[Federal Register Volume 78, Number 72 (Monday, April 15, 2013)]
[Notices]
[Pages 22353-22357]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-08724]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-69351; File No. SR-Phlx-2013-35]
Self-Regulatory Organizations; NASDAQ OMX PHLX LLC; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change Relating to
Pricing for Mini Options
April 9, 2013.
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 26, 2013, NASDAQ OMX PHLX LLC (``Phlx'' or ``Exchange'')
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 Exchange. 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 amend the its Pricing Schedule by adding
Section A, entitled ``Mini Options Fees,'' and by redesignating
existing Section A as Section B.
The text of the proposed rule change is provided in Exhibit 5. The
text of the proposed rule change is also available on the Exchange's
Web site at http://nasdaqomxphlx.cchwallstreet.com, at the principal
office of the Exchange, and at the Commission's Public Reference Room.
While changes to the Pricing Schedule pursuant to this proposal are
effective upon filing, the Exchange has designated that they become
operative on March 28, 2013.
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
The purpose of the proposed rule change is to set forth in new
Section A of the Pricing Schedule the applicability of various existing
fees, rebates, and caps to Mini Options, and specifically to establish
that transaction fees with respect to Mini Options will be set at
$0.00. Existing Section A, Customer Rebate Program, will be
redesignated as Section B.
The Exchange represented in its filing establishing Mini Options
(the ``Mini Options Listing Filing'') that ``the current Pricing
Schedule will not apply to the trading of mini-option contracts'' and
that ``[t]he Exchange will not commence trading of mini-option
contracts until specific fees for mini-options contracts trading have
been filed with the Commission.'' \3\ The purpose of the proposed new
Section A is to adopt the fees that are specific to Mini Options, as
provided for in the Mini Options Listing Filing.
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\3\ See SR-Phlx-2012-126, page 8. See also Securities Exchange
Act Release No. 68132 (November 1, 2012), 77 FR 66904 (November 7,
2012) (Notice of Filing and Immediate Effectiveness of Proposed Rule
Change To List and Trade Option Contracts Overlying 10 Shares of
Certain Securities).
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New Section A will appear after the Preface section of the Pricing
Schedule which contains definitions that apply to the entire Pricing
Schedule, including new Section A. Except where different treatment is
specified for Mini Options in Section A, the rest of the Pricing
Schedule will apply to Mini Options in the same way it applies to all
other options. For example, a Mini Options class will count as an
options class assignment for purposes of determining the level of
Streaming Quote Trader Fees and Remote Streaming Quote Trader Fees in
Section VI. Cross references to Section A in the Table of Contents and
Section IV.A, PIXL Pricing, will be updated to refer to Section B, and
the Table of Contents will be updated to refer to Mini Options as new
Section A.
Applicable Symbols. Proposed new Section A identifies the Mini
Options symbols as AAPL7, AMZN7, GLD7, GOOG7 and SPY7. Accordingly, new
Section A will apply exclusively to these new symbols.
Transaction Fees. New Section A provides for a ``Mini Options
Transaction Fee--Electronic'' and for a ``Mini-Options Transaction
Fee--Floor and QCC'', both of which will apply in the Customer,
Professional, Specialist and Market Maker, Broker-Dealer and Firm fee
categories.\4\ In each case, the Exchange is currently setting these
fees at $0.00 but may in the future file proposed rule changes to amend
the transaction fee level in one or more categories. The Exchange is
establishing the separate Section A Pricing Schedule section for Mini
Options transaction fees in order to facilitate differentiation in the
future between Mini Options transaction fees and other options
transaction fees.
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\4\ Transaction fees for options other than Mini Options are
currently found in Sections I through III of the Pricing Schedule.
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PIXL Executions. The new Section A transaction fees will apply to
PIXL executions in Mini Options rather than the PIXL Pricing fees set
forth in Section IV.A.\5\
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\5\ PIXL is the Exchange's price improvement mechanism known as
Price Improvement XL or (PIXL\SM\). See Rule 1080(n) and Section IV
of the Pricing Schedule.
