Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by NYSE Amex LLC To Establish Registered Representative Fees, 1676-1678 [2010-298]
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1676
Federal Register / Vol. 75, No. 7 / Tuesday, January 12, 2010 / Notices
The changes discussed in this filing
will become operative on January 1,
2010.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the objectives of Section 6 of the Act,8
in general, and furthers the objectives of
Section 6(b)(4),9 in particular, as it is
designed to provide for the equitable
allocation of reasonable dues, fees and
other charges among its members and
other persons using its facilities. In
particular, simplifying the rate structure
for Members provides pricing incentives
to market participants that route orders
to DECN, allowing DECN to remain
competitive. ISE notes that DECN
operates in a highly competitive market
in which market participants can
readily direct order flow to competing
venues if they deem fee levels at a
particular venue to be excessive. The
proposed rule change reflects a
competitive pricing structure designed
to incent market participants to direct
their order flow to DECN. ISE believes
the fees and credits remain competitive
with those charged by other venues and
therefore continue to be reasonable and
equitably allocated to those members
that opt to direct orders to DECN rather
than competing venues. The ISE also
believes that the proposed rates are
equitable in that they apply uniformly
to all Members. Finally, to adjust
DECN’s pricing model to be more
consistent with other exchanges (even
though DECN is not an exchange), the
Exchange desires to (i) de-link the
pricing structures of DECN (EDGA/
EDGX) to eliminate pricing offers that
are contingent on activity across both
platforms; and (ii) simplify its fee
schedule in order to provide Members
with greater consistency and
transparency during the period that the
EDGA and EDGX Exchanges are
preparing to launch, when volume will
be transitioning from DECN to EDGA/
EDGX Exchanges (assuming their
respective Form 1 applications are
approved by the Commission).
WReier-Aviles on DSKGBLS3C1PROD with NOTICES
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The proposed rule change does not
impose any burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants or Others
The Exchange has not solicited, and
does not intend to solicit, comments on
this proposed rule change. The
Exchange has not received any
unsolicited written comments from
members or other interested parties.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section 19(b)(3) of
the Act 10 and Rule 19b–4(f)(2) 11
thereunder. At any time within 60 days
of the filing of such proposed rule
change, the Commission may summarily
abrogate such rule change if it appears
to the Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors,
or otherwise in furtherance of the
purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
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 ISE. All
comments received will be posted
without change; the Commission does
not edit personal identifying
information from submissions. You
should submit only information that
you wish to make available publicly. All
submissions should refer to File
Number SR–ISE–2009–108 and should
be submitted on or before February 2,
2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–296 Filed 1–11–10; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–ISE–2009–108 on the
subject line.
[Release No. 34–61291; File No. SR–
NYSEAmex–2009–95]
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–ISE–2009–108. 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
January 5, 2010.
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NYSE
Amex LLC To Establish Registered
Representative Fees
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
28, 2009, NYSE Amex LLC (‘‘NYSE
Amex’’ 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 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 end its
waiver of registered representative fees
12 17
8 15
U.S.C. 78f.
9 15 U.S.C. 78f(b)(4).
VerDate Nov<24>2008
15:14 Jan 11, 2010
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
10 15
U.S.C. 78s(b)(3)(A).
11 17 CFR 19b–4(f)(2).
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Federal Register / Vol. 75, No. 7 / Tuesday, January 12, 2010 / Notices
for member organizations that acquired
their memberships solely by operation
of NYSE Amex Equities Rule 2 in
connection with the acquisition of the
American Stock Exchange by the New
York Stock Exchange (‘‘NYSE’’). The
waiver will end on December 31, 2009
and all member organizations will be
subject to registered representative fees
commencing January 1, 2010. The text
of the proposed rule change is available
at the Exchange, the Commission’s
Public Reference Room, and
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
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.
WReier-Aviles on DSKGBLS3C1PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
In connection with the acquisition of
the American Stock Exchange (renamed
NYSE Amex after the acquisition) by
NYSE Euronext, all equities trading
conducted on or through the American
Stock Exchange legacy trading systems
and facilities located at 86 Trinity Place,
New York, New York, was moved on
December 1, 2008, to the NYSE trading
facilities and systems located at 11 Wall
Street, New York, New York (the ‘‘NYSE
Amex Trading Systems’’), which are
operated by the NYSE on behalf of
NYSE Amex (the ‘‘Equities Relocation’’).
