Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Rule Change by NYSE Arca, Inc. Implementing Fee Change, 10640-10642 [E9-5204]
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10640
Federal Register / Vol. 74, No. 46 / Wednesday, March 11, 2009 / Notices
change adds NYSE Arca Rule 6.37A 17 to
Rule 10.16(e)(2) because Rule 6.37A also
deals with the obligations of market
makers, and thus is appropriately
included in this Specific Sanctioning
Guideline.
The proposed rule change eliminates
references to floor official training for
OTP Holders in Rule 10.16(b)(7) because
the Exchange does not employ OTP
Holders as floor officials.
The proposal also corrects spelling
and typographical errors and makes
other minor, non-substantive changes
throughout the Sanctions Guidelines
such as the renumbering of certain
provisions and the elimination of
obsolete ‘‘Commentary’’ and examples
of regulatory incidents that are not
relevant to determinations of sanctions.
rwilkins on PROD1PC63 with NOTICES
III. Discussion and Commission’s
Findings
The Commission has carefully
reviewed the proposed rule change and
finds that it is consistent with the
requirements of Section 6(b) 18 of the
Act, and in particular, with Section
6(b)(5) 19 of the Act, which requires,
among other things, that the Exchange’s
rules be designed to prevent fraudulent
and manipulative acts and practices, to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
facilitating transactions in securities,
and to remove impediments to and
perfect the mechanism of a free and
open market and a national market
system, and, in general, to protect
investors and the public interest.20
The Commission also finds that the
proposal is consistent with Section
6(b)(6) 21 of the Act, which requires that
the rules of the exchange provide that
its members and persons associated
with its members shall be appropriately
disciplined for violations of the Act and
the rules and regulations thereunder.
The Exchange’s proposal amends the
Sanctioning Guidelines to provide more
flexibility for adjudicators in crafting
fair and appropriate monetary and nonmonetary sanctions for violations of
certain enumerated Exchange rules, and
adds categories of rules that will be
subject to the Sanctioning Guidelines.
The proposed rule change also clarifies
that the guidelines apply to all persons
using the option-related facilities of the
17 See NYSE Arca Rule 6.37A (Obligations of
Market Makers—OX).
18 15 U.S.C. 78f(b).
19 15 U.S.C. 78f(b)(5).
20 In approving this proposed rule change, the
Commission has considered the proposed rule’s
impact on efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
21 15 U.S.C. 78f(b)(6).
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17:01 Mar 10, 2009
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Exchange, and makes other changes that
should strengthen the Exchange’s
disciplinary program. Accordingly, the
Commission finds that the proposed
rule change is consistent with the Act.
IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,22 that the
proposed rule change (SR–NYSEArca–
2008–134) be, and it hereby is,
approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.23
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–5202 Filed 3–10–09; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59521; File No. SR–
NYSEArca–2009–15]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Rule Change by NYSE Arca, Inc.
Implementing Fee Change
March 5, 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 Arca, Inc. (‘‘NYSE
Arca’’ 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
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 the
section of its Schedule of Fees and
Charges for Exchange Services (the
‘‘Schedule’’). While changes to the
Schedule pursuant to this proposal will
be effective upon filing, the changes will
become operative on March 2, 2009. The
amended section of the Schedule is
included as Exhibit 5 hereto.4 A copy of
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.
3 17 CFR 240.19b–4.
4 The Commission notes that while provided in
Exhibit 5 to the filing, the text of the proposed rule
change is not attached to this notice but is available
23 17
PO 00000
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Fmt 4703
Sfmt 4703
this filing 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,
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
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to make
multiple changes to its Schedule that
will take effect on March 2, 2009. A
more detailed description of the
proposed changes follows.
Tier 1 Rate Changes
Tier 1 rates are applied to customers
with an average daily share volume per
month greater than 90 million shares in
Tape A, B and C, including adding
liquidity of more than 45 million shares.
In Tape A and Tape C securities the
Exchange will continue its inverted
pricing structure, but proposes a new
rebate of $0.0029 for orders that add
liquidity and new fee of $0.0028 for
orders that remove liquidity. Previously
in Tape A and Tape C securities the
Exchange paid a rebate of $0.0028 for
orders that added liquidity and charged
a fee of $0.0027 for orders that removed
liquidity.
