Self-Regulatory Organizations; NYSE Alternext US, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Schedule of Fees and Charges for Exchange Services, 9857-9859 [E9-4785]
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Federal Register / Vol. 74, No. 43 / Friday, March 6, 2009 / Notices
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
available publicly. All submissions
should refer to File Number SR–
NYSEALTR–2009–20 and should be
submitted on or before March 27, 2009.
No written comments were solicited
or received with respect to the proposed
rule change.
IV. Commission’s Findings and Order
Granting Accelerated Approval of
Proposed Rule Change
9857
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–4777 Filed 3–5–09; 8:45 am]
BILLING CODE 8011–01–P
III. Solicitation of Comments
After careful consideration, the
Commission finds that the proposed
rule change is consistent with the
requirement of the Act and the rules and
regulations thereunder applicable to a
national securities exchange 5 and, in
particular, with the requirements of
Section 6(b) of the Act.6 In particular,
Electronic Comments
the Commission finds that the
Exchange’s proposal is consistent with
• Use the Commission’s Internet
Section 6(b)(4) of the Act,7 which
comment form (https://www.sec.gov/
requires that the rules of the Exchange
rules/sro.shtml); or
provide for the equitable allocation of
• Send an e-mail to rulereasonable dues, fees, and other charges
comments@sec.gov. Please include File
among its members and other persons
Number SR–NYSEALTR–2009–20 on
using its facilities. The Commission
the subject line.
notes that the proposal conforms
Paper Comments
Linkage Fees to those fees charged on
• Send paper comments in triplicate
other electronic broker-dealer
to Elizabeth Murphy, Secretary,
executions.
Securities and Exchange Commission,
The Commission finds good cause,
100 F Street, NE., Washington, DC
pursuant to Section 19(b)(2) of the Act,8
20549–1090.
for approving the proposed rule change
All submissions should refer to File
prior to the 30th day after the date of
Number SR–NYSEALTR–2009–20. This
publication of the notice of the filing
file number should be included on the
subject line if e-mail is used. To help the thereof in the Federal Register. The
Commission notes that this proposed
Commission process and review your
rule change seeks to lower the Linkage
comments more efficiently, please use
only one method. The Commission will Fees from $0.60 to $0.50 to match the
post all comments on the Commission’s $0.50 fee charged to Broker Dealers
executing electronic orders on the
Internet Web site (https://www.sec.gov/
Exchange. Absent this filing, orders that
rules/sro.shtml). Copies of the
access the Exchange via Linkage will be
submission, all subsequent
charged more than similar electronic
amendments, all written statements
transactions executed on the Exchange.9
with respect to the proposed rule
Further, this proposed fee structure is
change that are filed with the
Commission, and all written
similar to that of NYSE Arca Options.
communications relating to the
V. Conclusion
proposed rule change between the
Commission and any person, other than
It is therefore ordered, pursuant to
those that may be withheld from the
Section 19(b)(2) of the Act 10 that the
public in accordance with the
proposed rule change (SR–NYSEALTR–
provisions of 5 U.S.C. 552, will be
2009–20), as amended by Amendment
available for inspection and copying in
No. 1, is hereby approved on an
the Commission’s Public Reference
accelerated basis to be effective on
Section, 100 F Street, NE., Washington,
March 2, 2009.
DC 20549–1090 on official business
mstockstill on PROD1PC66 with NOTICES
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:
days between the hours of 10 a.m. and
3 p.m. Copies of the filing will also be
available for inspection and copying at
NYSE Amex Options’ principal office
and on its Internet Web site at https://
www.nyse.com. 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
VerDate Nov<24>2008
16:20 Mar 05, 2009
Jkt 217001
5 In approving this rule, the Commission notes
that it has considered its impact on efficiency,
competition, and capital formation. 15 U.S.C. 78c(f).
6 15 U.S.C. 78f(b).
7 15 U.S.C. 78f(b)(4).
8 15 U.S.C. 78s(b)(2).
9 See SR–NYSEALTR–2009–19.
10 15 U.S.C. 78s(b)(2).