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Payment for Order Flow. Pursuant to new Section A, Payment for
Order Flow Fees set forth in Section II of the Pricing
[[Page 22354]]
Schedule will not apply to Mini Options.\6\
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\6\ The Payment for Order Flow program started on July 1, 2005
as a pilot and after a series of orders extending the pilot became
effective on April 29, 2012. See Securities Exchange Act Release No.
52114 (July 22, 2005), 70 FR 44138 (August 1, 2005) (SR-Phlx-2005-
44); 57851 (May 22, 2008), 73 FR 31177 (May 20, 2008) (SR-Phlx-2008-
38); 55891 (June 11, 2007), 72 FR 333271 (June 15, 2007) (SR-Phlx-
2007-39); 53754 (May 3, 2006), 71 FR 27301 (May 10, 2006) (SR-Phlx-
2006-25); 53078 (January 9, 2006), 71 FR 2289 (January 13, 2006)
(SR-Phlx-2005-88); 52568 (October 6, 2005), 70 FR 60120 (October 14,
2005) (SR-Phlx-2005-58); and 59841 (April 29, 2009), 74 FR 21035
(May 6, 2009) (SR-Phlx-2009-38).
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Customer Rebate Program. New Section A clarifies that Mini Options
volume will not be included in and will not be eligible for the
Customer Rebate Program which is being moved from Section A of the
Pricing Schedule to Section B of the Pricing Schedule.\7\
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\7\ The Exchange has recently described and amended its Customer
Rebate Program. See SR-Phlx-2013-13. See also Securities Exchange
Act Release No. 68924 (February 13, 2013), 78 FR 11916 (February 20,
2013).
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Routing Fees. Today, the Exchange calculates Routing Fees by
assessing certain Exchange costs related to routing orders to away
markets plus the away market's actual transaction fee.\8\ The Exchange
assesses a $0.05 per contract fixed Routing Fee when routing orders to
the NASDAQ Options Market LLC (``NOM'') and NASDAQ OMX BX, Inc. (``BX
Options'') and a $0.11 per contract fixed Routing Fee to all other
options exchanges in addition to the actual transaction fee or rebate
paid by the away market.\9\ With respect to the rebate, the Exchange
pays a market participant the rebate offered by an away market where
there is such a rebate. Any rebate available is netted against a fee
assessed by the Exchange. With respect to orders routed to C2 Options
Exchange, Incorporated (``C2''), the Exchange assesses non-Customer
simple, non-complex orders in equity options (single stock) that are
routed to C2 a Routing Fee which includes a fixed cost of $0.11 per
contract plus a flat rate of $0.85 per contract, except with respect to
Customers. With respect to Customers, the Exchange does not pass the
rebate offered by C2, rather, Customer simple, non-complex orders in
equity options (single stock) that are routed to C2 are assessed $0.00
per contract.
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\8\ Routing fees applicable to options other than Mini Options
are set forth in Section V of the Pricing Schedule. Routing fees
allow the Exchange to recoup costs it incurs for routing and
executing orders in equity options to various away markets.
\9\ The fixed Routing Fee is based on costs that are incurred by
the Exchange when routing to an away market in addition to the away
market's transaction fee. For example, the Exchange incurs a fee
when it utilizes Nasdaq Options Services LLC (``NOS''), a member of
the Exchange and the Exchange's exclusive order router, to route
orders in options listed and open for trading on the PHLX XL system
to destination markets. Each time NOS routes to away markets NOS
incurs a clearing-related cost and, in the case of certain
exchanges, a transaction fee is also charged in certain symbols,
which fees are passed through to the Exchange. The Exchange also
incurs administrative and technical costs associated with operating
NOS, membership fees at away markets, Options Regulatory Fees
(``ORFs'') and technical costs associated with routing options. The
transaction fee assessed by the Exchange is based on the away
market's actual transaction fee or rebate for a particular market
participant at the time that the order was entered into the
Exchange's trading system. This transaction fee is calculated on an
order-by-order basis, since different away markets charge different
amounts. In the event that there is no transaction fee or rebate
assessed by the away market, the only fee assessed is the fixed
Routing Fee.
