Document ID: SEC-2012-0602-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE Amex LLC
Posted Date: 2012-04-16T04:00Z

[Federal Register Volume 77, Number 73 (Monday, April 16, 2012)]
[Notices]
[Pages 22624-22625]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-9009]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-66776; File No. SR-NYSEAmex-2012-20]

Self-Regulatory Organizations; NYSE Amex LLC; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Implementing 
Amendments to Its Price List To Raise the Supplemental Liquidity 
Provider Rebate and Raise the NYSE Crossing Session II Rate and Fee Cap

April 10, 2012.
    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 March 29, 2012, NYSE Amex LLC (``NYSE Amex'' or the 
``Exchange'') 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 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 amend its Price List to raise the 
Supplemental Liquidity Provider (``SLP'') rebate and raise the NYSE 
Crossing Session II (``NYSE CSII'') rate and fee cap. The text of the 
proposed rule change is available at the Exchange, the Commission's 
Public Reference Room, and 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
    The Exchange proposes to amend its Price List to raise the SLP 
rebate and raise the NYSE CSII rate and fee cap.
    The Exchange proposes to raise the SLP rebate from $0.0027 to 
$0.0032 per share per transaction for SLPs that add liquidity to the 
Exchange in securities with a per share price of $1.00 or more if the 
SLP meets the 5% average or more quoting requirement in an assigned 
security pursuant to NYSE Amex Equities Rule 107B.
    The Exchange also proposes to raise the NYSE CSII rate from $0.0001 
to $0.0002 per transaction and raise the fee cap from $50,000 to 
$100,000 per month per member organization for NYSE Amex Equities 
listed securities and, separately, NYSE Amex Equities traded 
securities.
    The Exchange proposes to make the rule change operative on April 1, 
2012.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Securities Exchange

[[Page 22625]]

Act of 1934 (the ``Act''),\3\ in general, and Section 6(b)(4) of the 
Act,\4\ 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 
believes that the increased rebate for SLPs is reasonable because it 
will promote liquidity on the Exchange. The Exchange believes that the 
increased rebate for SLPs and the proposed fee and cap increase for 
NYSE CSII are an equitable allocation of fees because all similarly 
situated member organizations will be subject to the same fee structure 
and access to the Exchange's market is offered on fair and non-
discriminatory terms. In addition, the proposed increased NYSE CSII fee 
and fee cap are the same as the NYSE CSII fee and fee cap on the New 
York Stock Exchange (``NYSE'').\5\ The Exchange also believes that 
increasing the fee for NYSE CSII transactions and the monthly cap that 
is currently applicable thereto is reasonable, equitable and not 
unfairly discriminatory because it would more closely align the NYSE 
CSII rate with the other rates within the Price List,\6\ while 
maintaining a cap for member organizations that are particularly active 
during NYSE CSII.
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    \3\ 15 U.S.C. 78f(b).
    \4\ 15 U.S.C. 78f(b)(4).
    \5\ See NYSE Price List 2012, dated March 1, 2012, available at 
https://usequities.nyx.com/sites/usequities.nyx.com/files/nyse_price_list_03.01.12_mmr.pdf.
    \6\ For example, except for transactions that are free, both the 
current and proposed NYSE CSII rate of $0.0001 and $0.0002, 
respectively, are substantially less than the next lowest fee within 
the Price List (i.e., the $0.0005 rate for Discretionary e-Quotes 
and verbal agency interest by floor brokers).
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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 the 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 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-NYSEAmex-2012-20 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-2012-20. 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 
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-2012-20 and should 
be submitted on or before May 7, 2012.

    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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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-9009 Filed 4-13-12; 8:45 am]
BILLING CODE 8011-01-P