Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Related to Fees for Use of BATS Exchange, Inc., 70326-70328 [2010-28896]

Download as PDF 70326 Federal Register / Vol. 75, No. 221 / Wednesday, November 17, 2010 / Notices requirements of Section 6 of the Act. Specifically, the Exchange believes that the proposed rule change is consistent with Section 6(b)(4) of the Act, in that it provides for the equitable allocation of reasonable dues, fees and other charges among members and other persons using any facility or system which the Exchange operates or controls. The Exchange notes that it 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. Also, although routing services offered by the Exchange are available to all Members, Members are not required to use the Exchange’s routing services, but instead, the Exchange’s routing services are completely optional. Members can manage their own routing practices or can utilize a myriad of other routing solutions that are available to market participants. Finally, the change to the fee will allow the Exchange to continue to charge its Members the same fee for orders routed to and executed by its affiliate, BZX Exchange, as BZX Exchange would charge directly if such Members routed to BZX Exchange directly. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change imposes any burden on competition. C. Self-Regulatory Organization’s Statement on Comments Regarding the Proposed Rule Change Received From Members, Participants or Others No written comments were solicited or received. mstockstill on DSKH9S0YB1PROD with NOTICES III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing proposed rule change has been designated as a fee change pursuant to Section 19(b)(3)(A)(ii) of the Act 10 and Rule 19b–4(f)(2) thereunder,11 because it establishes or changes a due, fee or other charge imposed on members by the Exchange. Accordingly, the proposal is effective upon filing with the Commission. 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 10 15 11 17 U.S.C. 78s(b)(3)(A)(ii). CFR 240.19b–4(f)(2). VerDate Mar<15>2010 16:21 Nov 16, 2010 Jkt 223001 investors, or otherwise in furtherance of the purposes of the Act. IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: Electronic Comments • Use the Commission’s Internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rule-comments @sec.gov. Please include File Number SR–BYX–2010–005 on the subject line. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.12 Florence E. Harmon, Deputy Secretary. [FR Doc. 2010–28895 Filed 11–16–10; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–63300; File No. SR–BATS– 2010–031] Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Related to Fees for Use of BATS Exchange, Inc. November 10, 2010. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (the ‘‘Act’’),1 and Rule 19b–4 thereunder,2 • Send paper comments in triplicate notice is hereby given that on October to Elizabeth M. Murphy, Secretary, 29, 2010, BATS Exchange, Inc. (the Securities and Exchange Commission, ‘‘Exchange,’’ ‘‘BZX Exchange’’ or ‘‘BZX’’) 100 F Street, NE., Washington, DC filed with the Securities and Exchange 20549–1090. Commission (‘‘Commission’’) the All submissions should refer to File proposed rule change as described in Items I, II and III below, which Items Number SR–BYX–2010–005. This file have been prepared by the Exchange. number should be included on the subject line if e-mail is used. To help the The Exchange has designated the proposed rule change as one Commission process and review your establishing or changing a member due, comments more efficiently, please use only one method. The Commission will fee, or other charge imposed by the under Section 19(b)(3)(A)(ii) post all comments on the Commission’s Exchange 3 of the Act and Rule 19b–4(f)(2) Web site (https://www.sec.gov/rules/ 4 sro.shtml). Copies of the submission, all thereunder, which renders the proposed rule change effective upon subsequent amendments, all written filing with the Commission. The statements with respect to the proposed Commission is publishing this notice to rule change that are filed with the solicit comments on the proposed rule Commission, and all written change from interested persons. communications relating to the I. Self-Regulatory Organization’s proposed rule change between the Commission and any person, other than Statement of the Terms of the Substance of the Proposed Rule Change those that may be withheld from the The Exchange proposes to modify its public in accordance with the fee schedule applicable to Members 5 of provisions of 5 U.S.C. 552, will be the Exchange pursuant to BZX Rules available for Web site viewing and 15.1(a) and (c). While changes to the fee printing in the Commission’s Public schedule pursuant to this proposal will Reference Room, 100 F Street, NE., be effective upon filing, the changes will Washington, DC 20549, on official become operative on November 1, 2010. business days between the hours of 10 The text of the proposed rule change a.m. and 3 p.m. Copies of such filing is available at the Exchange’s Web site also will be available for inspection and at https://www.batstrading.com, at the copying at the principal office of the principal office of the Exchange, on the Exchange. All comments received will Commission’s Web site at https:// be posted without change; the www.sec.gov, and at the Commission’s Commission does not edit personal Public Reference Room. identifying information from submissions. You should submit only 12 17 CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). information that you wish to make 2 17 CFR 240.19b–4. publicly available. All submissions 3 15 U.S.C. 78s(b)(3)(A)(ii). should refer to File Number SR–BYX– 4 17 CFR 240.19b–4(f)(2). 