At the time of the Equities Relocation,
by operation of NYSE Amex Equities
Rule 2, all NYSE member organizations
automatically became NYSE Amex
member organizations. By acquiring
NYSE Amex membership, the NYSE
member organizations that were not
previously NYSE Amex members would
become subject to the NYSE Amex
registration fees for all of their
employees who serve as registered
representatives. As these NYSE member
organizations that had no NYSE Amex
business prior to the Equities Relocation
became NYSE Amex members without
any action on their own part, NYSE
Amex waived the application of its
VerDate Nov<24>2008
15:14 Jan 11, 2010
Jkt 220001
registered representative fees to those
firms for the month of December.
At the time of its original adoption of
the waiver, NYSE Amex stated that it
expected to submit a filing to adopt a
revised registered representative fee
commencing January 1, 2009.3 The
waiver was extended through June 30,
2009,4 and was subsequently extended
again through September 30, 2009,5 at
which time it expired. The expiration of
the waiver on September 30, 2009,
resulted from an oversight on the part of
Exchange staff as the Exchange had not
yet reached a conclusion as to a more
permanent approach to registered
representative fees at that time.
Consequently, the Exchange intends to
submit a filing in which it seeks to reestablish the waiver with retroactive
effect from October 1, 2009, ending on
December 31, 2009.
NYSE Amex proposes to end the
waiver on December 31, 2009, and will
require all NYSE Amex member
organizations to pay registered
representative fees as of January 1, 2010,
regardless of whether they were
members of NYSE Amex prior to the
Equities Relocation.6 It has been NYSE
Amex’s experience that member
organizations that have benefitted from
the waiver have traded comparable
volumes of NYSE Amex equities since
the Equities Relocation to those traded
by member organizations that are
currently subject to the registered
representative fees. Consequently, NYSE
Amex believes it is equitable to charge
the same registered representative fees
to all member organizations regardless
of how they acquired their membership.
The Exchange also notes that, while
NYSE Amex benefits to a large degree
from the NYSE’s regulatory program and
all NYSE Amex members pay regulatory
fees to the NYSE, the revenues
generated from NYSE regulatory fees are
significantly less than is needed to fund
the NYSE and NYSE Amex equities
regulatory program. As such, the
Exchange believes it is appropriate to
charge registered representative fees to
those member organizations that have
benefitted from the waiver, as a
contribution to the costs of regulating
3 See Exchange Act Release 59045 (December 3,
2008), 73 FR 75151 (December 10, 2008) (SR–
NYSEALTR–2008–09).
4 See Exchange Act Release 59170 (December 29,
2008), 74 FR 486 (January 6, 2009) (SR–
NYSEALTR–2008–19).
5 See Exchange Act Release 60176 (June 26, 2009),
74 FR 32021 (July 6, 2009) (SR–NYSAmex–2009–
30).
6 See e-mail from John Carey, Chief Counsel US
Equities, NYSE Euronext, Inc. to Leah Mesfin,
Special Counsel, Division of Trading and Markets,
Commission, on January 4, 2010, clarifying that the
waiver ended on December 31, 2009.
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Fmt 4703
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1677
their NYSE Amex equities trading
activities.
The rule change will become
operative as of January 1, 2010.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,7
in general, and Section 6(b)(4) of the
Act,8 in particular, in that it is designed
to provide for the equitable allocation of
reasonable dues, fees, and other charges
among its members and other persons
using its facilities. The Exchange
believes that the proposal does not
constitute an inequitable allocation of
dues, fees and other charges as all
member organizations will pay the same
fees and the fees charged to member
organizations that previously benefitted
from the waiver will be sufficient to
fund only a portion of the costs of NYSE
Amex’s regulation of those member
organizations’ NYSE Amex equities
trading activities.
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 foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 9 of the Act and
subparagraph (f)(2) of Rule 19b–4 10
thereunder, because it establishes a due,
fee, or other charge imposed by NYSE
Amex.
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.
