Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Increase the Application and Annual Fees for the BX Venture Market, 44974-44976 [2011-18925]
Download as PDF
44974
Federal Register / Vol. 76, No. 144 / Wednesday, July 27, 2011 / Notices
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–CBOE–2011–064 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–CBOE–2011–064. 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 CBOE.
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–CBOE–2011–064 and
should be submitted on or before
August 17, 2011.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011–18927 Filed 7–26–11; 8:45 am]
sroberts on DSK5SPTVN1PROD with NOTICES
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–64940; File No. SR–BX–
2011–036]
Self-Regulatory Organizations;
NASDAQ OMX BX, Inc.; Notice of Filing
and Immediate Effectiveness of
Proposed Rule Change To Increase the
Application and Annual Fees for the
BX Venture Market
July 21, 2011.
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 July 14,
2011, NASDAQ OMX BX, Inc.
(‘‘Exchange’’) 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
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 modify the
application and annual fees payable by
a company listing on the BX Venture
Market. The Exchange will implement
the proposed rule immediately.
The text of the proposed rule change
is below. Proposed new language is in
italics; proposed deletions are in
brackets.3
5910. Listing Fees
(a) Application Fee
A Company that submits an
application to list any class of its
securities on the Exchange, shall pay to
the Exchange a non-refundable
application fee of [$7,500] $10,000,
which must be submitted with the
Company’s application. However, if a
Company is listed on another national
securities exchange and has received
notice that it is subject to being delisted
from that exchange for failure to comply
with a quantitative listing requirement,
the application fee does not have to be
paid to the Exchange until the other
exchange issues a final decision to delist
the Company’s securities or the
Company is listed on the Exchange,
whichever occurs first.
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Changes are marked to the rule text that appears
in the electronic manual of Nasdaq found at
https://nasdaqomxbx.cchwallstreet.com.
2 17
13 17
CFR 200.30–3(a)(12).
VerDate Mar<15>2010
17:08 Jul 26, 2011
Jkt 223001
PO 00000
Frm 00087
Fmt 4703
Sfmt 4703
(b) Annual Fee
(1) Each issuer shall pay an annual fee
of [$15,000] $20,000 for the first class of
securities listed on the Exchange and
$5,000 for each additional class of
securities listed on the Exchange.
(2)–(4) No change.
(c)–(d) No change.
*
*
*
*
*
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 the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange recently received
approval for the BX Venture Market, a
new listing venue for the Exchange.
Under the approved rules, a company
that submits an application to list any
class of its securities on the BX Venture
Market must pay a non-refundable
application fee of $7,500 4 and a listed
company must pay an annual fee of
$15,000 for the first class of securities
listed on the BX Venture Market and
$5,000 for each additional listed class of
securities.5
The listing fees for the BX Venture
Market were originally proposed in
August 2010.6 Following that original
proposal, and in connection with
seeking approval for the BX Venture
Market, the Exchange committed to
substantial enhancements to its
regulatory process.7 Among these
enhancements are rules requiring the
Exchange to engage independent
qualified third party investigative firms
to assist in its public interest review
process in specified situations and on a
random basis.8 The Exchange may also
4 Exchange
Rule 5910(a).
Rule 5910(b).
6 Securities Exchange Act Release No. 62818
(September 1, 2010), 75 FR 54665 (September 8,
2010) (proposing SR–BX–2010–059).
7 Securities Exchange Act Release No. 64437 (May
6, 2011), 76 FR 27710 (May 12, 2011) (approving
SR–BX–2010–059 as amended).
8 Exchange Rule 5205(d).
5 Exchange
E:\FR\FM\27JYN1.SGM
27JYN1
Federal Register / Vol. 76, No. 144 / Wednesday, July 27, 2011 / Notices
engage independent qualified third
party investigative firms in reviewing
listed companies in certain situations,
including where there may be potential
public interest concerns.9 The Exchange
has also committed to enhanced
surveillance of the trading of listed
securities, including by FINRA and
through the use of technology by the
SMARTS Group.
These enhancements were not
envisioned when the Exchange
originally proposed the fees for the BX
Venture Market and the fees were not
previously adjusted in response to these
changes. As such, the Exchange now
proposes to increase the application fee
for the BX Venture Market from $7,500
to $10,000 and the annual fees for the
first class of securities from $15,000 to
$20,000.
