Self-Regulatory Organizations; American Stock Exchange LLC, The NASDAQ Stock Market LLC, New York Stock Exchange LLC, and NYSE Arca, Inc.; Notice of Filing of Proposed Rule Changes To Adopt a Trading Halt Rule in Connection With the Dissemination of Net Asset Value and Disclosed Portfolio for Certain Derivative Securities Products, 31903-31905 [E8-12395]
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Federal Register / Vol. 73, No. 108 / Wednesday, June 4, 2008 / Notices
Day
Event/Activity
B ........................
Decision on contention admission.
should contact the NRC PDR Reference
staff by telephone at 1–800–397–4209,
or 301–415–4737 or by email to
pdr@nrc.gov.
[FR Doc. E8–12428 Filed 6–3–08; 8:45 am]
BILLING CODE 7590–01–P
NUCLEAR REGULATORY
COMMISSION
[Docket Nos. 50–445 and 50–446]
rwilkins on PROD1PC63 with NOTICES
Luminant Generation Company LLC;
Notice of Withdrawal of Application for
Amendment to Facility Operating
Licenses
The U.S. Nuclear Regulatory
Commission (NRC, the Commission) has
granted the request of Luminant
Generation Company LLC (the licensee)
to withdraw its January 18, 2007,
application for an amendment to
Facility Operating License Nos. NPF–87
and NPF–89 for the Comanche Peak
Steam Electric Station, Units 1 and 2,
located in Hood County, Texas.
The proposed amendment would
have revised Technical Specification
3.8.1 to extend the 72-hour completion
time for one inoperable diesel generator
to 14 days, provided an alternate AC
[alternating current] power source was
available.
The Commission had previously
issued a Notice of Consideration of
Issuance of Amendment to Facility
Operating Licenses, Proposed No
Significant Hazards Consideration
Determination, and Opportunity for a
Hearing, published in the Federal
Register on April 10, 2007 (72 FR
17952). However, by letter dated
January 30, 2008, the licensee withdrew
the proposed change.
For further details with respect to this
action, see the application for
amendment dated January 18, 2007
(Agencywide Documents Access and
Management System (ADAMS)
Accession No. ML070230493), and the
licensee’s letter dated January 30, 2008
(ADAMS Accession No. ML080390310),
which withdrew the application for
license amendment. Documents may be
examined, and/or copied for a fee, at the
NRC’s Public Document Room (PDR),
located at One White Flint North, Public
File Area O1 F21, 11555 Rockville Pike
(first floor), Rockville, Maryland.
Publicly available records are accessible
electronically from the ADAMS Public
Electronic Reading Room on the internet
at the NRC Web site, https://
www.nrc.gov/reading-rm.html. Persons
who do not have access to ADAMS or
who encounter problems in accessing
the documents located in ADAMS
VerDate Aug<31>2005
31903
16:46 Jun 03, 2008
Jkt 214001
Dated at Rockville, Maryland, this 21st day
of May, 2008.
For the Nuclear Regulatory Commission.
Balwant K. Singal,
Senior Project Manager, Plant Licensing
Branch IV, Division of Operating Reactor
Licensing, Office of Nuclear Reactor
Regulation.
[FR Doc. E8–12492 Filed 6–3–08; 8:45 am]
BILLING CODE 7590–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–57881; File Nos. SR–Amex2008–40; SR–NASDAQ–2008–046; SR–
NYSE–2008–39; SR–NYSEArca-2008–50]
Self-Regulatory Organizations;
American Stock Exchange LLC, The
NASDAQ Stock Market LLC, New York
Stock Exchange LLC, and NYSE Arca,
Inc.; Notice of Filing of Proposed Rule
Changes To Adopt a Trading Halt Rule
in Connection With the Dissemination
of Net Asset Value and Disclosed
Portfolio for Certain Derivative
Securities Products
May 29, 2008.
