Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Proposing To Amend the NYSE Arca Equities Schedule of Fees and Charges for Exchange Services, 47905-47907 [2012-19608]

Download as PDF Federal Register / Vol. 77, No. 155 / Friday, August 10, 2012 / Notices 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–C2–2012–023. 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 10:00 a.m. and 3:00 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 Number SR–C2– 2012–023 and should be submitted by August 31, 2012. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.21 Kevin M. O’Neill, Deputy Secretary. [FR Doc. 2012–19609 Filed 8–9–12; 8:45 am] mstockstill on DSK4VPTVN1PROD with NOTICES BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–67595; File No. SR– NYSEArca–2012–80] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Proposing To Amend the NYSE Arca Equities Schedule of Fees and Charges for Exchange Services August 6, 2012. Pursuant to Section 19(b)(1) 1 of the Securities Exchange Act of 1934 (the ‘‘Act’’) 2 and Rule 19b–4 thereunder,3 notice is hereby given that, on July 26, 2012, NYSE Arca, Inc. (‘‘NYSE Arca’’ or the ‘‘Exchange’’) 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 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 The Exchange proposes to amend the NYSE Arca Equities Schedule of Fees and Charges for Exchange Services (‘‘Fee Schedule’’). The text of the proposed rule change is available on the Exchange’s Web site at www.nyse.com, 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 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. U.S.C. 78s(b)(1). U.S.C. 78a. 3 17 CFR 240.19b–4. 2 15 CFR 200.30–3(a)(12). VerDate Mar<15>2010 18:02 Aug 09, 2012 Jkt 226001 PO 00000 Frm 00106 Fmt 4703 A. Self-Regulatory Organization’s Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend the Fee Schedule, as described below, and implement the fee changes on August 1, 2012. The Exchange proposes to introduce a new Investor Tier 1 and corresponding credit in the Fee Schedule for ETP Holders, including Market Makers, that (1) provide liquidity of 0.60% or more of the U.S. consolidated average daily volume (‘‘CADV’’) per month,4 (2) maintain a ratio of cancelled orders to total orders of less than 30%, excluding Immediate-or-Cancel orders, and (3) maintain a ratio of executed liquidity adding volume-to-total volume of greater than 80%. ETP Holders and Market Makers that qualify for this proposed new Investor Tier 1 would receive a credit of $0.0034 per share for orders that provide liquidity to the Exchange.5 The Exchange also proposes to renumber the existing Investor Tiers (e.g., current Investor Tier 1 would become Investor Tier 2) as well as cross references in the Fee Schedule to the existing Investor Tiers. In this regard, the Exchange notes that the Tape A, B and C Step Up Tiers and the Tape C Step Up Tier 2 provide that current Investor Tier 1 and 2 ETP Holders and Market Makers are not able to qualify for those Tape Step Up Tiers. The Exchange proposes that new Investor Tier 1 ETP Holders and Market Makers would similarly not be able to qualify for those Tape Step Up Tiers. However, current Investor Tier 3 ETP Holders and Market Makers, which would become Investor Tier 4 ETP Holders and Market Makers after the proposed renumbering, would remain able to qualify for those Tape Step Up Tiers. The Exchange also proposes to specify that current Investor Tier 1, which would become Investor Tier 2, would apply to ETP Holders, including Market Makers, that provide liquidity of 0.45% or more, but less than 0.60% or more, of CADV per month. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Securities Exchange Act of 1934, in general, and furthers the objectives of Section 6(b)(4) of the Act, 4 CADV means United States Consolidated Average Daily Volume for transactions reported to the Consolidated Tape and excludes volume on days when the market closes early. 5 For all other fees and credits, Tiered or Basic Rates apply based on a firm’s qualifying levels. 1 15 21 17 47905 Sfmt 4703 E:\FR\FM\10AUN1.SGM 10AUN1 mstockstill on DSK4VPTVN1PROD with NOTICES 47906 Federal Register / Vol. 77, No. 155 / Friday, August 10, 2012 / Notices in particular, because it provides for the equitable allocation of reasonable dues, fees, and other charges among its members, issuers and other persons using its facilities and does not unfairly discriminate between customers, issuers, brokers or dealers. The Exchange believes that the proposed rule change is reasonable, equitable and not unfairly discriminatory because it would encourage ETP Holders to send additional orders to the Exchange for execution in order to qualify for an incrementally higher credit for such executions that add liquidity on the Exchange. In this regard, the Exchange believes that this may incentivize ETP Holders to increase