Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Order Granting Approval to a Proposed Rule Change Relating to the National Quotation Dissemination Service, 57822-57823 [2010-23631]
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Federal Register / Vol. 75, No. 183 / Wednesday, September 22, 2010 / Notices
respectively) 4, exam fees ($500), permit
transfer fees ($500), and fingerprint fees
($50) are all being adopted. The
proposed fee levels are comparable to
those in place at CBOE. For the reasons
stated above, these fees, with the
exception of renewal fees (which are
applicable on subsequent one-year
anniversaries of C2 ‘‘membership’’),
statutory disqualification fees, Rule
19h–1 change in status fees, exam fees,
permit transfer fees, and fingerprint fees
will not be charged to CBOE permit
holders seeking to trade on C2.
The changes will take effect on
September 13, 2010.
2. Statutory Basis
The proposed rule change is
consistent with Section 6(b) of the
Securities Exchange Act of 1934
(‘‘Act’’),5 in general, and furthers the
objectives of Section 6(b)(4) 6 of the Act
in particular, in that it is designed to
provide for the equitable allocation of
reasonable dues, fees, and other charges
among C2 members and other persons
using its facilities. C2 notes that
applicants, depending on whether they
are organizations or sole-proprietors,
will all be charged fixed fees which is
[sic] intended to offset the Exchange’s
costs of processing the permit holder
applications and application-related
matters, and that the proposed fee
amounts are comparable to those
charged by CBOE.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
C2 does not believe that the proposed
rule change will impose any burden on
competition not necessary or
appropriate in furtherance of the
purposes of the Act.
emcdonald on DSK2BSOYB1PROD with NOTICES
4 The
statutory disqualification fee is payable
whenever a person or entity is subject to a statutory
disqualification under the Securities Exchange Act
of 1934 and: (i) Is an applicant for Exchange
membership, (ii) is seeking to be an associated
person of an Exchange member (except where the
Exchange is merely asked to concur in an SEC Rule
19h–1 filing by another self regulatory
organization), or (iii) is an existing Exchange
member or associated person who makes an
application in accordance with Rule 3.5 or with
respect to whom a proceeding is initiated pursuant
to Rule 3.5. This fee is in addition to any other
membership fees that might be applicable. The Rule
19h–1 Change in Status Fee is payable whenever a
person or entity, on whose behalf the Exchange has
filed a Rule 19h–1 filing that has been approved by
the SEC, applies for a change in status that requires
the Exchange to file an amended or additional Rule
19h–1 filing, if the Exchange approves the
requested change in status. This fee is in addition
to any other membership fees that might be
applicable.
5 15 U.S.C. 78f(b).
6 15 U.S.C. 78f(b)(4).
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17:32 Sep 21, 2010
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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 proposed rule change is
designated by the Exchange as
establishing or changing a due, fee, or
other charge, thereby qualifying for
effectiveness on filing pursuant to
Section 19(b)(3)(A)(ii) 7 of the Act and
subparagraph (f)(2) of Rule 19b–4 8
thereunder. At any time within 60 days
of the filing of such 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:
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–C2–2010–003 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–C2–2010–003. 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 website 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 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–C2–
2010–003 and should be submitted on
or before October 13, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–23595 Filed 9–21–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62925; File No. SR–
NASDAQ–2010–096]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Order
Granting Approval to a Proposed Rule
Change Relating to the National
Quotation Dissemination Service
September 16, 2010.
I. Introduction
On August 2, 2010, The NASDAQ
Stock Market LLC (‘‘NASDAQ’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission (the
‘‘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 NASDAQ Rule 7017(b) to reestablish retroactively from January 1,
2008, a pilot program reducing the
monthly fee that non-professional users
pay to receive the National Quotation
Dissemination Service (‘‘NQDS’’) from
$50 to $10. The proposed rule change
was published for comment in the
9 17
7 15
U.S.C. 78s(b)(3)(A)(ii).
8 17 CFR 240.19b–4(f)(2).
PO 00000
Frm 00087
Fmt 4703
Sfmt 4703
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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Federal Register / Vol. 75, No. 183 / Wednesday, September 22, 2010 / Notices
Federal Register on August 9, 2010.3
The Commission received no comment
letters on the proposal. This order
approves the proposed rule change.
