Federal Register / Vol. 76, No. 32 / Wednesday, February 16, 2011 / Notices 9065 

4This may be distinguished from SPX as all 

Market-Maker Trading Permit Holders trading in 

open outcry in SPX, a Hybrid 3.0 class, are required 

to maintain a separate appointment in SPX in 

accordance with Rule 8.3(c)(iii). 

5 15 U.S.C. 78f(b). 

6 15 U.S.C. 78f(b)(4). 

7 15 U.S.C. 78s(b)(3)(A). 

8 17 CFR 240.19b–4(f)(2). 

9 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 63624 

(December 30, 2010), 76 FR 805 (‘‘Notice’’). 

Permit Holders have an appointment to 

trade in open outcry in all options 

classes traded on the Hybrid Trading 

System (including VIX) pursuant to 

Exchange Rule 8.3(c)(ii), CBOE is 

proposing establish a 1,000 contract per 

month minimum to allow for minimum 

activity in VIX without having to pay a 

VIX Tier Appointment fee.4

In addition to the proposed changes to 

the Fees Schedule described above, 

CBOE is proposing to revise its 

regulatory circular that sets forth the 

existing Trading Permit Holder 

application and other related fees. The 

Exchange proposes to revise this 

circular to incorporate the changes to 

Section 10 of the CBOE Fees Schedule 

that are described above. The proposed 

changes to the circular are included as 

Exhibit 2 to the Form 19b–4. 

2. Statutory Basis 

The proposed rule change will treat 

similarly situated Trading Permit 

Holders in the same manner. 

Specifically, CBOE shall assess the same 

base tier appointment fees to all Trading 

Permit Holders based on the type of tier 

appointment requested and based on 

objective standards with respect to open 

outcry trading in the applicable class. 

Accordingly, the Exchange believes that 

the proposed rule change is consistent 

with Section 6(b) of the Act,5 in general, 

and furthers the objectives of Section 

6(b)(4) of the Act 6 in particular, in that 

it is designed to provide for the 

equitable allocation of reasonable dues, 

fees, and other charges among persons 

using its facilities for the reasons 

described above. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

CBOE 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 has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act 7 and subparagraph (f)(2) of 

Rule 19b–4 8 thereunder. 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. 

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 e-mail to rulecomments@sec.gov. Please include File 

Number SR–CBOE–2011–013 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–CBOE–2011–013. This file 

number should be included on the 

subject line if e-mail 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 website 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 

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 No. SR–CBOE– 

2011–013 and should be submitted on 

or before March 9, 2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.9

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–3417 Filed 2–15–11; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63881; File No. SR– 

NYSEArca–2010–120] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Order Approving a 

Proposed Rule Change To List and 

Trade Shares of the SPDR Nuveen S&P 

High Yield Municipal Bond ETF 

February 9, 2011. 

I. Introduction 

On December 21, 2010, NYSE Arca, 

Inc. (‘‘Exchange’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

19(b)(1) of the Securities Exchange Act 

of 1934 (‘‘Act’’) 1 and Rule 19b–4 

thereunder,2 a proposed rule change to 

list and trade shares (‘‘Shares’’) of the 

SPDR Nuveen S&P High Yield 

Municipal Bond ETF (‘‘ETF’’ or ‘‘Fund’’) 

under NYSE Arca Equities Rule 5.2(j)(3), 

Commentary .02. The proposed rule 

change was published for comment in 

the Federal Register on January 6, 

2011.3 The Commission received no 

comments on the proposal. This order 

approves the proposed rule change. 

II. Description of the Proposal 

The Exchange proposes to list and 

trade shares (‘‘Shares’’) under NYSE 

Arca Equities Rule 5.2(j)(3), 

Commentary .02, which governs the 

listing and trading of Investment 

Company Units (‘‘Units’’), of the 

following series of the SPDR Series 

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9066 Federal Register / Vol. 76, No. 32 / Wednesday, February 16, 2011 / Notices 

4Standard & Poor’s Financial Services LLC is the 

Index Sponsor with respect to the Index. The 

Exchange has represented that the Index Sponsor is 

not affiliated with a broker-dealer and has 

implemented procedures designed to prevent the 

use and dissemination of material, non-public 

information regarding the Index. 

