13168 Federal Register / Vol. 77, No. 43 / Monday, March 5, 2012 / Notices 

12 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4See SR–NYSEArca–2012–15 (filed February 9, 

2012). 

5See e.g., Securities Exchange Act Release Nos. 

63843 (February 4, 2011), 76 FR 7884 (February 11, 

2011) (SR–ISE–2010–115); and 63314 (November 

12, 2010), 75 FR 70957 (November 19, 2010) (SR– 

CBOE–2010–084). 

6See e.g., Securities Exchange Act Release No. 

64699 (June 17, 2011), 76 FR 36945 (June 23, 2011) 

(SR–CBOE–2011–056). 

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–2012–016. 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, 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–CBOE– 

2012–016 and should be submitted on 

or before March 26, 2012. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.12

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2012–5277 Filed 3–2–12; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–66483; File No. SR– 

NYSEARCA–2012–016] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Filing the Content Outline 

and Selection Specifications for the 

Proprietary Traders Qualification 

Examination (‘‘Series 56’’) Program 

February 28, 2012. 

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 February 

17, 2012, 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 and II 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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of the Substance 

of the Proposed Rule Change 

The Exchange proposes to file the 

content outline and selection 

specifications for the Proprietary 

Traders Qualification Examination 

(‘‘Series 56’’) program. The text of the 

proposed rule change is available at the 

Exchange, the Commission’s Public 

Reference Room, and www.nyse.com. 

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 

Recently, the Exchange filed a 

proposed rule change to recognize a 

new category of limited representative 

registration for proprietary traders.4

Specifically, the Exchange will 

recognize the new registration category, 

‘‘Proprietary Trader,’’ and the new 

examination, the Series 56. The new 

Proprietary Trader category will be 

limited to persons engaged solely in 

proprietary trading. 

The Exchange has been working with 

the Financial Industry Regulatory 

Authority (‘‘FINRA’’) and certain other 

exchanges, many of which have recently 

enhanced their registration 

requirements to require the registration 

of associated persons,5 to develop the 

content outline and qualification 

examination that would be applicable to 

proprietary traders. The Series 56 

examination program is shared by the 

Exchange and the following selfregulatory organizations (‘‘SROs’’): 

Boston Options Exchange; C2 Options 

Exchange, Incorporated; Chicago Board 

Options Exchange, Incorporated; 

Chicago Stock Exchange, Incorporated; 

International Securities Exchange, LLC; 

The NASDAQ Stock Market, NASDAQ 

OMX BX, Inc.; NASDAQ OMX PHLX 

LLC; National Stock Exchange, 

Incorporated; New York Stock Exchange 

LLC; and NYSE Amex LLC. Upon 

request by the SROs referenced above, 

FINRA staff convened a committee of 

industry representatives, Exchange staff 

and staff from the other SROs referenced 

above to develop the criteria for the 

Series 56 examination program. Certain 

exchanges have submitted filings to the 

Commission to utilize the Series 56.6

The Series 56 examination tests a 

candidate’s knowledge of proprietary 

trading generally and the industry rules 

applicable to trading of equity securities 

and listed options contracts. The Series 

56 examination covers, among other 

things, recordkeeping and recording 

requirements; types and characteristics 

of securities and investments; trading 

practices; and display. execution, and 

trading systems. While the examination 


erowe on DSK2VPTVN1PROD with NOTICES
Federal Register / Vol. 77, No. 43 / Monday, March 5, 2012 / Notices 13169 

7Proprietary trading firms do not have customers. 

8 15 U.S.C. 78f(b). 

9 15 U.S.C. 78f(c)(3)(B). 

10 15 U.S.C. 78s(b)(3)(A)(iii). 

11 17 CFR 240.19b–4(f)(6). 

12 17 CFR 240.19b–4(f)(6). 

13 17 CFR 240.19b–4(f)(6)(iii). 

