Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the NYSE Amex Options Fee Schedule To Modify the Existing Floor Broker Rebate for Executed Qualified Contingent Cross Orders, 26677-26679 [2013-10742]

Download as PDF Federal Register / Vol. 78, No. 88 / Tuesday, May 7, 2013 / Notices IV. Solicitation of Comments other participants may access the Exchange in a manner that makes the most economic sense for them. 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. The Exchange believes that the proposed change will encourage Firms to send higher volumes of order flow to the Exchange to qualify for the lower transaction fees. The Exchange notes that it operates in a highly competitive market in which market participants can readily favor competing venues if they deem fee levels at a particular venue to be excessive. 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. 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. tkelley on DSK3SPTVN1PROD with NOTICES 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) 12 of the Act and subparagraph (f)(2) of Rule 19b–4 13 thereunder, because it establishes a due, fee, or other charge imposed by the Exchange. 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. If the Commission takes such action, the Commission shall institute proceedings under Section 19(b)(2)(B) 14 of the Act to determine whether the proposed rule change should be approved or disapproved. 12 15 U.S.C. 78s(b)(3)(A). 13 17 CFR 240.19b–4(f)(2). 14 15 U.S.C. 78s(b)(2)(B). VerDate Mar<15>2010 15:24 May 06, 2013 Jkt 229001 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: • 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–NYSEMKT–2013–38 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–NYSEMKT–2013–38. 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 publicly available. All submissions should refer to File Number SR– NYSEMKT–2013–38 and should be submitted on or before May 28, 2013. Frm 00067 Fmt 4703 For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.15 Kevin M. O’Neill, Deputy Secretary. [FR Doc. 2013–10741 Filed 5–6–13; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION Electronic Comments PO 00000 26677 Sfmt 4703 [Release No. 34–69489; File No. SR– NYSEMKT–2013–39] Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the NYSE Amex Options Fee Schedule To Modify the Existing Floor Broker Rebate for Executed Qualified Contingent Cross Orders May 1, 2013. 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 April 19, 2013, NYSE MKT LLC (the ‘‘Exchange’’ or ‘‘NYSE MKT’’) 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 Amex Options Fee Schedule (‘‘Fee Schedule’’) to modify the existing Floor Broker rebate for executed qualified contingent cross (‘‘QCC’’) orders. 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 15 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 15 U.S.C. 78a. 3 17 CFR 240.19b–4. 1 15 E:\FR\FM\07MYN1.SGM 07MYN1 26678 Federal Register / Vol. 78, No. 88 / Tuesday, May 7, 2013 / Notices 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 tkelley on DSK3SPTVN1PROD with NOTICES 1. Purpose The Exchange proposes to amend the Fee Schedule to modify the existing Floor Broker rebate for executed QCC orders.4 The proposed change will be operative on May 1, 2013. Specifically, the Exchange proposes to adopt a tiered rebate based on Floor Broker executed QCC volume in a given month. The existing rebate is $.07 per contract,5 and this rebate will continue to be paid to Floor Brokers that execute monthly QCC volumes up to and including 300,000 contracts. The Exchange is proposing to adopt a higher per contract rebate of $.10 per contract to be paid to Floor Brokers for any QCC volume in excess of 300,000 contracts in a given month. The rebate paid per contract will include all eligible volume within each tier at the applicable rate. The rebate is per contract and not retroactive to the first contract. Thus, if a Floor Broker has 400,000 contracts in QCC volume, he or she will earn a rebate of $.07 for the first 300,000 contracts and $.10 for the remaining 100,000 contracts. As with the existing rebate, Customer to Customer QCC trades will not qualify for any rebate as such a transaction nets the Exchange no revenue.6 The Exchange notes that the proposed rebate falls within the range of rebates paid for QCC volumes across the industry. Specifically, the Exchange notes that the International Securities Exchange (‘‘ISE’’) pays a volume-based rebate for QCC and Solicitation volumes that ranges from $.00 to $.11 per contract.7 NASDAQ OMX PHLX 4 The QCC permits an NYSE Amex ATP Holder to effect a qualified contingent trade (‘‘QCT’’) in a Regulation NMS stock and cross the options leg of the trade on the Exchange immediately upon entry and without order exposure if the order is for at least 1,000 contracts, is part of a QCT, is executed at a price at least equal to the national best bid or offer, as long as there are no Customer orders in the Exchange’s Consolidated Book at the same price. 5 See Securities Act Release No. 66376 (February 10, 2012), 77 FR 9293 (February 16, 2012) (SR– NYSEAmex–2012–05). 6 See Securities Act Release No. 65943 (December 13, 2011), 76 FR 78704 (December 19, 2011) (SR– NYSEAmex–2011–95). 7 See ISE fee schedule, available at https://www. ise.com/assets/documents/OptionsExchange/legal/ fee/fee_schedule.pdf. VerDate Mar<15>2010 15:24 May 06, 2013 Jkt 229001 (‘‘PHLX’’) also pays a volume-based rebate for QCC volume that ranges from $.00 to $.11 per contract.8 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the provisions of Section 6(b) 9 of the Act, in general, and Section 6(b)(4) and (5) 10 of the Act, in particular, in that it is designed to provide for the equitable allocation of reasonable dues, fees, and other charges among its members and other persons using its facilities and does not unfairly discriminate between customers, issuers, brokers, or dealers. The Exchange believes that the proposed tiered rebates are reasonable because they are within the range of tiered volume rebates on other exchanges.11 To the extent that the rebate is successful in attracting additional order flow to the Exchange, all market participants should benefit. Any participant will be able to engage a rebate-receiving Floor Broker in a discussion surrounding the appropriate level of fees that they may be charged for entrusting the QCC order to the Floor Broker. Moreover, the Exchange believes that the proposed rebates are equitable and not unfairly discriminatory because they will apply to all Floor Brokers that execute QCC orders on Exchange on an equal and non-discriminatory basis. 