Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices 9817 

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

5 15 U.S.C. 78f(b)(5). 6 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

will also discourage member 

organizations from surrendering and 

requesting licenses on a monthly basis 

and thereby help reduce month-bymonth changes in the trading license 

population. 

2. Statutory Basis 

The statutory basis for the proposed 

rule change is the requirement under 

section 6(b)(4) 4 of the Act that an 

exchange have rules that provide for the 

equitable allocation of reasonable dues, 

fees, and other charges among its 

members and other persons using its 

facilities and the requirement under 

section 6(b)(5) 5 of the Act that an 

exchange have rules that are designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to remove 

impediments to and perfect the 

mechanism of a free and open market 

and, in general, to protect investors and 

the public interest. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change would 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 

Written comments were neither 

solicited nor received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 35 days of the date of 

publication of this notice in the Federal 

Register or within such longer period (i) 

as the Commission may designate up to 

90 days of such date if it finds such 

longer period to be appropriate and 

publishes its reasons for so finding or 

(ii) as to which NYSE consents, the 

Commission will: 

(A) By order approve such proposed 

rule change, or 

(B) institute proceedings to determine 

whether the proposed rule change 

should be 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–NYSE–2007–15 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Nancy M. Morris, Secretary, 

Securities and Exchange Commission, 

100 F Street, NE., Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–NYSE–2007–15. 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 inspection and copying in 

the Commission’s Public Reference 

Room. Copies of such filing also will be 

available for inspection and copying at 

the principal office 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–NYSE–2007–15 and should 

be submitted on or before March 26, 

2007. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.6

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–3743 Filed 3–2–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55354; File No. SR–NYSE–

2007–04] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing of Proposed Rule Change 

Relating to Approval of Fee for NYSE 

Real-Time Trade Prices 

February 26, 2007. 

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 January 

12, 2007, the New York Stock Exchange 

LLC (‘‘NYSE’’ 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 substantially prepared by the 

NYSE. 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 establish as 

a one-year pilot test NYSE Real-Time 

Trade Prices, a new NYSE-only market 

data service that allows a vendor to 

redistribute on a real-time basis last sale 

prices of transactions that take place on 

the Exchange (‘‘NYSE Trade Prices’’) 

and to establish a flat monthly fee for 

that service. 

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 

i. The Service. The Exchange proposes 

to conduct a one-year pilot program that 


erjones on PRODPC74 with NOTICES
9818 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices 

3The Exchange notes that it will make the NYSE 

Trade Prices available to vendors no earlier than it 

makes those prices available to the processor under 

the CTA Plan. 

will allow the Exchange to test the 

viability of NYSE Real-Time Trade 

Prices. The Exchange intends for the 

NYSE Real-Time Trade Prices service to 

accomplish three goals: 

a. To provide a low-cost service that 

will make real-time prices widely 

available to many millions of casual 

investors; 

b. to provide vendors with a real-time 

substitute for delayed prices; and 

c. to relieve vendors of all 

administrative burdens. 

During the one-year pilot program, the 

NYSE Real-Time Trade Prices service 

would allow internet service providers, 

traditional market data vendors, and 

others (‘‘NYSE-Only Vendors’’) to make 

available NYSE Trade Prices on a realtime basis.3 The NYSE Real-Time Trade 

Prices information would include last 

sale prices for all securities that are 

traded on the Exchange. It would 

include only prices. It would not 

include the size of each trade and would 

not include bid/asked quotations. 

As with most of its market data 

products, the Exchange is proposing to 

conduct the one-year pilot program for 

NYSE Real-Time Trade Prices to 

respond to the desires of its 

constituents. In this case, the product 

responds to the requirements for 

distribution of real-time last sale prices 

over the Internet for reference purposes, 

rather than as a basis for making trading 

decisions. The Exchange contemplates 

that internet service providers with a 

substantial customer base and 

traditional vendors with large numbers 

of less active investors are potential 

subscribers to NYSE Real-Time Trade 

Prices. 

