Self-Regulatory Organizations; NASDAQ OMX PHLX LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Establish a Revenue Sharing Program With Correlix, Inc. and Free Trial Period for New Users, 68387-68389 [2010-27944]
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Federal Register / Vol. 75, No. 214 / Friday, November 5, 2010 / Notices
Comments may be submitted by any of
the following methods:
SECURITIES AND EXCHANGE
COMMISSION
Electronic Comments
[Release No. 34–63219; File No. SR–Phlx–
2010–152]
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–NASDAQ–2010–140 on the
subject line.
Paper Comments
mstockstill on DSKH9S0YB1PROD with NOTICES
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–NASDAQ–2010–140. 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–
NASDAQ–2010–140, and should be
submitted on or before November 26,
2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–27943 Filed 11–4–10; 8:45 am]
BILLING CODE 8011–01–P
Self-Regulatory Organizations;
NASDAQ OMX PHLX LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Establish a
Revenue Sharing Program With
Correlix, Inc. and Free Trial Period for
New Users
November 1, 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 October
26, 2010, NASDAQ OMX PHLX LLC
(‘‘Phlx’’ or ‘‘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 Exchange. The Exchange has
designated the proposed rule change as
effecting a change described under Rule
19b–4(f)(6) under the Act,3 which
renders the proposal effective upon
filing with the Commission.
The Commission is publishing this
notice to solicit comments on the
proposed rule change from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
The Exchange is filing with the
Securities and Exchange Commission
(‘‘Commission’’) a proposed rule change
to establish a revenue sharing program
with Correlix, Inc. and a free trial period
for new users. The text of the proposed
rule change is available at https://
www.nasdaqtrader.com/
micro.aspx?id=PHLXRulefilings, at the
Exchange’s principal office, on the
Commission’s Web site at https://
www.sec.gov, and at the Commission’s
Public Reference Room. The Exchange
will implement the proposed rule
change immediately.
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
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 17 CFR 240.19b–4(f)(6).
CFR 200.30–3(a)(12).
VerDate Mar<15>2010
17:16 Nov 04, 2010
Jkt 223001
PO 00000
Frm 00073
Fmt 4703
places specified in Item IV below. The
Exchange 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
The Exchange is filing a proposed rule
change to establish a revenue sharing
program with Correlix. The Exchange
has entered into an agreement with
Correlix to provide to users of the
Exchange real-time analytical tools to
measure the latency of orders to and
from its systems. Under the agreement,
the Exchange will receive 30% of the
total monthly subscription fees received
by Correlix from parties who have
contracted directly with Correlix to use
their RaceTeam latency measurement
service for the Exchange’s systems. The
Exchange will not bill or contract with
any Correlix RaceTeam customer
directly.
Pricing for the Correlix RaceTeam
product for the Exchange varies
depending on the number of unique
MPIDs and ports selected by the
customer for monitoring by Correlix. For
the Exchange, the fee will be an initial
$1,000 monthly base fee for the first
unique MPID monitored. For each
additional unique MIPD sought to be
monitored, an additional monthly
charge of $1,000 will be assessed. The
monthly price for each unique MPID
includes the monitoring of up to 25
Exchange port connections associated
with that particular MPID. Customers
that wish to exceed 25 ports per-MPID
for monitoring can purchase additional
25 port blocks for an additional fee of
$1000 per month per MPID.
Under the program, Correlix will see
an individualized unique Exchangegenerated identifier that will allow
Correlix RaceTeam to determine round
trip order time 4, from the time the order
reaches the Exchange extranet, through
the Exchange matching engine, and back
out of the Exchange extranet. The
RaceTeam product offering does not
measure latency outside of the Exchange
extranet. The unique identifier serves as
a technological information barrier so
that the RaceTeam data collector will
only be able to view data for Correlix
RaceTeam subscriber firms related to
latency. Correlix will not see
subscriber’s individual order detail such
as security, price or size. Individual
4 The product measures latency of orders whether
the orders are rejected, executed, or partially
executed.
2 17
10 17
68387
Sfmt 4703
E:\FR\FM\05NON1.SGM
05NON1
68388
Federal Register / Vol. 75, No. 214 / Friday, November 5, 2010 / Notices
mstockstill on DSKH9S0YB1PROD with NOTICES
RaceTeam subscribers’ logins will
restrict access to only their own latency
data. Correlix will see no specific
information regarding the trading
activity of non-subscribers. The
Exchange believes that the above
arrangement will provide users of its
systems greater transparency into the
processing of their trading activity and
allow them to make more efficient
trading decisions.