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The Exchange has recently filed a proposed rule change to make a
number of pricing changes described in this paragraph to its Routing
Fees. Effective April 1, 2013, the Exchange's Routing Fees in Section V
of the Pricing Schedule will be as follows: Non-Customers will be
assessed a $0.95 per contract flat fee and the Customer Routing Fee
will be dependent on the away market.\10\ With respect to Customer
orders routed to NOM, the Exchange will assess a fixed fee of $0.05 per
contract (``Fixed Fee'') in addition to the actual transaction fee
assessed by the away market would apply. With respect to Customer
orders that are routed to BX Options, the Exchange will not assess a
Routing Fee and will not pass the rebate. The Exchange will assess a
Customer Routing Fee of $0.11 per contract (``Fixed Fee'') in addition
to the actual transaction fee when routing to an options exchange other
than NOM and BX Options. Similar to Customer orders routed to BX, the
Exchange will no longer pass any rebate paid by any away market for any
Customer orders.
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\10\ See SR-Phlx-2013-23 (not yet published) [sic].
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New Section A establishes Routing Fees for Mini Options that will
apply instead of the existing Routing Fees set forth in Section V of
the Pricing Schedule. Routing Fees for Customers are set at $0.01 per
contract in addition to the actual transaction fee assessed. If the
away market pays a rebate, the Customer Routing Fee will be $0.00.
Routing Fees for all other participants (non-Customers) will be a flat
rate of $0.15 per contract and the Exchange will not charge non-
Customers the actual transaction fee assessed by the away market or
pass back any rebate.
QCC Transaction Fees and Rebates. New Section A establishes that
QCC Transaction fees and rebates, set forth in Section II \11\ of the
Pricing Schedule, are not applicable to Section A of the Pricing
Schedule.
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\11\ QCC Orders are defined in Rule 1080(o).
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Fee Caps. New Section A provides that the Monthly Market Maker Cap
\12\ and the Monthly Firm Fee Cap \13\, defined in Section II of the
Pricing Schedule, will not be applicable to transactions in Mini
Options. Therefore, any fees that may be assessed with respect to
transactions in Mini Options will not be applied toward these caps.
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\12\ The Monthly Market Maker Cap is $550,000 for: (i)
Electronic and floor Option Transaction Charges; (ii) QCC
Transaction Fees (as defined in Exchange Rule 1080(o) and Floor QCC
Orders, as defined in 1064(e)); and (iii) fees related to an order
or quote that is contra to a PIXL Order or specifically responding
to a PIXL auction. The trading activity of separate Specialist and
Market Maker member organizations will be aggregated in calculating
the Monthly Market Maker Cap if there is Common Ownership between
the member organizations. All dividend, merger, short stock interest
and reversal and conversion strategy executions (as defined in this
Section II) will be excluded from the Monthly Market Maker Cap. In
addition, Specialists or Market Makers that (i) are on the contra-
side of an electronically-delivered and executed Customer order; and
(ii) have reached the Monthly Market Maker Cap will be assessed a
$0.16 per contract fee. For QCC Orders as defined in Exchange Rule
1080(o), and Floor QCC Orders, as defined in 1064(e), a Service Fee
of $0.07 per side applies once a Specialist or Market Maker has
reached the Monthly Market Maker Cap. The $0.07 Service Fee applies
to every contract side of the QCC Order and Floor QCC Order after a
Specialist or Market Maker has reached the Monthly Market Maker Cap,
except for reversal and conversion strategies executed via QCC. The
Service Fee is not being assessed to a Specialist or Market Maker
that does not reach the Monthly Market Maker Cap in a particular
calendar month.
\13\ Firms are subject to a maximum fee of $75,000 (``Monthly
Firm Fee Cap''). Firm floor option transaction charges and QCC
Transaction Fees as defined in Section II of the Pricing Schedule in
the aggregate, for one billing month will not exceed the Monthly
Firm Fee Cap per member organization when such members are trading
in their own proprietary account.
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2. Statutory Basis
The Exchange believes that its proposal to amend its Pricing
Schedule is consistent with Section 6(b) of the Act \14\ in general,
and furthers the objectives of Section 6(b)(4) of the Act \15\ in
particular, in that it is an equitable allocation of reasonable fees
and other charges among Exchange members and other persons using its
facilities.