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 May 14,
2008, the American Stock Exchange LLC
(‘‘Amex’’), The NASDAQ Stock Market
LLC (‘‘Nasdaq’’), the New York Stock
Exchange LLC (‘‘NYSE’’), and NYSE
Arca, Inc. (‘‘NYSE Arca’’ and together
with Amex, Nasdaq, and NYSE,
collectively, the ‘‘Exchanges’’), through
its wholly owned subsidiary, NYSE
Arca Equities, Inc. (‘‘NYSE Arca
Equities’’), each filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
changes as described in Items I, II, and
III below, which Items have been
substantially prepared by the
Exchanges. The Commission is
publishing this notice to solicit
comments on the proposed rule changes
from interested persons.
1 15
2 17
PO 00000
U.S.C. 78s(b)(1).
CFR 240.19b–4.
Frm 00095
Fmt 4703
Sfmt 4703
I. Self-Regulatory Organizations’
Statement of the Terms of Substance of
the Proposed Rule Changes
Each Exchange proposes to amend its
respective rules to require a trading halt
(‘‘New Trading Halt Rule’’) in certain
derivative securities products when the
respective Exchange becomes aware that
the net asset value (‘‘NAV’’) and/or
disclosed portfolio (‘‘Disclosed
Portfolio’’),3 as applicable, for such
derivative securities product is not
being disseminated to all market
participants at the same time. The texts
of the proposed rule changes are
available at the Exchanges, the
Commission’s Public Reference Room,
and the Exchanges’ respective Internet
Web sites.4
II. Self-Regulatory Organizations’
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Changes
In its filing with the Commission,
each Exchange included statements
concerning the purpose of, and basis for,
its proposed rule change and discussed
any comments it received on the
proposed rule change. The text of the
statements may be examined at the
places specified in Item IV below. The
Exchanges have prepared summaries,
set forth in sections A, B, and C, below,
of the most significant aspects of such
statements.
3 ‘‘Disclosed Portfolio’’ is applicable only with
respect to a series of Managed Fund Shares and is
defined as the identities and quantities of the
securities and other assets that: (1) Are held by a
registered investment company organized as an
open-end management investment company or
similar entity that invests in a portfolio of securities
selected by such investment company’s investment
adviser consistent such investment company’s
investment objectives and policies; and (2) form the
basis for such investment company’s calculation of
NAV. See Amex Rule 1002B (setting forth the
continued listing standards for Managed Fund
Shares and requiring, among other things, that the
Disclosed Portfolio be disseminated at least once
daily and made available to all market participants
at the same time) and NYSE Arca Equities Rule
8.600 (setting forth the listing standards for
Managed Fund Shares and requiring, among other
things, that the Disclosed Portfolio be disseminated
at least once daily and made available to all market
participants at the same time). As of the date hereof,
only Amex and NYSE Arca Equities have listing
rules for Managed Fund Shares. See infra note 5.
4 See https://www.amex.com, https://
www.nasdaq.com, and https://www.nyse.com (for
both NYSE and NYSE Arca).
E:\FR\FM\04JNN1.SGM
04JNN1
31904
Federal Register / Vol. 73, No. 108 / Wednesday, June 4, 2008 / Notices
A. Self-Regulatory Organizations’
Statement for the Purpose of, and
Statutory Basis for, the Proposed Rule
Changes
rwilkins on PROD1PC63 with NOTICES
1. Purpose
Each Exchange proposes to amend its
respective rules 5 to require a trading
halt in certain derivative securities
products 6 that are listed and trading on
5 For purposes of the proposed rule changes,
Amex seeks to adopt new Amex Rule 117A and
Commentary .01 thereto (Net Asset Value/Disclosed
Portfolio Dissemination and Trading Halts); Nasdaq
seeks to amend Nasdaq Rule 4120 (Trading Halts);
NYSE seeks to amend NYSE Rule 123D (Openings
and Halts in Trading); and NYSE Arca seeks to
amend NYSE Arca Equities Rule 7.34 (Trading
Sessions).