the orders sent directly to the Exchange and therefore provide liquidity that supports the quality of price discovery and promotes market transparency. The Exchange believes that the rate proposed for the new Investor Tier 1 is reasonable because it is directly related to an ETP Holder’s level of liquidity provided on the Exchange during the month, including the percentage of the ETP Holder’s total activity that adds liquidity on the Exchange. Additionally, the Exchange believes that the rate proposed for the new Investor Tier 1 is reasonable because it would incentivize ETP Holders to provide liquidity on the Exchange and would result in a credit that is reasonably related to an exchange’s market quality that is associated with higher volumes. Additionally, the Exchange believes that prohibiting proposed new Investor Tier 1 ETP Holders from qualifying for the Tape A, B and C Step Up Tiers and the Tape C Step Up Tier 2 is reasonable, equitable and not unfairly discriminatory because the ETP Holders that qualify for Investor Tier 1 would already receive a higher credit for such executions. The Exchange believes that the proposed thresholds required for an ETP Holder to qualify for proposed new Investor Tier 1 are reasonable, equitable and not unfairly discriminatory because these percentages are within a range that the Exchange believes would incentivize ETP Holders to submit orders to the Exchange to qualify for the applicable credit of $0.0034 per share. The Exchange notes that these thresholds are consistent with the thresholds required for current Investor Tiers 1 and 2, which similarly make credits available to ETP Holders that are also based on the ETP Holder’s level of activity as a percentage of CADV, ratio of cancelled orders to total orders and ratio of executed liquidity adding VerDate Mar<15>2010 18:02 Aug 09, 2012 Jkt 226001 volume-to-total volume.6 Moreover, like existing pricing on the Exchange that is tied to ETP Holder volume levels, the Exchange believes that the proposed new Investor Tier 1 credit is equitable and not unfairly discriminatory because it would be available for all ETP Holders, including Market Makers, on an equal and non-discriminatory basis. The Exchange believes that the proposed renumbering of the existing Investor Tiers, as well as the added language for current Investor Tier 1, which would become Investor Tier 2, related to the applicable percentage of CADV per month, is reasonable, equitable and not unfairly discriminatory because it would conform the Fee Schedule to the newly added Investor Tier 1. Finally, the Exchange notes that it operates in a highly competitive market in which market participants can readily favor competing venues. In such an environment, the Exchange must continually review, and consider adjusting, its fees and credits to remain competitive with other exchanges. For the reasons described above, the Exchange believes that the proposed rule change reflects this competitive environment. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will 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 No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change is effective upon filing pursuant to Section 19(b)(3)(A) 7 of the Act and subparagraph (f)(2) of Rule 19b–4 8 thereunder, because it establishes a due, 6 For example, current Investor Tier 1 requires, in part, that an ETP Holder maintain a ratio of executed liquidity adding volume to total volume of greater than 80%, which is the same ratio proposed for the new Investor Tier 1. Also, current Investor Tier 2 requires, in part, that an ETP Holder provide liquidity of 0.60% or more of CADV per month, which is the same percentage proposed for the new Investor Tier 1. 7 15 U.S.C. 78s(b)(3)(A). 8 17 CFR 240.19b–4(f)(2). PO 00000 Frm 00107 Fmt 4703 Sfmt 4703 fee, or other charge imposed by NYSE Arca. At any time within 60 days of the filing of such 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 rulecomments@sec.gov. Please include File Number SR–NYSEArca–2012–80 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–NYSEArca–2012–80. 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 10:00 a.m. and 3:00 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 E:\FR\FM\10AUN1.SGM 10AUN1 Federal Register / Vol. 77, No. 155 / Friday, August 10, 2012 / Notices submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR– NYSEArca–2012–80 and should be submitted on or before August 31, 2012. