Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Modify Fees for Members Using the NASDAQ Market Center, 41955-41957 [E9-19894]
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Federal Register / Vol. 74, No. 159 / Wednesday, August 19, 2009 / Notices
Number SR–CBOE–2009–057 on the
subject line.
SECURITIES AND EXCHANGE
COMMISSION
Paper Comments
[Release No. 34–60496; File No. PCAOB–
2008–05]
• 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–2009–057. 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 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–2009–057 and
should be submitted on or before
September 9, 2009.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.8
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–19893 Filed 8–18–09; 8:45 am]
jlentini on DSKJ8SOYB1PROD with NOTICES
BILLING CODE 8010–01–P
8 17
16:53 Aug 18, 2009
August 13, 2009.
I. Introduction
On August 4, 2008, the Public
Company Accounting Oversight Board
(the ‘‘Board’’ or the ‘‘PCAOB’’) filed
with the Securities and Exchange
Commission (the ‘‘Commission’’)
proposed rules (File No. PCAOB–2008–
05) on succeeding to the status of a
predecessor firm, pursuant to Section
107 of the Sarbanes-Oxley Act of 2002
(the ‘‘Act’’). Notice of the proposed rules
was published in the Federal Register
on June 18, 2009.1 The Commission did
not receive any comment letters relating
to this rule proposal. For the reasons
discussed below, the Commission is
granting approval of the proposed rules.
II. Description
On July 28, 2008, the Board adopted
rules and submitted to the Commission
a rule proposal consisting of two new
rules (PCAOB Rules 2108–2109) and a
new form, Form 4, related to succeeding
to the registration status of a
predecessor firm. The proposed rules
allow, in certain circumstances, a
registered public accounting firm’s
registration status to continue with a
firm that survives a merger or other
change in the registered firm’s legal
form. If approved by the Commission,
the rules on succession reporting would
take effect 60 days after Commission
approval. For firms that had a change in
legal form, or that resulted from an
acquisition or combination, in the
period between the firm’s registration
and the effective date of the rules, those
firms will be required to report the
change on Form 4 within 14 days after
the Commission’s approval date.
The proposed rules provide the
opportunity for continuity of a firm’s
registration in two categories: (1)
changes related to a firm’s legal form of
organization or jurisdiction; and (2)
transactions in which a registered firm
is acquired by an unregistered entity or
combines with other entities to form a
new legal entity. The events to which
the rules apply are events for which a
firm plans, not unanticipated events to
which a firm reacts. The proposed rules
1 See Release No. 34–60108 (June 12, 2009); 74 FR
29005 (June 18, 2009).
CFR 200.30–3(a)(12).
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41955
are designed to facilitate a firm’s ability
to factor into its planning, and to predict
with certainty, whether and how
continuity of registration can be
maintained.
The proposed rules set a deadline of
14 days for a firm to file a report on
Form 4, and require certain information
and representations in the form. If the
firm files the form within the required
timeframe, provides the required
representations, and certifies that all
required information is included, then
continuity of registration is automatic,
without the need for separate Board
action. The rules and Form 4 also build
in safeguards to ensure that the Form 1
registration process is not circumvented
in circumstances where that process is
more appropriate than Form 4
succession.
III. Discussion
The Commission did not receive any
comment letters relating to the rule
proposal.
IV. Conclusion
The Commission finds that the
proposed PCAOB rules on succeeding to
the registration status of a predecessor
firm are consistent with the
requirements of the Act and the
securities laws and are necessary or
appropriate in the public interest or for
the protection of investors.
It is therefore ordered, pursuant to
Section 107 of the Act and Section
19(b)(2) of the Exchange Act, that
proposed PCAOB Rules on Succeeding
to the Registration Status of a
Predecessor Firm (File No. PCAOB–
2008–05) be and hereby are approved.
By the Commission.
Elizabeth M. Murphy,
Secretary.
