Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Its Schedule of Fees and Charges for Exchange Services That Apply to Mid-Point Passive Liquidity Orders, 71081-71082 [E8-27882]

Download as PDF Federal Register / Vol. 73, No. 227 / Monday, November 24, 2008 / Notices sroberts on PROD1PC70 with NOTICES market participants at the same time, the Exchange will halt trading in the affected Units. Moreover, NYSE Arca Equities Rule 8.300(e) limits certain dealings and trading activity of ETP Holders acting as registered Market Makers in Units, prescribes various recordkeeping and disclosure requirements for ETP Holders, and prohibits the use of any material nonpublic information regarding trading in the underlying physical asset or commodity, futures or options on futures, or any other related derivatives. The Commission further believes that the trading rules and procedures to which the Units will be subject pursuant to this proposal are consistent with the Act. The Exchange has represented that the Units are equity securities subject to NYSE Arca’s rules governing the trading of equity securities. In support of this proposal, the Exchange has made the following representations: (1) The Units satisfy the requirements of NYSE Arca Equities Rule 8.300, which includes the initial and continued listing criteria for Partnership Units. (2) The Exchange’s surveillance procedures are adequate to properly monitor trading of the Units in all trading sessions and to deter and detect violations of Exchange rules and applicable federal securities laws. (3) The Exchange will distribute an Information Bulletin, the contents of which are more fully described above, to its ETP Holders in connection with the trading of the Units. (4) The Partnerships will comply with the requirements of Rule 10A–3 under the Act 19 as it applies to limited partnerships. This approval order is based on the Exchange’s representations. The Commission finds good cause, pursuant to Section 19(b)(2) of the Act,20 for approving the proposed rule change prior to the 30th day after the date of publication of notice in the Federal Register. The Commission notes that it has previously approved the listing and trading of the Units on Amex 21 and believes that the Exchange’s proposal to list and trade such Units does not appear to present any novel or significant regulatory issues. As such, the Commission believes that accelerating approval of this proposal should benefit investors 19 17 CFR 240.10A–3. U.S.C. 78s(b)(2). 21 See Amex Filings, supra, note 4. The Units have also been approved for trading on the Exchange pursuant to UTP. See UTP Filings, supra, note 5. 20 15 VerDate Aug<31>2005 00:01 Nov 22, 2008 Jkt 217001 by creating, without undue delay, additional competition in the market for such products. V. Conclusion It is therefore ordered, pursuant to Section 19(b)(2) of the Act,22 that the proposed rule change (SR–NYSEArca– 2008–127) be, and it hereby is, approved on an accelerated basis. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.23 Florence E. Harmon, Acting Secretary. [FR Doc. E8–27880 Filed 11–21–08; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–58967; File No. SR– NYSEArca–2008–129] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Its Schedule of Fees and Charges for Exchange Services That Apply to Mid-Point Passive Liquidity Orders November 17, 2008. Pursuant to Section 19(b)(1) 1 of the Securities Exchange Act of 1934 (the ‘‘Exchange Act’’) 2 and Rule 19b–4 thereunder,3 notice is hereby given that, on November 6, 2008, NYSE Arca, Inc. (‘‘NYSE Arca’’ or the ‘‘Exchange’’), through its wholly-owned subsidiary NYSE Arca Equities, Inc. (‘‘NYSE Arca Equities’’), filed with the Securities and Exchange Commission (the ‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which Items have been prepared by the self-regulatory organization. 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 its Schedule of Fees and Charges for Exchange Services (the ‘‘Schedule’’) in order to extend its credit for Mid-Point Passive Liquidity (‘‘MPL’’) orders to include transactions that provide liquidity in Tape C securities. A copy of the new Schedule, showing changes 22 15 U.S.C. 78s(b)(2). CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). 2 15 U.S.C. 78a et seq. 3 17 CFR 240.19b–4. 23 17 PO 00000 Frm 00129 Fmt 4703 Sfmt 4703 71081 pursuant to this filing, attached as Exhibit 5, is available on the Exchange’s Web site at http://www.nyse.com, at the Exchange’s principal office, and at 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, 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 currently offers NYSE Arca Users 4 a $.0015 per share credit for MPL orders that provide liquidity in Tape A securities. In order to provide additional incentives for participation and price improvement on NYSE Arca, the Exchange proposes to extend this credit to MPL orders that provide liquidity in Tape C securities. For start of month billing purposes, the Exchange intends to offer this $.0015 per share credit to all Users for MPL orders providing liquidity in Tape C securities retroactively, starting November 3, 2008. The Exchange believes that the proposed credit will foster additional flexibility and increased system functionality for NYSE Arca Users. The Exchange further believes that the proposed credits are reasonable and that the proposed changes to the Schedule are equitable in that they apply uniformly to our Users. 2. Statutory Basis The Exchange believes the proposed rule change is consistent with Section 6(b) of the Securities Exchange Act of 1934 (the ‘‘Act’’),5 in general, and furthers the objectives of Section 4 See NYSE Arca Equities Rule 1.1(yy) for the definition of ‘‘User.’’ Under Rule 1.1(yy), the term User means any ETP Holder or Sponsored Participant who is authorized to obtain access to the NYSE Marketplace pursuant to NYSE Arca Equities Rule 7.29. MPL Orders, similar to all other order types offered by the Exchange, are available only to authorized Users. 5 15 U.S.C. 78a et seq. E:\FR\FM\24NON1.SGM 24NON1 71082 Federal Register / Vol. 73, No. 227 / Monday, November 24, 2008 / Notices 6(b)(4),6 in particular, in that it is intended to provide for the equitable allocation of reasonable dues, fees, and other charges among its members and other persons using its facilities. The Exchange believes that the proposed credits are reasonable. The proposed credits further the objectives of Regulation NMS by promoting competition and granting fair and equal access to all exchange participants. The Exchange also believes that the proposed changes to the Schedule are equitable in that they apply uniformly to our Users. 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 Exchange Act. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The proposed rule change is effective upon filing pursuant to Section 19(b)(3)(A)(ii) of the Act and SEC Rule 19b–4(f)(2) thereunder in that it establishes or changes a due, fee, or other charge imposed on members by the self-regulatory organization. At any time within 60 days of the filing of the proposed rule change, the Commission may summarily abrogate such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. IV. Solicitation of Comments Interested persons are invited to submit written data, views and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: Number SR–NYSEArca–2008–129 on the subject line. SECURITIES AND EXCHANGE COMMISSION Paper Comments [Release No. 34–58968; File No. SR– NYSEArca–2008–111] • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. Self-Regulatory Organizations; NYSE Arca, Inc.; Order Granting Accelerated Approval of Proposed Rule Change To Amend NYSE Arca Equities Rule All submissions should refer to File 5.2(j)(6)(v) in Order To Add the CBOE Number SR–NYSEArca–2008–129. This Volatility Index (‘‘VIX’’) Futures file number should be included on the (‘‘VIX Futures’’) to the Definition of subject line if e-mail is used. To help the Futures Reference Asset Commission process and review your November 17, 2008. comments more efficiently, please use On October 17, 2008, NYSE Arca, Inc. only one method. The Commission will post all comments on the Commission’s (‘‘NYSE Arca’’ or ‘‘Exchange’’) filed with the Securities and Exchange Internet Web site (http://www.sec.gov/ Commission (‘‘Commission’’) a rules/sro/shtml). Copies of the proposed rule change pursuant to submission, all subsequent Section 19(b)(1) of the Securities amendments, all written statements Exchange Act of 1934 (‘‘Act’’) 1 and Rule with respect to the proposed rule 19b–4 2 thereunder to amend NYSE change that are filed with the Arca Equities Rule 5.2(j)(6)(v) to add the Commission, and all written CBOE Volatility Index (‘‘VIX’’) communications relating to the Futures (‘‘VIX Futures’’) to the proposed rule change between the definition of ‘‘Futures Reference Asset.’’ Commission and any person, other than The proposed rule change was those that may be withheld from the published for comment in the Federal public in accordance with the Register on October 30, 2008 for a 15provisions of 5 U.S.C. 552, will be day comment period.3 The Commission available for inspection and copying in received no comment letters regarding the Commission’s Public Reference the proposal. This order approves the Room, on official business days between proposed rule change. The Commission has previously the hours of 10 a.m. and 3 p.m. Copies approved the listing and trading, of such filing will also be available for pursuant to NYSE Arca Equities Rule inspection and copying at the principal 5.2(j)(6), including listing pursuant to office of the Exchange. All comments received will be posted without change; Rule 19b–4(e) under the Act (‘‘Rule 19b–4(e)’’), of Index-Linked Securities, the Commission does not edit personal which term currently is defined in identifying information from NYSE Arca Equities Rule 5.2(j)(6) to submissions. You should submit only encompass Equity Index-Linked information that you wish to make Securities, Commodity-Linked available publicly. All submissions Securities, Currency-Linked Securities, should refer to File No. SR–NYSEArca– Fixed Income Index-Linked Securities, 2008–129 and should be submitted on Futures-Linked Securities and or before December 15, 2008. Multifactor Index-Linked Securities.4 For the Commission, by the Division of The Exchange proposes to amend NYSE Trading and Markets, pursuant to delegated Arca Equities Rule 5.2(j)(6)(v) to add the authority.7 VIX Futures as an underlying financial instrument of a Futures-Linked Security Florence E. Harmon, and include VIX Futures within the Acting Secretary. definition of a Futures Reference Asset.5 [FR Doc. E8–27882 Filed 11–21–08; 8:45 am] After careful consideration, the BILLING CODE 8011–01–P Commission finds that the proposed rule change is consistent with the requirements of the Act and the rules 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 See Securities Exchange Act Release No. 58855 (October 24, 2008), 73 FR 64647 (‘‘Notice’’). 4 See Securities Exchange Act Release Nos. 56637 (October 10, 2007), 72 FR 58704 (October 16, 2007) (SR–NYSEArca–2007–92) and 57505 (March 14, 2008), 73 FR 15550 (March 24, 2008) (SR– NYSEArca–2008–20). 5 For more details on the VIX and VIX Futures, see Notice, supra note 3. 2 17 sroberts on PROD1PC70 with NOTICES Electronic Comments • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File 6 15 U.S.C. 78f(b)(4). VerDate Aug<31>2005 19:32 Nov 21, 2008 7 17 Jkt 217001 PO 00000 CFR 200.30–3(a)(12). Frm 00130 Fmt 4703 Sfmt 4703 E:\FR\FM\24NON1.SGM 24NON1