5See the Trust’s registration statement on Form 

N–1A under the Securities Act of 1933 (15 U.S.C. 

77a) and the Investment Company Act of 1940 (15 

U.S.C. 80a), dated February 22, 2010 (File No. 333– 

57793 and 811–08839) (‘‘Registration Statement’’). 

6The Standard & Poor’s/Investortools Municipal 

Bond Index is composed of bonds held by managed 

municipal bond fund customers of Standard & 

Poor’s Securities Pricing, Inc. that are priced daily. 

Only bonds with total outstanding amounts of 

$2,000,000 or more qualify for inclusion. The 

Standard and Poor’s/Investortools Municipal Bond 

High Yield Index is comprised of all bonds in the 

Standard and Poor’s/Investortools Municipal Bond 

Index that are non-rated or whose ratings are BB+ 

S&P and/or BA–1 Moody’s or lower. This index 

does not contain bonds that are prerefunded or are 

escrowed to maturity. 

7Where the ratings assigned by the agencies are 

not consistent, the Index will use the middle rating 

if three ratings are available, and the lower of two 

ratings if only two ratings are available. 

8Commentary .02(a)(2) to NYSE Arca Equities 

Rule 5.2(j)(3) provides that components that in the 

aggregate account for at least 75% of the weight of 

the index or portfolio each shall have a minimum 

principal amount outstanding of $100 million or 

more. 

9 17 CFR 240.10A–3. 

10See, e.g., Securities Exchange Act Release Nos. 

55783 (May 17, 2007), 72 FR 29194 (May 24, 2007) 

(SR–NYSEArca–2007–36) (order approving NYSE 

Arca generic listing standards for Units based on a 

fixed income index); 44551 (July 12, 2001), 66 FR 

37716 (July 19, 2001) (SR–PCX–2001–14) (order 

approving generic listing standards for Units and 

Portfolio Depositary Receipts); 41983 (October 6, 

1999), 64 FR 56008 (October 15, 1999) (SR–PCX– 

98–29) (order approving rules for listing and trading 

of Units). 

11 In approving this rule change, the Commission 

notes that it has considered the proposed rule’s 

impact on efficiency, competition, and capital 

formation. See 15 U.S.C. 78c(f). 

12 15 U.S.C. 78f(b)(5). 

13See 17 CFR 240.19b–4(e). See also Commentary 

.02 to NYSE Arca Equities Rule 5.2(j)(3). 

14See 17 CFR 240.10A–3. 

Trust (‘‘Trust’’) based on the S&P 

Municipal Yield Index (‘‘Index’’): SPDR 

Nuveen S&P HighYield Municipal Bond 

ETF (‘‘Fund’’ or ‘‘ETF’’). 

The SPDR Nuveen S&P High Yield 

Municipal Bond ETF4 seeks to provide 

investment results that, before fees and 

expenses, correspond generally to the 

price and yield performance of the 

Index, which tracks the U.S. municipal 

bond market, and to provide income 

that is exempt from regular Federal 

income taxes.5

The Index consists of categories of 

bonds in the following proportions: (i) 

70% of the Index constituents are 

components of the Standard & Poor’s/ 

Investortools High Yield Bond Index,6

which are non-rated or are rated below 

investment grade; (ii) 20% of the Index 

constituents are components of the 

Standard & Poor’s/Investortools Bond 

Index that are rated Baa3, Baa2, or Baa1 

by Moody’s Investors Service, or BBB¥, 

BBB, or BBB+ by Standard and Poor’s or 

Fitch; and (iii) 10% of the Index 

constituents are components of the 

Standard & Poor’s/Investortools Bond 

Index that are rated A3, A2, or A1 by 

Moody’s Investor Services, or A¥, A, or 

A+ by Standard & Poor’s or Fitch.7 As 

of December 20, 2010, there were 

approximately 21,141 issues included in 

the Index. 