7 15
U.S.C. 78f(b).
U.S.C. 78f(b)(4).
9 15 U.S.C. 78s(b)(3)(A).
10 17 CFR 240.19b–4(f)(2).
8 15
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1678
Federal Register / Vol. 75, No. 7 / Tuesday, January 12, 2010 / Notices
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:
[FR Doc. 2010–298 Filed 1–11–10; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
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–2009–95 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.
WReier-Aviles on DSKGBLS3C1PROD with NOTICES
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Florence E. Harmon,
Deputy Secretary.
[Release No. 34–61290; File No. SR–ISE–
2009–109]
Self-Regulatory Organizations;
International Securities Exchange,
LLC; Notice of Filing and Order
Granting Accelerated Approval to a
Proposed Rule Change Relating to the
Amounts That Direct Edge ECN, in Its
Capacity as an Introducing Broker for
Non-ISE Members, Passes Through to
Such Non-ISE Members
January 5, 2010.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
All submissions should refer to File
‘‘Act’’),1 and Rule 19b–4 thereunder,2
Number SR–NYSEAmex–2009–95. This notice is hereby given that on December
file number should be included on the
31, 2009, the International Securities
subject line if e-mail is used. To help the Exchange, LLC (the ‘‘Exchange’’ or the
Commission process and review your
‘‘ISE’’) filed with the Securities and
comments more efficiently, please use
Exchange Commission (‘‘Commission’’)
only one method. The Commission will the proposed rule change as described
post all comments on the Commission’s in Items I and II below, which Items
Internet Web site (https://www.sec.gov/
have been prepared by the selfrules/sro.shtml). Copies of the
regulatory organization. The
submission, all subsequent
Commission is publishing this notice to
amendments, all written statements
solicit comments on the proposed rule
with respect to the proposed rule
change from interested persons, and is
approving the proposal on an
change that are filed with the
accelerated basis.
Commission, and all written
communications relating to the
I. Self-Regulatory Organization’s
proposed rule change between the
Statement of the Terms of Substance of
Commission and any person, other than the Proposed Rule Change
those that may be withheld from the
The Exchange proposes to modify the
public in accordance with the
amounts that Direct Edge ECN
provisions of 5 U.S.C. 552, will be
(‘‘DECN’’), in its capacity as an
available for inspection and copying in
introducing broker for non-ISE
the Commission’s Public Reference
Members, passes through to such nonRoom, 100 F Street, NE., Washington,
ISE Members.
DC 20549, on official business days
The text of the proposed rule change
between the hours of 10 a.m. and 3 p.m.
is available on the Exchange’s Internet
Copies of such filing also will be
Web site at https://www.ise.com.
available for inspection and copying at
the principal office of the Exchange. All II. Self-Regulatory Organization’s
Statement of the Purpose of, and
comments received will be posted
Statutory Basis for, the Proposed Rule
without change; the Commission does
Change
not edit personal identifying
information from submissions. You
In its filing with the Commission, the
should submit only information that
self-regulatory organization included
you wish to make publicly available. All statements concerning the purpose of,
submissions should refer to File
and basis for, the proposed rule change
Number SR–NYSEAmex–2009–95 and
and discussed any comments it received
should be submitted on or before
on the proposed rule change. The text
February 2, 2010.
1 15
11 17
CFR 200.30–3(a)(12).
VerDate Nov<24>2008
15:14 Jan 11, 2010
2 17
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U.S.C. 78s(b)(1).
CFR 240.19b–4.
Frm 00096
Fmt 4703
Sfmt 4703
of these statements may be examined at
the places specified in Item III below.
The self-regulatory organization has
prepared summaries, set forth in
sections A, B and C below, of the most
significant aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
DECN, a facility of ISE, operates two
trading platforms, EDGX and EDGA. On
December 30, 2009, the ISE filed for
immediate effectiveness a proposed rule
change to amend Direct Edge ECN’s
(‘‘DECN’’) fee schedule for ISE
Members 3 to simplify its fee schedule
by (i) eliminating the Super Tier and
Ultra Tier rebates; 4 and (ii) amending
3 References to ISE Members in this filing refer to
DECN Subscribers who are ISE Members.
