[Federal Register Volume 60, Number 146 (Monday, July 31, 1995)]
[Notices]
[Pages 39034-39035]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-18704]
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[[Page 39035]]
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-36008; File No. SR-NSCC-95-08]
Self-Regulatory Organizations; National Securities Clearing
Corporation; Notice of Filing and Immediate Effectiveness of a Proposed
Rule Change Regarding a Technical Correction to its Fee Schedule
July 21, 1995.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on July 5, 1995, National
Securities Clearing Corporation (``NSCC'') filed with the Securities
and Exchange Commission (``Commission'') the proposed rule change (File
No. SR-NSCC-95-08) as described in Items I, II, and III below, which
items have been prepared primarily by NSCC. The Commission is
publishing this notice to solicit comment on the proposed rule change
from interested persons.
\1\ 15 U.S.C. 78s(b)(1) (1988).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The proposed rule change makes a technical correction to NSCC's fee
schedule to include a fee inadvertently deleted when changes were made
to NSCC's rules and fees to accommodate three day settlement of
securities transactions (``T+3'').
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, NSCC 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. NSCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\2\
\2\ The Commission has modified parts of these statements.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
Prior to the recent amendments to its rules and fees to accommodate
T+3 settlement, NSCC's fee structure had a category labeled Basket
Trades in the Trade Comparison and Recording Fee section and a
separated basket fee in the Pass Through and Other Fees section. Within
the Trade Comparison section, NSCC had two charges, a $30 charge for
the processing of baskets (i.e. processing of a basket includes such
things as the bursting of the basket into the underlying security
components) and a $10 charge for the processing of mini baskets. The
$30 fee category also was used to charge members for the creation and
redemption of index receipts. The fee schedule also had a separate
charge of $125 per month which covered the production of the
composition file for baskets and index receipts. When NSCC revised its
rules and fees for T+3, it deleted references to and fees for baskets
because NSCC does not process these items any longer. This resulted in
the unintentional deletion of the fee category used for the creation
and redemption of index products. It did not delete the $125 charge for
the production of a composition file for baskets.
The purpose of the proposed rule change is to restore and to rename
the $30 fee that NSCC charges to process index receipts (i.e., to
accept creation and redemption instructions) and to rename the fee
associated with the production of the composition file. The new names
will reflect the fact that the fees are for services provided in
connection with index receipts.
The proposed rule change is consistent with Section 17A(b)(3)(D)
\3\ of the Act, as amended, which requires that the rules of a
registered clearing agency provide for the equitable allocation of
reasonable fees for the services which it provides to participants.
\3\ 15 U.S.C. 78q-1(b)(3)(D) (1988).
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B. Self-Regulatory Organization's Statement on Burden on Competition
NSCC does not perceive that the proposed rule change will have an
impact on or impose a 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 have been solicited or received. NSCC will
notify the Commission of any written comments received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective on filing pursuant
to Section 19(b)(3)(A)(ii) \4\ of the Act and pursuant to Rule 19b-
4(e)(2) \5\ in that the proposed rule change establishes or changes a
due, fee, or other charge imposed by NSCC. At any time within sixty
days of the filing of this 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.
\4\ 15 U.S.C. 78s(b)(3)(A)(ii) (1988).
\5\ 17 CFR 240.19b-4(e)(2) (1994).
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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 submissions, 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. Sec. 552, will be available for inspection and copying in
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 offices of NSCC.
All submissions should refer to File No. SR-NSCC-95-08 and should
be submitted by August 21, 1995.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\6\
\6\ 17 CFR 200.30-3(a)(12) (1993).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-18704 Filed 7-28-95; 8:45 am]
BILLING CODE 8010-01-M
