Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating To Amending the Direct Edge ECN Fee Schedule, 33309-33311 [E9-16316]

Download as PDF Federal Register / Vol. 74, No. 131 / Friday, July 10, 2009 / Notices B. Self-Regulatory Organization’s Statement on Burden on Competition CBOE does not believe that the proposed rule change will impose any burden on competition 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 designated by the Exchange as establishing or changing a due, fee, or other charge, thereby qualifying for effectiveness on filing pursuant to Section 19(b)(3)(A)(ii) 5 of the Act and subparagraph (f)(2) of Rule 19b–4 6 thereunder. 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: sroberts on DSKD5P82C1PROD with NOTICES 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–CBOE–2009–046 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–CBOE–2009–046. 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–CBOE– 2009–046 and should be submitted on or before July 31, 2009. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.7 Elizabeth M. Murphy, Secretary. [FR Doc. E9–16358 Filed 7–9–09; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–60232; File No. SR–ISE– 2009–43] Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating To Amending the Direct Edge ECN Fee Schedule July 2, 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 June 30, 2009, the International Securities Exchange, LLC (the ‘‘Exchange’’ or ‘‘ISE’’) filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which Items have been prepared by the ISE. The ISE 5 15 6 17 CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. U.S.C. 78s(b)(3)(A)(ii). CFR 240.19b–4(f)(2). VerDate Nov<24>2008 22:16 Jul 09, 2009 Jkt 217001 PO 00000 filed the proposed rule change pursuant to Section 19(b)(3)(A) of the Act 3 and Rule 19b–4(f)(2) thereunder,4 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 Exchange proposes to amend Direct Edge ECN’s (‘‘DECN’’) fee schedule for ISE Members 5 to: (1) Reinstate the Super Tier Rebates, as defined below, that will apply to ISE Members whose transactions meet certain volume thresholds; (2) adopt new Ultra Tier Rebates, as defined below, that will apply to ISE Members whose transactions meet certain other volume thresholds; (3) adopt a new fee; and (4) make certain other clean-up changes. All of the changes described herein are applicable to ISE Members. The text of the proposed rule change is available on the Exchange’s Internet Web site at https://www.ise.com and at the Commission’s Public Reference Room. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the Exchange included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The self-regulatory organization has prepared summaries, set forth in sections A, B, and C below, of the most significant aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change Purpose—DECN, a facility of ISE, operates two trading platforms, EDGX and EDGA. During the month of June, DECN offered a promotion whereby ISE Members that add liquidity on EDGX receive a rebate of $0.003 per share for all securities priced at or above $1.00 (‘‘June Promotion’’). ISE Members that remove liquidity on EDGX are charged $0.0028 per share for all securities priced at or above $1.00 and orders sent 3 15 7 17 Frm 00109 Fmt 4703 Sfmt 4703 33309 U.S.C. 78s(b)(3)(A). CFR 19b–4(f)(2). 5 References to ISE Members in this filing refer to DECN Subscribers who are ISE Members. 4 17 E:\FR\FM\10JYN1.SGM 10JYN1 sroberts on DSKD5P82C1PROD with NOTICES 33310 Federal Register / Vol. 74, No. 131 / Friday, July 10, 2009 / Notices to EDGX that subsequently get routed out are charged $0.0029 per share for all securities priced at or above $1.00. The Exchange is now proposing to amend the DECN fee schedule to reinstate the volume thresholds applicable to the Super Tier Rebates that were in effect prior to the June Promotion in an effort to maintain a competitive rate. Accordingly, the Exchange proposes that, as of July 1, 2009, the DECN fee schedule will include a per share rebate in securities reported to Tape A and Tape C of $0.003 for securities priced at or above $1.00 when ISE Members add liquidity on EDGX if the ISE Member satisfies any of the following three criteria on a daily basis, measured monthly: (i) Adding 40,000,000 shares or more on either EDGX, EDGA or EDGX and EDGA combined; (ii) adding 20,000,000 shares or more on either EDGX, EDGA or EDGX and EDGA combined and routing 20,000,000 shares or more through EDGA; or (iii) adding 10,000,000 shares or more of liquidity to EDGX, so long as added liquidity on EDGX is at least 5,000,000 shares greater than the previous calendar month. The rebate described above is referred to as a ‘‘Super Tier Rebate’’ on the DECN fee schedule. The ISE Members that add liquidity in Tape A and Tape C securities and don’t meet the Super Tier criteria, as set forth above, receive a rebate of $0.0025 per share for securities that are priced at or above $1.00. The Exchange is proposing to make certain corresponding changes so that the changes described above are reflected throughout the DECN fee schedule. Such changes consist of: (1) Deleting the boxed text which discusses the June Promotion; (2) deleting language out of footnote 1 