[FR Doc. E9–19839 Filed 8–18–09; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–60492; File No. SR–
NASDAQ–2009–074]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Modify Fees
for Members Using the NASDAQ
Market Center
August 12, 2009.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
E:\FR\FM\19AUN1.SGM
19AUN1
41956
Federal Register / Vol. 74, No. 159 / Wednesday, August 19, 2009 / Notices
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on July 31,
2009, The NASDAQ Stock Market LLC
(‘‘NASDAQ’’) 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 NASDAQ. Pursuant to
Section 19(b)(3)(A)(ii) of the Act 3 and
Rule 19b–4(f)(2) thereunder,4 NASDAQ
has designated this proposal as
establishing or changing a due, fee, or
other charge, which renders the
proposed rule change effective upon
filing.
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 the Substance
of the Proposed Rule Change
NASDAQ proposes to modify pricing
for NASDAQ members using the
NASDAQ Market Center. NASDAQ will
implement this rule change on August
3, 2009. The text of the proposed rule
change is available at https://
nasdaqomx.cchwallstreet.com/, at
NASDAQ’s principal office, and at the
Commission’s Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
NASDAQ 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.
NASDAQ has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant aspects of such
statements.
jlentini on DSKJ8SOYB1PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
NASDAQ is proposing several
changes to the fees associated with the
use of the NASDAQ Market Center.
First, NASDAQ is modifying the fees
applicable to routing orders to NASDAQ
OMX BX. Currently, NASDAQ passes
through all fees charged and rebates
provided by NASDAQ OMX BX with
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
respect to orders routed to it. Pursuant
to the change, NASDAQ will provide
this pass-through only with respect to
orders that either (i) check the NASDAQ
book prior to routing and are then
directed to route first to NASDAQ OMX
BX and then to NYSE or NYSE Amex;
or (ii) route to destinations other than
NASDAQ prior to checking the
NASDAQ book but that are designated
to return to NASDAQ after being routed.
For directed orders that route to
NASDAQ OMX BX, NASDAQ will
charge $0.0002 per share executed in
the case of orders for securities listed on
NASDAQ or NYSE, and $0.0022 per
share executed in the case of orders for
securities listed on other exchanges. For
other orders routed to NASDAQ OMX
BX, NASDAQ will charge $0.0026 per
share executed.
Second, for securities listed on
NASDAQ or NYSE, NASDAQ is
reducing the volume level required for
a member to qualify for NASDAQ’s most
favorable ‘‘take rate’’ for the months of
August and September 2009. Currently,
a member pays a fee of $0.0027 per
share executed if it has an average daily
volume in all securities during the
month of (i) more than 150 million
shares of liquidity routed, removed,
and/or provided, and (ii) more than 35
million shares of liquidity provided.
During August and September 2009, the
required volume of shares of liquidity
routed, removed, and/or provided will
be reduced to 140 million shares, with
the required volume of liquidity
provided remaining unchanged. The
change reflects expectations of overall
lower trading volumes during these
months.
Third, NASDAQ is eliminating
special fees for orders that execute at
NYSE Arca as odd-lot transactions. The
change reflects an announcement by
NYSE Arca that it will itself eliminate
special fees applicable to odd-lot
transactions.5 Similarly, NASDAQ is
modifying special fees applicable to
routed orders that execute at NYSE as
odd-lot transactions. Specifically, a
special fee of $0.0005 per share
executed for orders that execute at
NYSE as odd-lots after checking the
NASDAQ book will be eliminated; thus,
such orders would pay the normal
routing fees applicable to orders that are
not odd lots. Fees applicable to orders
that execute at NYSE as odd-lots
without checking the NASDAQ book
remain unchanged.
Fourth, NASDAQ is modifying its fees
for orders routed to NYSE that execute
in its opening or closing process to
2 17
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16:53 Aug 18, 2009
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Arca_Fee_Schedule_Update.pdf.
