Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Assess a Fee for the QView Service, 18280-18282 [2012-7246]
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mstockstill on DSK4VPTVN1PROD with NOTICES
18280
Federal Register / Vol. 77, No. 59 / Tuesday, March 27, 2012 / Notices
discretion of the then-existing
Independent Trustees.
7. Whenever a Subadviser change is
proposed for a Subadvised Fund with
an Affiliated Subadviser, the Board,
including a majority of the Independent
Trustees, will make a separate finding,
reflected in the Board minutes, that the
change is in the best interests of the
Subadvised Fund and its shareholders,
and does not involve a conflict of
interest from which the Adviser or the
Affiliated Subadviser derives an
inappropriate advantage.
8. Whenever a Subadviser is hired or
terminated, the Adviser will provide the
Board with information showing the
expected impact on the profitability of
the Adviser.
9. Each Adviser will provide the
Board, no less frequently than quarterly,
with information about the profitability
of the Adviser on a per Subadvised
Fund basis. The information will reflect
the impact on profitability of the hiring
or termination of any Subadviser during
the applicable quarter.
10. The Adviser will provide general
management services to each
Subadvised Fund, including overall
supervisory responsibility for the
general management and investment of
the Subadvised Fund’s assets and,
subject to review and approval of the
Board, will: (i) Set the Subadvised
Fund’s overall investment strategies; (ii)
evaluate, select, and recommend
Subadvisers to manage all or a portion
of the Subadvised Fund’s assets; (iii)
allocate and, when appropriate,
reallocate the Subadvised Fund’s assets
among Subadvisers; (iv) monitor and
evaluate the Subadvisers’ performance;
and (v) implement procedures
reasonably designed to ensure that
Subadvisers comply with the
Subadvised Fund’s investment
objective, policies and restrictions.
11. No Trustee or officer of the Trust
or of a Subadvised Fund or director or
officer of the Adviser, will own directly
or indirectly (other than through a
pooled investment vehicle that is not
controlled by such person) any interest
in a Subadviser except for (i) ownership
of interests in the Adviser or any entity
that controls, is controlled by or is
under common control with the
Adviser; or (ii) ownership of less than
1% of the outstanding securities of any
class of equity or debt of any publicly
traded company that is either a
Subadviser or an entity that controls, is
controlled by or is under common
control with a Subadviser.
12. Each Subadvised Fund will
disclose in its registration statement the
Aggregate Fee Disclosure.
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13. In the event the Commission
adopts a rule under the Act providing
substantially similar relief to that in the
order requested in the Application, the
requested order will expire on the
effective date of that rule.
14. For Subadvised Funds that pay
fees to a Subadviser directly from fund
assets, any changes to a Subadvisory
Agreement that would result in an
increase in the total management and
advisory fees payable by a Subadvised
Fund will be required to be approved by
the shareholders of the Subadvised
Fund.
For the Commission, by the Division of
Investment Management, under delegated
authority.
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–7282 Filed 3–26–12; 8:45 am]
added, deleted or postponed, please
contact: The Office of the Secretary at
(202) 551–5400.
Dated: March 22, 2012.
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2012–7385 Filed 3–23–12; 11:15 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–66636; File No. SR–
NASDAQ–2012–035]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Assess a
Fee for the QView Service
BILLING CODE 8011–01–P
March 21, 2012.
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meeting Notice
Notice is hereby given, pursuant to
the provisions of the Government in the
Sunshine Act, Public Law 94–409, that
the Securities and Exchange
Commission will hold a Closed Meeting
on Thursday, March 29, 2012 at 2 p.m.
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the Closed Meeting. Certain
staff members who have an interest in
the matters also may be present.
The General Counsel of the
Commission, or his designee, has
certified that, in his opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (7), 9(B) and (10)
and 17 CFR 200.402(a)(3), (5), (7), 9(ii)
and (10), permit consideration of the
scheduled matters at the Closed
Meeting.
Commissioner Gallagher, as duty
officer, voted to consider the items
listed for the Closed Meeting in a closed
session.