The Exchange submitted this 

proposed rule change because the Index 

underlying the Fund does not meet all 

of the ‘‘generic’’ listing requirements of 

Commentary .02(a)(2) to NYSE Arca 

Equities Rule 5.2(j)(3) applicable to 

listing of Units based on US indexes. 

Specifically, the Index does not meet 

the requirement set forth in 

Commentary .02(a)(2): 8 As of December 

20, 2010, 26.47% of the weight of the 

Index components have a minimum 

principal amount outstanding of $100 

million or more. The Exchange 

represents that: (1) Except for 

Commentary .02(a)(2) to NYSE Arca 

Equities Rule 5.2(j)(3), the Shares 

currently satisfy all of the generic listing 

standards under NYSE Arca Equities 

Rule 5.2(j)(3); (2) the continued listing 

standards under NYSE Arca Equities 

Rules 5.2(j)(3) and 5.5(g)(2) applicable to 

Units shall apply to the Shares; and (3) 

the Trust is required to comply with 

Rule 10A–3 9 under the Exchange Act 

for the initial and continued listing of 

the Shares. In addition, the Exchange 

represents that the Shares will comply 

with all other requirements applicable 

to Units including, but not limited to, 

requirements relating to the 

dissemination of key information such 

as the value of the Index and Intraday 

Indicative Value, rules governing the 

trading of equity securities, trading 

hours, trading halts, surveillance, and 

the Information Bulletin to ETP Holders, 

as set forth in Exchange rules applicable 

to Units and prior Commission orders 

approving the generic listing rules 

applicable to the listing and trading of 

Units.10

Detailed descriptions of the Fund, the 

Index, procedures for creating and 

redeeming Shares, transaction fees and 

expenses, dividends, distributions, 

taxes, risks, and reports to be distributed 

to beneficial owners of the Shares can 

be found in the Registration Statement 

or on the Web site for the Fund 

(http://www.spdr.com), as applicable. 

III. Discussion and Commission’s 

Findings 

After careful consideration, the 

Commission finds that the proposed 

rule change is consistent with the 

requirements of the Act and the rules 

and regulations thereunder applicable to 

a national securities exchange.11 In 

particular, the Commission believes that 

the proposal is consistent with Section 

6(b)(5) of the Act,12 which requires, 

among other things, that the rules of a 

national securities exchange be 

designed to promote just and equitable 

principles of trade, to remove 

impediments to and perfect the 

mechanism of a free and open market 

and a national market system, and in 

general, to protect investors and the 

public interest. 

Although NYSE Arca Equities Rule 

5.2(j)(3) permits the Exchange to list 

Units based on U.S. indexes pursuant to 

Rule 19b–4(e) under the Act,13 the Index 

for the Fund does not meet all of the 

generic listing requirements applicable 

to the listing of Units based on U.S. 

indexes. Specifically, the Index does not 

satisfy Commentary .02(a)(2) to NYSE 

Arca Equities Rule 5.2(j)(3), which 

requires that components that in the 

aggregate account for at least 75% of the 

weight of the index or portfolio each 

shall have a minimum principal amount 

outstanding of $100 million or more. 

According to the Exchange, as of 

December 20, 2010, 26.47% of the 

weight of the Index components had a 

minimum principal amount outstanding 

of $100 million or more. 

The Commission believes that the 

listing and trading of the Shares is 

consistent with the Act. The 

Commission believes that the Index is 

not susceptible to manipulation. As of 

December 20, 2010, there were 

approximately 21,141 issues included in 

the Index and the total dollar amount 

outstanding of issues in the Index was 

approximately $532.82 billion. Further, 

the most heavily weighted component 

represents 0.86% of the weight of the 

Index and the five most heavily 

weighted components represent 2.52% 

of the weight of the Index. 

