[Federal Register Volume 60, Number 124 (Wednesday, June 28, 1995)]
[Notices]
[Pages 33448-33449]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-15808]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-35876; File No. SR-CBOE-95-29]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by the Chicago Board Options
Exchange, Inc. Relating to Exchange Fees for the Provision of Last
Sales Data
June 21, 1995.
Pursaunt to Section 19(b)(1) of the Securities Exchange Act of
1934, 15 U.S.C. 78s(b)(1), notice is hereby given that on May 23, 1995,
the Chicago Board Options Exchange, Incorporated (``CBOE'' 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 CBOE. 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 CBOE hereby gives notice that it is establishing a fee,
pursuant to Rule 2.22 (``Other Fees or Charges''), for the provision to
members of last sales tape data (``Time and Sales'' data) over the CBOE
Trade Match (``CTM'') \1\ terminal network. This service will replace
the Exchange's present service whereby Time and Sales data is provided
on microfiche. Consequently, the Exchange is also eliminating the fee
associated with the microfiche service.
\1\ The CTM is a comparison system for trades, used to resolve
any discrepancies between price, quantity, parties, and contract
terms. Subsequent to the execution of a trade on the Exchange, the
Exchange. through computer runs, matches the trade information data
recorded by the purchasing member with the information recorded by
the selling member. Clearing members are advised of transactions for
which matching buy and sell data has not been submitted. After
allowing the relevant clearing members to submit corrections or
changes, the matched transaction data is sent by the CBOE to the
Options Clearing Corporation for clearance and settlement. See
Securities Exchange Act Release No. 30000 (November 26, 1991) 56 FR
63531 (December 4, 1991).
---------------------------------------------------------------------------
The text of the proposed rule change is available at the Office of
the Secretary, CBOE, and at the Commission.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, CBOE 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 CBOE 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
The purpose of the proposed rule change is to establish a fee for a
new service the Exchange is offering to its members to enable the
members to obtain Time and Sales data.
The Exchange has been providing a service to its members whereby
the Exchange would reproduce on microfiche the last sales tape, which
reports all of the daily sales on the Exchange and the time of those
sales. The fee for this service has been $335 per month. However, the
cost of reproducing this report on microfiche has continued to rise to
the point that the Exchange has been unable to cover its expenses at
this price. Consequently, the Exchange has decided to discontinue this
service, which has been used by few members due to its cost.
In place of this microfiche report, the Exchange is now offering to
its members the opportunity to access the Time and Sales data on-line
on the CTM terminal network.\2\ The fee for this service will be $175
per month. In addition, a firm will be charged $5 for each recall of
data older than three days. There will be no charge for the first five
such historical recalls in a given month.
\2\ The CTM terminal network is an internal on-line network of
the Exchange through which clearing firm members of the Exchange can
access information on matched and unmatched trades. Back office
personnel of clearing firm members generally have access to the CTM
terminal network in their offices.
---------------------------------------------------------------------------
In addition to reducing costs to members and eliminating a cost to
the Exchange, this new proposal provides a number of other advantages.
This service provides immediate access to information using terminals
that are already present in members' back offices, eliminates fiche
storage, and allows the printing of specific pages when necessary.
The CBOE represents that the proposed rule change is consistent
with Section 6 of the Act, in general, and Section 6(b)(4), in
particular, in that it provides for the equitable distribution of
reasonable fees and other charges among members using its facilities.
B. Self-Regulatory Organization's Statement on Burden on Competition
CBOE does not believe that 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 rule change described herein establishes or changes a due, fee,
or other change imposed by the Exchange and therefore, has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-4(e)
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 purpose 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, NW., [[Page 33449]] Washington,
DC 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 Section, 450 Fifth Street,
NW., Washington, DC 20549. Copies of such filing will also be available
for inspection and copying at the principal office of CBOE. All
submissions should refer to File No. SR-CBOE-95-29 and should be
submitted by July 19, 1995.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\3\
\3\ 17 CFR 200.30-3(a)(12) (1994).
---------------------------------------------------------------------------
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-15808 Filed 6-27-95; 8:45 am]
BILLING CODE 8010-01-M
