[Federal Register Volume 62, Number 37 (Tuesday, February 25, 1997)]
[Notices]
[Pages 8485-8487]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-4609]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-38306; File No. SR-SCCP-96-13]
Self-Regulatory Organizations; Stock Clearing Corporation of
Philadelphia; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change to Consolidate and Restate its Fee Schedule
February 19, 1997.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on December 23, 1996, the
Stock Clearing Corporation of Philadelphia (``SCCP'') 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 primarily by SCCP. 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).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The purpose of the proposed rule change is to consolidate and
restate SCCP's schedule of fees and charges (Exhibit A).
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, SCCP included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule changes. The
text of these statements may be examined at the places specified in
Item IV below. SCCP has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\2\
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\2\ The Commission has modified the text of the summaries
prepared by SCCP.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
The purpose of the proposed rule change is to consolidate and
restate SCCP's schedule of fees and charges. SCCP proposes to revise
its volume discounts applicable to trade recording fees and value
charges for PACE CNS trades settling at SCCP. SCCP currently provides a
flat $0.77 per side discount for 4,000 or more trades per month. SCCP's
discounts have been revised into the following schedule: $0.77 per side
for 4,000 to 6,000 trades per month; $0.55 per side for 6,001 to 8,000
trades per month; and $0.35 per side for over 8,000 trades per
month.\3\
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\3\ This is not a graduated rate schedule. Once a volume
threshold is reached, all trades receive such volume discount rate.
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Additionally, SCCP proposes to consolidate and restate existing
fees and charges. This filing is being made in accordance with SCCP's
policy to annually file a comprehensive schedule of all existing fees
and charges.
SCCP believes the proposed rule change is consistent with Section
17A of the Act \4\ and the rules and regulations thereunder because it
will provide for the equitable allocation of dues, fees, and other
charges among participants.
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\4\ 15 U.S.C. 78q-1
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(B) Self-Regulatory Organization's Statement on Burden on Competition
SCCP does not believe the proposed rule change will impose a burden
on competition.
(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 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 has become effective pursuant to Sections
19(b)(3)(A)(ii) \5\ of the Act and pursuant to Rule 19b-4(e)(2) \6\
promulgated thereunder because the proposal establishes a due, fee, or
other charge. At any time within sixty days of the filing of such 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,
[[Page 8486]]
or otherwise in furtherance of the purposes of the Act.
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\5\ 15 U.S.C. 78s(b)(3)(A)(ii).
\6\ 17 CFR 240.19b-4(e)(2).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, N.W., Washington, D.C. 20549.
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. Sec. 552, will be available for inspection and copying in
the Commission's Public Reference Room, 450 Fifth Street, N.W.,
Washington, D.C. 20549. Copies of such filing will also be available
for inspection and copying at the principal office of SCCP. All
submissions should refer to File No. SR-SCCP-96-13 and should be
submitted by March 18, 1997.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\7\
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\7\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
Exhibit A--SR-SCCP-96-13
[Deleted text bracketed, new text italicized]
Stock Clearing Corporation of Philadelphia, Consolidated Restatement of Fees
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Service Fee
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1. Account Fees:
a. Maintenance Fee..................... $150.00 per month (20 or fewer trades per month)
$250.00 per month (over 20 trades per month)
$650.00 per month (specialist)
b. Additional Suffix................... $32.00 per month per suffix
2. Trade Recording Fees:
a. Regular Trades...................... $0.47 per side
b. PACE Trades......................... $0.30 per side
c. Municipal Bonds Trades.............. $1.00 per compared side
d. Yellow Tickets (between two $0.47 per side
accounts).
e. Basket Trades....................... 0.60 per side for 1-1,000 trades per month
0.54 per side for 1,001-3,000 trades per month
0.48 per side for 3,001-5,000 trades per month
0.40 per side for more than 5,000 trades per month
3. Value Fees:
a. CNS Accounts........................ 0.05 per $1,000 of contract value
b. Margin Accounts..................... 0.035 per $1,000 of contract value
c. PACE Trades......................... None
d. Maximum Value Charge................ 25.00 per trade per side
4. Volume Discounts (Trade Recording Fees
and Value Charges):
a. CNS Trades settling at SCCP [$0.77 per side maximum with 4,000 or more PACE trades
(utilizing PACE). per month]
$0.77 per side--4000-6000 PACE trades per month**
$0.55 per side--6001-8000 PACE trades per month**
$0.35 per side--over 8000 PACE trades per month**
5. Specialist Discounts for Trades Cleared
Through a SCCP Margin Account:
Volume level (including PACE trades) Discount
per side
2,501 to 10,000 sides per month....................... 0.05
10,001 to 15,000 sides per month...................... 0.10
15,001 to 20,000 sides per month...................... 0.15
20,001 to 25,000 sides per month...................... 0.20
25,001 to 30,000 sides per month...................... 0.25
30,001 to 35,000 sides per month...................... 0.30
35,001 to 40,000 sides per month...................... 0.35
40,001 and over....................................... 0.40
6. Municipal Bond Margin Service........... $500.00 per month with activity
7. Treasury Transactions:
a. Per trade transaction............... $40.00 (plus pass through costs)
b. Per withdrawal--Bearer.............. $15.00
c. Per withdrawal--Registered.......... $10.00
d. Per transfer........................ $10.00
8. Margin Account Pledge Fees.............. $1.00
9. New York Office Transactions:
a. Over the Window Delivery Clearing $5.00
House.
b. Over the Window Delivery Paid or $5.00
Suspended.
[[Page 8487]]
c. Over the Window Delivery ``Don't $10.00
Know''.
d. Over the Window Receive Clearing $6.00
House.
e. Dividend Settlement Service......... $5.00
f. Envelope Settlement Service/ $5.00
InterCity/Funds Only Settlement
Service.
g. Over the Window Delivery Fed Funds.. $22.50
h. Over the Window Receive Fed Funds... $22.50
i. Syndicate Re-Delivery-Paid.......... $14.00
j. Syndicate Re-Delivery ``Don't Know'' $17.00
k. Securities Hold..................... $5.00
l. Reorganization Pick-up.............. $5.00
m. Reorganization Reject............... $10.00
n. Reorganization Agent Delivery....... $15.00
o. Syndicate Pick-Up................... $17.00
p. Miscellaneous....................... $5.00
q. Deliveries to New Jersey............ $12.00 per item (plus costs)
10. Margin Account Interest:
Charge on net debit balances........... \1/2\% above bank broker call rate
11. Research Fees:
a. Per photocopy of input forms........ $4.00
b. Per microfiche copy................. $4.00
c. Items less than 90 days old......... No charge
d. Items 1 year old or less............ $15.00 per hour
e. Items over 1 year old............... $15.00 per hour, $25.00 minimum, plus archive
retrieval costs
12. Computer Transmission/Tapes:
a. Purchase and Sale, Trade Data $100.00 per month
(daily).
b. Purchase and Sale, Trades plus T+2 $150.00 per month
Settling Trades (daily).
c. Miscellaneous....................... $150.00 per month; includes 6 tapes/transmission
$25.00 per additional tape/transmission
13. Lost and Stolen Securities Program..... $100.00 per year, $2.50 per inquiry
14. P&L Statement Charges.................. $0.01 per line
15. Buy-ins................................ $5.00 per items submitted
16. Member to Member Envelope Service...... $5.00 per envelope (charged to sender), plus carrier
costs
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**This is not a graduated rate schedule. Once this volume threshold is reached, all trades from the first trade
receive such volume discount rate.
[FR Doc. 97-4609 Filed 2-24-97; 8:45 am]
BILLING CODE 8010-01-M