PO 00000
Frm 00079
Fmt 4703
Sfmt 4703
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59478; File No. SR–
NYSEALTR–2009–19]
Self-Regulatory Organizations; NYSE
Alternext US, LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Amending Schedule of
Fees and Charges for Exchange
Services
February 27, 2009.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that, on February
27, 2009, NYSE Alternext US, LLC
(‘‘NYSE Amex Options’’, ‘‘NYSE
Amex’’, or the ‘‘Exchange’’) 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 substantially 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 text of the
proposed rule change is available on the
Exchange’s Web site at https://
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
self-regulatory organization 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 those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
11 17
CFR 200.30–3(a)(12).
U.S.C.78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
1 15
E:\FR\FM\06MRN1.SGM
06MRN1
9858
Federal Register / Vol. 74, No. 43 / Friday, March 6, 2009 / Notices
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
In conjunction with the migration of
the NYSE Amex Options trading floor
from 86 Trinity Place to the NYSE
facility at 11 Wall Street, NYSE Amex
Options is proposing to introduce a new
Schedule of Fees and Charges for
Exchange Services (‘‘Fee Schedule’’).
The new Fee Schedule will become
operative on the first day of trading on
the new NYSE Amex Options trading
floor at 11 Wall Street, currently
scheduled for March 2, 2009. The
Exchange proposes deleting the current
NYSE Amex Options Price List in its
entirety and replacing it with the Fee
Schedule. The proposed fees are
generally lower than the current
charges, and are allocated equitably to
all similarly situated members. A more
detailed description of the proposed
changes follows.
ATP Trading Participant Rights
mstockstill on PROD1PC66 with NOTICES
The Exchange proposes charging
Floor Brokers, Order Routing firms and
Clearing firms $500.00 per month for
trading rights on NYSE Amex Options.
Prior to the merger with NYSE Euronext
on October 1, 2008, participation
charges on the American Stock
Exchange (‘‘Amex’’) were based on the
cost of a seat membership or seat lease
plus additional fees for electronic access
and/or access to the trading floor. The
Exchange proposes significant
reductions to the previous charges for
participation. Market Makers will be
charged $1,000.00 per month based on
the maximum number of ATPs held by
an ATP Holder during the calendar
month. The Exchange also proposes
charging $125.00 per month for all
registered floor personnel that do not
pay an ATP fee. Specialists, eSpecialists, and Directed Order Market
Makers (‘‘DOMM’’) will be charged a
monthly fee ranging from $150.00 to
$3000.00 based on the average number
of national daily customer contracts
executed and prorated according to
Specialist, e-Specialist and DOMM
volumes in that issue.
Options Issue Transfer Fee
The Exchange proposes charging
$100.00 per issue charged to the
Specialist that transfers an issue to
another Specialist.
VerDate Nov<24>2008
16:20 Mar 05, 2009
Jkt 217001
Options Orientation Fee
Trade Related Charges
The Exchange proposes a $500.00
Options Orientation Fee. This fee covers
the full background investigation,
disclosure review, and fingerprinting fee
for each individual applicant, along
with the administration and
maintenance costs associated with the
qualification exams.
Options per contract transaction
charges will reflect the following rate
schedule:
Registration Fees
The Exchange proposes only
presentation changes to the Registration
Fees section of the Fee Schedule. All
fees in this section are identical to the
fees currently charged and posted on the
NYSE Amex Options Price List.
Registration fees will continue to be
waived through June 30, 2009 for NYSE
member organizations that
automatically became member
organizations of NYSE Alternext U.S. by
operation of NYSE Alternext Equities
Rule 2 at the time of relocation of all
NYSE Alternext equities trading to the
to the NYSE trading facilities and
systems located at 11 Wall Street.
DEA Fees
The Exchange proposes the following
fees for firms for which the Exchange is
the Designated Examining Authority
(‘‘DEA’’). A $1,000 monthly fee charged
to clearing firms engaging in a public
business. An exemption from this fee
will be granted to any NYSE Amex
Options registered Floor Broker or
Market Maker that effects at least 25%
of all options transactions, as measured
in contract volume, on any options
trading facility of NYSE Alternext US,
LLC. The Exchange proposes charging
$275.00 per quarter to firms not
engaging in a public business, and
$250.00 annually per trader. An
exemption from the $250.00 annual fee
per trader will be granted to any NYSE
Amex Options registered Floor Broker
or Market Maker that effects [0]at least
25% of all options transactions, as
measured in contract volume, on any
options trading facility of NYSE
Alternext US, LLC. The Exchange also
proposes a new Regulatory Fee of $100
charged annually for FOCUS filings to
ATP Firms for which the Exchange is
the DEA. Previously, the Exchange
based its DEA fees on a complicated
calculation that charged $.00040 per
dollar gross per quarterly or annual
FOCUS report. The Exchange believes
this new DEA fee structure significantly
simplifies the existing fee structure.