The subject matter of the Closed
Meeting scheduled for Thursday, March
29, 2012 will be:
Institution and settlement of
injunctive actions;
Institution and settlement of
administrative proceedings;
An adjudicatory matter; and
Other matters relating to enforcement
proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
For further information and to
ascertain what, if any, matters have been
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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 March
15, 2012, The NASDAQ Stock Market
LLC (the ‘‘Exchange’’ or ‘‘NASDAQ’’)
filed with the Securities and Exchange
Commission (the ‘‘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 assess a fee
for the QView service, which provides
a subscribing member firm with
increased transparency over its trading
activity on the Exchange by allowing the
member to track its Exchange order
flow. The Exchange will implement the
proposed fee effective March 15, 2012.
The text of the proposed rule change
is below. Proposed new language is in
italics; proposed deletions are in
brackets.
7058. QView
QView is a web-based tool designed to give
a subscribing member the ability to track its
order flow on Nasdaq, and create both realtime and historical reports of such order
flow. Members may subscribe to QView for
a fee of $600 per month, per member firm [at
no cost].
*
*
1 15
2 17
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*
U.S.C. 78s(b)(1).
CFR 240.19b–4.
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Federal Register / Vol. 77, No. 59 / Tuesday, March 27, 2012 / Notices
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
mstockstill on DSK4VPTVN1PROD with NOTICES
1. Purpose
The Exchange is proposing to assess
a fee of $600 per month, per member
firm for subscription to QView effective
March 15, 2012. The Exchange initially
adopted QView on December 1, 2011 at
no cost to subscribers.3 QView is a Webbased, front-end application, which
provides a subscribing member firm
with increased transparency over its
trading activity on the Exchange by
allowing the member firm to track its
Exchange order flow.4 In particular, a
QView subscriber is able to track all of
its trading activity on the Exchange
through detailed order and execution
summaries. QView provides a
subscribing member with statistics
concerning the total number of
executions, total volume, dollar value of
executions, executions by symbol, add
versus remove, buy versus sell, display
versus non-display, number of open
orders, use of routing strategies and
liquidity code designation. QView also
provides information concerning how
the subscribing member firm ranks in
NASDAQ market activity as compared
to other NASDAQ participants. The data
3 Securities Exchange Act Release No. 65851
(November 30, 2011), 76 FR 75924 (December 5,
2011) (SR–NASDAQ–2011–157).
4 A subscribing member possessing multiple
MPIDs must designate the MPIDs for which it
would like to receive QView information. A
subscribing member, however, may elect to monitor
only the activity occurring through certain ports
associated with a subscribed MPID. A member firm
seeking to subscribe to QView that accesses the
Exchange through a sponsored arrangement with
another Exchange member must provide the
Exchange with an executed sponsored access data
agreement prior to subscribing to QView. The
sponsored access data agreement makes clear that
the subscribing member firm is permitted to
designate the sponsoring firm’s MPID for
subscription to QView. A copy of this form may be
found here: https://www.nasdaqtrader.com/content/
productsservices/trading/QView/
QView_SponsoredAccessAgreement.pdf.
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provided by QView is available to the
subscribing member both in real-time
and historically. Subscribing member
firms are also able to export such data
from QView to other systems.
A member firm must subscribe to
NASDAQ TradeInfo 5 to subscribe to
QView. QView was developed to work
in conjunction with TradeInfo, so that a
subscriber to QView is able to
seamlessly filter down to the specific
order or execution information of the
orders and executions provided in the
QView dashboard interface. The
dashboard also allows a QView
subscriber to track its executions and
open orders in real-time, as well as view
its executions and open orders as an
overall summary, with all totals
displayed by quantity, share volume, or
dollar value. As such, QView provides
both an overall summary of a
subscribing member firm’s activity, as
well as detailed order and execution
information, thus providing the
subscriber a comprehensive tool to track
its trading activity.6
A member firm that is a subscriber to
QView as of March 14, 2012 may cancel
its subscription to QView at any time
prior to close of business March 30,
2012 and not pay the proposed
subscription fee.7
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with Section
6(b)(4) of the Act 8 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, and it
does not unfairly discriminate between
customers, issuers, brokers or dealers.
