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A# |
5679 |
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P&S #: |
5249 |
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DATE: |
September 25, 2003 |
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TO: |
ALL PARTICIPANTS |
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ATTENTION: |
Managing Partner/Officer; Operations Partner/Officer |
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FROM: |
Karen L. Saperstein |
| SUBJECT: | Rule Change |
On June 19, 20031 National Securities Clearing Corporation (“NSCC”) filed and on September 23, 2003 the Securities and Exchange Commission (“SEC”) approved a rule filing that modified NSCC’s Rules & Procedures so that NSCC may receive locked-in trade data from an SRO that operates a trading system that provides anonymity, such as trades executed on NASDAQ’s Super Montage platform.2
At the request of the SRO, NSCC may report back to Members such trades identifying an acronym selected by the SRO instead of naming the actual contra side. The purpose of the rule filing is to provide that, in such event, the contra side is one of the members eligible to execute trades on the anonymous trading system. The rules will further provide that if NSCC ceases to act for the un-named contra party, the applicable entity providing the anonymous trading system will be responsible for identifying to members which of their trades are with the affected member.
NSCC will implement these changes on September 29, 2003. Participants will be provided with details of the implementation via a subsequent Important Notice.
Questions regarding this matter should be directed to Elena Staloff, Director, Product Marketing and Development at (212) 855-5699.
Karen L. Saperstein
Managing Director and General Counsel