Statutory Disqualification Fees
The Exchange proposes a $2,000 fee
for applications resulting in statutory
disqualification proceedings.
PO 00000
Frm 00080
Fmt 4703
Sfmt 4703
Order type
Specialists, eSpecialists ...........
NYSE Amex Options Market
Maker—Non Directed ...........
NYSE Amex Options Market
Maker—Directed ...................
Broker Dealer & Firm Electronic
Broker Dealer & Firm Manual ..
Non BD Customer Electronic ...
Non BD Customer Manual .......
Firm Facilitation—Manual .........
Rate per
contract
$0.10
0.17
0.15
0.50
0.26
0.00
0.00
0.15
The Firm Facilitation fee applies to
any transaction involving a firm
proprietary trading account, that has a
customer of that same Firm on the
contra side of the transaction.
At this time the Exchange will not
charge a cancellation fee. The Exchange
intends to charge a cancellation fee in
the future via a separate rule filing.
The Exchange proposes a limit of fees
on options strategy executions. A $750
cap will be applied on transaction fees
for strategy executions involving (a)
reversals and conversions, (b) dividend
spreads, (c) box spreads, (d) short stock
interest spreads, and (e) merger spreads.
The cap applies to each Strategy
Execution executed on the same trading
day in the same option class.
Transaction fees for strategy executions
are further capped at $25,000.00 per
month per initiating firm. All Royalty
Fees associated with strategy executions
on index and exchange traded funds
will be passed through to trading
participants on the strategy executions
on a pro-rata basis. These Royalty Fees
will not be included in the calculation
of the $750 per trade cap or the $25,000
per month strategy fee cap.
The Exchange proposes a Marketing
Charge of $0.65 per contract side on
transactions in non Penny Pilot issues
where Market Makers trade against all
electronic customer orders, and $0.25
per contract side on transactions in
Penny Pilot issues where Market Makers
trade against all electronic customer
orders. This fee is collected only on
electronic customer orders that are
executed against a market maker on the
contra side. This fee represents a passthrough fee for payment for order flow.
The Exchange collects the Marketing
Fee from the ATP Holder and passes it
through to the Specialist, e-Specialist, or
Directed Market Maker for distribution
to order flow providers.
The Exchange proposes Royalty Fees
reflected in the following schedule:
E:\FR\FM\06MRN1.SGM
06MRN1
Federal Register / Vol. 74, No. 43 / Friday, March 6, 2009 / Notices
MNX, NDX .......................................
Russell 2000 Index (RUT) ...............
ISE FX—Foreign Currency Options
(BPX, CDD, EUI, YUK, AUX, SFC).
All other premium products, ETFs
$0.16
0.15
0.10
0.00
Royalty Fees will be assessed on a per
contract basis for firm, broker/dealer,
and Market Maker transactions.
Customer volumes will not be subject to
any royalty fees, license fees or
premium product fees of any type.
These fees will not be assessed on the
customer side of transactions. Royalty
Fees apply to Linkage Orders except for
Satisfaction Orders.
mstockstill on PROD1PC66 with NOTICES
Floor and Equipment Fees
The Exchange proposes charging a
Floor Broker Hand Held fee of $450.00
per device per month. Hand Held
devices are used by Floor Brokers in
open outcry trading for order entry and
order management.
The Exchange proposes charging a
Floor Market Maker Podium Fee of
$90.00 per Podium per month for each
Market Maker. A Podium is a table top
space provided to a Market Maker on
the floor.
The Exchange proposes a Floor Booth
fee of $150.00 per month. Floor Booths
are designated space used by Floor
Brokers. Previously, an annual fee of
$3,500.00 was charged for a Regular
Floor Booth, $4,500.00 for a Standard
Floor Booth, $6,000 for a Large Floor
Booth, and $7,000.00 for a Machine
Floor Booth.
