1280 Federal Register / Vol. 78, No. 5 / Tuesday, January 8, 2013 / Notices 

17 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)(iii). 

4 17 CFR 240.19b–4(f)(6). 

5See Securities Exchange Act Release No. 58877 

(October 29, 2008), 73 FR 65904 (November 5, 2008) 

(SR–NYSE–2008–108) (establishing the SLP Pilot). 

See also Securities Exchange Act Release Nos. 

59869 (May 6, 2009), 74 FR 22796 (May 14, 2009) 

(SR–NYSE–2009–46) (extending the operation of 

the SLP Pilot to October 1, 2009); 60756 (October 

1, 2009), 74 FR 51628 (October 7, 2009) (SR–NYSE– 

2009–100) (extending the operation of the NMM 

and the SLP Pilots to November 30, 2009); 61075 

(November 30, 2009), 74 FR 64112 (December 7, 

2009) (SR–NYSE–2009–119) (extending the 

operation of the SLP Pilot to March 30, 2010); 

61840 (April 5, 2010), 75 FR 18563 (April 12, 2010) 

(SR–NYSE–2010–28) (extending the operation of 

the SLP Pilot to September 30, 2010); 62813 

(September 1, 2010), 75 FR 54686 (September 8, 

2010) (SR–NYSE–2010–62) (extending the 

operation of the SLP Pilot to January 31, 2011); 

63616 (December 29, 2010), 76 FR 612 (January 5, 

2011) (SR–NYSE–2010–86) (extending the 

operation of the SLP Pilot to August 1, 2011); 64762 

(June 28, 2011), 76 FR 39145 (July 5, 2011) (SR– 

NYSE–2011–30) (extending the operation of the 

SLP Pilot to January 31, 2012); 66045 (December 23, 

2011), 76 FR 82342 (December 30, 2011) (SR– 

NYSE–2011–66) (extending the operation of the 

SLP Pilot to July 31, 2012); and 67493 (July 25, 

2012), 77 FR 45388 (July 31, 2012) (SR–NYSE– 

2012–27) (extending the operation of the SLP Pilot 

to January 31, 2013). 

6The information contained herein is a summary 

of the NMM Pilot and the SLP Pilot. See supra note 

5 for a fuller description of those pilots. 

7See Securities Exchange Act Release No. 58845 

(October 24, 2008), 73 FR 64379 (October 29, 2008) 

(SR–NYSE–2008–46). 

8See NYSE Rule 103. 

9See NYSE Rule 107B. The Exchange amended 

the monthly volume requirements to an ADV that 

is a specified percentage of NYSE CADV. See 

Securities Exchange Act Release No. 67759 (August 

20, 2012), 77 FR 54939 (September 6, 2012) (SR– 

NYSEMKT–2012–38). 

10The NMM Pilot was scheduled to expire on 

January 31, 2013. On December 18, 2012 the 

Exchange filed to extend the NMM Pilot until July 

31, 2013. See (SR–NYSE–2012–75). See also 

Securities Exchange Act Release Nos. 67494 (July 

25, 2012), 77 FR 45408 (July 31, 2012) (SR–NYSE– 

2012–26) (extending the operation of the NMM 

Pilot to January 31, 2013); 66046 (December 23, 

2011), 76 FR 82340 (December 30, 2011) (SR– 

NYSE–2011–65) (extending the operation of the 

NMM Pilot to July 31, 2012); 64761 (June 28, 2011) 

76 FR 39147 (July 5, 2011) (SR–NYSE–2011–29) 

(extending the operation of the NMM Pilot to 

January 31, 2012); 63618 (December 29, 2010) 76 FR 

617 (January 5, 2011) (SR–NYSE–2010–85) 

(extending the operation of the NMM Pilot to 

August 1, 2011); 62819 (September 1, 2010), 75 FR 

54937 (September 9, 2010) (SR–NYSE–2010–61) 

(extending the operation of the NMM Pilot to 

January 31, 2011); 61724 (March 17, 2010), 75 FR 

14221 (SR–NYSE–2010–25) (extending the 

operation of the NMM Pilot to September 30, 2010); 

and 61031 (November 19, 2009), 74 FR 62368 (SR– 

NYSE–2009–113) (extending the operation of the 

NMM Pilot to March 30, 2010). 

For the Commission by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2013–00122 Filed 1–7–13; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–68560; File No. SR–NYSE– 

2012–76] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Extending the 

Operation of its Supplemental Liquidity 

Providers Pilot (Rule 107B) Until the 

Earlier of the Securities and Exchange 

Commission’s Approval To Make Such 

Pilot Permanent or July 31, 2013 

January 2, 2013. 

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 December 

18, 2012, New York Stock Exchange 

LLC (the ‘‘Exchange’’ or ‘‘NYSE’’) 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 Exchange. The 

Exchange filed the proposal as a ‘‘noncontroversial’’ proposed rule change 

pursuant to Section 19(b)(3)(A)(iii) of 

the Act 3 and Rule 19b–4(f)(6) 

thereunder.4 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 extend the 

operation of its Supplemental Liquidity 

Providers Pilot (‘‘SLP Pilot’’ or ‘‘Pilot’’) 

(See Rule 107B), currently scheduled to 

expire on January 31, 2013, until the 

earlier of the Securities and Exchange 

Commission’s (‘‘Commission’’) approval 

to make such Pilot permanent or July 

31, 2013. The text of the proposed rule 

change is available on the Exchange’s 

Web site at www.nyse.com, 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 

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 the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to extend the 

operation of its SLP Pilot,5 currently 

scheduled to expire on January 31, 

2013, until the earlier of Commission 

approval to make such Pilot permanent 

or July 31, 2013. 

