Self-Regulatory Organizations; EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend EDGA Rule 1.5(q), 2329-2331 [2012-684]
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Federal Register / Vol. 77, No. 10 / Tuesday, January 17, 2012 / Notices
share executed with respect to PMOP
orders that execute at other trading
venues. The Exchange is proposing to
reduce the fee for PMOP orders that
execute at other venues to $0.0031 per
share executed.
srobinson on DSK4SPTVN1PROD with NOTICES
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,4
in general, and with Sections 6(b)(4) of
the Act,5 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 Phlx operates or controls. In
general, routing fees are reasonable
because they seek to recoup the cost of
the execution on the other venue, which
is generally borne by the order router
and, ultimately, the routing exchange.
The proposed change reflects a
reduction in fees in order to make the
routing services of PSX more attractive
to potential customers.
The Exchange also believes that the
proposed change is equitable. All
similarly situated members are subject
to the same fee structure, and access to
Phlx is offered on fair and nondiscriminatory terms; specifically, the
same routing fee, credit or pass through
fee applies to any participant and does
not differ based on user type (e.g.,
customer or broker-dealer). The
Exchange further believes that the fee
for the PMOP routing strategy is
equitable because PMOP is a complex
routing strategy that it involves
ascertaining all venues displaying a
protected quote and the simultaneous
routing of orders to the displayed size
of such quotes; accordingly, the
Exchange believes that charging a higher
fee with respect to the strategy as
compared with other strategies is
equitable. Nevertheless, the change will
reduce the difference between PMOP
fees and fees for the use of other
strategies, thereby enhancing the
competiveness of the Exchange’s routing
services.
Furthermore, the new routing fees are
reasonable and equitable in that the
decision to send routable orders and to
use PHLX as a router is entirely
voluntarily; members can avail
themselves of numerous other means of
directing orders to other venues,
including becoming members of those
markets or using any of a number of
competitive routing services offered by
other exchanges and brokers.
4 15
5 15
U.S.C. 78f.
U.S.C. 78f(b)(4).
VerDate Mar<15>2010
16:12 Jan 13, 2012
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.
Because the market for order execution
and routing is extremely competitive,
members may readily favor the
Exchange’s competitors in making order
routing decisions to the extent that they
deem PSX’s fees to be excessive.
Moreover, the Exchange believes that
the proposal will enhance competition
through its use of reduced fees to draw
greater order flow to PSX.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were either
solicited or 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.6 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 email to rule-comments@
sec.gov. Please include File No. SR–
Phlx–2011–186 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
6 15
Jkt 226001
PO 00000
U.S.C. 78s(b)(3)(A)(ii).
Frm 00073
Fmt 4703
Sfmt 4703
2329
100 F Street NE., Washington, DC
20549–1090.
All submissions should refer to File
No. SR–Phlx–2011–186. This file
number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for Web site viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE.,
Washington, DC 20549, on official
business days between the hours of 10
a.m. and 3 p.m. Copies of such filing
also will be available for inspection and
copying at the principal office of the
Exchange. All comments received will
be posted without change; the
Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File No. SR–Phlx–2011–
186 and should be submitted on or
before February 7, 2012.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–637 Filed 1–13–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–66125; File No. SR–EDGA–
2011–41]
Self-Regulatory Organizations; EDGA
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend EDGA Rule
1.5(q)
January 10, 2012.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
7 17
E:\FR\FM\17JAN1.SGM
CFR 200.30–3(a)(12).
17JAN1
2330
Federal Register / Vol. 77, No. 10 / Tuesday, January 17, 2012 / Notices
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on December
29, 2011, the EDGA Exchange, Inc. (the
‘‘Exchange’’ or the ‘‘EDGA’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II below, which items have
been prepared by the self-regulatory
organization. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
EDGA Exchange, Inc. (‘‘EDGA’’ or the
‘‘Exchange’’), proposes to amend EDGA
Rule 1.5(q) to change the starting time
of the Pre-Opening Session from 7 a.m.