The Exchange proposes charging a
Telephone Service Charge of $0.16 on
toll calls billed by vendor of less than
$0.69, and $0.26 on toll calls of greater
than or equal to $0.69.
The Exchange proposes a Cellular
Phone fee of $20.00 per month plus the
cost of the calling plan of the user’s
choice.
The Exchange proposes a Booth
Telephone System Line Charge of
$33.33 per phone number per month,
and a $10.75 charge per month for a
single line phone jack and data jack.
Connectivity Charges
The Exchange proposes Transport
Charges of $150 per month per floor
participant connection as required. This
fee will be capped at $500 per month
per floor broker firm. The Transport
Charge is designed to cover the cost to
the Exchange for installing network
cabling and rack space for outside data
lines, along with the costs of
maintaining the data center and hub for
the Exchange floor.
The Exchange proposes a Login Fee of
$150 per month per Exchange
sponsored broker dealer entry system.
The Login Fee is designed to cover the
VerDate Nov<24>2008
16:20 Mar 05, 2009
Jkt 217001
cost per login charged by data vendors
for access to the Floor Broker order
capture system.
Report Fees
The Exchange proposes a User
Activity Extract Fee of $0.0075 per trade
for clearing data. This fee is in addition
to any report development and set-up
costs. The Exchange also proposes a
$500 per month Online Data Extract fee
that allows unlimited access and
downloads of clearing data.
2. Statutory Basis
The Exchange believes that the
proposal is consistent with Section 6(b)
of the Act, in general, and Section
6(b)(4), in particular, in that it provides
for the equitable allocation of dues, fees
and other charges among its members
and other market participants that use
the trading facilities of NYSE Amex
Options. Under this proposal, all
similarly situated members and other
Exchange participants of NYSE Amex
Options will be charged the same
reasonable dues, fees and other charges.
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 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 only 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,
PO 00000
Frm 00081
Fmt 4703
Sfmt 4703
9859
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–NYSEALTR–2009–19 on
the subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Commission, 100 F Street, NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–NYSEALTR–2009–19. 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 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–
NYSEALTR–2009–19 and should be
submitted on or before March 27, 2009.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.4
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–4785 Filed 3–5–09; 8:45 am]
BILLING CODE 8011–01–P
4 17
CFR 200.30–3(a)(12).
E:\FR\FM\06MRN1.SGM
06MRN1
]]>Agencies
[Federal Register Volume 74, Number 43 (Friday, March 6, 2009)]
[Notices]
[Pages 9857-9859]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-4785]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-59478; File No. SR-NYSEALTR-2009-19]
Self-Regulatory Organizations; NYSE Alternext US, LLC; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change Amending
Schedule of Fees and Charges for Exchange Services
February 27, 2009.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on February 27, 2009, NYSE Alternext US, LLC (``NYSE Amex
Options'', ``NYSE Amex'', or the ``Exchange'') 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 substantially 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.
\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 text of the proposed rule change is available on
the Exchange's Web site at https://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 self-regulatory organization
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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries,
[[Page 9858]]
set forth in sections A, B, and C below, of the most significant parts
of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
In conjunction with the migration of the NYSE Amex Options trading
floor from 86 Trinity Place to the NYSE facility at 11 Wall Street,
NYSE Amex Options is proposing to introduce a new Schedule of Fees and
Charges for Exchange Services (``Fee Schedule''). The new Fee Schedule
will become operative on the first day of trading on the new NYSE Amex
Options trading floor at 11 Wall Street, currently scheduled for March
2, 2009. The Exchange proposes deleting the current NYSE Amex Options
Price List in its entirety and replacing it with the Fee Schedule. The
proposed fees are generally lower than the current charges, and are
allocated equitably to all similarly situated members. A more detailed
description of the proposed changes follows.