The Exchange believes that the
proposed fee is equitable and not
unfairly discriminatory because member
firms that voluntarily elect to subscribe
to this service will be charged the same
fee. QView provides subscribing
member firms with a top down view of
their trading activity on the Exchange
and the proposed fee is assessed on a
5 TradeInfo is a web-based tool that, among other
things, allows users access to all of the NASDAQ
order and execution information for their entire
firm for both equities and options through a single
interface. TradeInfo is offered complimentary as
part of the NASDAQ Workstation or separately for
a fee of $95 per user per month. See Rule 7015(f)
(Securities Exchange Act Release No. 55135
(January 19, 2007), 72 FR 3893 (January 26, 2007)
(SR–NASDAQ–2006–062)).
6 For example, QView will inform a subscribing
member of its executions in a particular day and
provide a link to the details of those executions,
which is provided by TradeInfo.
7 NASDAQ has provided notice to member firms
of the March 30, 2012 cancelation date.
8 15 U.S.C. 78f(b)(4).
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18281
per member firm basis. The value of
QView to a subscribing member firm is
the convenience of aggregating and
displaying the firm’s data in a single
interface regardless of the amount of
data (executions, open orders, etc.) or
the number of MPIDs that the firm has.
In this regard, the Exchange notes that
the number of MPIDs that a subscribing
member firm possesses is not indicative
of quantity and value of the data
provided by QView. In many cases, a
firm with a single MPID may in fact
have more data than a firm with
multiple MPIDs. As such, the Exchange
believes that it is equitable to assess the
fee on a per firm basis, as opposed to a
per MPID basis. The Exchange also
believes that the proposed fee does not
unfairly discriminate because it is
available to all member firms on equal
terms and there is no differentiation
among member firms in regard to the fee
assessed to subscribers. In addition, the
Exchange believes that it is not unfair
discrimination to limit the service to
broker-dealers that are members of the
Exchange because it provides
information solely concerning a
subscribing member firm’s trading
activity on the Exchange.
The Exchange determined that the
proposed fee is reasonable based on
member firm interest in QView, costs
associated with developing and
supporting QView, and the value that
QView provides to subscribing member
firms. The information provided by
QView relates to the subscribing
member firm’s activity on the Exchange
and the member firm may access and
aggregate this information by other
means, including its own internal
systems. As such, the Exchange believes
that if a member firm determines that
the fee is not cost-efficient for its needs,
it may decline to subscribe to QView
and access such information from other
sources. Finally, the maximum fee for a
member that elects to subscribe to this
service, regardless of the number of
MPIDs held by the firm, is $600 per
month. Subscription to QView is per
member firm, therefore a firm must
subscribe only once to QView to receive
the service for as many of its MPIDs as
it wishes.
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.
To the contrary, the proposed rule
change is pro-competitive in that it will
allow the Exchange to disseminate a
new service on a voluntary basis. QView
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Federal Register / Vol. 77, No. 59 / Tuesday, March 27, 2012 / Notices
is voluntary on the part of the Exchange
which is not required to offer such
products and services, and voluntary on
the part of prospective users that are not
required to use it and may obtain the
information from other sources.
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.9 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:
mstockstill on DSK4VPTVN1PROD with NOTICES
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml ); or
• Send an email to rulecomments@sec.gov. Please include File
Number SR–NASDAQ–2012–035 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–2012–035. 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–
NASDAQ–2012–035 and should be
submitted on or before April 17, 2012.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.10
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–7246 Filed 3–26–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–66637; File No. SR–CBOE–
2012–028]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend Its Fees
Schedule
March 21, 2012.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on March 19,
2012, the Chicago Board Options
Exchange, Incorporated (the ‘‘Exchange’’
or ‘‘CBOE’’) filed with the Securities
and Exchange Commission (the
‘‘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
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
U.S.C. 78s(b)(3)(A)(ii).