Mid-Point Passive Liquidity Orders
The Exchange proposes a rebate of
$0.0020 per share for resting Mid-point
Passive Liquidity (‘‘MPL’’) Orders 5 in
Tape A and Tape C securities for all
customers. Previously the Exchange
paid a rebate of $0.0015 for resting MPL
orders in Tape A and Tape C securities.
The Exchange proposes a rebate of
$0.0010 per share for resting MPL orders
at the Commission’s Public Reference Room and at
https://www.nyse.com.
5 The MPL order is an undisplayed limit order
that offers price improvement to customers by
executing at the mid-point of the National Best Bid
and Offer (NBBO). MPL orders will generally
interact with all order types including contra MPLs,
but excluding cross or directed orders.
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Federal Register / Vol. 74, No. 46 / Wednesday, March 11, 2009 / Notices
in Tape B securities for all customers.
Previously the Exchange did not pay a
rebate for resting MPL orders in Tape B
securities.
Orders Routed to the NYSE in Tape A
The Exchange proposes a $0.0018 per
share fee for orders in Tape A securities
routed outside the Book to the NYSE for
customers qualifying for Tier 1, Tier 2
or the Take Tier. Previously the
Exchange charged $0.0008 per share for
orders in Tape A securities routed
outside the Book to the NYSE in Tier 1,
Tier 2, and the Take Tier. The Exchange
proposes a $0.0020 per share fee for
orders in Tape A securities routed
outside the Book to the NYSE for
customers qualifying for Basic Rates.
The following changes apply
universally to all tiered pricing and
basic rate pricing in Tape A securities.
The Exchange proposes a $0.0016 per
share fee for Primary Sweep Orders in
Tape A securities routed outside the
book to the NYSE. Previously the
Exchange charged $0.0006 per share fee
for Primary Sweep Orders in Tape A
securities routed outside the book to the
NYSE. The Exchange also proposes a
$0.0018 per share fee for Primary Only
Plus (‘‘PO+’’) Orders routed to the NYSE
that remove liquidity. Previously the
Exchange charged an $0.0008 per share
fee for Primary Only Plus (‘‘PO+’’)
Orders routed to the NYSE that removed
liquidity. The Exchange will continue to
charge no fee for PO and PO+ Orders
routed to the NYSE for participation at
the open. To compliment the new PO+
fee, the Exchange proposes a $0.0010
per share credit for PO+ Orders that
provide liquidity to the NYSE.
Previously the Exchange did not pay a
rebate for PO+ Orders providing
liquidity to the NYSE. For PO+ MarketOn-Close (‘‘MOC’’) and Limit-On-Close
(‘‘LOC’’) Orders routed to the NYSE, the
Exchange proposes a $0.0005 per share
fee. Previously the Exchange charged a
$0.0004 per share fee PO+ MOC and
LOC Orders routed to the NYSE.
rwilkins on PROD1PC63 with NOTICES
Basic Rate Changes
Basic Rates apply to those customers
that do not reach one of the volume
tiered pricing levels. The Exchange
proposes a Basic Rate fee of $0.0030 for
orders that remove liquidity in Tape A
and Tape C securities. This fee was
previously $0.0029. The rebate for
orders that add liquidity will remain
unchanged at $0.0023.
IOI Tier Changes
The Exchange also proposes adding
an additional IOI Tier. The new Tier 1
will pay a rebate of $.0012 per share for
ETP Holders and Market Makers that
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17:01 Mar 10, 2009
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10641
send an IOI to the Exchange resulting in
an execution with an average daily
share volume per month greater than or
equal to 10 million shares. The current
Tier 1 will become the new Tier 2 and
will pay a rebate of $0.001 per share for
ETP Holders and Market Makers that
send an IOI to the Exchange resulting in
an execution with an average daily
share volume per month between 5
million shares and 9,999,999 shares.
Finally, the current Tier 2 will become
the new Tier 3 and will pay a rebate of
$0.0005 per share for ETP Holders and
Market Makers that send an IOI to the
Exchange resulting in an execution with
an average daily share volume per
month between 2.5 million shares and
4,999,999 shares.
Arca on its members. 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.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the
Securities Exchange Act of 1934 (the
‘‘Act’’), in general, and Section 6(b)(4) of
the Act, in particular, in that it is
designed to provide for the equitable
allocation of reasonable dues, fees, and
other charges among its members and
other persons using its facilities. The
proposed rates are part of the
Exchange’s continued effort to attract
and enhance participation on the
Exchange, by offering attractive rebates
for liquidity providers and volumebased incentives. The Exchange believes
that the proposed changes to the
Schedule are equitable in that they
apply uniformly to our Users.
