[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]



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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).
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    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.
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    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).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-15808 Filed 6-27-95; 8:45 am]
BILLING CODE 8010-01-M