Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Modify NASDAQ Options Market Rules Chapter VII, Section 6, Market Maker Quotations, 62484-62486 [2011-25957]
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jlentini on DSK4TPTVN1PROD with NOTICES
62484
Federal Register / Vol. 76, No. 195 / Friday, October 7, 2011 / Notices
consideration paid by the Unaffiliated
Underlying Fund to the Series or Series
Affiliate in connection with any services
or transactions: (a) Is fair and reasonable
in relation to the nature and quality of
the services and benefits received by the
Unaffiliated Underlying Fund; (b) is
within the range of consideration that
the Unaffiliated Underlying Fund would
be required to pay to another
unaffiliated entity in connection with
the same services or transactions; and
(c) does not involve overreaching on the
part of any person concerned. This
condition does not apply with respect to
any services or transactions between an
Unaffiliated Underlying Fund and its
investment adviser(s), or any person
controlling, controlled by, or under
common control with such investment
adviser(s).
4. The Trustee or Depositor will waive
fees otherwise payable to it by the
Series, in an amount at least equal to
any compensation (including fees
received pursuant to any plan adopted
by an Unaffiliated Underlying Fund
under rule 12b–1 under the Act)
received from an Unaffiliated Fund by
the Trustee or Depositor, or an affiliated
person of the Trustee or Depositor, other
than any advisory fees paid to the
Trustee or Depositor or its affiliated
person by an Unaffiliated Underlying
Fund, in connection with the
investment by a Series in the
Unaffiliated Fund.
5. No Series or Series Affiliate (except
to the extent it is acting in its capacity
as an investment adviser to an
Unaffiliated Underlying Fund or
sponsor to an Unaffiliated Underlying
Trust) will cause an Unaffiliated Fund
to purchase a security in an offering of
securities during the existence of any
underwriting or selling syndicate of
which a principal underwriter is the
Depositor or a person of which the
Depositor is an affiliated person (each,
an ‘‘Underwriting Affiliate,’’ except any
person whose relationship to the
Unaffiliated Fund is covered by section
10(f) of the Act is not an Underwriting
Affiliate). An offering of securities
during the existence of an underwriting
or selling syndicate of which a principal
underwriter is an Underwriting Affiliate
is an ‘‘Affiliated Underwriting.’’
6. The board of an Unaffiliated
Underlying Fund, including a majority
of the disinterested board members, will
adopt procedures reasonably designed
to monitor any purchases of securities
by the Unaffiliated Underlying Fund in
an Affiliated Underwriting once an
investment by a Series in the securities
of the Unaffiliated Underlying Fund
exceeds the limit of section
12(d)(1)(A)(i) of the Act, including any
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purchases made directly from an
Underwriting Affiliate. The board of the
Unaffiliated Underlying Fund will
review these purchases periodically, but
no less frequently than annually, to
determine whether the purchases were
influenced by the investment by the
Series in the Unaffiliated Underlying
Fund. The board of the Unaffiliated
Underlying Fund will consider, among
other things: (a) Whether the purchases
were consistent with the investment
objectives and policies of the
Unaffiliated Underlying Fund; (b) how
the performance of securities purchased
in an Affiliated Underwriting compares
to the performance of comparable
securities purchased during a
comparable period of time in
underwritings other than Affiliated
Underwritings or to a benchmark such
as a comparable market index; and (c)
whether the amount of securities
purchased by the Unaffiliated
Underlying Fund in Affiliated
Underwritings and the amount
purchased directly from an
Underwriting Affiliate have changed
significantly from prior years. The board
of the Unaffiliated Underlying Fund
will take any appropriate actions based
on its review, including, if appropriate,
the institution of procedures designed to
assure that purchases of securities in
Affiliated Underwritings are in the best
interests of shareholders.
7. An Unaffiliated Underlying Fund
will maintain and preserve permanently
in an easily accessible place a written
copy of the procedures described in the
preceding condition, and any
modifications to such procedures, and
will maintain and preserve for a period
not less than six years from the end of
the fiscal year in which any purchase in
an Affiliated Underwriting occurred, the
first two years in an easily accessible
place, a written record of each purchase
of securities in Affiliated Underwritings
once an investment by a Series in the
securities of the Unaffiliated Underlying
Fund exceeds the limit of section
12(d)(1)(A)(i) of the Act, setting forth
from whom the securities were
acquired, the identity of the
underwriting syndicate’s members, the
terms of the purchase, and the
information or materials upon which
the determinations of the board of the
Unaffiliated Underlying Fund were
made.