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reflect announced changes to NYSE’s
pricing for such orders.6 The fee for
‘‘market at the close’’ and ‘‘limit at the
close’’ orders will be $0.0007 per share
executed, and the fee for ‘‘at the
opening’’ or ‘‘at the opening only’’
orders will be $0.0005, subject to a
monthly cap of $10,000 per member.
Fifth, NASDAQ is adding language to
paragraph (a) of Rule 7018 to clarify that
for purposes of determining a member’s
shares of liquidity routed, orders that do
not attempt to execute in the NASDAQ
Market Center for the full size of the
order prior to routing are not counted.
NASDAQ is also deleting obsolete
language pertaining to calculating a
member’s volume during the month of
July 2009. Finally, NASDAQ is making
several changes to the text of Rule 7018
to make the punctuation and
phraseology of the rule consistent
throughout.
2. Statutory Basis
NASDAQ believes that the proposed
rule change is consistent with the
provisions of Section 6 of the Act,7 in
general, and with Section 6(b)(4) of the
Act,8 in particular, in that it provides for
the equitable allocation of reasonable
dues, fees and other charges among
members and issuers and other persons
using any facility or system which
NASDAQ operates or controls.
NASDAQ is reducing the level of
liquidity required to receive a favorable
take rate for orders in stocks listed on
NASDAQ or NYSE, resulting in
potential price reductions for members
with large volumes of liquidity routed,
accessed, and/or provided. NASDAQ is
also reducing the circumstances under
which it will pass through charges and
rebates for orders routed to NASDAQ
OMX BX, and increasing fees for routing
certain orders that execute at NYSE as
odd-lots. Finally, NASDAQ is making
modifications in its routing charges to
reflect announced changes in the fees
that it will pay to route orders to NYSE
and NYSE Arca.
The impact of the changes upon the
net fees paid by a particular market
participant will depend upon a number
of variables, including its monthly
volume, the order types it uses, and the
prices of its quotes and orders (i.e., its
propensity to add or remove liquidity
and to set the best bid and offer).
NASDAQ notes that it operates in a
highly competitive market in which
market participants can readily direct
order flow to competing venues if they
6 See https://www.nyse.com/pdfs/
NYSE_Pricing_Change_20090801.pdf.
7 15 U.S.C. 78f.
8 15 U.S.C. 78f(b)(4).
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Federal Register / Vol. 74, No. 159 / Wednesday, August 19, 2009 / Notices
deem fee levels at a particular venue to
be excessive. NASDAQ believes that its
fees remain competitive with other
venues and are reasonable and equitably
allocated to those members on the basis
of whether they opt to direct orders to
NASDAQ.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
NASDAQ does not believe that the
proposed rule change will result in any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act, as amended.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were neither
solicited nor received.
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)(ii) of the Act 9 and
subparagraph (f)(2) of Rule 19b-4
thereunder.10 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.
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 NASDAQ. 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–NASDAQ–2009–074 and
should be submitted on or before
September 9, 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.11
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–19894 Filed 8–18–09; 8:45 am]
BILLING CODE 8010–01–P
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–NASDAQ–2009–074 on the
subject line.
jlentini on DSKJ8SOYB1PROD with NOTICES
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–NASDAQ–2009–074. This
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–60495; File No. SR–
NYSEArca–2009–72]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Implementing the
Schedule of Fees and Charges for
Exchange Services
August 13, 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 August
3, 2009, NYSE Arca, Inc. (‘‘NYSE Arca’’
11 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
or the ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the self-regulatory
organization. NYSE Arca filed the
proposal pursuant to Section
19(b)(3)(A) 4 of the Act and Rule 19b–
4(f)(2) 5 thereunder. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend the
section of its Schedule of Fees and
Charges for Exchange Services (the
‘‘Schedule’’). While changes to the
Schedule pursuant to this proposal will
be effective upon filing, the changes will
become operative on August 3, 2009.