II. Description of the Proposal
NASDAQ is proposing to re-establish
retroactively from January 1, 2008
through July 27, 2010,4 the fee reduction
pilot program that reduced the monthly
fee that non-professional users pay to
receive NQDS from $50 to $10, to
correct for the lapse in the pilot and to
prevent the collection of the additional
$40 in monthly fees from investors for
the period during which the pilot had
lapsed.5 Prior to August 31, 2000, NQDS
data was available through authorized
vendors at a monthly rate of $50 for
professionals and non-professionals
users alike. In August 2000, NASDAQ
filed a proposed rule change to reduce
from $50 to $10 the monthly fee that
non-professional users pay to receive
NQDS data. The Commission approved
the pilot on August 22, 2000, and the fee
reduction commenced on August 31,
2000 on a one-year pilot basis.6 On
September 5, 2001, August 30, 2002,
August 18, 2003, August 23, 2004,
January 24, 2006, and March 29, 2007,
NASDAQ filed proposed rule changes to
extend the pilot for additional one-year
periods.7
NASDAQ believes that continuing the
reduction of NQDS for non-professional
users demonstrates NASDAQ’s
continued commitment to provide data
to non-professional market participants
and individual investors.
emcdonald on DSK2BSOYB1PROD with NOTICES
III. Discussion and Commission
Findings
The Commission finds that the
proposed rule change is consistent with
3 See Securities Exchange Act Release No. 62629
(August 3, 2010), 75 FR 47871 (‘‘Notice’’).
4 On July 27, 2010, NASDAQ filed a proposed
rule change to make the pilot fee reduction
permanent. See Securities Exchange Act Release
No. 62614 (July 30, 2010), 75 FR 47668 (August 6,
2010).
5 NQDS is a proprietary data product that
contains the best bid and offer quotation of each
registered market maker quoting in NASDAQ-listed
securities on the NASDAQ Stock Market. NQDS
data is used not only by firms, associated persons,
and other market professionals, but also by nonprofessionals who receive the service through
authorized vendors, including, for example, on-line
brokerage firms. For a more detailed discussion of
NQDS, see Notice.
6 See Securities Exchange Act Release No. 43190
(August 22, 2000), 65 FR 52460 (August 29, 2000).
7 See Securities Exchange Act Release Nos. 44788
(September 13, 2001), 66 FR 48303 (September 19,
2001); 46446 (August 30, 2002), 67 FR 57260
(September 9, 2002); 48386 (August 21, 2003), 68
FR 51618 (August 27, 2003); 50318 (September 3,
2004), 69 FR 54821 (September 10, 2004); 53531
(March 21, 2006), 71 FR 15506 (March 28, 2006);
and 55668 (April 25, 2007), 72 FR 24347 (May 2,
2007).
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17:32 Sep 21, 2010
Jkt 220001
the requirements of the Act and the
rules and regulations thereunder
applicable to a national securities
exchange.8 In particular, it is consistent
with Section 6(b)(4) of the Act,9 which
requires that the rules of a national
securities exchange provide for the
equitable allocation of reasonable dues,
fees, and other charges among its
members and issuers and other parties
using its facilities, and Section 6(b)(5) of
the Act,10 which requires, among other
things, that the rules of a national
securities exchange be designed 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, and
not be designed to permit unfair
discrimination between customers,
issuers, brokers, or dealers. The
Commission also finds that the
proposed rule change is consistent with
the provisions of Section 6(b)(8) of the
Act,11 which requires that the rules of
an exchange not impose any burden on
competition not necessary or
appropriate in furtherance of the
purposes of the Act. Finally, the
Commission finds that the proposed
rule change is consistent with Rule
603(a) of Regulation NMS,12 adopted
under Section 11A(c)(1) of the Act,
which requires an exclusive processor
that distributes information with respect
to quotations for or transactions in an
NMS stock to do so on terms that are
fair and reasonable and that are not
unreasonably discriminatory.13
The Commission notes that the
proposed rule change involves the
retroactive application of a fee reduction
pilot that benefits non-professional
market participants and that has been in
effect in practice since 2000. The
Commission approved the reduced fee
pilot at its inception in 2000, and
subsequently extended the pilot as cited
above. NASDAQ charged the reduced
fee, although its NQDS fee reduction
pilot had expired, during the period
from January 1, 2008 through July 27,
2010, at which time NASDAQ filed an
immediately effective proposal that
made the reduced NQDS fee for non8 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).
