12178 Federal Register / Vol. 76, No. 43 / Friday, March 4, 2011 / Notices 

22 15 U.S.C. 78s(b)(3)(A). 

23 17 CFR 240.19b–4(f)(6)(iii). 

24 17 CFR 240.19b–4(f)(6). 

25 17 CFR 240.19b–4(f)(6)(iii). In addition, Rule 

19b–4(f)(6)(iii) requires that a self-regulatory 

organization submit to the Commission written 

notice of its intent to file the proposed rule change, 

along with a brief description and text of the 

proposed rule change, at least five business days 

prior to the date of filing of the proposed rule 

change, or such shorter time as designated by the 

Commission. The Exchange has satisfied this 

requirement. 

26 17 CFR 240.19b–4(f)(6)(iii). 

27For the purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

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

28 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

believes that the proposed changes will 

provide clarity on the short sale order 

handling procedures employed by the 

Exchange and certain obligations of 

Members when sending short sale 

orders to the Exchange consistent with 

Regulation SHO, as amended. The 

Exchange also believes that the 

proposed short sale price sliding 

functionality will assist Users in 

executing or displaying their orders 

consistent with Regulation SHO, 

especially under fast moving conditions 

where the national best bid/offer is 

quickly updating. In addition, as is 

currently the case, the short sale price 

sliding process is optional to Users. 

Specifically, Users can choose to opt-out 

of the short sale price sliding process, 

and if they choose to do so, the 

Exchange will cancel back their orders 

when such orders contradict the 

provisions of Regulation SHO. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The proposed rule change does not 

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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or other interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the foregoing proposed rule 

change does not: (i) Significantly affect 

the protection of investors or the public 

interest; (ii) impose any significant 

burden on competition; and (iii) become 

operative for 30 days from the date on 

which it was filed, or such shorter time 

as the Commission may designate if 

consistent with the protection of 

investors and the public interest, it has 

become effective pursuant to Section 

19(b)(3)(A) of the Act 22 and Rule 19b– 

4(f)(6)(iii) thereunder.23

A proposed rule change filed under 

Rule 19b–4(f)(6) 24 normally does not 

become operative prior to 30 days after 

the date of the filing.25 However, 

pursuant to Rule 19–b4(f)(6)(iii),26 the 

Commission may designate a shorter 

time if such action is consistent with the 

protection of investors and the public 

interest. The Exchange has asked the 

Commission to waive the 30-day 

operative delay so that it may 

implement the change no later than 

February 28, 2011 to coincide with the 

compliance date for the amendments to 

Rules 200(g) and 201 of Regulation 

SHO. The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of the 

investors and the public interest 

because such waiver would ensure 

compliance with the Commission’s 

amendments to Rules 200(g) and 201 of 

Regulation SHO. For this reason, the 

Commission designates the proposed 

rule change to be operative upon filing 

with the Commission.27

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 

No. SR–EDGA–2011–05 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–EDGA–2011–05. 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 Web site viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street, NE., 

Washington, DC 20549–1090, 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 and on its Internet Web site at 

http://www.directedge.com. 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–EDGA–2011–05 and should 

be submitted by March 25, 2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.28

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–4904 Filed 3–3–11; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63983; File No. SR– 

NASDAQ–2011–032] 

Self-Regulatory Organizations; The 

NASDAQ Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Offer Market 

Data to the Public at No Charge 

February 25, 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 

24, 2011, The NASDAQ Stock Market 

LLC (the ‘‘Exchange’’ or ‘‘NASDAQ’’) 

filed with the Securities and Exchange 


jlentini on DSKJ8SOYB1PROD with NOTICES
Federal Register / Vol. 76, No. 43 / Friday, March 4, 2011 / Notices 12179 

3 15 U.S.C. 78f. 4 15 U.S.C. 78f(b)(5). 

