Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Definition of Exchange-Traded Fund Share, 31529-31530 [E8-12206]
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Federal Register / Vol. 73, No. 106 / Monday, June 2, 2008 / Notices
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XLE, or any member, limited partner,
officer, or associated person thereof,
from acting as an options Specialist or
ROT or functioning in any capacity
involving market making
responsibilities, in any option overlying
a security in which the Market Maker on
XLE is registered as such.
After careful review, the Commission
finds that the proposed rule change is
consistent with the requirements of the
Act and the rules and regulations
thereunder applicable to a national
securities exchange.4 In particular, the
Commission finds that the proposed
rule change is consistent with Section
6(b)(5) of the Act,5 which requires,
among other things, that the rules of a
national securities exchange be
designed to promote just and equitable
principles of trade, to remove
impediments to and perfect the
mechanism of a free and open market
and a national market system, and, in
general to protect investors and the
public interest.
The Commission finds that the
deletion of Phlx Rule 1014(e)(iii) is
consistent with the Act. Phlx Rule
1014(e)(iii) was designed to mitigate the
‘‘time and place’’ advantages available
to a ROT with access to the Phlx
equities trading floor. The Commission
notes that the Phlx no longer operates a
physical equities trading floor. The
Commission also notes that possession
of XLE order entry technology by Phlx
options floor participants does not offer
any special information advantage that
could be used on the Phlx options floor
because access to XLE information is
made available simultaneously to
anyone. Likewise, physical presence on
the Phlx options floor does not provide
an advantage in priority for orders
entered into XLE from the Phlx options
floor because XLE executes orders in
price-time priority based on a pre-set
algorithm that may not be altered by the
XLE participant entering the order and
does not take into account the location
where an order is entered. In addition,
the Commission notes that options floor
participants currently have access to
other execution venues and order
routing mechanisms for the underlying
securities.
The Commission also finds that the
prohibition on integrated market making
is consistent with the Act.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,6 that the
4 In
approving this rule change, the Commission
notes that it has considered the proposed rule’s
impact on efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
5 15 U.S.C. 78f(b)(5).
6 15 U.S.C. 78s(b)(2).
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19:06 May 30, 2008
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proposed rule change (SR–Phlx–2008–
27) be, and hereby is, approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Florence E. Harmon,
Acting Secretary.
[FR Doc. E8–12195 Filed 5–30–08; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–57871; File No. SR–Phlx–
2008–37]
Self-Regulatory Organizations;
Philadelphia Stock Exchange, Inc.;
Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change Relating to the Definition of
Exchange-Traded Fund Share
May 27, 2008.
Pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1, and Rule 19b–4 2 thereunder,
notice is hereby given that on May 19,
2008, the Philadelphia Stock Exchange,
Inc. (‘‘Phlx’’ or ‘‘Exchange’’) 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 by the Phlx. The
Exchange filed the proposal as a noncontroversial proposed rule change
pursuant to section 19(b)(3)(A) of the
Act 3 and Rule 19b–4(f)(6) 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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Phlx proposes to modify Phlx
Rule 1000(b)(42), the definition of
Exchange-Traded Fund Share, to
conform it to the definition of that term
used in Phlx Rule 1009, Commentary
.06.
The proposed rule change is available
at the Phlx, the Commission’s Public
Reference Room, and https://
www.phlx.com.
7 17
CFR 200.30–3(a)(12).
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)(6).
1 15
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31529
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
Phlx 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 Phlx 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 purpose of the proposed rule
change is to update and clarify what
may appear to be inconsistent language
between Phlx Rule 1000(b)(42) and Phlx
Rule 1009, Commentary .06. Phlx Rule
1000(b)(42) defines the term ExchangeTraded Fund Share. Phlx Rule 1009,
Commentary .06 states what options are
appropriate for options trading on Phlx.
Phlx currently utilizes the definition of
Exchange-Traded Fund Share as stated
in Phlx Rule 1009, Commentary .06 for
purposes of determining what options
are appropriate for options trading. This
proposed rule change is meant to clarify
Phlx’s rules by correlating the definition
of Exchange-Traded Fund Share in Phlx
Rule 1000(b)(42) with the meaning of
Exchange-Traded Fund Share in Phlx
Rule 1009, Commentary .06. It is not
intended to change which securities are
deemed appropriate for options trading
on Phlx.
Phlx Rule 1000(b)(42) was adopted in
2001.5 The current language in Phlx
Rule 1009, Commentary .06 was
adopted in 2007.6 Phlx should have
modified Phlx Rule 1000(b)(42) at that
time to correlate it to the meaning of
Exchange-Traded Fund Share in Phlx
Rule 1009, Commentary .06, but
inadvertently did not. Therefore, Phlx
proposes to amend Phlx Rule
1000(b)(42) to state that the definition of
Exchange-Traded Fund Share shall have
the meaning assigned to it in Phlx Rule
1009, Commentary .06.
