Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by NYSE Amex LLC To Amend Certain of Its Rules in Connection With the Decommissioning of the Odd-Lot System, 47333-47335 [2010-19262]
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Federal Register / Vol. 75, No. 150 / Thursday, August 5, 2010 / Notices
reviewed if such executions are based
on incorrect or grossly misinterpreted
structural or issuance information,
resulting in a severe pricing dislocation
for all such transactions. The stated
interpretation also enables the Exchange
to declare null and void such
potentially erroneous executions during
a halt in trading, but before trading
resumes at a price based on the
corrected information.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The proposed rule change does not
impose any burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange has not solicited, and
does not intend to solicit, comments on
this proposed rule change. The
Exchange has not received any
unsolicited written comments from
members or other interested parties.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section
19(b)(3)(A) 5 of the Act and Rule 19b–
4(f)(1) 6 thereunder. At any time within
the 60-day period beginning on the date
of the filing of the proposed rule change,
the Commission summarily may
temporarily suspend 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:
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–2010–80. 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 Web site viewing and
printing in the Commission’s Public
Reference Room, 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–ISE–2010–80 and should be
submitted on or before August 26, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–19266 Filed 8–4–10; 8:45 am]
BILLING CODE 8010–01–P
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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–2010–80 on the subject
line.
5 15
6 17
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
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SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62599; File No. SR–
NYSEAmex–2010–75]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NYSE
Amex LLC To Amend Certain of Its
Rules in Connection With the
Decommissioning of the Odd-Lot
System
July 29, 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 July 29,
2010, NYSE Amex LLC (the ‘‘Exchange’’
or ‘‘NYSE Amex’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the 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 amend
certain of its NYSE Amex Equities Rule
500 Series to correspond with rule
changes filed by the Exchange and
approved by the Commission.3 The text
of the proposed rule change is available
at the Exchange’s principal office, from
the Commission’s Public Reference
Room, on the Commission’s Web site at
https://www.sec.gov, and at 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
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.
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 62578
(July 27, 2010) (order approving SR–NYSE–2010–43
and SR–NYSEAmex–2010–53).
2 17
7 17
PO 00000
CFR 200.30–3(a)(12).
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Federal Register / Vol. 75, No. 150 / Thursday, August 5, 2010 / Notices
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the proposed rule
change is to amend certain of the NYSE
Amex Equities Rule 500 Series to
correspond with rule changes filed by
the Exchange and approved by the
Commission.
mstockstill on DSKH9S0YB1PROD with NOTICES
a. Background
On July 27, 2010, the Commission
approved amendments to certain
Exchange rules relating to the receipt
and execution of odd-lot interest into
the round-lot market and to
decommission the use of the odd-lot
system.4 The Exchange proposes to
implement these changes on a stock-bystock basis beginning on July 30, 2010.
As approved, the Exchange will no
longer trade odd-lot sized (generally,
less than 100 shares) orders in a
separate, dedicated system, but will
trade them on the Display Book system,
which the Exchange uses for round-lot
sized orders. As part of these changes,
the new unit of trading on the Exchange
will be one share. However, quotes of
less than one round-lot (generally, 100
shares) will not be displayed as the
Exchange quotation and odd-lot sized
transactions will not be published to the
Consolidated Tape.
b. Proposed Amendments to Rules 501, 506- and 508- NYSE Amex Equities
In conjunction with the Exchange’s
decommissioning of its odd-lot system,
the Exchange proposes conforming
amendments to Rules 501-, 506- and
508- NYSE Amex Equities governing the
trading of Nasdaq Securities.
In Rule 501(a)—NYSE Amex Equities,
the Exchange proposes to amend the
definition of the term ‘‘Closing Price’’ to
mean the last transaction in a Nasdaq
Security on the Exchange reported to
the Consolidated Tape. This change is
necessary because, under the current
Rule, a last transaction on the Exchange
in a Nasdaq Security could be an oddlot sized transaction, which would not
be reported to the Consolidated Tape.
The proposed change makes clear that
only transactions reported to the
Consolidated Tape would be considered
for the Closing Price. In paragraph (e)(1)
of Rule 501—NYSE Amex Equities, the
Exchange further proposes to add
language to conform the definition of a
4 See Securities Exchange Act Release No. 62578
(July 27, 2010). The New York Stock Exchange LLC
(‘‘NYSE’’) submitted, and received SEC approval of,
a companion rule filing adopting trading-in-shares.
See id.
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17:52 Aug 04, 2010
Jkt 220001
‘‘Stop Order’’ for Nasdaq Securities with
that for the Exchange’s listed securities
in accordance with Rule 13—NYSE
Amex Equities.