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–NYSEArca–2009–15 on the
subject line.
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 foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 6 of the Act and
subparagraph (f)(2) of Rule 19b–4 7
thereunder, because it establishes a due,
fee, or other charge imposed by NYSE
6 15
7 17
PO 00000
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
Frm 00114
Fmt 4703
Sfmt 4703
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:
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–NYSEArca–2009–15. 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, 100 F Street, NE., Washington,
DC 20549, on official business 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 the
principal office of the self-regulatory
organization. All comments received
will be posted without change; the
Commission does not edit personal
identifying information from
submissions. You should submit only
E:\FR\FM\11MRN1.SGM
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Federal Register / Vol. 74, No. 46 / Wednesday, March 11, 2009 / Notices
information that you wish to make
available publicly. All submissions
should refer to File Number SR–
NYSEArca–2009–15 and should be
submitted on or before April 1, 2009.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.8
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–5204 Filed 3–10–09; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59518; File No. SR–
NYSEArca–2009–01]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Order Approving Proposed
Rule Change Relating to the Reduction
of the Annual Fee for Certain Issues
Listed Under Rule 5.2(j)(6)
March 5, 2009.
rwilkins on PROD1PC63 with NOTICES
I. Introduction
On January 6, 2009, NYSE Arca, Inc.
(‘‘NYSE Arca’’ or ‘‘Exchange’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’) pursuant
to Section 19(b)(1) 1 of the Securities
Exchange Act of 1934 (‘‘Act’’) and Rule
19b–4 thereunder,2 a proposed rule
change amending its Schedule of Fees
and Charges for Exchange Services
(‘‘Fee Schedule’’) to revise the Annual
Fees applicable to securities listed in
calendar year 2009 under Rule 5.2(j)(6)
on NYSE Arca, LLC (‘‘NYSE Arca
Marketplace’’), the equities facility of
NYSE Arca Equities. The proposed rule
change was published for comment in
the Federal Register on February 2,
2009.3 The Commission received no
comment letters on the proposed rule
change. This order approves the
proposed rule change.
II. Description of the Proposed Rule
Change
NYSE Arca proposes amending the
Exchange’s Fee Schedule to revise the
Annual Fee applicable to securities
listed on the NYSE Arca Marketplace in
calendar year 2009 under Rule 5.2(j)(6)
(Equity Index-Linked Securities,
Commodity-Linked Securities,
Currency-Linked Securities, Fixed
Income Index-Linked Securities,
Futures-Linked Securities and
Multifactor Indexed-Linked Securities).
8 17
CFR 200.30–3(a)(12).
U.S.C.78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 59270
(Jan. 21, 2009), 74 FR 5880.
1 15
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17:01 Mar 10, 2009
Jkt 217001
Specifically, the Exchange proposes to
add new footnote 10 to the Fee
Schedule to state that, during 2009, the
Annual Fee for an issue of securities
listed under Rule 5.2(j)(6) of up to
500,000 shares outstanding would be
$5,000, pro-rated based on days
remaining in 2009. For example, under
the proposed rule change, if an Equity
Index-Linked Security lists on the NYSE
Arca Marketplace on July 1, 2009 with
500,000 shares outstanding, such
security would pay a pro-rated Annual
Fee for 2009 of $2,500 (1/2 × $5,000).4
The proposed reduced Annual Fee of
$5,000 or less would apply for calendar
year 2009 to issues newly listed on the
NYSE Arca Marketplace beginning as of
January 1, 2009, and would not apply to
issues listed prior to or after calendar
year 2009.
III. Discussion and Commission’s
Findings
The Commission finds that the
proposed rule change is consistent with
the requirements of Section 6 of the
Act 5 and the rules and regulations
thereunder applicable to a national
securities exchange. Specifically, the
Commission finds that the proposal is
consistent with Section 6(b)(4) 6 of the
Act, which requires that an exchange
have rules that provide for the equitable
allocation of reasonable dues, fees, and
other charges among its members and
issuers and other persons using its
facilities.7 The Commission notes that
the proposed fee reduction of $5,000 or
more would only apply to certain
securities with up to 500,000 shares
outstanding, which is far less than the
6 million shares outstanding to which
the current Annual Fee of $10,000
applies. Moreover, the Commission
notes that the fee reduction would only
be temporary and that the Exchange
hopes that the temporary reduction in
the Annual Fee for certain products may
provide an incentive for issuers to
introduce and list more of such
products on the NYSE Arca marketplace
and thereby, increase competition
among such products.
