94-26641. Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by the Boston Stock Exchange, Inc. Relating to its Fee Schedules  

  • [Federal Register Volume 59, Number 207 (Thursday, October 27, 1994)]
    [Unknown Section]
    [Page 0]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 94-26641]
    
    
    [[Page Unknown]]
    
    [Federal Register: October 27, 1994]
    
    
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    SECURITIES AND EXCHANGE COMMISSION
    [Release No. 34-34868; File No. SR-BSE-94-11]
    
     
    
    Self-Regulatory Organizations; Notice of Filing and Immediate 
    Effectiveness of Proposed Rule Change by the Boston Stock Exchange, 
    Inc. Relating to its Fee Schedules
    
    October 20, 1994.
        Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
    (``Act''), 15 U.S.C. 78s(b)(1), notice is hereby given that on 
    September 30, 1994, the Boston Stock Exchange, Inc. (``BSE'' or 
    ``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 self-regulatory 
    organization. On October 14, 1994, the Exchange agreed to submit the 
    instant filing for immediate effectiveness for a period of one hundred 
    and twenty days commencing with the date of filing.\1\ The Commission 
    is publishing this notice to solicit comments on the proposed rule 
    change from interested persons.
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        \1\Conversation between Jack Fitzgerald, Executive Vice 
    President, Boston Stock Exchange, and Holly Smith, Division of 
    Market Regulation, Commission, on October 14, 1994. The proposed 
    rule change will cease to be effective on January 30, 1995, unless 
    the Commission approves a similar, subsequent filing by the BSE 
    under Rule 19b-4, or disapproves the instant rule change prior to 
    January 30, 1995.
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    I. Self-Regulatory Organization's Statement of the Terms of Substance 
    of the Proposed Rule Change
    
        The Boston Stock Exchange seeks to amend its fee schedules 
    pertaining to transaction fees.
    
    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 filing is to amend the Exchange's 
    fee schedule in order to capitalize on the competitive niches that the 
    Exchange currently enjoys and to improve the Exchange's competitive 
    position. The proposal would provide a $.25 per trade credit on all 
    non-self-directed, electronically routed, Exchange executed, trades of 
    any size. For purposes of the per trade credit, ``non-self-directed'' 
    shall mean entered by a BEACON subscriber in stocks in which the 
    routing firm has no affiliation with or financial interest in the 
    specialist operation registered in those stocks. The aggregate credit 
    per firm shall be limited to the total monthly layoff transaction fees 
    charged to that firm.\2\
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        \2\The term ``layoff'' refers to any trade wherein a specialist 
    is eliminating (or decreasing) a position in a security in which he 
    makes a market.
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        The specific new language is as follows: New language.
    Transaction Fees
    
                     Trade Recording and Comparison Charges                 
                                                                            
                                                                            
    Trades up to and including 2,000       No charge.               
     shares (all trades accumulate for volume                               
     discounts).                                                            
    Trades above 2,000:                                             
        First 2,500 trades per month.............  $.29 per 100 shares.     
        Next 2,500 trades per month..............  .25 per 100 shares.      
        Next 2,500 trades per month..............  .15 per 100 shares.      
        Over 7,500 trades per month..............  .05 per 100 shares.      
        Maximum charge per side (non-cross)......  50.00.                   
        Maximum charge per side (cross)..........  25.00.                   
    BEACON subscriber Credits............  .25 per trade.           
    All non-self-directed, electronically routed                            
     trades (credit is limited to total monthly                             
     layoff transaction fees)                                               
    
    2. Statutory Basis
        The statutory basis for this proposal is Section 6(b)(4) of the 
    Act.
    
    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 establishes or changes a due, fee, or 
    other charge imposed by the Exchange and therefore has become effective 
    pursuant to Section 19(b)(3)(A) of the Act and subparagraph (e) of Rule 
    19b-4 thereunder. At any time within 60 days of the filing of such 
    proposed rule change, the Commission may summarily abrogate 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. Persons making written submissions 
    should file six copies thereof with the Secretary, Securities and 
    Exchange Commission, 450 Fifth Street, N.W., Washington, D.C. 20549. 
    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 inspection and copying at the 
    Commission's Public Reference Section, 450 Fifth Street, N.W., 
    Washington, D.C. 20549. Copies of such filing will also be available 
    for inspection and copying at the principal office of the BSE. All 
    submissions should refer to File No. SR-BSE-94-11 and should be 
    submitted by November 17, 1994.
    
        For the Commission, by the Division of Market Regulation, 
    pursuant to delegated authority.
    Jonathan G. Katz,
    Secretary.
    [FR Doc. 94-26641 Filed 10-26-94; 8:45 am]
    BILLING CODE 8010-01-M
    
    
    

Document Information

Published:
10/27/1994
Department:
Securities and Exchange Commission
Entry Type:
Uncategorized Document
Document Number:
94-26641
Pages:
0-0 (1 pages)
Docket Numbers:
Federal Register: October 27, 1994, Release No. 34-34868, File No. SR-BSE-94-11