Eastern Time (‘‘ET’’) to 8 a.m. ET. The
Exchange proposes to make a
conforming amendment to Rule
14.1(c)(2) to change the reference for the
starting time of the Pre-Opening Session
from 7 a.m. ET to 8 a.m. ET. Through
this filing, the Exchange proposes to
amend the rule text from SR–EDGA–
2011–28,3 which proposed to change
the Pre-Opening Session starting time to
7 a.m. ET. The text of the proposed rule
change is attached as Exhibit 5 and is
available on the Exchange’s Web site at
www.directedge.com, at the Exchange’s
principal office, and at the Public
Reference Room of the Commission.
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
self-regulatory organization has
prepared summaries, set forth in
sections A, B, and C below, of the most
significant aspects of such statements.
srobinson on DSK4SPTVN1PROD with NOTICES
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 65196
(August 25, 2011), 76 FR 54267 (August 31, 2011)
(SR–EDGA–2011–28). For the purposes of this
filing, the Exchange will refer to SR–EDGA–2011–
28 as the ‘‘August 25 Rule Filing.’’ Given that the
August 25 Rule Filing was immediately effective
but not operative, the Exchange proposes to amend
its rule text in this filing.
2 17
VerDate Mar<15>2010
16:12 Jan 13, 2012
Jkt 226001
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange filed a rule change to
amend EDGA Rule 1.5(q) to change the
starting time of the Pre-Opening Session
from 8 a.m. ET to 7 a.m. ET.4 This
change would have allowed the
Exchange to compete with other
exchanges that open their markets for
entry of orders prior to 8 a.m. ET.5 The
Exchange proposes to amend the rule
text of its August 25 Rule Filing at this
time in order to accommodate Members
who initially expressed an interest in
the change in Pre-Opening Session time
to begin at 7 a.m. ET; but, after further
consideration, Members confirmed that
they were no longer interested because
the additional costs and resources
needed to open earlier outweighed any
incidental benefits from increased
trading activity that they would incur.
As such, based on the Exchange’s
feedback from Members it surveyed in
September 2011, the Exchange
confirmed that no Members adversely
relied upon the August 25 Rule Filing.
At this time, the Exchange has not
implemented the 7 a.m. ET starting time
for the Pre-Opening Session because it
has not notified its Members pursuant to
the language in the August 25 Rule
Filing.6 In addition, the Exchange notes
Members are not adversely impacted by
the amendment to the rule text of the
August 25 Rule Filing as no Members
were required to incur any costs or
make any changes to their systems to
comply with the earlier Pre-Opening
time if they were not planning to trade
beginning at 7 a.m. ET.
Based on the foregoing, the Exchange
proposes to amend Rule 1.5(q) and make
a conforming amendment to Rule
14.1(c)(2) to change the starting time of
the Pre-Opening Session from 7 a.m. ET
back to 8 a.m. ET as it appeared before
the August 25 Rule Filing.
2. Basis
The Exchange believes that the
proposed rule change is consistent with
4 Id. The Exchange initially proposed to expand
its operational hours to open the System earlier so
that Members could enter and execute orders
beginning at 7 a.m. ET rather than 8 a.m. ET.
5 See The NASDAQ Stock Market LLC Rule 4617
(opens at 7 a.m. EST). See also NASDAQ OMX BX
Rule 4617 (opens at 7 a.m. EST); NYSE Arca
Equities Rule 7.34 (opens at 1 a.m. Pacific Time).
6 See Securities Exchange Act Release No. 65196
(August 25, 2011), 76 FR 54267 (August 31, 2011)
(SR–EDGA–2011–28), stating the Exchange will
provide notice to Members in an information
circular when the proposed rule change will be
effective, which will be no later than January 1,
2012.
