Document ID: SEC-2010-1241-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE Amex LLC
Posted Date: 2010-08-16T04:00Z

[Federal Register: August 16, 2010 (Volume 75, Number 157)]
[Notices]               
[Page 50012-50013]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr16au10-120]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-62671; File No. SR-NYSEAmex-2010-81]

 
Self-Regulatory Organizations; Notice of Filing and Immediate 
Effectiveness of Proposed Rule Change by NYSE Amex LLC Amending its Fee 
Schedule

August 9, 2010.
    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 August 4, 2010, NYSE Amex LLC. (``NYSE Amex'' or the 
``Exchange'') filed with the Securities and Exchange Commission 
(``SEC'' or ``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.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to establish a new participant category for 
purposes of the fee schedule and to modify the fees for Firm 
executions. 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, on the Commission's Web site at http://www.sec.gov, 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
    The Exchange is proposing to establish a new participant category 
for purposes of the fee schedule. Presently, the Exchange makes no 
distinction between Broker/Dealers who clear in the customer range and 
Broker/Dealers who clear in the market maker range. Broker/Dealers who 
clear in the market maker range are registered market makers at other 
exchanges and accordingly will be identified on the fee schedule as 
Non-NYSE Amex Option Market Makers.\3\
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    \3\ The term ``Non-NYSE Amex Options Market Maker'' means a 
market maker as defined in Section 3(a)(38) of the Securities and 
Exchange Act of 1934 registered in the same option class on another 
exchange.
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    The Exchange will assess Non-NYSE Amex Option Market Makers a fee 
of $.40 per contract for all electronic executions. The fee for Non-
NYSE Amex Option Market Maker orders executed manually will be $.25 per 
contract. The Exchange notes that the $.40 per contract rate is 
comparable to or less than the rate charged by other exchanges for 
transactions by market makers who are registered as such in the same 
options on another exchange.\4\
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    \4\ See the ISE fee schedule dated July 1, 2010. The ISE charges 
Non-ISE Market Makers a $.45 per contract charge for electronic 
executions.
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    Presently the Exchange charges for manual executions that clear in 
the Firm range according to a tiered schedule. At this time the 
Exchange intends to revert back to the pricing that was in effect 
previously for manual executions that clear in the Firm range. The 
tiered pricing will be replaced with a fixed per contract fee of $0.25 
for all manual executions that clear in the Firm range. Additionally, 
the Exchange intends to no longer charge for any Firm Facilitations, 
which are defined as trades that clear in the Firm range (clearance 
account ``F'') and customer on the contra (clearance account ``C'') 
with the same clearing Firm symbol on both sides of the trade.
    These changes are intended to be effective immediately for all 
transactions beginning August 4, 2010.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the provisions of Section 6(b) of the Act,\5\ in general, and 
Section 6(b)(4) of the Act,\6\ in particular, in that it is designed to 
provide for the equitable allocation of reasonable dues, fees, and 
other charges among its members and other persons using its facilities. 
The Exchange has determined, as part of an ongoing review of its 
operations, that the proposed changes to the fee schedule are necessary 
in the interests of better allocating the costs of operating the 
Exchange in a fair and equitable manner, taking into account that NYSE 
Amex Options market makers incur additional costs that Non-NYSE Amex 
Options market makers who do transactions here do not incur.
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    \5\ 15 U.S.C. 78f(b).
    \6\ 15 U.S.C. 78f(b)(4).
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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 foregoing rule change is effective upon filing pursuant to 
Section 19(b)(3)(A) \7\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \8\ thereunder, because it establishes a due, fee, or other charge 
imposed by NYSE Amex.
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    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f)(2).
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    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.

[[Page 50013]]

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 rule-comments@sec.gov. Please include 
File Number SR-NYSEAmex-2010-81 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-2010-81. 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 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-
NYSEAmex-2010-81 and should be submitted on or before September 7, 
2010.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-20150 Filed 8-13-10; 8:45 am]
BILLING CODE 8010-01-P