Agencies

[Federal Register Volume 73, Number 227 (Monday, November 24, 2008)]
[Notices]
[Pages 71081-71082]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-27882]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-58967; File No. SR-NYSEArca-2008-129]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Amending Its 
Schedule of Fees and Charges for Exchange Services That Apply to Mid-
Point Passive Liquidity Orders

November 17, 2008.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the ``Exchange Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is 
hereby given that, on November 6, 2008, NYSE Arca, Inc. (``NYSE Arca'' 
or the ``Exchange''), through its wholly-owned subsidiary NYSE Arca 
Equities, Inc. (``NYSE Arca Equities''), filed with the Securities and 
Exchange Commission (the ``Commission'') the proposed rule change as 
described in Items I, II, and III below, which Items have been prepared 
by the self-regulatory organization. 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\ 15 U.S.C. 78a et seq.
    \3\ 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 its Schedule of Fees and Charges for 
Exchange Services (the ``Schedule'') in order to extend its credit for 
Mid-Point Passive Liquidity (``MPL'') orders to include transactions 
that provide liquidity in Tape C securities. A copy of the new 
Schedule, showing changes pursuant to this filing, attached as Exhibit 
5, is available on the Exchange's Web site at http://www.nyse.com, at 
the Exchange's principal office, and at 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, 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 currently offers NYSE Arca Users \4\ a $.0015 per 
share credit for MPL orders that provide liquidity in Tape A 
securities. In order to provide additional incentives for participation 
and price improvement on NYSE Arca, the Exchange proposes to extend 
this credit to MPL orders that provide liquidity in Tape C securities. 
For start of month billing purposes, the Exchange intends to offer this 
$.0015 per share credit to all Users for MPL orders providing liquidity 
in Tape C securities retroactively, starting November 3, 2008.
---------------------------------------------------------------------------

    \4\ See NYSE Arca Equities Rule 1.1(yy) for the definition of 
``User.'' Under Rule 1.1(yy), the term User means any ETP Holder or 
Sponsored Participant who is authorized to obtain access to the NYSE 
Marketplace pursuant to NYSE Arca Equities Rule 7.29. MPL Orders, 
similar to all other order types offered by the Exchange, are 
available only to authorized Users.
---------------------------------------------------------------------------

    The Exchange believes that the proposed credit will foster 
additional flexibility and increased system functionality for NYSE Arca 
Users. The Exchange further believes that the proposed credits are 
reasonable and that the proposed changes to the Schedule are equitable 
in that they apply uniformly to our Users.
2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with 
Section 6(b) of the Securities Exchange Act of 1934 (the ``Act''),\5\ 
in general, and furthers the objectives of Section

[[Page 71082]]

6(b)(4),\6\ in particular, in that it is intended to provide for the 
equitable allocation of reasonable dues, fees, and other charges among 
its members and other persons using its facilities. The Exchange 
believes that the proposed credits are reasonable. The proposed credits 
further the objectives of Regulation NMS by promoting competition and 
granting fair and equal access to all exchange participants. The 
Exchange also believes that the proposed changes to the Schedule are 
equitable in that they apply uniformly to our Users.
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78a et seq.
    \6\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

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 Exchange Act.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

    No written comments were solicited or received with respect to the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The proposed rule change is effective upon filing pursuant to 
Section 19(b)(3)(A)(ii) of the Act and SEC Rule 19b-4(f)(2) thereunder 
in that it establishes or changes a due, fee, or other charge imposed 
on members by the self-regulatory organization.
    At any time within 60 days of the filing of the proposed rule 
change, the Commission may summarily abrogate such rule change if it 
appears to the Commission that such action is necessary or appropriate 
in the public interest, for the protection of investors, or otherwise 
in furtherance of the purposes of the Act.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-NYSEArca-2008-129 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-NYSEArca-2008-129. 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, 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 No. SR-NYSEArca-2008-129 and should be submitted on or before 
December 15, 2008.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\7\
---------------------------------------------------------------------------

    \7\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Acting Secretary.
[FR Doc. E8-27882 Filed 11-21-08; 8:45 am]
BILLING CODE 8011-01-P