95-1229. Self-Regulatory Organizations; National Association of Securities Dealers, Inc.; Order Approving Proposed Rule Change Relating to Consolidation of the Level 1 and Last Sale Information Services and Subscriber Fees

[Federal Register Volume 60, Number 12 (Thursday, January 19, 1995)]
[Notices]
[Page 3890]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-1229]



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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-35217; File No. SR-NASD-94-70]


Self-Regulatory Organizations; National Association of Securities 
Dealers, Inc.; Order Approving Proposed Rule Change Relating to 
Consolidation of the Level 1 and Last Sale Information Services and 
Subscriber Fees

January 11, 1995.
    On December 1, 1994, the National Association of Securities 
Dealers, Inc. (``NASD'' or ``Association'') filed with the Securities 
and Exchange Commission (``SEC'' or ``Commission'') a proposed rule 
change pursuant to Section 19(b)(1) of the Securities Exchange Act of 
1934 (``Act'')\1\ and Rule 19b-4 thereunder.\2\ The rule change will 
effectuate a consolidation of the Nasdaq Level 1 and Last Sale 
Information services and of the corresponding subscriber charges. The 
rule change modifies Sections A (1) and (5) of Part VIII of Schedule D 
to the NASD By-Laws.

    \1\15 U.S.C. 78s(b)(1).
    \2\17 CFR 240.19b-4.
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    Notice of the proposed rule change, together with its terms of 
substance was provided by issuance of a Commission release\3\ and by 
publication in the Federal Register.\4\ No comments were received in 
response to the notice. This order approves the proposed rule change.

    \3\Securities Exchange Act Release No. 35054 (December 6, 1994).
    \4\59 FR 64225 (December 13, 1994).
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    This rule change establishes a single service offering comprised of 
the existing Nasdaq Level 1 (``Level 1'') quotation and last sale 
(``last sale'') information services. The monthly charge to be levied 
for the consolidated service will be $19/terminal, the sum of the 
monthly charges previously assessed for receipt of the last sale and 
Level 1 services on an authorized terminal device.\5\ The combined 
service will be distributed by commercial vendors of market data for 
which their subscribers will pay a single monthly charge.

    \5\The rule change will result in higher fees, however, for some 
Level 1 subscribers who do not currently pay for receipt of last 
sale data.
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    The Commission has determined to approve the NASD's proposal. The 
Commission finds that the rule change is consistent with the 
requirements of the Act and the rules and regulations thereunder 
applicable to the NASD, including the requirements of Section 15A(b)(5) 
of the Act.\6\ Section 15A(b)(5) requires, in part, that the rules of a 
national securities association provide for the equitable allocation of 
reasonable dues, fees and other charges among members, issuers and 
other persons using any facility or system that the Association 
operates or controls. While the consolidation will result in a fee 
increase for a small portion of subscribers, the additional cost will 
be partially offset by administrative savings for large subscribers and 
vendors. Moreover, the rule will effect a simplification in the fee 
structure applicable to receipt of two major data services.

    \6\15 U.S.C. 78o-3(b)(5).
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    It is therefore ordered, pursuant to section 19(b)(2) of the Act, 
that the proposed rule change SR-NASD-94-70 be, and hereby is, 
approved.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\7\

    \7\17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-1229 Filed 1-18-95; 8:45 am]
BILLING CODE 8010-01-M