The Exchange proposes to amend
Rule 506(a)—NYSE Amex Equities to
conform with the approved changes to
Rules 55- and 56- NYSE Amex Equities.
Thus, the minimum unit of trading for
Nasdaq Securities will be one share and
Nasdaq Securities will be quoted in
round-lots of 100 shares, unless the UTP
Listing Market determines otherwise, in
which case the provisions of Rule 64—
NYSE Amex Equities shall apply.
Correspondingly, the Exchange further
proposes to delete the provisions of
Rule 506(b)(1)(A)- and (B)- NYSE Amex
Equities related to odd-lots and partial
round-lots, and the cross-reference to
Rule 65—NYSE Amex Equities in
paragraph (b)(3)(A) of Rule 506—NYSE
Amex Equities.
The Exchange further proposes to
delete the provisions of Rule
508(a)(1)(A)—NYSE Amex Equities.
Because odd-lot sized orders will no
longer trade on their own system, but
will instead trade with all other interest
in Display Book, odd-lot sized orders in
Nasdaq Securities will not be accepted
by the Exchange before trading opens
and will be rejected by Exchange
systems.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of 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 that the
proposed rule change supports the
objectives of the Act by conforming, as
needed, its rules governing the trading
of Nasdaq Securities with the rules for
trading its listed securities.
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.
5 15
6 15
PO 00000
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
Frm 00077
Fmt 4703
Sfmt 4703
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)
thereunder.10
The Exchange has requested that the
Commission waive the 30-day operative
delay. The Commission believes that
waiver of the operative delay is
consistent with the protection of
investors and the public interest
because the proposal is substantially
similar to another proposal that was
approved by the Commission.11 In
addition, waiver of the operative delay
will allow the proposed rule changes to
become operative before the existing
odd-lot system is decommissioned on
July 30, 2010, and thus will ensure
consistency between the rules governing
trading of Nasdaq Securities and listed
securities. Therefore, the Commission
designates the proposal operative upon
filing.12
At any time within the 60-day period
beginning on the date of filing of the
proposed rule change, the Commission
summarily may temporarily suspend
7 15
U.S.C. 78s(b)(3)(A)(iii).
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)(iii) requires the Exchange to give the
Commission written notice of the Exchange’s intent
to file the proposed rule change, along with a brief
description and text of 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 Commission
has waived the five-day pre-filing requirement in
this case.
11 See Securities Exchange Act Release No. 62578
(July 27, 2010) (SR–NYSEAmex–2010–53).
12 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
8 17
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Federal Register / Vol. 75, No. 150 / Thursday, August 5, 2010 / Notices
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:
NYSEAmex–2010–75 and should be
submitted on or before August 26, 2010.
www.sec.gov, and at the Commission’s
Public Reference Room.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Florence E. Harmon,
Deputy Secretary.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant parts of such
statements.
[FR Doc. 2010–19262 Filed 8–4–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62597; File No. SR–BATS–
2010–020]
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send e-mail to rulecomments@sec.gov. Please include File
Number SR–NYSEAmex–2010–75 on
the subject line.
Self-Regulatory Organizations; BATS
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Establish a Short
Term Option Program
July 29, 2010.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
Send paper comments in triplicate to
notice is hereby given that, on July 27,
Elizabeth M. Murphy, Secretary,
2010, BATS Exchange, Inc. (the
Securities and Exchange Commission,
‘‘Exchange’’ or ‘‘BATS’’) filed with the
100 F Street, NE., Washington, DC
Securities and Exchange Commission
20549–1090.
(‘‘SEC’’ or ‘‘Commission’’) the proposed
rule change as described in Items I and
All submissions should refer to File
Number SR–NYSEAmex–2010–75. This II below, which Items have been
prepared by the Exchange. The
file number should be included on the
subject line if e-mail is used. To help the Exchange has designated this proposal
as a ‘‘non-controversial’’ proposed rule
Commission process and review your
change pursuant to Section 19(b)(3)(A)
comments more efficiently, please use
only one method. The Commission will of the Act3 and Rule 19b–4(f)(6)
post all comments on the Commission’s thereunder,4 which renders it effective
upon filing with the Commission. The
Internet Web site (https://www.sec.gov/
Commission is publishing this notice to
rules/sro.shtml). Copies of the
solicit comments on the proposed rule
submission, all subsequent
change from interested persons.
amendments, all written statements
with respect to the proposed rule
I. Self-Regulatory Organization’s
change that are filed with the
Statement of the Terms of Substance of
Commission, and all written
the Proposed Rule Change
communications relating to the
The Exchange is proposing to amend
proposed rule change between the
Commission and any person, other than Rule 19.6 (Series of Options Contracts
Open for Trading) and Rule 29.11
those that may be withheld from the
(Terms of Index Options Contracts) in
public in accordance with the
order to list option series that expire one
provisions of 5 U.S.C. 552, will be
week after being opened for trading; to
available for Web site viewing and
add the definitions of Quarterly Options
printing in the Commission’s Public
Series and Short Term Option Series to
Reference Room, 100 F Street, NE.,
Rules 16.1 and 29.2; and to renumber
Washington, DC 20549, on official
and reletter definitions in Rule 16.1 and
business days between the hours of
10 a.m. and 3 p.m. Copies of such filing Rule 29.2.
