Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by NYSE Amex LLC Deleting Rule 409A-NYSE Amex Equities and Adopting New Rule 2266-NYSE Amex Equities To Conform to Proposed Rule Changes Submitted in a Companion Filing by the New York Stock Exchange LLC, 41778-41780 [E9-19731]
Download as PDF
41778
Federal Register / Vol. 74, No. 158 / Tuesday, August 18, 2009 / Notices
contract for P Orders sent to the
Exchange and $.30 per contract for P/A
Orders.10 The Exchange believes that
waiving the Firm Proprietary Options
Transaction Charge for members
executing facilitation orders pursuant to
Exchange Rule 1064 when such
members are trading in their own
account is consistent with rate
differentials that exist in the current fee
schedule and serves to encourage
members to facilitate customer order
flow.
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 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 either
solicited or received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing rule change
established or changes a due, fee, or
other charge imposed by the Exchange,
it has become effective pursuant to
Section 19(b)(3)(A) of the Act 11 and
subparagraph (f)(2) of Rule 19b–4 12
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:
jlentini on DSKJ8SOYB1PROD 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
10 See Securities Exchange Act Release No. 60210
(July 1, 2009), 74 FR 32989 (July 9, 2009) (SR–Phlx–
2009–53).
11 15 U.S.C. 78s(b)(3)(A).
12 17 CFR 240.19b–4(f)(2).
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Number SR–Phlx–2009–67 on the
subject line.
SECURITIES AND EXCHANGE
COMMISSION
Paper Comments
[Release No. 34–60458; File No. SR–
NYSEAMEX–2009–52]
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NYSE
Amex LLC Deleting Rule 409A—NYSE
Amex Equities and Adopting New Rule
All submission should refer to File
2266—NYSE Amex Equities To
Number SR–Phlx–2009–67. This file
Conform to Proposed Rule Changes
number should be included on the
Submitted in a Companion Filing by
subject line if e-mail is used. To help the the New York Stock Exchange LLC
Commission process and review your
August 7, 2009.
comments more efficiently, please use
Pursuant to Section 19(b)(1) 1 of the
only one method. The Commission will
Securities Exchange Act of 1934 (the
post all comments on the Commission’s
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
Internet Web site (https://www.sec.gov/
notice is hereby given that on July 28,
rules/sro.shtml). Copies of the
2009, NYSE Amex LLC (the ‘‘Exchange’’
submission, all subsequent
or ‘‘NYSE Amex’’) filed with the
amendments, all written statements
Securities and Exchange Commission
with respect to the proposed rule
(the ‘‘Commission’’) the proposed rule
change that are filed with the
change as described in Items I and II
Commission, and all written
below, which Items have been prepared
communications relating to the
by the self-regulatory organization. The
proposed rule change between the
Commission is publishing this notice to
Commission and any person, other than solicit comments on the proposed rule
those that may be withheld from the
change from interested persons.
public in accordance with the
I. Self-Regulatory Organization’s
provisions of 5 U.S.C. 552, will be
Statement of the Terms of Substance of
available for inspection and copying in
the Proposed Rule Change
the Commission’s Public Reference
The Exchange, formerly the American
Room, 100 F Street, NE., Washington,
Stock Exchange LLC and NYSE
DC 20549, on official business days
4
between the hours of 10 a.m. and 3 p.m. Alternext US LLC, proposes to delete
Rule 409A—NYSE Amex Equities and
Copies of the filing also will be available
to adopt new Rule 2266—NYSE Amex
for inspection and copying at the
Equities to conform to proposed rule
principal office of Phlx. All comments
changes submitted in a companion
received will be posted without change;
filing by the New York Stock Exchange
the Commission does not edit personal
LLC (‘‘NYSE’’).5 The text of the
identifying information from
proposed rule change is available at the
submissions. You should submit only
Exchange, the Commission’s Public
information that you with to make
Reference Room, and https://
available publicly. All submissions
www.nyse.com.
should refer to File Number SR–Phlx–
2009–67 and should be submitted on or II. Self-Regulatory Organization’s
Statement of the Purpose of, and
before September 8, 2009.