that discusses the June Promotion; and (3) changing the rebates associated with flags ‘‘V’’ and ‘‘Y’’ from $0.003 to $0.0025 per share for securities priced at or above $1.00. Additionally, the Exchange is proposing to adopt a new Ultra Tier Rebate, as defined below, whereby ISE Members will be provided a $0.0032 rebate per share for securities priced at or above $1.00 when ISE Members add liquidity on EDGX if the attributed MPID satisfies one of the following criteria on a daily basis, measured monthly: (i) Adding 100,000,000 shares or more on EDGX; or (ii) adding 50,000,000 shares or more of liquidity to EDGX, so long as added liquidity on EDGX is at least 20,000,000 shares greater than the previous calendar month. The liquidity required to qualify for criterion (i) above shall be adjusted in the event that Total Consolidated VerDate Nov<24>2008 22:16 Jul 09, 2009 Jkt 217001 Volume (‘‘TCV’’), defined as volume reported by all exchanges and trade reporting facilities to the consolidated transaction reporting plans for Tape A, B and C securities, falls below an average of 10,000,000,000 shares per day (‘‘Target TCV’’) in the relevant calendar month. In such circumstances, the adjusted amount of liquidity required to qualify under criterion (i) above shall be the percentage that actual reported TCV represents of Target TCV, multiplied by 100,000,000. The rebate described above is referred to as an ‘‘Ultra Tier Rebate’’ on the DECN fee schedule. The Exchange is adopting the Ultra Tier Rebate in an effort to increase volume on DECN. The Exchange is also proposing to adopt a fee of $0.0015 per share for securities priced at or above $1.00 anytime the ROUQ or ROUC routing strategy is used on either EDGX or EDGA and this routing strategy results in an execution by an Enhanced Liquidity Provider (‘‘ELP’’). The ROUQ routing strategy enables ISE Members to interact with the order book and ELPs who elect to receive Indications of Interest (‘‘IOIs’’) from DECN. ROUC designated orders are multi-destination orders that sweep the order book and ELP destinations before any unfilled quantity is routed to low cost destinations. Accordingly, the Exchange is assessing this fee for ISE Members’ utilization of these services. The Exchange is proposing to make certain clarifying changes to the DECN fee schedule. First, the Exchange is proposing to collapse two references to EGDA fees into a single line item because there is no need to break out the fees by Tape as the fees are consistent regardless of which Tape the securities are reported on. Second, the Exchange is adding clarifying text to specify that orders routed to Nasdaq are assessed a fee of $0.003 per share for securities priced at or above $1.00 and to specify that this charge not only applies to orders routed to Nasdaq from EDGA, but also applies to orders routed to Nasdaq from EDGX. The fee changes discussed in this filing will become operative on July 1, 2009. Basis—The Exchange believes that the proposed rule change is consistent with the objectives of Section 6 of the Act,6 in general, and furthers the objectives of Section 6(b)(4),7 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. In PO 00000 6 15 7 15 U.S.C. 78f. U.S.C. 78f(b)(4). Frm 00110 Fmt 4703 particular, reinstating the volume thresholds applicable to the Super Tier Rebates and offering an Ultra Tier Rebate provides pricing incentives to market participants who route orders to DECN, allowing DECN to remain competitive. ISE notes that DECN operates in a highly competitive market in which market participants can readily direct order flow to competing venues if they deem fee levels at a particular venue to be excessive. The proposed rule change reflects a competitive pricing structure designed to incentivize market participants to direct their order flow to DECN. ISE believes the fees and credits remain competitive with those charged by other venues and therefore continue to be reasonable and equitably allocated to those members that opt to direct orders to DECN rather than competing venues. B. Self-Regulatory Organization’s Statement on Burden on Competition The proposed rule change does not 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 The Exchange has not solicited, and does not intend to solicit, comments on this proposed rule change. The Exchange has not received any unsolicited written comments from members or other interested parties. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 8 and Rule 19b–4(f)(2) 9 thereunder. At any time within 60 days of the filing of such 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: 8 15 9 17 Sfmt 4703 E:\FR\FM\10JYN1.SGM U.S.C. 78s(b)(3)(A). CFR 19b–4(f)(2). 10JYN1 Federal Register / Vol. 74, No. 131 / Friday, July 10, 2009 / Notices 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–ISE–2009–43 on the subject line. Paper Comments sroberts on DSKD5P82C1PROD with NOTICES • Send paper comments in triplicate to Elizabeth M. Murphy, Secretary, Securities and Exchange Commission, Station Place, 100 F Street, NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–ISE–2009–43. 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 such filing also will be available for inspection and copying at the principal office of the ISE. 