21134 Federal Register / Vol. 77, No. 68 / Monday, April 9, 2012 / Notices 

11 15 U.S.C. 78s(b)(3)(A)(ii). 

12 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)(3)(A). 

4 17 CFR 240.19b–4(f)(2). 

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

6 17 CFR 240.19b–4(f)(6). 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were either 

solicited or received. 

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)(ii) of the Act.11 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 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 email to rulecomments@sec.gov. Please include File 

Number SR–NASDAQ–2012–037 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–2012–037. 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– 

NASDAQ–2012–037 and should be 

submitted on or before April 30, 2012. 

For the Commission, by the Division 

of Trading and Markets, pursuant to 

delegated authority.12

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. 2012–8431 Filed 4–6–12; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–66727; File No. SR–CBOE– 

2012–025] 

Self-Regulatory Organizations; 

Chicago Board Options Exchange, 

Incorporated; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change Relating to Exchange 

Trading Floor Booth Fees and Policy 

April 3, 2012. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’),1 and Rule 19b–4 thereunder,2

notice is hereby given that on March 26, 

2012, Chicago Board Options Exchange, 

Incorporated (‘‘CBOE’’ or the 

‘‘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 CBOE. CBOE has 

designated the proposed rule change as 

it pertains to fees for non-standard 

booths as ‘‘establishing or changing a 

due, fee or other charge’’ under Section 

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

4(f)(2) thereunder,4 which renders the 

proposal effective upon receipt of this 

filing by the Commission. Additionally, 

CBOE has designated the proposed rule 

change as it pertains to the Exchange’s 

trading floor booth policy as 

constituting a ‘‘non-controversial’’ rule 

change under Section 19(b)(3)(A) of the 

Act 5 and Rule 19b–4(f)(6) thereunder,6

which renders the proposal effective 

upon receipt of this filing by the 

Commission. 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 amend its 

Fees Schedule as it pertains to Exchange 

trading floor booth fees and to update 

the Exchange’s current policy regarding 

the rental and use of booths on the 

CBOE trading floor. The text of the 

proposed rule change is available on the 

Exchange’s Web site (http:// 

www.cboe.com/AboutCBOE/ 

CBOELegalRegulatoryHome.aspx), at 

the Exchange’s Office of the Secretary, 

and at the Commission’s Public 

Reference Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and the 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, 

CBOE 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. CBOE 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 

The purpose of the proposed rule 

change is to revise the Exchange’s Fees 

Schedule to include fees for a ‘‘nonstandard booth’’ (as defined below) and 

to update the Exchange’s policy 

(‘‘Policy’’) regarding the rental and use 

of booth space on the CBOE trading 

floor by Trading Permit Holder (‘‘TPH’’) 

organizations. 

Fees 

The Exchange has booth space located 

on its trading floor that it makes 


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7See CBOE Fees Schedule, Section 8(A). 8Securities Exchange Act Release No. 33972 

(April 28, 1994), 59 FR 23242 (May 5, 1994). 

available for rental to TPH 

organizations. These booths are located 

at various locations on the trading floor 

adjacent to the trading crowds where 

the actual CBOE trading activity takes 

place. The booths generally are used by 

TPH organizations to perform various 

functions in support of their CBOE 

trading activities. 

The Exchange Fees Schedule includes 

a monthly fee to rent a booth that is 

based on the location of the booth on 

the trading floor. The fee for booths 

located along the perimeter of the 

trading floor is $195 per month. The fee 

for booths located in the OEX, Dow 

Jones, MNX and VIX pits is $550 per 

month.7

The Exchange is proposing to revise 

the Exchange Fees Schedule to include 

fees for a larger type of booth for use by 

TPH organizations. This booth type is 

different in design and much bigger 

than a standard booth. These booths can 

range from several hundred square feet 

as compared to 4 square feet for a 

standard booth. 

The Exchange proposes to codify fees 

charged to TPH organizations for rental 

of these larger booths. The proposed 

fees would be reflected in Section 8 of 

the CBOE Fees Schedule as the fees for 

a ‘‘non-standard booth.’’ A TPH 

organization would pay the fees per 

square foot in the table below on a 

monthly basis for use of a non-standard 

booth: 

Booth size Per sq. ft. Per sq. ft. Per sq. ft. 

Extra-Large (1000 sq. ft. or greater) ..................... $5.50 ..................................... $5.34 ..................................... $5.23. 

Large (800–999 sq. ft.) .......................................... 8.00 ....................................... 7.76 ....................................... 7.60. 