The Exchange notes that the proposed
fees remain substantially lower than the
fees for other markets. For example, the
initial listing fees for listing common
stock on the NASDAQ Capital Market
range from $50,000 to $75,000 and the
annual fees are $27,500; 10 the initial
listing fees for listing common stock on
NYSE Amex range from $50,000 to
$70,000 and the annual fees range from
$27,500 to $40,000; 11 and the initial
listing fees for listing common stock on
the New York Stock Exchange range
from $125,000 to $250,000 and the
annual fees range from $38,000 to
$500,000.12
In addition, the fees remain
comparable to those charged by OTC
Markets Group for companies to appear
on its OTCQX tier. While OTC Markets
Group does not operate a national
securities exchange, and does not
undertake a regulatory review similar to
that required by the Exchange’s rules, it
claims to have ‘‘listings’’ 13 and charges
a $5,000 application fee and $15,000
annual fee for marketplace services that
it describes as ‘‘formerly available only
on a U.S. exchange.’’ 14
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with Section 6
of the Act,15 in general, and with
Section 6(b)(4) of the Act,16 in
particular, in that it provides for the
equitable allocation of reasonable dues,
sroberts on DSK5SPTVN1PROD with NOTICES
9 Exchange
Rule 5205(e).
10 Nasdaq Rule 5920(a)(1) and (c)(1)(A).
11 NYSE Amex Listed Company Guide Sections
140 and 141.
12 NYSE Listed Company Manual 902.03
13 https://www.otcqx.com/qx/otcqx/listing (June
15, 2011).
14 https://www.otcqx.com/qx/otcqx/overview (June
15, 2011).
15 15 U.S.C. 78f.
16 15 U.S.C. 78f(b)(4).
VerDate Mar<15>2010
17:08 Jul 26, 2011
Jkt 223001
fees and other charges among members
and issuers and other persons using any
facility or system which the Exchange
operates or controls. The proposed rule
change, which increases the application
and annual fees to listed companies,
proposes a reasonable allocation of the
Exchange’s costs, as it will allow the
Exchange to recoup the costs of the
additional regulatory steps the Exchange
has agreed to in connection with the BX
Venture Market. Moreover, the fees
remain substantially lower than fees on
other national securities exchanges, and
comparable to the fees for OTCQX.17 In
addition, the Exchange believes that the
fees are equitable, insomuch as they are
charged to all companies that chose to
apply and list on the BX Venture
Market; and reasonable, insomuch as
these companies will receive the
benefits commensurate with a listing on
a national securities exchange,
including heightened regulatory
oversight.
The Exchange also believes that the
proposed rule change is consistent with
the provisions of Section 6(b)(5) of the
Act 18 because it 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 facilitating transactions in securities,
and to remove impediments to and
perfect the mechanism of a free and
open market and a national market
system. As noted above, the Exchange
believes the proposed fee increases will
help allow it to recoup the costs of
performing its regulatory
responsibilities. As such, the Exchange
believes that the proposed rule change
promotes just and equitable principles
of trade and removes impediments to
the mechanism of a free and open
market and a national market system.
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.
17 The Exchange notes that the fees charged by
OTCQX have not been filed with the Commission.
18 15 U.S.C. 78f(b)(5).
PO 00000
Frm 00088
Fmt 4703
Sfmt 4703
44975
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)(ii) of the Act.19 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–BX–2011–036 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–BX–2011–036. 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
19 15
E:\FR\FM\27JYN1.SGM
U.S.C. 78s(b)(3)(A)(ii).
27JYN1
44976
Federal Register / Vol. 76, No. 144 / Wednesday, July 27, 2011 / Notices
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–BX–
2011–036 and should be submitted on
or before August 17, 2011.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.20
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011–18925 Filed 7–26–11; 8:45 am]
BILLING CODE 8011–01–P
SMALL BUSINESS ADMINISTRATION
[Disaster Declaration # 12693 and # 12694]
Washington Disaster # WA–00031
U.S. Small Business
Administration.
ACTION: Notice.