Commission (the ‘‘Commission’’) the 

proposed rule change as described in 

Items I, II, and III below, which Items 

have been prepared by NASDAQ. 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 

NASDAQ is filing this proposed rule 

change to identify in NASDAQ Options 

Market (‘‘NOM’’) rules the proprietary 

data feeds of NOM market information 

that NASDAQ makes available at no 

charge. The text of the proposed rule 

change is available at http:// 

nasdaq.cchwallstreet.com/, at 

NASDAQ’s principal office, 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 

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 the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

Chapter VI, Section 1(a)(3) of the 

NOM Rules currently states that the 

NOM trading system includes ‘‘a data 

feed(s) that can be used to display 

without attribution to Participants’ 

MPIDs Displayed Orders on both the bid 

and offer side of the market for price 

levels then within the Nasdaq Options 

Market using the minimum price 

variation applicable to that security.’’ 

NASDAQ is proposing to modify 

Section 1(a)(3) to specify the names and 

content of the four data feeds that 

NASDAQ makes available without 

charge containing market information 

related to trading on NOM. 

First, NASDAQ ITCH to Trade 

Options or ‘‘ITTO’’ is a data feed that 

provides quotation information for 

individual orders on the NOM book, last 

sale information for trades executed on 

NOM, and Order Imbalance Information 

as set forth in NOM Rules Chapter VI, 

Section 8. ITTO is the options 

equivalent of the NASDAQ TotalView/ 

ITCH data feed that NASDAQ offers 

under NASDAQ Rule 7023 with respect 

to equities traded on NASDAQ. As with 

TotalView, members use ITTO to 

‘‘build’’ their view of the NOM book by 

adding individual orders that appear on 

the feed, and subtracting individual 

orders that are executed. The Order 

Imbalance Information disseminated via 

ITTO is described in more detail below. 

Best of NASDAQ Options or ‘‘BONO’’ 

is a data feed that provides the NOM 

Best Bid and Offer and last sale 

information for trades executed on 

NOM. The NOM Best Bid and Offer and 

last sale information are identical to the 

information that NOM sends the 

Options Price Regulatory [sic] Authority 

(‘‘OPRA’’) and which OPRA 

disseminates via the consolidated data 

feed for options. BONO is the options 

equivalent of the NASDAQ Basic data 

feed offered for equities under NASDAQ 

Rule 7047. 

NASDAQ Options Depth at Price or 

‘‘DAP’’ is a data feed that provides 

aggregate quotation information for each 

price level of trading interest on the 

NOM book, last sale data for trades 

executed on NOM, and Order Imbalance 

Information as set forth in NOM Rules 

Chapter VI, Section 8. The summary of 

interest at each price level is useful to 

members that seek to add or remove 

liquidity at various depths of the NOM 

book but that do not build a book in the 

manner described above with respect to 

ITTO. 

Finally, NASDAQ Options Net Order 

Imbalance or ‘‘NOIView’’ is a data feed 

that provides Order Imbalance 

Information as set forth in NOM Rules 

Chapter VI, Section 8. Members use 

NOIView to participate effectively in the 

NOM Opening Cross. It includes the 

following information: (1) A Current 

Reference Price’’ [sic] which describes 

the trading interest on the NOM book at 

a given moment; (2) the number of 

contracts of eligible trading interest that 

are paired at the Current Reference 

Price; (3) the size of any order 

imbalance; (4) the buy/sell direction of 

any Imbalance; and (5) indicative prices 

at which the Nasdaq Opening Cross 

would occur if the Nasdaq Opening 

Cross were to occur at that time. 

NOIView is available in conjunction 

with the ITTO and DAP feeds described 

above. 

2. Statutory Basis 

Nasdaq believes that the proposed 

rule change is consistent with the 

provisions of Section 6 of the Act,3 in 

general and with Sections 6(b)(5) of the 

Act,4 in particular in that it is designed 

to prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in regulating, clearing, 

settling, processing information with 

respect to, and facilitating transactions 

in securities, 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. 

In adopting Regulation NMS, the 

Commission granted self-regulatory 

organizations and broker-dealers 

increased authority and flexibility to 

offer new and unique market data to the 

public. It was believed that this 

authority would expand the amount of 

data available to consumers, and also 

spur innovation and competition for the 

provision of market data. Nasdaq 

believes that this proposal is in keeping 

with those principles by promoting 

increased transparency through the 

dissemination of more useful 

proprietary data and also by clarifying 

its availability to market participants. 