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. The Exchange believes that the proposed change will allow Floor Brokers to better compete for QCC volumes as the rebates are more in line with those paid to participants on other exchanges. The Exchange notes that it operates in a highly competitive market in which market participants can readily favor competing venues if they deem fee levels at a particular venue to be excessive and/or rebates to be insufficient. 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 8 See PHLX fee schedule, available at https:// nasdaqomxphlx.cchwallstreet.com/ NASDAQOMXPHLXTools/PlatformViewer.asp? selectednode=chp_1_4&manual= %2Fnasdaqomxphlx%2Fphlx%2Fphlx-rules brd%2F. 9 15 U.S.C. 78f(b). 10 15 U.S.C. 78f(b)(4) and (5). 11 See supra notes 7–8. PO 00000 Frm 00068 Fmt 4703 Sfmt 4703 proposed rule change reflects this competitive environment. 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) 12 of the Act and subparagraph (f)(2) of Rule 19b–4 13 thereunder, because it establishes a due, fee, or other charge imposed by the Exchange. 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. If the Commission takes such action, the Commission shall institute proceedings under Section 19(b)(2)(B) 14 of the Act to determine whether the proposed rule change 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 rulecomments@sec.gov. Please include File Number SR–NYSEMKT–2013–39 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–NYSEMKT–2013–39. This file number should be included on the subject line if email is used. To help the 12 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(2). 14 15 U.S.C. 78s(b)(2)(B). 13 17 E:\FR\FM\07MYN1.SGM 07MYN1 Federal Register / Vol. 78, No. 88 / Tuesday, May 7, 2013 / Notices 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 submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR– NYSEMKT–2013–39 and should be submitted on or before May 28, 2013. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.15 Kevin M. O’Neill, Deputy Secretary. [FR Doc. 2013–10742 Filed 5–6–13; 8:45 am] BILLING CODE 8011–01–P SMALL BUSINESS ADMINISTRATION [Disaster Declaration #13525 and #13526] Maine Disaster Number ME–00035 U.S. Small Business Administration. ACTION: Amendment 1. tkelley on DSK3SPTVN1PROD with NOTICES AGENCY: SUMMARY: This is an amendment of the Presidential declaration of a major disaster for Public Assistance Only for the State of Maine (FEMA–4108–DR), dated 03/25/2013. Incident: Severe Winter Storm, Snowstorm, and Flooding. Incident Period: 02/08/2013 through 02/09/2013. Effective Date: 04/30/2013. Physical Loan Application Deadline Date: 05/24/2013. Economic Injury (EIDL) Loan Application Deadline Date: 12/26/2013. 15 17 CFR 200.30–3(a)(12). VerDate Mar<15>2010 15:24 May 06, 2013 Jkt 229001 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 President’s major disaster declaration for Private Non-Profit organizations in the State of Maine, dated 03/25/2013, is hereby amended to include the following areas as adversely affected by the disaster. Primary Counties: Sagadahoc, Washington. All other information in the original declaration remains unchanged. ADDRESSES: 26679 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: Barber, Barton, Dickinson, Ellis, Franklin, Harper, Harvey, Hodgeman, Kingman, Marion, Mcpherson, Ness, Osage, Osborne, Pawnee, Phillips, Pratt, Rice, Rooks, Rush, Russell, Smith, Stafford. The Interest Rates are: Percent (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) For Physical Damage: Non-Profit Organizations With Credit Available Elsewhere ..... Non-Profit Organizations Without Credit Available Elsewhere ..... For Economic Injury: Non-Profit Organizations Without Credit Available Elsewhere ..... James E. Rivera, Associate Administrator for Disaster Assistance. The number assigned to this disaster for physical damage is 13557B and for economic injury is 13558B. [FR Doc. 2013–10837 Filed 5–6–13; 8:45 am] BILLING CODE 8025–01–P 2.875 2.875 2.875 (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) SMALL BUSINESS ADMINISTRATION [Disaster Declaration #13557 and #13558] James E. Rivera, Associate Administrator for Disaster Assistance. [FR Doc. 2013–10838 Filed 5–6–13; 8:45 am] Kansas Disaster #KS–00073 BILLING CODE 8025–01–P U.S. Small Business Administration. ACTION: Notice. SMALL BUSINESS ADMINISTRATION AGENCY: [Disaster Declaration #13556] SUMMARY: This is a Notice of the Presidential declaration of a major disaster for Public Assistance Only for the State of Kansas (FEMA–4112–DR), dated 04/26/2013. Incident: Snowstorm. Incident Period: 02/20/2013 through 02/23/2013. Effective Date: 04/26/2013. Physical Loan Application Deadline Date: 06/25/2013. Economic Injury (EIDL) Loan Application Deadline Date: 01/27/2014. 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 04/26/2013, Private Non-Profit organizations that provide essential PO 00000 Frm 00069 Fmt 4703 Sfmt 4703 Massachusetts Disaster #MA–00055 Declaration of Economic Injury U.S. Small Business Administration. ACTION: Notice. AGENCY: SUMMARY: This is a notice of an Economic Injury Disaster Loan (EIDL) declaration for the Commonwealth of Massachusetts, dated 04/26/2013. Incident: Boston Marathon Bombing. Incident Period: 04/15/2013. Effective Date: 04/26/2013. EIDL Loan Application Deadline Date: 01/27/2014. 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 E:\FR\FM\07MYN1.SGM 07MYN1

