Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending NYSE Rules 116 and 123C To Allow More Than One Closing Print To Be Reported to the Consolidated Tape for Closing Transactions That Exceed 99,999,999 Shares, 168-170 [E9-31161]
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168
Federal Register / Vol. 75, No. 1 / Monday, January 4, 2010 / Notices
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,8 that the
proposed rule change (SR–FINRA–
2009–076), as modified by Amendment
No. 1, be, and it hereby is, approved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–31160 Filed 12–31–09; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–61240; File No. SR–
NYSEArca–2009–101]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Order Approving Proposed
Rule Change Amending Equities Rule
5.2(j)(3)
pwalker on DSK8KYBLC1PROD with NOTICES
December 24, 2009.
On November 5, 2009, NYSE Arca,
Inc. (‘‘Arca’’ or the ‘‘Exchange’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’), pursuant
to Section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to amend Commentary .01 to
NYSE Arca Equities Rule 5.2(j)(3), the
initial listing standards for Investment
Company Units. The proposed rule
change was published for comment in
the Federal Register on November 24,
2009.3 The Commission received no
comments regarding the proposal. This
order approves the proposed rule
change.
Arca proposes to amend the initial
listing standards for Investment
Company Units (‘‘ICUs’’), which are
based both on U.S. indexes or portfolios,
and international or global indexes or
portfolios. Specifically, Arca proposes
to amend the trading volume listing
standard to lower the minimum
component stock weight requirement
from 90% to 70% of the weight of the
underlying index or portfolio. Arca also
proposes to measure minimum monthly
trading volume as averaged over the last
six months. Currently, the minimum
monthly trading volume is measured
during each of the last six months. With
respect to international or global
indexes or portfolios, Arca proposes to
clarify that the component stock trading
volumes are determined on a global
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 61022
(November 17, 2009), 74 FR 61388 (‘‘Notice’’).
basis. Finally, as an option for meeting
the listing requirements, Arca proposes
to adopt a minimum notional volume
traded per month of $25,000,000, also
averaged over the last six months.
The Commission has carefully
reviewed the proposed rule change and
finds that the proposed rule change is
consistent with the requirements of the
Act and the rules and regulations
thereunder applicable to a national
securities exchange 4 and, in particular,
Section 6(b)(5) of the Act,5 which
requires that an exchange have rules
designed to prevent fraudulent and
manipulative acts and practices,
promote just and equitable principles of
trade, foster cooperation and
coordination with persons engaged in
facilitating transactions in securities, to
remove impediments to and perfect the
mechanism of a free and open market
and a national market system, and to
protect investors and the public interest.
The Commission believes that the
proposed 70% weighting requirement
should: (1) Be sufficient to help ensure
that a substantial portion of the
underlying index or portfolio remains
liquid; and (2) facilitate the listing and
trading of ICUs benefit investors by
providing them with a wider selection
of derivative products. When this
requirement is combined with other
listing requirements, the Commission
believes that the underlying index or
portfolio will remain sufficiently liquid
to minimize potential manipulation.
The Commission also believes that the
proposed use of minimum notional
volume as an alternative measure to
minimum trading volume should
mitigate the volume discrepancies
between low- and high-priced stocks. In
addition, measuring minimum trading
volume and notional volume based on
a six-month average should help to
eliminate seasonal volume fluctuations
that may occur in the trading of
component securities.
For the foregoing reasons, the
Commission believes that the proposed
rule change is consistent with the Act.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act, that the
proposed rule change (SR–NYSEArca–
2009–101) be, and it hereby is,
approved.
8 15
9 17
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17:11 Dec 31, 2009
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4 In approving this proposed rule change, the
Commission has considered the proposed rule’s
impact on efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
5 15 U.S.C. 78f(b)(5).