2. Statutory Basis
The Exchange believes that its
proposal is consistent with section 6(b)
5 See Securities Exchange Act Release No. 43921
(February 2, 2001), 66 FR 9739 (February 9, 2001).
6 See Securities Exchange Act Release No. 55951
(June 25, 2007), 72 FR 37298 (July 9, 2007).
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31530
Federal Register / Vol. 73, No. 106 / Monday, June 2, 2008 / Notices
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–Phlx–2008–37 and should
be submitted on or before June 23, 2008.
of the Act 7 in general, and furthers the
objectives of section 6(b)(5) of the Act 8
in particular, in that it is designed to
promote just and equitable principles of
trade, to remove impediments to and
perfect the mechanism of a free and
open market and a national market
system, and, in general to protect
investors and the public interest, by
reducing any potential confusion in the
Phlx Options Rules by correlating the
definition of Exchange-Traded Fund
Share in Phlx Rule 1000(b)(42) with
Phlx Rule 1009, Commentary .06.
are deemed appropriate for options
trading on Phlx.
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. Therefore, the
Commission designates the proposal as
operative upon filing.12
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.
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:
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.
The Social Security Administration
(SSA) publishes a list of information
• Use the Commission’s Internet
collection packages that will require
comment form (https://www.sec.gov/
clearance by the Office of Management
rules/sro.shtml); or
and Budget (OMB) in compliance with
• Send an e-mail to rulePublic Law (Pub. L.) 104–13, the
comments@sec.gov. Please include File
Paperwork Reduction Act of 1995,
Number SR–Phlx–2008–37 on the
effective October 1, 1995. The
subject line.
information collection package in this
notice is for a revision to an OMBPaper Comments
approved information collection.
• Send paper comments in triplicate
SSA is soliciting comments on the
to Secretary, Securities and Exchange
accuracy of the Agency’s burden
Commission, 100 F Street, NE.,
estimate; the need for the information;
Washington, DC 20549–1090.
its practical utility; ways to enhance its
All submissions should refer to File
quality, utility and clarity; and how to
Number SR–Phlx–2008–37. This file
minimize the burden on respondents,
number should be included on the
including the use of automated
subject line if e-mail is used. To help the collection techniques or other forms of
Commission process and review your
information technology. Submit written
comments more efficiently, please use
comments and recommendations on the
only one method. The Commission will information collection to the SSA
post all comments on the Commission’s Reports Clearance Officer. Mail, fax or
Internet Web site (https://www.sec.gov/
email the information to the address and
rules/sro.shtml). Copies of the
fax number listed below:
submission, all subsequent
(OMB) Office of Management and
amendments, all written statements
Budget, Attn: Desk Officer for SSA,
with respect to the proposed rule
Fax: 202–395–6974, E-mail address:
change that are filed with the
OIRA_Submission@omb.eop.gov.
Commission, and all written
(SSA) Social Security Administration,
communications relating to the
DCBFM, Attn: Reports Clearance
proposed rule change between the
Officer, 1333 Annex Building, 6401
Commission and any person, other than
Security Blvd., Baltimore, MD 21235,
those that may be withheld from the
Fax: 410–965–6400, E-mail address:
public in accordance with the
OPLM.RCO@ssa.gov.
provisions of 5 U.S.C. 552, will be
We are submitting the information
available for inspection and copying in
collection below to OMB for clearance.
the Commission’s Public Reference
Your comments on the information
Room. Copies of such filing also will be collection will be most useful if you
available for inspection and copying at
send them to OMB and SSA within 30
the principal office of the Exchange. All days from the date of this publication.
comments received will be posted
You can obtain a copy of the OMB
clearance package by calling the SSA
12 For purposes only of waiving the 30-day
operative delay, the Commission has considered the Reports Clearance Officer at 410–965–
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
9 In addition, Rule 19b–4(f)(6)(iii) requires a selfregulatory organization to give the Commission
written notice of its intent to file a proposed rule
change, along with a brief description and text of
the proposed rule change, at least five business days
prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has fulfilled this
requirement.
10 15 U.S.C. 78s(b)(3)(A).
11 17 CFR 240.19b–4(f)(6)(iii).
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BILLING CODE 8010–01–P
SOCIAL SECURITY ADMINISTRATION
Agency Information Collection
Activities: Comment Request
Electronic Comments
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the proposed rule change
does not: (i) Significantly affect the
protection of investors or the public
interest; (ii) impose any significant
burden on competition; and (iii) become
operative for 30 days from the date on
which it was filed (or such shorter time
as the Commission may designate),9 the
proposed rule change has become
effective pursuant to section 19(b)(3)(A)
of the Act 10 and Rule 19b–4(f)(6)
thereunder.11
The Exchange has requested that the
Commission waive the 30-day operative
delay and designate the proposed rule
change as operative upon filing. The
Commission believes that waiving the
30-day operative delay is consistent
with the protection of investors and the
public interest because this proposal is
solely intended to correlate the
definition of Exchange-Traded Fund
Share in the Phlx Options Rules and is
not intended to change which securities
7 15
IV. Solicitation of Comments
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Florence E. Harmon,
Acting Secretary.