14For 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). 

is primarily dedicated to topics related 

to proprietary trading, the Series 56 

examination also covers a few general 

concepts relating to customers.7

The qualification examination 

consists of 100 multiple choice 

questions. Candidates will have 150 

minutes to complete the exam. The 

content outline describes the following 

topical sections comprising the 

examination: Personnel, Business 

Conduct, and Recordkeeping and 

Reporting Requirements, nine questions; 

Markets, Market Participants, 

Exchanges, and SROs, eight questions; 

Types and Characteristics of Securities 

and Investments, 20 questions; Trading 

Practices and Prohibited Acts, 50 

questions; and Display, Execution, and 

Trading Systems, 13 questions. 

Representatives from the applicable 

SROs intend to meet on a periodic basis 

to evaluate and, as necessary, update the 

Series 56 examination program. 

The Exchange understands that the 

other applicable SROs will also file with 

the Commission similar filings 

regarding the Series 56 examination 

program. The Exchange proposes to 

implement the Series 56 examination 

program upon availability in Web CRD 

and notification to its membership. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Securities Exchange Act of 1934 

(the ‘‘Act’’) 8 in general, and furthers the 

objectives of Section 6(c)(3)(B) of the 

Act,9 pursuant to which a national 

securities exchange prescribes standards 

of training, experience and competence 

for members and their associated 

persons, in particular, by offering a new 

qualification examination for 

proprietary traders. This filing provides 

the content outline and relevant 

specifications for the Series 56 

examination program, which the 

Exchange believes establishes the 

appropriate qualifications for this new 

registration category because it tests the 

knowledge generally applicable to 

proprietary trading. 

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. 

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 Exchange has filed the proposed 

rule change pursuant to Section 

19(b)(3)(A)(iii) of the Act 10 and Rule 

19b–4(f)(6) thereunder.11 Because the 

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 

prior to 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, the 

proposed rule change has become 

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

of the Act and Rule 19b–4(f)(6)(iii) 

thereunder. 

A proposed rule change filed under 

Rule 19b–4(f)(6)12 normally does not 

become operative prior to 30 days after 

the date of the filing. However, pursuant 

to Rule 19b4(f)(6)(iii),13 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 

the proposal may become operative 

immediately upon filing. 

The Commission believes that it is 

consistent with the protection of 

investors and the public interest to 

waive the 30-day operative delay. 

Waiver of the 30-day operative delay 

will allow persons engaged solely in 

proprietary trading to use the 

Proprietary Traders Qualification 

Examination (‘‘Series 56’’) as soon as it 

is available for NYSEArca in Web CRD. 

Therefore, the Commission designates 

the proposal operative upon filing.14

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. 

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 rulecomments@sec.gov. Please include File 

Number SR–NYSEARCA–2012–016 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–2012–016. 

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, 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– 

NYSEARCA–2012–016 and should be 

submitted on or before March 26, 2012. 


erowe on DSK2VPTVN1PROD with NOTICES
13170 Federal Register / Vol. 77, No. 43 / Monday, March 5, 2012 / Notices 

15 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4See SR–NYSEAmex–2012–11 (filed February 9, 

2012). 

5See e.g., Securities Exchange Act Release Nos. 

63843 (February 4, 2011), 76 FR 7884 (February 11, 

2011) (SR–ISE–2010–115); and 63314 (November 

12, 2010), 75 FR 70957 (November 19, 2010) (SR– 

CBOE–2010–084). 

6See e.g., Securities Exchange Act Release No. 

64699 (June 17, 2011), 76 FR 36945 (June 23, 2011) 

(SR–CBOE–2011–056). 

7Proprietary trading firms do not have customers. 

8 15 U.S.C. 78f(b). 

9 15 U.S.C. 78f(c)(3)(B). 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2012–5276 Filed 3–2–12; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–66482; File No. SR– 

NYSEAMEX–2012–013] 

Self-Regulatory Organizations; NYSE 

Amex LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Filing the Content Outline 

and Selection Specifications for the 

Proprietary Traders Qualification 

Examination (‘‘Series 56’’) Program 

February 28, 2012. 

