Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 30349 

8 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3See Exchange Act Release No. 59956 (May 21, 

2009), 74 FR 25782 (May 29, 2009) (SR– 

NYSEAmex-2009–15) (Order Granting Accelerated 

Approval of Proposed Rule Change, as Modified by 

Amendment No. 1, Amending Rule 935NY—Order 

Exposure Requirements to Reduce the Exposure 

Periods from Three Seconds to One Second). 

4See Exchange Act Release No. 59557 (March 11, 

2009), 74 FR 11389 (March 17, 2009) (SR– 

NASDAQ–2009–017). 

5A Firm ID is a 5 character identification code 

(letters and/or numbers) Each ATP Holder is 

assigned its own unique Firm ID. 

6The Chicago Board Options Exchange (‘‘CBOE’’) 

also allows attributable orders. See Exchange Act 

Release No, 58394 (August 20, 2008), 73 FR 50379 

(August 26, 2008) (SR–CBOE–2008–85) (Notice of 

Filing and Immediate Effectiveness of a Proposed 

Rule Change Adopting A New Order Type). 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.8

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–14959 Filed 6–24–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60140; File No. SR– 

NYSEAmex-2009–27] 

Self-Regulatory Organizations; NYSE 

Amex LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Relating to WAIT 

Modifiers, PNP Plus Orders, and 

Attributable Orders 

June 18, 2009. 

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 June 8, 

2009, NYSE Amex LLC (‘‘NYSE Amex’’ 

or the ‘‘Exchange’’) 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 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 

Rule 900.3NY to (i) offer the ‘‘WAIT’’ 

order modifier for use with orders 

entered into the NYSE Amex System; 

(ii) allow the use of attributable orders 

(iii) offer PNP Plus orders. The WAIT 

modifier is designed to enhance 

compliance with the order exposure 

requirement of NYSE Amex Rule 

935NY. Attributable orders allow users 

to voluntarily display their firm IDs on 

the orders. PNP Plus orders allow Users 

greater control over the circumstances of 

order execution. The text of the 

proposed rule change is attached as 

Exhibit 5 to the 19b–4 form. A copy of 

this filing is available on the Exchange’s 

Web site at http://www.nyse.com, at the 

Exchange’s principal office and at the 

Commission’s Public Reference Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, the 

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 

WAIT Orders 

On May 21, 2009, the Securities and 

Exchange Commission approved NYSE 

Amex’s proposal to reduce the order 

exposure requirement of Rule 935NY 

from three seconds to one second.3 Rule 

935NY prohibits Users from executing 

as principal orders they represent as 

agent unless (i) agency orders are first 

exposed on the Exchange for at least one 

(1) second or (ii) the User has been 

bidding or offering on the Exchange for 

at least one (1) second prior to receiving 

an agency order that is executable 

against such bid or offer. This Rule 

insures that a User does not gain at the 

expense of customers by depriving them 

of the opportunity to interact with 

orders in the NYSE Amex System. 

Users that enter agency orders into the 

NYSE Amex System have noted the 

proposal by the NASDAQ Options 

Market (‘‘NOM’’) for a WAIT order 

modifier,4 and have asked the Exchange 

to develop an automated mechanism 

that permits them to enter orders into 

the NYSE Amex System as soon as the 

orders are received but that also 

prevents them from interacting with 

their own agency orders in violation of 

the order exposure requirement. NYSE 

Amex believes this is an efficient use of 

resources because it will allow NYSE 

Amex to program its System once rather 

than have multiple Users re-program 

their systems. 

In order to accomplish that request, 

NYSE Amex has developed the ‘‘WAIT’’ 

modifier which can be appended to an 

order prior to entry into the NYSE Amex 

System. The WAIT modifier will 

instruct the System to wait precisely 

one second from the time of order entry 

before processing the order in 

accordance with the other instructions 

attached to that order. Upon expiration 

of the one-second WAIT period, the 

System will time stamp, route, display, 

or execute the order in accordance with 

the entering party’s other order entry 

instructions. Thus, the WAIT modifier 

does not affect the existing display, 

routing, or execution priorities of the 

NYSE Amex System or any other 

obligations of Users as set forth in the 

NYSE Amex rules. 

Orders designated with the WAIT 

modifier are independent of all other 

orders, including an agency order that is 

being exposed pursuant to Rule 935NY. 

WAIT orders are not associated or in 

any way linked to another order entered 

into the System, as is the case with 

certain facilitation orders at other 

options exchanges. The System will 

process the WAIT order even if a 

customer order entered into the System 

simultaneously with the WAIT order 

has been executed or cancelled during 

the WAIT second, unless the WAIT 

order itself is modified or cancelled 

pursuant to System rules. As a result, 

there is no guarantee that an order 

designated as WAIT will execute against 

another specific order. Use of the WAIT 

modifier is completely voluntary. 

Attributable Orders 

The Exchange proposes to modify 

Rule 900.3NY (Orders Defined) to allow 

for the submission of attributable orders. 