2010–005 and should be submitted on 5 A Member is any registered broker or dealer that or before December 8, 2010. has been admitted to membership in the Exchange. Paper Comments PO 00000 Frm 00128 Fmt 4703 Sfmt 4703 E:\FR\FM\17NON1.SGM 17NON1 Federal Register / Vol. 75, No. 221 / Wednesday, November 17, 2010 / Notices 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. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change mstockstill on DSKH9S0YB1PROD with NOTICES 1. Purpose The Exchange proposes to modify the ‘‘Equities Pricing’’ section of its fee schedule to increase its standard fee for removing liquidity from the Exchange to $0.0028 per share and to increase its standard rebate for adding displayed liquidity to the Exchange to $0.0027 per share. The Exchange does not propose to charge different fees or grant different rebates depending on the amount of orders submitted to, and/or trades executed on or through, the Exchange. Accordingly, all fees and rebates described below are applicable to all Members, regardless of the overall volume of their trading activities on the Exchange. Consistent with the current fee to remove liquidity, the charge per share for executions that remove liquidity from the Exchange will not apply [sic] executions that remove liquidity in securities priced under $1.00 per share. The fee for such executions will remain at 0.10% of the total dollar value of the execution. Similarly, as is currently the case for the rebate for adding liquidity to the Exchange, there will be no liquidity rebate for adding liquidity in securities priced under $1.00 per share. Finally, the rebate paid by the Exchange for adding non-displayed liquidity will remain at $0.0020 per share. As defined on the Exchange’s current fee schedule, ‘‘non-displayed liquidity’’ includes liquidity resulting from all forms of Pegged Orders,6 Mid-Point Peg Orders,7 and Non-Displayed Orders,8 but does not include liquidity resulting from Reserve Orders 9 or Discretionary Orders.10 In addition to the changes described above, and to differentiate itself from its affiliate, BATS Y-Exchange, Inc. (‘‘BYX Exchange’’), which recently commenced operations, the Exchange proposes to use the name ‘‘BZX Exchange’’ and ‘‘BZX’’ throughout the fee schedule, other than when referring to its equity options platform, which it will refer to as ‘‘BATS Options.’’ Similarly, the Exchange proposes defining its affiliate, as it has done above, as ‘‘BYX Exchange.’’ Also, the Exchange proposes to make stylistic changes, including referring to its book of orders as its ‘‘order book,’’ rather than just its ‘‘book.’’ Finally, the Exchange proposes to remove one heading from its fee schedule, ‘‘Options Pricing (Continued),’’ which is no longer necessary for the printed version of its fee schedule. order flow to competing venues if they deem fee levels at a particular venue to be excessive. The Exchange believes that its fees and credits are competitive with those charged by other venues. Finally, the Exchange believes that the proposed rates are equitable in that they apply uniformly to all Members. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the requirements of the Act and the rules and regulations thereunder that are applicable to a national securities exchange, and, in particular, with the requirements of Section 6 of the Act.11 Specifically, the Exchange believes that the proposed rule change is consistent with Section 6(b)(4) of the Act,12 in that it provides for the equitable allocation of reasonable dues, fees and other charges among members and other persons using any facility or system which the Exchange operates or controls. The impact of the proposed price changes upon the net fees paid by a particular market participant will depend upon a number of variables, including the prices of the market participant’s quotes and orders relative to the national best bid and offer (i.e., its propensity to add or remove liquidity), the types of securities that it trades and its usage of non-displayed quotes/orders. While Members that generally remove liquidity from the Exchange will be paying a higher fee, the Exchange believes that such Members will benefit to the extent the higher rebate paid by the Exchange for adding liquidity attracts additional liquidity and thus improves the depth of liquidity available on the Exchange. The Exchange notes that it operates in a highly competitive market in which market participants can readily direct The foregoing proposed rule change has been designated as a fee change pursuant to Section 19(b)(3)(A)(ii) of the Act 13 and Rule 19b–4(f)(2) thereunder,14 because it establishes or changes a due, fee or other charge imposed on members by the Exchange. Accordingly, the proposal is effective upon filing with the Commission. 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. 9 As 6 As defined in BZX Rule 11.9(c)(8). 7 As defined in BZX Rule 11.9(c)(9). 8 As defined in BZX Rule 11.9(c)(11). VerDate Mar<15>2010 16:21 Nov 16, 2010 Jkt 223001 70327 defined in BZX Rule 11.9(c)(1). defined in BZX Rule 11.9(c)(10). 