Self-Regulatory Organizations; New York Stock Exchange LLC; Order Approving Proposed Rule Change, as Modified by Amendment No. 2 Thereto, Changing Certain NYSE Rules and Rule Interpretations To Harmonize Them With Changes to Corresponding Rules Filed by the Financial Industry Regulatory Authority, Inc., 25783-25784 [E9-12451]
Download as PDF
Federal Register / Vol. 74, No. 102 / Friday, May 29, 2009 / Notices
Commission also notes that the
proposed rule change is similar to
recently approved proposals submitted
by the Chicago Board Options Exchange,
Incorporated, the International
Securities Exchange, LLC, NASDAQ
OMX PHLX, Inc., and NYSE Arca, Inc.10
Therefore, the Commission finds good
cause, consistent with Section 19(b)(2)
of the Act,11 to approve the proposed
rule change on an accelerated basis.
IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,12 that the
proposed rule change (SR–NYSEAmex–
2009–15), as modified by Amendment
No. 1, be, and hereby is, approved on an
accelerated basis.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–12450 Filed 5–28–09; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59965; File No. SR–NYSE–
2009–25]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Order
Approving Proposed Rule Change, as
Modified by Amendment No. 2 Thereto,
Changing Certain NYSE Rules and
Rule Interpretations To Harmonize
Them With Changes to Corresponding
Rules Filed by the Financial Industry
Regulatory Authority, Inc.
May 21, 2009.
I. Introduction
mstockstill on PROD1PC66 with NOTICES
On March 9, 2009, the New York
Stock Exchange LLC (‘‘NYSE’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
make changes to certain NYSE rules and
rule interpretations, to be effective
retroactively to December 15, 2008, to
10 See Securities Exchange Act Release Nos.
58088 (July 2, 2008), 73 FR 39747 (July 10, 2008)
(SR–CBOE–2008–16); 58224 (July 25, 2008), 73 FR
44303 (July 30, 2008) (SR–ISE–2007–94); 59081
(December 11, 2008), 73 FR 76432 (December 16,
2008) (SR–Phlx–2008–79); and 59194 (January 5,
2009), 74 FR 976 (January 9, 2009).
11 15 U.S.C. 78s(b)(2).
12 15 U.S.C. 78s(b)(2).
13 17 CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
VerDate Nov<24>2008
17:24 May 28, 2009
Jkt 217001
harmonize them with changes to
corresponding rules that were filed by
the Financial Industry Regulatory
Authority, Inc. (‘‘FINRA’’) and approved
by the Commission or were effective
upon filing with the Commission.3 On
March 27, 2009, the Exchange filed
Amendment No. 1 to the proposed rule
change, which was withdrawn.4 On
March 30, 2009, the Exchange filed
Amendment No. 2 to the proposed rule
change.5 The proposed rule change was
published in the Federal Register on
April 6, 2009.6 The Commission
received no comments on the proposal.
This order approves the proposed rule
change, as amended.
II. Description of the Proposal
On July 30, 2007, the National
Association of Securities Dealers, Inc.
(‘‘NASD’’) and NYSE Regulation, Inc.,
the regulatory subsidiary of the New
York Stock Exchange (‘‘NYSE’’),
consolidated their member firm
regulation operations into FINRA. In
connection with this consolidation,
FINRA is in the process of establishing
a consolidated FINRA rulebook (the
‘‘Consolidated FINRA Rulebook’’) 7 that
will harmonize NASD rules and NYSE
rules relating to member firm
regulation.8 All of these rules will be
3 See Securities Exchange Act Release No. 58461
(September 4, 2008), 73 FR 52710 (September 10,
2008) (SR–FINRA–2008–033); Securities Exchange
Act Release No. 58514 (September 11, 2008), 73 FR
54190 (September 18, 2008) (SR–FINRA–2008–039);
Securities Exchange Act Release No. 58643
(September 25, 2008), 73 FR 57174 (October 1,
2008) (SR–FINRA–2008–021, –022, –026,–028,
–029); Securities Exchange Act Release No. 58660
(September 26, 2008), 73 FR 57393 (October 2,
2008) (SR–FINRA–2008–027); Securities Exchange
Act Release No. 58661 (September 26, 2008), 73 FR
57395 (October 2, 2008) (SR–FINRA–2008–030);
and Securities Exchange Act Release No. 59097
(December 12, 2008), 73 FR 78412 (December 22,
2008) (SR–FINRA–2008–057).
4 On March 30, 2009, the Exchange withdrew
Amendment No. 1.
5 Amendment No. 2 to SR–NYSE–2009–25
replaced the original filing in its entirety.