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For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.6
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–31163 Filed 12–31–09; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–61235; File No. SR–NYSE–
2009–126]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change Amending
NYSE Rules 116 and 123C To Allow
More Than One Closing Print To Be
Reported to the Consolidated Tape for
Closing Transactions That Exceed
99,999,999 Shares
December 23, 2009.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that, on December
16, 2009, New York Stock Exchange
LLC (‘‘NYSE’’ or the ‘‘Exchange’’) 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 Exchange. 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 amending
[sic] the provisions of NYSE Rules 116
(‘‘Stop’’ Constitutes Guarantee) and
123C (Market On The Close Policy And
Expiration Procedures) to allow on a
temporary basis more than one closing
print to be reported to the Consolidated
Tape for closing transactions that
exceed 99,999,999 shares. The text of
the proposed rule change is available at
the Exchange, the Commission’s Public
Reference Room, and https://
www.nyse.com.
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
6 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
E:\FR\FM\04JAN1.SGM
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Federal Register / Vol. 75, No. 1 / Monday, January 4, 2010 / Notices
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
pwalker on DSK8KYBLC1PROD with NOTICES
1. Purpose
Through this filing the Exchange
seeks to amend the provisions of NYSE
Rules 116.40 (‘‘Stop’’ Constitutes
Guarantee) and 123C (Market On The
Close Policy And Expiration
Procedures) to allow more than one
closing print to be reported to the
Consolidated Tape for closing
transactions that exceed 99,999,999
shares.
Currently, pursuant to NYSE Rules
116.40(c) and 123C(3), the closing
transaction is reported to the
Consolidated Tape last sale reporting
system as a single transaction via a
single print. As a result of a temporary
size limitation in a new market data
distribution system, Exchange systems
currently cannot support prints greater
than 99,999,999 shares.3 Therefore,
executions of greater than 99,999,999
shares must be sent to the Consolidated
Tape in more than one print. The
multiple prints together will reflect the
cumulative volume of the single closing
transaction. Because this is inconsistent
with the provisions of NYSE Rules
116.40(c) and 123C(3), the Exchange
proposes to amend the provisions of
those rules to provide that any closing
transaction exceeding 99,999,999 shares
will be reported to the Consolidated
Tape last sale reporting system in more
than one print.4
The Exchange believes that reporting
multiple prints will not have a
detrimental effect on investors because
the prints will each be marked as the
closing print. Moreover, the Exchange
intends to provide notice to its
customers through its Trader Alert
System when a closing transaction
exceeds 99,999,999 shares and requires
more than one print.
3 The Exchange anticipates that the temporary
size limitation in the new market data distribution
system will be corrected by no later than the end
of February 2010.
4 On December 4, 2009, the closing transaction in
Bank of America’s security exceeded 99,999,999
shares. On that date the Exchange filed for a
temporary exemption to the provisions of NYSE
Rules 116 and 123C. See Securities and Exchange
Act Release No. 61125 (December 7, 2009), 74 FR
66182 (December 14, 2009) (SR–NYSE–2009–122).
VerDate Nov<24>2008
17:11 Dec 31, 2009
Jkt 220001
2. Statutory Basis
The Exchange believes that its
proposal is consistent with Section 6(b)
of the Securities Exchange Act of 1934
(the ‘‘Act’’),5 in general, and furthers the
objectives of Section 6(b)(5) of the Act,6
in particular, in that it is designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to remove
impediments to and perfect the
mechanism of a free and open market
and a national market system, and, in
general, to protect investors and the
public interest. The Exchange believes
the proposed rule change will facilitate
the timely and efficient reporting of the
closing transaction on the Exchange and
thus ultimately serve to protect
investors and the public interest.
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 7 and Rule
19b–4(f)(6) thereunder.8 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 9 and Rule 19b–4(f)(6)(iii)
thereunder.10
5 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
7 15 U.S.C. 78s(b)(3)(A)(iii).
8 17 CFR 240.19b–4(f)(6).
9 15 U.S.C. 78s(b)(3)(A).
