[Federal Register Volume 72, Number 228 (Wednesday, November 28, 2007)]
[Notices]
[Pages 67332-67333]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-23122]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-56828; File No. SR-Phlx-2007-87]


Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to the Trading Sessions for Selected ETFs

November 20, 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 November 19, 2007, the Philadelphia Stock Exchange, Inc. (``Phlx'' 
or ``Exchange'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I and 
II below, which Items have been substantially prepared by Phlx. The 
Exchange filed the proposal as a ``non-controversial'' proposed rule 
change pursuant to Section 19(b)(3)(A)(iii) of the Act \3\ and Rule 
19b-4(f)(6) thereunder,\4\ which renders it effective upon filing with 
the Commission. 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).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \4\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    Phlx proposes to update the list in Phlx Rule 101 of securities 
eligible to trade in one or more, but not all three, of the Exchange's 
trading sessions. The securities to be added are: (1) iShares[reg] MSCI 
Canada Index Fund; (2) iShares[reg] MSCI EAFE Index Fund; (3) 
iShares[reg] MSCI EAFE Value Index Fund; (4) iShares[reg] MSCI Emerging 
Markets Index Fund; (5) iShares[reg] MSCI S&P Europe 350 Index Fund; 
(6) SPDR[reg] DJ Global Titans ETF; and (7) Vanguard Emerging Markets 
ETF.\5\ The text of the proposed rule change is available at Phlx's 
principal office, the Commission's Public Reference Room, and http://www.phlx.com.
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    \5\ Recently, NYSEArca, Inc. (``NYSEArca'') filed and received 
approval for a proposed rule change to expand the trading hours of 
the securities of certain exchange-traded funds (``ETFs'') traded on 
the NYSE Arca Marketplace to include all three trading sessions. See 
Securities Exchange Act Release No. 56627 (October 5, 2007), 72 FR 
58145 (October 12, 2007) (SR-NYSEArca-2007-75). Phlx is not 
proposing to adopt these changes at this time. Prior to this, 
NYSEArca restricted the trading of certain ETFs, including those 
referred to in this proposed rule change, to one or two, but not all 
three, of its trading sessions. In this proposed rule change, Phlx 
is proposing to adopt the same restricted sessions that NYSEArca had 
for the named ETFs prior to the approval of SR-NYSEArca-2007-75.
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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, Phlx 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 those 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 parts of such 
statements.

[[Page 67333]]

A. Self-Regulatory Organization's Statement of the Purpose of, and the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The purpose of the proposed rule change is to accommodate the 
trading of various securities that may not trade during all three 
trading sessions on XLE. Phlx Rule 101 provides that XLE shall have 
three trading sessions each day: A Pre Market Session (8 a.m. Eastern 
Time (``ET'') to 9:30 a.m. ET), a Core Session (9:30 a.m. ET to 4 p.m. 
or 4:15 p.m. ET), and a Post Market Session (end of Core Session to 6 
p.m. ET). Phlx Rule 101 includes a list of those securities that are 
eligible to trade in one or more, but not all three, of XLE's trading 
sessions. The Exchange maintains on its Web site (http://www.phlx.com) 
a list that identifies all securities traded on XLE that do not trade 
for the duration of each of the three sessions specified in Phlx Rule 
101. The Exchange proposes to add the following securities to this 
list: (1) iShares[reg] MSCI Canada Index Fund; (2) iShares[reg] MSCI 
EAFE Index Fund; (3) iShares[reg] MSCI EAFE Value Index Fund; (4) 
iShares[reg] MSCI Emerging Markets Index Fund; (5) iShares[reg] MSCI 
S&P Europe 350 Index Fund; (6) SPDR[reg] DJ Global Titans ETF; and (7) 
Vanguard Emerging Markets ETF. These securities are traded on the 
Exchange pursuant to unlisted trading privileges and are Index Fund 
Shares, described in Phlx Rule 803(l).
2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) of the Act \6\ in general, and furthers the objectives of Section 
6(b)(5) of the Act \7\ 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.
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    \6\ 15 U.S.C. 78f(b).
    \7\ 15 U.S.C. 78f(b)(5).
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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

    No written comments were either solicited or received.

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

    Because the foregoing proposed rule change does not: (1) 
Significantly affect the protection of investors or the public 
interest; (2) impose any significant burden on competition; and (3) 
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, it has become 
effective pursuant to Section 19(b)(3)(A) of the Act \8\ and Rule 19b-
4(f)(6) thereunder.\9\
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    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 240.19b-4(f)(6). In addition, Phlx has given the 
Commission written notice of its intent to file the proposed rule 
change, along with a brief description and text of the proposed rule 
change, at least five business days prior to the date on which the 
Exchange filed the proposed rule change. See 17 CFR 240.19b-
4(f)(6)(iii).
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    Phlx has requested that the Commission waive the 30-day operative 
delay and designate the proposed rule change to become operative 
immediately. The Commission believes that granting this request is 
consistent with the protection of investors and the public interest 
because the Exchange is merely clarifying which ETFs do not trade in 
all three of its trading sessions when such trading hours have been 
established pursuant to other proposed rule changes. Therefore, the 
Commission designates the proposed rule change as operative upon 
filing.\10\
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    \10\ For the purposes only of waiving the operative date of this 
proposal, the Commission has considered the proposed rule's impact 
on efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
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    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 the 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

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an e-mail to [email protected]. Please include 
File Number SR-Phlx-2007-87 on the subject line.

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-Phlx-2007-87. This file 
number should be included on the subject 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 Commission's 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-Phlx-2007-87 and should be 
submitted on or before December 19, 2007.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
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    \11\ 17 CFR 200.30-3(a)(12).
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Nancy M. Morris,
Secretary.
 [FR Doc. E7-23122 Filed 11-27-07; 8:45 am]
BILLING CODE 8011-01-P