[Federal Register Volume 64, Number 47 (Thursday, March 11, 1999)]
[Notices]
[Pages 12198-12202]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-6044]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-41128; File No. SR-NASD-99-09]
Self-Regulatory Organizations; Notice of Filing of Proposed Rule
Change by the National Association of Securities Dealers, Inc. Relating
to the Establishment of an Agency Quotation in Nasdaq
March 2, 1999.
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 February 3, 1999, the National Association of Securities Dealers,
Inc. (``NASD'' or ``Association'') through its wholly owned subsidiary
the Nasdaq Stock Market, Inc. (``Nasdaq'') filed with the Securities
and exchange Commission (``SEC'' or ``Commission'') the proposed rule
change as described in Items I, II, and III below, which Items have
been prepared by Nasdaq. 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
Nasdaq is proposing to permit the separate display of customer
orders by market makers in Nasdaq through a market maker agency
identification symbol. Below is the text of the proposed rule change.
Proposed new language is italicized; proposed deletions are in
brackets.
Rule 4613. Character of Quotations.
(a) Two-Sided Quotations
(1) For each security in which a member is registered as a market
maker, the member shall be willing to buy and sell such security for
its own account on a continuous basis and shall enter and maintain two-
sided quotations in The Nasdaq Stock Market, subject to the procedures
for excused withdrawal set forth in Rule 4619.
(A) If a market maker updates the price of its bid or offer without
any accompanying update to the size of such bid or offer, the size of
the updated bid or offer shall be the size of the previous bid or
offer.
(B) Notwithstanding any other provision in this paragraph (a), in
order to display a limit order in compliance with SEC Rule 11Ac1-4, a
registered market maker's displayed quotation size may be for one
normal unit of trading or a larger multiple thereof.
(C) A registered market maker in a security listed on The Nasdaq
Stock Market must display a quotation size for at least one normal unit
of trading (or a larger multiple thereof) when it is not displaying a
limit order in compliance with SEC Rule 11Ac1-4, provided, however,
that a registered market maker may augment its displayed quotation size
to display limit orders priced at the market maker's quotation.
(D) A market maker registered as such in a Nasdaq National Market
Security may also maintain a separate agency quotation for that
security, pursuant to the requirements of subparagraph (b) of this rule
(``Agency Quotation'').
(2)-(5) No Change.
[[Page 12199]]
(b) Agency Quotations
For each Nasdaq National Market Security in which a member is
registered as a market maker, that member may display in The Nasdaq
Stock Market an Agency Quote (separate from its proprietary quotation
required by paragraph (a) of this rule), pursuant to the following
requirements and conditions:
(1) the Agency Quotation may be used to display customer orders,
but shall not be used to display the market maker's own proprietary
interest or the proprietary interest of another member who is
registered as a market maker in the security at issue; provided,
however, that a market maker may display in the Agency Quote a
proprietary interest that represents a portion of a customer order that
the market maker contemporaneously has filled from inventory;
(2) the Agency Quote may be one sided, two sided, or in a closed-
quote state, and shall not be subject to the procedures for excused
withdrawal set forth in Rule 4619;
(3) Nasdaq shall assign a market maker identifier (``MMID'') to the
Agency Quote that is distinct from the MMID for the market maker's
proprietary quote.
(b) and (c)--Redesigned as (c) and (d) respectively
(d) Reasonably Competitive Quotations--Deleted.\3\
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\3\ See Exchange Act Release No. 39120 (Sept. 23, 1997), 62 FR
51170 (Sept. 30, 1997) (Order approving SR-NASD-97-70 eliminating
the NASD's excess spread rule as of October 13, 1997).