References to Amendment No. 1 in Amendment No.
2 should be read as Amendment No. 2. See
telephone conversation between Clare F.
Saperstein, Managing Director, NYSE Regulation,
Inc., and Nancy J. Burke-Sanow, Assistant Director,
Division of Trading and Markets, Commission,
March 30, 2009.
6 See Securities Exchange Act Release No. 59655
(March 30, 2009), 74 FR 15563 (‘‘Notice’’).
7 The current FINRA rulebook consists of three
sets of rules: (1) NASD Rules, (2) rules and rule
interpretations incorporated from the NYSE
(‘‘FINRA Incorporated NYSE Rules’’) (together,
referred to as the ‘‘Transitional Rulebook’’), and (3)
consolidated FINRA Rules. The FINRA
Incorporated NYSE Rules apply only to those
members of FINRA that are also members of the
NYSE (‘‘Dual Members’’), while the consolidated
FINRA Rules apply to all FINRA members.
8 Pursuant to Rule 17d–2 under the Act, NYSE,
NYSER and NASD entered into an agreement
(‘‘Rule 17d–2 Agreement’’) to reduce regulatory
duplication for Dual Members by allocating to
PO 00000
Frm 00087
Fmt 4703
Sfmt 4703
25783
identified as ‘‘FINRA Rules’’ when the
rule consolidation process is completed.
To reduce regulatory duplication, the
Exchange proposes to harmonize several
NYSE rules with certain FINRA rule
changes by deleting NYSE rules and
rule interpretations and replacing them
with rules that are identical to, or
substantially identical to, the FINRA
Rules that were approved by, or were
effective upon filing with, the
Commission, subject to technical
amendments to conform them to the
Exchange. The Exchange also proposes
to adopt the same rule numbers used in
the Consolidated FINRA Rulebook to
allow members and others to more
readily identify those NYSE rules that
have been harmonized with FINRA
Rules. The Notice provides a more
detailed description of the FINRA rule
changes and the Exchange’s proposed
conforming rule changes.9
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 of the Act 10
and the rules and regulations
thereunder applicable to a national
securities exchange.11 In particular, the
Commission finds that the proposal is
consistent with Section 6(b)(5) of the
Act,12 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 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.
The Exchange is deleting certain rules
and rule interpretations pertaining to:
(1) Compensation or gratuities to
FINRA regulatory responsibility for specified NYSE
rules (the ‘‘Common Rules’’). See Securities
Exchange Act Release No. 56148 (July 26, 2007), 72
FR 42146 (August 1, 2007) (Notice of Filing and
Order Approving and Declaring Effective a Plan for
the Allocation of Regulatory Responsibilities). The
Common Rules include the FINRA Incorporated
NYSE Rules. See Securities Exchange Act Release
No. 56147 (July 26, 2007), 72 FR 42166 (August 1,
2007) (Notice of Filing and Order Granting
Accelerated Approval of Proposed Rule Change to
Incorporate Certain NYSE Rules Relating to Member
Firm Conduct) (SR–NASD–2007–054). Paragraph
2(b) of the Rule 17d–2 Agreement sets forth
procedures regarding proposed changes by either
NYSE or FINRA to the substance of any of the
Common Rules.
9 See Notice, supra note 6.
10 15 U.S.C. 78f.
11 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).
12 15 U.S.C. 78f(b)(5).
E:\FR\FM\29MYN1.SGM
29MYN1
mstockstill on PROD1PC66 with NOTICES
25784
Federal Register / Vol. 74, No. 102 / Friday, May 29, 2009 / Notices
employees of others; (2) business
conduct, trading against firm
recommendations, and private sales; (3)
excessive trading by members, excessive
trading in discretionary accounts,
successive transactions by members,
manipulative operations, reopening
contracts, and loans for accounts of nonmembers; (4) disciplinary proceedings
concerning conduct that is inconsistent
with just and equitable principles of
trade; (5) reporting of certain
information concerning short sales and
proprietary transactions; (6) reporting
and certification of member or member
organization’s supervision and
compliance efforts; (7) formation and
approval or merger organizations; (8)
reporting of short positions; (9)
notification requirements for listed
securities; and (10) disclosure and
monitoring of non-managed fee based
accounts.