AGENCY:
This is a notice of an
Administrative declaration of a disaster
for the State of Washington dated 07/19/
2011.
Incident: White Swan Fire.
Incident Period: 02/12/2011 through
02/13/2011.
Effective Date: 07/19/2011.
Physical Loan Application Deadline
Date: 09/19/2011.
Economic Injury (EIDL) Loan
Application Deadline Date: 04/19/2012.
ADDRESSES: Submit completed loan
applications to: U.S. Small Business
Administration, Processing and
Disbursement Center, 14925 Kingsport
Road, Fort Worth, TX 76155.
FOR FURTHER INFORMATION CONTACT: A.
Escobar, Office of Disaster Assistance,
U.S. Small Business Administration,
409 3rd Street, SW., Suite 6050,
Washington, DC 20416.
SUPPLEMENTARY INFORMATION: Notice is
hereby given that as a result of the
Administrator’s disaster declaration,
applications for disaster loans may be
filed at the address listed above or other
locally announced locations.
The following areas have been
determined to be adversely affected by
the disaster:
sroberts on DSK5SPTVN1PROD with NOTICES
SUMMARY:
Primary Counties:
Yakima.
Contiguous Counties:
Washington: Benton, Grant, King,
Kittitas, Klickitat, Lewis, Pierce,
Skamania.
The Interest Rates are:
DEPARTMENT OF STATE
[Public Notice 7534]
Culturally Significant Objects Imported
for Exhibition Determinations: ‘‘Heroic
Africans: Legendary Leaders, Iconic
Sculptures’’
Notice is hereby given of the
following determinations: Pursuant to
For Physical Damage:
the authority vested in me by the Act of
Homeowners With Credit AvailOctober 19, 1965 (79 Stat. 985; 22 U.S.C.
able Elsewhere ......................
5.125
2459), Executive Order 12047 of March
Homeowners Without Credit
Available Elsewhere ..............
2.563 27, 1978, the Foreign Affairs Reform and
Restructuring Act of 1998 (112 Stat.
Businesses With Credit Available Elsewhere ......................
6.000 2681, et seq.; 22 U.S.C. 6501 note, et
Businesses
Without
Credit
seq.), Delegation of Authority No. 234 of
Available Elsewhere ..............
4.000 October 1, 1999, and Delegation of
Non-Profit Organizations With
Authority No. 236–3 of August 28, 2000
Credit Available Elsewhere ...
3.250
(and, as appropriate, Delegation of
Non-Profit Organizations WithAuthority No. 257 of April 15, 2003), I
out Credit Available Elsewhere .....................................
3.000 hereby determine that the objects to be
included in the exhibition ‘‘Heroic
For Economic Injury:
Africans: Legendary Leaders, Iconic
Businesses & Small Agricultural
Cooperatives Without Credit
Sculptures,’’ imported from abroad for
Available Elsewhere ..............
4.000 temporary exhibition within the United
Non-profit organizations Without
States, are of cultural significance. The
credit available elsewhere .....
3.000
objects are imported pursuant to loan
agreements with the foreign owners or
The number assigned to this disaster
custodians. I also determine that the
for physical damage is 12693 5 and for
exhibition or display of the exhibit
economic injury is 12694 0.
objects at the Metropolitan Museum of
The State which received an EIDL
Art, New York, New York, from on or
Declaration # is Washington.
about September 19, 2011, until on or
about January 29, 2012, and at possible
(Catalog of Federal Domestic Assistance
additional exhibitions or venues yet to
Numbers 59002 and 59008)
be determined, is in the national
July 19, 2011.
interest. I have ordered that Public
Karen G. Mills,
Notice of these Determinations be
Administrator.
published in the Federal Register.
Percent
[FR Doc. 2011–18896 Filed 7–26–11; 8:45 am]
BILLING CODE 8025–01–P
SMALL BUSINESS ADMINISTRATION
Military Reservist Economic Injury
Disaster Loans; Interest Rate for
Fourth Quarter FY 2011
In accordance with the Code of
Federal Regulations 13—Business Credit
and Assistance § 123.512, the following
interest rate is effective for Military
Reservist Economic Injury Disaster
Loans approved on or after July 22,
2011.
Military Reservist Loan Program:
4.000%.