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(e) Locked and Crossed Markets--No Change
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, Nasdaq 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. Nasdaq 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
Nasdaq is proposing to allow market makers in Nasdaq National
Market Securities (``NNM'') to display in Nasdaq a second quotation
separate from their proprietary quotation for the purpose of displaying
customer interest. This second quotation--the Agency Quote--would
facilitate the display and execution of agency orders in NNM
securities. Nasdaq states that the purpose of the Agency Quote is to
give market makers more flexibility in determining how they wish to
handle customer orders and other agency business. Instead of having to
display a customer limit order in their proprietary quote or in a
qualifying electronic communications network (``ECN'''), market makers
would also be able to display the order in their Agency Quote. Thus,
Nasdaq believes that the proposal will allow market makers to regain
control over their proprietary quotes that was lost with the
introduction of the SEC's Order Handling Rules (``Order Handling
Rules'' or ``OHR'').\4\
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\4\ See Exchange Act Release No. 37619A (Sept. 6, 1996), 61 FR
48290 (Sept. 12, 1996).
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(a) Proprietary Quotes and SEC Order Handling Rules. Currently, a
member registers as market maker in a particular stock by obtaining
authorization from Nasdaq to display a proprietary quotation in the
Nasdaq quote montage.\5\ Such quotation is identified with a four
character identifier unique to that market maker (``market maker
identifier'' or ``MMID''), and is sequenced in price/time/size priority
along with the quotes of other Nasdaq market participants (i.e., market
makers, ECNs, and UTP exchanges).
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\5\ See NASD Rule 4611.
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Nasdaq rules require that each registered market maker display
during normal market hours (9:30 a.m. to 4:00 p.m.) a continuous and
two-sided quotation with a designated price and size.\6\ Once
registered, market makers are obligated to continue to display two-
sided quotes, unless the market maker withdraws (or is deemed to have
withdrawn) from registration, subject to certain limited exceptions.\7\
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\6\ See NASD Rule 4613(a).
\7\ See NASD Rules 4619 and 4620. If a market maker does not
qualify for an excused withdrawal under NASD Rule 4619, the
withdrawal is deemed voluntary and the market maker is subject to a
20-day penalty before the market maker can re-register in the stock.
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According to Nasdaq, because of the nature of a dealer market,
market makers historically have traded as principal rather than agent
and market maker quotes historically have represented the market
maker's willingness to buy or sell as principal a particular stock at a
stated price and size. Nasdaq maintains that although market maker
quotes are firm, and generally represented only the market maker's
proprietary trading interest prior to 1997, market makers often were
willing to trade well in excess of their quoted size.
In Janaury of 1997, however, the Commission implemented the Order
Handling Rules, which incorporated into Nasdaq some principles of
auction markets. Specifically, the SEC adopted Rule 11Ac1-4 (``Display
Rule''),\8\ which requires market makers to display customer limit
orders that: (1) are priced better than a market maker's quote; or (2)
add to the size of a market maker's quote when the market maker is at
the best bid or best offer (``BBO'') in Nasdaq.\9\ The SEC also adopted
amendments to its Firm Quote Rule--Rule 11Ac1-1 under the Act \10\--
which require a market maker to make publicly available any superior
prices that it privately quotes through an ECN (``ECN Rule'') by
either: (1) changing its quote to reflect the superior price in the
ECN; or (2) delivering better-priced orders to an ECN that disseminates
these priced orders to the public quotation system and provides broker-
dealers equivalent access to these orders (``ECN Display
Alternative'').
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\8\ 17 CFR 240.11Ac1-4.
\9\ The requirements found in Rule 11Ac1-4 under the Act do not
apply to any customer limit order that is: (1) executed upon
receipt; (2) placed by a customer who expressly requests, either at
the time that the order is placed or prior thereto pursuant to an
individually negotiated agreement with respect to such customer's
orders, that the order not be displayed; (3) an odd-lot order ; (4)
a block size order, unless a customer placing such order requests
that the order be displayed; (5) delivered immediately upon receipt
to an exchange or association-sponsored system, or an ECN that
complies with the requirements of Rule ``11Ac1-1(c)(5)(ii) under the
Act with respect to that order; (6) delivered immediately upon
receipt to another exchange member or OTC market maker that complies
with the requirement of this section with respect to that order; or
(7) an ``all or none'' order. See 17 CFR 240.11Ac1-4(c).