The text of the proposed rule change is
attached as Ex.5 to the 19b–4 form. A
copy of this filing is available on the
Exchange’s Web site at https://
www.nyse.com, at the Exchange’s
principal office and at the Commission’s
Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
self-regulatory organization included
statements concerning the purpose of,
and basis for, the proposed rule change
and discussed any comments it received
on the proposed rule change. The text
of those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to make
multiple changes to its Schedule that
will take effect on August 3, 2009. A
more detailed description of the
proposed changes follows.
Closing Auctions:
The Exchange proposes to change the
fee charged for Market-On-Close and
Limit-On-Close Orders executed in the
closing auction from $0.0005 to $0.0007
per share. This change applies
universally throughout the Schedule to
1 15
9 15
U.S.C. 78s(b)(3)(a)(ii).
CFR 240.19b-4(f)(2).
10 17
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4 15
5 17
E:\FR\FM\19AUN1.SGM
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
19AUN1
Agencies
[Federal Register Volume 74, Number 159 (Wednesday, August 19, 2009)]
[Notices]
[Pages 41955-41957]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-19894]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-60492; File No. SR-NASDAQ-2009-074]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Modify Fees for Members Using the NASDAQ Market Center
August 12, 2009.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
[[Page 41956]]
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on July 31, 2009, The NASDAQ Stock Market LLC (``NASDAQ'') 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 NASDAQ. Pursuant to Section 19(b)(3)(A)(ii) of
the Act \3\ and Rule 19b-4(f)(2) thereunder,\4\ NASDAQ has designated
this proposal as establishing or changing a due, fee, or other charge,
which renders the proposed rule change effective upon filing.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
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 the
Substance of the Proposed Rule Change
NASDAQ proposes to modify pricing for NASDAQ members using the
NASDAQ Market Center. NASDAQ will implement this rule change on August
3, 2009. The text of the proposed rule change is available at https://nasdaqomx.cchwallstreet.com/, at NASDAQ's principal office, and at the
Commission's Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, NASDAQ 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. NASDAQ 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
1. Purpose
NASDAQ is proposing several changes to the fees associated with the
use of the NASDAQ Market Center. First, NASDAQ is modifying the fees
applicable to routing orders to NASDAQ OMX BX. Currently, NASDAQ passes
through all fees charged and rebates provided by NASDAQ OMX BX with
respect to orders routed to it. Pursuant to the change, NASDAQ will
provide this pass-through only with respect to orders that either (i)
check the NASDAQ book prior to routing and are then directed to route
first to NASDAQ OMX BX and then to NYSE or NYSE Amex; or (ii) route to
destinations other than NASDAQ prior to checking the NASDAQ book but
that are designated to return to NASDAQ after being routed. For
directed orders that route to NASDAQ OMX BX, NASDAQ will charge $0.0002
per share executed in the case of orders for securities listed on
NASDAQ or NYSE, and $0.0022 per share executed in the case of orders
for securities listed on other exchanges. For other orders routed to
NASDAQ OMX BX, NASDAQ will charge $0.0026 per share executed.
Second, for securities listed on NASDAQ or NYSE, NASDAQ is reducing
the volume level required for a member to qualify for NASDAQ's most
favorable ``take rate'' for the months of August and September 2009.
Currently, a member pays a fee of $0.0027 per share executed if it has
an average daily volume in all securities during the month of (i) more
than 150 million shares of liquidity routed, removed, and/or provided,
and (ii) more than 35 million shares of liquidity provided. During
August and September 2009, the required volume of shares of liquidity
routed, removed, and/or provided will be reduced to 140 million shares,
with the required volume of liquidity provided remaining unchanged. The
change reflects expectations of overall lower trading volumes during
these months.