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 publicly available. All submissions should refer to File Number SR–ISE–2009–43 and should be submitted on or before July 31, 2009. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.10 Elizabeth M. Murphy, Secretary. [FR Doc. E9–16316 Filed 7–9–09; 8:45 am] BILLING CODE 8010–01–P 10 17 CFR 200.30–3(a)(12). VerDate Nov<24>2008 22:16 Jul 09, 2009 Jkt 217001 SECURITIES AND EXCHANGE COMMISSION [Investment Company Act Release No. 28808; 812–13545] GE Funds, et al.,; Notice of Application July 2, 2009. AGENCY: Securities and Exchange Commission (‘‘Commission’’). ACTION: Notice of an application under section 6(c) of the Investment Company Act of 1940 (‘‘Act’’) for an exemption from section 15(a) of the Act and rule 18f–2 under the Act, as well as from certain disclosure requirements. SUMMARY OF APPLICATION: Applicants request an order that would permit them to enter into and materially amend subadvisory agreements without shareholder approval and would grant relief from certain disclosure requirements. APPLICANTS: GE Funds, GE Institutional Funds, GE Investments Funds, Inc. (each, a ‘‘Company’’ and collectively, the ‘‘Companies’’), and GE Asset Management Incorporated (the ‘‘Adviser’’). FILING DATES: The application was filed on July 9, 2008, and amended on November 8, 2008, May 8, 2009, and June 29, 2009. Applicants have agreed to file an amendment during the notice period, the substance of which is contained in this notice. HEARING OR NOTIFICATION OF HEARING: An order granting the applications will be issued unless the Commission orders a hearing. Interested persons may request a hearing by writing to the Commission’s Secretary and serving applicants with a copy of the request, personally or by mail. Hearing requests should be received by the Commission by 5:30 p.m. on July 27, 2009, and should be accompanied by proof of service on applicants, in the form of an affidavit or, for lawyers, a certificate of service. Hearing requests should be state the nature of the writer’s interest, the reason for the request, and the issues contested. Persons who wish to be notified of a hearing may request notification by writing to the Commission’s Secretary. ADDRESSES: Secretary, U.S. Securities and Exchange Commission, 100 F Street, NE., Washington, DC 205491090. Applicants, GE Asset Management Incorporated, 3001 Summer Street, Stamford, CT 06905. FOR FURTHER INFORMATION CONTACT: Christine Y. Greenlees, Senior Counsel, at (202) 551–6879, or Mary Kay Frech, Branch Chief, at (202) 551–6821 PO 00000 Frm 00111 Fmt 4703 Sfmt 4703 33311 (Division of Investment Management, Office of Investment Company Regulation). The following is a summary of the application. The complete application may be obtained via the Commission’s Web site by searching for the file number, or an applicant using the Company name box, at https:// www.sec.gov/search/search.htm or by calling (202) 551–8090. Applicants’ Representations: 1. GE Funds, a Massachusetts business trust, is registered under the Act as an open-end management investment company and currently offers sixteen series, each with separate investment objectives, policies and restrictions (each, a ‘‘Fund’’ and collectively, the ‘‘Funds’’). GE Institutional Funds, a Delaware statutory trust, is registered under the Act as an open-end management investment company and currently offers nine Funds, each with separate investment objectives, policies and restrictions. GE Investments Funds, Inc., a Virginia corporation, is registered under the Act an an open-end management investment company and currently offers fourteen series, each with separate investment objectives, policies and restrictions.1 The Adviser, a wholly owned subsidiary of General Electric Company, is registered as an investment adviser under the Investment Advisers Act of 1940 (‘‘Adviser Act’’). The Adviser serves as investment adviser to each Fund under an investment advisory agreement with each Company (‘‘Advisory Agreement’’) that has been approved by the shareholders of each Fund and by the board of trustees or directors of the Companies (‘‘Board’’), including a majority of the trustees or directors who are not ‘‘interested persons,’’ as defined in section 2(a)(19) of the Act, of any Company or the Adviser (‘‘Independent Board Members’’). 2. Under the terms of each Advisory Agreement, the Adviser provides a Fund with investment research, advice and SUPPLEMENTARY INFORMATION: 1 Applicants also request relief with respect to future Funds and any other existing or future registered open-end management investment company or series thereof that: (a) is advised by the Adviser or a person controlling, controlled by, or under common control with the Adviser (included in the term ‘‘Adviser’’); (b) uses the investment management structure described in the application; and (c) complies with the terms and conditions of the application (included in the term ‘‘Funds’’). The only existing registered open-end management companies that currently intend to rely on the requested order are named as applicants. If the name of any Fund contains the name of a Subadviser (as defined below), the name of the Adviser will precede the name of the Subadviser. E:\FR\FM\10JYN1.SGM 10JYN1