Medium (401–799 sq. ft.) ...................................... 9.50 ....................................... 9.22 ....................................... 9.03. 

Small (400 sq. ft. or less) ...................................... 15.00 ..................................... 14.55 ..................................... 14.25. 

LENGTH OF LEASE ............................................. 1 Year ................................... 2 Years (97%) ....................... 3 Years (95%). 

The fee per square foot a TPH 

organization would pay for a nonstandard booth would be determined 

based on the size of the booth and 

length of the lease the TPH organization 

enters into with the Exchange. Greater 

booth size and longer lease terms would 

result in a reduced fee per square foot. 

Non-standard booths would be 

grouped into four size categories: Small 

(400 square feet or less), Medium (from 

401 to 799 square feet), Large (from 800 

to 999 square feet) and Extra-Large 

(1000 square feet or greater). As an 

example, the fee for a Small nonstandard booth leased for one year 

would be $15.00 per square foot. Greater 

booth size would result in a reduced fee 

per square foot. 

The amount of the fee per square foot 

would also be reduced based on the 

length of the lease. For example, the fee 

for a Small non-standard booth leased 

for two years would be $14.55 per 

square foot (a 3% discount from the fee 

for a one year lease) and the fee for a 

Small non-standard booth leased for 

three years would be $14.25 per square 

foot (a 5% discount from the fee for a 

one year lease). 

A TPH organization that terminates its 

lease prior to its expiration date would, 

on the effective date of such 

termination, pay to the Exchange an 

amount equal to twenty five percent 

(25%) of the balance of the monthly 

charges remaining in the lease term. In 

addition, a TPH Organization would be 

responsible for all costs associated with 

any modifications and alterations to any 

trading floor booths leased by the TPH 

Organization and would be required to 

reimburse CBOE for all costs incurred 

by CBOE in connection therewith. This 

fee would be reflected in Section 8 of 

the CBOE Fees Schedule as a ‘‘booth 

pass-through fee.’’ 

The proposed fees will take effect on 

April 1, 2012. 

Policy 

The Exchange memorialized the 

Policy and filed it with the Commission 

in 1994.8 The Exchange proposes to 

update the Policy in a few respects. 

First, the Exchange proposes to change 

references to ‘‘member organization’’ 

and ‘‘member firm’’ to ‘‘TPH 

Organization’’ and to replace a reference 

to the ‘‘Facilities Committee’’, which no 

longer exists, with ‘‘the Exchange’’. 

Second, the Exchange proposes to 

amend the Policy with respect to 

eligibility requirements for booths. The 

Policy currently sets forth four broad 

categories of TPH organizations that 

may rent booth space on the floor. These 

categories accommodate TPH 

organizations having the greatest need 

of working space in close proximity to 

CBOE trading activity, and they 

encompass almost all major types of 

CBOE TPH organizations. Market-maker 

organizations are the only major 

category that may not obtain a booth 

under the Policy. Clearing firms lease 

the majority of the booths on the trading 

floor and market-maker organizations 

customarily obtain booth space through 

their clearing firms. Until recent years, 

demand for booth space on the trading 

floor exceeded the supply. Prior to 

establishment of the Policy, the low 

supply of booths coupled with the fact 

that clearing firms leased most of the 

booths (many of which were used by 

their market-maker clients) meant there 

was little booth space on the floor to 

accommodate order flow providing 

firms. To help address this issue, 

market-maker organizations were not 

allowed to obtain a booth under the 

Policy since they could obtain booths 

through their clearing firms. At this 

time, there is an ample supply of booth 

space on the trading floor. Therefore, 

the Exchange believes there is no longer 

a need to prohibit market-maker 

organizations from directly leasing 

booths. The Exchange proposes to 

amend the Policy to provide that booths 

on the trading floor will be allocated to 

any TPH organization that is in good 

standing. 

No changes are proposed to the 

section of the Policy that addresses the 

potential future need for the adoption of 

allocation and assignment guidelines 

with respect to booth space. The 

Exchange has no such guidelines in 

effect today and does not currently 

envision implementing any in the 

foreseeable future. In the event that 

demand for booth space at some point 

threatens to exceed availability, the 

Exchange would establish allocation 

guidelines. The Policy informs TPH 

organizations of this possibility and 

identifies the general nature of the 

criteria upon which such guidelines 

would be based. Any such guidelines 

established by the Exchange would be 

filed with the Commission under 

Section 19(b) of the Act. 