10 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
169
A proposed rule change filed under
Rule 19b–4(f)(6) 11 normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii),12 the
Commission may designate a shorter
time if such action is consistent with the
protection of investors and the public
interest. The Exchange requests the
Commission to waive the 30-day
operative delay so that the proposal may
become operative immediately upon
filing, so that the new procedures will
be operative in the event that a closing
transaction whose volume exceeds
99,999,999 shares occurs in the near
future. The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest.13
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 rulecomments@sec.gov. Please include File
Number SR–NYSE–2009–126 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–NYSE–2009–126. 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
6 15
PO 00000
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Fmt 4703
Sfmt 4703
Commission. The Exchange has satisfied this
requirement.
11 17 CFR 240.19b–4(f)(6).
12 17 CFR 240.19b–4(f)(6)(iii).
13 For purposes only of waiving the operative
delay for this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
E:\FR\FM\04JAN1.SGM
04JAN1
170
Federal Register / Vol. 75, No. 1 / Monday, January 4, 2010 / Notices
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,14 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
Section, 100 F Street, NE., Washington,
DC 20549–1090, on official business
days between the hours of 10 a.m. and
3 p.m. Copies of the filing will also 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–NYSE–2009–126 and
should be submitted on or before
January 25, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.15
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–31161 Filed 12–31–09; 8:45 am]
BILLING CODE 8011–01–P
[Release No. 34–61236; File No. SR–
NYSEArca–2009–113]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing of Proposed
Rule Change for the Listing and
Trading of Sprott Physical Gold Trust
pwalker on DSK8KYBLC1PROD with NOTICES
December 23, 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 December
15, 2009, NYSE Arca, Inc. (‘‘NYSE
Arca’’ or the ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
VerDate Nov<24>2008
17:11 Dec 31, 2009
Jkt 220001
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
NYSE Arca, Inc. (‘‘Exchange’’),
through its wholly-owned subsidiary
NYSE Arca Equities, Inc. (‘‘NYSE Arca
Equities’’), proposes to list and trade
units 4 of the Sprott Physical Gold Trust
(the ‘‘Trust’’) pursuant to NYSE Arca
Equities Rule 8.201. The text of the
proposed rule change 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
Statutory Basis for, the Proposed Rule
Change
SECURITIES AND EXCHANGE
COMMISSION
14 The text of the proposed rule change is
available on the Commission’s Web site at https://
www.sec.gov.
15 17 CFR 200.30–3(a)(12).
1 15 U.S.C.78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
change as described in Items I, II, and
III 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. Purpose
The Exchange proposes to list and
trade units (‘‘Units’’) of the Trust under
NYSE Arca Equities Rule 8.201. Under
NYSE Arca Equities Rule 8.201, the
Exchange may propose to list and/or
trade pursuant to unlisted trading
privileges (‘‘UTP’’) ‘‘Commodity-Based
Trust Shares.’’ 5 The Commission has
previously approved listing on the
Exchange under NYSE Arca Equities
Rule 5.2(j)(6) and 8.201, respectively,
shares of the streetTRACKS Gold Trust
and iShares COMEX Gold Trust.6 Prior
4 Each unit represents an equal, fractional,
undivided ownership interest in the net assets of
the Trust attributable to the particular class of units.
5 Commodity-Based Trust Shares are securities
issued by a trust that represent investors’ discrete
identifiable and undivided beneficial ownership
interest in the commodities deposited into the
Trust.
6 See Securities Exchange Act Release No. 56224
(August 8, 2007), 72 FR 45850 (August 15, 2007)
PO 00000
Frm 00069
Fmt 4703
Sfmt 4703
to their listing on the Exchange, the
Commission approved listing of the
streetTRACKS Gold Trust on the New
York Stock Exchange (‘‘NYSE’’) and
listing of iShares COMEX Gold Trust on
the American Stock Exchange LLC.7 In
addition, the Commission has approved
trading of the streetTRACKS Gold Trust
and iShares Silver Trust and [sic] on the
Exchange pursuant to UTP.8 The
Commission also has approved listing of
the iShares Silver Trust on the
Exchange 9 and, previously, listing of
the iShares Silver Trust on the
American Stock Exchange LLC (now
known as ‘‘NYSE Amex LLC’’).10
Further, the Commission has also
approved listing on the Exchange under
NYSE Arca Equities Rule 8.201 shares of
ETFS Silver Trust 11 and ETFS Gold
Trust.12
Sprott Asset Management LP is the
sponsor or manager of the Trust (the
‘‘Sponsor’’ or the ‘‘Manager’’,13 as the
case may be), RBC Dexia Investor
Services Trust is the trustee of the Trust
(SR–NYSEArca–2007–76) (approving listing on the
Exchange of the streetTRACKS Gold Trust);
Securities Exchange Act Release No. 56041 (July 11,
2007), 72 FR 39114 (July 17, 2007) (SR–NYSEArca–
2007–43) (order approving listing on the Exchange
of iShares COMEX Gold Trust).
