Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 30337 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4 15 U.S.C. 78s(b)(3)(A). 

5 17 CFR 240.19b–4(f)(6). 

6PRL orders are for a size within the standard 

unit (round-lot) of trading, which is 100 shares for 

most stocks, but contains a portion that is smaller 

than the standard unit of trading, e.g. 199 shares. 

It should be noted that for certain securities trading 

on the NYSE the standard unit of trading is 10 

shares. 

7See NYSE Rule 124(a). 

8 Id. Odd-lot orders are in effect netted against 

one another and executed; however, since the DMM 

is buying the same amount that he or she is selling, 

there is no economic consequence to the DMM in 

this type of pairing-off of orders. Any imbalance of 

buy or sell odd-lot market orders are executed 

against the DMM, up to the size of the round-lot 

transaction or the bid/offer size which ever is less. 

9The volume limitation in section (c) of the rule 

is defined as the lesser of either the number of 

shares in the last round-lot transaction or the 

number of shares available at the national best bid 

(in the case of an odd-lot order to sell), or the 

national best offer (in the case of an odd-lot order 

to buy). 

10Pursuant to NYSE Rule 124(d) odd-lot limit 

orders that are non-marketable upon receipt that 

become marketable are eligible to be netted and 

executed at the price of the next round-lot 

transaction. If an odd-lot limit order does not 

receive an execution pursuant to the netting 

provision, then the order is eligible to be executed, 

at its limit price, subject to the volume limitation 

of section (c) of the rule. 

11As with marketable odd-lot orders, nonmarketable odd-lot limit orders which would 

otherwise receive a partial execution will be 

executed in full. A non-marketable odd-lot limit 

order that becomes marketable, that remains 

unexecuted within 30 seconds of receipt will be 

executed, in time priority of receipt, except that the 

order will be executed at its limit price. 

period of 180 days, effective 

immediately. 

By the Commission. 

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. E9–14967 Filed 6–24–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60138; File No. SR–NYSE– 

2009–45] 

Self-Regulatory Organizations; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change by New York 

Stock Exchange LLC Amending NYSE 

Rule 124 To Clarify the Pricing 

Methodology for the Odd-Lot Portion 

of a Part of a Round-Lot Order; Clarify 

the Systems Capable of Accepting PRL 

Orders; and Clarify the Systems 

Capable of Accepting a Good ’Til 

Cancelled Order During the 

Implementation of Exchange System 

Enhancements 

June 18, 2009. 

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 June 8, 

2009, New York Stock Exchange LLC 

(‘‘NYSE’’ 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 self-regulatory 

organization. NYSE filed the proposed 

rule change pursuant to Section 

19(b)(3)(A) of the Act 4 and Rule 19b– 

4(f)(6) thereunder,5 which renders it 

effective upon filing with 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 Substance of 

the Proposed Rule Change 

The Exchange proposes to: (i) Amend 

NYSE Rule 124 (Odd-Lot Orders) to 

clarify the pricing methodology for the 

odd-lot portion of a part of a round-lot 

(‘‘PRL’’) order; (ii) clarify the systems 

capable of accepting PRL orders; and 

(iii) clarify the systems capable of 

accepting a Good ’Til Cancelled Order 

(‘‘GTC’’) during the implementation of 

Exchange system enhancements. The 

text of the proposed rule change is 

available at the Exchange, the 

Commission’s Public Reference Room, 

and http://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 

New York Stock Exchange LLC 

(‘‘NYSE’’ or the ‘‘Exchange’’) proposes 

to amend Exchange Rule 124 (Odd-Lot 

Orders) to clarify the: (i) Pricing 

methodology for the odd-lot portion of 

a part of a round-lot (‘‘PRL’’) 6 order; 

and (ii) systems capable of accepting 

PRL orders during the implementation 

of Exchange system enhancements. 

Background 

Currently, odd-lot orders on the 

Exchange are processed and executed 

systemically by an Exchange system 

designated solely for odd-lot orders (the 

‘‘Odd-lot System’’).7 The Odd-lot 

System executes all odd-lot orders 

against the Designated Marker Maker 

(‘‘DMM’’) as the contra party.8

Pursuant to NYSE Rule 124(c), after 

odd-lot market orders and marketable 

odd-lot limit orders are received by the 

Odd-lot System, they are automatically 

executed at the price of the next roundlot transaction in the subject security on 