Agencies

[Federal Register Volume 78, Number 88 (Tuesday, May 7, 2013)]
[Notices]
[Pages 26677-26679]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-10742]


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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-69489; File No. SR-NYSEMKT-2013-39]


Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and 
Immediate Effectiveness of Proposed Rule Change To Amend the NYSE Amex 
Options Fee Schedule To Modify the Existing Floor Broker Rebate for 
Executed Qualified Contingent Cross Orders

May 1, 2013.
    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 April 19, 2013, NYSE MKT LLC (the ``Exchange'' or ``NYSE 
MKT'') 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 Amex Options Fee Schedule 
(``Fee Schedule'') to modify the existing Floor Broker rebate for 
executed qualified contingent cross (``QCC'') orders. 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

[[Page 26678]]

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 to modify the 
existing Floor Broker rebate for executed QCC orders.\4\ The proposed 
change will be operative on May 1, 2013.
---------------------------------------------------------------------------

    \4\ The QCC permits an NYSE Amex ATP Holder to effect a 
qualified contingent trade (``QCT'') in a Regulation NMS stock and 
cross the options leg of the trade on the Exchange immediately upon 
entry and without order exposure if the order is for at least 1,000 
contracts, is part of a QCT, is executed at a price at least equal 
to the national best bid or offer, as long as there are no Customer 
orders in the Exchange's Consolidated Book at the same price.
---------------------------------------------------------------------------

