[Federal Register Volume 63, Number 45 (Monday, March 9, 1998)]
[Notices]
[Pages 11470-11471]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-5890]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-39705; File No. SR-BSE-98-02]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by the Boston Stock Exchange,
Incorporated Relating to its Fee Schedule
March 2, 1998.
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 March 2,
1998, the Boston Stock Exchange, Incorporated (``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. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange seeks to amend its fee schedule pertaining to Floor
Operation 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 fee revision is to eliminate the $.50
per trade charge to specialists for all non-self-directed market orders
from 100 to 2,500 shares in the top 1,000 Consolidated Tape Association
(``CTA'') ranked stocks. At the same time, the Exchange also proposes
to rebate to its specialists an amount equal to five months (October
1997--February 1998) of the same $.50 per trade charge for non-self-
directed market orders. This is in keeping with the Exchange's practice
of distributing profits back to its membership, and of providing its
members with increased incentives for directing more order flow to the
Exchange.
2. Statutory Basis
The Exchange believes that the basis for the proposed rule change
is Section 6(b)(5) of the Act,\1\ in that the proposed rule change is
designed 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;
and is not designed to permit unfair discrimination between customers,
issuers, brokers, or dealers.
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\1\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe the proposed rule change will impose
any burden on competition
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 proposed rule change has become effective upon filing pursuant
to Section 19(b)(3)(A) of the Act \2\ and subparagraph (e) of Rule 19b-
4 thereunder,\3\ in that the proposal
[[Page 11471]]
establishes or changes a due, fee, or other charge by eliminating a
member fee and rebating that same fee to BSE members for the months
October 1997 to February 1998. 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.
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\2\ 15 U.S.C. 78f(b)(3)(A).
\3\ 17 CFR 19b-4.e(6).
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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 at the
Commission's Public Reference Room. Copies of such filing will also be
available for inspection and copying at the principal office of the
Exchange. All submissions should refer to File No. SR-BSE-98-02 and
should be submitted by March 30, 1998.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.
Jonathan G. Katz,
Secretary.
[FR Doc. 98-5890 Filed 3-6-98; 8:45 am]
BILLING CODE 8010-01-M