the Exchange. Specifically, marketable 

odd-lot orders and marketable odd-lot 

limit orders are executed in time 

priority of receipt at the price of the 

next round-lot transaction, pursuant to 

the netting provision described in 

footnote 8. The imbalance of marketable 

odd-lot orders that do not receive an 

execution as a result of the netting 

provision are executed in time priority 

of receipt at the price of the National 

Best Bid or Offer (‘‘NBBO’’), subject to 

a volume limitation.9 Any imbalances of 

odd-lot limit orders that were nonmarketable upon receipt that 

subsequently become marketable 

receive an execution at their limit 

price.10 Marketable odd-lot orders, 

which would otherwise receive a partial 

execution pursuant to the volume 

limitation, are executed in full.11

Any marketable odd-lot orders that do 

not receive an execution because of the 

volume limitation are executed, in time 

priority of receipt at the price of the 

next round-lot transaction, following 

pricing and execution procedures 

described above. Marketable odd-lot 

orders (including odd-lot limit orders 

that were non-marketable upon receipt 

and subsequently become marketable) 

that remain unexecuted within 30 

seconds of receipt will be executed, in 

time priority of receipt, at the price of 

the NBBO (or at its limit price if the 

order is a non-marketable odd-lot limit 

order upon receipt that has become 

marketable). These orders are also 

subject to the volume limitation. 

Marketable odd-lot orders and nonmarketable odd-lot limit orders that 

have become marketable and remain 

unexecuted prior to the close of trading 

shall be executed, in time priority of 

receipt at the price of the closing 

transaction, subject to the netting 

provision and a volume restriction 

which is not to exceed the size of the 

closing transaction. 


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30338 Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 

12See Securities Exchange Act Release No. 56551 

(September 27, 2007), 72 FR 56415 (October 3, 

2007) (SR–NYSE–2007–82); See also Securities 

Exchange Act Release No. 49536 (April 7, 2004), 69 

FR 19890, 19893 (April 14, 2004) (SR–NYSE–2003– 

37); Securities Exchange Act Release No. 49745 

(May 20, 2004), 69 FR 29998 (May, 26, 2004) (SR– 

NYSE–2003–37). 

13See Securities Exchange Act Release No. 58184 

(July 17, 2008), 73 FR 42853 (July 23, 2008)(SR– 

NYSE–2008–46) (Key changes in this filing served 

to enhance the Exchange technology). 

14See Securities Exchange Act Release No. 59613 

(March 20, 2009), 74 FR 13486 (March 27, 2009) 

(SR–NYSE–2009–27). 

15This example assumes that the odd-lot portion 

of the PRL had priority of execution in the Odd-lot 

system because its original order entry time was 

12:00:00. 

PRL Pricing 

The Exchange believes that the most 

appropriate way to execute odd-lot 

orders is to represent them in the roundlot auction market where they would 

interact with all other market interest 

and be priced in accordance with 

supply and demand dynamics. The 

Exchange is committed to the goal of 

integrating odd-lots into the round-lot 

market and eliminating the separate 

handling of odd-lot and PRL 

transactions. However, until the 

requisite technology changes can be 

completed, the Exchange is proposing 

these modifications in order to further 

streamline the handling performed by 

its current systems. 

The Exchange amended the pricing 

methodology of NYSE Rule 124 as 

interim measures to accommodate the 

pricing and execution of odd-lot orders 

in a manner based on the prevailing 

market.12 Most recently, significant 

upgrades to the Exchange’s 

technology 13 made it possible for the 

Exchange systems that process orders 

sent to Display Book, the Exchange 

matching engine, to price odd-lot orders 

sent to the post that were consistent 

with the provisions NYSE Rule 124(c) 

and (d). 

On March 11, 2009, the Exchange 

filed with the Commission to amend 

NYSE Rule 124.40 to allow the odd-lot 

portion of PRLs to be executed in the 

Odd-lot System pursuant to the pricing 

provisions of NYSE Rule 124.14 As 

modified, the odd-lot portion of the PRL 

retains the time stamp of its original 

entry as a PRL and is sequenced for 

execution based on the initial entry time 

of the PRL. Once all round lot 

components of the PRL are fully 

executed, the odd-lot portion of the 

order is executed at a price consistent 

with other odd-lot orders subject to the 

provisions of NYSE Rule 124(c) and (d). 

Example: A marketable order to sell 

399 shares of security XYZ is received 

by Exchange systems at 12:00:00. The 99 

share portion of the order is eligible for 

execution only after the 300 share 

portion of the PRL order is sold. See 

table below. 

Time of execution Number of 

shares 

Price of 

execution Customer receives 

12:00:01 ................................................................................................. 100 $30.22 Report of Execution 100 shares at a price of 

$30.22. 

12:01:00 ................................................................................................. 100 $30.21 Report of Execution 100 shares at a price of 

$30.21. 

12:01:47 ................................................................................................. 100 $30.22 Report of Execution 100 shares at a price of 

$30.22. 

12:01:48 ................................................................................................. 99 15 $30.23 Report of Execution 99 shares at a price of 

$30.23. 