4 On July 1, 2009, the Exchange adopted a new
Ultra Tier Rebate whereby ISE Members were
provided a $0.0032 rebate per share for securities
priced at or above $1.00 when ISE Members add
liquidity on EDGX if the attributed MPID satisfies
one of the following criteria on a daily basis,
measured monthly: (i) Adding 100,000,000 shares
or more on EDGX; or (ii) adding 50,000,000 shares
or more of liquidity on EDGX, so long as added
liquidity on EDGX is at least 20,000,000 shares
greater than the previous calendar month. The
rebate described above is referred to as an ‘‘Ultra
Tier Rebate’’ on the DECN fee schedule. See
Securities and Exchange Act Release No. 60232
(July 2, 2009), 74 FR 33309 (July 10, 2009)(SR–ISE–
2009–43).
On October 1, 2009, the Exchange amended the
criteria for meeting this tier by allowing ISE
Members to receive a $0.0032 rebate per share for
securities priced at or above $1.00 when ISE
Members add liquidity on EDGX if the attributed
MPID posts 1% of the total consolidated volume
(‘‘TCV’’) in average daily volume (‘‘ADV’’). TCV is
defined as volume reported by all exchanges and
trade reporting facilities to the consolidated
transaction reporting plans for Tape A, B, and C
securities. See Securities Exchange Act Release No.
60769 (October 2, 2009) 74 FR 51903 (October 8,
2009)(SR–ISE–2009–68).
On May 1, 2009, the Exchange amended the
Super Tier rebate, which provides a $0.0030 rebate
per share for liquidity added on EDGX if the
attributed MPID satisfies any of the following three
criteria on a daily basis, measured monthly: (i)
Adding 40,000,000 shares or more on either EDGX,
EDGA, or EDGX and EDGA combined; (ii) adding
20,000,000 shares or more on either EDGX, EDGA,
or EDGX and EDGA combined and routing
20,000,000 shares or more through EDGA; or (iii)
adding 10,000,000 shares or more of liquidity to
EDGX, so long as added liquidity on EDGX is at
least 5,000,000 shares greater than the previous
calendar month. See Securities Exchange Act
Release No. 59887 (May 7, 2009), 74 FR 22792 (May
14, 2009)(SR–ISE–2009–24).
To adjust DECN’s pricing model to be more
consistent with other exchanges (even though
DECN is not an exchange), in SR–ISE–2009–108,
the Exchange proposed to de-link the pricing
structures of DECN to eliminate pricing offers that
are contingent on activity across both platforms.
Secondly, in that filing, the Exchange proposed to
simplify its fee schedule, which will provide
Members with greater consistency and transparency
during the period that the EDGA and EDGX
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Agencies
[Federal Register Volume 75, Number 7 (Tuesday, January 12, 2010)]
[Notices]
[Pages 1676-1678]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-298]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-61291; File No. SR-NYSEAmex-2009-95]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by NYSE Amex LLC To Establish
Registered Representative Fees
January 5, 2010.
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 28, 2009, NYSE Amex LLC (``NYSE Amex'' 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 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 end its waiver of registered
representative fees
[[Page 1677]]
for member organizations that acquired their memberships solely by
operation of NYSE Amex Equities Rule 2 in connection with the
acquisition of the American Stock Exchange by the New York Stock
Exchange (``NYSE''). The waiver will end on December 31, 2009 and all
member organizations will be subject to registered representative fees
commencing January 1, 2010. The text of the proposed rule change is
available at the Exchange, the Commission's Public Reference Room, and
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 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
1. Purpose
In connection with the acquisition of the American Stock Exchange
(renamed NYSE Amex after the acquisition) by NYSE Euronext, all
equities trading conducted on or through the American Stock Exchange
legacy trading systems and facilities located at 86 Trinity Place, New
York, New York, was moved on December 1, 2008, to the NYSE trading
facilities and systems located at 11 Wall Street, New York, New York
(the ``NYSE Amex Trading Systems''), which are operated by the NYSE on
behalf of NYSE Amex (the ``Equities Relocation''). At the time of the
Equities Relocation, by operation of NYSE Amex Equities Rule 2, all
NYSE member organizations automatically became NYSE Amex member
organizations. By acquiring NYSE Amex membership, the NYSE member
organizations that were not previously NYSE Amex members would become
subject to the NYSE Amex registration fees for all of their employees
who serve as registered representatives. As these NYSE member
organizations that had no NYSE Amex business prior to the Equities
Relocation became NYSE Amex members without any action on their own
part, NYSE Amex waived the application of its registered representative
fees to those firms for the month of December.