11 15 U.S.C. 78f. 12 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 imposes any burden on competition. C. Self-Regulatory Organization’s Statement on Comments Regarding the Proposed Rule Change Received From Members, Participants or Others No written comments were solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action 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–BATS–2010–031 on the subject line. Paper Comments • Send paper comments in triplicate to Elizabeth M. Murphy, Secretary, Securities and Exchange Commission, 10 As PO 00000 Frm 00129 Fmt 4703 Sfmt 4703 13 15 14 17 E:\FR\FM\17NON1.SGM U.S.C. 78s(b)(3)(A)(ii). CFR 240.19b–4(f)(2). 17NON1 70328 Federal Register / Vol. 75, No. 221 / Wednesday, November 17, 2010 / Notices 100 F Street, NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–BATS–2010–031. 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 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 publicly available. All submissions should refer to File Number SR–BATS– 2010–031 and should be submitted on or before December 8, 2010. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.15 Florence E. Harmon, Deputy Secretary. [FR Doc. 2010–28896 Filed 11–16–10; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–63301; File No. SR–FICC– 2010–08] mstockstill on DSKH9S0YB1PROD with NOTICES Self-Regulatory Organizations; Fixed Income Clearing Corporation; Notice of Filing of Proposed Rule Change To Eliminate Certain Cash Adjustments Currently Processed by the MBSD November 10, 2010. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 19b–4 thereunder 2 15 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 1 15 VerDate Mar<15>2010 16:21 Nov 16, 2010 Jkt 223001 notice is hereby given that on October 28, 2010, the Fixed Income Clearing Corporation (‘‘FICC’’) 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 primarily by FICC. 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 purpose of the proposed rule change is to eliminate cash adjustments that are currently processed by the Mortgage-Backed Securities Division (‘‘MBSD’’). II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, FICC 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. FICC has prepared summaries, set forth in sections (A), (B), and (C) below, of the most significant aspects of these statements.3 (A) Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change FICC is proposing to eliminate the cash adjustments that are currently processed by the MBSD.4 FICC is proposing to eliminate the cash adjustments because they have low monetary impact and were originally designed to address a clearance event (‘‘significant variance’’) that no longer applies. Variance was originally established when mortgage-backed securities were physically settled, and it was difficult to organize physical pools into $1 million par amounts for delivery. As a result of the netting of To Be Announced (‘‘TBA’’) transactions, a participant may have a settlement obligation to another participant with which it did not trade (‘‘SBON Obligations’’). SBON Obligations are created in multiples of $1 million par amounts and are assigned a uniform delivery price. Since the delivery price 3 The Commission has modified the text of the summaries prepared by FICC. 4 The specific language of the proposed provision can be found at https://www.dtcc.com/downloads/ legal/rule_filings/2010/ficc/2010-08.pdf. PO 00000 Frm 00130 Fmt 4703 Sfmt 4703 will differ from the participant’s original trade price, an adjustment is calculated for the difference between the delivery price and the trade price. This adjustment is referred to as the Settlement Balance Order Market Differential (‘‘SBOMD’’). Participants notify the MBSD when they have settled their SBON Obligations with their assigned counterparties through the Notification of Settlement (‘‘NOS’’) process. From the information supplied by both the delivering and receiving participants in their respective NOS, the MBSD determines whether the securities delivered were in $1 million par amounts or in a par amount within acceptable variance (plus or minus $100 per million). In instances where the delivery was completed in $1 million par amounts, the MBSD takes no additional steps. If the delivery was cleared for a par amount within acceptable variance, the MBSD will calculate a cash adjustment to reconcile the difference between the original SBOMD (based on a $1 million par amount) and what the SBOMD should have been (based on the par amount delivered). As mortgage-backed securities migrated from physical to electronic settlement, acceptable variance has been reduced from an initial $50,000 per million to the current amount of $100 per million. FICC believes the proposed rule change is consistent with the requirements of Section 17A of the Act 5 and the rules and regulations thereunder applicable to FICC because it is a deletion of a rule that covers a process that is no longer needed and as such it provides certainty and clarity of the clearance process at MBSD to members. (B) Self-Regulatory Organization’s Statement on Burden on Competition FICC does not believe that the proposed rule change will have any impact or impose any burden on competition. (C) Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others Written comments relating to the proposed rule change have not been solicited or received. FICC will notify the Commission of any written comments received by FICC. 5 15 E:\FR\FM\17NON1.SGM U.S.C. 78q–1. 17NON1

