[Federal Register Volume 65, Number 149 (Wednesday, August 2, 2000)]
[Notices]
[Pages 47550-47551]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-19501]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-43075; File No. SR-NYSE-00-20]


Self-Regulatory Organizations; New York Stock Exchange, Inc.; 
Order Approving Proposed Rule Change Relating to Listing Fees for 
Closed-End Funds

July 26, 2000.

I. Introduction

    On May 3, 2000 the New York Stock Exchange, Inc. (``NYSE'' or 
``Exchange'') submitted to the Securities and Exchange Commission 
(``Commission'') pursuant to Section 19(b)(1) of the Securities 
Exchange Act of 1934 (``Act''),\1\ and Rule 19b-4 thereunder,\2\ a 
proposed rule change. The proposed rule change was published for 
comment in the Federal Register on June 23, 2000.\3\ The Commission did 
not receive any comment letters with respect to the

[[Page 47551]]

proposal. This order approves the Exchange's proposal.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Securities Exchange Act Release No. 34-42948 (June 15, 
2000), 65 FR 39216.
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II. Description of the Proposal

1. Purpose

    The proposed rule change amends the listed company fee schedule, 
set forth in Paragraph 902.02 of the Listed Company Manual 
(``Manual''), as it applies to original listing fees. The Exchange 
seeks to adopt a minimum original listing fee for each new closed-end 
fund depending upon the number of shares offered. As proposed, closed-
end funds would be subject to a minimum original listing fee based upon 
the number of shares outstanding as follows: up to 10 million shares--
$100,000; up to 24 million shares--$125,000; and over 24 million 
shares--$150,000. This minimum would include the Exchange's one-time 
special charge of $36,800.
    The Exchange recently received approval for a minimum fee that 
specifically excluded closed-end funds in anticipation of this filing 
because such funds, unlike corporations, do not issue additional shares 
of securities.\4 \ Thus, the Exchange felt it would be inappropriate to 
apply the same fee schedule applied to corporations to closed-end 
funds.
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    \4\ See Securities Exchange Act Release No. 42606 (March 31, 
2000), 65 FR 18415 (April 7, 2000) (SR-NYSE-00-10).
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III. Discussion

    The Commission finds that the proposed rule change is consistent 
with the requirements of Section 6 of the Act \5\ and the rules and 
regulations thereunder applicable to a national securities exchange.\6 
\ In particular, the Commission finds the proposed rule change is 
consistent with Section 6(b)(4) of the Act,\7\ which requires that the 
rules of an exchange provide for the equitable allocation of reasonable 
dues, fees, and other charges among its members and issuers and other 
persons using its facilities. Specifically, the Commission believes 
that the Exchange's proposal to establish the minimum original listing 
fee schedule for closed-end funds described above is not unreasonable 
to the Exchange's issuers. Also, the Commission believes that because 
the fees are proportional to the number of shares outstanding, these 
fees are equitably allocated among the issuers. Thus, the Commission 
finds that the proposed rule change is consistent with the Act.
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    \5\ 15 U.S.C. 78f.
    \6\ In approving this rule, the Commission has considered the 
proposed rule's impact on efficiency, competition, and capital 
formation. 15 U.S.C. 78c(f).
    \7\ 15 U.S.C. 78f(b)(4).
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IV. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the 
Act,\8\ that the proposed rule change (SR-NYSE-00-20) is approved.
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    \8\ 15 U.S.C. 78s(b)(2).

    By the Commission, for the Division of Market Regulation, 
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 00-19501 Filed 8-1-00; 8:45 am]
BILLING CODE 8010-01-M