PO 00000
Frm 00074
Fmt 4703
Sfmt 4703
the provisions of Section 6(b)(5) of the
Act,7 in that the proposal is designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to foster
cooperation and coordination with
persons engaged in regulating, clearing,
settling, processing information with
respect to, and facilitating transactions
in, securities, to remove impediments to
and perfect the mechanism of a free and
open market and a national market
system, and, in general, to protect
investors and the public interest. The
Exchange believes that amending its
rule text from the August 25 Rule Filing
will afford the Exchange additional time
to evaluate the potential benefits of an
earlier starting time for the Pre-Opening
Session. In addition, the Exchange
believes that it is not discriminating
against its Members given that the
Exchange contacted Members to discuss
amending the text of the August 25 Rule
Filing, and the Exchange confirmed that
no Members had adjusted their
infrastructure or incurred any costs in
reliance on the August 25 Rule Filing.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The proposed rule change does not
impose any burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange has not solicited, and
does not intend to solicit, comments on
this proposed rule change. The
Exchange has not received any
unsolicited written comments from
members or other interested parties.
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 from the date on
which it was filed, 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)(iii) thereunder.9
A proposed rule change filed under
19b–4(f)(6) normally may not become
operative prior to 30 days after the date
7 15
U.S.C. 78f(b)(5).
U.S.C. 78s(b)(3)(A).
9 17 CFR 240.19b–4(f)(6)(iii).
8 15
E:\FR\FM\17JAN1.SGM
17JAN1
Federal Register / Vol. 77, No. 10 / Tuesday, January 17, 2012 / Notices
of filing.10 However, Rule 19b–
4(f)(6)(iii) 11 permits the Commission to
designate a shorter time if such action
is consistent with the protection of
investors and the public interest. The
Exchange has requested that the
Commission waive the 30-day operative
delay. The Exchange notes that waiver
of this requirement will permit the
Exchange to immediately remove
language from its rules that could
otherwise create confusion for Members
because the 7 a.m. ET start time has not
been implemented.12 The Commission
believes that waiving the 30-day
operative delay is consistent with the
protection of investors and the public
interest because such waiver would
allow the Exchange to notify its
Members by January 1, 2012 as
prescribed in the August 25 Rule Filing
and would immediately provide
certainty with respect to the Exchange’s
rules regarding the start time for the PreOpening Session. For this reason, the
Commission designates the proposed
rule change to be operative upon filing
with the Commission.13
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
srobinson on DSK4SPTVN1PROD with NOTICES
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
10 17 CFR 240.19b–4(f)(6)(iii). 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.
11 Id.
12 See Securities Exchange Act Release No. 65196
(August 25, 2011), 76 FR 54267 (August 31, 2011)
(SR–EDGA–2011–28), stating the Exchange will
provide notice to Members in an information
circular when the proposed rule change will be
effective, which will be no later than January 1,
2012.
13 For the purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
VerDate Mar<15>2010
16:12 Jan 13, 2012
Jkt 226001
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
EDGA–2011–41 on the subject line.
2331
SECURITIES AND EXCHANGE
COMMISSION
Paper Comments
[Release No. 34–66128; File No. SR–
NYSEArca–2011–96]
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street NE., Washington, DC
20549–1090.
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Establish Fees for the
NYSE Arca Integrated Data Feed
All submissions should refer to File
Number SR–EDGA–2011–41. This file
number should be included on the
subject line if email 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 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–EDGA–
2011–41 and should be submitted on or
before February 7, 2012.
January 10, 2012.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–684 Filed 1–13–12; 8:45 am]
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 December
28, 2011, NYSE Arca, Inc. (the
‘‘Exchange’’ or ‘‘NYSE Arca’’) 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 establish
fees for the NYSE Arca Integrated Data
Feed. The text of the proposed rule
change is available at the Exchange, the
Commission’s Public Reference Room,
and www.nyse.com.
