Document ID: SEC-2014-0729-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE MKT, LLC
Posted Date: 2014-05-05T04:00Z

[Federal Register Volume 79, Number 86 (Monday, May 5, 2014)]
[Notices]
[Pages 25635-25636]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-10169]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-72040; File No. SR-NYSEMKT-2014-39]

Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and 
Immediate Effectiveness of Proposed Rule Change Amending Commentary .01 
to Rule 901 To Replace the Reference to ``GOOG'' with ``GOOGL''

April 29, 2014.
    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 April 23, 2014 NYSE MKT LLC (the ``Exchange'' or ``NYSE 
MKT'') 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. 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\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of the 
Substance of the Proposed Rule Change

    The Exchange proposes to amend Commentary .01 to Rule 901 to 
replace the reference to ``GOOG'' with ``GOOGL''. 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 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend Commentary .01 to Rule 901 (Option 
Contracts to be Traded) to replace the reference to ``GOOG'' with 
``GOOGL''. This filing is based on a proposal recently submitted by the 
Chicago Board Options Exchange, Incorporated (``CBOE'').\4\
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    \4\ See Securities Exchange Act Release No. 71848 (April 2, 
2014) 79 FR 19405 (April 8, 2014) (Notice of Filing and Immediate 
Effectiveness of SR-CBOE-2014-030).
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    The Exchange is proposing to amend Commentary .01 to Rule 901 to 
reflect a change to the ticker symbol for Class A shares of Google Inc. 
(``Google''). On April 2, 2014, Google issued a new class of shares 
(Class C) to its shareholders in lieu of a cash dividend payment. 
Additionally, this new Class C of shares was given the former Google 
ticker symbol, ``GOOG''. As a result, a new ticker symbol, ``GOOGL'', 
was assigned to the Class A shares. The Exchange proposes to change the 
Google ticker symbol referenced in Rule 901 from ``GOOG'' to ``GOOGL''. 
The purpose of this change is to ensure that Exchange rules properly 
reflect the intention and practice of the Exchange to trade mini 
options on only an exhaustive list of underlying securities outlined in 
Commentary .01 of Rule 901. This change will make it clear that the 
current list of underlying securities that mini options can be traded 
on includes the Google Class A shares, while at the same time making it 
clear that Google Class C shares are not part of that list. The 
Exchange therefore believes that the proposed rule change will help 
avoid confusion regarding which Google shares are eligible for mini 
options.
2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) of the 
Act,\5\ in general, and furthers the objectives of Section 6(b)(5),\6\ 
in particular, in that it is designed to prevent fraudulent and 
manipulative acts and practices, to promote just and equitable 
principles of trade, to foster cooperation and coordination with 
persons engaged in facilitating transactions in securities, and to 
remove impediments to and perfect the mechanism of a free and open 
market and a national market system.
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    \5\ 15 U.S.C. 78f(b).
    \6\ 15 U.S.C. 78f(b)(5).
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    In particular, the proposed rule change to revise the Google Class 
A ticker symbol to its new designation is consistent with the Act 
because the proposed change is merely updating the corresponding ticker 
to properly reflect the applicable ticker symbol for Google's Class A 
shares. This change should provide clarity to market participants when 
making investment decisions regarding mini options contracts overlying 
Google Class A shares.

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. In this regard and as 
indicated above, the Exchange notes that the rule change being proposed 
is substantially similar in all material respects to a rule change 
recently adopted by the CBOE.\7\ The proposed change does not impose 
any burden on intramarket competition because it applies to all 
Participants. There is no burden on intermarket competition as the 
proposed change is merely attempting to update the new ticker for 
Google Class A shares. As a result, there will be no substantive

[[Page 25636]]

changes to the Exchange's operations or its rules.
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    \7\ Supra n.4.
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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 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 \8\ and Rule 19b-
4(f)(6) thereunder.\9\
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    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 240.19b-4(f)(6). As required under Rule 19b-4(f)(6), 
the Exchange provided the Commission with written notice of its 
intent to file the proposed rule change, along with a brief 
description and the 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.
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    A proposed rule change filed under Rule 19b-4(f)(6) \10\ normally 
does not become operative prior to 30 days after the date of the 
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\11\ the Commission 
may designate a shorter time if such action is consistent with the 
protection of investors and the public interest. 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, as it will allow the 
Exchange to continue to list mini options on the Google Class A shares 
following the issuance of a new class of Google shares (Class C) on 
April 2, 2014. For this reason, the Commission designates the proposed 
rule change to be operative upon filing.\12\
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    \10\ 17 CFR 240.19b-4(f)(6).
    \11\ 17 CFR 240.19b-4(f)(6)(iii).
    \12\ For purposes only of waiving the 30-day operative delay, 
the Commission has also considered the proposed rule's impact on 
efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
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    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.

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 rule-comments@sec.gov. Please include 
File Number SR-NYSEMKT-2014-39 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-NYSEMKT-2014-39. 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-NYSEMKT-2014-39, and should 
be submitted on or before May 27, 2014.
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    \13\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\13\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-10169 Filed 5-2-14; 8:45 am]
BILLING CODE 8011-01-P