[Federal Register: March 13, 2003 (Volume 68, Number 49)]
[Notices]
[Page 12111-12113]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr13mr03-130]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-47455; File No. SR-Amex-2003-15]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by the American Stock Exchange
LLC To Extend the Suspension of Transaction Charges for Certain
Exchange-Traded Funds
March 6, 2003.
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 March 4, 2003, the American Stock Exchange LLC (``Amex'') filed with
the Securities and Exchange Commission (``SEC'' or ``Commission'') the
proposed rule change as described in Items I and II below, which Items
have been prepared by the Exchange. The Commission is publishing this
notice to solicit comments on the proposed rule change.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Amex proposes to extend until March 31, 2003 the suspension of
Exchange transaction charges for specialist, Registered Trader and
broker-dealer orders for the iShares Lehman 1-3 year Treasury Bond
Fund; iShares Lehman 7-10 year Treasury Bond Fund; Treasury 10 FITR
ETF; Treasury 5 FITR ETF; Treasury 2 FITR ETF; and Treasury 1 FITR ETF.
In addition, the Exchange proposes to suspend until March 31, 2003
customer transaction charges for the iShares S&P 100 Index Fund.
Proposed new language is italicized; proposed deletions are in
[brackets].
* * * * *
AMEX EQUITY FEE SCHEDULE
1. Transaction Charges
No change.
II. Regulatory Fee
No Change.
Notes:
1. and 2. No change.
3. Customer transaction charges for the following Portfolio
Depositary Receipts, Index Fund Shares, and Trust Issued Receipts have
been suspended:
DIA--DIAMONDS[reg]
QQQ--Nasdaq-100[reg] Index Tracking Stock
SPY-SPDRs[reg]
IVV--iShares S&P 500
MDY--MidCap SPDRs
XLY--Select Sector SPDR--Consumer
Discretionary
XLP--Select Sector SPDR--Consumer Staples
XLE--Select Sector SPDR--Energy
XLF--Select Sector SPDR--Financial
XLV--Select Sector SPDR--Health Care
XLI--Select Sector SPDR--Industrial
XLB--Select Sector SPDR--Materials
XLK--Select Sector SPDR--Technology
XLU--Select Sector SPDR--Utilities
BHH-B2B Internet HOLDRsTM
BBH--Biotech HOLDRs
BDH--Broadband HOLDRs
EKH--Europe 2001 HOLDRs
IAH--Internet Architecture HOLDRs
HHH--Internet HOLDRs
IIH--Internet Infrasturcture HOLDRs
MKH--Market 2000+ HOLDRs
OIH--Oil Service HOLDRs
PPH--Pharmaceutical HOLDRs
RKH--Regional Bank HOLDRs
RTH--Retail HOLDRs
SMH--Semiconductor HOLDRs
SWH--Software HOLDRs
TTH--Telecom HOLDRs
UTH--Utilities HOLDRs
WMH--Wireless HOLDRs
SHY--iShares Lehman 1-3 Year Treasury Bond Fund
IEF--iShares Lehman 7-10 Year Treasury Bond Fund
[[Page 12112]]
TLT--iShares Lehman 20+ Year Treasury Bond Fund
LQD--iShares GS $ InvesTop Corporate Bond Fund
TFT--Treasury 1 FITR ETF
TOU--Treasury 2 FITR ETF
TFI--Treasury 5 FITR ETF
TTE--Treasury 10 FITR ETF
Until March 31, 2003, customer transaction charges for the iShares
S&p 100 Index Fund (OEF) have been suspended.
Until [February 28] March 31, 2003, transaction charges also have
been suspended in SHY, IEF, TFT, TOU, TFI and TTE for specialist,
Registered Trader and broker dealer orders.