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
self-regulatory organization 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 those 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 establish
fees for the NYSE Arca Integrated Data
Feed.3 It is a market data product
BILLING CODE 8011–01–P
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 The proposed rule change establishing the
NYSE Arca Integrated Data Feed was immediately
2 17
14 17
PO 00000
CFR 200.30–3(a)(12).
Frm 00075
Fmt 4703
Sfmt 4703
Continued
E:\FR\FM\17JAN1.SGM
17JAN1
Agencies
[Federal Register Volume 77, Number 10 (Tuesday, January 17, 2012)]
[Notices]
[Pages 2329-2331]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-684]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-66125; File No. SR-EDGA-2011-41]
Self-Regulatory Organizations; EDGA Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Amend
EDGA Rule 1.5(q)
January 10, 2012.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the
[[Page 2330]]
``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on December 29, 2011, the EDGA Exchange, Inc. (the ``Exchange'' or the
``EDGA'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II below, which items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule 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
EDGA Exchange, Inc. (``EDGA'' or the ``Exchange''), proposes to
amend EDGA Rule 1.5(q) to change the starting time of the Pre-Opening
Session from 7 a.m. Eastern Time (``ET'') to 8 a.m. ET. The Exchange
proposes to make a conforming amendment to Rule 14.1(c)(2) to change
the reference for the starting time of the Pre-Opening Session from 7
a.m. ET to 8 a.m. ET. Through this filing, the Exchange proposes to
amend the rule text from SR-EDGA-2011-28,\3\ which proposed to change
the Pre-Opening Session starting time to 7 a.m. ET. The text of the
proposed rule change is attached as Exhibit 5 and is available on the
Exchange's Web site at www.directedge.com, at the Exchange's principal
office, and at the Public Reference Room of the Commission.
---------------------------------------------------------------------------
\3\ See Securities Exchange Act Release No. 65196 (August 25,
2011), 76 FR 54267 (August 31, 2011) (SR-EDGA-2011-28). For the
purposes of this filing, the Exchange will refer to SR-EDGA-2011-28
as the ``August 25 Rule Filing.'' Given that the August 25 Rule
Filing was immediately effective but not operative, the Exchange
proposes to amend its rule text in this filing.
---------------------------------------------------------------------------
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 self-regulatory organization has prepared summaries,
set forth in sections A, B, and C below, of the most significant
aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange filed a rule change to amend EDGA Rule 1.5(q) to
change the starting time of the Pre-Opening Session from 8 a.m. ET to 7
a.m. ET.\4\ This change would have allowed the Exchange to compete with
other exchanges that open their markets for entry of orders prior to 8
a.m. ET.\5\ The Exchange proposes to amend the rule text of its August
25 Rule Filing at this time in order to accommodate Members who
initially expressed an interest in the change in Pre-Opening Session
time to begin at 7 a.m. ET; but, after further consideration, Members
confirmed that they were no longer interested because the additional
costs and resources needed to open earlier outweighed any incidental
benefits from increased trading activity that they would incur. As
such, based on the Exchange's feedback from Members it surveyed in
September 2011, the Exchange confirmed that no Members adversely relied
upon the August 25 Rule Filing.
---------------------------------------------------------------------------
\4\ Id. The Exchange initially proposed to expand its
operational hours to open the System earlier so that Members could
enter and execute orders beginning at 7 a.m. ET rather than 8 a.m.
ET.
\5\ See The NASDAQ Stock Market LLC Rule 4617 (opens at 7 a.m.
EST). See also NASDAQ OMX BX Rule 4617 (opens at 7 a.m. EST); NYSE
Arca Equities Rule 7.34 (opens at 1 a.m. Pacific Time).
---------------------------------------------------------------------------
At this time, the Exchange has not implemented the 7 a.m. ET
starting time for the Pre-Opening Session because it has not notified
its Members pursuant to the language in the August 25 Rule Filing.\6\
In addition, the Exchange notes Members are not adversely impacted by
the amendment to the rule text of the August 25 Rule Filing as no
Members were required to incur any costs or make any changes to their
systems to comply with the earlier Pre-Opening time if they were not
planning to trade beginning at 7 a.m. ET.