6 Each Exchange seeks to apply its respective New
Trading Halt Rule to certain derivative securities
products for which: (1) Such Exchange has listing
and trading standards; and (2) an NAV and, in the
case of Managed Fund Shares, a Disclosed Portfolio,
is disseminated. See proposed Amex Rule 117A
(applying Amex’s New Trading Halt Rule to
Portfolio Depositary Receipts (Amex Rule 1000–
AEMI), Index Fund Shares (Amex Rule 1000A–
AEMI), Trust Issued Receipts (Commentary .07 to
Amex Rule 1202), Managed Fund Shares (Amex
Rule 1000B), Commodity-Based Trust Shares (Amex
Rule 1200A), Currency Trust Shares (Amex Rule
1200B), Paired Trust Shares (Amex Rule 1400),
Partnership Units (Amex Rule 1500), and Trust
Units (Amex Rule 1600)); proposed Nasdaq Rule
4120(a)(10) (applying Nasdaq’s New Trading Halt
Rule to Portfolio Depository Receipts (Nasdaq Rule
4420(i)), Index Fund Shares (Nasdaq Rule 4420(j)),
Trust Issued Receipts (Nasdaq Rule 4420(l)),
Commodity-Related Securities (as defined in
Nasdaq Rule 4630), and securities representing
interests in unit investment trusts or investment
companies); proposed NYSE Rule 123D(5)
(applying NYSE’s New Trading Halt Rule to
Investment Company Units (NYSE Rule 1100),
Trust Issued Receipts (NYSE Rule 1200), Currency
Trust Shares (NYSE Rule 1300A), and Commodity
Trust Shares (NYSE Rule 1300B)); and proposed
NYSE Arca Equities Rule 7.34(a)(5) (applying NYSE
Arca’s New Trading Halt Rule to Investment
Company Units (NYSE Arca Equities Rule 5.2(j)(3)),
Portfolio Depositary Receipts (NYSE Arca Equities
Rule 8.100), Trust Issued Receipts (NYSE Arca
Equities Rule 8.200), Commodity-Based Trust
Shares (NYSE Arca Equities Rule 8.201), Currency
Trust Shares (NYSE Arca Equities Rule 8.202),
Commodity Index Trust Shares (NYSE Arca
Equities Rule 8.203), Commodity Futures Trust
Shares (NYSE Arca Equities Rule 8.204),
Partnership Units (NYSE Arca Equities Rule 8.300),
Paired Trust Shares (NYSE Arca Equities Rule
8.400), Trust Units (NYSE Arca Equities Rule
8.500), and Managed Fund Shares (NYSE Arca
Equities Rule 8.600)).
Nasdaq seeks to apply its New Trading Halt Rule
to proposed Managed Fund Shares through a
separate proposed rule change. See Securities
Exchange Release No. 57800 (May 8, 2008), 73 FR
27874 (May 14, 2008) (SR–NASDAQ–2008–039)
(proposing, among other things, to include Managed
Fund Shares (new Nasdaq Rule 4420(o)) under the
definition of ‘‘Derivative Securities Product,’’ for
purposes of Nasdaq Rule 4120(b)(4)(A)) (‘‘Nasdaq
Proposal’’). Nasdaq represents that it will file an
amendment to its proposed rule change (File No.
SR-Nasdaq-2008–046) upon the Commission’s
approval of the Nasdaq Proposal to modify its New
Trading Halt Rule to account for the Disclosed
Portfolio with respect to a series of Managed Fund
Shares listed and traded on Nasdaq. E-mail from
Sean Bennett, Assistant General Counsel, Nasdaq,
to Edward Cho, Special Counsel, Division of
VerDate Aug<31>2005
16:46 Jun 03, 2008
Jkt 214001
such Exchange, if such Exchange
becomes aware that the NAV and/or
Disclosed Portfolio, as applicable, for
such derivative product is not being
disseminated to all market participants
at the same time. In addition, each
Exchange would resume trading in such
halted derivative securities product only
when the NAV and/or Disclosed
Portfolio, as applicable, is disseminated
to all market participants.7 Each
Exchange represents that, in the event
the NAV and/or Disclosed Portfolio, as
applicable, for a series of derivative
securities product ceases to be
disseminated altogether, such Exchange
would halt trading in such derivative
securities product.