\10\ See 17 CFR 240.11Ac1-1.
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Nasdaq believes that the implementation of the OHR has effected the
structure of the dealer market and the way in which many market makers
transact business and process orders. Specifically, with the amendments
to the Display Rule, customers have the ability to directly effect a
market maker's quote and advertise their trading interest--along with
the market maker's proprietary interest--in the market maker's quote.
Market makers have expressed concern to Nasdaq that the implementation
of the OHR have caused them (market makers) to ``lose control'' of
their quotes because market makers must change their proprietary quote
to reflect certain limit orders and must ``advertise competing
interests in their quotes.'' Additionally, Nasdaq believes that the OHR
frequently make
[[Page 12200]]
it difficult for market makers to ``work'' institutional or block-sized
orders, which generally are accepted on a not-held basis and are for a
negotiated net price. For example, a market maker may be piecing out
part of an institutional/block-sized order in its quote (e.g., the
market maker is displaying a bid for 2,000 shares of a 20,000 share buy
order) when it receives a 200 share order priced 1/16th better than the
order being worked. Unless the market maker executes the smaller order
or sends it to an ECN or another broker-dealer to be displayed, the
market maker must display the 200 share customer limit order, which may
impede the market maker's ability to execute the institutional order
efficiently.
Nasdaq also believes that the inability of market makers to
separate their retail and proprietary interest sometimes causes
confusion to market participants. For example, if a market maker
displays a 200 share limit order that improves its quote, an
institutional customer may see the 200 share order in the quote and
erroneously believe that the quote represents a price level at which
the market maker wishes to trade proprietarily, for a greater size.
Thus, institutions may erroneously conclude that the price of a
displayed customer limit order represents the starting point for
negotiating the net price the institution will receive or pay if it
places a large order with the market maker.
Alternatively, a market maker may send a customer limit order to a
qualifying ECN or other broker/dealer for handling. Nasdaq contends
that in these situations, the market maker is, in effect, giving away
business. Furthermore, transaction costs may increase because the ECN
may impose a fee on the shipped limit order. In addition, the NASD's
Manning Interpretation \11\ requires the market maker to retrieve and
execute the limit order that was sent to the ECN or other market maker
it the market maker trades at the same or superior price to the limit
order.\12\ Nasdaq believes that retrieving the customer limit order
this may be logistically and technologically difficult for the market
maker. Thus, Nasdaq believes that the OHR have created regulatory and
administrative difficulties for market makers under certain
circumstances. Nasdaq notes that it has proposed to establish a limit
order facility or ``book'' in Nasdaq to address some of the issues
outlined above, but that such proposals have been unsuccessful in
obtaining SEC approval and industry support.\13\
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\11\ Under the Manning Interpretation, a member violates NASD
Rule 2110, which requires members to observe high standards of
commercial honor and just and equitable principles of trade, if the
member accepts and holds an unexecuted limit order from its customer
(or a customer of another member) in a Nasdaq security and continues
to trade the security for its own account at prices that would
satisfy the customer's limit order, without executing that limit
order. The interpretation further provides that a member firm may
negotiate specific terms and conditions applicable to the acceptance
of limit orders only with respect to limit orders that are: (a) for
customer accounts that meet the definition of an ``institutional
account'' as defined in Rule 3110(c)(4); or (b) 10,000 shares or
more, unless such orders are less than $100,000.
\12\ See NASD Rule 2110 and IM-2110-2; Interpretive Letter by
Tom Gira, Associate General Counsel, dated July 3, 1997, regarding
interaction between NASD Rule 2110/IM-2110-2 and Section 206(3) of
the Investment Advisers Act of 1940 (available on www.nasdr.com).
\13\ See e.g., SR-NASD-95-42, Exchange Act Release No. 37302
(June 11, 1996), 61 FR 31574 (June 20, 1996) (Notice of SR-NASD-95-
42 proposing to adopt the NAqcess system).