Agencies

[Federal Register Volume 74, Number 131 (Friday, July 10, 2009)]
[Notices]
[Pages 33309-33311]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-16316]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-60232; File No. SR-ISE-2009-43]


Self-Regulatory Organizations; International Securities Exchange, 
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule 
Change Relating To Amending the Direct Edge ECN Fee Schedule

July 2, 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 June 30, 2009, the International Securities Exchange, LLC (the 
``Exchange'' or ``ISE'') filed with the Securities and Exchange 
Commission (``Commission'') the proposed rule change as described in 
Items I, II, and III below, which Items have been prepared by the ISE. 
The ISE filed the proposed rule change pursuant to Section 19(b)(3)(A) 
of the Act \3\ and Rule 19b-4(f)(2) thereunder,\4\ 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.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 19b-4(f)(2).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend Direct Edge ECN's (``DECN'') fee 
schedule for ISE Members \5\ to: (1) Reinstate the Super Tier Rebates, 
as defined below, that will apply to ISE Members whose transactions 
meet certain volume thresholds; (2) adopt new Ultra Tier Rebates, as 
defined below, that will apply to ISE Members whose transactions meet 
certain other volume thresholds; (3) adopt a new fee; and (4) make 
certain other clean-up changes. All of the changes described herein are 
applicable to ISE Members.
---------------------------------------------------------------------------

    \5\ References to ISE Members in this filing refer to DECN 
Subscribers who are ISE Members.
---------------------------------------------------------------------------

    The text of the proposed rule change is available on the Exchange's 
Internet Web site at https://www.ise.com and at the Commission's Public 
Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. The self-regulatory organization has prepared summaries, 
set forth in sections A, B, and C below, of the most significant 
aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    Purpose--DECN, a facility of ISE, operates two trading platforms, 
EDGX and EDGA. During the month of June, DECN offered a promotion 
whereby ISE Members that add liquidity on EDGX receive a rebate of 
$0.003 per share for all securities priced at or above $1.00 (``June 
Promotion''). ISE Members that remove liquidity on EDGX are charged 
$0.0028 per share for all securities priced at or above $1.00 and 
orders sent

[[Page 33310]]