2. Statutory Basis
The Exchanges believe that their
respective proposed rule changes are
consistent with the Act and the rules
and regulations under the Act
applicable to national securities
exchanges and, in particular, the
requirements of section 6(b) of the Act.8
Specifically, the Exchanges believe their
respective proposed rule changes are
consistent with the requirements of
section 6(b)(5) of the Act,9 which
requires, among other things, that the
rules of a national securities exchange
be designed to prevent fraudulent and
manipulative acts, to promote just and
equitable principles of trade, to foster
cooperation and coordination with
persons engaged in facilitating
transactions in securities, 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.
B. Self-Regulatory Organizations’
Statement on Burden on Competition
The Exchanges believe that their
respective proposed rule changes would
impose no burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
Trading and Markets, Commission, dated May 19,
2008.
7 Nasdaq’s New Trading Halt Rule also provides
that, in the case of a halted Derivative Securities
Products (as defined in Nasdaq Rule 4120(b)(4)(A))
trading on Nasdaq pursuant to unlisted trading
privileges, Nasdaq would resume trading in such
Derivative Securities Product only until such time
trading resumes in the listing market for such
Derivative Securities Product. The Nasdaq Proposal
also seeks to make technical, non-substantive
changes to Nasdaq Rules 4120(a) and (c) to
incorporate new Nasdaq Rule 4120(a)(10).
8 15 U.S.C. 78f(b).
9 15 U.S.C. 78f(b)(5).
PO 00000
Frm 00096
Fmt 4703
Sfmt 4703
C. Self-Regulatory Organizations’
Statement on Comments on the
Proposed Rule Changes Received From
Members, Participants, or Others
The Exchanges have neither solicited
nor received comments on their
respective proposals.
III. Date of Effectiveness of the
Proposed Rule Changes 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 Exchanges consent,
the Commission will:
A. By order approve such proposed
rule changes, or
B. Institute proceedings to determine
whether the proposed rule changes
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
changes are 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
Numbers SR–Amex–2008–40; SR–
NASDAQ–2008–046; SR–NYSE–2008–
39; and SR–NYSEArca–2008–50 in 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
Numbers SR–Amex–2008–40; SR–
NASDAQ–2008–046; SR–NYSE–2008–
39; and SR–NYSEArca–2008–50. These
file numbers 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
changes that are filed with the
Commission, and all written
E:\FR\FM\04JNN1.SGM
04JNN1
Federal Register / Vol. 73, No. 108 / Wednesday, June 4, 2008 / Notices
communications relating to the
proposed rule changes 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
Section, 100 F Street, NE., Washington,
DC 20549–1090 on business days
between the hours of 10 a.m. and 3 p.m.
Copies of such filings also will be
available for inspection and copying at
the respective principal offices of the
Exchanges. 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 Numbers SR–Amex–
2008–40; SR–NASDAQ–2008–046; SR–
NYSE–2008–39; and SR–NYSEArca–
2008–50 and should be submitted on or
before June 25, 2008.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Florence E. Harmon,
Acting Secretary.
[FR Doc. E8–12395 Filed 6–3–08; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–57861; File No. SR–NYSE–
2008–42]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Enhance Its
NYSE OpenBook Product Offerings
rwilkins on PROD1PC63 with NOTICES
May 23, 2008.