At the time of its original adoption of the waiver, NYSE Amex
stated that it expected to submit a filing to adopt a revised
registered representative fee commencing January 1, 2009.\3\ The waiver
was extended through June 30, 2009,\4\ and was subsequently extended
again through September 30, 2009,\5\ at which time it expired. The
expiration of the waiver on September 30, 2009, resulted from an
oversight on the part of Exchange staff as the Exchange had not yet
reached a conclusion as to a more permanent approach to registered
representative fees at that time. Consequently, the Exchange intends to
submit a filing in which it seeks to re-establish the waiver with
retroactive effect from October 1, 2009, ending on December 31, 2009.
---------------------------------------------------------------------------
\3\ See Exchange Act Release 59045 (December 3, 2008), 73 FR
75151 (December 10, 2008) (SR-NYSEALTR-2008-09).
\4\ See Exchange Act Release 59170 (December 29, 2008), 74 FR
486 (January 6, 2009) (SR-NYSEALTR-2008-19).
\5\ See Exchange Act Release 60176 (June 26, 2009), 74 FR 32021
(July 6, 2009) (SR-NYSAmex-2009-30).
---------------------------------------------------------------------------
NYSE Amex proposes to end the waiver on December 31, 2009, and will
require all NYSE Amex member organizations to pay registered
representative fees as of January 1, 2010, regardless of whether they
were members of NYSE Amex prior to the Equities Relocation.\6\ It has
been NYSE Amex's experience that member organizations that have
benefitted from the waiver have traded comparable volumes of NYSE Amex
equities since the Equities Relocation to those traded by member
organizations that are currently subject to the registered
representative fees. Consequently, NYSE Amex believes it is equitable
to charge the same registered representative fees to all member
organizations regardless of how they acquired their membership. The
Exchange also notes that, while NYSE Amex benefits to a large degree
from the NYSE's regulatory program and all NYSE Amex members pay
regulatory fees to the NYSE, the revenues generated from NYSE
regulatory fees are significantly less than is needed to fund the NYSE
and NYSE Amex equities regulatory program. As such, the Exchange
believes it is appropriate to charge registered representative fees to
those member organizations that have benefitted from the waiver, as a
contribution to the costs of regulating their NYSE Amex equities
trading activities.
---------------------------------------------------------------------------
\6\ See e-mail from John Carey, Chief Counsel US Equities, NYSE
Euronext, Inc. to Leah Mesfin, Special Counsel, Division of Trading
and Markets, Commission, on January 4, 2010, clarifying that the
waiver ended on December 31, 2009.
---------------------------------------------------------------------------
The rule change will become operative as of January 1, 2010.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\7\ in general, and Section
6(b)(4) of the Act,\8\ in particular, in that it is designed to provide
for the equitable allocation of reasonable dues, fees, and other
charges among its members and other persons using its facilities. The
Exchange believes that the proposal does not constitute an inequitable
allocation of dues, fees and other charges as all member organizations
will pay the same fees and the fees charged to member organizations
that previously benefitted from the waiver will be sufficient to fund
only a portion of the costs of NYSE Amex's regulation of those member
organizations' NYSE Amex equities trading activities.
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\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(4).
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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 foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \9\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \10\ thereunder, because it establishes a due, fee, or other charge
imposed by NYSE Amex.
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(2).
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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.
[[Page 1678]]
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-2009-95 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-2009-95. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for inspection
and copying in the Commission's Public Reference Room, 100 F Street,
NE., Washington, DC 20549, on official business days between the hours
of 10 a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at the principal office of the 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 publicly available. All
submissions should refer to File Number SR-NYSEAmex-2009-95 and should
be submitted on or before February 2, 2010.
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. 2010-298 Filed 1-11-10; 8:45 am]
BILLING CODE 8011-01-P