[Federal Register Volume 61, Number 152 (Tuesday, August 6, 1996)]
[Notices]
[Pages 40870-40871]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-19903]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-37499; File No. SR-NYSE-96-20]
Self-Regulatory Organizations; Notice of Filing of Proposed Rule
Change by the New York Stock Exchange, Inc. Relating to Retroactive
Reduction of the Odd-Lot Equity Transaction Charges and the Specialist
Odd-Lot Charge
July 30, 1996.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
[[Page 40871]]
(``Act''),\1\ notice is hereby given that on July 23, 1996, the New
York Stock Exchange, Inc. (``NYSE'' or ``Exchange'') filed with the
Securities and Exchange Commission (``Commission'' or ``SEC'') 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.
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\1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The proposed amendment would make retroactive, to January 1, 1996,
the new fee schedule for Odd-Lot Equity Transaction Charges and the
Specialist Odd-Lot Charge that was the subject of SR-NYSE-96-14 and was
approved by the SEC by Release Number 34-37430 dated July 12, 1996.\2\
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\2\ The Commission notes that, in File No. SR-NYSE-96-14, the
NYSE incorporated odd-lot orders into its ``no charge'' policy for
SuperDot equity public agency transactions, but excluded odd-lot
orders of nonmember competing market makers from this policy. In
addition, the NYSE lowered the Specialist Odd-Lot Charge from $0.004
per share to $0.00135 per share. See Securities Exchange Act Release
No. 37430 (July 12, 1996), 61 FR 37784. See also Securities Exchange
Act Release No. 37273 (June 4, 1996), 61 FR 29438 (allowing the NYSE
to exclude the orders of nonmember competing market makers from its
``no charge'' policy).
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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
This rule change proposes to apply the recent reduction of odd-lot
fees retroactively to January 1, 1996, thus conferring a benefit upon
the members of the Exchange and responding to the needs of our
constituents with respect to overall competitive market conditions.
2. Statutory Basis
The Exchange believes the basis under the Act for the proposed rule
change is the requirement under Section 6(b) (4) \3\ that an exchange
have rules that provide for the equitable allocation of reasonable
dues, fees, and other charges among its members, issuers, and other
persons during using its services.
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\3\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange believes the proposed rule change will impose no
burden on competition that is not necessary or appropriate in the
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 not solicited, and does not intend to solicit,
comments regarding the proposed rule change. The Exchange has not
received any unsolicited written comments from members or other
interested parties.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within 35 days of the 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 the 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. 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. Also, copies of such filing will be available
for inspection and copying at the principal office of the NYSE. All
submissions should refer to File No. SR-NYSE-96-20 and should be
submitted by August 27, 1996.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\4\
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\4\ 17 C.F.R. 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 96-19903 Filed 8-5-96; 8:45 am]
BILLING CODE 8010-01-M