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 May 16,
2008, the New York Stock Exchange
LLC (‘‘NYSE’’ 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 substantially prepared by the
Exchange. The Exchange has designated
the proposed rule change as a ‘‘noncontroversial’’ rule change pursuant to
Section 19(b)(3)(A) of the Act 3 and Rule
19b–4(f)(6) thereunder,4 which renders
10 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).
16:46 Jun 03, 2008
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to enhance its
NYSE OpenBook product offerings to
offer additional separate data feeds
containing NYSE quotations and order
imbalance information. The text of the
proposed rule change is available at
https://www.nyse.com, the Exchange,
and the Commission’s Public Reference
Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
NYSE included statements concerning
the purpose of, and basis for, the
proposed rule change and discussed any
comments it received on the proposed
rule change. The text of these statements
may be examined at the places specified
in Item IV below. NYSE 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
NYSE OpenBook responds to the
desire of some market participants for
depth-of-market data. It is a compilation
of limit order data that the Exchange
provides to market data vendors, brokerdealers, private network providers and
other entities (collectively, ‘‘Vendors’’)
through a data feed. For every limit
price, NYSE OpenBook includes the
aggregate order volume.
NYSE OpenBook is a packaged suite
of data feed products. In addition to the
current NYSE OpenBook data feed
(‘‘NYSE OpenBook Realtime’’), for no
additional charge, the Exchange makes
available to NYSE OpenBook recipients
a separate data feed containing NYSE
quotations (‘‘NYSE BestQuote’’).5 NYSE
BestQuote allows customers to see
additional market interest that is not
displayed in the NYSE limit order book
and that, therefore, is not available in
NYSE OpenBook.
This proposed rule change:
5 NYSE added NYSE BestQuote to the NYSE
OpenBook Realtime package in October 2006. See
Securities Exchange Act Release No. 54594 (October
12, 2006), 71 FR 61819 (October 19, 2006) (SR–
NYSE–2006–81).
1 15
VerDate Aug<31>2005
the proposed rule change effective upon
filing with the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
Jkt 214001
PO 00000
Frm 00097
Fmt 4703
Sfmt 4703
31905
i. Responds to a demand for a newly
enhanced version of the NYSE
OpenBook product to be called NYSE
OpenBook Ultra, which provides orderlevel detail; and
ii. Adds to NYSE OpenBook a new
category of information: information
regarding order imbalances prior to the
market opening and closing auctions
(‘‘Order Imbalance Information’’).
(1) NYSE OpenBook Ultra. The
Exchange makes NYSE OpenBook
Realtime available on a snapshot basis,
with updates distributed in real-time at
intervals of one second. Pursuant to this
proposed rule change, the Exchange
proposes to make available an enhanced
NYSE OpenBook service that would
update NYSE OpenBook information
upon receipt of each displayed limit
order (‘‘NYSE OpenBook Ultra’’). NYSE
OpenBook Ultra responds to the desire
of some market participants for realtime depth-of-book data on an order-byorder basis. In addition, NYSE
OpenBook Ultra will improve upon
NYSE OpenBook Realtime by adding
information regarding the changes in
limit order interest, by providing more
precise timestamp resolution
(microseconds) and by providing an
easy-to-read format that is optimized for
speed and recoverability.
The Exchange will continue to
support NYSE OpenBook Realtime and
will offer NYSE OpenBook Ultra as an
optional alternative without additional
or different fees or terms. However, the
Exchange anticipates that it will
reassess its pricing for NYSE OpenBook,
and may restructure or modify the
charges applicable to the NYSE
OpenBook Realtime and NYSE
OpenBook Ultra packages. The
Exchange will submit any proposed new
or modified fees to the Commission as
proposed rule changes and will not
impose any new or modified charges on
data feed recipients and end-users prior
to Commission approval.
(2) Order Imbalance Information.
Order Imbalance Information is a data
feed of real-time order imbalances that
accumulate prior to the opening of
trading on the Exchange and prior to the
close of trading on the Exchange. These
orders are subject to execution at the
market’s opening or closing price, as the
case may be, and represent issues that
are likely to be of particular trading
interest at the opening or closing.