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(b) Agency Quote Proposal. Nasdaq believes that the Agency Quote
proposal is a logical solution to the problem of trying to represent
both proprietary and agency interest in the same quotation. Nasdaq also
believes that the Agency Quote proposal should satisfy the interest of
some market participants who desire to have a limit order display
capability (or book) in Nasdaq, while addressing concerns that Nasdaq
should not operate a limit order book that competes with members.
Under this proposal, Nasdaq would provide market makers with the
ability voluntarily display a separate and uniquely identified
quotation in the Nasdaq quote montage for displaying customer orders in
NNM securities. As proposed, market makers would be permitted to
establish a second MMID for Agency Quotes in stocks in which the firm
is a registered market maker in an NNM security.\14\ Nasdaq initially
is proposing to limit the Agency Quote capability to NNM securities so
that it can develop experience with this type of facility and study the
effects of the proposal on the market, before proposing to expand the
concept to the a Nasdaq SmallCap Market.
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\14\ If a market maker withdraws from a security on an unexcused
basis, the firm is deemed to have been withdrawn from registration
as a market maker and therefore will not be permitted to maintain an
Agency Quote. See NASD Rules 4619 and 4620. Similarly, if a firm
withdraws on an excused basis, the firm would be permitted to
maintain an Agency Quote during the excused withdrawal period. See
id.
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The proposal would permit market makers to publish a one-sided as
well as a two-sided Agency Quote, and would permit market makers to
leave their Agency Quote inactive. Market makers could display in the
Agency Quote their own customers' orders and the orders of other
broker/dealers. Market makers could choose to reflect the order, in
whole or in part, in the Agency Quote. (Of course, a market maker could
continue to represent a customer limit order in its proprietary quote.)
A market maker would not be permitted, however, to display in the
Agency Quote its own proprietary interest or the proprietary interest
of another broker/dealer that also is a registered market maker in the
security at issue. The rule provides, however, an exception to this
general prohibition, which would allow a market maker to display in the
Agency Quote a proprietary interest that represents a portion of a
customer order that the market maker has contemporaneously filled from
its inventory. This exception would assist market makers in working
large customer orders. Thus, a market maker would be able to stop a
portion of an institutional order, fill the stopped portion from
inventory, and display the stopped portion in its Agency Quote.\15\
Accordingly, market makers could use the Agency Quote to work an
institutional-sized order by displaying the entire order, or portions
of the order, in the quote.
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\15\ As noted infra, if a market maker executed its proprietary
interest displayed in the Agency Quote, the market maker would still
be obligated under the Manning Interpretation to protect any limit
order covered by Manning that may have been transferred to another
broker-dealer or ECN for execution.
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For example, a market maker working a 20,000 share order could
display 1,000 shares at a time in its Agency Quote. As noted above, the
market maker also could use the Agency Quote to offset orders that were
contemporaneously (and previously) executed with a customer that were
part of an institutional order. Thus, if a market maker received an
order to buy 100,000 shares from a customer and the market maker
immediately sold the customer 60,000 shares out of the market maker's
inventory, the market maker could thereafter reflect the 60,000 shares
in its Agency Quote (in full or incrementally) or cold reflect the full
100,000 shares in the Agency Quote (i.e., 60,00 shares proprietary and
40,000 shares agency).
Under the proposed rule change, the Manning Interpretation will
continue to apply to both the market maker's proprietary and Agency
Quotes. Therefore, a market maker will still be prohibited from trading
ahead of customer orders, whether the order was reflected in the market
maker's proprietary quote or Agency Quote.\16\ In
[[Page 12201]]
addition, Agency Quotes will be available for auto-execution through
SOES or its successor system.\17\ Any execution effected through the
automated facilities of Nasdaq against the Agency Quote would be
reported by the Nasdaq system.\18\ Nasdaq also will permit Agency
Quotes to use a supplemental size (i.e., reserve size) feature, so that
a customer could have a portion of its order displayed in the quote,
with the remainder of the order in reserve to be displayed in pieces
after the displayed portion is executed.