Statutory Basis for, the Proposed Rule
For the Commission, by the Division of
Change
Trading and Markets, pursuant to delegated
In its filing with the Commission, the
13
authority.
self-regulatory organization included
Florence E. Harmon,
statements concerning the purpose of,
Deputy Secretary.
and basis for, the proposed rule change
[FR Doc. E9–19733 Filed 8–17–09; 8:45 am]
and discussed any comments it received
on the proposed rule change. The text
BILLING CODE 8010–01–P
of those statements may be examined at
the places specified in Item IV below.
1 15
U.S.C. 78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
4 The Exchange changed its name to NYSE Amex
in March 2009. See Securities Exchange Act Release
No. 59575 (March 13, 2009), 74 FR 11803 (March
19, 2009) (SR–NYSEALTR–2009–24).
5 See SR–NYSE–2009–76, formally submitted on
July 28, 2009.
2 15
13 17
PO 00000
CFR 200.30–3(a)(12).
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18AUN1
Federal Register / Vol. 74, No. 158 / Tuesday, August 18, 2009 / Notices
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
Amex Equities Rules, which became
operative on December 1, 2008, are
substantially identical to the current
NYSE Rules 1–1004 and the Exchange
continues to update the NYSE Amex
Equities Rules as necessary to conform
with rule changes to corresponding
NYSE Rules filed by the NYSE.
As described more fully in a related
rule filing,6 NYSE Euronext acquired
The Amex Membership Corporation
(‘‘AMC’’) pursuant to an Agreement and
Plan of Merger, dated January 17, 2008
(the ‘‘Merger’’). In connection with the
Merger, the Exchange’s predecessor, the
American Stock Exchange LLC, a
subsidiary of AMC, became a subsidiary
of NYSE Euronext called NYSE
Alternext US LLC, and continues to
operate as a national securities exchange
registered under Section 6 of the Act.7
The effective date of the Merger was
October 1, 2008.
In connection with the Merger, on
December 1, 2008, the Exchange
relocated all equities trading conducted
on the Exchange legacy trading systems
and facilities located at 86 Trinity Place,
New York, New York, to trading systems
and facilities located at 11 Wall Street,
New York, New York (the ‘‘Equities
Relocation’’). The Exchange’s equity
trading systems and facilities at 11 Wall
Street (the ‘‘NYSE Amex Trading
Systems’’) are operated by the NYSE on
behalf of the Exchange.8
As part of the Equities Relocation,
NYSE Amex adopted NYSE Rules 1–
1004, subject to such changes as
necessary to apply the Rules to the
Exchange, as the NYSE Amex Equities
Rules to govern trading on the NYSE
Amex Trading Systems.9 The NYSE
Proposed Conforming Amendments to
NYSE Amex Equities Rules
As noted above, the Exchange
proposes to delete Rule 409A—NYSE
Amex Equities and to adopt new Rule
2266—NYSE Amex Equities to conform
to proposed rule changes submitted in
a companion filing by the NYSE. As
discussed in more detail below, the
NYSE is filing the proposed rule
changes to harmonize these NYSE Rules
with changes to corresponding
Incorporated NYSE Rules filed by the
Financial Industry Regulatory
Authority, Inc. (‘‘FINRA’’) and approved
by the Commission.10 Unless
specifically noted, the Exchange is
proposing to adopt the NYSE’s proposed
rule changes in the form that they have
been approved for filing by the
Commission, subject to such technical
changes as are necessary to apply the
changes to the Exchange. The Exchange
further proposes that the operative date
of these rule changes be the same as the
operative date of the NYSE’s proposed
rule changes on which this filing is
based.
In relevant part, FINRA adopted
NASD Rule 2342 (SIPC Information) as
consolidated FINRA Rule 2266 and,
because it is substantively similar to this
new rule, deleted FINRA Incorporated
NYSE Rule 409A (SIPC Disclosures).11
FINRA Rule 2266 requires all FINRA
members, except for those members that
are not Securities Investor Protection
Corporation (‘‘SIPC’’) members or whose
business consists exclusively of the sale
of investments that are not subject to
SIPC protection, to advise all new
customers in writing at the time they
open an account that they may obtain
information about SIPC by contacting
SIPC and to provide such customers
6 See Securities Exchange Act Release No. 58673
(September 29, 2008), 73 FR 57707 (October 3,
2008) (SR–NYSE–2008–60 and SR–Amex 2008–62)
(approving the Merger).
7 15 U.S.C. 78f.
8 See Securities Exchange Act Release No. 58705
(October 1, 2008), 73 FR 58995 (October 8, 2008)
(SR–Amex 2008–63) (approving the Equities
Relocation).
9 See Securities Exchange Act Release Nos. 58705
(October 1, 2008), 73 FR 58995 (October 8, 2008)
(SR–Amex 2008–63); 58833 (October 22, 2008), 73
FR 64642 (October 30, 2008) (SR–NYSE–2008–106);
58839 (October 23, 2008), 73 FR 64645 (October 30,
2008) (SR–NYSEALTR–2008–03); 59022 (November
26, 2008), 73 FR 73683 (December 3, 2008) (SR–
NYSEALTR–2008–10); and 59027 (November 28,
2008), 73 FR 73681 (December 3, 2008) (SR–
NYSEALTR–2008–11).
10 See Securities Exchange Act Release No. 59987
(May 27, 2009), 74 FR 26902 (June 4, 2009) (order
approving FINRA 2009–016).
11 In its filing, FINRA also adopted NASD Rules
2130 (Obtaining an Order of Expungement of
Customer Dispute Information from the Central
Registration Depository (CRD System)), 2810 (Direct
Participation Programs) and 3115 (Requirements for
Alternative Trading Systems to Record and
Transmit Order and Execution Information for
Security Futures) as consolidated FINRA Rules
2080, 2310 and 4551, respectively. See Securities
Exchange Act Release No. 59987 (May 27, 2009), 74
FR 26902 (June 4, 2009). Neither the Exchange nor
NYSE is adopting these FINRA Rules.
1. Purpose
The purpose of the proposed rule
changes is to delete Rule 409A—NYSE
Amex Equities and to adopt new Rule
2266—NYSE Amex Equities to conform
to proposed rule changes submitted in
a companion filing by the NYSE.
jlentini on DSKJ8SOYB1PROD with NOTICES
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41779
with SIPC’s contact information.12 Such
information must also be provided
annually to all existing customers.
Where both an introducing firm and a
clearing firm service the same account,
the firms may assign these requirements
to one or the other firm.13
NYSE correspondingly proposes to
delete NYSE Rule 409A and to adopt
new Rule 2266 to conform to FINRA’s
approved amendments to its Rules. As
proposed, NYSE Rule 2266 adopts the
same language as FINRA Rule 2266,
except for substituting for or adding to,
as needed, the term ‘‘member
organization’’ for the term ‘‘member’’,
and making corresponding technical
changes. As with the consolidated
FINRA Rule, under proposed NYSE
Rule 2266 Exchange members and
member organizations will be required
to provide SIPC disclosures to all new
customers upon opening an account and
to existing customers on an annual
basis.
The Exchange proposes to
correspondingly delete Rule 409A—
NYSE Amex Equities and to adopt new
Rule 2266—NYSE Amex Equities in the
form proposed by the NYSE, subject to
adding ‘‘-NYSE Amex Equities’’ to the
title of the Rule.