In addition, the Exchange seeks
Commission approval to establish a
flexible 60-day free trial so parties will
be eligible for one free 60-day trial
period of Correlix services whenever
they initially elect to sign-up for the
service, now or in the future. The
Exchange is proposing the flexible trial
to ensure that all Correlix users have an
equal opportunity to take advantage of
an initial free trial period. NASDAQ
also notes that the introduction of more
flexibility in determining when to
participate in the free trial period will
allow Correlix users to introduce the
product into their own technology
infrastructure at a time of their own
choosing and in coordination with other
scheduled technology initiatives.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,5
in general, and with Section 6(b)(5) of
the Act,6 in particular, in that the
proposal is designed to prevent
fraudulent and manipulative acts and
practices, to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and facilitating transactions in
securities, 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. In
particular, the filing makes transparent
uniform fees imposed for latency
measurement services.
In addition, the Exchange believes
that the proposed rule change is
consistent with the provisions of
Section 6 of the Act,7 in general, and
with Section 6(b)(4) of the Act,8 in
particular, in that it provides for the
equitable allocation of reasonable dues,
fees and other charges among members
and issuers and other persons using any
facility or system which the Exchange
operates or controls. In particular, the
5 15
U.S.C. 78f.
U.S.C. 78f(b)(5).
7 15 U.S.C. 78f.
8 15 U.S.C. 78f(b)(4).
6 15
VerDate Mar<15>2010
17:16 Nov 04, 2010
Jkt 223001
Exchange notes that the use of Correlix
latency measurement services is entirely
voluntary and made available on a nondiscriminatory basis.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will result in
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act, as amended.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The proposed rule change is effective
upon filing pursuant to Section
19(b)(3)(A) of the Act and paragraph
(f)(6) of Rule 19b–4 thereunder, in that
the proposed rule change: (i) Does not
significantly affect the protection of
investors or the public interest; (ii) does
not impose any significant burden on
competition; and (iii) does not become
operative for 30 days after the date of
the filing, or such shorter time as the
Commission may designate if consistent
with the protection of investors and the
public interest; provided the selfregulatory organization has given the
Commission written notice of its 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 Exchange has requested that the
Commission waive the 30-day operative
delay. The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest. The
Commission notes that the Correlix
service and its fee sharing model have
been previously approved by the
Commission for other markets.9 Waiver
of the 30-day operative delay will
ensure that the free period is made
available to all interested parties
without delay. Accordingly, the
Commission designates the proposed
9 See Exchange Act Release Nos. 62605 (July 30,
2010) (Approval of Correlix fee sharing for
NASDAQ Exchange), 62928 (September 17, 2010)
(Approval of Correlix fee sharing for EDGEA
Exchange), and 62929 (September 17, 2010)
(Approval of Correlix fee sharing for EDGEX
Exchange).
PO 00000
Frm 00074
Fmt 4703
Sfmt 4703
rule change operative upon filing with
the Commission.10
At any time within 60 days 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. If the
Commission takes such action, the
Commission shall institute proceedings
to determine whether the proposed rule
should be approved or disapproved.
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–Phlx–2010–152 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–Phlx–2010–152. 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.,
10 For the 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. 78(c)(f).
E:\FR\FM\05NON1.SGM
05NON1
Federal Register / Vol. 75, No. 214 / Friday, November 5, 2010 / Notices
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–Phlx–
2010–152, and should be submitted on
or before November 26, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–27944 Filed 11–4–10; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–63220; File No. SR–BX–
2010–072]
Self-Regulatory Organizations;
NASDAQ OMX BX, Inc.; Notice of Filing
and Immediate Effectiveness of
Proposed Rule Change To Establish a
Revenue Sharing Program With
Correlix, Inc. and Free Trial Period for
New Users
November 1, 2010.
mstockstill on DSKH9S0YB1PROD with NOTICES
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 October
26, 2010, NASDAQ OMX BX, Inc. (‘‘BX’’
or ‘‘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 BX. The Exchange has designated the
proposed rule change as effecting a
change described under Rule 19b–4(f)(6)
under the Act,3 which renders the
proposal effective upon filing with the
Commission.
The Commission is publishing this
notice to solicit comments on the
proposed rule change from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
BX proposes to establish a revenue
sharing program with Correlix, Inc. and
11 17
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 17 CFR 240.19b–4(f)(6).
VerDate Mar<15>2010
17:16 Nov 04, 2010
Jkt 223001
a free trial period for new users. BX will
implement the proposed change
immediately. The text of the proposed
rule change is available at https://
nasdaqomxbx.cchwallstreet.com, at
BX’s principal office, on the
Commission’s Web site at https://
www.sec.gov, 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, BX
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. BX 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
The Exchange is filing a proposed rule
change to establish a revenue sharing
program with Correlix. The Exchange
has entered into an agreement with
Correlix to provide to users of the
Exchange real-time analytical tools to
measure the latency of orders to and
from its systems. Under the agreement,
the Exchange will receive 30% of the
total monthly subscription fees received
by Correlix from parties who have
contracted directly with Correlix to use
their RaceTeam latency measurement
service for the Exchange’s systems. The
Exchange will not bill or contract with
any Correlix RaceTeam customer
directly.