Agencies

[Federal Register Volume 75, Number 221 (Wednesday, November 17, 2010)]
[Notices]
[Pages 70326-70328]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-28896]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-63300; File No. SR-BATS-2010-031]


Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change Related to 
Fees for Use of BATS Exchange, Inc.

November 10, 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 October 29, 2010, BATS Exchange, Inc. (the ``Exchange,'' ``BZX 
Exchange'' or ``BZX'') filed with the Securities and Exchange 
Commission (``Commission'') the proposed rule change as described in 
Items I, II and III below, which Items have been prepared by the 
Exchange. The Exchange has designated the proposed rule change as one 
establishing or changing a member due, fee, or other charge imposed by 
the Exchange under Section 19(b)(3)(A)(ii) of the Act \3\ and Rule 19b-
4(f)(2) thereunder,\4\ which renders the proposed rule change effective 
upon filing with the Commission. 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.
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
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I. Self-Regulatory Organization's Statement of the Terms of the 
Substance of the Proposed Rule Change

    The Exchange proposes to modify its fee schedule applicable to 
Members \5\ of the Exchange pursuant to BZX Rules 15.1(a) and (c). 
While changes to the fee schedule pursuant to this proposal will be 
effective upon filing, the changes will become operative on November 1, 
2010.
---------------------------------------------------------------------------

    \5\ A Member is any registered broker or dealer that has been 
admitted to membership in the Exchange.
---------------------------------------------------------------------------

    The text of the proposed rule change is available at the Exchange's 
Web site at https://www.batstrading.com, at the principal office of the 
Exchange, on the Commission's Web site at https://www.sec.gov, and at 
the Commission's Public Reference Room.

[[Page 70327]]

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.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to modify the ``Equities Pricing'' section of 
its fee schedule to increase its standard fee for removing liquidity 
from the Exchange to $0.0028 per share and to increase its standard 
rebate for adding displayed liquidity to the Exchange to $0.0027 per 
share. The Exchange does not propose to charge different fees or grant 
different rebates depending on the amount of orders submitted to, and/
or trades executed on or through, the Exchange. Accordingly, all fees 
and rebates described below are applicable to all Members, regardless 
of the overall volume of their trading activities on the Exchange.
    Consistent with the current fee to remove liquidity, the charge per 
share for executions that remove liquidity from the Exchange will not 
apply [sic] executions that remove liquidity in securities priced under 
$1.00 per share. The fee for such executions will remain at 0.10% of 
the total dollar value of the execution. Similarly, as is currently the 
case for the rebate for adding liquidity to the Exchange, there will be 
no liquidity rebate for adding liquidity in securities priced under 
$1.00 per share. Finally, the rebate paid by the Exchange for adding 
non-displayed liquidity will remain at $0.0020 per share. As defined on 
the Exchange's current fee schedule, ``non-displayed liquidity'' 
includes liquidity resulting from all forms of Pegged Orders,\6\ Mid-
Point Peg Orders,\7\ and Non-Displayed Orders,\8\ but does not include 
liquidity resulting from Reserve Orders \9\ or Discretionary 
Orders.\10\
---------------------------------------------------------------------------