9 15 U.S.C. 78f(b)(4).
10 15 U.S.C. 78f(b)(5).
11 15 U.S.C. 78f(b)(8).
12 17 CFR 242.603(a).
13 NASDAQ is an exclusive processor of its NQDS
data under Section 3(a)(22)(B) of the Act, 15 U.S.C.
78c(a)(22)(B), which defines an exclusive processor
as, among other things, an exchange that distributes
data on an exclusive basis on its own behalf.
PO 00000
Frm 00088
Fmt 4703
Sfmt 4703
57823
professionals permanent. The
Commission notes that no comments
were received from any market
participants, including NASDAQ
members, information vendors,
investors, non-professionals, or any
other interested parties, on the initial
pilot filing in 2000, on any of the pilot’s
extensions, on the immediately effective
filing for permanent approval of the
reduced fee, or on this filing. For the
reasons discussed above, the
Commission believes that retroactive
approval of the fee reduction pilot from
January 1, 2008 is appropriate.
IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,14 that the
proposed rule change (SR–NASDAQ–
2010–096), be, and it hereby is,
approved.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–23631 Filed 9–21–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62909; File No. SR–BX–
2010–063]
Self-Regulatory Organizations;
NASDAQ OMX BX, Inc.; Notice of Filing
and Immediate Effectiveness of
Proposed Rule Change Adding the
CBOE Volatility Index Futures to the
Definition of a Futures Reference
Asset in Chapter IV, Section 3(k)(i)(5)
September 14, 2010.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on
September 8, 2010, NASDAQ OMX BX,
Inc. (the ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the self-regulatory organization. The
Commission is publishing this notice to
solicit comments on the proposed rule
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Chapter IV, Section 3 (Criteria for
Underlying Securities) of the Rules of
the Boston Options Exchange Group,
LLC (‘‘BOX’’) to permit options on
14 15
U.S.C. 78s(b)(2).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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22SEN1
]]>Agencies
[Federal Register Volume 75, Number 183 (Wednesday, September 22, 2010)]
[Notices]
[Pages 57822-57823]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-23631]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-62925; File No. SR-NASDAQ-2010-096]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Order
Granting Approval to a Proposed Rule Change Relating to the National
Quotation Dissemination Service
September 16, 2010.
I. Introduction
On August 2, 2010, The NASDAQ Stock Market LLC (``NASDAQ'' or
``Exchange'') filed with the Securities and Exchange Commission (the
``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 NASDAQ Rule 7017(b) to re-establish
retroactively from January 1, 2008, a pilot program reducing the
monthly fee that non-professional users pay to receive the National
Quotation Dissemination Service (``NQDS'') from $50 to $10. The
proposed rule change was published for comment in the
[[Page 57823]]
Federal Register on August 9, 2010.\3\ The Commission received no
comment letters on the proposal. This order approves the proposed rule
change.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ See Securities Exchange Act Release No. 62629 (August 3,
2010), 75 FR 47871 (``Notice'').
---------------------------------------------------------------------------
II. Description of the Proposal
NASDAQ is proposing to re-establish retroactively from January 1,
2008 through July 27, 2010,\4\ the fee reduction pilot program that
reduced the monthly fee that non-professional users pay to receive NQDS
from $50 to $10, to correct for the lapse in the pilot and to prevent
the collection of the additional $40 in monthly fees from investors for
the period during which the pilot had lapsed.\5\ Prior to August 31,
2000, NQDS data was available through authorized vendors at a monthly
rate of $50 for professionals and non-professionals users alike. In
August 2000, NASDAQ filed a proposed rule change to reduce from $50 to
$10 the monthly fee that non-professional users pay to receive NQDS
data. The Commission approved the pilot on August 22, 2000, and the fee
reduction commenced on August 31, 2000 on a one-year pilot basis.\6\ On
September 5, 2001, August 30, 2002, August 18, 2003, August 23, 2004,
January 24, 2006, and March 29, 2007, NASDAQ filed proposed rule
changes to extend the pilot for additional one-year periods.\7\
---------------------------------------------------------------------------
\4\ On July 27, 2010, NASDAQ filed a proposed rule change to
make the pilot fee reduction permanent. See Securities Exchange Act
Release No. 62614 (July 30, 2010), 75 FR 47668 (August 6, 2010).