In the place of the deleted rules and
interpretations, the Exchange proposes
to adopt rules that are identical to, or
substantially identical to, FINRA Rules
that were approved by the Commission
or were effective upon filing with the
Commission.13 In addition, NYSE is
making non-substantive changes to the
FINRA Rules that it is incorporating to
reflect that they are NYSE rules and is
deleting NYSE rules that have become
outdated and are no longer needed. The
Commission believes that the proposed
rule change is appropriate and should
reduce unnecessary regulatory
duplication of Dual Members by
harmonizing certain NYSE rules with
FINRA Rules. With respect to the
Exchange’s proposal to delete NYSE
Rule 350 (and accompanying
interpretations) and to adopt NYSE Rule
3220 (relating to influencing or
rewarding employees of others), the
Commission notes that NYSE has stated
that immediately upon Commission
approval of new NYSE Rule 3220, it will
issue an Information Memorandum to
its members and member organizations,
including NYSE-only members and
those members registered with FINRA,
clarifying that FINRA’s interpretive
guidance related to FINRA Rule 3220 is
considered part of NYSE Rule 3220, and
that such members and member
organizations are required to regulate
their conduct according to Rule 3220
and the interpretive guidance related to
FINRA Rule 3220.14 Accordingly, the
Commission believes that the proposed
13 See
supra note 3.
telephone conversation between Clare F.
Saperstein, Managing Director, NYSE Regulation,
Inc., and Nancy J. Burke-Sanow, Assistant Director,
Division of Trading and Markets, Commission, May
21, 2009.
14 See
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17:24 May 28, 2009
Jkt 217001
rule change is consistent with the
requirements of the Act.
II trading system.4 There is no proposed
rule language.
IV. Conclusion
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
NASDAQ 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
NASDAQ Exchange has prepared
summaries, set forth in Sections A, B,
and C below, of the most significant
aspects of such statements.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,15 that the
proposed rule change (SR–NYSE–2009–
25) be, and it hereby is, approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.16
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–12451 Filed 5–28–09; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59948; File No. SR–
NASDAQ–2009–047]
Self-Regulatory Organizations; the
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change Relating to
Order Routing
May 20, 2009.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on May 15,
2009, The NASDAQ Stock Market LLC
(the ‘‘NASDAQ Exchange’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II below, which Items have
been prepared by the NASDAQ
Exchange. The NASDAQ Exchange has
designated the proposed rule change as
constituting a non-controversial rule
change under Rule 19b–4(f)(6) under the
Act,3 which renders the proposal
effective upon filing with the
Commission. 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 NASDAQ Exchange is proposing
to modify the terms and conditions
under which it is affiliated with
NASDAQ Options Services, LLC
(‘‘NOS’’). The NASDAQ Exchange
proposes to implement the proposed
rule change when NASDAQ OMX
PHLX, Inc. (‘‘PHLX’’) implements its XL
15 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 17 CFR 240.19b–4(f)(6).
16 17
PO 00000
Frm 00088
Fmt 4703
Sfmt 4703
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
Nasdaq Options Services, LLC
(‘‘NOS’’), which is a subsidiary of the
NASDAQ Exchange, is a registered
broker-dealer and a member of the
NASDAQ Exchange and PHLX. In SR–
NASDAQ–2006–006,5 the Commission
approved the adoption of NASDAQ
Exchange Rule 2140, which provides
that, subject to certain exceptions, the
NASDAQ Exchange may not become an
affiliate of one of its members unless the
terms and conditions of such affiliation
are the subject of an effective filing with
the Commission. Previously, the
Commission had approved the
acquisition of the entity that is now
NOS by The Nasdaq Stock Market, Inc.,
which is now The NASDAQ OMX
Group, Inc. (‘‘NASDAQ OMX’’), the
holding company parent corporation of
the NASDAQ Exchange and PHLX.6
Moreover, in SR–NASDAQ–2007–004
and –080,7 the Commission approved
rules to govern the operation of The
NASDAQ Options Market (‘‘NOM’’) as
an options market of the NASDAQ
Exchange, including rules establishing
NOS as the approved outbound routing
facility of the NASDAQ Exchange for
NOM. The rules governing NOS’s
routing of orders for NOM stipulate,
4 Securities Exchange Act Release No. 59721
(April 7, 2009), 74 FR 17245 (April 14, 2009) (SR–
Phlx–2009–32); Securities Exchange Act Release
No. 59779 (April 16, 2009), 74 FR 18600 (April 23,
2009) (SR–Phlx–2009–32, Amendment No. 1).
5 Securities Exchange Act Release No. 54170 (July
18, 2006), 71 FR 42149 (July 25, 2006) (SR–
NASDAQ–2006–006).
6 Securities Exchange Act Release No. 52902
(December 7, 2005), 70 FR 73810 (December 13,
2005) (SR–NASD–2005–128).