    \6\ As defined in BZX Rule 11.9(c)(8).
    \7\ As defined in BZX Rule 11.9(c)(9).
    \8\ As defined in BZX Rule 11.9(c)(11).
    \9\ As defined in BZX Rule 11.9(c)(1).
    \10\ As defined in BZX Rule 11.9(c)(10).
---------------------------------------------------------------------------

    In addition to the changes described above, and to differentiate 
itself from its affiliate, BATS Y-Exchange, Inc. (``BYX Exchange''), 
which recently commenced operations, the Exchange proposes to use the 
name ``BZX Exchange'' and ``BZX'' throughout the fee schedule, other 
than when referring to its equity options platform, which it will refer 
to as ``BATS Options.'' Similarly, the Exchange proposes defining its 
affiliate, as it has done above, as ``BYX Exchange.'' Also, the 
Exchange proposes to make stylistic changes, including referring to its 
book of orders as its ``order book,'' rather than just its ``book.'' 
Finally, the Exchange proposes to remove one heading from its fee 
schedule, ``Options Pricing (Continued),'' which is no longer necessary 
for the printed version of its fee schedule.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the requirements of the Act and the rules and regulations 
thereunder that are applicable to a national securities exchange, and, 
in particular, with the requirements of Section 6 of the Act.\11\ 
Specifically, the Exchange believes that the proposed rule change is 
consistent with Section 6(b)(4) of the Act,\12\ in that it provides for 
the equitable allocation of reasonable dues, fees and other charges 
among members and other persons using any facility or system which the 
Exchange operates or controls.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78f.
    \12\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

    The impact of the proposed price changes upon the net fees paid by 
a particular market participant will depend upon a number of variables, 
including the prices of the market participant's quotes and orders 
relative to the national best bid and offer (i.e., its propensity to 
add or remove liquidity), the types of securities that it trades and 
its usage of non-displayed quotes/orders. While Members that generally 
remove liquidity from the Exchange will be paying a higher fee, the 
Exchange believes that such Members will benefit to the extent the 
higher rebate paid by the Exchange for adding liquidity attracts 
additional liquidity and thus improves the depth of liquidity available 
on the Exchange.
    The Exchange notes that it 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 Exchange believes that its fees and credits are competitive with 
those charged by other venues. Finally, the Exchange believes that the 
proposed rates are equitable in that they apply uniformly to all 
Members.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change imposes 
any burden on competition.

C. Self-Regulatory Organization's Statement on Comments Regarding the 
Proposed Rule Change Received From Members, Participants or Others

    No written comments were solicited or received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing proposed rule change has been designated as a fee 
change pursuant to Section 19(b)(3)(A)(ii) of the Act \13\ and Rule 
19b-4(f)(2) thereunder,\14\ because it establishes or changes a due, 
fee or other charge imposed on members by the Exchange. Accordingly, 
the proposal is effective upon filing with the Commission.
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \14\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

    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.

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-BATS-2010-031 on the subject line.

Paper Comments

     Send paper comments in triplicate to Elizabeth M. Murphy, 
Secretary, Securities and Exchange Commission,

[[Page 70328]]

100 F Street, NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-BATS-2010-031. 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 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 publicly available. All submissions 
should refer to File Number SR-BATS-2010-031 and should be submitted on 
or before December 8, 2010.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
---------------------------------------------------------------------------

    \15\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-28896 Filed 11-16-10; 8:45 am]
BILLING CODE 8011-01-P
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