[Federal Register: April 17, 2008 (Volume 73, Number 75)]
[Notices]
[Page 21002-21003]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr17ap08-109]
[[Page 21002]]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-57658; File No. SR-NASDAQ-2008-030]
Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change
To Modify the Charges for Pre-Trade Risk Management Workstation Add-Ons
April 11, 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 April 7, 2008, The NASDAQ Stock Market LLC (``Nasdaq'') 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 substantially by Nasdaq. Nasdaq has designated this
proposal as one establishing or changing a member due, fee, or other
charge imposed by Nasdaq under Section 19(b)(3)(A)(ii) 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)(ii).
\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
Nasdaq is proposing to adjust the recently-established member
charge for the use of PRM Workstation Add-ons. The text of the proposed
rule change is available at http://www.complinet.com/nasdaq, the
principal offices of the Exchange, and 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, Nasdaq 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. Nasdaq 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
Earlier this year, Nasdaq established the pricing for its new pre-
trade risk management (``PRM'') functionality.\5\ Included in the new
charges was the fee that PRM Module subscribers that are users of the
NASDAQ Workstation or WeblinkACT 2.0 would pay for PRM Workstation Add-
ons. At the time, it was envisioned that each subscriber would be able
to receive at no charge one PRM Workstation per PRM Module and would
pay $100 per month for each additional PRM Workstation per PRM Module.
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\5\ See Securities Exchange Act Release No. 57146 (January 14,
2008), 73 FR 3786 (January 22, 2008) (SR-NASDAQ-2008-003).
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Nasdaq has since determined that this approach is needlessly
cumbersome, costly to administer and potentially confusing to the
users. Therefore, Nasdaq has decided to make any needed number of PRM
Workstation Add-ons available to users at no charge during the months
of April through June 2008, and then, starting in July 2008, to begin
charging $100 per month for each PRM Workstation Add-on that users
request (thus eliminating the one-free-Add-on-per-module feature).
Nasdaq believes that the proposed change is minor, and therefore, the
PRM Workstation Add-on charges remain reasonable and equitably
allocated among members that may choose to use this functionality.
2. Statutory Basis
Nasdaq 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 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 pre-trade management risk
functionality provides members with an optional tool at a reasonable
cost. Members are not required to use the NASDAQ PRM or PRM Workstation
Add-ons. The optional nature of these services and the intensely
competitive environment in which they are being offered ensure that the
proposed charges will remain market-competitive.
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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
Nasdaq does not believe that the proposed rule change will result
in any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act, as amended.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants or Others
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing proposed rule change has been designated as a fee
change pursuant to Section 19(b)(3)(A)(ii) of the Act \8\ and Rule 19b-
4(f)(2) \9\ thereunder, because it establishes or changes a due, fee,
or other charge imposed on members by Nasdaq. Accordingly, the proposal
is effective upon filing with the Commission. 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-NASDAQ-2008-030 on the subject line.
Paper Comments
Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, 100 F Street, NE,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-NASDAQ-2008-030. 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
[[Page 21003]]
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 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-NASDAQ-2008-030 and should be submitted
on or before May 8, 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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Nancy M. Morris,
Secretary.
[FR Doc. E8-8268 Filed 4-16-08; 8:45 am]
BILLING CODE 8010-01-P