2. Statutory Basis
The Exchange believes that the
proposed rule changes are consistent
with Section 6(b) of the Act,14 in
general, and further the objectives of
Section 6(b)(5) of the Act,15 in
particular, in that they are 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 proposed rule
changes also support the principles of
Section 11A(a)(1) 16 of the Act in that
they seek to ensure the economically
efficient execution of securities
transactions and fair competition among
brokers and dealers and among
exchange markets.
The Exchange believes that the
proposed rule changes support the
objectives of the Act by providing
greater harmonization among NYSE
Rules, NYSE Amex Equities Rules and
12 FINRA Incorporated NYSE Rule 409A did not
contain these exclusions. See Securities Exchange
Act Release No. 59987 (May 27, 2009), 74 FR 26902
(June 4, 2009).
13 See Securities Exchange Act Release No. 59987
(May 27, 2009), 74 FR 26902 (June 4, 2009).
14 15 U.S.C. 78f(b).
15 15 U.S.C. 78f(b)(5).
16 15 U.S.C. 78k–1(a)(1).
E:\FR\FM\18AUN1.SGM
18AUN1
41780
Federal Register / Vol. 74, No. 158 / Tuesday, August 18, 2009 / Notices
FINRA Rules of similar purpose,
resulting in less burdensome and more
efficient regulatory compliance for their
common members and member
organizations. To the extent the
Exchange has proposed changes that
differ from the NYSE version of these
Rules, such changes are technical in
nature and do not change the substance
of the proposed NYSE Amex Equities
Rules.
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 Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A)(iii) of the Act 17 and Rule
19b–4(f)(6) thereunder.18 Because the
proposed rule change does not: (i)
Significantly affect the protection of
investors or the public interest; (ii)
impose any significant burden on
competition; and (iii) become operative
prior to 30 days from the date on which
it was filed, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.19
A proposed rule change filed under
Rule 19b–4(f)(6) 20 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),21 the
Commission may designate a shorter
time if such action is consistent with the
protection of investors and the public
interest. The Exchange has asked the
17 15
U.S.C. 78s(b)(3)(A)(iii).
CFR 240.19b–4(f)(6).
19 17 CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6) requires a self-regulatory organization to give
the Commission written notice of its intent to file
the proposed rule change at least five business days
prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has satisfied the
requirement.
20 17 CFR 240.19b–4(f)(6).
21 17 CFR 240.19b–4(f)(6)(iii).
jlentini on DSKJ8SOYB1PROD with NOTICES
18 17
VerDate Nov<24>2008
16:30 Aug 17, 2009
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Commission to waive the 30-day
operative delay so that the proposal may
become operative immediately upon
filing. The Commission believes
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest.
Acceleration of the operative date will
allow the immediate change of the
NYSE Amex’s rule to make it consistent
with the FINRA rule, thereby making
compliance for dual members less
burdensome. For these reasons, the
Commission designates the proposal to
be effective and operative upon filing.22
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.
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 also will be available
for inspection and copying at the
principal office of NYSE.
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–NYSEAMEX–2009–52 and
should be submitted on or before
September 8, 2009.
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:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.23
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–19731 Filed 8–17–09; 8:45 am]
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–NYSEAMEX–2009–52 on
the subject line.
DEPARTMENT OF TRANSPORTATION
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–NYSEAMEX–2009–52. 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
DOT.
22 For purposes only of waiving the 30-day
operative delay of the proposal, the Commission
has considered the proposed rule’s impact on
efficiency, competition and capital formation. 15
U.S.C. 78c(f).
PO 00000
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BILLING CODE 8010–01–P
Federal Transit Administration
[FTA Docket No. FTA–2009–0041]
Agency Information Collection Activity
Under OMB Review
AGENCY:
ACTION:
Federal Transit Administration,
Notice of request for comments.
SUMMARY: The Federal Transit
Administration invites public comment
about our intention to request the Office
of Management and Budget’s (OMB) to
approve the following new information
collection: 49 U.S.C. Section 5339—
Alternatives Analysis Program (OMB
Number: 2132–NEW). The Federal
Register Notice with a 60-day comment
period soliciting comments was
published on May 13, 2009.