Pricing for the Correlix RaceTeam
product for the Exchange varies
depending on the number of unique
MPIDs and ports selected by the
customer for monitoring by Correlix. For
the Exchange, the fee will be an initial
$1,000 monthly base fee for the first
unique MPID monitored. For each
additional unique MIPD sought to be
monitored, an additional monthly
charge of $1,000 will be assessed. The
monthly price for each unique MPID
includes the monitoring of up to 25
Exchange port connections associated
with that particular MPID. Customers
that wish to exceed 25 ports per MPID
for monitoring can purchase additional
25 port blocks for an additional fee of
$1,000 per month per MPID.
PO 00000
Frm 00075
Fmt 4703
Sfmt 4703
68389
Under the program, Correlix will see
an individualized unique Exchangegenerated identifier that will allow
Correlix RaceTeam to determine round
trip order time,4 from the time the order
reaches the Exchange extranet, through
the Exchange matching engine, and back
out of the Exchange extranet. The
RaceTeam product offering does not
measure latency outside of the Exchange
extranet. The unique identifier serves as
a technological information barrier so
that the RaceTeam data collector will
only be able to view data for Correlix
RaceTeam subscriber firms related to
latency. Correlix will not see
subscriber’s individual order detail such
as security, price or size. Individual
RaceTeam subscribers’ logins will
restrict access to only their own latency
data. Correlix will see no specific
information regarding the trading
activity of non-subscribers.
The Exchange believes that the above
arrangement will provide users of its
systems greater transparency into the
processing of their trading activity and
allow them to make more efficient
trading decisions.
In addition, the Exchange seeks
Commission approval to establish a
flexible 60-day free trial so parties will
be eligible for one free 60-day trial
period of Correlix services whenever
they initially elect to sign up for the
service, now or in the future. The
Exchange is proposing the flexible trial
to ensure that all Correlix users have an
equal opportunity to take advantage of
an initial free trial period. NASDAQ
also notes that the introduction of more
flexibility in determining when to
participate in the free trial period will
allow Correlix users to introduce the
product into their own technology
infrastructure at a time of their own
choosing and in coordination with other
scheduled technology initiatives.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,5
in general, and with Section 6(b)(5) of
the Act,6 in particular, in that the
proposal is designed to prevent
fraudulent and manipulative acts and
practices, to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and facilitating transactions in
4 The product measures latency of orders whether
the orders are rejected, executed, or partially
executed.
5 15 U.S.C. 78f.
6 15 U.S.C. 78f(b)(5).
E:\FR\FM\05NON1.SGM
05NON1
]]>Agencies
[Federal Register Volume 75, Number 214 (Friday, November 5, 2010)]
[Notices]
[Pages 68387-68389]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-27944]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-63219; File No. SR-Phlx-2010-152]
Self-Regulatory Organizations; NASDAQ OMX PHLX LLC; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Establish
a Revenue Sharing Program With Correlix, Inc. and Free Trial Period for
New Users
November 1, 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 October 26, 2010, NASDAQ OMX PHLX LLC (``Phlx'' or ``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 Exchange. The Exchange has designated the
proposed rule change as effecting a change described under Rule 19b-
4(f)(6) under the Act,\3\ which renders the proposal effective upon
filing with the Commission.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
The Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
The Exchange is filing with the Securities and Exchange Commission
(``Commission'') a proposed rule change to establish a revenue sharing
program with Correlix, Inc. and a free trial period for new users. The
text of the proposed rule change is available at https://www.nasdaqtrader.com/micro.aspx?id=PHLXRulefilings, at the Exchange's
principal office, on the Commission's Web site at https://www.sec.gov,
and at the Commission's Public Reference Room. The Exchange will
implement the proposed rule change immediately.
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 aspects of such
statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange is filing a proposed rule change to establish a
revenue sharing program with Correlix. The Exchange has entered into an
agreement with Correlix to provide to users of the Exchange real-time
analytical tools to measure the latency of orders to and from its
systems. Under the agreement, the Exchange will receive 30% of the
total monthly subscription fees received by Correlix from parties who
have contracted directly with Correlix to use their RaceTeam latency
measurement service for the Exchange's systems. The Exchange will not
bill or contract with any Correlix RaceTeam customer directly.