7 See Securities Exchange Act Release No. 50603
(October 28, 2004), 69 FR 64614 (November 5, 2004)
(SR–NYSE–2004–22) (order approving listing of
streetTRACKS Gold Trust on NYSE); Securities
Exchange Act Release No. 51058 (January 19, 2005),
70 FR 3749 (January 26, 2005) (SR–Amex–2004–38)
(order approving listing of iShares COMEX Gold
Trust on the American Stock Exchange LLC).
8 See Securities Exchange Act Release No. 53520
(March 20, 2006), 71 FR 14977 (March 24, 2006)
(SR–PCX–2005–117) (approving trading on the
Exchange pursuant to UTP of the iShares Silver
Trust); Securities Exchange Act Release No. 51245
(February 23, 2005), 70 FR 10731 (March 4, 2005)
(SR–PCX–2004–117) (approving trading on the
Exchange of the streetTRACKS Gold Trust pursuant
to UTP).
9 See Securities Exchange Act Release No. 58956
(November 14, 2008), 73 FR 71074 (November 24,
2008) (SR–NYSEArca–2008–124) (approving listing
on the Exchange of the iShares Silver Trust).
10 See Securities Exchange Act Release No. 53521
(March 20, 2006), 71 FR 14967 (March 24, 2006)
(SR–Amex–2005–72) (approving listing on the
American Stock Exchange LLC of the iShares Silver
Trust).
11 See Securities Exchange Act Release No. 59781
(April 17, 2009), 74 FR 18771 (April 24, 2009) (SR–
NYSEArca–2009–28) (approving listing on the
Exchange of the ETFS Silver Trust).
12 See Securities Exchange Act Release No. 59895
(May 8, 2009), 74 FR 22993 (May 15, 2009) (SR–
NYSEArca–2009–40) (approving listing on the
Exchange of the ETFS Gold Trust).
13 The Manager is a limited partnership existing
under the laws of Ontario, Canada, and acts as
manager of the Trust pursuant to the Trust’s trust
agreement and the management agreement. The
Manager provides management and advisory
services to the Trust. Additional details regarding
the Manager are set forth in the Registration
Statement on Form F–1 for the Sprott Physical Gold
Trust, filed with the Commission on December 9,
2009 (No. 333–163601) (the ‘‘Registration
Statement’’).
E:\FR\FM\04JAN1.SGM
04JAN1
]]>Agencies
[Federal Register Volume 75, Number 1 (Monday, January 4, 2010)]
[Notices]
[Pages 168-170]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-31161]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-61235; File No. SR-NYSE-2009-126]
Self-Regulatory Organizations; New York Stock Exchange LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Amending NYSE Rules 116 and 123C To Allow More Than One Closing Print
To Be Reported to the Consolidated Tape for Closing Transactions That
Exceed 99,999,999 Shares
December 23, 2009.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that, on December 16, 2009, New York Stock Exchange LLC (``NYSE'' or
the ``Exchange'') 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 Exchange. 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.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amending [sic] the provisions of NYSE
Rules 116 (``Stop'' Constitutes Guarantee) and 123C (Market On The
Close Policy And Expiration Procedures) to allow on a temporary basis
more than one closing print to be reported to the Consolidated Tape for
closing transactions that exceed 99,999,999 shares. The text of the
proposed rule change is available at the Exchange, the Commission's
Public Reference Room, and https://www.nyse.com.