8. Before investing in an Unaffiliated
Underlying Fund in excess of the limit
in section 12(d)(1)(A)(i), each Series and
the Unaffiliated Underlying Fund will
execute a Participation Agreement
stating, without limitation, that the
Depositor and Trustee, and the board of
directors or trustees of the Unaffiliated
PO 00000
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Fmt 4703
Sfmt 4703
Underlying Fund and the investment
adviser(s) to the Unaffiliated Underlying
Fund, understand the terms and
conditions of the order and agree to
fulfill their responsibilities under the
order. At the time of its investment in
shares of an Unaffiliated Underlying
Fund in excess of the limit in section
12(d)(1)(A)(i), a Series will notify the
Unaffiliated Underlying Fund of the
investment. At such time, the Series
also will transmit to the Unaffiliated
Underlying Fund a list of the names of
each Series Affiliate and Underwriting
Affiliate. The Series will notify the
Unaffiliated Underlying Fund of any
changes to the list of names as soon as
reasonably practicable after a change
occurs. The Unaffiliated Underlying
Fund and the Series will maintain and
preserve a copy of the order, the
Participation Agreement, and the list
with any updated information for the
duration of the investment, and for a
period not less than six years thereafter,
the first two years in an easily accessible
place.
9. Any sales charges and/or service
fees charged with respect to Units of a
Series will not exceed the limits
applicable to a fund of funds as set forth
in Rule 2830 of the NASD Conduct
Rules.
10. No Fund will acquire securities of
any other investment company or
company relying on section 3(c)(1) or
3(c)(7) of the Act in excess of the limits
contained in section 12(d)(1)(A) of the
Act, except to the extent permitted by
exemptive relief from the Commission
permitting the Fund to purchase shares
of other investment companies for shortterm cash management purposes.
For the Commission, by the Division of
Investment Management, pursuant to
delegated authority.
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011–25927 Filed 10–6–11; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–65467; File No. SR–
NASDAQ–2011–136]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Modify
NASDAQ Options Market Rules
Chapter VII, Section 6, Market Maker
Quotations
October 3, 2011.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
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Federal Register / Vol. 76, No. 195 / Friday, October 7, 2011 / Notices
(‘‘Act’’),1 and Rule 19b-4 thereunder,2
notice is hereby given that on
September 28, 2011, The NASDAQ
Stock Market LLC (‘‘NASDAQ’’ or
‘‘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 NASDAQ. 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
NASDAQ is filing a proposal for the
NASDAQ Options Market (‘‘NOM’’) to
amend Chapter VII, Section 6, Market
Maker Quotations, to permit wider bid/
ask differentials to correspond to the
width of the market in the underlying
security, as described below.
The text of the proposed rule change
is available at
nasdaq.cchwallstreet.com, at
NASDAQ’s principal office, 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,
NASDAQ 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.
NASDAQ has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant aspects of such
statements.
jlentini on DSK4TPTVN1PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the proposed rule
change is to modify recently-adopted
bid/ask differentials. The new bid/ask
differentials, also known as quotation
spread parameters, establish the
maximum permissible width between a
Market Maker’s bid and an offer in a
particular series. Recently, NASDAQ
adopted a $5 wide quote spread
parameters for all options.3 Previously,
there was no quote spread requirement
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See NOM Rules, Chapter VII, Section 6(d)(ii).
Securities Exchange Act Release No. 64054 (March
8, 2011), 76 FR 14111 (March 15, 2011).
2 17
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and NASDAQ adopted the $5 wide
requirement in order to encourage
narrower markets and thereby improve
the quality of NOM’s markets.
At this time, NASDAQ proposes to
permit wider bid/ask differentials to
correspond to the width of the market
in the underlying security. Specifically,
NASDAQ proposes to amend Chapter
VII, Section 6, Market Maker
Quotations, to provide that respecting
in-the-money series 4 where the market
for the underlying security is wider than
$5, the bid/ask differential may be as
wide as the quotation for the underlying
security on the primary market.5 For
instance, under the current rule, where
the market for the underlying security in
the primary market is $60–$70, the
applicable quote spread parameter is $5,
but under the proposed language, it
would be $10 for the in-the-money
series, which is the spread in the
underlying security in the primary
market. NASDAQ believes that this is
appropriate because options are priced
relative to the price of the security
underlying that option and are often
hedged with the underlying security as
well; accordingly, the price of an in-themoney option is particularly
constrained by a quote spread parameter
requirement that does not take into
account a quote spread in the
underlying security greater than $5.
2. Statutory Basis
The Exchange believes that its
proposal is consistent with Section 6(b)
of the Act 6 in general, and furthers the
objectives of Section 6(b)(5) of the Act 7
in particular, in that 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
mechanisms of a free and open market
and a national market system, and, in
general, to protect investors and the
public interest because it will help
4 In-the-money series are those series, where, in
the case of call options, the current market price of
the underlying security is higher than the strike
price, or, in the case of put options, the current
market price of the underlying security is lower
than the strike price.