VerDate Mar<15>2010
17:14 Mar 26, 2012
Jkt 226001
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend its
Fees Schedule. The text of the proposed
rule change is available on the
Exchange’s Web site (https://
www.cboe.com/AboutCBOE/
CBOELegalRegulatoryHome.aspx), at
the Exchange’s Office of the Secretary,
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.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange currently lists on its
Fees Schedule the fingerprint
processing fees that are collected and
retained by the Financial Industry
Regulatory Authority, Inc. (‘‘FINRA’’)
via its Web CRDSM registration system
for the registration of associated persons
of Exchange Trading Permit Holder
(‘‘TPH’’) and TPH organizations that are
not also FINRA members. The Exchange
was recently notified by FINRA that,
effective March 19, 2012, FINRA is
decreasing the per card Initial
Submission and Third Submission fees
from $30.25 to $27.50. As such, the
Exchange proposes to amend its Fees
Schedule to reflect this change.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the Act
and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.3 Specifically,
the Exchange believes the proposed rule
change is consistent with Section 6(b)(4)
of the Act,4 which provides that
10 17
1 15
9 15
solicit comments on the proposed rule
change from interested persons.
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4 15
E:\FR\FM\27MRN1.SGM
U.S.C. 78f(b).
U.S.C. 78f(b)(4).
27MRN1
Agencies
[Federal Register Volume 77, Number 59 (Tuesday, March 27, 2012)]
[Notices]
[Pages 18280-18282]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-7246]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-66636; File No. SR-NASDAQ-2012-035]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Assess a Fee for the QView Service
March 21, 2012.
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 March 15, 2012, The NASDAQ Stock Market LLC (the ``Exchange''
or ``NASDAQ'') filed with the Securities and Exchange Commission (the
``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 assess a fee for the QView service, which
provides a subscribing member firm with increased transparency over its
trading activity on the Exchange by allowing the member to track its
Exchange order flow. The Exchange will implement the proposed fee
effective March 15, 2012.
The text of the proposed rule change is below. Proposed new
language is in italics; proposed deletions are in brackets.
7058. QView
QView is a web-based tool designed to give a subscribing member
the ability to track its order flow on Nasdaq, and create both real-
time and historical reports of such order flow. Members may
subscribe to QView for a fee of $600 per month, per member firm [at
no cost].
* * * * *
[[Page 18281]]
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 is proposing to assess a fee of $600 per month, per
member firm for subscription to QView effective March 15, 2012. The
Exchange initially adopted QView on December 1, 2011 at no cost to
subscribers.\3\ QView is a Web-based, front-end application, which
provides a subscribing member firm with increased transparency over its
trading activity on the Exchange by allowing the member firm to track
its Exchange order flow.\4\ In particular, a QView subscriber is able
to track all of its trading activity on the Exchange through detailed
order and execution summaries. QView provides a subscribing member with
statistics concerning the total number of executions, total volume,
dollar value of executions, executions by symbol, add versus remove,
buy versus sell, display versus non-display, number of open orders, use
of routing strategies and liquidity code designation. QView also
provides information concerning how the subscribing member firm ranks
in NASDAQ market activity as compared to other NASDAQ participants. The
data provided by QView is available to the subscribing member both in
real-time and historically. Subscribing member firms are also able to
export such data from QView to other systems.
---------------------------------------------------------------------------
\3\ Securities Exchange Act Release No. 65851 (November 30,
2011), 76 FR 75924 (December 5, 2011) (SR-NASDAQ-2011-157).
\4\ A subscribing member possessing multiple MPIDs must
designate the MPIDs for which it would like to receive QView
information. A subscribing member, however, may elect to monitor
only the activity occurring through certain ports associated with a
subscribed MPID. A member firm seeking to subscribe to QView that
accesses the Exchange through a sponsored arrangement with another
Exchange member must provide the Exchange with an executed sponsored
access data agreement prior to subscribing to QView. The sponsored
access data agreement makes clear that the subscribing member firm
is permitted to designate the sponsoring firm's MPID for
subscription to QView. A copy of this form may be found here: https://www.nasdaqtrader.com/content/productsservices/trading/QView/QView_SponsoredAccessAgreement.pdf.
---------------------------------------------------------------------------
A member firm must subscribe to NASDAQ TradeInfo \5\ to subscribe
to QView. QView was developed to work in conjunction with TradeInfo, so
that a subscriber to QView is able to seamlessly filter down to the
specific order or execution information of the orders and executions
provided in the QView dashboard interface. The dashboard also allows a
QView subscriber to track its executions and open orders in real-time,
as well as view its executions and open orders as an overall summary,
with all totals displayed by quantity, share volume, or dollar value.