The text of the proposed rule change
also will be available for inspection and
is available at the Exchange’s Web site
copying at the principal office of the
at https://www.batstrading.com, at the
Exchange. All comments received will
principal office of the Exchange, on the
be posted without change; the
Commission’s Web site at https://
Commission does not edit personal
identifying information from
13 17 CFR 200.30–3(a)(12).
submissions. You should submit only
1 15 U.S.C. 78s(b)(1).
information that you wish to make
2 17 CFR 240.19b–4.
available publicly. All submissions
3 15 U.S.C. 78s(b)(3)(A).
should refer to File number SR–
4 17 CFR 240.19b–4(f)(6)(iii).
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Paper Comments
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17:52 Aug 04, 2010
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47335
PO 00000
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Sfmt 4703
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the proposed rule
change is to establish a short term
option program on the Exchange (‘‘STO
Program’’ or ‘‘Short Term Option
Program’’) by proposing to add new Rule
19.6, Interpretation Policy .05 and Rule
29.11(h) in order to list option series
that expire one week after being opened
for trading (‘‘Short Term Option Series’’
or ‘‘STO’’). The Exchange also proposes
to add the definitions of ‘‘Quarterly
Options Series’’ and ‘‘Short Term Option
Series’’ to Rule 16.1 and Rule 29.2 ,5 and
to renumber and reletter definitions in
Rule 16.1 and Rule 29.2.
The Commission approved the Short
Term Option Program on a pilot basis in
2005 and approved permanent
establishment of the Short Term Option
Program in 2009 on behalf of Chicago
Board Options Exchange (‘‘CBOE’’) in its
Rules 5.5 and 24.9.6 Thereafter, CBOE
amended Rules 5.5 and 24.9 to permit
opening Short Term Option Series not
just on Friday but also on Thursday.7
5 Short Term Option Series is defined as: A series
in an option class that is approved for listing and
trading on the Exchange in which the series is
opened for trading on any Thursday or Friday that
is a business day and that expires on the Friday of
the next business week. If a Thursday or Friday is
not a business day, the series may be opened (or
shall expire) on the first business day immediately
prior to that Thursday or Friday, respectively.
Proposed Rules 16.1(a)(56) and 29.2(n).
6 CBOE refers to its short term option program as
the ‘‘Weeklys Program.’’ See Securities Exchange
Act Release Nos. 52011 (July 12, 2005), 70 FR 41451
(July 19, 2005) (SR–CBOE–2004–63) (approval order
establishing Weeklys Pilot Program) and 59824
(April 27, 2009), 74 FR 20518 (May 4, 2009) (SR–
CBOE–2009–018) (approval order permanently
establishing Weeklys Program).
7 See Securities Exchange Act Release No. 62170
(May 25, 2010), 75 FR 30889 (June 2, 2010) (SR–
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05AUN1
]]>Agencies
[Federal Register Volume 75, Number 150 (Thursday, August 5, 2010)]
[Notices]
[Pages 47333-47335]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-19262]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-62599; File No. SR-NYSEAmex-2010-75]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by NYSE Amex LLC To Amend Certain
of Its Rules in Connection With the Decommissioning of the Odd-Lot
System
July 29, 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 July 29, 2010, NYSE Amex LLC (the ``Exchange'' or ``NYSE
Amex'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by the 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 amend certain of its NYSE Amex Equities
Rule 500 Series to correspond with rule changes filed by the Exchange
and approved by the Commission.\3\ The text of the proposed rule change
is available at the Exchange's principal office, from the Commission's
Public Reference Room, on the Commission's Web site at https://www.sec.gov, and at https://www.nyse.com.
---------------------------------------------------------------------------
\3\ See Securities Exchange Act Release No. 62578 (July 27,
2010) (order approving SR-NYSE-2010-43 and SR-NYSEAmex-2010-53).
---------------------------------------------------------------------------
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.