4 Under the current Fee Schedule for Structured
Products, which include securities listed under
Rule 5.2(j)(6), the Annual Fee ranges from $10,000
to $55,000, based on the total number of securities
outstanding per listed issue. The current Annual
Fee for issues with up to 6 million shares
outstanding is $10,000.
5 15 U.S.C. 78(f).
6 15 U.S.C. 78f(b)(4).
7 In approving the proposed rule change, the
Commission notes that it has considered the
proposed rules’ impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
PO 00000
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IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,8 that the
proposed rule change (SR–NYSEArca2009–01) be, and it hereby is, approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–5207 Filed 3–10–09; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59494; File No. SR–SCCP–
2009–01]
Self-Regulatory Organizations; Stock
Clearing Corporation of Philadelphia;
Notice of Filing and Immediate
Effectiveness of a Proposed Rule
Change To Amend the Certificate of
Incorporation of The NASDAQ OMX
Group, Inc.
March 3, 2009.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 notice is hereby given that on
February 17, 2009, Stock Clearing
Corporation of Philadelphia (‘‘SCCP’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change described in Items
I, II, and III below, which items have
been prepared primarily by SCCP. SCCP
filed the proposed rule change pursuant
to Section 19(b)(3)(A)(iii) of the Act 2
and Rule 19b–4(f)(3) thereunder 3 so that
the proposal was effective upon filing
with the Commission. The Commission
is publishing this notice to solicit
comments on the proposed rule change
from interested parties.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
SCCP is filing this proposed rule
change with regard to proposed changes
to the Restated Certificate of
Incorporation (‘‘Certificate’’) of its
parent corporation, The NASDAQ OMX
Group, Inc. (‘‘NASDAQ OMX’’). The
proposed rule change will be
implemented as soon as practicable
following filing with the Commission.
The text of the proposed rule change is
available at https://
www.nasdaqtrader.com/
Trader.aspx?id=SCCPApprovedRules
8 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. 78s(b)(3)(A)(iii).
3 17 CFR 240.19b–4(f)(3).
9 17
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]]>Agencies
[Federal Register Volume 74, Number 46 (Wednesday, March 11, 2009)]
[Notices]
[Pages 10640-10642]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-5204]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-59521; File No. SR-NYSEArca-2009-15]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Rule Change by NYSE Arca, Inc. Implementing Fee Change
March 5, 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 Arca, Inc. (``NYSE Arca'' 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 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 the section of its Schedule of Fees
and Charges for Exchange Services (the ``Schedule''). While changes to
the Schedule pursuant to this proposal will be effective upon filing,
the changes will become operative on March 2, 2009. The amended section
of the Schedule is included as Exhibit 5 hereto.\4\ A copy of this
filing 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.
---------------------------------------------------------------------------
\4\ The Commission notes that while provided in Exhibit 5 to the
filing, the text of the proposed rule change is not attached to this
notice but is available at the Commission's Public Reference Room
and at https://www.nyse.com.
---------------------------------------------------------------------------
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the 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, 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
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to make multiple changes to its Schedule that
will take effect on March 2, 2009. A more detailed description of the
proposed changes follows.
Tier 1 Rate Changes
Tier 1 rates are applied to customers with an average daily share
volume per month greater than 90 million shares in Tape A, B and C,
including adding liquidity of more than 45 million shares. In Tape A
and Tape C securities the Exchange will continue its inverted pricing
structure, but proposes a new rebate of $0.0029 for orders that add
liquidity and new fee of $0.0028 for orders that remove liquidity.
Previously in Tape A and Tape C securities the Exchange paid a rebate
of $0.0028 for orders that added liquidity and charged a fee of $0.0027
for orders that removed liquidity.
Mid-Point Passive Liquidity Orders
The Exchange proposes a rebate of $0.0020 per share for resting
Mid-point Passive Liquidity (``MPL'') Orders \5\ in Tape A and Tape C
securities for all customers. Previously the Exchange paid a rebate of
$0.0015 for resting MPL orders in Tape A and Tape C securities. The
Exchange proposes a rebate of $0.0010 per share for resting MPL orders
[[Page 10641]]
in Tape B securities for all customers. Previously the Exchange did not
pay a rebate for resting MPL orders in Tape B securities.