As such, QView provides both an overall summary of a subscribing member
firm's activity, as well as detailed order and execution information,
thus providing the subscriber a comprehensive tool to track its trading
activity.\6\
---------------------------------------------------------------------------
\5\ TradeInfo is a web-based tool that, among other things,
allows users access to all of the NASDAQ order and execution
information for their entire firm for both equities and options
through a single interface. TradeInfo is offered complimentary as
part of the NASDAQ Workstation or separately for a fee of $95 per
user per month. See Rule 7015(f) (Securities Exchange Act Release
No. 55135 (January 19, 2007), 72 FR 3893 (January 26, 2007) (SR-
NASDAQ-2006-062)).
\6\ For example, QView will inform a subscribing member of its
executions in a particular day and provide a link to the details of
those executions, which is provided by TradeInfo.
---------------------------------------------------------------------------
A member firm that is a subscriber to QView as of March 14, 2012
may cancel its subscription to QView at any time prior to close of
business March 30, 2012 and not pay the proposed subscription fee.\7\
---------------------------------------------------------------------------
\7\ NASDAQ has provided notice to member firms of the March 30,
2012 cancelation date.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
Section 6(b)(4) of the Act \8\ 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, and it does not unfairly discriminate
between customers, issuers, brokers or dealers. The Exchange believes
that the proposed fee is equitable and not unfairly discriminatory
because member firms that voluntarily elect to subscribe to this
service will be charged the same fee. QView provides subscribing member
firms with a top down view of their trading activity on the Exchange
and the proposed fee is assessed on a per member firm basis. The value
of QView to a subscribing member firm is the convenience of aggregating
and displaying the firm's data in a single interface regardless of the
amount of data (executions, open orders, etc.) or the number of MPIDs
that the firm has. In this regard, the Exchange notes that the number
of MPIDs that a subscribing member firm possesses is not indicative of
quantity and value of the data provided by QView. In many cases, a firm
with a single MPID may in fact have more data than a firm with multiple
MPIDs. As such, the Exchange believes that it is equitable to assess
the fee on a per firm basis, as opposed to a per MPID basis. The
Exchange also believes that the proposed fee does not unfairly
discriminate because it is available to all member firms on equal terms
and there is no differentiation among member firms in regard to the fee
assessed to subscribers. In addition, the Exchange believes that it is
not unfair discrimination to limit the service to broker-dealers that
are members of the Exchange because it provides information solely
concerning a subscribing member firm's trading activity on the
Exchange.
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\8\ 15 U.S.C. 78f(b)(4).
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The Exchange determined that the proposed fee is reasonable based
on member firm interest in QView, costs associated with developing and
supporting QView, and the value that QView provides to subscribing
member firms. The information provided by QView relates to the
subscribing member firm's activity on the Exchange and the member firm
may access and aggregate this information by other means, including its
own internal systems. As such, the Exchange believes that if a member
firm determines that the fee is not cost-efficient for its needs, it
may decline to subscribe to QView and access such information from
other sources. Finally, the maximum fee for a member that elects to
subscribe to this service, regardless of the number of MPIDs held by
the firm, is $600 per month. Subscription to QView is per member firm,
therefore a firm must subscribe only once to QView to receive the
service for as many of its MPIDs as it wishes.
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. To
the contrary, the proposed rule change is pro-competitive in that it
will allow the Exchange to disseminate a new service on a voluntary
basis. QView
[[Page 18282]]
is voluntary on the part of the Exchange which is not required to offer
such products and services, and voluntary on the part of prospective
users that are not required to use it and may obtain the information
from other sources.
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.\9\ 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.
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\9\ 15 U.S.C. 78s(b)(3)(A)(ii).
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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-NASDAQ-2012-035 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-2012-035. 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-NASDAQ-2012-035 and should
be submitted on or before April 17, 2012.
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\10\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-7246 Filed 3-26-12; 8:45 am]
BILLING CODE 8011-01-P