Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Offer a Volume Discount for the Bulk Purchase of Aged Reports Within the Category of Historical Research and Administrative Reports Under NASDAQ Rule 7022, 51628-51630 [2014-20559]

Download as PDF 51628 Federal Register / Vol. 79, No. 168 / Friday, August 29, 2014 / Notices and to the Office of Management and Budget for their evaluation. The Postal Service does not expect this amended notice to have any adverse effect on individual privacy rights. The affected systems are as follows: USPS 910.000 * * * * * [ADD TEXT] 6. To verify a customer’s identity to access services. * * * * * RETENTION AND DISPOSAL SYSTEM NAME: Identity and Document Verification Services Accordingly, for the reasons stated, the Postal Service proposes changes in the existing systems of records as follows: USPS PURPOSE(S) 910.000 SYSTEM NAME: Identity and Document Verification Services * * * * [CHANGE TO READ] 6. Records pertaining to identity verification are retained 7.5 years, to align with Federal Identity, Credential, and Access Management (FICAM) guidance unless retained longer by request of the customer. [RENUMBER REMAINING TEXT] * * * * * Stanley F. Mires, Attorney, Federal Requirements. CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM [FR Doc. 2014–20627 Filed 8–28–14; 8:45 am] [CHANGE TO READ] Customers who apply for identity and document verification services. Any customer who verifies his or her identity through USPS to access services. CATEGORIES OF RECORDS IN THE SYSTEM * * * * * * [CHANGE TO READ] 3. Verification and payment information: Credit and/or debit card information or other account number, government issued ID type and number, verification question and answer, and payment confirmation code. * * * * * [CHANGE TO READ] 6. Transaction information: Clerk signature; employee logon; transaction type, date and time, location, source of transaction; product use and inquiries. * * * * * BILLING CODE 7710–P notice is hereby given that on August 22, 2014, The NASDAQ Stock Market LLC (‘‘Nasdaq’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which Items have been prepared by the Exchange. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of the Substance of the Proposed Rule Change The Exchange proposes to a proposal to [sic] offer a volume discount for the bulk purchase of aged reports within the category of Historical Research and Administrative Reports under NASDAQ Rule 7022. * * * * * SECURITIES AND EXCHANGE COMMISSION 7022. Historical Research and Administrative Reports [Release No. 34–72911; File No. SR– NASDAQ–2014–086] (a) No Change. (b) The charge to be paid by the purchaser of an Historical Research Report regarding a Nasdaq security that wishes to obtain a license to redistribute the information contained in the report to subscribers shall be determined in accordance with the following schedule: Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Offer a Volume Discount for the Bulk Purchase of Aged Reports Within the Category of Historical Research and Administrative Reports Under NASDAQ Rule 7022 August 25, 2014. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1, and Rule 19b–4 thereunder,2 NUMBER OF SUBSCRIBERS wreier-aviles on DSK5TPTVN1PROD with NOTICES 1–500 A. Market Summary Statistics: More often than once a month ..................................... Once a month, quarter, or year .................................... B. Reserved C. Nasdaq Issues Summary Statistics: More often than once a month ..................................... Once a month, quarter, or year .................................... Annual set of aged reports previously distributed more often than once a month. .......................................... D. Intra-Day Quote and Intra-Day Time and Sales Data: For a security and/or a market participant for a day .... For all market participants for a day or for all securities for a day ............................................................. 1 15 U.S.C. 78s(b)(1). VerDate Mar<15>2010 15:29 Aug 28, 2014 2 17 Jkt 232001 PO 00000 501–999 1,000–4999 10,000+ $250 125 $350 175 $450 225 $550 275 $750 375 500 250 600 300 700 350 800 400 1,000 500 3,000 3,000 3,000 3,000 3,000 200 300 400 500 700 1,000 1,500 2,500 3,500 5,000 CFR 240.19b–4. Frm 00103 5,000–9,999 Fmt 4703 Sfmt 4703 E:\FR\FM\29AUN1.SGM 29AUN1 Federal Register / Vol. 79, No. 168 / Friday, August 29, 2014 / Notices (c) No change. (d) No change. * * * * * 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 wreier-aviles on DSK5TPTVN1PROD with NOTICES 1. Purpose NASDAQ proposes to offer a volume discount for the bulk purchase of an existing report within the Nasdaq Issues Summary Statistics category of Historical Research and Administrative Reports under subsection C of NASDAQ Rule 7022(b). The pricing schedule for Nasdaq Issues Summary Statistics reports currently includes only short interest information.3 The fee schedule for NASDAQ Issues Summary Statistics is currently divided into two tiers, one for reports distributed once per month or less, and a second for reports distributed more than once monthly. NASDAQ is proposing to add a third tier of fees for Nasdaq Issues Summary Statistics reports for the purchase and distribution of a full year of the twicemonthly report of short interest on NASDAQ provided that the individual reports are each aged a full year. NASDAQ has been requested to offer a volume discount for the distribution of short interest reports aged more than one year that Distributors can make available to Subscribers in annual sets of twenty-four reports. The existing reports will be delivered in annual sets via an acceptable medium where each of the individual reports is sent simultaneously. NASDAQ has determined to assess a fee of $3,000 for access to the annual sets of aged reports of short interest on 3 In 2013, NASDAQ moved the Daily List and Fundamental Data formerly covered by this rule into new NASDAQ Rule 7022(d). See Exchange Act Release No. 68636 (Jan. 11, 2013). In the future, this category may include other information that properly falls within the category of Nasdaq Issues Summary Statistics. VerDate Mar<15>2010 15:29 Aug 28, 2014 Jkt 232001 NASDAQ. This is less than a Distributor would pay to distribute twenty-four short interest reports that will constitute each annual set of reports because the data in the annual set will be aged at least one year and therefore will be less valuable to investors. In addition, unlike the existing fee tiers, the volume discount will not be indexed to the number of subscribers receiving the annual set of reports; all Distributors will pay the $3,000 fee regardless of the number of recipients to which they distribute it. 2. Statutory Basis NASDAQ believes that the proposed rule change is consistent with the provisions of Section 6 of the Act,4 in general, and with Section 6(b)(4) of the Act,5 in particular, in that it provides for the equitable allocation of reasonable dues, fees and other charges among members and issuers and other persons using any facility or system which NASDAQ operates or controls. The volume discount is a pricing convention that exists in NASDAQ’s current fee schedule and the fee schedules of multiple other exchanges. The volume discount currently exists for transaction fees, market access fees, and market data fees where members and other market participants pay lower unit costs as they purchase increasing amounts of a given product or service. The volume discount is predicated upon the well-accepted principle that the purchase and sale of a product becomes more efficient and less costly per unit as volumes purchased and sold increase. NASDAQ believes that the proposed fee is also consistent with Section 6(b)(5) of the Act,6 in that it is designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in regulating, clearing, settling, processing information with respect to, and facilitating transactions in securities, to remove impediments to and perfect the mechanism of a free and open market and a national market system, and, in general, to protect investors and the public interest. The Exchange believes that the proposed volume discount enhances transparency and facilitates transactions through the dissemination of increased volumes of transaction-based data. Finally, NASDAQ believes that the proposed fee is also consistent with Section 11A(c)(1)(D) of the Act,7 in that 4 15 U.S.C. 78f. U.S.C. 78f(b)(4). 6 15 U.S.C. 78f(b)(5). 7 15 U.S.C. 78k–1(c)(1)(D). 5 15 PO 00000 Frm 00104 Fmt 4703 Sfmt 4703 51629 it provides for a fee that is not unreasonably discriminatory in nature. The proposed volume discount is available equally to all members and other market participants that may seek short interest reports in annual sets. Additionally, while the $3,000 flat fee is substantially less than a distributor would pay to distribute the twenty-four individual short interest reports, NASDAQ believes that this volume discount is fair and reasonable and not unreasonably discriminatory because the data contained in the annual sets will be aged at least one year and therefore of less value to investors than are current reports. For the same reasons, NASDAQ believes it is fair and equitable and not unreasonably discriminatory that the volume discount will not be indexed to the number of subscribers receiving the aggregated report; all distributors will pay the $3,000 fee regardless of the number of recipients to which they distribute it. B. Self-Regulatory Organization’s Statement on Burden on Competition NASDAQ does not believe that the proposed rule change will result in an undue burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act, as amended. As described above, the volume discount already exists in many forms, and it has not [sic] found to impose any burden on competition. In this case, NASDAQ does not believe the volume discount will impose any burden on competition. With respect to distributors, the proposal would reduce fees for all market participants that purchase and distribute the reports, therefore each participant should be positioned equally with respect to such distribution. With respect to competitors or NASDAQ, the proposed volume discount does not impose any burden on competition. NASDAQ competitors that distribute similar data are equallywell positioned to offer a volume discount for similar data. To the extent that NASDAQ’s proposed volume discount prompts competitors to offer volume discounts, this effect is procompetitive and beneficial to investors. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others Written comments were either solicited or received. E:\FR\FM\29AUN1.SGM 29AUN1 51630 Federal Register / Vol. 79, No. 168 / Friday, August 29, 2014 / Notices III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing change has become effective pursuant to Section 19(b)(3)(A) of the Act,8 and paragraph (f) 9 of Rule 19b–4, thereunder. At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. 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: wreier-aviles on DSK5TPTVN1PROD with NOTICES Electronic Comments • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– NASDAQ–2014–086 on the subject line. Paper Comments • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–NASDAQ–2014–086. 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 (http://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 8 15 9 17 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f). VerDate Mar<15>2010 15:29 Aug 28, 2014 Jkt 232001 inspection and copying at the principal offices of the Exchange. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR– NASDAQ–2014–086, and should be submitted on or before September 19, 2014. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.10 Kevin M. O’Neill, Deputy Secretary. [FR Doc. 2014–20559 Filed 8–28–14; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–72908; File No. SR–FICC– 2014–01] Self-Regulatory Organization; Fixed Income Clearing Corporation; Notice of Filing of Proposed Rule Change To Amend the Government Securities Division Rulebook in Order To Establish an Early Unwind Intraday Charge in Connection With the Inclusion of GCF Repo® Positions in GSD’s Intraday Participant Clearing Fund Requirement, and GSD’s Hourly Internal Surveillance Cycles August 25, 2014. 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 August 11, 2014, the Fixed Income Clearing Corporation (‘‘FICC’’) filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change as described in Items I, II and III below, which Items have been prepared by FICC. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons.3 10 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 3 On January 10, 2014, FICC filed advance notice SR–FICC–2014–801 pursuant to Section 806(e)(1) of Title VIII of the Dodd-Frank Wall Street Reform and Consumer Protection Act titled the Payment, Clearing, and Settlement Supervision Act of 2010, 12 U.S.C. 5465(e)(1), and Rule 19b–4(n)(1)(i) of the Securities Exchange Act of 1934, 17 CFR 240.19b– 4(n)(1)(i). The Commission published notice for comment in the Federal Register on February 10, 2014. Securities Exchange Act Release No. 34– 71469 (February 4, 2014), 79 FR 7722 (February 10, 2014) (SR–FICC–2014–801). FICC filed Amendment No. 1 to this advance notice on August 11, 2014. A copy of the advance notice and Amendment No. 1 15 PO 00000 Frm 00105 Fmt 4703 Sfmt 4703 I. Clearing Agency’s Statement of the Terms of Substance of the Proposed Rule Change The Government Securities Division (‘‘GSD’’) of FICC is proposing to amend the GSD Rulebook (the ‘‘Rules’’) in order to establish an early unwind intraday charge to protect against the exposure that may result from intraday cash substitutions and early unwind of interbank allocations 4 in connection with GSD’s proposal to include the underlying collateral pertaining to the GCF Repo® 5 positions in GSD’s noon intraday 6 participant Clearing Fund requirement (‘‘CFR’’) calculation, and GSD’s hourly internal surveillance cycles. II. Clearing Agency’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, FICC 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. FICC has prepared summaries, set forth in sections (A), (B), and (C) below, of the most significant aspects of these statements. (A) Clearing Agency’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose GSD is proposing to amend its Rules in order to establish an early unwind intraday charge (‘‘EUIC’’) 7 (discussed below) to protect against the exposure 1 are available at http://www.dtcc.com/legal/secrule-filings.aspx. 4 The ‘‘early unwind of interbank allocations’’ refers to the automatic return of the collateral from the reverse repo side (cash lender) to FICC’s account at the repo side’s (cash borrower’s) settlement bank and the return of cash to the reverse repo side, which typically occurs before the opening of Fedwire. 5 The GCF Repo® service enables dealers to trade general collateral repos, based on rate, term, and underlying product, throughout the day without requiring intra-day, trade-for-trade settlement on a Deliver-versus-Payment (‘‘DVP’’) basis. The service fosters a highly liquid market for securities financing. GCF Repo® is a registered trademark of The Depository Trust & Clearing Corporation. 6 Noon intraday refers to the routine intraday margining cycle which is based on a 12:00 p.m. (ET) position snap shot. Pursuant to Rule 4, FICC may request additional margin outside of the formal intraday margin calls. 7 In connection with GSD’s proposal to include the underlying collateral pertaining to the GCF Repo® positions in its noon intraday CFR, GSD discovered circumstances under which a member would be charged an EUIC. If, however, a member is assessed an EUIC under circumstances that were not initially contemplated and the EUIC charge is deemed unnecessary, management will have the discretion to waive such charge. E:\FR\FM\29AUN1.SGM 29AUN1