Additionally, NASDAQ is making a 

voluntary decision to make this data 

available. NASDAQ is not required by 

the Exchange Act in the first instance to 

make the data available, unlike the best 

bid and offer which must be made 

available under the Act. NASDAQ 

chooses to make the data available as 

proposed in order to improve market 

quality, to attract order flow, and to 

increase transparency. Once this filing 

becomes effective, NASDAQ will be 

required to continue making the data 

available until such time as NASDAQ 

changes its rule. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

NASDAQ does not believe that the 

proposed rule change will result in any 

burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act, as amended. 

To the contrary, offering voluntary and 

free data feeds promotes competition 

among trading platforms by advertising 

available trading interest and enabling 

NOM to attract additional liquidity. 

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. 


jlentini on DSKJ8SOYB1PROD with NOTICES
12180 Federal Register / Vol. 76, No. 43 / Friday, March 4, 2011 / Notices 

5 15 U.S.C. 78s(b)(3)(A). 

6 17 CFR 240.19b–4(f)(6). 

7 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3 15 U.S.C. 78s(b)(1). 

4 17 CFR 240.19b–4. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The proposed rule change is effective 

upon filing pursuant to Section 

19(b)(3)(A) of the Act 5 and paragraph 

(f)(6) of Rule 19b–4 thereunder,6 in that 

the proposed rule change: (i) Does not 

significantly affect the protection of 

investors or the public interest; (ii) does 

not impose any significant burden on 

competition; and (iii) does not become 

operative for 30 days after the date of 

the filing, or such shorter time as the 

Commission may designate if consistent 

with the protection of investors and the 

public interest; provided the selfregulatory organization has given the 

Commission written notice of its intent 

to file the proposed rule change, along 

with a brief description and text of the 

proposed rule change, at least five 

business days prior to the date of filing 

of the proposed rule change, or such 

shorter time as designated by the 

Commission. 

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 

change should be approved or 

disapproved. 

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–NASDAQ–2011–032 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–NASDAQ–2011–032. 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 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 

a.m. and 3 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– 

NASDAQ–2011–032 and should be 

submitted on or before March 25, 2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–4900 Filed 3–3–11; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63981; File No. SR–Phlx– 

2011–13] 

Self-Regulatory Organizations; Notice 

of Filing of Proposed Rule Change by 

NASDAQ OMX PHLX LLC Relating to 

Amendments to NASDAQ OMX PHLX 

LLC’s Limited Liability Company 

Agreement, By-Laws, Rules, Advices 

and Regulations 

February 25, 2011. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 (‘‘Act’’)1

and Rule 19b–42 thereunder, notice is 

hereby given that on February 16, 2011, 

NASDAQ OMX PHLX LLC (‘‘Phlx’’ or 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission (‘‘SEC’’ or 

‘‘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, pursuant to Section 

19(b)(1) of the Act3 and Rule 19b–4 

thereunder,4 proposes to: (1) Amend the 

Limited Liability Company Agreement 

and By-Laws to substantially conform to 

NASDAQ Stock Market’s [sic] Second 

Amended Limited Liability Company 

Agreement and By-Laws; (2) eliminate 

the Series A Preferred Shareholder and 

adopt NASDAQ Stock Market LLC’s 

board structure and committees; (3) 

eliminate foreign currency option 

participations; (4) eliminate former 

definitions, rules and references to XLE; 

and (5) amend other terms, names, 

cross-references and make technical and 

grammatical changes to clarify and 

simplify the By-Laws, Rules, Option 

Floor Procedure Advices, Equity Floor 

Procedure Advices (collectively 

‘‘Advices’’) and Regulations of the 

Exchange. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://www.nasdaqtrader.com/ 

micro.aspx?id=PHLXRulefilings, 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 

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. 


jlentini on DSKJ8SOYB1PROD with NOTICES