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\16\ As is the case today, a market maker could trade at a price
equal or superior to a customer limit order if the market maker had
negotiated ``terms and conditions'' consistent with the exception in
the Manning Interpretation. See note 11, supra.
\17\ Nasdaq has submitted a rule proposal to functionally
integrate the SOES and SelectNet systems. See File No. SR-NASD-99-
11.
\18\ Under the NASD's riskless principal rule proposal currently
on file with the SEC, the market maker would not be required to
report the offsetting buy/sell to the customer so long as the two
transactions (e.g., the sale to the market maker and offsetting buy
from the customer) were done contemporaneously at the same price.
See Exchange Act Release No. 40382 (Aug. 28, 1998), 63 FR 47337
(Sept. 4, 1998) (notice for SR-NASD-98-59 relating to trade
reporting).
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This proposal would provide a facility for the display and the
automatic execution of customer limit orders, and would also allow
market makers to retain their limit order business. Thus, the proposal
should satisfy the interest of some market participants who desire to
have a limit order display capability in Nasdaq, and allay some
concerns that Nasdaq should not operate a limit order book that
competes with members. Because quotes will be more easily identifiable
as either proprietary or agency, the proposal should also allow market
participants to better identify the prices and sizes at which market
makers wish to trade proprietarily. Thus, the proposal should
facilitate the negotiation of trades between market makers and
institutions, as well as other market participants.
(c) Fees for Accessing Agency Quotations. Currently, many ECNs
charge fees to market participants (and ECN subscribers) that execute
against a customer order that is displayed in the ECN. Although market
makers currently may not charge a similar fee when their public quotes
are accessed, market makers have expressed a desire to do so, in
particular since they often are acting as agent by displaying a
customer's interest in their quote. Some market makers argue that it is
inequitable that ECNs are permitted to charge a fee when their quote is
accessed, but market makers are prohibited from charging a fee in
similar situations when they act as agent.\19\ Nasdaq notes, however,
that in the past it was impossible to readily determine whether a
market maker's quote represented its customers' interest or its
proprietary interest, and thus whether it was acting as principal or
agent. The Agency Quote proposal, if adopted, should change the
structure of the market so it will be clear that when the market
maker's Agency Quote is accessed, it is acting as agent.\20\ In light
of the foregoing, Nasdaq plans to file a proposal shortly that would
permit market makers to charge a fee when their Agency is accessed,
similar to what ECNs currently may do.\21\ Nasdaq anticipates that the
Agency Quote Fee proposal will require market makers and ECNs to round
their quotes if the market maker's Agency Quote access fee exceeds a
\1/2\ cent per share.\22\
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\19\ The Commission has interpreted the Firm Quote Rule to
prohibit market maker fees for access to their public quotes. The
Commission also believes that ECNs are not subject to the same
obligations as market makers under SEC Rule 11Ac1-1(c)(5)(ii). See
Letters from Robert L.D. Colby, Deputy Director, Division of Market
Regulation (``Division''), Commission, to Joseph G. Messina, Vice
President, M.H. Meyerson & Co., Inc., dated June 12, 1998 and Louis
B. Todd, Jr., Partner--Head of Equity Trading, J.C. Bradford & Co.,
dated August 6, 1998.
\20\ The Commission notes that as proposed, a market maker could
display its proprietary interest in the Agency Quote if the maker
had previously and contemporaneously executed a customer order. As
proposed, this proprietary interest would not be identified as such
in the Agency Quote.
\21\ At this time, the Commission offers no opinion regarding
the forthcoming Agency Quote Fee proposal's consistency with the
Firm Quote Rule.
\22\ Nasdaq believes the pending Agency Quote fee proposal
should, among other things, increase price transparency and help to
identify potential best execution issues. Telephone conversation
between John Malitzis, Assistant General Counsel, Office of the
General Counsel, Nasdaq and Marc McKayle, Attorney, Division,
Commission, on March 1, 1999.