Agencies

[Federal Register Volume 79, Number 168 (Friday, August 29, 2014)]
[Notices]
[Pages 51628-51630]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-20559]


=======================================================================
-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-72911; File No. SR-NASDAQ-2014-086]


Self-Regulatory Organizations; The NASDAQ Stock Market LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To 
Offer a Volume Discount for the Bulk Purchase of Aged Reports Within 
the Category of Historical Research and Administrative Reports Under 
NASDAQ Rule 7022

August 25, 2014.

    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 August 22, 2014, The NASDAQ Stock Market LLC (``Nasdaq'' or 
``Exchange'') filed with the Securities and Exchange Commission 
(``SEC'' or ``Commission'') the proposed rule change as described in 
Items I, II, and III below, which Items have been prepared by the 
Exchange. The Commission is publishing this notice to solicit comments 
on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of the 
Substance of the Proposed Rule Change

    The Exchange proposes to a proposal to [sic] offer a volume 
discount for the bulk purchase of aged reports within the category of 
Historical Research and Administrative Reports under NASDAQ Rule 7022.
* * * * *

7022. Historical Research and Administrative Reports

    (a) No Change.
    (b) The charge to be paid by the purchaser of an Historical 
Research Report regarding a Nasdaq security that wishes to obtain a 
license to redistribute the information contained in the report to 
subscribers shall be determined in accordance with the following 
schedule:

                                              Number of Subscribers
----------------------------------------------------------------------------------------------------------------
                                       1-500          501-999       1,000-4999      5,000-9,999       10,000+
----------------------------------------------------------------------------------------------------------------
A. Market Summary Statistics:
    More often than once a month            $250            $350            $450            $550            $750
    Once a month, quarter, or                125             175             225             275             375
     year.......................
B. Reserved
C. Nasdaq Issues Summary
 Statistics:
    More often than once a month             500             600             700             800           1,000
    Once a month, quarter, or                250             300             350             400             500
     year.......................
    Annual set of aged reports             3,000           3,000           3,000           3,000           3,000
     previously distributed more
     often than once a month....
D. Intra-Day Quote and Intra-Day
 Time and Sales Data:
    For a security and/or a                  200             300             400             500             700
     market participant for a
     day........................
    For all market participants            1,000           1,500           2,500           3,500           5,000
     for a day or for all
     securities for a day.......
----------------------------------------------------------------------------------------------------------------


[[Page 51629]]

    (c) No change.
    (d) No change.
* * * * *

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
    NASDAQ proposes to offer a volume discount for the bulk purchase of 
an existing report within the Nasdaq Issues Summary Statistics category 
of Historical Research and Administrative Reports under subsection C of 
NASDAQ Rule 7022(b). The pricing schedule for Nasdaq Issues Summary 
Statistics reports currently includes only short interest 
information.\3\ The fee schedule for NASDAQ Issues Summary Statistics 
is currently divided into two tiers, one for reports distributed once 
per month or less, and a second for reports distributed more than once 
monthly.
---------------------------------------------------------------------------

    \3\ In 2013, NASDAQ moved the Daily List and Fundamental Data 
formerly covered by this rule into new NASDAQ Rule 7022(d). See 
Exchange Act Release No. 68636 (Jan. 11, 2013). In the future, this 
category may include other information that properly falls within 
the category of Nasdaq Issues Summary Statistics.
---------------------------------------------------------------------------