ATP Trading Participant Rights
The Exchange proposes charging Floor Brokers, Order Routing firms
and Clearing firms $500.00 per month for trading rights on NYSE Amex
Options. Prior to the merger with NYSE Euronext on October 1, 2008,
participation charges on the American Stock Exchange (``Amex'') were
based on the cost of a seat membership or seat lease plus additional
fees for electronic access and/or access to the trading floor. The
Exchange proposes significant reductions to the previous charges for
participation. Market Makers will be charged $1,000.00 per month based
on the maximum number of ATPs held by an ATP Holder during the calendar
month. The Exchange also proposes charging $125.00 per month for all
registered floor personnel that do not pay an ATP fee. Specialists, e-
Specialists, and Directed Order Market Makers (``DOMM'') will be
charged a monthly fee ranging from $150.00 to $3000.00 based on the
average number of national daily customer contracts executed and
prorated according to Specialist, e-Specialist and DOMM volumes in that
issue.
Options Issue Transfer Fee
The Exchange proposes charging $100.00 per issue charged to the
Specialist that transfers an issue to another Specialist.
Options Orientation Fee
The Exchange proposes a $500.00 Options Orientation Fee. This fee
covers the full background investigation, disclosure review, and
fingerprinting fee for each individual applicant, along with the
administration and maintenance costs associated with the qualification
exams.
Registration Fees
The Exchange proposes only presentation changes to the Registration
Fees section of the Fee Schedule. All fees in this section are
identical to the fees currently charged and posted on the NYSE Amex
Options Price List. Registration fees will continue to be waived
through June 30, 2009 for NYSE member organizations that automatically
became member organizations of NYSE Alternext U.S. by operation of NYSE
Alternext Equities Rule 2 at the time of relocation of all NYSE
Alternext equities trading to the to the NYSE trading facilities and
systems located at 11 Wall Street.
DEA Fees
The Exchange proposes the following fees for firms for which the
Exchange is the Designated Examining Authority (``DEA''). A $1,000
monthly fee charged to clearing firms engaging in a public business. An
exemption from this fee will be granted to any NYSE Amex Options
registered Floor Broker or Market Maker that effects at least 25% of
all options transactions, as measured in contract volume, on any
options trading facility of NYSE Alternext US, LLC. The Exchange
proposes charging $275.00 per quarter to firms not engaging in a public
business, and $250.00 annually per trader. An exemption from the
$250.00 annual fee per trader will be granted to any NYSE Amex Options
registered Floor Broker or Market Maker that effects [0]at least 25% of
all options transactions, as measured in contract volume, on any
options trading facility of NYSE Alternext US, LLC. The Exchange also
proposes a new Regulatory Fee of $100 charged annually for FOCUS
filings to ATP Firms for which the Exchange is the DEA. Previously, the
Exchange based its DEA fees on a complicated calculation that charged
$.00040 per dollar gross per quarterly or annual FOCUS report. The
Exchange believes this new DEA fee structure significantly simplifies
the existing fee structure.
Statutory Disqualification Fees
The Exchange proposes a $2,000 fee for applications resulting in
statutory disqualification proceedings.
Trade Related Charges
Options per contract transaction charges will reflect the following
rate schedule:
------------------------------------------------------------------------
Rate per
Order type contract
------------------------------------------------------------------------
Specialists, eSpecialists.................................. $0.10
NYSE Amex Options Market Maker--Non Directed............... 0.17
NYSE Amex Options Market Maker--Directed................... 0.15
Broker Dealer & Firm Electronic............................ 0.50
Broker Dealer & Firm Manual................................ 0.26
Non BD Customer Electronic................................. 0.00
Non BD Customer Manual..................................... 0.00
Firm Facilitation--Manual.................................. 0.15
------------------------------------------------------------------------
The Firm Facilitation fee applies to any transaction involving a
firm proprietary trading account, that has a customer of that same Firm
on the contra side of the transaction.
At this time the Exchange will not charge a cancellation fee. The
Exchange intends to charge a cancellation fee in the future via a
separate rule filing.
The Exchange proposes a limit of fees on options strategy
executions. A $750 cap will be applied on transaction fees for strategy
executions involving (a) reversals and conversions, (b) dividend
spreads, (c) box spreads, (d) short stock interest spreads, and (e)
merger spreads. The cap applies to each Strategy Execution executed on
the same trading day in the same option class. Transaction fees for
strategy executions are further capped at $25,000.00 per month per
initiating firm. All Royalty Fees associated with strategy executions
on index and exchange traded funds will be passed through to trading
participants on the strategy executions on a pro-rata basis. These
Royalty Fees will not be included in the calculation of the $750 per
trade cap or the $25,000 per month strategy fee cap.