---------------------------------------------------------------------------
\6\ See Securities Exchange Act Release No. 65196 (August 25,
2011), 76 FR 54267 (August 31, 2011) (SR-EDGA-2011-28), stating the
Exchange will provide notice to Members in an information circular
when the proposed rule change will be effective, which will be no
later than January 1, 2012.
---------------------------------------------------------------------------
Based on the foregoing, the Exchange proposes to amend Rule 1.5(q)
and make a conforming amendment to Rule 14.1(c)(2) to change the
starting time of the Pre-Opening Session from 7 a.m. ET back to 8 a.m.
ET as it appeared before the August 25 Rule Filing.
2. Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6(b)(5) of the Act,\7\ in that the
proposal is designed to prevent fraudulent and manipulative acts and
practices, to promote just and equitable principles of trade, to foster
cooperation and coordination with persons engaged in regulating,
clearing, settling, processing information with respect to, and
facilitating transactions in, securities, to remove impediments to and
perfect the mechanism of a free and open market and a national market
system, and, in general, to protect investors and the public interest.
The Exchange believes that amending its rule text from the August 25
Rule Filing will afford the Exchange additional time to evaluate the
potential benefits of an earlier starting time for the Pre-Opening
Session. In addition, the Exchange believes that it is not
discriminating against its Members given that the Exchange contacted
Members to discuss amending the text of the August 25 Rule Filing, and
the Exchange confirmed that no Members had adjusted their
infrastructure or incurred any costs in reliance on the August 25 Rule
Filing.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The proposed rule change does not impose any burden on competition
that is not necessary or appropriate in furtherance of the purposes of
the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange has not solicited, and does not intend to solicit,
comments on this proposed rule change. The Exchange has not received
any unsolicited written comments from members or other interested
parties.
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 from the date on which it was filed, 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)(iii) thereunder.\9\
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\8\ 15 U.S.C. 78s(b)(3)(A).
\9\ 17 CFR 240.19b-4(f)(6)(iii).
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A proposed rule change filed under 19b-4(f)(6) normally may not
become operative prior to 30 days after the date
[[Page 2331]]
of filing.\10\ However, Rule 19b-4(f)(6)(iii) \11\ permits the
Commission to designate a shorter time if such action is consistent
with the protection of investors and the public interest. The Exchange
has requested that the Commission waive the 30-day operative delay. The
Exchange notes that waiver of this requirement will permit the Exchange
to immediately remove language from its rules that could otherwise
create confusion for Members because the 7 a.m. ET start time has not
been implemented.\12\ The Commission believes that waiving the 30-day
operative delay is consistent with the protection of investors and the
public interest because such waiver would allow the Exchange to notify
its Members by January 1, 2012 as prescribed in the August 25 Rule
Filing and would immediately provide certainty with respect to the
Exchange's rules regarding the start time for the Pre-Opening Session.
For this reason, the Commission designates the proposed rule change to
be operative upon filing with the Commission.\13\
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\10\ 17 CFR 240.19b-4(f)(6)(iii). 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.
\11\ Id.
\12\ See Securities Exchange Act Release No. 65196 (August 25,
2011), 76 FR 54267 (August 31, 2011) (SR-EDGA-2011-28), stating the
Exchange will provide notice to Members in an information circular
when the proposed rule change will be effective, which will be no
later than January 1, 2012.
\13\ For the purposes only of waiving the 30-day operative
delay, the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act.
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 email to rule-comments@sec.gov. Please include
File Number SR-EDGA-2011-41 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-EDGA-2011-41. This file
number should be included on the subject line if email 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 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-EDGA-2011-41 and should be submitted on
or before February 7, 2012.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
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\14\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-684 Filed 1-13-12; 8:45 am]
BILLING CODE 8011-01-P