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 February 

14, 2012, NYSE Amex LLC (the 

‘‘Exchange’’ or ‘‘NYSE Amex’’) 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 selfregulatory organization. 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 the Substance 

of the Proposed Rule Change 

The Exchange proposes to file the 

content outline and selection 

specifications for the Proprietary 

Traders Qualification Examination 

(‘‘Series 56’’) program. The text of the 

proposed rule change is available at the 

Exchange, the Commission’s Public 

Reference Room, and www.nyse.com. 

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 

Recently, the Exchange filed a 

proposed rule change to recognize a 

new category of limited representative 

registration for proprietary traders.4

Specifically, the Exchange will 

recognize the new registration category, 

‘‘Proprietary Trader,’’ and the new 

examination, the Series 56. The new 

Proprietary Trader category will be 

limited to persons engaged solely in 

proprietary trading. 

The Exchange has been working with 

the Financial Industry Regulatory 

Authority (‘‘FINRA’’) and certain other 

exchanges, many of which have recently 

enhanced their registration 

requirements to require the registration 

of associated persons,5 to develop the 

content outline and qualification 

examination that would be applicable to 

proprietary traders. The Series 56 

examination program is shared by the 

Exchange and the following selfregulatory organizations (‘‘SROs’’): 

Boston Options Exchange; C2 Options 

Exchange, Incorporated; Chicago Board 

Options Exchange, Incorporated; 

Chicago Stock Exchange, Incorporated; 

International Securities Exchange, LLC; 

The NASDAQ Stock Market, NASDAQ 

OMX BX, Inc.; NASDAQ OMX PHLX 

LLC; National Stock Exchange, 

Incorporated; New York Stock Exchange 

LLC; and NYSE Arca, Inc. Upon request 

by the SROs referenced above, FINRA 

staff convened committee of industry 

representatives, Exchange staff and staff 

from the other SROs referenced above to 

develop the criteria for the Series 56 

examination program. Certain 

exchanges have submitted filings to the 

Commission to utilize the Series 56.6

The Series 56 examination tests a 

candidate’s knowledge of proprietary 

trading generally and the industry rules 

applicable to trading of equity securities 

and listed options contracts. The Series 

56 examination covers, among other 

things, recordkeeping and recording 

requirements; types and characteristics 

of securities and investments; trading 

practices; and display, execution, and 

trading systems. While the examination 

is primarily dedicated to topics related 

to proprietary trading, the Series 56 

examination also covers a few general 

concepts relating to customers.7

The qualification examination 

consists of 100 multiple choice 

questions. Candidates will have 150 

minutes to complete the exam. The 

content outline describes the following 

topical sections comprising the 

examination: Personnel, Business 

Conduct, and Recordkeeping and 

Reporting Requirements, nine questions; 

Markets, Market Participants, 

Exchanges, and SROs, eight questions; 

Types and Characteristics of Securities 

and Investments, 20 questions; Trading 

Practices and Prohibited Acts, 50 

questions; and Display, Execution, and 

Trading Systems, 13 questions. 

Representatives from the applicable 

SROs intend to meet on a periodic basis 

to evaluate and, as necessary, update the 

Series 56 examination program. 

The Exchange understands that the 

other applicable SROs will also file with 

the Commission similar filings 

regarding the Series 56 examination 

program. The Exchange proposes to 

implement the Series 56 examination 

program upon availability in Web CRD 

and notification to its membership. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Securities Exchange Act of 1934 

(the ‘‘Act’’) 8 in general, and furthers the 

objectives of Section 6(c)(3)(B) of the 

Act,9 pursuant to which a national 

securities exchange prescribes standards 

of training, experience and competence 

for members and their associated 

persons, in particular, by offering a new 

qualification examination for 

proprietary traders. This filing provides 

the content outline and relevant 

specifications for the Series 56 

examination program, which the 

Exchange believes establishes the 

appropriate qualifications for this new 

registration category because it tests the 

knowledge generally applicable to 

proprietary trading. 

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. 


erowe on DSK2VPTVN1PROD with NOTICES