Many internet service providers and 

vendors distribute data to large numbers 

of casual market data consumers, who 

access the data in order to ‘‘get a feel’’

for the market in a security or to price 

the value of a portfolio, rather than to 

make investment decisions. The 

Exchange has designed the NYSE RealTime Trade Prices service to appeal to 

that community, significant segments of 

which have historically relied upon 

delayed last sale prices. That is, the 

Exchange believes that NYSE Real-Time 

Trade Prices will replace delayed last 

sale prices for many casual investors. 

During the one-year pilot program, the 

Exchange will not permit NYSE-Only 

Vendors to provide NYSE Trade Prices 

in a context in which a trading or orderrouting decision can be implemented 

unless the NYSE-Only Vendor also 

provides consolidated displays of 

Network A last sale prices available in 

an equivalent manner, as Rule 603(c)(1) 

of Regulation NMS requires. 

During our discussions with potential 

vendors, vendors requested NYSE realtime, last sale prices for widespread 

internet distribution, but wanted to 

eliminate the administrative burdens 

associated with the current distribution 

of real-time CTA prices. In addition, 

because these vendor services do not 

support trading or order routing 

functionality, the vendors do not 

require, nor do they wish to pay for, the 

full spectrum of consolidated CTA 

information. At the same time, they 

recognize the quality and branding 

value of an NYSE print. In response, the 

NYSE Trade Price pilot program 

features a flat, fixed monthly vendor fee, 

no user-based fees, no vendor reporting 

requirements, and no professional or 

non-professional subscriber agreements. 

The Commission and the industry 

have long recognized CTA’s success in 

making market data available on an 

affordable and widespread basis to a 

large number of investors. NYSE’s 

proposed pilot program will test out a 

potential supplement to CTA’s success, 

as the pilot program will make NYSE 

Trade Prices widely available and 

without charge to an even larger 

universe of investors. 

ii. The Fees. For the duration of the 

one-year pilot program, the Exchange 

proposes to establish a monthly flat fee 

that will entitle an NYSE-Only Vendor 

to receive access to the NYSE Real-Time 

Trade Prices datafeed. The NYSE-Only 

Vendor may use that access to provide 

unlimited NYSE Trade Prices to an 

unlimited number of the NYSE-Only 

Vendor’s subscribers and customers. It 

may also syndicate the service to an 

unlimited number of other Web site 

proprietors (as described below). The 

Exchange will not impose any device or 

end-user fee for the NYSE-Only 

Vendors’ distribution of NYSE Trade 

Prices. 

The Exchange proposes to set the flat 

fee at $100,000 per month. The NYSEOnly Vendor would agree to identify the 

NYSE trade price by placing the text 

‘‘NYSE Data’’ in close proximity to the 

display of each NYSE Trade Price or 

series of NYSE Trade Prices. 

The flat fee enables the NYSE-Only 

Vendor to make NYSE Trade Prices 

available without having to differentiate 

between professional subscribers and 

nonprofessional subscribers, without 

having to account for the extent of 

access to the data, and without having 

to report the number of users. 

The flat fee enables internet service 

providers and traditional vendors that 

have large numbers of casual investors 

as subscribers and customers to 

contribute to the Exchange’s operating 

costs in a manner that is appropriate for 

their means of distribution. 

In setting the level of the NYSE RealTime Trade Prices pilot program fees, 

the Exchange took into consideration 

several factors, including: 

a. Consultation with some of the 

entities that the Exchange anticipates 

will be the most likely to take advantage 

of the proposed fees; 

b. the contribution of market data 

revenues that the Exchange’s 

independent Board of Directors believes 

is appropriate for entities that provide 

market data to large numbers of 

investors, which are the entities most 

likely to take advantage of the proposed 

fees; 

c. the contribution that revenues 

accruing from the proposed fees will 

make to meeting the overall costs of the 

Exchange’s operations; 

