Document ID: SEC-2010-1362-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NASDAQ OMX BX, Inc.
Posted Date: 2010-09-08T04:00Z

[Federal Register: September 8, 2010 (Volume 75, Number 173)]
[Notices]               
[Page 54688-54689]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr08se10-132]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-62804; File No. SR-BX-2010-060]

 
Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change Relating to 
the Options Regulatory Fee

August 31, 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 27, 2010, NASDAQ OMX BX, Inc. (the ``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 Exchange filed the 
proposed rule change pursuant to Section 19(b)(3)(A)(ii) of the Act,\3\ 
and Rule 19b-4(f)(2) thereunder,\4\ which renders the proposal 
effective upon filing with the Commission. The Commission is publishing 
this notice to solicit comments on the proposed rule from interested 
persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
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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 the Fee Schedule of the Boston 
Options Exchange Group, LLC (``BOX''), effective September 1, 2010, to 
assess the Options Regulatory Fee to each BOX Market Maker or Order 
Flow Provider that is fully certified to transact business on the 
Exchange. The text of the proposed rule change is available from the 
principal office of the Exchange, at the Commission's Public Reference 
Room, on the Exchange's Internet Web site at http://
nasdaqomxbx.cchwallstreet.com/NASDAQOMXBX/Filings/, and on the 
Commission's Web site at http://www.sec.gov.

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 these statements may be examined at 
the places specified in Item IV below. The self-regulatory organization 
has prepared summaries, set forth in Sections A, B, and C below, of the 
most significant aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The purpose of the proposed rule change is to revise the 
circumstances under which the Exchange will assess the Options 
Regulatory Fee. In particular, the Exchange will assess the Options 
Regulatory Fee to BOX Options Participants that (i) are registered with 
the Exchange pursuant to Chapter II of the Rules of BOX; and (ii) have 
satisfied the technological requirements to be a fully certified BOX 
Market Maker or Order Flow Provider. Market Makers and Order Flow 
Providers are not capable of transacting business on the Exchange until 
the firm has been technologically certified by BOX (``fully 
certified''). In certain instances, particularly at the outset of 
becoming a Participant, a Market Maker or an Order Flow Provider may be 
registered with the Exchange prior to obtaining the requisite 
technological certification. BOX believes that it is not equitable to 
assess the Options Regulatory Fee on a Market Maker or Order Flow 
Provider that, prior to initially satisfying certain technology 
requirements, is not capable of availing itself of the benefits of its 
status as a BOX Participant. BOX does not desire to assess the Options 
Regulatory Fee to such Market Makers and Order Flow Providers until 
they are fully certified to transact business on the Exchange. The 
proposed change will have no effect on the assessment of fees for 
current BOX Market Makers and Order Flow Providers that are fully 
certified to transact business on the Exchange and will have no effect 
on Participants that are only clearing transactions for other BOX 
Participants.
2. Statutory Basis
    The Exchange believes that the proposal is consistent with the 
requirements of Section 6(b) of the Act,\5\ in general, and Section 
6(b)(5) [sic] of the Act,\6\ in particular, in that it provides [sic] 
the equitable allocation of reasonable dues, fees, and other charges 
among its members and issuers and other persons using its facilities. 
The proposed changes provide that newly registered Market Makers and 
Order Flow Providers will be assessed the Options Regulatory Fee once 
fully certified and will not alter the assessment of the Options 
Regulatory Fee on current BOX Market Makers and Order Flow Providers 
that are fully certified to transact business on the Exchange and on 
Participants that are only clearing transactions for other BOX 
Participants.
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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

    The Exchange has neither solicited nor received comments on the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Exchange Act \7\ and Rule 19b-4(f)(2)\8\ 
thereunder, because it establishes or changes a due, fee, or

[[Page 54689]]

other charge applicable only to a member.
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    \7\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \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 the action is necessary or 
appropriate in the public interest, for the protection of investors, or 
would otherwise further 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 rule-comments@sec.gov. Please include 
File Number SR-BX-2010-060 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-BX-2010-060. 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 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 No. SR-BX-2010-060 and should be 
submitted on or before September 29, 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. 2010-22289 Filed 9-7-10; 8:45 am]
BILLING CODE 8010-01-P