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), 10642 [E9-5207]

Download as PDF 10642 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 VerDate Nov<24>2008 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 Frm 00115 Fmt 4703 Sfmt 4703 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 E:\FR\FM\11MRN1.SGM 11MRN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 74, Number 46 (Wednesday, March 11, 2009)]
[Notices]
[Page 10642]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-5207]


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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.

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.
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    \1\ 15 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.
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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). 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 x $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.
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    \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.
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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.
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    \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).
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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-NYSEArca-2009-01) be, and it 
hereby is, approved.
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    \8\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E9-5207 Filed 3-10-09; 8:45 am]
BILLING CODE 8011-01-P

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