* * * * *
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 Amex 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
Section 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
The Exchange is extending until March 31, 2003 the suspension of
transaction charges in iShares Lehman 1-3 year Treasury Bond Fund
(Symbol: SHY); iShares Lehman 7-10 year Treasury Bond Fund (Symbol:
IZEF); Treasury 10 FITR ETF (Symbol: TTE); Treasury 5 FITR ETF (TFI);
Treasury 2 FITR ETF (TOU); and Treasury 1 FITR ETF (TFT) for
specialist, Registered Trader and broker-dealer orders. The Exchange
previously filed a suspension in such charges until November 30,
2002,\3\ December 13, 2002,\4\ January 31, 2003,\5\ and February 28,
2003.\6\ 2003.
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\3\ See Securities Exchange Act Release No. 46765 (November 1,
2002), 67 FR 68893 (November 13, 2002) (SR-Amex-2002-91).
\4\ See Securities Exchange Act Release No. 46996 (December 13,
2002), 67 FR 78264 (December 23, 2002) (SR-Amex-2002-98).
\5\ See Securities Exchange Act Release No., 47141 (January 8,
2003), 68 FR 2090 (January 15, 2003) (SR-Amex-2002-115).
\6\ See Securities Exchange Act Release No. 47361 (February 13,
2003), 68 FR 8534 (February 21, 2003 (SR-Amex-2003-04).
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The Exchange is also suspending customer transaction charges until
March 31, 2003 for the iShares S&P 100 Index Fund (Symbol: OEF), an
Exchange-Traded Fund that the Exchange will trade pursuant to unlisted
trading privileges.
The Exchange believes a suspension of fees for these securities is
appropriate to enhance the competitiveness of executions in these
securities on the Amex. The Exchange will reassess the fee suspension
as appropriate, and will file any modification to the fee suspension
with the Commission pursuant to Section 19(b)(3)(A) of the 1934 Act.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act \7\ in general, and furthers the
objectives of Section 6(b)(4) \8\ in particular, in that it provides
for the equitable allocation of reasonable dues, fees and other charges
among its members and other persons using its facilities.
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\7\ 15 U.S.C. 78f(b).
\8\ 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.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants or Others
The Exchange has neither solicited nor received comments on the
proposed rule change.
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) of the Act \9\ and Rule 19b-4(f)(6) \10\ thereunder because
the proposal: (i) Does not significantly affect the protection of
investors or the public interest; (ii) does not impose any significant
burden on competition; and (iii) does not become operative prior to 30
days after the date of filing such shorter time as the Commission may
designate if consistent with the protection of investors and the public
interest. The Exchange gave the Commission notice of its intent to file
the proposed rule change, along with a brief description and text of
the proposed rule change, at least five business days prior to the date
of filing of the proposed rule change. At any time within 60 days of
the filing of such 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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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(6).
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The Amex has requested that the Commission waive the 30-day
operative delay. The Commission believes that waiving the 30-day
operative delay is consistent with the protection of investors and the
public interest. The Commission notes that fee suspensions for the
exchange-trade funds that are the subject of this filing have been
previously filed with the Commission.\11\ Further, extension of the fee
suspension for specialist, Registered Trader, and broker-dealer orders
will permit the fee suspensions to continue uninterrupted. With regard
to the iShares S&P 100 Index Fund, acceleration of the operative date
will permit the Amex to suspend these fees immediately. For these
reasons, the Commission designates the proposal to be effective and
operative upon filing with the Commission.\12\
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\11\ See supra notes 3, 4, 5, and 6.
\12\ For purposes only of accelerating the operative date of
this proposal, the Commission has considered the proposed rule's
impact on efficiency, competition, and capital formation. 15 U.S.C.
78c(f).
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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. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, NW., Washington, DC 20549-0609.
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 at the
Commission's Public Reference Room. Copies of such filing will also be
available for inspection and copying at the principal office of the
Exchange. All submissions should refer to File No. SR-Amex-2003-15 and
should be submitted by April 3, 2003.
[[Page 12113]]
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\13\
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\13\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 03-6068 Filed 3-12-03; 8:45 am]
BILLING CODE 8010-01-M