SUMMARY:
For
further information, including a list of
the exhibit objects, contact Paul W.
Manning, Attorney-Adviser, Office of
the Legal Adviser, U.S. Department of
State (telephone: 202–632–6469). The
mailing address is U.S. Department of
State, SA–5, L/PD, Fifth Floor (Suite
5H03), Washington, DC 20522–0505.
FOR FURTHER INFORMATION CONTACT:
Dated: July 20, 2011.
J. Adam Ereli,
Principal Deputy Assistant Secretary, Bureau
of Educational and Cultural Affairs,
Department of State.
[FR Doc. 2011–18979 Filed 7–26–11; 8:45 am]
BILLING CODE 4710–05–P
Dated: July 21, 2011.
Lisa Lopez-Suarez,
Acting Associate Administrator For Disaster
Assistance.
[FR Doc. 2011–18897 Filed 7–26–11; 8:45 am]
20 17
CFR 200.30–3(a)(12).
VerDate Mar<15>2010
17:08 Jul 26, 2011
BILLING CODE 8025–01–P
Jkt 223001
PO 00000
Frm 00089
Fmt 4703
Sfmt 9990
E:\FR\FM\27JYN1.SGM
27JYN1
Agencies
[Federal Register Volume 76, Number 144 (Wednesday, July 27, 2011)]
[Notices]
[Pages 44974-44976]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-18925]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-64940; File No. SR-BX-2011-036]
Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Increase
the Application and Annual Fees for the BX Venture Market
July 21, 2011.
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 July 14, 2011, NASDAQ OMX BX, Inc. (``Exchange'') 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 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 modify the application and annual fees
payable by a company listing on the BX Venture Market. The Exchange
will implement the proposed rule immediately.
The text of the proposed rule change is below. Proposed new
language is in italics; proposed deletions are in brackets.\3\
---------------------------------------------------------------------------
\3\ Changes are marked to the rule text that appears in the
electronic manual of Nasdaq found at https://nasdaqomxbx.cchwallstreet.com.
---------------------------------------------------------------------------
5910. Listing Fees
(a) Application Fee
A Company that submits an application to list any class of its
securities on the Exchange, shall pay to the Exchange a non-refundable
application fee of [$7,500] $10,000, which must be submitted with the
Company's application. However, if a Company is listed on another
national securities exchange and has received notice that it is subject
to being delisted from that exchange for failure to comply with a
quantitative listing requirement, the application fee does not have to
be paid to the Exchange until the other exchange issues a final
decision to delist the Company's securities or the Company is listed on
the Exchange, whichever occurs first.
(b) Annual Fee
(1) Each issuer shall pay an annual fee of [$15,000] $20,000 for
the first class of securities listed on the Exchange and $5,000 for
each additional class of securities listed on the Exchange.
(2)-(4) No change.
(c)-(d) No change.
* * * * *
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 the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange recently received approval for the BX Venture Market,
a new listing venue for the Exchange. Under the approved rules, a
company that submits an application to list any class of its securities
on the BX Venture Market must pay a non-refundable application fee of
$7,500 \4\ and a listed company must pay an annual fee of $15,000 for
the first class of securities listed on the BX Venture Market and
$5,000 for each additional listed class of securities.\5\
---------------------------------------------------------------------------
\4\ Exchange Rule 5910(a).
\5\ Exchange Rule 5910(b).
---------------------------------------------------------------------------
The listing fees for the BX Venture Market were originally proposed
in August 2010.\6\ Following that original proposal, and in connection
with seeking approval for the BX Venture Market, the Exchange committed
to substantial enhancements to its regulatory process.\7\ Among these
enhancements are rules requiring the Exchange to engage independent
qualified third party investigative firms to assist in its public
interest review process in specified situations and on a random
basis.\8\ The Exchange may also
[[Page 44975]]
engage independent qualified third party investigative firms in
reviewing listed companies in certain situations, including where there
may be potential public interest concerns.\9\ The Exchange has also
committed to enhanced surveillance of the trading of listed securities,
including by FINRA and through the use of technology by the SMARTS
Group.
---------------------------------------------------------------------------
\6\ Securities Exchange Act Release No. 62818 (September 1,
2010), 75 FR 54665 (September 8, 2010) (proposing SR-BX-2010-059).