The Exchange plans to distribute
information about these imbalances in
real-time at specified intervals prior to
the opening and closing auctions.
Initially, the Exchange proposes to make
order imbalance information available at
the following intervals:
For opening order imbalances:
E:\FR\FM\04JNN1.SGM
04JNN1
Agencies
[Federal Register Volume 73, Number 108 (Wednesday, June 4, 2008)]
[Notices]
[Pages 31903-31905]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-12395]
=======================================================================
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-57881; File Nos. SR-Amex-2008-40; SR-NASDAQ-2008-046;
SR-NYSE-2008-39; SR-NYSEArca-2008-50]
Self-Regulatory Organizations; American Stock Exchange LLC, The
NASDAQ Stock Market LLC, New York Stock Exchange LLC, and NYSE Arca,
Inc.; Notice of Filing of Proposed Rule Changes To Adopt a Trading Halt
Rule in Connection With the Dissemination of Net Asset Value and
Disclosed Portfolio for Certain Derivative Securities Products
May 29, 2008.
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 May 14, 2008, the American Stock Exchange LLC (``Amex''), The NASDAQ
Stock Market LLC (``Nasdaq''), the New York Stock Exchange LLC
(``NYSE''), and NYSE Arca, Inc. (``NYSE Arca'' and together with Amex,
Nasdaq, and NYSE, collectively, the ``Exchanges''), through its wholly
owned subsidiary, NYSE Arca Equities, Inc. (``NYSE Arca Equities''),
each filed with the Securities and Exchange Commission (``Commission'')
the proposed rule changes as described in Items I, II, and III below,
which Items have been substantially prepared by the Exchanges. The
Commission is publishing this notice to solicit comments on the
proposed rule changes from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organizations' Statement of the Terms of Substance
of the Proposed Rule Changes
Each Exchange proposes to amend its respective rules to require a
trading halt (``New Trading Halt Rule'') in certain derivative
securities products when the respective Exchange becomes aware that the
net asset value (``NAV'') and/or disclosed portfolio (``Disclosed
Portfolio''),\3\ as applicable, for such derivative securities product
is not being disseminated to all market participants at the same time.
The texts of the proposed rule changes are available at the Exchanges,
the Commission's Public Reference Room, and the Exchanges' respective
Internet Web sites.\4\
---------------------------------------------------------------------------
\3\ ``Disclosed Portfolio'' is applicable only with respect to a
series of Managed Fund Shares and is defined as the identities and
quantities of the securities and other assets that: (1) Are held by
a registered investment company organized as an open-end management
investment company or similar entity that invests in a portfolio of
securities selected by such investment company's investment adviser
consistent such investment company's investment objectives and
policies; and (2) form the basis for such investment company's
calculation of NAV. See Amex Rule 1002B (setting forth the continued
listing standards for Managed Fund Shares and requiring, among other
things, that the Disclosed Portfolio be disseminated at least once
daily and made available to all market participants at the same
time) and NYSE Arca Equities Rule 8.600 (setting forth the listing
standards for Managed Fund Shares and requiring, among other things,
that the Disclosed Portfolio be disseminated at least once daily and
made available to all market participants at the same time). As of
the date hereof, only Amex and NYSE Arca Equities have listing rules
for Managed Fund Shares. See infra note 5.
\4\ See https://www.amex.com, https://www.nasdaq.com, and https://
www.nyse.com (for both NYSE and NYSE Arca).
---------------------------------------------------------------------------
II. Self-Regulatory Organizations' Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Changes
In its filing with the Commission, each Exchange included
statements concerning the purpose of, and basis for, its proposed rule
change and discussed any comments it received on the proposed rule
change. The text of the statements may be examined at the places
specified in Item IV below. The Exchanges have prepared summaries, set
forth in sections A, B, and C, below, of the most significant aspects
of such statements.