Background 6

In October 2008, the NYSE 

implemented significant changes to its 

market rules, execution technology and 

the rights and obligations of its market 

participants all of which were designed 

to improve execution quality on the 

Exchange. These changes are all 

elements of the Exchange’s enhanced 

market model referred to as the ‘‘New 

Market Model’’ (‘‘NMM Pilot’’).7 The 

SLP Pilot was launched in coordination 

with the NMM Pilot (see Rule 107B). 

As part of the NMM Pilot, NYSE 

eliminated the function of specialists on 

the Exchange creating a new category of 

market participant, the Designated 

Market Maker or DMM.8 Separately, the 

NYSE established the SLP Pilot, which 

established SLPs as a new class of 

market participants to supplement the 

liquidity provided by DMMs.9

The SLP Pilot is scheduled to end 

operation on January 31, 2013 or such 

earlier time as the Commission may 

determine to make the rules permanent. 

The Exchange is currently preparing a 

rule filing seeking permission to make 

the SLP Pilot permanent, but does not 

expect that filing to be completed and 

approved by the Commission before 

January 31, 2013.10

Proposal To Extend the Operation of the 

SLP Pilot 

The NYSE established the SLP Pilot to 

provide incentives for quoting, to 

enhance competition among the existing 

group of liquidity providers, including 

the DMMs, and add new competitive 

market participants. The Exchange 

believes that the SLP Pilot, in 

coordination with the NMM Pilot, 

allows the Exchange to provide its 

market participants with a trading 

venue that utilizes an enhanced market 

structure to encourage the addition of 

liquidity, facilitate the trading of larger 

orders more efficiently and operates to 


srobinson on DSK4SPTVN1PROD with 
Federal Register / Vol. 78, No. 5 / Tuesday, January 8, 2013 / Notices 1281 

11The NYSE MKT SLP Pilot (NYSE MKT Rule 

107B—Equities) is also being extended until July 

31, 2013 or until the Commission approves it as 

permanent (See SR–NYSEMKT–2012–85). 

12 15 U.S.C. 78s(b)(3)(A). 

13 17 CFR 240.19b–4(f)(6). 

14 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

reward aggressive liquidity providers. 

As such, the Exchange believes that the 

rules governing the SLP Pilot (Rule 

107B) should be made permanent. 

Through this filing the Exchange seeks 

to extend the current operation of the 

SLP Pilot until July 31, 2013, in order 

to allow the Exchange to formally 

submit a filing to the Commission to 

convert the Pilot rule to a permanent 

rule.11

2. Statutory Basis 

The basis under the Securities 

Exchange Act of 1934 (the ‘‘Act’’) for 

this proposed rule change is the 

requirement under Section 6(b)(5) that 

an exchange have rules that are 

designed to promote just and equitable 

principles of trade, to remove 

impediments to and perfect the 

mechanism of a free and open market 

and a national market system and, in 

general, to protect investors and the 

public interest. The Exchange believes 

that the instant filing is consistent with 

these principles because the SLP Pilot 

provides its market participants with a 

trading venue that utilizes an enhanced 

market structure to encourage the 

addition of liquidity and operates to 

reward aggressive liquidity providers. 

Moreover, the instant filing requesting 

an extension of the SLP Pilot will 

permit adequate time for: (i) The 

Exchange to prepare and submit a filing 

to make the rules governing the SLP 

Pilot permanent; (ii) public notice and 

comment; and (iii) completion of the 

19b–4 approval process. 

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 

Because the foregoing proposed rule 

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, 

provided that the self-regulatory 

organization has given the Commission 

written notice of its intent to file 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 proposed rule change 

has become effective pursuant to 

Section 19(b)(3)(A) of the Act 12 and 

Rule 19b–4(f)(6) thereunder.13

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. 

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–NYSE–2012–76 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–NYSE–2012–76. 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 

10:00 a.m. and 3:00 p.m. Copies of such 

filing also will be available for 

inspection and copying at the principal 

office of the Exchange. All comments 

received will be posted without change; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. All submissions 

should refer to File Number SR–NYSE– 

2012–76 and should be submitted on or 

before January 29, 2013. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2013–00081 Filed 1–7–13; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–68563; File No. SR–ICEEU– 

2012–11] 

Self-Regulatory Organizations; ICE 

Clear Europe Limited; Notice of Filing 

of Proposed Rule Change Relating to 

Enhanced Margin Methodology 

January 2, 2013. 

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 December 

28, 2012, ICE Clear Europe Limited 

(‘‘ICE Clear Europe’’) 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 

primarily by ICE Clear Europe. 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 

ICE Clear Europe proposes to 

implement an enhanced margin 

methodology (‘‘Decomp Model’’) that 

addresses the risk of both index and 


srobinson on DSK4SPTVN1PROD with