The Exchange proposes a Marketing Charge of $0.65 per contract side
on transactions in non Penny Pilot issues where Market Makers trade
against all electronic customer orders, and $0.25 per contract side on
transactions in Penny Pilot issues where Market Makers trade against
all electronic customer orders. This fee is collected only on
electronic customer orders that are executed against a market maker on
the contra side. This fee represents a pass-through fee for payment for
order flow. The Exchange collects the Marketing Fee from the ATP Holder
and passes it through to the Specialist, e-Specialist, or Directed
Market Maker for distribution to order flow providers.
The Exchange proposes Royalty Fees reflected in the following
schedule:
[[Page 9859]]
MNX, NDX....................................................... $0.16
Russell 2000 Index (RUT)....................................... 0.15
ISE FX--Foreign Currency Options............................... 0.10
(BPX, CDD, EUI, YUK, AUX, SFC).................................
All other premium products, ETFs............................... 0.00
Royalty Fees will be assessed on a per contract basis for firm,
broker/dealer, and Market Maker transactions. Customer volumes will not
be subject to any royalty fees, license fees or premium product fees of
any type. These fees will not be assessed on the customer side of
transactions. Royalty Fees apply to Linkage Orders except for
Satisfaction Orders.
Floor and Equipment Fees
The Exchange proposes charging a Floor Broker Hand Held fee of
$450.00 per device per month. Hand Held devices are used by Floor
Brokers in open outcry trading for order entry and order management.
The Exchange proposes charging a Floor Market Maker Podium Fee of
$90.00 per Podium per month for each Market Maker. A Podium is a table
top space provided to a Market Maker on the floor.
The Exchange proposes a Floor Booth fee of $150.00 per month. Floor
Booths are designated space used by Floor Brokers. Previously, an
annual fee of $3,500.00 was charged for a Regular Floor Booth,
$4,500.00 for a Standard Floor Booth, $6,000 for a Large Floor Booth,
and $7,000.00 for a Machine Floor Booth.
The Exchange proposes charging a Telephone Service Charge of $0.16
on toll calls billed by vendor of less than $0.69, and $0.26 on toll
calls of greater than or equal to $0.69.
The Exchange proposes a Cellular Phone fee of $20.00 per month plus
the cost of the calling plan of the user's choice.
The Exchange proposes a Booth Telephone System Line Charge of
$33.33 per phone number per month, and a $10.75 charge per month for a
single line phone jack and data jack.
Connectivity Charges
The Exchange proposes Transport Charges of $150 per month per floor
participant connection as required. This fee will be capped at $500 per
month per floor broker firm. The Transport Charge is designed to cover
the cost to the Exchange for installing network cabling and rack space
for outside data lines, along with the costs of maintaining the data
center and hub for the Exchange floor.
The Exchange proposes a Login Fee of $150 per month per Exchange
sponsored broker dealer entry system. The Login Fee is designed to
cover the cost per login charged by data vendors for access to the
Floor Broker order capture system.
Report Fees
The Exchange proposes a User Activity Extract Fee of $0.0075 per
trade for clearing data. This fee is in addition to any report
development and set-up costs. The Exchange also proposes a $500 per
month Online Data Extract fee that allows unlimited access and
downloads of clearing data.
2. Statutory Basis
The Exchange believes that the proposal is consistent with Section
6(b) of the Act, in general, and Section 6(b)(4), in particular, in
that it provides for the equitable allocation of dues, fees and other
charges among its members and other market participants that use the
trading facilities of NYSE Amex Options. Under this proposal, all
similarly situated members and other Exchange participants of NYSE Amex
Options will be charged the same reasonable dues, fees and other
charges.
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 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
only 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 (https://
www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-NYSEALTR-2009-19 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Commission, 100 F Street, NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-NYSEALTR-2009-19. 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 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-NYSEALTR-2009-19 and should be submitted on or before
March 27, 2009.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\4\
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\4\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-4785 Filed 3-5-09; 8:45 am]
BILLING CODE 8011-01-P