Pricing for the Correlix RaceTeam product for the Exchange varies
depending on the number of unique MPIDs and ports selected by the
customer for monitoring by Correlix. For the Exchange, the fee will be
an initial $1,000 monthly base fee for the first unique MPID monitored.
For each additional unique MIPD sought to be monitored, an additional
monthly charge of $1,000 will be assessed. The monthly price for each
unique MPID includes the monitoring of up to 25 Exchange port
connections associated with that particular MPID. Customers that wish
to exceed 25 ports per-MPID for monitoring can purchase additional 25
port blocks for an additional fee of $1000 per month per MPID.
Under the program, Correlix will see an individualized unique
Exchange-generated identifier that will allow Correlix RaceTeam to
determine round trip order time \4\, from the time the order reaches
the Exchange extranet, through the Exchange matching engine, and back
out of the Exchange extranet. The RaceTeam product offering does not
measure latency outside of the Exchange extranet. The unique identifier
serves as a technological information barrier so that the RaceTeam data
collector will only be able to view data for Correlix RaceTeam
subscriber firms related to latency. Correlix will not see subscriber's
individual order detail such as security, price or size. Individual
[[Page 68388]]
RaceTeam subscribers' logins will restrict access to only their own
latency data. Correlix will see no specific information regarding the
trading activity of non-subscribers. The Exchange believes that the
above arrangement will provide users of its systems greater
transparency into the processing of their trading activity and allow
them to make more efficient trading decisions.
---------------------------------------------------------------------------
\4\ The product measures latency of orders whether the orders
are rejected, executed, or partially executed.
---------------------------------------------------------------------------
In addition, the Exchange seeks Commission approval to establish a
flexible 60-day free trial so parties will be eligible for one free 60-
day trial period of Correlix services whenever they initially elect to
sign-up for the service, now or in the future. The Exchange is
proposing the flexible trial to ensure that all Correlix users have an
equal opportunity to take advantage of an initial free trial period.
NASDAQ also notes that the introduction of more flexibility in
determining when to participate in the free trial period will allow
Correlix users to introduce the product into their own technology
infrastructure at a time of their own choosing and in coordination with
other scheduled technology initiatives.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\5\ in general, and with
Section 6(b)(5) of the Act,\6\ in particular, in that the proposal is
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, 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. In
particular, the filing makes transparent uniform fees imposed for
latency measurement services.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78f.
\6\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
In addition, the Exchange believes that the proposed rule change is
consistent with the provisions of Section 6 of the Act,\7\ in general,
and with Section 6(b)(4) of the Act,\8\ in particular, in that it
provides for the equitable allocation of reasonable dues, fees and
other charges among members and issuers and other persons using any
facility or system which the Exchange operates or controls. In
particular, the Exchange notes that the use of Correlix latency
measurement services is entirely voluntary and made available on a non-
discriminatory basis.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f.
\8\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
result in any burden on competition that is not necessary or
appropriate in furtherance of the purposes of the Act, as amended.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The proposed rule change is effective upon filing pursuant to
Section 19(b)(3)(A) of the Act and paragraph (f)(6) of Rule 19b-4
thereunder, in that the proposed rule change: (i) Does not
significantly affect the protection of investors or the public
interest; (ii) does not impose any significant burden on competition;
and (iii) does not become operative for 30 days after the date of the
filing, or such shorter time as the Commission may designate if
consistent with the protection of investors and the public interest;
provided the self-regulatory organization has given the Commission
written notice of its 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 Exchange has requested that the Commission waive the 30-day
operative delay. The Commission believes that waiving the 30-day
operative delay is consistent with the protection of investors and the
public interest. The Commission notes that the Correlix service and its
fee sharing model have been previously approved by the Commission for
other markets.\9\ Waiver of the 30-day operative delay will ensure that
the free period is made available to all interested parties without
delay. Accordingly, the Commission designates the proposed rule change
operative upon filing with the Commission.\10\
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\9\ See Exchange Act Release Nos. 62605 (July 30, 2010)
(Approval of Correlix fee sharing for NASDAQ Exchange), 62928
(September 17, 2010) (Approval of Correlix fee sharing for EDGEA
Exchange), and 62929 (September 17, 2010) (Approval of Correlix fee
sharing for EDGEX Exchange).
\10\ For the 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.
78(c)(f).
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At any time within 60 days 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. If the Commission
takes such action, the Commission shall institute proceedings to
determine whether the proposed rule should be approved or disapproved.
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-Phlx-2010-152 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-Phlx-2010-152. 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.,
[[Page 68389]]
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-Phlx-2010-152, and should be
submitted on or before November 26, 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. 2010-27944 Filed 11-4-10; 8:45 am]
BILLING CODE 8011-01-P