In the filing to amend the execution 

of PRL orders, the Exchange explained 

that the system enhancements to 

Display Book would be progressively 

implemented on a security by security 

basis. On March 16, 2009, the Exchange 

commenced migration of symbols to the 

enhanced systems. This migration is 

ongoing and PRL orders submitted to 

the Display Book in those migrated 

symbols are executed as described 

above. The list of securities that are 

operating on the enhanced systems are 

available on the Exchange’s Web site at: 

http://www.nyse.com/attachment/ 

SDBK_SecurityRolloutList.xls. 

Systems that process orders sent to 

the Exchange to be executed by a Floor 

broker, collectively called Exchange 

Floor broker systems, are also being 

upgraded to provide improved 

functionality. The Exchange Floor 

broker systems can be divided into two 

categories—booth systems (Broker 

Booth Support Systems or ‘‘BBSS’’) and 

hand-held devices. As of yet, neither 

system has been provided with the 

newer PRL pricing functionality. As a 

result, PRLs sent to BBSS are processed 

pursuant to the prior provisions of 

NYSE Rule 124, Supplemental Material 

.40, which requires the odd-lot portion 

of a PRL to be executed only where no 

round lot portion thereof is cancelled 

and at the same price of the last round 

lot execution that would complete the 

round lot portion of the PRL. 

Example: An order to sell 399 shares 

of security XYZ is received by Exchange 

Floor broker systems at 12:00:00. The 99 

share portion of the order is eligible for 

execution only after the 300 share 

portion of the PRL order is sold. See 

table below. 

Time of execution Number of 

shares 

Price of 

execution Customer receives 

12:00:01 ................................................................................................. 100 $30.22 Report of Execution 100 shares at a price of 

$30.22. 

12:01:00 ................................................................................................. 100 $30.21 Report of Execution 100 shares at a price of 

$30.22. 

12:01:47 .................................................................................................

12:01:47 .................................................................................................

100 

99 

$30.22 

$30.22 

Report of Execution 199 shares at a price of 

$30.22. 

Until such time as the Exchange Floor 

broker systems can be enhanced to 

execute PRL orders pursuant NYSE Rule 

124(c) and (d), the Exchange proposes to 

amend the provisions of NYSE Rule 

124.40 to provide that the odd-lot 

portion of PRL orders transmitted to a 

Floor broker via the Floor broker booth 

system for execution will be executed at 


sroberts on PROD1PC70 with NOTICES
Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 30339 

16 15 U.S.C. 78f(b)(5). 

17 15 U.S.C. 78s(b)(3)(A). 18 17 CFR 240.19b–4(f)(6). 19 15 U.S.C. 78s(b)(3)(A). 20 17 CFR 240.19b–4(f)(6). 21See id. In addition, Rule 19b–4(f)(6)(iii) 

requires a self-regulatory organization to provide 

the Commission with written notice of its 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 this requirement. 22For purposes only of waiving the 30-day 

operative delay of this proposal, the Commission 

has considered the proposed rule’s impact on 

efficiency, competition and capital formation. 15 

U.S.C. 78c(f). 

the same price of the last round lot 

execution that would complete the 

round lot portion of the PRL 

The Exchange anticipates that the 

enhancements to the Exchange Floor 

broker systems will be completed no 

later than the end of the fourth quarter 

of 2009. 

Systems Capable of Accepting PRL and 

GTC Orders 

During the implementation of the 

Exchange Floor broker system 

enhancements, any PRL orders and GTC 

orders sent to a Floor broker’s hand-held 

device will be rejected. Furthermore, 

GTC orders in symbols that have been 

migrated to the enhanced systems noted 

above will not be accepted in any broker 

system. PRL and GTC orders (in nonmigrated symbols) must be transmitted 

to BBSS where the customer seeks to 

utilize a Floor broker’s business 

expertise in the execution of such 

orders. Once the full migration has been 

completed, GTC orders will not be 

accepted by broker systems or broker 

hand-held devices and PRL orders will 

not be accepted by broker hand-held 

devices. Therefore, the Exchange 

proposes to amend NYSE Rule 13 

(Definitions of Orders) to state that GTC 

orders will not be accepted by broker 

hand-held devices or broker systems. 

Similarly, the Exchange proposes to 

amend NYSE Rule 124.40 to state that 

PRL orders will not be accepted by 

broker hand-held devices. 

2. Statutory Basis 

The basis under the Act for this 

proposed rule change is the requirement 

under Section 6(b)(5) 16 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 

instant proposal is in keeping with these 

principles in that it seeks to clarify and 

temporarily modify the Exchange’s 

pricing methodology for PRL orders to 

provide customers the benefit of the 

Floor broker’s business expertise while 

the Exchange completes required system 

enhancements. 