Third, NASDAQ is eliminating special fees for orders that execute
at NYSE Arca as odd-lot transactions. The change reflects an
announcement by NYSE Arca that it will itself eliminate special fees
applicable to odd-lot transactions.\5\ Similarly, NASDAQ is modifying
special fees applicable to routed orders that execute at NYSE as odd-
lot transactions. Specifically, a special fee of $0.0005 per share
executed for orders that execute at NYSE as odd-lots after checking the
NASDAQ book will be eliminated; thus, such orders would pay the normal
routing fees applicable to orders that are not odd lots. Fees
applicable to orders that execute at NYSE as odd-lots without checking
the NASDAQ book remain unchanged.
---------------------------------------------------------------------------
\5\ See https://www.nyse.com/pdfs/Arca_Fee_Schedule_Update.pdf.
---------------------------------------------------------------------------
Fourth, NASDAQ is modifying its fees for orders routed to NYSE that
execute in its opening or closing process to reflect announced changes
to NYSE's pricing for such orders.\6\ The fee for ``market at the
close'' and ``limit at the close'' orders will be $0.0007 per share
executed, and the fee for ``at the opening'' or ``at the opening only''
orders will be $0.0005, subject to a monthly cap of $10,000 per member.
---------------------------------------------------------------------------
\6\ See https://www.nyse.com/pdfs/NYSE_Pricing_Change_20090801.pdf.
---------------------------------------------------------------------------
Fifth, NASDAQ is adding language to paragraph (a) of Rule 7018 to
clarify that for purposes of determining a member's shares of liquidity
routed, orders that do not attempt to execute in the NASDAQ Market
Center for the full size of the order prior to routing are not counted.
NASDAQ is also deleting obsolete language pertaining to calculating a
member's volume during the month of July 2009. Finally, NASDAQ is
making several changes to the text of Rule 7018 to make the punctuation
and phraseology of the rule consistent throughout.
2. Statutory Basis
NASDAQ believes that the proposed rule change is consistent with
the provisions of Section 6 of the Act,\7\ in general, and with Section
6(b)(4) of the Act,\8\ in particular, in that it provides for the
equitable allocation of reasonable dues, fees and other charges among
members and issuers and other persons using any facility or system
which NASDAQ operates or controls. NASDAQ is reducing the level of
liquidity required to receive a favorable take rate for orders in
stocks listed on NASDAQ or NYSE, resulting in potential price
reductions for members with large volumes of liquidity routed,
accessed, and/or provided. NASDAQ is also reducing the circumstances
under which it will pass through charges and rebates for orders routed
to NASDAQ OMX BX, and increasing fees for routing certain orders that
execute at NYSE as odd-lots. Finally, NASDAQ is making modifications in
its routing charges to reflect announced changes in the fees that it
will pay to route orders to NYSE and NYSE Arca.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f.
\8\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
The impact of the changes upon the net fees paid by a particular
market participant will depend upon a number of variables, including
its monthly volume, the order types it uses, and the prices of its
quotes and orders (i.e., its propensity to add or remove liquidity and
to set the best bid and offer). NASDAQ notes that it operates in a
highly competitive market in which market participants can readily
direct order flow to competing venues if they
[[Page 41957]]
deem fee levels at a particular venue to be excessive. NASDAQ believes
that its fees remain competitive with other venues and are reasonable
and equitably allocated to those members on the basis of whether they
opt to direct orders to NASDAQ.
B. Self-Regulatory Organization's Statement on Burden on Competition
NASDAQ does not believe that the proposed rule change will result
in any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act, as amended.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments were neither solicited nor received.
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)(ii) of the Act \9\ and subparagraph (f)(2) of Rule 19b-4
thereunder.\10\ At any time within 60 days of the filing of the
proposed rule change, the Commission may summarily abrogate such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act.
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\9\ 15 U.S.C. 78s(b)(3)(a)(ii).
\10\ 17 CFR 240.19b-4(f)(2).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-NASDAQ-2009-074 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-NASDAQ-2009-074. 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 NASDAQ. 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-NASDAQ-2009-074 and should
be submitted on or before September 9, 2009.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-19894 Filed 8-18-09; 8:45 am]
BILLING CODE 8010-01-P