The Commission also notes that, 

based on the Exchange’s 

representations: (1) The Shares 

currently satisfy all of the generic listing 

standards under NYSE Arca Equities 

Rule 5.2(j)(3), except for the requirement 

under Commentary .02(a)(2); (2) the 

Shares will be subject to all of the 

continued listing standards under NYSE 

Arca Equities Rules 5.2(j)(3) and 

5.5(g)(2) applicable to Units; and (3) the 

Trust is required to comply with Rule 

10A–3 under the Act for the initial and 

continued listing of Shares.14 The 

Commission also notes that Shares of 

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Federal Register / Vol. 76, No. 32 / Wednesday, February 16, 2011 / Notices 9067 

15 15 U.S.C. 78f(b)(5). 16 15 U.S.C. 78s(b)(2). 17 17 CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3A Complex Order is any order involving the 

simultaneous purchase and/or sale of two or more 

different options series in the same underlying 

security, priced at a net debit or credit based on the 

relative prices of the individual components, for the 

same account, for the purpose of executing a 

particular investment strategy. Furthermore, a 

Complex Order can also be a stock-option order, 

which is an order to buy or sell a stated number 

of units of an underlying stock or ETF coupled with 

the purchase or sale of options contract(s). See 

Exchange Rule 1080, Commentary .08(a)(i). 

4See Securities Exchange Act Release No. 63777 

(January 26, 2011), 76 FR 2733 (January 14, 2011) 

(SR–Phlx-2010–157). 

the Fund will comply with all other 

requirements of NYSE Arca Equities 

Rule 5.2(j)(3), applicable to Units 

including, but not limited to, 

requirements relating to the 

dissemination of key information such 

as the Index value and Intraday 

Indicative Value, rules governing the 

trading of equity securities, trading 

hours, trading halts, surveillance, 

firewalls, and Information Bulletins to 

ETP Holders, as set forth in prior 

Commission orders approving the 

generic listing rules applicable to the 

listing and trading of Units. 

For the foregoing reasons, the 

Commission finds that the proposed 

rule change is consistent with Section 

6(b)(5) of the Act 15 and the rules and 

regulations thereunder applicable to a 

national securities exchange. 

IV. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,16 that the 

proposed rule change (SR–NYSEArca– 

2010–120), be, and it hereby is, 

approved. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–3441 Filed 2–15–11; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63880; File No. SR–Phlx– 

2011–12] 

Self-Regulatory Organizations; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change by NASDAQ 

OMX PHLX LLC Relating to Fees for 

Complex Orders 

February 9, 2011. 

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 

7, 2011, 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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to amend its 

Complex Order 3 Fees in Section I of its 

Fee Schedule titled Rebates and Fees for 

Adding and Removing Liquidity in 

Select Symbols. 

This filing is effective on February 7, 

2011. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://nasdaqtrader.com/ 

micro.aspx?id=PHLXfilings, at the 

principal office of the Exchange, at the 

Commission’s Public Reference Room, 

and on the Commission’s Web site at 

http://www.sec.gov. 

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 modify the Exchange’s Fee 

Schedule to support the enhanced 

Complex Order System.4

Changes to the Fees in Part B, 

Complex Orders. Specifically, the 

Exchange is proposing to amend the 

Rebates for Adding Liquidity, create 

Fees for Adding Liquidity and amend 

Fees for Removing Liquidity. With 

respect to the Rebate for Adding 

Liquidity, the Exchange proposes to 

increase the Customer rebate to $0.24 

and not pay other market participants a 

rebate. With respect to the Fees for 

Adding Liquidity, the Exchange 

proposes to not assess Customers any 

fees and assess market makers $0.10 per 

contract and Firms, Broker-Dealers and 

Professionals $0.20 per contract. With 

respect to the Fees for Removing 

Liquidity, the Exchange proposes to 

increase Firms and Professionals to 

$0.28 per contract (a $0.01 increase). 

A table displaying the proposed fees 

follows as well as a description of each 

proposed amendment. 

Customer Directed 

participant 

Specialist, 

ROT, SQT 

and RSQT 

Firm Broker-dealer Professional 

Rebate for Adding Liquidity ..................... $0.24 $0.00 $0.00 $0.00 $0.00 $0.00 

Fee for Adding Liquidity ........................... 0.00 0.10 0.10 0.20 0.20 0.20 

Fee for Removing Liquidity ...................... 0.25 0.25 0.27 0.28 0.35 0.28 

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