5 Primary market is defined in Chapter I, Section
1(a)(47) as, in the case of securities listed on
Nasdaq, the market that is identified as the listing
market pursuant to Section X(d) of the approved
national market system plan governing the trading
of Nasdaq-listed securities, and, in the case of
securities listed on another national securities
exchange, the market that is identified as the listing
market pursuant to Section XI of the Consolidated
Tape association Plan.
6 15 U.S.C. 78f(b).
7 15 U.S.C. 78f(b)(5).
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62485
conform NOM’s rules to those of other
exchanges, as described below, which
should, in term, avoid confusion and
promote competition among exchanges.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
NASDAQ 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
Because the foregoing proposed rule
change does not: (i) Significantly affect
the protection of investors or the public
interest; (ii) impose any significant
burden on competition; and (iii) become
operative for 30 days after the date of
the filing, or such shorter time as the
Commission may designate, it has
become effective pursuant to Section
19(b)(3)(A) of the Act 8 and Rule 19b–
4(f)(6) 9 thereunder.
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
8 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6) requires a self-regulatory organization to give
the Commission written notice of its intent to file
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 satisfied this
requirement.
9 17
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Federal Register / Vol. 76, No. 195 / Friday, October 7, 2011 / Notices
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–NASDAQ–2011–136 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–NASDAQ–2011–136. This
file number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for Web site viewing and
printing in the Commission’s Public
Reference Room on official business
days between the hours of 10 a.m. and
3 p.m. Copies of such filing also will be
available for inspection and copying at
the principal offices 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–2011–136, and
should be submitted on or before
October 28, 2011.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011–25957 Filed 10–6–11; 8:45 am]
jlentini on DSK4TPTVN1PROD with NOTICES
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–65469; File No. SR–Phlx–
2011–108]
Self-Regulatory Organizations;
NASDAQ OMX PHLX LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change Relating to
Routing Functionality on NASDAQ
OMX PSX
October 3, 2011.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 2 thereunder,
notice is hereby given that on
September 21, 2011, NASDAQ OMX
PHLX LLC (‘‘PHLX’’ or ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘SEC’’ or ‘‘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 add routing
functionality to the NASDAQ OMX PSX
facility of NASDAQ OMX PHLX
(‘‘System’’). Specifically, the Exchange
proposes to adopt new Rule 3315, Order
Routing, and amend Rule 3301,
Definitions, and Rule 3305, Order Entry
Parameters, as described below. The
Exchange intends to implement the
proposal upon notice to its membership.
The text of the proposed rule change
is available on the Exchange’s Web site
at https://www.nasdaqtrader.com/
micro.aspx?id=PHLXRulefilings, at the
principal office of the Exchange, 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, 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.
1 15
10 17
CFR 200.30–3(a)(12).
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16:33 Oct 06, 2011
2 17
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PO 00000
U.S.C. 78s(b)(1).
CFR 240.19b–4.
Frm 00151
Fmt 4703
Sfmt 4703
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the proposed rule
change is to attract additional business
to and enhance the functionality offered
by PSX by providing optional outbound
routing services. Most equities
exchanges today provide routing
services. The Exchange intends to offer
routing strategies materially identical to
several currently offered by its affiliate,
The NASDAQ Stock Market, LLC
(‘‘NASDAQ’’).3 Nasdaq Execution
Services LLC is NASDAQ’s routing
broker and provides routing functions
for NASDAQ. As described in detail
below, the Exchange proposes to use
Nasdaq Execution Services LLC as its
routing broker to provide all of its PSX
routing services as well. Specifically,
the Exchange proposes to permit Nasdaq
Execution Services LLC to route orders
from PSX to all market centers, as it
does for NASDAQ, including to
NASDAQ and NASDAQ OMX BX
(‘‘BX’’).4
First, PHLX proposes to amend two
existing rules to accommodate routing.
Specifically, PHLX proposes to amend
subparagraph (f)(6) of Rule 3301,
Definitions, which pertains to
Intermarket Sweep Orders (‘‘ISOs’’).
These are currently defined as limit
orders that are designated as ISOs in the
manner prescribed by the Exchange and
are executed within the System by
Participants at multiple price levels
without respect to Protected Quotations
of other market centers within the
meaning of Rule 600(b) of Regulation
NMS under the Act. ISOs are
immediately executable within the
System pursuant to PHLX Rule 3307.
PHLX proposes to add that ISOs are not
eligible for routing as set out in new
Rule 3315.5
In addition, PHLX proposes to amend
Rule 3305, Order Entry Parameters, to
add a paragraph on routing. The new
routing paragraph will state that all
System orders entered by Participants
directing or permitting routing to other
market centers shall be routed for
potential display and/or execution as set
forth in new Rule 3315. In connection
with the trading of securities governed
by Regulation NMS, System orders shall
be routed for potential display and/or
execution in compliance with
3 See
e.g., NASDAQ Rule 4758.
other affiliate, BX, has also proposed to
provide outbound routing services using NES as its
routing broker. See SR–BX–2011–048.