[FR Doc. E8–12206 Filed 5–30–08; 8:45 am]
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
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CFR 200.30–3(a)(12).
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]]>Agencies
[Federal Register Volume 73, Number 106 (Monday, June 2, 2008)]
[Notices]
[Pages 31529-31530]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-12206]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-57871; File No. SR-Phlx-2008-37]
Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Relating to the Definition of Exchange-Traded Fund Share
May 27, 2008.
Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\, and Rule 19b-4 \2\ thereunder, notice is hereby given
that on May 19, 2008, the Philadelphia Stock Exchange, Inc. (``Phlx''
or ``Exchange'') 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 by the Phlx. The Exchange
filed the proposal as a non-controversial proposed rule change pursuant
to section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(6)
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)(6).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Phlx proposes to modify Phlx Rule 1000(b)(42), the definition
of Exchange-Traded Fund Share, to conform it to the definition of that
term used in Phlx Rule 1009, Commentary .06.
The proposed rule change is available at the Phlx, the Commission's
Public Reference Room, and https://www.phlx.com.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the Phlx 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 Phlx 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 purpose of the proposed rule change is to update and clarify
what may appear to be inconsistent language between Phlx Rule
1000(b)(42) and Phlx Rule 1009, Commentary .06. Phlx Rule 1000(b)(42)
defines the term Exchange-Traded Fund Share. Phlx Rule 1009, Commentary
.06 states what options are appropriate for options trading on Phlx.
Phlx currently utilizes the definition of Exchange-Traded Fund Share as
stated in Phlx Rule 1009, Commentary .06 for purposes of determining
what options are appropriate for options trading. This proposed rule
change is meant to clarify Phlx's rules by correlating the definition
of Exchange-Traded Fund Share in Phlx Rule 1000(b)(42) with the meaning
of Exchange-Traded Fund Share in Phlx Rule 1009, Commentary .06. It is
not intended to change which securities are deemed appropriate for
options trading on Phlx.
Phlx Rule 1000(b)(42) was adopted in 2001.\5\ The current language
in Phlx Rule 1009, Commentary .06 was adopted in 2007.\6\ Phlx should
have modified Phlx Rule 1000(b)(42) at that time to correlate it to the
meaning of Exchange-Traded Fund Share in Phlx Rule 1009, Commentary
.06, but inadvertently did not. Therefore, Phlx proposes to amend Phlx
Rule 1000(b)(42) to state that the definition of Exchange-Traded Fund
Share shall have the meaning assigned to it in Phlx Rule 1009,
Commentary .06.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 43921 (February 2,
2001), 66 FR 9739 (February 9, 2001).
\6\ See Securities Exchange Act Release No. 55951 (June 25,
2007), 72 FR 37298 (July 9, 2007).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that its proposal is consistent with section
6(b)
[[Page 31530]]
of the Act \7\ in general, and furthers the objectives of section
6(b)(5) of the Act \8\ in particular, in that it is designed to promote
just and equitable principles of trade, to remove impediments to and
perfect the mechanism of a free and open market and a national market
system, and, in general to protect investors and the public interest,
by reducing any potential confusion in the Phlx Options Rules by
correlating the definition of Exchange-Traded Fund Share in Phlx Rule
1000(b)(42) with Phlx Rule 1009, Commentary .06.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
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
No written comments were either solicited or received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Because the proposed rule change does not: (i) Significantly affect
the protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative for 30
days from the date on which it was filed (or such shorter time as the
Commission may designate),\9\ the proposed rule change has become
effective pursuant to section 19(b)(3)(A) of the Act \10\ and Rule 19b-
4(f)(6) thereunder.\11\
---------------------------------------------------------------------------
\9\ In addition, Rule 19b-4(f)(6)(iii) requires a self-
regulatory organization to give the Commission written notice of its
intent to file a proposed rule change, along with a brief
description and text of the proposed rule change, at least five
business days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the Commission. The
Exchange has fulfilled this requirement.
\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------
The Exchange has requested that the Commission waive the 30-day
operative delay and designate the proposed rule change as operative
upon filing. The Commission believes that waiving the 30-day operative
delay is consistent with the protection of investors and the public
interest because this proposal is solely intended to correlate the
definition of Exchange-Traded Fund Share in the Phlx Options Rules and
is not intended to change which securities are deemed appropriate for
options trading on Phlx.
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. Therefore, the Commission
designates the proposal as operative upon filing.\12\
---------------------------------------------------------------------------
\12\ For purposes only of waiving the 30-day operative delay,
the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
---------------------------------------------------------------------------
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-Phlx-2008-37 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street, NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-Phlx-2008-37. 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 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-Phlx-2008-37 and should be submitted on or before June
23, 2008.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
---------------------------------------------------------------------------
\13\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Acting Secretary.
[FR Doc. E8-12206 Filed 5-30-08; 8:45 am]
BILLING CODE 8010-01-P