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(2) Statutory Basis
Nasdaq believes that the proposed rule change is consistent with
the provisions of Sections 15A(b)(6),\23\ 15A(b)(11),\24\ and 11A of
the Act.\25\ Section 15A(b)(6) \26\ requires that the rules of a
registered national securities association are 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 regulating, clearing, settling, processing
information with respect to, and facilitating transactions in
securities, to remove impediments to and perfect the mechanism of a
free and open market and a national market system, and, in general, to
protect investors and the public interest; these rules must not be
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers. Section 15A(b)(11) \27\ requires that the rules of
a registered national securities association be designed to produce
fair and informative quotations, prevent fictitious or misleading
quotations and to promote orderly procedures for collecting,
distributing, and publishing quotations. Section 11A(a)(1)(C) \28\
provides that it is in the public interest and appropriate for the
protection of investors and the maintenance of fair and orderly markets
to assure: (1) Economically efficient execution of securities
transactions; (2) fair competition among brokers and dealers; (3) the
availability to brokers, dealers and investors of information with
respect to quotations and transactions in securities; (4) the
practicability of brokers executing investors' orders in the best
market; and (5) an opportunity for investors' orders to be executed
without the participation of a dealer.
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\23\ 15 U.S.C. 78o-3(b)(6).
\24\ 15 U.S.C. 78o-3(b)(11.
\25\ 15 U.S.C. 78k-1.
\26\ 15 U.S.C. 78o-3(b)(6).
\27\ 15 U.S.C. 78o-3(b)(11.
\28\ 15 U.S.C. 78k-1(a)(1)(C).
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Nasdaq believes that the proposal will provide another mechanism--
and therefore make it easier--for market makers to display limit orders
and to comply with their obligations under the Order Handling Rules.
Thus, Nasdaq believes that the proposed rule change is consistent with
Section 11A \29\ and the SEC's Order Handling Rules,\30\ and, in
particular, the Display Rule.\31\ Additionally, customer limit orders
placed in the Agency Quote will be subject to auto-execution through
SOES or Nasdaq's successor system. Thus, the proposal should assure the
practicability of brokers executing investors' orders in the best
market and assure an opportunity for investors' orders to be executed
without the participation of a dealer. Additionally, by giving market
makers the choice to display agency interest in a separate quote
instead of sending the order to an ECN, transaction costs may be
reduced.
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\29\ U.S.C. 78k-1.
\30\ See note 4, supra.
\31\ See note 8, supra.
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Nasdaq believes that the proposal also will provide greater
information to the market and will decrease confusion because market
participants will be better able to determine whether a quote
represents a market maker's agency or proprietary interest. Thus, the
proposal should produce fair and informative quotations and assure the
availability to brokers, dealers and investors of information with
respect to quotations and transactions in securities.
The proposal also will make it easier for investors and market
participants to determine the price at which a market maker wishes to
trade proprietary. Thus, the proposal may better facilitate the
negotiation of trade prices between
[[Page 12202]]
market makers, institutions, and other market participants.
Accordingly, Nasdaq believes that the proposal will foster cooperation
and coordination with persons engaged in facilitating securities
transactions and will remove impediments to and perfect the mechanism
of a free and open market and a national market system, and protect
investors and the public interest.
(B) Self-Regulatory Organization's Statement on Burden on Competition
Nasdaq does not believe that the proposed rule change will result
in any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act, as amended.
(C) Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received from Members, Participants, or Others
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing
for Commission Action
Within 35 days of the date of publication of this notice in the
Federal Register or within such longer period (i) as the Commission may
designate up to 90 days of such date if it finds such longer period to
be appropriate and publishes its reasons for so finding or (ii) as to
which the self-regulatory organization consents, the Commission will:
(A) by order approve such proposed rule change, or
(B) institute proceedings to determine whether the proposed rule
change should be disapproved.
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. 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 in the
Commission's Public Reference Room. Copies of such filing will also be
available for inspection and copying at the principal office of the
NASD. All submissions should refer to File No. SR-NASD-99-09 and should
be submitted by April 1, 1999.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\32\
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\32\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 99-6044 Filed 3-10-99; 8:45 am]
BILLING CODE 8010-01-M
