[Federal Register Volume 73, Number 121 (Monday, June 23, 2008)]
[Notices]
[Pages 35427-35428]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-14060]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-57972; File No. SR-ISE-2008-44]
Self-Regulatory Organizations; International Securities Exchange,
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule
Change Regarding Fees for Enhanced Sentiment Market Data
June 16, 2008.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on June 9, 2008, the International Securities Exchange, LLC (the
``Exchange'' or the ``ISE'') filed with the Securities and Exchange
Commission (the ``Commission'') 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).
\2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The ISE is proposing to amend its Schedule of Fees to remove fees
for enhanced sentiment market data. The text of the proposed rule
change is available on the Exchange's Web site (http://www.ise.com), at
the principal office of the Exchange, and at the Commission's Public
Reference Room.
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 ISE 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 ISE 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
Pursuant to a filing previously approved by the Commission, the
Exchange currently sells on a subscription basis, to both members and
non-members, an enhanced sentiment market data offering that is geared
primarily to retail investors.\3\ This offering is based on the ISE
Sentiment Index[supreg], or ISEE[supreg], a calculation that represents
an overall view of market sentiment. The ISEE provides an intra-day
picture of how investors view stock prices by assessing customers'
option
[[Page 35428]]
trading activity. Unlike the traditional put/call ratio, which makes no
distinction between customer, market maker or firm transactions, the
ISEE measures only opening long customer transactions on the ISE. The
ISE updates the current ISEE value hourly during market hours and posts
it for free on its Web site.\4\
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\3\ See Securities Exchange Act Release Nos. 53532 (March 21,
2006), 71 FR 15501 (March 28, 2006) (SR-ISE-2005-56) (Notice of
Filing of Proposed Rule Change to Establish Fees for Enhanced
Sentiment Market Data); 53756 (May 3, 2006), 71 FR 27526 (May 11,
2006) (SR-ISE-2005-56) (Order Approving Proposed Rule Change to
Establish Fees for Enhanced Sentiment Market Data) (the ``Initial
Filing'').
\4\ http://www.iseoptions.com/marketplace/statistics/sentiment_index.asp.
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This retail-oriented enhanced sentiment market data offering is
available to on-line investors on a subscription basis and is also
offered by third parties that participate in the Exchange's Marketing
Alliance program.\5\
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\5\ When the Commission published the Initial Filing, the
Marketing Alliance program was known as the ISE Broker Marketing
Alliance, and participation in it was limited to broker-dealers.
Following the launch of the ISEE Select market data offering, and in
response to the interest the Exchange received from many non-broker-
dealers wishing to participate in the Marketing Alliance program,
the Exchange subsequently expanded the program by eliminating its
limitation to only broker-dealers. See Securities Exchange Act
Release Nos. 54508 (September 26, 2006), 71 FR 58459 (October 3,
2006) (SR-ISE-2006-44) (Notice of Filing of Proposed Rule Change to
Expand the Broker Marketing Alliance to Include Non-Broker-Dealers
with Regard to Enhanced Sentiment Market Data Offering); 54704
(November 3, 2006), 71 FR 65859 (November 9, 2006) (SR-ISE-2006-44)
(Order Approving Proposed Rule Change to Expand the Broker Marketing
Alliance to Include Non-Broker-Dealers with Regard to Enhanced
Sentiment Market Data Offering).
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The Exchange subsequently also introduced multi-product discounts
for subscriptions to this offering.\6\
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\6\ See Securities Exchange Act Release No. 55288 (February 13,
2007), 72 FR 8219 (February 23, 2007) (SR-ISE-2007-09) (Notice of
Filing and Immediate Effectiveness of Proposed Rule Change to
Establish Fee Discounts for Enhanced Sentiment Market Data
Offering).
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The Exchange currently also sells on a subscription basis, to both
members and non-members, an enhanced sentiment market data offering
that is geared primarily to institutional subscribers.\7\ This
institution-oriented enhanced sentiment market data offering is a data
feed that provides a bulk delivery of up to 1,700 ISEE Select
values.\8\
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\7\ See Securities Exchange Act Release No. 56315 (August 24,
2007), 72 FR 50148 (August 30, 2007) (SR-ISE-2007-58).
\8\ Id.
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The Exchange has now determined, for business reasons, to
terminate, effective August 1, 2008, the retail-oriented enhanced
sentiment market data offering. Accordingly, the Exchange proposes to
remove reference to this product and associated fees from its fee
schedule. The Exchange is not proposing to make any changes to the
institution-oriented enhanced sentiment market data offering, known as
the ISEE Select Data Feed, as that offering will continue to be sold by
ISE.
2. Statutory Basis
The basis under the Act for this proposed rule change is the
requirement under Section 6(b)(4),\9\ that an exchange have an
equitable allocation of reasonable dues, fees and other charges among
its members and other persons using its facilities.
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\9\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The proposed rule change does not 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 not solicited, and does not intend to solicit,
comments on this 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
Because the foregoing proposed rule change: (1) Does not
significantly affect the protection of investors or the public
interest; (2) does not impose any significant burden on competition;
and (3) by its terms does not become operative for 30 days after the
date of this filing, 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 \10\ and Rule 19b-4(f)(6)
thereunder.\11\
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\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 17 CFR 240.19b-4(f)(6).
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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
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-ISE-2008-44 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street, NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-ISE-2008-44. 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 ISE. 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-ISE-2008-44 and should be
submitted on or before July 14, 2008.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
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\12\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Acting Secretary.
[FR Doc. E8-14060 Filed 6-20-08; 8:45 am]
BILLING CODE 8010-01-P