d. projected losses to the Exchange’s 

other sources of market data revenues 

(e.g., from its share of revenues derived 

from Network A nonprofessional 

subscriber fees), which losses are likely 

to result from the ability of NYSE-Only 

Vendors to distribute unlimited 

quantities of NYSE Trade Prices to an 

unlimited number of investors at no cost 

to the investors; 

e. the savings in administrative and 

reporting costs that the NYSE Real-Time 

Trade Prices service will provide to 

NYSE-Only Vendors; and 

f. the fact that the proposed fees 

provide an alternative to existing 

Network A fees under the CTA Plan, an 

alternative that vendors will purchase 

only if they determine that the 

perceived benefits outweigh the cost. 

In short, the Exchange believes that 

the proposed NYSE Real-Time Trade 

Prices pilot program fees would reflect 

an equitable allocation of its overall 

costs to users of its facilities. 

iii. Contracts. After consultation with 

potential NYSE-Only Vendors, the 

Exchange has determined to allow 

NYSE-Only Vendors to provide NYSE 

Real-Time Trade Prices to their 

subscribers and customers without 

requiring the end-users to enter into 

contracts for the benefit of the 

Exchange. This pilot program marks the 

first real-time interrogation service for 

which the Exchange has not required 

end-users to enter into agreements. 

Instead, the Exchange will require 

NYSE-Only Vendors to provide a 

readily visible hyperlink that will send 

the end-user to a warning notice about 

the end-user’s receipt and use of market 

data. The notice would be similar to the 


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Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices 9819 

4See Securities Exchange Act Release Nos. 28407 

(September 6, 1990), 55 FR 37276 (September 10, 

1990), and 49185 (February 4, 2004), 69 FR 6704 

(February 11, 2004). 

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

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

7See Rule 601 of Regulation NMS. 

8See Rule 603(a) of Regulation NMS. 

notice that vendors provide today when 

providing CTA delayed data services. 

The Exchange will require NYSEOnly Vendors to enter into the form of 

‘‘vendor’’ agreement into which the 

CTA and CQ Plans require recipients of 

the Network A datafeeds to enter (the 

‘‘Network A Vendor Form’’). The 

Network A Vendor Form will authorize 

the NYSE-Only Vendor to provide the 

NYSE Real-Time Trade Prices service to 

its subscribers and customers. 

The Network A Participants drafted 

the Network A Vendor Form as a onesize-fits-all form to capture most 

categories of market data dissemination. 

It is sufficiently generic to accommodate 

NYSE Real-Time Trade Prices. The 

Commission has approved the Network 

A Vendor Form. 4

The Exchange will supplement the 

Network A Vendor Form with an 

Exhibit C that will provide abovedescribed terms and conditions that are 

unique to the NYSE Real-Time Trade 

Prices service. The supplemental terms 

will govern such things as the 

restriction against providing the service 

in the context of a trading or orderrouting service, the replacement of enduser agreements with a hyperlink to a 

notice, the substance of the notice, the 

‘‘NYSE Data’’ labeling requirement and 

the NYSE-Only Vendor’s obligation to 

impose the below-described 

Syndication Requirements on other Web 

site proprietors. In addition, Exhibit C 

will specify that the NYSE-Only 

Vendor’s authorization to provide the 

service will terminate at the expiration 

date of the pilot program unless the 

Exchange submits a proposed rule 

change to extend the program or to 

make it permanent and the Commission 

approves that proposed rule change. 

Finally, because of the experimental 

nature of the program, Exhibit C will 

require NYSE-Only Vendors to share 

with the Exchange any research they 

may conduct regarding the pilot 

program or the results of their 

experience with the program and to 

consult with the Exchange regarding 

their views of NYSE Real-Time Trade 

Prices. 

iv. Syndication. In addition to 

allowing an NYSE-Only Vendor to make 

NYSE Trade Prices available on its Web 

site, the pilot program will also allow 

NYSE-Only Vendors to syndicate the 

service by arranging with other Web site 

proprietors to link any such other 

proprietor’s Web site to the NYSE-Only 

Vendor’s NYSE Trade Prices service. 