At this time, the Exchange has ample 

space on its trading floor for booth 

space. The Exchange will consider any 

reasonable request from a TPH 

organization with respect to the 


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21136 Federal Register / Vol. 77, No. 68 / Monday, April 9, 2012 / Notices 

9The Agreement is non-negotiable and its terms 

are the same for every TPH organization. 

10Supra Footnote 8. 

11The form of the Agreement for non-standard 

booths provides that a TPH Organization may 

terminate the Agreement at any time for any reason 

upon at least one hundred eighty (180) days prior 

written notice to CBOE. 

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

13 15 U.S.C. 78f(b)(4). 

14 15 U.S.C. 78f(b)(5). 15 15 U.S.C. 78s(b)(3)(A). 

specifications for building a nonstandard booth. The Exchange may deny 

a request from a TPH organization to 

build a non-standard booth if the 

Exchange determines the request is 

unreasonable with respect to the 

specifications for the non-standard 

booth. A TPH organization that has been 

denied a request to build a non-standard 

booth may appeal the decision to the 

Appeals Committee under Chapter 19 of 

the Exchange’s rules. 

The Policy includes a section that sets 

forth the requirement that all TPH 

organizations renting booths execute a 

‘‘Trading Floor Booth Rental 

Agreement’’ (hereinafter, ‘‘Agreement’’) 

which sets forth the contractual terms, 

conditions and restrictions governing 

rental and use of booths by TPH 

organizations.9 A copy of the Agreement 

was included in the Exchange’s 1994 

rule filing noted above for the 

Commission’s information.10 The 

Agreement specifically sets forth the 

details of the parties’ contractual 

relationship regarding rental and use of 

the booths. Among other provisions, the 

Agreement includes specific provisions 

delineating the termination rights of 

both the TPH organization and the 

Exchange and sets forth a procedure for 

adding booths to and deleting booths 

from the Agreement. The Agreement 

also spells out requirements respecting 

the TPH’s use of the booths, such as 

those governing the installation of 

equipment, the conduct of business, and 

access of persons to the booths. 

The Exchange has updated the 

Agreement (which is now referred to as 

the Agreement for ‘‘standard booths’’) 

and created a separate form of the 

Agreement for non-standard booths. A 

copy of each form of Agreement is 

included with this filing in Exhibit 3. 

The forms are substantially similar 

except for the differences in the lease 

terms (standard booths are leased on a 

month-to-month basis), termination 

provisions 11 and applicable fees. The 

Exchange proposes to update this 

section of the Policy to set forth the 

requirement that all TPH organizations 

renting booths execute the applicable 

form of the Agreement. The Exchange 

will disseminate the updated Policy and 

forms of the Agreement to Trading 

Permit Holders by posting them on the 

Trading Permit Holder portion of the 

CBOE web site (www.cboe.org). 

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with Section 

6(b) of the Securities Exchange Act of 

1934 (‘‘Act’’),12 in general, and furthers 

the objectives of Section 6(b)(4) 13 of the 

Act in particular, in that it is designed 

to provide for the equitable allocation of 

reasonable dues, fees, and other charges 

among CBOE Trading Permit Holders, 

and the objectives of Section 6(b)(5) 14 of 

the Act in particular in that it is not 

designed to permit unfair 

discrimination between customers, 

issuers, brokers, or dealers. The 

Exchange believes the proposed fees for 

non-standard booths are reasonable 

because there are higher costs related to 

operation of these large size booths (e.g., 

utilities, routine maintenance, etc.) as 

compared with a standard booth. The 

Exchange believes the proposed fees are 

equitable and not unfairly 

discriminatory in that the fee per square 

foot each TPH organization would pay 

would be determined in an objective 

manner based on the size of the booth 

and length of the lease the TPH 

organization enters into with the 

Exchange. The proposed fees would be 

applied uniformly to all eligible TPH 

organizations that wish to use a nonstandard booth. 

In addition, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) requirements that the 

rules of an exchange be designed to 

promote just and equitable principles of 

trade, to prevent fraudulent and 

manipulative acts, to remove 

impediments to and to perfect the 

mechanism for a free and open market 

and a national market system, and, in 

general, to protect investors and the 

public interest. The proposed rule 

change would update the Policy to 

reflect non-standard booths and the 

requirement that TPH organizations 

enter into the applicable booth lease 

agreement as well as make other nonsubstantive changes that merely clarify 

the Policy and make it more accurate. 