[[Page 31904]]
A. Self-Regulatory Organizations' Statement for the Purpose of, and
Statutory Basis for, the Proposed Rule Changes
1. Purpose
Each Exchange proposes to amend its respective rules \5\ to require
a trading halt in certain derivative securities products \6\ that are
listed and trading on such Exchange, if such Exchange becomes aware
that the NAV and/or Disclosed Portfolio, as applicable, for such
derivative product is not being disseminated to all market participants
at the same time. In addition, each Exchange would resume trading in
such halted derivative securities product only when the NAV and/or
Disclosed Portfolio, as applicable, is disseminated to all market
participants.\7\ Each Exchange represents that, in the event the NAV
and/or Disclosed Portfolio, as applicable, for a series of derivative
securities product ceases to be disseminated altogether, such Exchange
would halt trading in such derivative securities product.
---------------------------------------------------------------------------
\5\ For purposes of the proposed rule changes, Amex seeks to
adopt new Amex Rule 117A and Commentary .01 thereto (Net Asset
Value/Disclosed Portfolio Dissemination and Trading Halts); Nasdaq
seeks to amend Nasdaq Rule 4120 (Trading Halts); NYSE seeks to amend
NYSE Rule 123D (Openings and Halts in Trading); and NYSE Arca seeks
to amend NYSE Arca Equities Rule 7.34 (Trading Sessions).
\6\ Each Exchange seeks to apply its respective New Trading Halt
Rule to certain derivative securities products for which: (1) Such
Exchange has listing and trading standards; and (2) an NAV and, in
the case of Managed Fund Shares, a Disclosed Portfolio, is
disseminated. See proposed Amex Rule 117A (applying Amex's New
Trading Halt Rule to Portfolio Depositary Receipts (Amex Rule 1000-
AEMI), Index Fund Shares (Amex Rule 1000A-AEMI), Trust Issued
Receipts (Commentary .07 to Amex Rule 1202), Managed Fund Shares
(Amex Rule 1000B), Commodity-Based Trust Shares (Amex Rule 1200A),
Currency Trust Shares (Amex Rule 1200B), Paired Trust Shares (Amex
Rule 1400), Partnership Units (Amex Rule 1500), and Trust Units
(Amex Rule 1600)); proposed Nasdaq Rule 4120(a)(10) (applying
Nasdaq's New Trading Halt Rule to Portfolio Depository Receipts
(Nasdaq Rule 4420(i)), Index Fund Shares (Nasdaq Rule 4420(j)),
Trust Issued Receipts (Nasdaq Rule 4420(l)), Commodity-Related
Securities (as defined in Nasdaq Rule 4630), and securities
representing interests in unit investment trusts or investment
companies); proposed NYSE Rule 123D(5) (applying NYSE's New Trading
Halt Rule to Investment Company Units (NYSE Rule 1100), Trust Issued
Receipts (NYSE Rule 1200), Currency Trust Shares (NYSE Rule 1300A),
and Commodity Trust Shares (NYSE Rule 1300B)); and proposed NYSE
Arca Equities Rule 7.34(a)(5) (applying NYSE Arca's New Trading Halt
Rule to Investment Company Units (NYSE Arca Equities Rule
5.2(j)(3)), Portfolio Depositary Receipts (NYSE Arca Equities Rule
8.100), Trust Issued Receipts (NYSE Arca Equities Rule 8.200),
Commodity-Based Trust Shares (NYSE Arca Equities Rule 8.201),
Currency Trust Shares (NYSE Arca Equities Rule 8.202), Commodity
Index Trust Shares (NYSE Arca Equities Rule 8.203), Commodity
Futures Trust Shares (NYSE Arca Equities Rule 8.204), Partnership
Units (NYSE Arca Equities Rule 8.300), Paired Trust Shares (NYSE
Arca Equities Rule 8.400), Trust Units (NYSE Arca Equities Rule
8.500), and Managed Fund Shares (NYSE Arca Equities Rule 8.600)).