7 Securities Exchange Act Release No. 57478
(March 12, 2008), 73 FR 14521 (March 18, 2008)
(SR–NASDAQ–2007–004, –080).
E:\FR\FM\29MYN1.SGM
29MYN1
Agencies
[Federal Register Volume 74, Number 102 (Friday, May 29, 2009)]
[Notices]
[Pages 25783-25784]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-12451]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-59965; File No. SR-NYSE-2009-25]
Self-Regulatory Organizations; New York Stock Exchange LLC; Order
Approving Proposed Rule Change, as Modified by Amendment No. 2 Thereto,
Changing Certain NYSE Rules and Rule Interpretations To Harmonize Them
With Changes to Corresponding Rules Filed by the Financial Industry
Regulatory Authority, Inc.
May 21, 2009.
I. Introduction
On March 9, 2009, the New York Stock Exchange LLC (``NYSE'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') pursuant to Section 19(b)(1) of the Securities
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ a
proposed rule change to make changes to certain NYSE rules and rule
interpretations, to be effective retroactively to December 15, 2008, to
harmonize them with changes to corresponding rules that were filed by
the Financial Industry Regulatory Authority, Inc. (``FINRA'') and
approved by the Commission or were effective upon filing with the
Commission.\3\ On March 27, 2009, the Exchange filed Amendment No. 1 to
the proposed rule change, which was withdrawn.\4\ On March 30, 2009,
the Exchange filed Amendment No. 2 to the proposed rule change.\5\ The
proposed rule change was published in the Federal Register on April 6,
2009.\6\ The Commission received no comments on the proposal. This
order approves the proposed rule change, as amended.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ See Securities Exchange Act Release No. 58461 (September 4,
2008), 73 FR 52710 (September 10, 2008) (SR-FINRA-2008-033);
Securities Exchange Act Release No. 58514 (September 11, 2008), 73
FR 54190 (September 18, 2008) (SR-FINRA-2008-039); Securities
Exchange Act Release No. 58643 (September 25, 2008), 73 FR 57174
(October 1, 2008) (SR-FINRA-2008-021, -022, -026,-028, -029);
Securities Exchange Act Release No. 58660 (September 26, 2008), 73
FR 57393 (October 2, 2008) (SR-FINRA-2008-027); Securities Exchange
Act Release No. 58661 (September 26, 2008), 73 FR 57395 (October 2,
2008) (SR-FINRA-2008-030); and Securities Exchange Act Release No.
59097 (December 12, 2008), 73 FR 78412 (December 22, 2008) (SR-
FINRA-2008-057).
\4\ On March 30, 2009, the Exchange withdrew Amendment No. 1.
\5\ Amendment No. 2 to SR-NYSE-2009-25 replaced the original
filing in its entirety. References to Amendment No. 1 in Amendment
No. 2 should be read as Amendment No. 2. See telephone conversation
between Clare F. Saperstein, Managing Director, NYSE Regulation,
Inc., and Nancy J. Burke-Sanow, Assistant Director, Division of
Trading and Markets, Commission, March 30, 2009.
\6\ See Securities Exchange Act Release No. 59655 (March 30,
2009), 74 FR 15563 (``Notice'').
---------------------------------------------------------------------------
II. Description of the Proposal
On July 30, 2007, the National Association of Securities Dealers,
Inc. (``NASD'') and NYSE Regulation, Inc., the regulatory subsidiary of
the New York Stock Exchange (``NYSE''), consolidated their member firm
regulation operations into FINRA. In connection with this
consolidation, FINRA is in the process of establishing a consolidated
FINRA rulebook (the ``Consolidated FINRA Rulebook'') \7\ that will
harmonize NASD rules and NYSE rules relating to member firm
regulation.\8\ All of these rules will be identified as ``FINRA Rules''
when the rule consolidation process is completed.
---------------------------------------------------------------------------
\7\ The current FINRA rulebook consists of three sets of rules:
(1) NASD Rules, (2) rules and rule interpretations incorporated from
the NYSE (``FINRA Incorporated NYSE Rules'') (together, referred to
as the ``Transitional Rulebook''), and (3) consolidated FINRA Rules.
The FINRA Incorporated NYSE Rules apply only to those members of
FINRA that are also members of the NYSE (``Dual Members''), while
the consolidated FINRA Rules apply to all FINRA members.