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.9 Kevin M. O’Neill, Deputy Secretary. [FR Doc. 2012–19608 Filed 8–9–12; 8:45 am] BILLING CODE 8011–01–P SMALL BUSINESS ADMINISTRATION [Disaster Declaration #13170 and #13171] Montana Disaster #MT–00067 U.S. Small Business Administration. ACTION: Notice. AGENCY: This is a notice of an Administrative declaration of a disaster for the State of MONTANA dated 08/02/ 2012. Incident: Ash Creek Fire. Incident Period: 06/25/2012 through 07/22/2012. Effective Date: 08/02/2012. Physical Loan Application Deadline Date: 10/01/2012. Economic Injury (EIDL) Loan Application Deadline Date: 05/02/2013. ADDRESSES: Submit completed loan applications to: U.S. Small Business Administration, Processing And Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. FOR FURTHER INFORMATION CONTACT: A. Escobar, Office of Disaster Assistance, U.S. Small Business Administration, 409 3rd Street SW., Suite 6050, Washington, DC 20416. SUPPLEMENTARY INFORMATION: Notice is hereby given that as a result of the Administrator’s disaster declaration, applications for disaster loans may be filed at the address listed above or other locally announced locations. The following areas have been determined to be adversely affected by the disaster: Primary Counties: Rosebud. Contiguous Counties: Montana: Big Horn, Custer, Garfield, Musselshell, Petroleum, Powder River, Treasure, Yellowstone. The Interest Rates are: mstockstill on DSK4VPTVN1PROD with NOTICES SUMMARY: Percent For Physical Damage: Homeowners With Credit Available Elsewhere .......... 9 17 3.875 CFR 200.30–3(a)(12). VerDate Mar<15>2010 18:02 Aug 09, 2012 Jkt 226001 Percent Homeowners Without Credit Available Elsewhere .......... Businesses With Credit Available Elsewhere .................. Businesses Without Credit Available Elsewhere .......... Non-Profit Organizations With Credit Available Elsewhere Non-Profit Organizations Without Credit Available Elsewhere .......................... For Economic Injury: Businesses & Small Agricultural Cooperatives Without Credit Available Elsewhere Non-Profit Organizations Without Credit Available Elsewhere .......................... 1.938 6.000 (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) 3.125 Dated: August 2, 2012. Karen G. Mills, Administrator. 3.000 [FR Doc. 2012–19671 Filed 8–9–12; 8:45 am] BILLING CODE 8025–01–P 4.000 SMALL BUSINESS ADMINISTRATION 3.000 (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) Dated: August 2, 2012. Karen G. Mills, Administrator. [FR Doc. 2012–19670 Filed 8–9–12; 8:45 am] BILLING CODE 8025–01–P SMALL BUSINESS ADMINISTRATION [Disaster Declaration #13105 and #13106] New Mexico Disaster #NM–00025 U.S. Small Business Administration. ACTION: Amendment 1. AGENCY: This is an amendment of the Administrative declaration of a disaster for the State of NEW MEXICO, dated 07/ 09/2012. Incident: Little Bear Fire. Incident Period: 06/04/2012 through 07/30/2012. Effective Date: 08/02/2012. Physical Loan Application Deadline Date: 09/07/2012. Economic Injury (EIDL) Loan Application Deadline Date: 04/09/2013. ADDRESSES: Submit completed loan applications to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. FOR FURTHER INFORMATION CONTACT: A. Escobar, Office of Disaster Assistance, U.S. Small Business Administration, 409 3rd Street SW., Suite 6050, Washington, DC 20416. SUPPLEMENTARY INFORMATION: The notice of the Administrator’s declaration for the State of New Mexico, dated 07/09/ PO 00000 Frm 00108 Fmt 4703 Sfmt 4703 2012 is hereby amended to establish the incident period for this disaster as beginning 06/04/2012 and continuing through 07/30/2012. All other information in the original declaration remains unchanged. 4.000 The number assigned to this disaster for physical damage is 131705 and for economic injury is 131710. The State which received an EIDL Declaration # is Montana. SUMMARY: 47907 [Disaster Declaration #13172 and #13173] District of Columbia Disaster #DC–00005 U.S. Small Business Administration. ACTION: Notice. AGENCY: This is a Notice of the Presidential declaration of a major disaster for Public Assistance Only for the District of Columbia (FEMA–4073– DR), dated 07/31/2012. Incident: Severe Storms. Incident Period: 06/29/2012 through 07/01/2012. Effective Date: 07/31/2012. Physical Loan Application Deadline Date: 10/01/2012. Economic Injury (EIDL) Loan Application Deadline Date: 05/01/2013. ADDRESSES: Submit completed loan applications to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. FOR FURTHER INFORMATION CONTACT: A. Escobar, Office of Disaster Assistance, U.S. Small Business Administration, 409 3rd Street SW., Suite 6050, Washington, DC 20416. SUPPLEMENTARY INFORMATION: Notice is hereby given that as a result of the President’s major disaster declaration on 07/31/2012, Private Non-Profit organizations that provide essential services of governmental nature may file disaster loan applications at the address listed above or other locally announced locations. The following areas have been determined to be adversely affected by the disaster: Primary Counties: District of Columbia. The Interest Rates are: SUMMARY: Percent For Physical Damage: Non-Profit Organizations With Credit Available Elsewhere E:\FR\FM\10AUN1.SGM 10AUN1 3.125

