[Federal Register Volume 77, Number 48 (Monday, March 12, 2012)]
[Notices]
[Pages 14579-14580]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-5853]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-66518; File No. SR-NYSEAmex-2012-15]
Self-Regulatory Organizations; NYSE Amex LLC; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Implementing
Changes to the NYSE Amex Options Fee Schedule To Add Fees for Reserve
Floor Market Maker Amex Trading Permits
March 6, 2012.
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 February 28, 2012, NYSE Amex LLC (the ``Exchange'' or ``NYSE Amex'')
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 the self-regulatory organization. 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.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to proposes to [sic] amend the NYSE Amex
Options Fee Schedule (``Fee Schedule'') to add fees for Reserve Floor
Market Maker Amex Trading Permits (``Reserve ATPs''). The text of the
proposed rule change is available at the Exchange, the Commission's
Public Reference Room, and www.nyse.com.
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 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
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the Fee Schedule to add fees for
Reserve ATPs.
Under the current Fee Schedule, an ATP Holder \3\ acting as a
Market Maker must pay $5,000 per month per Amex Trading Permit
(``ATP'').\4\ In order to act as a Floor Market Maker, an individual
must be specifically named on the relevant Market Maker's ATP. On some
occasions, a Floor Market Maker may be absent from the floor due to
illness or other unexpected absence, in which case the ATP Holder may
wish to have a Market Maker Authorized Trader (``MMAT'') \5\ employee
engage in open outcry trading to cover for the absent Floor Market
Maker. If the ATP Holder activates an individual on an ATP for any
portion of a month, even as little as one day, the ATP Holder is
charged the full $5,000 monthly ATP fee.
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\3\ An ``ATP Holder'' is a natural person, sole proprietorship,
partnership, corporation, limited liability company or other
organization, in good standing, that has been issued an Amex Trading
Permit. See NYSE Amex Rule 900.2NY(5).
\4\ The fee is calculated based on the maximum number of ATPs
held by the ATP Holder during the calendar month.
\5\ A ``Market Maker Authorized Trader'' is an authorized trader
who performs market making activities pursuant to Rule 920NY on
behalf of an ATP Holder registered as a Market Maker. See NYSE Amex
Rule 900.2NY(37). A Market Maker Authorized Trader must meet the
same registration requirements as Floor Market Maker before they can
be designated as a Market Maker Authorized Trader. See NYSE Amex
Rule 921.1NY.
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To provide an option to Market Maker firms to address the short-
term absence of an employee in a more economical way, the Exchange
recently added NYSE Amex Options Rule 902NY(j) to create a Reserve ATP
under which an ATP Holder would be permitted to have a qualified MMAT
employee cover for the absent Floor Market Maker under the firm's ATP,
effectively empowering the individual acting as a qualified MMAT to act
as a Floor Market Maker in lieu of the absent individual until such
time as he or she returns.\6\
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\6\ See Securities Exchange Act Release No. 66237 (January 25,
2012), 77 FR 4848 (January 31, 2012) (SR-NYSEAmex-2012-02).
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The fee for a Reserve ATP will be $175 per month. The fee will be
assessed to an ATP Holder that notifies the Exchange that it wishes to
obtain a Reserve ATP, such that MMATs in its employ will be eligible to
be named to the ATP to act as a Floor Market Maker to cover for another
Floor Market Maker who is otherwise unable to be at work that day. The
fee change will be implemented on March 1, 2012.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6(b) of the Securities Exchange Act of
1934 (the ``Act''),\7\ in general, and Section 6(b)(4) of the Act,\8\
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. The Exchange believes
that the proposed change is equitably allocated and not unfairly
discriminatory because it will apply equally to all ATP Holders that
choose to use the Reserve ATP alternative. The Exchange believes that
the proposed change is reasonable because it provides a method for ATP
Holders to have fully qualified personnel step in to handle other
[[Page 14580]]
employees' absences without requiring the ATP Holders to pay the full
fee every month for the ATPs used by such substitute persons, thereby
contributing to the efficient use of ATP Holder personnel and
resources, and fair and orderly markets.
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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 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
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) \9\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \10\ thereunder, because it establishes a due, fee, or other charge
imposed by the NYSE Amex.
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(2).
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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.
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 [email protected]. Please include
File Number SR-NYSEAmex-2012-15 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-NYSEAmex-2012-15. 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 NW.,
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 available publicly. All
submissions should refer to File Number SR-NYSEAmex-2012-15 and should
be submitted on or before April 2, 2012.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-5853 Filed 3-9-12; 8:45 am]
BILLING CODE 8011-01-P