    Specifically, the Exchange proposes to adopt a tiered rebate based 
on Floor Broker executed QCC volume in a given month. The existing 
rebate is $.07 per contract,\5\ and this rebate will continue to be 
paid to Floor Brokers that execute monthly QCC volumes up to and 
including 300,000 contracts. The Exchange is proposing to adopt a 
higher per contract rebate of $.10 per contract to be paid to Floor 
Brokers for any QCC volume in excess of 300,000 contracts in a given 
month. The rebate paid per contract will include all eligible volume 
within each tier at the applicable rate. The rebate is per contract and 
not retroactive to the first contract. Thus, if a Floor Broker has 
400,000 contracts in QCC volume, he or she will earn a rebate of $.07 
for the first 300,000 contracts and $.10 for the remaining 100,000 
contracts. As with the existing rebate, Customer to Customer QCC trades 
will not qualify for any rebate as such a transaction nets the Exchange 
no revenue.\6\
---------------------------------------------------------------------------

    \5\ See Securities Act Release No. 66376 (February 10, 2012), 77 
FR 9293 (February 16, 2012) (SR-NYSEAmex-2012-05).
    \6\ See Securities Act Release No. 65943 (December 13, 2011), 76 
FR 78704 (December 19, 2011) (SR-NYSEAmex-2011-95).
---------------------------------------------------------------------------

    The Exchange notes that the proposed rebate falls within the range 
of rebates paid for QCC volumes across the industry. Specifically, the 
Exchange notes that the International Securities Exchange (``ISE'') 
pays a volume-based rebate for QCC and Solicitation volumes that ranges 
from $.00 to $.11 per contract.\7\ NASDAQ OMX PHLX (``PHLX'') also pays 
a volume-based rebate for QCC volume that ranges from $.00 to $.11 per 
contract.\8\
---------------------------------------------------------------------------

    \7\ See ISE fee schedule, available at https://www.ise.com/assets/documents/OptionsExchange/legal/fee/fee_schedule.pdf.
    \8\ See PHLX fee schedule, available at https://nasdaqomxphlx.cchwallstreet.com/NASDAQOMXPHLXTools/PlatformViewer.asp?selectednode=chp_1_4&manual=%2Fnasdaqomxphlx%2Fphlx%2Fphlx-rulesbrd%2F.
---------------------------------------------------------------------------

2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the provisions of Section 6(b) \9\ of the Act, in general, and 
Section 6(b)(4) and (5) \10\ of the Act, in particular, in that it is 
designed to provide for the equitable allocation of reasonable dues, 
fees, and other charges among its members and other persons using its 
facilities and does not unfairly discriminate between customers, 
issuers, brokers, or dealers.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78f(b).
    \10\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------

    The Exchange believes that the proposed tiered rebates are 
reasonable because they are within the range of tiered volume rebates 
on other exchanges.\11\ To the extent that the rebate is successful in 
attracting additional order flow to the Exchange, all market 
participants should benefit. Any participant will be able to engage a 
rebate-receiving Floor Broker in a discussion surrounding the 
appropriate level of fees that they may be charged for entrusting the 
QCC order to the Floor Broker. Moreover, the Exchange believes that the 
proposed rebates are equitable and not unfairly discriminatory because 
they will apply to all Floor Brokers that execute QCC orders on 
Exchange on an equal and non-discriminatory basis.
---------------------------------------------------------------------------

    \11\ See supra notes 7-8.
---------------------------------------------------------------------------

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. The Exchange believes that 
the proposed change will allow Floor Brokers to better compete for QCC 
volumes as the rebates are more in line with those paid to participants 
on other exchanges. The Exchange notes that it operates in a highly 
competitive market in which market participants can readily favor 
competing venues if they deem fee levels at a particular venue to be 
excessive and/or rebates to be insufficient. 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.

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) \12\ of the Act and subparagraph (f)(2) of Rule 
19b-4 \13\ thereunder, because it establishes a due, fee, or other 
charge imposed by the Exchange.
---------------------------------------------------------------------------

    \12\ 15 U.S.C. 78s(b)(3)(A).
    \13\ 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. If the Commission 
takes such action, the Commission shall institute proceedings under 
Section 19(b)(2)(B) \14\ of the Act to determine whether the proposed 
rule change should be approved or disapproved.
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------

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-NYSEMKT-2013-39 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-NYSEMKT-2013-39. This 
file number should be included on the subject line if email is used. To 
help the

[[Page 26679]]

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 submissions. You should submit 
only information that you wish to make available publicly. All 
submissions should refer to File Number SR-NYSEMKT-2013-39 and should 
be submitted on or before May 28, 2013.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
---------------------------------------------------------------------------

    \15\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-10742 Filed 5-6-13; 8:45 am]
BILLING CODE 8011-01-P
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