NYSE will allow NYSE-Only Vendors to 

syndicate their NYSE Trade Price 

services in this manner at no additional 

charge to the NYSE-Only Vendor or to 

the other Web site proprietors, subject to 

the following ‘‘Syndication 

Requirements’’: 

a. Each other Web site proprietor must 

provide the same readily visible 

hyperlink that the NYSE-Only Vendor 

must provide on its Web site: The 

hyperlink that will send the end-user to 

a warning notice about the end-user’s 

receipt and use of market data. 

b. Each other Web site proprietor 

must identify the NYSE trade price by 

placing the text ‘‘NYSE Data’’ in close 

proximity to the display of each NYSE 

Trade Price or series of NYSE Trade 

Prices, just as NYSE proposes to require 

NYSE–Only Vendors to do. 

c. Each other Web site proprietor must 

identify the NYSE–Only Vendor as the 

source of the NYSE Trade Price data in 

close proximity to the display of each 

NYSE Trade Price or series of NYSE 

Trade Prices. 

d. Each other Web site proprietor 

must agree not to provide NYSE Trade 

Prices in a context in which a trading or 

order-routing decision can be 

implemented unless the other Web site 

proprietor also provides consolidated 

displays of Network A last sale prices 

available in an equivalent manner. 

v. Duration of Pilot Program. The 

innovative nature of the pricing 

structure for NYSE Real-Time Trade 

Prices and the absence of administrative 

requirements pose potential regulatory 

and financial risks for both the 

Exchange and its customers. 

On the regulatory side, in Rule 

603(c)(1), the Commission specifies that 

unconsolidated data should not support 

trading and order routing functionality. 

The Exchange agrees with the 

Commission. It would be inappropriate 

for market professionals and investors to 

base trading and order-routing decisions 

and investment advice on one market’s 

last sale prices, which last sale prices 

exclude national best bids and offers, 

sizes and other data elements. The 

Exchange did not design the NYSE RealTime Trade Prices service for the 

purposes of trading and order-routing 

decisions and investment advice, yet the 

Exchange is concerned about its ability 

to monitor and prevent those 

unintended uses. 

On the financial side, the Exchange 

designed NYSE Real-Time Trade Prices 

as a low-cost service that will make realtime prices widely available to many 

millions of casual investors, will allow 

vendors to replace delayed prices 

services with real-time services, and 

will relieve vendors of all 

administrative burdens. However, the 

Exchange is concerned about the 

potential financial risk associated with 

market participants’ use of NYSE RealTime Trade Prices for the unintended 

purposes described above. 

Therefore, the Exchange proposes to 

test the NYSE Real-Time Trade Prices 

service for one year. The Exchange 

proposes to commence the pilot 

program at the end of the month in 

which the Commission approves the 

proposed rule change and to end the 

program one year from that date. During 

that year, the Exchange will closely 

monitor the use of the NYSE Real-Time 

Trade Prices service, including for any 

unintended uses of the product. Among 

other functions, the Exchange will 

consult with NYSE–Only vendors, will 

monitor the impact of the program on 

other market data services, will examine 

any abuses arising from the absence of 

contractual relationships with end-users 

and will assess whether the flat fee is set 

at the appropriate level and whether a 

different pricing metric would be 

preferable. 

Prior to the end of the one-year 

period, the Exchange will assess its 

experience with the product. It either 

will submit a proposed rule change that 

seeks to extend or modify the pilot 

program or to make it permanent, or 

will announce publicly that it does not 

seek to extend the pilot program beyond 

the one-year termination date. 