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
[[Page 169]]
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
Through this filing the Exchange seeks to amend the provisions of
NYSE Rules 116.40 (``Stop'' Constitutes Guarantee) and 123C (Market On
The Close Policy And Expiration Procedures) to allow more than one
closing print to be reported to the Consolidated Tape for closing
transactions that exceed 99,999,999 shares.
Currently, pursuant to NYSE Rules 116.40(c) and 123C(3), the
closing transaction is reported to the Consolidated Tape last sale
reporting system as a single transaction via a single print. As a
result of a temporary size limitation in a new market data distribution
system, Exchange systems currently cannot support prints greater than
99,999,999 shares.\3\ Therefore, executions of greater than 99,999,999
shares must be sent to the Consolidated Tape in more than one print.
The multiple prints together will reflect the cumulative volume of the
single closing transaction. Because this is inconsistent with the
provisions of NYSE Rules 116.40(c) and 123C(3), the Exchange proposes
to amend the provisions of those rules to provide that any closing
transaction exceeding 99,999,999 shares will be reported to the
Consolidated Tape last sale reporting system in more than one print.\4\
---------------------------------------------------------------------------
\3\ The Exchange anticipates that the temporary size limitation
in the new market data distribution system will be corrected by no
later than the end of February 2010.
\4\ On December 4, 2009, the closing transaction in Bank of
America's security exceeded 99,999,999 shares. On that date the
Exchange filed for a temporary exemption to the provisions of NYSE
Rules 116 and 123C. See Securities and Exchange Act Release No.
61125 (December 7, 2009), 74 FR 66182 (December 14, 2009) (SR-NYSE-
2009-122).
---------------------------------------------------------------------------
The Exchange believes that reporting multiple prints will not have
a detrimental effect on investors because the prints will each be
marked as the closing print. Moreover, the Exchange intends to provide
notice to its customers through its Trader Alert System when a closing
transaction exceeds 99,999,999 shares and requires more than one print.
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Securities Exchange Act of 1934 (the ``Act''),\5\ in
general, and furthers the objectives of Section 6(b)(5) of the Act,\6\
in particular, in that it is designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, to remove impediments to and perfect the mechanism
of a free and open market and a national market system, and, in
general, to protect investors and the public interest. The Exchange
believes the proposed rule change will facilitate the timely and
efficient reporting of the closing transaction on the Exchange and thus
ultimately serve to protect investors and the public interest.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
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 \7\ and Rule 19b-4(f)(6) thereunder.\8\
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 \9\ and Rule 19b-
4(f)(6)(iii) thereunder.\10\
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\7\ 15 U.S.C. 78s(b)(3)(A)(iii).
\8\ 17 CFR 240.19b-4(f)(6).
\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 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 this requirement.
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A proposed rule change filed under Rule 19b-4(f)(6) \11\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\12\ the Commission
may designate a shorter time if such action is consistent with the
protection of investors and the public interest. The Exchange requests
the Commission to waive the 30-day operative delay so that the proposal
may become operative immediately upon filing, so that the new
procedures will be operative in the event that a closing transaction
whose volume exceeds 99,999,999 shares occurs in the near future. The
Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public
interest.\13\
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\11\ 17 CFR 240.19b-4(f)(6).
\12\ 17 CFR 240.19b-4(f)(6)(iii).
\13\ For purposes only of waiving the operative delay for this
proposal, the Commission has considered the proposed rule's impact
on efficiency, competition, and capital formation. See 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-NYSE-2009-126 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-NYSE-2009-126. 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
[[Page 170]]
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,\14\ 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 Section, 100 F Street, NE., Washington,
DC 20549-1090, on official business days between the hours of 10 a.m.
and 3 p.m. Copies of the filing will also 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-NYSE-2009-126 and should be
submitted on or before January 25, 2010.
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\14\ The text of the proposed rule change is available on the
Commission's Web site at https://www.sec.gov.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\15\
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\15\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-31161 Filed 12-31-09; 8:45 am]
BILLING CODE 8011-01-P