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\14\ 15 U.S.C. 78f(b).
\15\ 15 U.S.C. 78f(b)(4).
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Transaction Fees. The Exchange believes that the proposed Mini
Options Transaction Fee-Electronic and Mini Options Transaction Fee--
Floor and QCC, as well as the applicability of those fees to PIXL
executions in Mini Options, are reasonable because those fees are set
at zero in order to encourage market participants to transact Mini
Options. They are also equitable and not unfairly discriminatory
because all the market participant categories will be
[[Page 22355]]
able to take advantage of the zero fee level and will therefore be
treated in a uniform matter. Likewise, the Exchange believes that not
applying QCC Transaction fees and rebates to transactions in Mini
Options is reasonable, equitable and not unfairly discriminatory
because the Exchange does not desire to assess certain transaction fees
to encourage all market participants to transact Mini Options. No
market participant would be assessed QCC Transaction fees or rebates.
Fee Caps. The Exchange believes that it is reasonable, equitable
and not unfairly discriminatory to not apply the Monthly Market Maker
Cap or Monthly Firm Fee Cap to Mini Options transaction fees because
the Mini Options transaction fees are set at zero in any event for all
market participants. The fee caps would not be affected by transactions
in Mini Options for which transaction fees are not assessed in the
first place.
Customer Rebate Program. The Exchange believes that it is
reasonable, equitable and not unfairly discriminatory that Mini Options
volume will not be included in and will not be eligible for the
Customer Rebate Program defined in newly relocated Section B of the
Pricing Schedule. The Customer Rebate Program was established to
incentivize market participants to increase the amount of Customer
order flow they transact on the Exchange.\16\ The Customer Rebate
Program is predicated on certain volume tiers that assume an option
contract size of 100 shares. Due to the smaller size of the Mini
Options contract, Mini Options will not make sense in the context of
the volume tiers upon which the calculation of the Customer Rebate is
based and the logic behind the Customer Rebate Program would not be
achieved by including them. For this reason the Exchange believes that
it is reasonable to not permit Mini Options to qualify in the Customer
Rebate Program. Also, the Exchange would uniformly not pay rebates to
any market participant transacting Customer Mini Options. Finally,
redesignation of the caption of the Customer Rebate Program from A. to
B. will provide clarity to the Pricing Schedule as it accommodates the
new Mini Options Fees language in A.
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\16\ See Securities Exchange Act Release No. 68924 (February 13,
2013), 78 FR 11916 (February 20, 2013).
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Payment for Order Flow Fees. The Exchange believes that it is
reasonable, equitable and not unfairly discriminatory that the Payment
for Order Flow fees set forth in Section II will not apply to Mini
Options because the Exchange is not charging any transaction fees for
these products at this time. By eliminating Payment for Order Flow Fees
as applied to Mini Options the Exchange will incentivize members to
transact in them. Further, Specialists and Market Makers will not be
singled out from among other market participants for assessment of this
fee. All market participants will be treated the same way by not having
the Payment for Order Flow fees imposed on them with respect to Mini
Options.
Proposed Mini Options Routing Fees--Customers. In the proposed new
language in Section A of the Pricing Schedule, for Mini Options a $0.01
per contract Routing Fee will be charged for Customer orders in
addition to the actual transaction fee assessed, provided that if the
away market pays a rebate to the Exchange, the Customer Routing Fee is
$0.00. The Customer Routing Fees for Mini Options are reasonable
because they will allow the Exchange to recoup and cover its costs of
providing routing services for Customer orders in Mini Options just as
it does for other standard equity options for which it incurs the same
costs. The Exchange believes this Routing Fee for Customers in Mini
Options is reasonable because it is lower than the other fixed Routing
Fees for standard options, as discussed above, which are assessed with
respect to Customer transactions in other options pursuant to Section V
of the Pricing Schedule. Additionally, the Customer Routing Fees will
be similar to the new Routing Fees that the Exchange recently filed and
which will be operative on April 1, 2013, except the fixed cost will be
lower in the case of Mini Options. Similar to that filing, the Exchange
would not pass rebates back to Customers, but would also not asses a
Customer a Routing Fee if a rebate were paid by the away market. The
Exchange believes that its proposal to not pass a rebate that is
offered by an away market for Customers orders in Mini Options is
reasonable because to the extent that another market is paying a
rebate, the Exchange will not assess a Routing Fee for that
transaction. If a market participant desires the rebate, the market
participant has the option to direct the order to that away market.
