[Federal Register Volume 78, Number 78 (Tuesday, April 23, 2013)]
[Notices]
[Pages 23968-23969]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-09526]
[[Page 23968]]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-69389; File No. SR-NYSEArca-013-38]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Amending the NYSE
Arca Equities Schedule of Fees and Charges for Exchange Services To
Remove Certain Obsolete Text
April 17, 2013.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on April 4, 2013, NYSE Arca, Inc. (the ``Exchange'' or
``NYSE Arca'') filed with the Securities and Exchange Commission (the
``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\ 15 U.S.C. 78a.
\3\ 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 NYSE Arca Equities Schedule of
Fees and Charges for Exchange Services (the ``Fee Schedule'') to remove
certain obsolete text related to a fee that is no longer charged by the
Exchange and a credit that is no longer offered by the Exchange. The
text of the proposed rule change is available on the Exchange's Web
site at www.nyse.com, at the principal office of the Exchange, and at
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, 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 remove certain
obsolete text related to (i) a designated examining authority (``DEA'')
fee that is no longer charged by the Exchange and (ii) a ``Liquidity
Provider Credit'' that is no longer offered by the Exchange. The
Exchange proposes to implement the fee change immediately.
Pursuant to Rule 17d-1 of the Act, the Exchange may act as the DEA
for ETP Holders on NYSE Arca Equities.\4\ The Exchange charges certain
fees when it performs DEA services, as provided in the Fee Schedule. In
this regard, the Fee Schedule currently includes a reference to a $75
one-time registration fee per trader. The Exchange no longer charges
this particular DEA fee and therefore proposes to remove the obsolete
text related thereto from the Fee Schedule.\5\
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\4\ 17 CFR 240.17d-1.
\5\ The Exchange has not charged this fee since April 2007,
which corresponds to the elimination of the same $75 one-time
registration fee per trader on NYSE Arca Options. See Securities
Exchange Act Release No. 55679 (April 27, 2007), 72 FR 26190 (May 8,
2007) (SR-NYSEArca-2007-35).
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The first sentence of Footnote 12 in the Fee Schedule currently
provides that an ETP Holder that submits certain order types that
subsequently match against an inbound marketable order will not be
entitled to receive a Liquidity Provider Credit. However, effective
July 1, 2008 the Exchange eliminated the Liquidity Provider Credit.\6\
Therefore, when the Liquidity Provider Credit was eliminated, the first
sentence of current footnote 12 became obsolete and so it should have
been removed. Because it was not, the Exchange proposes to remove the
obsolete text now by deleting the first sentence in footnote 12 in the
Fee Schedule.\7\
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\6\ See Securities Exchange Act Release No. 58006 (June 23,
2008), 73 FR 36943 (June 30, 2008) (SR-NYSEArca-2008-64). Prior to
July 1, 2008, the Liquidity Provider Credit was offered to ETP
Holders for purposes of market data revenue sharing in Tape B
securities. See Id. At the time of SR-NYSEArca-2008-64, current
footnote 12 was changed from footnote 9 in the Fee Schedule to
footnote 8.
\7\ The Exchange is proposing that the remaining text of
footnote 12 remain unchanged.
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The Exchange notes that the proposed change is not otherwise
intended to address any other issues, and the Exchange is not aware of
any problems that ETP Holders would have in complying with the proposed
change.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\8\ in general, and furthers the
objectives of Sections 6(b)(4) and 6(b)(5) of the Act,\9\ in
particular, because it provides for the equitable allocation of
reasonable dues, fees, and other charges among its members, issuers and
other persons using its facilities and does not unfairly discriminate
between customers, issuers, brokers or dealers.
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\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(4) and (5).
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The Exchange believes that the proposed change is reasonable
because it will result in greater specificity and precision within the
Fee Schedule, which would contribute to reasonably ensuring that the
fees and credits described therein are clear and accurate.
Specifically, the proposed change is reasonable because it will remove
obsolete text from the Fee Schedule related to a DEA fee that is no
longer charged by the Exchange and a Liquidity Provider Credit that is
no longer offered by the Exchange. The Exchange also believes that the
proposed change is equitable and not unfairly discriminatory because
all readers of the Fee Schedule, including all ETP Holders, would
benefit from the increased specificity that this proposed change would
provide.
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. The proposed change is not
designed to address any competitive issues. Rather, the proposed change
is designed to provide greater specificity and precision within the Fee
Schedule, which would contribute to reasonably ensuring that the fees
and credits described therein are clear and accurate.
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)\10\ of the Act and
[[Page 23969]]
subparagraph (f)(2) of Rule 19b-4 \11\ thereunder, because it
establishes a due, fee, or other charge imposed by NYSE Arca.
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\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 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. If the Commission
takes such action, the Commission shall institute proceedings under
Section 19(b)(2)(B) \12\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\12\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSEArca-2013-38 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-NYSEArca-2013-38. 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 on
official business days between the hours of 10:00 a.m. and 3:00 p.m.
Copies of such filing also will be available for inspection and copying
at the principal offices of NYSE. 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-2013-38, and should be submitted on or before
May 14, 2013.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
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\13\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-09526 Filed 4-22-13; 8:45 am]
BILLING CODE 8011-01-P