2. Statutory Basis 

The Exchange believes that its 

proposal 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 Exchange participants, issuers 

and other persons using its facilities. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

In proposing and adopting Regulation 

NMS, the Commission rescinded the 

prior prohibition on SROs from 

disseminating their trade reports 

independently,7 subjecting that 

distribution to the ‘‘fair and reasonable’’

and ‘‘not unreasonably discriminatory’’

standards that have historically 

governed the distribution of 

consolidated data.8 The Commission 

stated, ‘‘Given that * * * SROs will 

continue to transmit trades to the 

Networks pursuant to the Plans * * *, 


erjones on PRODPC74 with NOTICES
9820 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices 

9See Footnote 638 to Regulation NMS (Securities 

Exchange Act Release No. 51808; File No. S7–10–

04 (June 9, 2005), 70 FR 37495 (June 29, 2005)). 

10 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

the Commission believe [sic] that SROs 

and their members also should be free 

to distribute their trades 

independently.’’ 9

The Commission rescinded the 

prohibition in recognition of the fact 

that competition in the realm of SRO 

trade-report distribution would produce 

market forces and innovation that 

would benefit the investing public. By 

means of the pilot program, the 

Exchange would allow internet service 

providers and traditional vendors to test 

the viability of an alternative market 

data fee structure that does not exist 

today and to do so without the burden 

of the reporting, contracting and other 

administrative obligations associated 

with most other market data services. If 

they believe that the proposed fees 

would enable them to make market data 

available in the most cost-effective 

manner for them and their subscribers 

and customers, they will embrace the 

pilot program’s proposed fees. If not, 

they will continue to make consolidated 

last sale prices available pursuant to the 

Network A fees currently in effect under 

the CTA Plan. 

Given that the pilot program proposes 

to provide an alternative to existing fees 

and does not alter or rescind any 

existing fees, the Exchange 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. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange has discussed the 

proposed rules change with those 

entities that the Exchange believes 

would be the most likely to take 

advantage of the proposed NYSE RealTime Trade Prices service by becoming 

NYSE–Only Vendors. While those 

entities have not submitted formal, 

written comments on the proposal, the 

Exchange has incorporated some of their 

ideas into the proposal and the 

proposed rule change reflects their 

input. 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 

Within 35 days of the date of 

publication of this notice in the Federal 

Register or within such longer period (i) 

as the Commission may designate up to 

90 days of such date if it finds such 

longer period to be appropriate and 

publishes its reasons for so finding, or 

(ii) as to which the NYSE consents, the 

Commission will: 

A. By order approve such proposed 

rule change; or 

B. institute proceedings to determine 

whether the proposed rule change 

should be 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 

rule-comments@sec.gov. Please include 

File Number SR–NYSE–2007–04 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Nancy M. Morris, Secretary, 

Securities and Exchange Commission, 

Station Place, 100 F Street, NE., 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NYSE–2007–04. 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 inspection and copying in 

the Commission’s Public Reference 

Room. 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 publicly available. All 

submissions should refer to File 

Number SR–NYSE–2007–04 and should 

be submitted on or before March 26, 

2007. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.10

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–3750 Filed 3–2–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55339; File No. SR–

NYSEArca–2007–14] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing of Proposed 

Rule Change to Amend Existing Rules 

for Investment Company Units 

February 23, 2007. 

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 

8, 2007, NYSE Arca, Inc. (‘‘NYSE Arca’’

or ‘‘Exchange’’), through its wholly 

owned subsidiary NYSE Arca Equities, 

Inc. (‘‘NYSE Arca Equities’’), 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 substantially prepared by the 

Exchange. The Commission is 

publishing this notice and order to 

solicit comment on the proposed rule 

change from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

NYSE Arca, proposes to modify its 

listing standards applicable to 

Investment Company Units 

(‘‘Investment Company Units’’ or 

‘‘ICUs’’) by amending Commentary 

.01(b)(1) to NYSE Arca Equities Rule 

5.2(j)(3) to eliminate the requirement 

that the calculation methodology for the 

index underlying a series of ICUs must 

be one of those enumerated in the 

commentary. The text of the proposed 

rule change is available at NYSE Arca, 

the Commission’s Public Reference 

Room, and http://www.nysearca.com/ 

regulation/filings.asp. 


erjones on PRODPC74 with NOTICES