    NASDAQ is proposing to add a third tier of fees for Nasdaq Issues 
Summary Statistics reports for the purchase and distribution of a full 
year of the twice-monthly report of short interest on NASDAQ provided 
that the individual reports are each aged a full year. NASDAQ has been 
requested to offer a volume discount for the distribution of short 
interest reports aged more than one year that Distributors can make 
available to Subscribers in annual sets of twenty-four reports. The 
existing reports will be delivered in annual sets via an acceptable 
medium where each of the individual reports is sent simultaneously.
    NASDAQ has determined to assess a fee of $3,000 for access to the 
annual sets of aged reports of short interest on NASDAQ. This is less 
than a Distributor would pay to distribute twenty-four short interest 
reports that will constitute each annual set of reports because the 
data in the annual set will be aged at least one year and therefore 
will be less valuable to investors. In addition, unlike the existing 
fee tiers, the volume discount will not be indexed to the number of 
subscribers receiving the annual set of reports; all Distributors will 
pay the $3,000 fee regardless of the number of recipients to which they 
distribute it.
2. Statutory Basis
    NASDAQ believes that the proposed rule change is consistent with 
the provisions of Section 6 of the Act,\4\ in general, and with Section 
6(b)(4) of the Act,\5\ in particular, in that it provides for the 
equitable allocation of reasonable dues, fees and other charges among 
members and issuers and other persons using any facility or system 
which NASDAQ operates or controls. The volume discount is a pricing 
convention that exists in NASDAQ's current fee schedule and the fee 
schedules of multiple other exchanges. The volume discount currently 
exists for transaction fees, market access fees, and market data fees 
where members and other market participants pay lower unit costs as 
they purchase increasing amounts of a given product or service. The 
volume discount is predicated upon the well-accepted principle that the 
purchase and sale of a product becomes more efficient and less costly 
per unit as volumes purchased and sold increase.
---------------------------------------------------------------------------

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

    NASDAQ believes that the proposed fee is also consistent with 
Section 6(b)(5) of the Act,\6\ in that it is designed to prevent 
fraudulent and manipulative acts and practices, to promote just and 
equitable principles of trade, to foster cooperation and coordination 
with persons engaged in regulating, clearing, settling, processing 
information with respect to, and facilitating transactions in 
securities, to remove impediments to and perfect the mechanism of a 
free and open market and a national market system, and, in general, to 
protect investors and the public interest. The Exchange believes that 
the proposed volume discount enhances transparency and facilitates 
transactions through the dissemination of increased volumes of 
transaction-based data.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    Finally, NASDAQ believes that the proposed fee is also consistent 
with Section 11A(c)(1)(D) of the Act,\7\ in that it provides for a fee 
that is not unreasonably discriminatory in nature. The proposed volume 
discount is available equally to all members and other market 
participants that may seek short interest reports in annual sets. 
Additionally, while the $3,000 flat fee is substantially less than a 
distributor would pay to distribute the twenty-four individual short 
interest reports, NASDAQ believes that this volume discount is fair and 
reasonable and not unreasonably discriminatory because the data 
contained in the annual sets will be aged at least one year and 
therefore of less value to investors than are current reports. For the 
same reasons, NASDAQ believes it is fair and equitable and not 
unreasonably discriminatory that the volume discount will not be 
indexed to the number of subscribers receiving the aggregated report; 
all distributors will pay the $3,000 fee regardless of the number of 
recipients to which they distribute it.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78k-1(c)(1)(D).
---------------------------------------------------------------------------

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

    NASDAQ does not believe that the proposed rule change will result 
in an undue burden on competition that is not necessary or appropriate 
in furtherance of the purposes of the Act, as amended. As described 
above, the volume discount already exists in many forms, and it has not 
[sic] found to impose any burden on competition. In this case, NASDAQ 
does not believe the volume discount will impose any burden on 
competition. With respect to distributors, the proposal would reduce 
fees for all market participants that purchase and distribute the 
reports, therefore each participant should be positioned equally with 
respect to such distribution.
    With respect to competitors or NASDAQ, the proposed volume discount 
does not impose any burden on competition. NASDAQ competitors that 
distribute similar data are equally-well positioned to offer a volume 
discount for similar data. To the extent that NASDAQ's proposed volume 
discount prompts competitors to offer volume discounts, this effect is 
pro-competitive and beneficial to investors.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    Written comments were either solicited or received.

[[Page 51630]]

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

    The foregoing change has become effective pursuant to Section 
19(b)(3)(A) of the Act,\8\ and paragraph (f) \9\ of Rule 19b-4, 
thereunder. At any time within 60 days of the filing of the proposed 
rule change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act.
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 240.19b-4(f).
---------------------------------------------------------------------------

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 (http://www.sec.gov/rules/sro.shtml); or
     Send an email to rule-comments@sec.gov. Please include 
File Number SR-NASDAQ-2014-086 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-NASDAQ-2014-086. 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 (http://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 offices of the Exchange. 
All comments received will be posted without change; the Commission 
does not edit personal identifying information from submissions. You 
should submit only information that you wish to make available 
publicly. All submissions should refer to File Number SR-NASDAQ-2014-
086, and should be submitted on or before September 19, 2014.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
---------------------------------------------------------------------------

    \10\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-20559 Filed 8-28-14; 8:45 am]
BILLING CODE 8011-01-P