Other options exchanges today do not pass the rebate.\17\
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\17\ See CBOE's Fees Schedule and International Securities
Exchange LLC's (``ISE'') Fee Schedule.
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The Exchange believes the Routing Fees for Mini Options for
Customers are equitable and not unfairly discriminatory because the
Exchange would uniformly assess the same Routing Fees to all Customers,
and because market participants have the ability to directly route
orders in Mini Options to an away market and avoid the Routing Fee.
Also, market participants may submit orders to the Exchange as
ineligible for routing or ``DNR'' to avoid Routing Fees. The Exchange
believes that its proposal to not pass a rebate that is offered by an
away market for Customer Mini Option orders is equitable and not
unfairly discriminatory because the Exchange would not pay such a
rebate on any Customer Mini Option order.
Proposed Mini Options Routing Fees--Non-Customers. In the proposed
new language in Section A of the Pricing Schedule, Routing Fees for
Mini Options for all participants other than Customers (``non-
Customers'') will be a flat fee of $0.15 per contract. The Exchange
believes this fee is reasonable because it is lower than the $0.95 per
contract flat fee that will be in effect on April 1, 2013 for non-
Customers orders routed to all options exchanges (other than BX Options
and NOM) for orders in options other than Mini Options.\18\ The non-
Customer Routing Fees for Mini Options are reasonable because they will
allow the Exchange to recoup and cover its costs of providing routing
services for non-Customer orders in Mini Options just as it does for
other equity options for which it incurs the same costs. The Exchange
believes that its proposal to amend its non-Customer Routing Fees from
a fixed fee plus actual transaction charges to a flat rate is
reasonable because the flat rate makes it easier for market
participants to anticipate the Routing Fees which they would be
assessed at any given time. The Exchange believes that assessing all
non-Customer orders the same flat rate will provide market participants
with certainty with respect to Routing Fees. While each destination
market's transaction charge varies and there is a cost incurred by the
Exchange when routing orders to away markets, including clearing costs,
administrative and technical costs associated with operating NOS,
membership fees at away markets, ORFs and technical costs associated
with routing options, the Exchange believes that the proposed Routing
Fees will enable it to recover the costs it incurs to route non-
Customer orders to away markets. Other
[[Page 22356]]
exchanges similarly assess a fixed rate fee to route non-Customer
orders.\19\
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\18\ The Exchange believes that the proposed non-Customer
Routing Fee for Mini Options that are routed to BX and NOM is
reasonable even though it is higher than $0.05 Routing Fee assessed
with respect to non-Customer orders routed to BX and NOM today in
options other than Mini Options, inasmuch as the Exchange is not
charging any transaction fees with respect to Mini Options.
\19\ BATS Exchange, Inc. (``BATS'') assesses non-Customer fixed
rates of $0.57 and $0.95 per contract when routing to away markets.
See BATS BZX Exchange Fee Schedule. The Chicago Board Options
Exchange Incorporated (``CBOE'') assesses non-Customer orders a
$0.50 per contract routing fee in addition to the customary CBOE
execution charges. See CBOE's Fees Schedule.
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The Exchange believes that its proposal to amend the non-Customer
Routing Fees from a fixed fee plus actual transaction charges to a flat
rate is equitable and not unfairly discriminatory because the Exchange
would uniformly assess the same Routing Fees to all non-Customer market
participants. Under its flat fee structure, taking all costs to the
Exchange into account, the Exchange may operate at a slight gain or a
slight loss for non-Customer orders routed to and executed at away
markets. The proposed Routing Fee for non-Customer orders is an
approximation of the maximum fees the Exchange will be charged for such
executions, including costs, at away markets. As a general matter, the
Exchange believes that the proposed fees will allow it to recoup and
cover its costs of providing routing services for non-Customer orders.
