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Notice

Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Elimination of One of its NYSE OpenBook® Services

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Start Preamble September 11, 2007.

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 August 30, 2007, the New York Stock Exchange LLC (“NYSE” or the “Exchange”) filed Start Printed Page 53272with the Securities and Exchange Commission (“Commission”) the proposed rule change as described in Items I, II and III below, which Items have been substantially prepared by the Exchange. The Commission is publishing this notice to solicit comment 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 is proposing to eliminate one of its NYSE OpenBook ® services as described below. The text of the proposed rule change is available at NYSE, the Commission's Public Reference Room, and http://www.nyse.com.

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 Exchange 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 Exchange 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

NYSE OpenBook provides market participants with depth-of-market data. It is a compilation of limit order data that the Exchange provides to market data vendors, broker-dealers, private network providers, and other entities through a data feed. For every limit price, NYSE OpenBook includes the aggregate order volume.

Currently, the Exchange provides two NYSE OpenBook services. One of the services updates NYSE OpenBook limit order information every five seconds (the “Five-Second NYSE OpenBook Service”). The other NYSE OpenBook service updates NYSE OpenBook limit order information in real-time (the “Real-Time NYSE OpenBook Service”). The Five-Second NYSE OpenBook Service imposes a device fee of $50.00 per month for each terminal through which the end user is able to display the service. The Commission approved the Five-Second NYSE OpenBook Service device fee in December 2001.[3] The Real-Time NYSE OpenBook Service imposes a device fee of $60.00 per month for each such terminal. The Commission approved the Real-Time NYSE OpenBook Service device fee in April 2006.[4] The Exchange is not proposing to modify the NYSE OpenBook device or access fees in this proposed rule change.

In order to minimize customer impact, the Exchange made the business decision to support both versions of OpenBook (the Five-Second NYSE OpenBook Service and the Real-Time NYSE OpenBook Service) for an undefined acceptance period. The Exchange has made the Real-Time NYSE OpenBook Service available for more than a year now. In that time, NYSE OpenBook subscribers have switched from the Five-Second NYSE OpenBook Service to the Real-Time NYSE OpenBook Service. The Exchange states that currently, all recipients of the NYSE OpenBook data feed receive the Real-Time NYSE OpenBook data feed, although a small and dwindling number of them also receive the Five-Second NYSE OpenBook data feed. In addition, more than 99 percent of all end-users of NYSE OpenBook information use Real-Time NYSE OpenBook rather than Five-Second NYSE OpenBook information.

Due to lack of customer demand for the Five-Second NYSE OpenBook Service, the Exchange proposes to eliminate the Five-Second NYSE OpenBook Service, effective October 1, 2007.

2. Statutory Basis

The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act [5] in general, and furthers the objectives of Section 6(b)(5) of the Act [6] in particular, in that it is designed to promote just and equitable principles of trade, 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.

B. Self-Regulatory Organization's Statement on Burden on Competition

The Exchange does not believe that the proposed rule change will impose any burden on competition that is not necessary or appropriate in 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 neither solicited nor received written comments on the proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action

Because the foregoing proposed rule change: (i) Does not significantly affect the protection of investors or the public interest; (ii) does not impose any significant burden on competition; and (iii) does not become operative for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act [7] and Rule 19b-4(f)(6)(iii) thereunder.[8]

At any time within 60 days of the filing of the 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.

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. Comments may be submitted by any of the following methods:

Electronic Comments

Paper Comments

  • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-NYSE-2007-80. This file number should be included on the Start Printed Page 53273subject line if e-mail is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commissions Internet Web site (http://www.sec.gov/​rules/​sro.shtml). 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, 100 F Street NE., Washington, DC 20549, on official business days between the hours of 10 a.m. and 3 p.m. Copies of such filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR-NYSE-2007-80 and should be submitted on or before October 9, 2007.

Start Signature

For the Commission, by the Division of Market Regulation, pursuant to delegated authority.[9]

Florence E. Harmon,

Deputy Secretary.

End Signature End Preamble

Footnotes

3.  See Securities Exchange Act Release No. 44138 (December 7, 2001), 66 FR 64895 (December 14, 2001) (SR-NYSE-2001-42).

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4.  See Securities Exchange Act Release No. 53585 (March 31, 2006), 71 FR 17934 (April 7, 2006) (SR-NYSE-2004-43).

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8.  17 CFR 240.19b-4(f)(6)(iii). Rule 19b-4(f)(6)(iii) requires the Exchange to give written notice to the Commission of its intent to file the proposed rule change at least five business days prior to filing. The Exchange complied with this requirement.

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[FR Doc. E7-18270 Filed 9-17-07; 8:45 am]

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