[Federal Register: June 10, 2008 (Volume 73, Number 112)]
[Notices]
[Page 32778-32779]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr10jn08-92]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-57912; File No. SR-NYSEArca-2008-53]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend the
Schedule of Fees and Charges for Exchange Services
June 3, 2008.
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 May 30, 2008, NYSE Arca, Inc. (``NYSE Arca'' or ``Exchange''),
through its wholly-owned subsidiary NYSE Arca Equities, Inc. (``NYSE
Arca Equities''), 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 substantially prepared by the
Exchange. NYSE Arca has filed the proposal pursuant to Section
19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(2) thereunder,\4\ which
renders the proposal effective upon filing with the Commission. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A).
\4\ 17 CFR 240.19b-4(f)(2).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the section of its Schedule of Fees
and Charges for Exchange Services (``Fee Schedule'') that applies to
orders submitted by ETP Holders.\5\ The Exchange will introduce a new
pricing tier for Tape B securities of $0.0028 per share (applicable to
inbound orders executed against orders residing in the Book) and a new
routing pricing tier of $0.0029 if the ETP Holder (i) transacts an
average daily share volume per month greater than 20 million shares
(including transactions that take liquidity, provide liquidity, or
route to away market centers) and (ii) provides liquidity an average
daily share volume per month greater than 5 million shares. While
changes to the Fee Schedule pursuant to this proposal will be effective
upon filing, the changes will become operative on June 1, 2008. The
text of the proposed rule change is available at NYSE Arca, the
Commission's Public Reference Room, and http://www.nyse.com.
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\5\ See NYSE Arca Equities Rule 1.1(n).
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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.
[[Page 32779]]
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange currently charges a fee of $0.003 per share with
respect to all inbound orders in Tape B securities (i.e., securities
not listed on the New York Stock Exchange or Nasdaq) executed against
orders residing in the Book. The Exchange now intends to introduce a
new pricing tier for Tape B securities of $0.0028 per share (applicable
to inbound orders executed against orders residing in the Book) if the
ETP Holder (i) transacts an average daily share volume per month
greater than 20 million shares (including transactions that take
liquidity, provide liquidity, or route to away market centers) and (ii)
provides liquidity an average daily share volume per month greater than
5 million shares.
In addition, the Exchange currently charges a fee of $0.0035 per
share with respect to all Tape B securities routed away and executed by
another market center or participant. The Exchange now intends to
introduce a new routing pricing tier for Tape B securities of $0.0029
per share if the ETP holder (i) transacts an average daily share volume
per month greater than 20 million shares (including transactions that
take liquidity, provide liquidity, or route to away market centers) and
(ii) provides liquidity an average daily share volume per month greater
than 5 million shares.
The Exchange will also clarify certain language contained in the
Fee Schedule. While changes to the Fee Schedule pursuant to this
proposal will be effective upon filing, the changes will become
operative on June 1, 2008.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\6\ in general, and with
Section 6(b)(4) of the Act,\7\ in particular, in that it is intended to
provide for the equitable allocation of reasonable dues, fees, and
other charges among its members and other persons using its facilities.
The Exchange believes that the proposed fees are reasonable. The
proposed rates are part of the Exchange's effort to attract and enhance
participation on the Exchange, by offering decreased fees where certain
volume thresholds are satisfied. The Exchange also believes that the
proposed changes to the Fee Schedule are equitable in that they apply
uniformly to our Users.
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\6\ 15 U.S.C. 78f.
\7\ 15 U.S.C. 78f(b)(4).
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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
Written comments on the proposed rule change were neither solicited
nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act \8\ and subparagraph (f)(2) of Rule 19b-4
thereunder \9\ because it establishes or changes a due, fee, or other
charge applicable only to a member imposed by the self-regulatory
organization. Accordingly, the proposal is effective upon Commission
receipt of the filing. At any time within 60 days of the filing of the
proposed rule change, the Commission may summarily abrogate 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.
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\8\ 15 U.S.C. 78s(b)(3)(A)(ii).
\9\ 17 CFR 240.19b-4(f)(2).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (http://
www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-NYSEArca-2008-53 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-NYSEArca-2008-53. This
file number should be included on the subject line if e-mail 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 inspection
and copying in the Commission's Public Reference Room, 100 F Street,
NE., Washington, DC 20549, on official business days between the hours
of 10 a.m. and 3 p.m. Copies of the filing also will be available for
inspection and copying at the principal office of NYSE Arca. 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-NYSEArca-2008-53 and should
be submitted on or before July 1, 2008.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Acting Secretary.
[FR Doc. E8-12956 Filed 6-9-08; 8:45 am]
BILLING CODE 8010-01-P