The Exchange believes that the fixed rate non-Customer Routing Fee is
equitable and not unfairly discriminatory because market participants
have the ability to directly route orders to an away market and avoid
the Routing Fee. Also, market participants may submit orders to the
Exchange as ineligible for routing or ``DNR'' to avoid Routing Fees. It
is important to note that when orders are routed to an away market they
are routed based on price first.
The Exchange believes that its proposal to not pass a rebate that
is offered by an away market for non-Customers orders is reasonable
because to the extent that another market is paying a rebate, the
Exchange will assess a $0.15 per contract fee as its total cost in each
instance. The Routing Fee is transparent and simple. If a market
participant desires the rebate, the market participant has the option
to direct the order to that away market. Other options exchanges today
do not pass the rebate. The Exchange believes that its proposal to not
pass a rebate that is offered by an away market for non-Customers
orders is equitable and not unfairly discriminatory because the
Exchange would not pay such a rebate on any non-Customer order. The
Exchange believes the Routing Fees for Mini Options for non-Customers
are equitable and not unfairly discriminatory because the Exchange
would uniformly assess the same Routing Fees to all non-Customer market
participants.
Finally, the Exchange believes that it is reasonable, equitable and
not unfairly discriminatory to assess different fees for Customers
orders as compared to non-Customer orders because the Exchange has
traditionally assessed lower fees to Customers as compared to non-
Customers. Customers will continue to receive the lowest fees or no
fees when routing orders, as is the case today. Other options exchanges
also assess lower Routing Fees for customer orders as compared to non-
customer orders in standard options.\20\
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\20\ BATS assesses lower customer routing fees as compared to
non-customer routing fees per the away market. For example BATS
assesses ISE customer routing fees of $0.30 per contract and an ISE
non-customer routing fee of $0.57 per contract. See BATS BZX
Exchange Fee Schedule.
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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 not necessary or appropriate in
furtherance of the purposes of the Act.
The Exchange operates in a highly competitive market, comprised of
eleven exchanges, in which market participants can easily and readily
direct order flow to competing venues if they deem fee levels at a
particular venue to be excessive or rebates to be inadequate.
Accordingly, the fees that are assessed and the rebates paid by the
Exchange described in the above proposal are influenced by these robust
market forces and therefore must remain competitive with fees charged
and rebates paid by other venues and therefore must continue to be
reasonable and equitably allocated to those members that opt to direct
orders to the Exchange rather than competing venues.
The Mini Options are a new product that will commence trading on
the Exchange on March 28, 2013. The Exchange believes that
incentivizing market participants to transact Mini Options by not
assessing transaction fees and certain other fees encourages
competition in these products. There is no intra-market competition as
the Exchange will treat all market participants in a like manner with
respect to the transaction fees. Also, the Exchange believes that
because other markets will also list Mini Options there is no undue
burden on intermarket competition because market participants will be
able to select the venue where they will trade these products. In terms
of Routing, the Exchange-believes that assessing Customers lower fees
as compared to Non-Customers and assessing the same Routing Fees to all
Non-Customers regardless of the venue does not create an undue burden
on competition. The Exchange has traditionally assessed no or lower
fees to Customers. Also, the Exchange believes that because Mini
Options represent 1/10th of the size of a standard option contract,
reduced Routing Fees will not misalign the cost to transact Mini
Options.
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 rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act.\21\ 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. If the Commission takes such action, the
Commission shall institute proceedings to determine whether the
proposed rule should be approved or disapproved.
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\21\ 15 U.S.C. 78s(b)(3)(A)(ii).
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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 email to [email protected]. Please
include File Number SR-Phlx-2013-35 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-Phlx-2013-35. This file
number should be included on the
[[Page 22357]]
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
the 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-Phlx-2013-35 and should be submitted on or before May 6,
2013.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\22\
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\22\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-08724 Filed 4-12-13; 8:45 am]
BILLING CODE 8011-01-P