to EDGX that subsequently get routed out are charged $0.0029 per share 
for all securities priced at or above $1.00.
    The Exchange is now proposing to amend the DECN fee schedule to 
reinstate the volume thresholds applicable to the Super Tier Rebates 
that were in effect prior to the June Promotion in an effort to 
maintain a competitive rate. Accordingly, the Exchange proposes that, 
as of July 1, 2009, the DECN fee schedule will include a per share 
rebate in securities reported to Tape A and Tape C of $0.003 for 
securities priced at or above $1.00 when ISE Members add liquidity on 
EDGX if the ISE Member satisfies any of the following three criteria on 
a daily basis, measured monthly: (i) Adding 40,000,000 shares or more 
on either EDGX, EDGA or EDGX and EDGA combined; (ii) adding 20,000,000 
shares or more on either EDGX, EDGA or EDGX and EDGA combined and 
routing 20,000,000 shares or more through EDGA; or (iii) adding 
10,000,000 shares or more of liquidity to EDGX, so long as added 
liquidity on EDGX is at least 5,000,000 shares greater than the 
previous calendar month. The rebate described above is referred to as a 
``Super Tier Rebate'' on the DECN fee schedule. The ISE Members that 
add liquidity in Tape A and Tape C securities and don't meet the Super 
Tier criteria, as set forth above, receive a rebate of $0.0025 per 
share for securities that are priced at or above $1.00.
    The Exchange is proposing to make certain corresponding changes so 
that the changes described above are reflected throughout the DECN fee 
schedule. Such changes consist of: (1) Deleting the boxed text which 
discusses the June Promotion; (2) deleting language out of footnote 1 
that discusses the June Promotion; and (3) changing the rebates 
associated with flags ``V'' and ``Y'' from $0.003 to $0.0025 per share 
for securities priced at or above $1.00.
    Additionally, the Exchange is proposing to adopt a new Ultra Tier 
Rebate, as defined below, whereby ISE Members will be provided a 
$0.0032 rebate per share for securities priced at or above $1.00 when 
ISE Members add liquidity on EDGX if the attributed MPID satisfies one 
of the following criteria on a daily basis, measured monthly: (i) 
Adding 100,000,000 shares or more on EDGX; or (ii) adding 50,000,000 
shares or more of liquidity to EDGX, so long as added liquidity on EDGX 
is at least 20,000,000 shares greater than the previous calendar month. 
The liquidity required to qualify for criterion (i) above shall be 
adjusted in the event that Total Consolidated Volume (``TCV''), defined 
as volume reported by all exchanges and trade reporting facilities to 
the consolidated transaction reporting plans for Tape A, B and C 
securities, falls below an average of 10,000,000,000 shares per day 
(``Target TCV'') in the relevant calendar month. In such circumstances, 
the adjusted amount of liquidity required to qualify under criterion 
(i) above shall be the percentage that actual reported TCV represents 
of Target TCV, multiplied by 100,000,000. The rebate described above is 
referred to as an ``Ultra Tier Rebate'' on the DECN fee schedule. The 
Exchange is adopting the Ultra Tier Rebate in an effort to increase 
volume on DECN.
    The Exchange is also proposing to adopt a fee of $0.0015 per share 
for securities priced at or above $1.00 anytime the ROUQ or ROUC 
routing strategy is used on either EDGX or EDGA and this routing 
strategy results in an execution by an Enhanced Liquidity Provider 
(``ELP''). The ROUQ routing strategy enables ISE Members to interact 
with the order book and ELPs who elect to receive Indications of 
Interest (``IOIs'') from DECN. ROUC designated orders are multi-
destination orders that sweep the order book and ELP destinations 
before any unfilled quantity is routed to low cost destinations. 
Accordingly, the Exchange is assessing this fee for ISE Members' 
utilization of these services.
    The Exchange is proposing to make certain clarifying changes to the 
DECN fee schedule. First, the Exchange is proposing to collapse two 
references to EGDA fees into a single line item because there is no 
need to break out the fees by Tape as the fees are consistent 
regardless of which Tape the securities are reported on. Second, the 
Exchange is adding clarifying text to specify that orders routed to 
Nasdaq are assessed a fee of $0.003 per share for securities priced at 
or above $1.00 and to specify that this charge not only applies to 
orders routed to Nasdaq from EDGA, but also applies to orders routed to 
Nasdaq from EDGX.
    The fee changes discussed in this filing will become operative on 
July 1, 2009.
    Basis--The Exchange believes that the proposed rule change is 
consistent with the objectives of Section 6 of the Act,\6\ in general, 
and furthers the objectives of Section 6(b)(4),\7\ 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. In particular, reinstating the volume 
thresholds applicable to the Super Tier Rebates and offering an Ultra 
Tier Rebate provides pricing incentives to market participants who 
route orders to DECN, allowing DECN to remain competitive. ISE notes 
that DECN operates in a highly competitive market in which market 
participants can readily direct order flow to competing venues if they 
deem fee levels at a particular venue to be excessive. The proposed 
rule change reflects a competitive pricing structure designed to 
incentivize market participants to direct their order flow to DECN. ISE 
believes the fees and credits remain competitive with those charged by 
other venues and therefore continue to be reasonable and equitably 
allocated to those members that opt to direct orders to DECN rather 
than competing venues.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f.
    \7\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

B. Self-Regulatory Organization's Statement on Burden on Competition

    The proposed rule change does not 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

    The Exchange has not solicited, and does not intend to solicit, 
comments on this proposed rule change. The Exchange has not received 
any unsolicited written comments from members or other interested 
parties.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \8\ and Rule 19b-4(f)(2) \9\ thereunder. At any 
time within 60 days of the filing of such 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.
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 19b-4(f)(2).
---------------------------------------------------------------------------

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:

[[Page 33311]]

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-ISE-2009-43 on the subject line.

Paper Comments

     Send paper comments in triplicate to Elizabeth M. Murphy, 
Secretary, Securities and Exchange Commission, Station Place, 100 F 
Street, NE., Washington, DC 20549-1090.
    All submissions should refer to File Number SR-ISE-2009-43. 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 such filing also will be available for 
inspection and copying at the principal office of the ISE. 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 publicly available. All 
submissions should refer to File Number SR-ISE-2009-43 and should be 
submitted on or before July 31, 2009.
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    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
Elizabeth M. Murphy,
Secretary.
[FR Doc. E9-16316 Filed 7-9-09; 8:45 am]
BILLING CODE 8010-01-P
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