\7\ Securities Exchange Act Release No. 64437 (May 6, 2011), 76
FR 27710 (May 12, 2011) (approving SR-BX-2010-059 as amended).
\8\ Exchange Rule 5205(d).
\9\ Exchange Rule 5205(e).
---------------------------------------------------------------------------
These enhancements were not envisioned when the Exchange originally
proposed the fees for the BX Venture Market and the fees were not
previously adjusted in response to these changes. As such, the Exchange
now proposes to increase the application fee for the BX Venture Market
from $7,500 to $10,000 and the annual fees for the first class of
securities from $15,000 to $20,000.
The Exchange notes that the proposed fees remain substantially
lower than the fees for other markets. For example, the initial listing
fees for listing common stock on the NASDAQ Capital Market range from
$50,000 to $75,000 and the annual fees are $27,500; \10\ the initial
listing fees for listing common stock on NYSE Amex range from $50,000
to $70,000 and the annual fees range from $27,500 to $40,000; \11\ and
the initial listing fees for listing common stock on the New York Stock
Exchange range from $125,000 to $250,000 and the annual fees range from
$38,000 to $500,000.\12\
---------------------------------------------------------------------------
\10\ Nasdaq Rule 5920(a)(1) and (c)(1)(A).
\11\ NYSE Amex Listed Company Guide Sections 140 and 141.
\12\ NYSE Listed Company Manual 902.03
---------------------------------------------------------------------------
In addition, the fees remain comparable to those charged by OTC
Markets Group for companies to appear on its OTCQX tier. While OTC
Markets Group does not operate a national securities exchange, and does
not undertake a regulatory review similar to that required by the
Exchange's rules, it claims to have ``listings'' \13\ and charges a
$5,000 application fee and $15,000 annual fee for marketplace services
that it describes as ``formerly available only on a U.S. exchange.''
\14\
---------------------------------------------------------------------------
\13\ https://www.otcqx.com/qx/otcqx/listing (June 15, 2011).
\14\ https://www.otcqx.com/qx/otcqx/overview (June 15, 2011).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
Section 6 of the Act,\15\ in general, and with Section 6(b)(4) of the
Act,\16\ 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. The proposed rule change, which
increases the application and annual fees to listed companies, proposes
a reasonable allocation of the Exchange's costs, as it will allow the
Exchange to recoup the costs of the additional regulatory steps the
Exchange has agreed to in connection with the BX Venture Market.
Moreover, the fees remain substantially lower than fees on other
national securities exchanges, and comparable to the fees for
OTCQX.\17\ In addition, the Exchange believes that the fees are
equitable, insomuch as they are charged to all companies that chose to
apply and list on the BX Venture Market; and reasonable, insomuch as
these companies will receive the benefits commensurate with a listing
on a national securities exchange, including heightened regulatory
oversight.
---------------------------------------------------------------------------
\15\ 15 U.S.C. 78f.
\16\ 15 U.S.C. 78f(b)(4).
\17\ The Exchange notes that the fees charged by OTCQX have not
been filed with the Commission.
---------------------------------------------------------------------------
The Exchange also believes that the proposed rule change is
consistent with the provisions of Section 6(b)(5) of the Act \18\
because it 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 facilitating
transactions in securities, and to remove impediments to and perfect
the mechanism of a free and open market and a national market system.
As noted above, the Exchange believes the proposed fee increases will
help allow it to recoup the costs of performing its regulatory
responsibilities. As such, the Exchange believes that the proposed rule
change promotes just and equitable principles of trade and removes
impediments to the mechanism of a free and open market and a national
market system.
---------------------------------------------------------------------------
\18\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
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 foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act.\19\ 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.
---------------------------------------------------------------------------
\19\ 15 U.S.C. 78s(b)(3)(A)(ii).
---------------------------------------------------------------------------
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-BX-2011-036 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-BX-2011-036. 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
[[Page 44976]]
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-BX-2011-036 and should be
submitted on or before August 17, 2011.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\20\
---------------------------------------------------------------------------
\20\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011-18925 Filed 7-26-11; 8:45 am]
BILLING CODE 8011-01-P