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 77, Number 155 (Friday, August 10, 2012)]
[Notices]
[Pages 47905-47907]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-19608]

-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-67595; File No. SR-NYSEArca-2012-80]

Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Proposing To Amend
the NYSE Arca Equities Schedule of Fees and Charges for Exchange
Services

August 6, 2012.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on July 26, 2012, NYSE Arca, Inc. (``NYSE Arca'' or the
``Exchange'') 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 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\ 15 U.S.C. 78a.
\3\ 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 amend the NYSE Arca Equities Schedule of
Fees and Charges for Exchange Services (``Fee Schedule''). The text of
the proposed rule change is available on the Exchange's Web site at
www.nyse.com, 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 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 the
Statutory Basis for, the Proposed Rule Change

1. Purpose
The Exchange proposes to amend the Fee Schedule, as described
below, and implement the fee changes on August 1, 2012.
The Exchange proposes to introduce a new Investor Tier 1 and
corresponding credit in the Fee Schedule for ETP Holders, including
Market Makers, that (1) provide liquidity of 0.60% or more of the U.S.
consolidated average daily volume (``CADV'') per month,\4\ (2) maintain
a ratio of cancelled orders to total orders of less than 30%, excluding
Immediate-or-Cancel orders, and (3) maintain a ratio of executed
liquidity adding volume-to-total volume of greater than 80%. ETP
Holders and Market Makers that qualify for this proposed new Investor
Tier 1 would receive a credit of $0.0034 per share for orders that
provide liquidity to the Exchange.\5\
---------------------------------------------------------------------------

\4\ CADV means United States Consolidated Average Daily Volume
for transactions reported to the Consolidated Tape and excludes
volume on days when the market closes early.
\5\ For all other fees and credits, Tiered or Basic Rates apply
based on a firm's qualifying levels.
---------------------------------------------------------------------------

The Exchange also proposes to renumber the existing Investor Tiers
(e.g., current Investor Tier 1 would become Investor Tier 2) as well as
cross references in the Fee Schedule to the existing Investor Tiers. In
this regard, the Exchange notes that the Tape A, B and C Step Up Tiers
and the Tape C Step Up Tier 2 provide that current Investor Tier 1 and
2 ETP Holders and Market Makers are not able to qualify for those Tape
Step Up Tiers. The Exchange proposes that new Investor Tier 1 ETP
Holders and Market Makers would similarly not be able to qualify for
those Tape Step Up Tiers. However, current Investor Tier 3 ETP Holders
and Market Makers, which would become Investor Tier 4 ETP Holders and
Market Makers after the proposed renumbering, would remain able to
qualify for those Tape Step Up Tiers. The Exchange also proposes to
specify that current Investor Tier 1, which would become Investor Tier
2, would apply to ETP Holders, including Market Makers, that provide
liquidity of 0.45% or more, but less than 0.60% or more, of CADV per
month.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Securities Exchange Act of 1934, in general,
and furthers the objectives of Section 6(b)(4) of the Act,