DATES: Comments must be submitted
before September 17, 2009. A comment
to OMB is most effective if OMB
receives it within 30 days of
publication.
FOR FURTHER INFORMATION CONTACT:
LaStar Matthews, Office of
Administration, Office of Management
Planning, (202) 366–2295.
SUPPLEMENTARY INFORMATION:
23 17
E:\FR\FM\18AUN1.SGM
CFR 200.30–3(a)(12).
18AUN1
Agencies
[Federal Register Volume 74, Number 158 (Tuesday, August 18, 2009)]
[Notices]
[Pages 41778-41780]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-19731]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-60458; File No. SR-NYSEAMEX-2009-52]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by NYSE Amex LLC Deleting Rule
409A--NYSE Amex Equities and Adopting New Rule 2266--NYSE Amex Equities
To Conform to Proposed Rule Changes Submitted in a Companion Filing by
the New York Stock Exchange LLC
August 7, 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 July 28, 2009, NYSE Amex LLC (the ``Exchange'' or ``NYSE
Amex'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
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, formerly the American Stock Exchange LLC and NYSE
Alternext US LLC,\4\ proposes to delete Rule 409A--NYSE Amex Equities
and to adopt new Rule 2266--NYSE Amex Equities to conform to proposed
rule changes submitted in a companion filing by the New York Stock
Exchange LLC (``NYSE'').\5\ The text of the proposed rule change is
available at the Exchange, the Commission's Public Reference Room, and
https://www.nyse.com.
---------------------------------------------------------------------------
\4\ The Exchange changed its name to NYSE Amex in March 2009.
See Securities Exchange Act Release No. 59575 (March 13, 2009), 74
FR 11803 (March 19, 2009) (SR-NYSEALTR-2009-24).
\5\ See SR-NYSE-2009-76, formally submitted on July 28, 2009.
---------------------------------------------------------------------------
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.
[[Page 41779]]
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 purpose of the proposed rule changes is to delete Rule 409A--
NYSE Amex Equities and to adopt new Rule 2266--NYSE Amex Equities to
conform to proposed rule changes submitted in a companion filing by the
NYSE.
Background
As described more fully in a related rule filing,\6\ NYSE Euronext
acquired The Amex Membership Corporation (``AMC'') pursuant to an
Agreement and Plan of Merger, dated January 17, 2008 (the ``Merger'').
In connection with the Merger, the Exchange's predecessor, the American
Stock Exchange LLC, a subsidiary of AMC, became a subsidiary of NYSE
Euronext called NYSE Alternext US LLC, and continues to operate as a
national securities exchange registered under Section 6 of the Act.\7\
The effective date of the Merger was October 1, 2008.
---------------------------------------------------------------------------
\6\ See Securities Exchange Act Release No. 58673 (September 29,
2008), 73 FR 57707 (October 3, 2008) (SR-NYSE-2008-60 and SR-Amex
2008-62) (approving the Merger).
\7\ 15 U.S.C. 78f.
---------------------------------------------------------------------------
In connection with the Merger, on December 1, 2008, the Exchange
relocated all equities trading conducted on the Exchange legacy trading
systems and facilities located at 86 Trinity Place, New York, New York,
to trading systems and facilities located at 11 Wall Street, New York,
New York (the ``Equities Relocation''). The Exchange's equity trading
systems and facilities at 11 Wall Street (the ``NYSE Amex Trading
Systems'') are operated by the NYSE on behalf of the Exchange.\8\
---------------------------------------------------------------------------
\8\ See Securities Exchange Act Release No. 58705 (October 1,
2008), 73 FR 58995 (October 8, 2008) (SR-Amex 2008-63) (approving
the Equities Relocation).