These orders allow users to voluntarily 

display their firm IDs on the orders.5

The NASDAQ Options Market, LLC 

(‘‘NOM’’) currently allows its 

participants to submit attributable 

orders (See NOM Chapter VI, Section 

(1)(d)(1)).6 As proposed, the Exchange 

may limit the processes for which 

attributable orders will be available. 

This proposal is responsive to requests 

by Exchange Users who believe that 

enhanced executions may be obtained if 

Firm ID is allowed on orders (on a 

voluntary basis). 


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30350 Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 

7See NYSE Arca Equities Rule 7.31(w)(1). 

8 15 U.S.C. 78s(b)(3)(A)(iii). 

9 17 CFR 240.19b–4(f)(6). 

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

11 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires the Exchange to give the 

Commission written notice of the Exchange’s intent 

to file the proposed rule change along with a brief 

description and text of the proposed rule change, 

at least five business days prior to the date of filing 

of the proposed rule change, or such shorter time 

as designated by the Commission. The Exchange 

has satisfied the pre-filing requirement. 

12See, e.g., Securities Exchange Act Release No. 

59737 (April 9, 2009) 74 FR 18018 (April 20, 2009) 

(SR–NYSEArca–2009–27) (adopting ‘‘WAIT’’ order 

modifier, attributable orders, and PNP Plus order 

type). 

13For 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). 

PNP Plus 

As part of its continuing efforts to 

enhance participation on the Exchange, 

and provide additional tools to control 

the circumstances in which orders are 

executed, NYSE Amex proposes to 

adopt an order type known as ‘‘PNP 

Plus.’’ PNP Plus Orders are currently 

offered on the NYSE Arca Equities 

market.7

A PNP Order is an order entered into 

the NYSE Amex System for execution 

on the Exchange, but not for routing to 

away markets. Because of the condition 

to not route PNP orders, they are 

cancelled if they would otherwise lock 

or cross the NBBO. 

Customers have requested that the 

exchange develop a PNP Order type that 

would, if marketable against the NBBO 

but not executable on the Exchange, be 

represented in the Exchange’s 

disseminated market by re-pricing the 

order. Specifically, if posting a PNP Plus 

order or a portion thereof would 

otherwise result in locking or crossing 

the NBBO, the PNP order would 

automatically be re-priced to be one 

Minimum Price Valuation (‘‘MPV’’) 

greater than the NBBO bid (for sell 

orders) or one MPV less than the NBBO 

offer (for buy orders), thus avoiding 

locking or crossing the NBBO. The repriced bid or offer is included in the 

Exchange’s disseminated quote. 

If the NBBO changes, and the order is 

marketable against the new NBBO, but 

still not executable on the Exchange, the 

PNP Plus order would again be repriced to be one MPV away from the 

NBBO. When re-priced, the PNP Plus 

order is re-ranked at the new price. The 

order would continue to be re-priced 

and re-ranked with each change in the 

NBBO, until such time that the NBBO 

moves such that the original price of the 

PNP Plus Order would no longer lock or 

cross the NBBO. The PNP Plus Order 

would then automatically be re-priced 

back to its original limit price and reranked in the Consolidated Book. The 

PNP Plus Order will not be re-priced if 

the order becomes locked or crossed by 

another market. 

The Exchange believes that the 

implementation of the aforementioned 

rule change modifying NYSE Amex 

order entry options will enhance 

compliance with NYSE Amex rules, 

preserve order execution opportunities 

on the NYSE Amex market, provide 

greater control over the circumstances of 

executions, and provide an opportunity 

for enhanced executions. 

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with and 

furthers the objectives of Section 6(b)(5) 

of the Act, in that it is designed to 

promote just and equitable principles of 

trade, remove impediments to and 

perfect the mechanisms of a free and 

open market and a national market 

system and, in general, to protect 

investors and the public interest, by 

providing investors with additional 

order types that allow greater flexibility 

in maintaining compliance with the 

rules, or providing an opportunity for 

enhanced executions, or managing the 

circumstances in which their orders are 

executed. 

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 8 and Rule 

19b–4(f)(6) thereunder.9 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 10 and Rule 19b–4(f)(6) 

thereunder.11

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 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest 

because the proposed rule change is 

based on existing rules of other 

exchanges 12 and does not appear to 

present any novel or significant issues. 

The Commission hereby grants the 

Exchange’s request.13

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission may summarily abrogate 

such rule change if it appears to the 

Commission that such action is 

necessary or appropriate in the public 

interest, for the protection of investors, 

or otherwise in furtherance of the 

purposes of the Act. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an e-mail to rulecomments@sec.gov Please include File 

Number SR–NYSEAmex–2009–27 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–NYSEAmex–2009–27. 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 


sroberts on PROD1PC70 with NOTICES
Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 30351 

14 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. 