Nasdaq seeks to apply its New Trading Halt Rule to proposed
Managed Fund Shares through a separate proposed rule change. See
Securities Exchange Release No. 57800 (May 8, 2008), 73 FR 27874
(May 14, 2008) (SR-NASDAQ-2008-039) (proposing, among other things,
to include Managed Fund Shares (new Nasdaq Rule 4420(o)) under the
definition of ``Derivative Securities Product,'' for purposes of
Nasdaq Rule 4120(b)(4)(A)) (``Nasdaq Proposal''). Nasdaq represents
that it will file an amendment to its proposed rule change (File No.
SR-Nasdaq-2008-046) upon the Commission's approval of the Nasdaq
Proposal to modify its New Trading Halt Rule to account for the
Disclosed Portfolio with respect to a series of Managed Fund Shares
listed and traded on Nasdaq. E-mail from Sean Bennett, Assistant
General Counsel, Nasdaq, to Edward Cho, Special Counsel, Division of
Trading and Markets, Commission, dated May 19, 2008.
\7\ Nasdaq's New Trading Halt Rule also provides that, in the
case of a halted Derivative Securities Products (as defined in
Nasdaq Rule 4120(b)(4)(A)) trading on Nasdaq pursuant to unlisted
trading privileges, Nasdaq would resume trading in such Derivative
Securities Product only until such time trading resumes in the
listing market for such Derivative Securities Product. The Nasdaq
Proposal also seeks to make technical, non-substantive changes to
Nasdaq Rules 4120(a) and (c) to incorporate new Nasdaq Rule
4120(a)(10).
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2. Statutory Basis
The Exchanges believe that their respective proposed rule changes
are consistent with the Act and the rules and regulations under the Act
applicable to national securities exchanges and, in particular, the
requirements of section 6(b) of the Act.\8\ Specifically, the Exchanges
believe their respective proposed rule changes are consistent with the
requirements of section 6(b)(5) of the Act,\9\ which requires, among
other things, that the rules of a national securities exchange be
designed to prevent fraudulent and manipulative acts, to promote just
and equitable principles of trade, to foster cooperation and
coordination with persons engaged in facilitating transactions in
securities, 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.
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\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organizations' Statement on Burden on Competition
The Exchanges believe that their respective proposed rule changes
would impose no burden on competition that is not necessary or
appropriate in furtherance of the purposes of the Act.
C. Self-Regulatory Organizations' Statement on Comments on the
Proposed Rule Changes Received From Members, Participants, or Others
The Exchanges have neither solicited nor received comments on their
respective proposals.
III. Date of Effectiveness of the Proposed Rule Changes 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 Exchanges consent, the Commission will:
A. By order approve such proposed rule changes, or
B. Institute proceedings to determine whether the proposed rule
changes 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
changes are 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 Numbers SR-Amex-2008-40; SR-NASDAQ-2008-046; SR-NYSE-2008-39; and
SR-NYSEArca-2008-50 in 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 Numbers SR-Amex-2008-40; SR-
NASDAQ-2008-046; SR-NYSE-2008-39; and SR-NYSEArca-2008-50. These file
numbers 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 changes that are
filed with the Commission, and all written
[[Page 31905]]
communications relating to the proposed rule changes 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 Section, 100 F Street, NE., Washington, DC 20549-1090 on
business days between the hours of 10 a.m. and 3 p.m. Copies of such
filings also will be available for inspection and copying at the
respective principal offices of the Exchanges. 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 Numbers SR-Amex-2008-40; SR-NASDAQ-2008-046; SR-
NYSE-2008-39; and SR-NYSEArca-2008-50 and should be submitted on or
before June 25, 2008.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Acting Secretary.
[FR Doc. E8-12395 Filed 6-3-08; 8:45 am]
BILLING CODE 8010-01-P