\8\ Pursuant to Rule 17d-2 under the Act, NYSE, NYSER and NASD
entered into an agreement (``Rule 17d-2 Agreement'') to reduce
regulatory duplication for Dual Members by allocating to FINRA
regulatory responsibility for specified NYSE rules (the ``Common
Rules''). See Securities Exchange Act Release No. 56148 (July 26,
2007), 72 FR 42146 (August 1, 2007) (Notice of Filing and Order
Approving and Declaring Effective a Plan for the Allocation of
Regulatory Responsibilities). The Common Rules include the FINRA
Incorporated NYSE Rules. See Securities Exchange Act Release No.
56147 (July 26, 2007), 72 FR 42166 (August 1, 2007) (Notice of
Filing and Order Granting Accelerated Approval of Proposed Rule
Change to Incorporate Certain NYSE Rules Relating to Member Firm
Conduct) (SR-NASD-2007-054). Paragraph 2(b) of the Rule 17d-2
Agreement sets forth procedures regarding proposed changes by either
NYSE or FINRA to the substance of any of the Common Rules.
---------------------------------------------------------------------------
To reduce regulatory duplication, the Exchange proposes to
harmonize several NYSE rules with certain FINRA rule changes by
deleting NYSE rules and rule interpretations and replacing them with
rules that are identical to, or substantially identical to, the FINRA
Rules that were approved by, or were effective upon filing with, the
Commission, subject to technical amendments to conform them to the
Exchange. The Exchange also proposes to adopt the same rule numbers
used in the Consolidated FINRA Rulebook to allow members and others to
more readily identify those NYSE rules that have been harmonized with
FINRA Rules. The Notice provides a more detailed description of the
FINRA rule changes and the Exchange's proposed conforming rule
changes.\9\
---------------------------------------------------------------------------
\9\ See Notice, supra note 6.
---------------------------------------------------------------------------
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 of the
Act \10\ and the rules and regulations thereunder applicable to a
national securities exchange.\11\ In particular, the Commission finds
that the proposal is consistent with Section 6(b)(5) of the Act,\12\
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 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.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f.
\11\ 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).
\12\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange is deleting certain rules and rule interpretations
pertaining to: (1) Compensation or gratuities to
[[Page 25784]]
employees of others; (2) business conduct, trading against firm
recommendations, and private sales; (3) excessive trading by members,
excessive trading in discretionary accounts, successive transactions by
members, manipulative operations, reopening contracts, and loans for
accounts of non-members; (4) disciplinary proceedings concerning
conduct that is inconsistent with just and equitable principles of
trade; (5) reporting of certain information concerning short sales and
proprietary transactions; (6) reporting and certification of member or
member organization's supervision and compliance efforts; (7) formation
and approval or merger organizations; (8) reporting of short positions;
(9) notification requirements for listed securities; and (10)
disclosure and monitoring of non-managed fee based accounts.
In the place of the deleted rules and interpretations, the Exchange
proposes to adopt rules that are identical to, or substantially
identical to, FINRA Rules that were approved by the Commission or were
effective upon filing with the Commission.\13\ In addition, NYSE is
making non-substantive changes to the FINRA Rules that it is
incorporating to reflect that they are NYSE rules and is deleting NYSE
rules that have become outdated and are no longer needed. The
Commission believes that the proposed rule change is appropriate and
should reduce unnecessary regulatory duplication of Dual Members by
harmonizing certain NYSE rules with FINRA Rules. With respect to the
Exchange's proposal to delete NYSE Rule 350 (and accompanying
interpretations) and to adopt NYSE Rule 3220 (relating to influencing
or rewarding employees of others), the Commission notes that NYSE has
stated that immediately upon Commission approval of new NYSE Rule 3220,
it will issue an Information Memorandum to its members and member
organizations, including NYSE-only members and those members registered
with FINRA, clarifying that FINRA's interpretive guidance related to
FINRA Rule 3220 is considered part of NYSE Rule 3220, and that such
members and member organizations are required to regulate their conduct
according to Rule 3220 and the interpretive guidance related to FINRA
Rule 3220.\14\ Accordingly, the Commission believes that the proposed
rule change is consistent with the requirements of the Act.
---------------------------------------------------------------------------
\13\ See supra note 3.
\14\ See telephone conversation between Clare F. Saperstein,
Managing Director, NYSE Regulation, Inc., and Nancy J. Burke-Sanow,
Assistant Director, Division of Trading and Markets, Commission, May
21, 2009.
---------------------------------------------------------------------------
IV. Conclusion
It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\15\ that the proposed rule change (SR-NYSE-2009-25) be, and it
hereby is, approved.
---------------------------------------------------------------------------
\15\ 15 U.S.C. 78s(b)(2).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\16\
---------------------------------------------------------------------------
\16\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-12451 Filed 5-28-09; 8:45 am]
BILLING CODE 8010-01-P