[[Page 47334]]
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to amend certain of the
NYSE Amex Equities Rule 500 Series to correspond with rule changes
filed by the Exchange and approved by the Commission.
a. Background
On July 27, 2010, the Commission approved amendments to certain
Exchange rules relating to the receipt and execution of odd-lot
interest into the round-lot market and to decommission the use of the
odd-lot system.\4\ The Exchange proposes to implement these changes on
a stock-by-stock basis beginning on July 30, 2010.
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release No. 62578 (July 27,
2010). The New York Stock Exchange LLC (``NYSE'') submitted, and
received SEC approval of, a companion rule filing adopting trading-
in-shares. See id.
---------------------------------------------------------------------------
As approved, the Exchange will no longer trade odd-lot sized
(generally, less than 100 shares) orders in a separate, dedicated
system, but will trade them on the Display Book system, which the
Exchange uses for round-lot sized orders. As part of these changes, the
new unit of trading on the Exchange will be one share. However, quotes
of less than one round-lot (generally, 100 shares) will not be
displayed as the Exchange quotation and odd-lot sized transactions will
not be published to the Consolidated Tape.
b. Proposed Amendments to Rules 501-, 506- and 508- NYSE Amex Equities
In conjunction with the Exchange's decommissioning of its odd-lot
system, the Exchange proposes conforming amendments to Rules 501-, 506-
and 508- NYSE Amex Equities governing the trading of Nasdaq Securities.
In Rule 501(a)--NYSE Amex Equities, the Exchange proposes to amend
the definition of the term ``Closing Price'' to mean the last
transaction in a Nasdaq Security on the Exchange reported to the
Consolidated Tape. This change is necessary because, under the current
Rule, a last transaction on the Exchange in a Nasdaq Security could be
an odd-lot sized transaction, which would not be reported to the
Consolidated Tape. The proposed change makes clear that only
transactions reported to the Consolidated Tape would be considered for
the Closing Price. In paragraph (e)(1) of Rule 501--NYSE Amex Equities,
the Exchange further proposes to add language to conform the definition
of a ``Stop Order'' for Nasdaq Securities with that for the Exchange's
listed securities in accordance with Rule 13--NYSE Amex Equities.
The Exchange proposes to amend Rule 506(a)--NYSE Amex Equities to
conform with the approved changes to Rules 55- and 56- NYSE Amex
Equities. Thus, the minimum unit of trading for Nasdaq Securities will
be one share and Nasdaq Securities will be quoted in round-lots of 100
shares, unless the UTP Listing Market determines otherwise, in which
case the provisions of Rule 64--NYSE Amex Equities shall apply.
Correspondingly, the Exchange further proposes to delete the provisions
of Rule 506(b)(1)(A)- and (B)- NYSE Amex Equities related to odd-lots
and partial round-lots, and the cross-reference to Rule 65--NYSE Amex
Equities in paragraph (b)(3)(A) of Rule 506--NYSE Amex Equities.
The Exchange further proposes to delete the provisions of Rule
508(a)(1)(A)--NYSE Amex Equities. Because odd-lot sized orders will no
longer trade on their own system, but will instead trade with all other
interest in Display Book, odd-lot sized orders in Nasdaq Securities
will not be accepted by the Exchange before trading opens and will be
rejected by Exchange systems.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of 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.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange believes that the proposed rule change supports the
objectives of the Act by conforming, as needed, its rules governing the
trading of Nasdaq Securities with the rules for trading its listed
securities.
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) 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)(iii)
requires the Exchange to give the Commission written notice of the
Exchange's intent to file the proposed rule change, along with a
brief description and text of 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
Commission has waived the five-day pre-filing requirement in this
case.
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The Exchange has requested that the Commission waive the 30-day
operative delay. The Commission believes that waiver of the operative
delay is consistent with the protection of investors and the public
interest because the proposal is substantially similar to another
proposal that was approved by the Commission.\11\ In addition, waiver
of the operative delay will allow the proposed rule changes to become
operative before the existing odd-lot system is decommissioned on July
30, 2010, and thus will ensure consistency between the rules governing
trading of Nasdaq Securities and listed securities. Therefore, the
Commission designates the proposal operative upon filing.\12\
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\11\ See Securities Exchange Act Release No. 62578 (July 27,
2010) (SR-NYSEAmex-2010-53).
\12\ For purposes only of waiving the 30-day operative delay,
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 the 60-day period beginning on the date of
filing of the proposed rule change, the Commission summarily may
temporarily suspend
[[Page 47335]]
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 e-mail to rule-comments@sec.gov. Please include File
Number SR-NYSEAmex-2010-75 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-2010-75. 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 Web site
viewing and printing 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
available publicly. All submissions should refer to File number SR-
NYSEAmex-2010-75 and should be submitted on or before August 26, 2010.
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\13\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-19262 Filed 8-4-10; 8:45 am]
BILLING CODE 8010-01-P