5 This is the same as NASDAQ Rule 4751(f)(6).
4 PHLX’s
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]]>Agencies
[Federal Register Volume 76, Number 195 (Friday, October 7, 2011)]
[Notices]
[Pages 62484-62486]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-25957]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-65467; File No. SR-NASDAQ-2011-136]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Modify NASDAQ Options Market Rules Chapter VII, Section 6, Market Maker
Quotations
October 3, 2011.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
[[Page 62485]]
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on September 28, 2011, The NASDAQ Stock Market LLC (``NASDAQ'' or
``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 NASDAQ. 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 the
Substance of the Proposed Rule Change
NASDAQ is filing a proposal for the NASDAQ Options Market (``NOM'')
to amend Chapter VII, Section 6, Market Maker Quotations, to permit
wider bid/ask differentials to correspond to the width of the market in
the underlying security, as described below.
The text of the proposed rule change is available at
nasdaq.cchwallstreet.com, at NASDAQ's principal office, 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, NASDAQ 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. NASDAQ 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 purpose of the proposed rule change is to modify recently-
adopted bid/ask differentials. The new bid/ask differentials, also
known as quotation spread parameters, establish the maximum permissible
width between a Market Maker's bid and an offer in a particular series.
Recently, NASDAQ adopted a $5 wide quote spread parameters for all
options.\3\ Previously, there was no quote spread requirement and
NASDAQ adopted the $5 wide requirement in order to encourage narrower
markets and thereby improve the quality of NOM's markets.
---------------------------------------------------------------------------
\3\ See NOM Rules, Chapter VII, Section 6(d)(ii). Securities
Exchange Act Release No. 64054 (March 8, 2011), 76 FR 14111 (March
15, 2011).
---------------------------------------------------------------------------
At this time, NASDAQ proposes to permit wider bid/ask differentials
to correspond to the width of the market in the underlying security.
Specifically, NASDAQ proposes to amend Chapter VII, Section 6, Market
Maker Quotations, to provide that respecting in-the-money series \4\
where the market for the underlying security is wider than $5, the bid/
ask differential may be as wide as the quotation for the underlying
security on the primary market.\5\ For instance, under the current
rule, where the market for the underlying security in the primary
market is $60-$70, the applicable quote spread parameter is $5, but
under the proposed language, it would be $10 for the in-the-money
series, which is the spread in the underlying security in the primary
market. NASDAQ believes that this is appropriate because options are
priced relative to the price of the security underlying that option and
are often hedged with the underlying security as well; accordingly, the
price of an in-the-money option is particularly constrained by a quote
spread parameter requirement that does not take into account a quote
spread in the underlying security greater than $5.
---------------------------------------------------------------------------
\4\ In-the-money series are those series, where, in the case of
call options, the current market price of the underlying security is
higher than the strike price, or, in the case of put options, the
current market price of the underlying security is lower than the
strike price.
\5\ Primary market is defined in Chapter I, Section 1(a)(47) as,
in the case of securities listed on Nasdaq, the market that is
identified as the listing market pursuant to Section X(d) of the
approved national market system plan governing the trading of
Nasdaq-listed securities, and, in the case of securities listed on
another national securities exchange, the market that is identified
as the listing market pursuant to Section XI of the Consolidated
Tape association Plan.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Act \6\ in general, and furthers the objectives of Section
6(b)(5) of the Act \7\ in particular, in that 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 mechanisms of a free and open
market and a national market system, and, in general, to protect
investors and the public interest because it will help conform NOM's
rules to those of other exchanges, as described below, which should, in
term, avoid confusion and promote competition among exchanges.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
NASDAQ 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
Because the foregoing proposed rule change does not: (i)
Significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
become operative for 30 days after the date of the filing, or such
shorter time as the Commission may designate, it has become effective
pursuant to Section 19(b)(3)(A) of the Act \8\ and Rule 19b-4(f)(6) \9\
thereunder.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)
requires a self-regulatory organization to give the Commission
written notice of its intent to file 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 satisfied this requirement.
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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
[[Page 62486]]
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-NASDAQ-2011-136 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-NASDAQ-2011-136. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for Web site
viewing and printing in the Commission's Public Reference Room on
official business days between the hours of 10 a.m. and 3 p.m. Copies
of such filing also will be available for inspection and copying at the
principal offices 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-2011-136, and should be submitted on or before
October 28, 2011.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011-25957 Filed 10-6-11; 8:45 am]
BILLING CODE 8011-01-P