\5\ NQDS is a proprietary data product that contains the best
bid and offer quotation of each registered market maker quoting in
NASDAQ-listed securities on the NASDAQ Stock Market. NQDS data is
used not only by firms, associated persons, and other market
professionals, but also by non-professionals who receive the service
through authorized vendors, including, for example, on-line
brokerage firms. For a more detailed discussion of NQDS, see Notice.
\6\ See Securities Exchange Act Release No. 43190 (August 22,
2000), 65 FR 52460 (August 29, 2000).
\7\ See Securities Exchange Act Release Nos. 44788 (September
13, 2001), 66 FR 48303 (September 19, 2001); 46446 (August 30,
2002), 67 FR 57260 (September 9, 2002); 48386 (August 21, 2003), 68
FR 51618 (August 27, 2003); 50318 (September 3, 2004), 69 FR 54821
(September 10, 2004); 53531 (March 21, 2006), 71 FR 15506 (March 28,
2006); and 55668 (April 25, 2007), 72 FR 24347 (May 2, 2007).
---------------------------------------------------------------------------
NASDAQ believes that continuing the reduction of NQDS for non-
professional users demonstrates NASDAQ's continued commitment to
provide data to non-professional market participants and individual
investors.
III. Discussion and Commission Findings
The Commission 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.\8\ In
particular, it is consistent with Section 6(b)(4) of the Act,\9\ which
requires that the rules of a national securities exchange provide for
the equitable allocation of reasonable dues, fees, and other charges
among its members and issuers and other parties using its facilities,
and Section 6(b)(5) of the Act,\10\ which requires, among other things,
that the rules of a national securities exchange be designed 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,
and not be designed to permit unfair discrimination between customers,
issuers, brokers, or dealers. The Commission also finds that the
proposed rule change is consistent with the provisions of Section
6(b)(8) of the Act,\11\ which requires that the rules of an exchange
not impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act. Finally, the Commission finds
that the proposed rule change is consistent with Rule 603(a) of
Regulation NMS,\12\ adopted under Section 11A(c)(1) of the Act, which
requires an exclusive processor that distributes information with
respect to quotations for or transactions in an NMS stock to do so on
terms that are fair and reasonable and that are not unreasonably
discriminatory.\13\
---------------------------------------------------------------------------
\8\ 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).
\9\ 15 U.S.C. 78f(b)(4).
\10\ 15 U.S.C. 78f(b)(5).
\11\ 15 U.S.C. 78f(b)(8).
\12\ 17 CFR 242.603(a).
\13\ NASDAQ is an exclusive processor of its NQDS data under
Section 3(a)(22)(B) of the Act, 15 U.S.C. 78c(a)(22)(B), which
defines an exclusive processor as, among other things, an exchange
that distributes data on an exclusive basis on its own behalf.
---------------------------------------------------------------------------
The Commission notes that the proposed rule change involves the
retroactive application of a fee reduction pilot that benefits non-
professional market participants and that has been in effect in
practice since 2000. The Commission approved the reduced fee pilot at
its inception in 2000, and subsequently extended the pilot as cited
above. NASDAQ charged the reduced fee, although its NQDS fee reduction
pilot had expired, during the period from January 1, 2008 through July
27, 2010, at which time NASDAQ filed an immediately effective proposal
that made the reduced NQDS fee for non-professionals permanent. The
Commission notes that no comments were received from any market
participants, including NASDAQ members, information vendors, investors,
non-professionals, or any other interested parties, on the initial
pilot filing in 2000, on any of the pilot's extensions, on the
immediately effective filing for permanent approval of the reduced fee,
or on this filing. For the reasons discussed above, the Commission
believes that retroactive approval of the fee reduction pilot from
January 1, 2008 is appropriate.
IV. Conclusion
It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\14\ that the proposed rule change (SR-NASDAQ-2010-096), be, and it
hereby is, approved.
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\14\ 15 U.S.C. 78s(b)(2).
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-23631 Filed 9-21-10; 8:45 am]
BILLING CODE 8010-01-P