4An Investment Company Unit is a security that 

represents an interest in a registered investment 

company that holds securities comprising, or 

otherwise based on or representing an interest in, 

an index or portfolio of securities (or holds 

securities in another registered investment 

company that holds securities comprising, or 

otherwise based on or representing an interest in, 

an index or portfolio of securities). See NYSE Arca 

Equities Rule 5.2(j)(3)(A). 

5See the Trust’s Registration Statement on Form 

N–1A, dated June 2, 2009 (File Nos. 333–89822 and 

811–21114) (‘‘Registration Statement’’). 

6Specifically, the Index fails to meet the 

requirement that the most heavily weighted 

component stock shall not exceed 25% of the 

weight of the Index. As of May 27, 2009, the most 

heavily weighted component stock (America Movil) 

represented 32.65% of the Index weight. In 

addition, the Index fails to meet the requirement 

that the five most heavily weighted component 

stocks shall not exceed 60% of the weight of the 

Index. As of May 27, 2009, the five most heavily 

weighted component stocks represented 60.64% of 

the Index weight. 

7 17 CFR 240.10A–3. 

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, 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 will also be available 

for inspection and copying at the 

principal office of the self-regulatory 

organization. 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– 

NYSEAmex–2009–27 and should be 

submitted on or before July 16, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–14961 Filed 6–24–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60128; File No. SR– 

NYSEArca–2009–53] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change Relating to the Listing 

and Trading of ProShares UltraShort 

MSCI Mexico Investable Market Fund 

June 17, 2009. 

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

Securities Exchange Act of 1934 

(‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that on June 12, 

2009, NYSE Arca, Inc. (‘‘NYSE Arca’’ or 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘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 Substance of 

the Proposed Rule Change 

The Exchange proposes to list and 

trade shares (‘‘Shares’’) of the following 

fund of the ProShares Trust (‘‘Trust’’): 

ProShares UltraShort MSCI Mexico 

Investable Market Fund. The text of the 

proposed rule change is available on the 

Exchange’s Web site at http:// 

www.nyse.com, at the Exchange’s 

principal office and at the Public 

Reference Room of the Commission. 

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 

The Exchange proposes to list and 

trade the Shares of the following fund 

under NYSE Arca Equities Rule 5.2(j)(3), 

the Exchange’s listing standards for 

Investment Company Units (‘‘ICUs’’): 4

ProShares UltraShort MSCI Mexico 

Investable Market Fund (the ‘‘Fund’’). 

The Fund is an ‘‘index fund’’ that seeks 

to provide daily investment results that, 

before fees and expenses, correspond to 

twice the inverse (¥200%) of the daily 

performance of the MSCI Mexico 

Investable Market Index (‘‘Index’’). The 

Fund does not seek to achieve its stated 

objective over a period of time greater 

than one day. 

According to the Trust’s Registration 

Statement,5 the Index measures the 

performance of the Mexican equity 

market. The Index is a capitalizationweighted index that aims to capture 

99% of the publicly available total 

market capitalization. Component 

companies are adjusted for available 

float and must meet objective criteria for 

inclusion in the Index, taking into 

consideration unavailable strategic 

shareholdings and limitations to foreign 

ownership. As of March 31, 2009, the 

Index was concentrated in the 

telecommunications services industry 

group, which comprised 43% of the 

market capitalization of the Index, and 

included companies with 

capitalizations between $13 million and 

$26 billion. The average capitalization 

of the companies comprising the Index 

was approximately $1.7 billion. 

The Exchange is submitting this 

proposed rule change because the Index 

for the Fund does not meet all of the 

‘‘generic’’ listing requirements of 

Commentary .01(a)(B) to NYSE Arca 

Equities Rule 5.2(j)(3) applicable to 

listing of ICUs based on international or 

global indexes. The Index meets all such 

requirements except for those set forth 

in Commentary .01(a)(B)(3).6 The 

Exchange represents that (1) except for 

the requirement under Commentary 

.01(a)(B)(3) to NYSE Arca Equities Rule 

5.2(j)(3) that the most heavily weighted 

component stock shall not exceed 25% 

of the weight of the Index and that the 

five most heavily weighted component 

stocks shall not exceed 60% of the 

weight of the Index, the Shares of the 

Fund currently satisfy all of the generic 

listing standards under NYSE Arca 

Equities Rule 5.2(j)(3); (2) the continued 

listing standards under NYSE Arca 

Equities Rules 5.2(j)(3) and 5.5(g)(2) 

applicable to ICUs shall apply to the 

Shares; and (3) the Trust is required to 

comply with Rule 10A–3 7 under the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) for the initial and continued 

listing of the Shares. In addition, the 

Exchange represents that the Shares will 

comply with all other requirements 

applicable to ICUs including, but not 

limited to, requirements relating to the 

dissemination of key information such 

as the Index value and Intraday 

Indicative Value, rules governing the 

trading of equity securities, trading 


sroberts on PROD1PC70 with NOTICES