[[Page 47906]]

in particular, because it provides for the equitable allocation of
reasonable dues, fees, and other charges among its members, issuers and
other persons using its facilities and does not unfairly discriminate
between customers, issuers, brokers or dealers.
The Exchange believes that the proposed rule change is reasonable,
equitable and not unfairly discriminatory because it would encourage
ETP Holders to send additional orders to the Exchange for execution in
order to qualify for an incrementally higher credit for such executions
that add liquidity on the Exchange. In this regard, the Exchange
believes that this may incentivize ETP Holders to increase the orders
sent directly to the Exchange and therefore provide liquidity that
supports the quality of price discovery and promotes market
transparency.
The Exchange believes that the rate proposed for the new Investor
Tier 1 is reasonable because it is directly related to an ETP Holder's
level of liquidity provided on the Exchange during the month, including
the percentage of the ETP Holder's total activity that adds liquidity
on the Exchange. Additionally, the Exchange believes that the rate
proposed for the new Investor Tier 1 is reasonable because it would
incentivize ETP Holders to provide liquidity on the Exchange and would
result in a credit that is reasonably related to an exchange's market
quality that is associated with higher volumes. Additionally, the
Exchange believes that prohibiting proposed new Investor Tier 1 ETP
Holders from qualifying for the Tape A, B and C Step Up Tiers and the
Tape C Step Up Tier 2 is reasonable, equitable and not unfairly
discriminatory because the ETP Holders that qualify for Investor Tier 1
would already receive a higher credit for such executions.
The Exchange believes that the proposed thresholds required for an
ETP Holder to qualify for proposed new Investor Tier 1 are reasonable,
equitable and not unfairly discriminatory because these percentages are
within a range that the Exchange believes would incentivize ETP Holders
to submit orders to the Exchange to qualify for the applicable credit
of $0.0034 per share. The Exchange notes that these thresholds are
consistent with the thresholds required for current Investor Tiers 1
and 2, which similarly make credits available to ETP Holders that are
also based on the ETP Holder's level of activity as a percentage of
CADV, ratio of cancelled orders to total orders and ratio of executed
liquidity adding volume-to-total volume.\6\ Moreover, like existing
pricing on the Exchange that is tied to ETP Holder volume levels, the
Exchange believes that the proposed new Investor Tier 1 credit is
equitable and not unfairly discriminatory because it would be available
for all ETP Holders, including Market Makers, on an equal and non-
discriminatory basis.
---------------------------------------------------------------------------

\6\ For example, current Investor Tier 1 requires, in part, that
an ETP Holder maintain a ratio of executed liquidity adding volume
to total volume of greater than 80%, which is the same ratio
proposed for the new Investor Tier 1. Also, current Investor Tier 2
requires, in part, that an ETP Holder provide liquidity of 0.60% or
more of CADV per month, which is the same percentage proposed for
the new Investor Tier 1.
---------------------------------------------------------------------------

The Exchange believes that the proposed renumbering of the existing
Investor Tiers, as well as the added language for current Investor Tier
1, which would become Investor Tier 2, related to the applicable
percentage of CADV per month, is reasonable, equitable and not unfairly
discriminatory because it would conform the Fee Schedule to the newly
added Investor Tier 1.
Finally, the Exchange notes that it operates in a highly
competitive market in which market participants can readily favor
competing venues. In such an environment, the Exchange must continually
review, and consider adjusting, its fees and credits to remain
competitive with other exchanges. For the reasons described above, the
Exchange believes that the proposed rule change reflects this
competitive environment.

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

The Exchange does not believe that the proposed rule change will
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

No written comments were solicited or received with respect to the
proposed rule change.

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

The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \7\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \8\ thereunder, because it establishes a due, fee, or other charge
imposed by NYSE Arca.
---------------------------------------------------------------------------

\7\ 15 U.S.C. 78s(b)(3)(A).
\8\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

At any time within 60 days of the filing of such 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-NYSEArca-2012-80 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-NYSEArca-2012-80. 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
10:00 a.m. and 3:00 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

[[Page 47907]]

submissions. You should submit only information that you wish to make
available publicly. All submissions should refer to File Number SR-
NYSEArca-2012-80 and should be submitted on or before August 31, 2012.

For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\9\
---------------------------------------------------------------------------

\9\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-19608 Filed 8-9-12; 8:45 am]
BILLING CODE 8011-01-P

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