b) stating that a prohibition on concurrent 
registration as both a Market Maker and Floor Broker will not prevent 
an IMM or LMM from acting in an agency capacity for Linkage purposes.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with section 6(b) of the Act \4\ in general, and furthers the 
objectives of section 6(b)(5) of the Act \5\ in particular, because it 
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 facilitating 
transactions in securities, and to remove impediments to and perfect 
the mechanism of a free and open market and to protect investors and 
the public interest.

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

    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 Exchange consents, the Commission will:
    A. By order approve the proposed rule change, or
    B. institute proceedings to determine whether the proposed rule 
change should be disapproved.

[[Page 70369]]

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 (http://
www.sec.gov/rules/sro.shtml); or
     Send e-mail to rule-comments@sec.gov. Please include File 
Number SR-NYSEArca-2007-120 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-2007-120. 
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, 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 will also 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-NYSEArca-2007-120 and should 
be submitted by January 2, 2008.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\6\
Florence E. Harmon,
Deputy Secretary.
---------------------------------------------------------------------------

    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(5).
    \6\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

 [FR Doc. E7-23924 Filed 12-10-07; 8:45 am]
BILLING CODE 8011-01-P