---------------------------------------------------------------------------
As part of the Equities Relocation, NYSE Amex adopted NYSE Rules 1-
1004, subject to such changes as necessary to apply the Rules to the
Exchange, as the NYSE Amex Equities Rules to govern trading on the NYSE
Amex Trading Systems.\9\ The NYSE Amex Equities Rules, which became
operative on December 1, 2008, are substantially identical to the
current NYSE Rules 1-1004 and the Exchange continues to update the NYSE
Amex Equities Rules as necessary to conform with rule changes to
corresponding NYSE Rules filed by the NYSE.
---------------------------------------------------------------------------
\9\ See Securities Exchange Act Release Nos. 58705 (October 1,
2008), 73 FR 58995 (October 8, 2008) (SR-Amex 2008-63); 58833
(October 22, 2008), 73 FR 64642 (October 30, 2008) (SR-NYSE-2008-
106); 58839 (October 23, 2008), 73 FR 64645 (October 30, 2008) (SR-
NYSEALTR-2008-03); 59022 (November 26, 2008), 73 FR 73683 (December
3, 2008) (SR-NYSEALTR-2008-10); and 59027 (November 28, 2008), 73 FR
73681 (December 3, 2008) (SR-NYSEALTR-2008-11).
---------------------------------------------------------------------------
Proposed Conforming Amendments to NYSE Amex Equities Rules
As noted above, the Exchange proposes to delete Rule 409A--NYSE
Amex Equities and to adopt new Rule 2266--NYSE Amex Equities to conform
to proposed rule changes submitted in a companion filing by the NYSE.
As discussed in more detail below, the NYSE is filing the proposed rule
changes to harmonize these NYSE Rules with changes to corresponding
Incorporated NYSE Rules filed by the Financial Industry Regulatory
Authority, Inc. (``FINRA'') and approved by the Commission.\10\ Unless
specifically noted, the Exchange is proposing to adopt the NYSE's
proposed rule changes in the form that they have been approved for
filing by the Commission, subject to such technical changes as are
necessary to apply the changes to the Exchange. The Exchange further
proposes that the operative date of these rule changes be the same as
the operative date of the NYSE's proposed rule changes on which this
filing is based.
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\10\ See Securities Exchange Act Release No. 59987 (May 27,
2009), 74 FR 26902 (June 4, 2009) (order approving FINRA 2009-016).
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In relevant part, FINRA adopted NASD Rule 2342 (SIPC Information)
as consolidated FINRA Rule 2266 and, because it is substantively
similar to this new rule, deleted FINRA Incorporated NYSE Rule 409A
(SIPC Disclosures).\11\ FINRA Rule 2266 requires all FINRA members,
except for those members that are not Securities Investor Protection
Corporation (``SIPC'') members or whose business consists exclusively
of the sale of investments that are not subject to SIPC protection, to
advise all new customers in writing at the time they open an account
that they may obtain information about SIPC by contacting SIPC and to
provide such customers with SIPC's contact information.\12\ Such
information must also be provided annually to all existing customers.
Where both an introducing firm and a clearing firm service the same
account, the firms may assign these requirements to one or the other
firm.\13\
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\11\ In its filing, FINRA also adopted NASD Rules 2130
(Obtaining an Order of Expungement of Customer Dispute Information
from the Central Registration Depository (CRD System)), 2810 (Direct
Participation Programs) and 3115 (Requirements for Alternative
Trading Systems to Record and Transmit Order and Execution
Information for Security Futures) as consolidated FINRA Rules 2080,
2310 and 4551, respectively. See Securities Exchange Act Release No.
59987 (May 27, 2009), 74 FR 26902 (June 4, 2009). Neither the
Exchange nor NYSE is adopting these FINRA Rules.
\12\ FINRA Incorporated NYSE Rule 409A did not contain these
exclusions. See Securities Exchange Act Release No. 59987 (May 27,
2009), 74 FR 26902 (June 4, 2009).
\13\ See Securities Exchange Act Release No. 59987 (May 27,
2009), 74 FR 26902 (June 4, 2009).