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 17 and Rule 

19b–4(f)(6) thereunder.18 Because the 

foregoing proposed rule change: (1) 

Does not significantly affect the 

protection of investors or the public 

interest; (2) impose any significant 

burden on competition; and (3) by its 

terms does not become operative for 30 

days of this filing, 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 19 and subparagraph (f)(6) of 

Rule 19b–4 thereunder.20

A proposed rule change filed under 

Rule 19b–4(f)(6) does not normally 

become operative prior to 30 days after 

the date of filing.21 However, Rule 19b– 

4(f)(6)(iii) permits the Commission to 

designate a shorter time if such action 

is consistent with the protection of 

investors and the public interest. The 

Exchange has requested that the 

Commission 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 seeks 

to avoid investor confusion by clarifying 

the systems capable of executing PRL 

and GTC orders and the pricing 

methodology for such orders. Therefore, 

the Commission designates the 

proposed rule change operative upon 

filing.22

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 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–NYSE–2009–45 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–2009–45. 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, 100 F Street, NE., Washington, 

DC 20549, on official business days 

between the hours of 1 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 


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30340 Federal Register / Vol. 74, No. 121 / Thursday, June 25, 2009 / Notices 

23 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 for the 

Fund on Form N–1A, dated June 17, 2009 (File Nos. 

333–92935 and 811–09729). 

6The Exchange states that the Index fails to meet 

the requirement of Commentary .01(a)(B)(2) to 

NYSE Arca Equities Rule 5.2(j)(3) that component 

stocks that in the aggregate account for at least 90% 

of the weight of the index each shall have a 

minimum monthly trading volume of at least 

250,000 shares. The Exchange states that, as of May 

31, 2009, component stocks that in the aggregate 

account for 86.23% of the Index weight had a 

minimum monthly trading volume of at least 

250,000 shares. 

7 17 CFR 240.10A–3. 

8 15 U.S.C. 78a. 

9The Exchange may obtain information for 

surveillance purposes via the Intermarket 

Surveillance Group (‘‘ISG’’) from other exchanges 

who are members of ISG. The Exchange notes that 

the Index component stocks do not trade on 

markets that are ISG members and the Exchange 

does not have a comprehensive surveillance 

agreement with such markets. For a list of the 

current members of ISG, see http:// 

www.isgportal.org. 

Number SR–NYSE–2009–45 and should 

be submitted on or before July 16, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.23

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–14956 Filed 6–24–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60137; File No. SR– 

NYSEArca–2009–54] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change Relating to the Listing 

and Trading of Shares of the iShares®

MSCI All Peru Capped Index Fund 

June 18, 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 17, 

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 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 list and 

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

fund of the iShares® Trust (‘‘Trust’’): 

iShares® MSCI All Peru Capped Index 

Fund (‘‘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

iShares® MSCI All Peru Capped Index 

Fund.5

According to the Registration 

Statement, the Fund seeks investment 

results that correspond generally to the 

price and yield performance, before fees 

and expenses, of the MSCI All Peru 

Capped Index (the ‘‘Index’’). 

The Index is sponsored by MSCI, Inc., 

the Index Provider, that is independent 

of the Fund and Barclays Global Fund 

Advisors, the investment adviser to the 

Fund. The Index Provider determines 

the composition and relative weightings 

of the securities in the Index and 

publishes information regarding the 

market value of the Index. 

The Index is a free float-adjusted 

market capitalization index with 

approximately 25 components. Any 

single security with a free float-adjusted 

market capitalization weight greater 

than 22.5% will have its weight capped 

in the Index at 22.5%. All single 

securities with a weight greater than 

4.5% will have their weights capped 

such that, in the aggregate, these 

securities do not have a weight greater 

than 45% of the Index. The Index is 

designed to measure the performance of 

the ‘‘Broad Peru Equity Universe.’’ 

MSCI defines the Broad Peru Equity 

Universe by identifying Peruvian equity 

securities that are classified in Peru 

according to the MSCI Global Investable 

Market Indices Methodology (a 

methodology employed by MSCI to 

construct its Global Investable Market 

Indices, which classifies eligible 

securities according to their country of 

listing) as well as securities of 

companies that are headquartered in 

Peru and have the majority of their 

operations based in Peru. As of May 31, 

2009, the Index’s three largest 

constituents were Compania de Minas 

Buenaventura S.A., Southern Copper 

Corporation, and Credicorp Ltd. 

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)(2).6 The 

Exchange represents that: (1) Except for 

the requirement under Commentary 

.01(a)(B)(2) to NYSE Arca Equities Rule 

5.2(j)(3) that component stocks that in 

the aggregate account for at least 90% of 

the weight of the index each shall have 

a minimum monthly trading volume 

during each of the last six months of at 

least 250,000 shares, 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 

(‘‘Act’’) 8 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 

hours, trading halts, surveillance,9 and 

Information Bulletin to ETP Holders, as 

set forth in Exchange rules applicable to 

ICUs and in prior Commission orders 


sroberts on PROD1PC70 with NOTICES