The Exchange believes these changes 

are designed to promote just and 

equitable principles of trade by helping 

to make the Policy easier to understand 

and putting TPH organizations on notice 

of the new requirements for nonstandard booths. The Exchange believes 

that providing in the Policy for building 

non-standard booths for TPH 

organizations may help provide 

additional depth and liquidity to 

options traded on the CBOE trading 

floor by providing TPH organizations 

more booth space from which to execute 

additional options transactions, thereby 

removing impediments to and 

perfecting the mechanism for a free and 

open market and a national market 

system. 

The proposed rule change would also 

establish a standard for the Exchange’s 

consideration of requests to build nonstandard booths and an appeals process 

for denials of such requests. The 

Exchange believes the proposed 

standard and procedures for 

consideration of requests to build nonstandard booths and denials of such 

requests are reasonable and designed to 

promote just and equitable principles of 

trade in that they will help ensure 

Exchange decisions on building nonstandard booths are made in a fair and 

equitable manner while also protecting 

the Exchange by providing it with the 

ability to deny any unreasonable 

request. 

In addition, the proposed rule change 

would update the Policy to eliminate a 

prohibition against market-maker 

organizations directly leasing trading 

floor booths. Any TPH organization in 

good standing would be eligible to lease 

a booth. Therefore the Exchange 

believes the proposed rule change is not 

designed to permit unfair 

discrimination between TPH 

organizations in that it will help ensure 

that trading floor booths are leased to 

TPH organizations on equal and nondiscriminatory terms. 

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 

The Exchange neither solicited nor 

received comments on the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The portion of the foregoing rule 

change pertaining to fees for nonstandard booths has become effective 

pursuant to Section 19(b)(3)(A) 15 of the 


pmangrum on DSK3VPTVN1PROD with NOTICES
Federal Register / Vol. 77, No. 68 / Monday, April 9, 2012 / Notices 21137 

16 17 CFR 240.19b–4(f)(2). 

17 15 U.S.C. 78s(b)(3)(A). 

18 17 CFR 240.19b–4(f)(6). 

19 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3Section III of the Pricing Schedule includes 

options overlying equities, ETFs, ETNs, indexes and 

HOLDRs which are not listed on another exchange. 

4The Exchange defines a ‘‘professional’’ as any 

person or entity that (i) is not a broker or dealer in 

securities, and (ii) places more than 390 orders in 

listed options per day on average during a calendar 

month for its own beneficial account(s) (hereinafter 

‘‘Professional’’). 

5The term ‘‘Market Maker’’ is utilized herein to 

describe fees and rebates applicable to Specialists, 

Registered Options Traders, Streaming Quote 

Traders and Remote Streaming Quote Traders. 

Act and paragraph (f)(2) of Rule 19b–4 16

thereunder. 

Additionally, because the portion of 

the foregoing proposed rule change 

pertaining to the Exchange’s trading 

floor booth policy 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, it has 

become effective pursuant to Section 

19(b)(3)(A) of the Act 17 and Rule 19b– 

4(f)(6) thereunder.18

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 email to rulecomments@sec.gov. Please include File 

Number SR–CBOE–2012–025 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–2012–025. 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 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 offices 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–2012–025, and 

should be submitted on or before April 

30, 2012. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. 2012–8429 Filed 4–6–12; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–66721; File No. SR–Phlx– 

2012–34] 

Self-Regulatory Organizations; 

NASDAQ OMX PHLX LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Relating to 

Singly Listed Options 

April 3, 2012. 

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

Securities Exchange Act of 1934 

(‘‘Act’’),1 and Rule 19b–4 2 thereunder, 

notice is hereby given that, on March 

26, 2012, 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 proposes to amend 

Section III of the Exchange’s Pricing 

Schedule entitled ‘‘Singly Listed 

Options.’’ The Exchange also proposes 

to amend Section II of the Pricing 

Schedule entitled, ‘‘Equity Options 

Fees’’ to clarify text concerning rebates. 

While changes to the Pricing 

Schedule pursuant to this proposal are 

effective upon filing, the Exchange has 

designated certain changes be operative 

on April 2, 2012, namely the 

amendments to the Alpha Index 

Options Fees and the proposed MSCI 

Index Options Fees. The Exchange 

proposes the clarifying amendment in 

Section II be immediately effective. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://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. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend 

Section III 3 of the Exchange’s Pricing 

Schedule to: (1) Amend the Alpha Index 

Options Fees; and (ii) create fees for 

MSCI Index Options. With respect to the 

Alpha Index Options Fees, the Exchange 

is lowering the Customer fee and 

increasing the Professional,4 Market 

Maker,5 Firm and Broker-Dealer fees 

with respect to this index. Despite the 

increases, the fees will continue to be 

lower than the Options Transaction 

Charges for other Singly Listed Options. 


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