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NYSE correspondingly proposes to delete NYSE Rule 409A and to adopt
new Rule 2266 to conform to FINRA's approved amendments to its Rules.
As proposed, NYSE Rule 2266 adopts the same language as FINRA Rule
2266, except for substituting for or adding to, as needed, the term
``member organization'' for the term ``member'', and making
corresponding technical changes. As with the consolidated FINRA Rule,
under proposed NYSE Rule 2266 Exchange members and member organizations
will be required to provide SIPC disclosures to all new customers upon
opening an account and to existing customers on an annual basis.
The Exchange proposes to correspondingly delete Rule 409A--NYSE
Amex Equities and to adopt new Rule 2266--NYSE Amex Equities in the
form proposed by the NYSE, subject to adding ``-NYSE Amex Equities'' to
the title of the Rule.
2. Statutory Basis
The Exchange believes that the proposed rule changes are consistent
with Section 6(b) of the Act,\14\ in general, and further the
objectives of Section 6(b)(5) of the Act,\15\ in particular, in that
they are 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 proposed rule changes also support the principles
of Section 11A(a)(1) \16\ of the Act in that they seek to ensure the
economically efficient execution of securities transactions and fair
competition among brokers and dealers and among exchange markets.
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\14\ 15 U.S.C. 78f(b).
\15\ 15 U.S.C. 78f(b)(5).
\16\ 15 U.S.C. 78k-1(a)(1).
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The Exchange believes that the proposed rule changes support the
objectives of the Act by providing greater harmonization among NYSE
Rules, NYSE Amex Equities Rules and
[[Page 41780]]
FINRA Rules of similar purpose, resulting in less burdensome and more
efficient regulatory compliance for their common members and member
organizations. To the extent the Exchange has proposed changes that
differ from the NYSE version of these Rules, such changes are technical
in nature and do not change the substance of the proposed NYSE Amex
Equities Rules.
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 Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \17\ and Rule 19b-4(f)(6) thereunder.\18\
Because the proposed rule change does not: (i) Significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.\19\
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\17\ 15 U.S.C. 78s(b)(3)(A)(iii).
\18\ 17 CFR 240.19b-4(f)(6).
\19\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change at
least five business days prior to the date of filing of the proposed
rule change, or such shorter time as designated by the Commission.
The Exchange has satisfied the requirement.
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A proposed rule change filed under Rule 19b-4(f)(6) \20\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\21\ the Commission
may designate a shorter time if such action is consistent with the
protection of investors and the public interest. The Exchange has asked
the Commission to waive the 30-day operative delay so that the proposal
may become operative immediately upon filing. The Commission believes
waiving the 30-day operative delay is consistent with the protection of
investors and the public interest. Acceleration of the operative date
will allow the immediate change of the NYSE Amex's rule to make it
consistent with the FINRA rule, thereby making compliance for dual
members less burdensome. For these reasons, the Commission designates
the proposal to be effective and operative upon filing.\22\
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\20\ 17 CFR 240.19b-4(f)(6).
\21\ 17 CFR 240.19b-4(f)(6)(iii).
\22\ For purposes only of waiving the 30-day operative delay of
the proposal, the Commission has considered the proposed rule's
impact on efficiency, competition and capital formation. 15 U.S.C.
78c(f).
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At any time within 60 days of the filing of the proposed rule
change, the Commission may summarily abrogate such rule change if it
appears to the Commission that such action is necessary or appropriate
in the public interest, for the protection of investors, or otherwise
in furtherance of the purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-NYSEAMEX-2009-52 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-NYSEAMEX-2009-52. 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 also will be available for
inspection and copying at the principal office of NYSE.
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-NYSEAMEX-2009-
52 and should be submitted on or before September 8, 2009.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\23\
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\23\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-19731 Filed 8-17-09; 8:45 am]
BILLING CODE 8010-01-P