---------------------------------------------------------------------------
\5\ The MPL order is an undisplayed limit order that offers
price improvement to customers by executing at the mid-point of the
National Best Bid and Offer (NBBO). MPL orders will generally
interact with all order types including contra MPLs, but excluding
cross or directed orders.
---------------------------------------------------------------------------
Orders Routed to the NYSE in Tape A
The Exchange proposes a $0.0018 per share fee for orders in Tape A
securities routed outside the Book to the NYSE for customers qualifying
for Tier 1, Tier 2 or the Take Tier. Previously the Exchange charged
$0.0008 per share for orders in Tape A securities routed outside the
Book to the NYSE in Tier 1, Tier 2, and the Take Tier. The Exchange
proposes a $0.0020 per share fee for orders in Tape A securities routed
outside the Book to the NYSE for customers qualifying for Basic Rates.
The following changes apply universally to all tiered pricing and
basic rate pricing in Tape A securities. The Exchange proposes a
$0.0016 per share fee for Primary Sweep Orders in Tape A securities
routed outside the book to the NYSE. Previously the Exchange charged
$0.0006 per share fee for Primary Sweep Orders in Tape A securities
routed outside the book to the NYSE. The Exchange also proposes a
$0.0018 per share fee for Primary Only Plus (``PO+'') Orders routed to
the NYSE that remove liquidity. Previously the Exchange charged an
$0.0008 per share fee for Primary Only Plus (``PO+'') Orders routed to
the NYSE that removed liquidity. The Exchange will continue to charge
no fee for PO and PO+ Orders routed to the NYSE for participation at
the open. To compliment the new PO+ fee, the Exchange proposes a
$0.0010 per share credit for PO+ Orders that provide liquidity to the
NYSE. Previously the Exchange did not pay a rebate for PO+ Orders
providing liquidity to the NYSE. For PO+ Market-On-Close (``MOC'') and
Limit-On-Close (``LOC'') Orders routed to the NYSE, the Exchange
proposes a $0.0005 per share fee. Previously the Exchange charged a
$0.0004 per share fee PO+ MOC and LOC Orders routed to the NYSE.
Basic Rate Changes
Basic Rates apply to those customers that do not reach one of the
volume tiered pricing levels. The Exchange proposes a Basic Rate fee of
$0.0030 for orders that remove liquidity in Tape A and Tape C
securities. This fee was previously $0.0029. The rebate for orders that
add liquidity will remain unchanged at $0.0023.
IOI Tier Changes
The Exchange also proposes adding an additional IOI Tier. The new
Tier 1 will pay a rebate of $.0012 per share for ETP Holders and Market
Makers that send an IOI to the Exchange resulting in an execution with
an average daily share volume per month greater than or equal to 10
million shares. The current Tier 1 will become the new Tier 2 and will
pay a rebate of $0.001 per share for ETP Holders and Market Makers that
send an IOI to the Exchange resulting in an execution with an average
daily share volume per month between 5 million shares and 9,999,999
shares. Finally, the current Tier 2 will become the new Tier 3 and will
pay a rebate of $0.0005 per share for ETP Holders and Market Makers
that send an IOI to the Exchange resulting in an execution with an
average daily share volume per month between 2.5 million shares and
4,999,999 shares.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Securities Exchange Act of 1934
(the ``Act''), in general, and Section 6(b)(4) of the Act, in
particular, in that it is designed to provide for the equitable
allocation of reasonable dues, fees, and other charges among its
members and other persons using its facilities. The proposed rates are
part of the Exchange's continued effort to attract and enhance
participation on the Exchange, by offering attractive rebates for
liquidity providers and volume-based incentives. The Exchange 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 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 foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \6\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \7\ thereunder, because it establishes a due, fee, or other charge
imposed by NYSE Arca on its members. 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.
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\6\ 15 U.S.C. 78s(b)(3)(A).
\7\ 17 CFR 240.19b-4(f)(2).
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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-NYSEArca-2009-15 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-NYSEArca-2009-15. 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, 100 F Street,
NE., Washington, DC 20549, on official business 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 the principal office of the self-regulatory
organization. All comments received will be posted without change; the
Commission does not edit personal identifying information from
submissions. You should submit only
[[Page 10642]]
information that you wish to make available publicly. All submissions
should refer to File Number SR-NYSEArca-2009-15 and should be submitted
on or before April 1, 2009.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\8\
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\8\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-5204 Filed 3-10-09; 8:45 am]
BILLING CODE 8011-01-P
