
[Federal Register: January 25, 2010 (Volume 75, Number 15)]
[Notices]               
[Page 3950-3951]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr25ja10-91]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-61368; File No. SR-ISE-2009-87]

 
Self-Regulatory Organizations; International Securities Exchange, 
LLC; Order Approving Proposed Rule Change Relating to Foreign Currency 
Options

January 15, 2010.

I. Introduction

    On October 27, 2009, the International Securities Exchange, LLC 
(``ISE'' or ``Exchange'') filed with 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 to amend its rules regarding 
Foreign Currency Options (``FX Options'') to permit the Exchange to 
list a single strike price of one cent ($0.01) for each expiration 
month for FX Options opened for trading on the Exchange. The proposed 
rule change was published for comment in the Federal Register on 
November 24, 2009.\3\ The Commission received no comment letters on the 
proposal. This order approves the proposed rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Securities Exchange Act Release No. 61024 (November 18, 
2009), 74 FR 61395 (November 24, 2009).
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II. Description of the Proposal

    ISE Rule 2205 governs the opening for trading of series of FX 
Options.\4\ Pursuant to ISE Rule 2205, after a class of options 
contracts on any underlying currency pair has been approved for listing 
and trading, the Exchange may open for trading series of FX Options 
that expire in consecutive monthly intervals, in three or ``cycle'' 
month intervals, or that have up to 36 months to expiration. The 
Exchange also may open additional consecutive month series of the same 
class for trading at or about the time a prior consecutive month series 
expires.
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    \4\ ISE began trading FX options on April 17, 2007. See 
Securities Exchange Act Release No. 55575 (April 3, 2007), 72 FR 
17963 (April 10, 2007) (SR-ISE-2006-59) (the ``FX Options Order'').
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    ISE now proposes to amend ISE Rule 2205 to allow the Exchange to 
list a single strike price of one cent ($0.01) for each expiration 
month for FX Options opened for trading on the Exchange. The proposed 
one cent strike would be in addition to the strike prices listed by the 
Exchange pursuant to ISE Rule 2205.

[[Page 3951]]

III. Discussion

    The Commission finds that the proposed rule change is consistent 
with the requirements of the Act and the rules and regulations 
thereunder applicable to a national securities exchange.\5\ 
Specifically, the Commission finds that the proposal is consistent with 
Section 6(b)(5) of the Act,\6\ which requires, among other things, that 
the rules of a national securities exchange be 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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    \5\ In approving this proposed rule change, the Commission has 
considered the proposed rule's impact on efficiency, competition, 
and capital formation. See 15 U.S.C. 78c(f).
    \6\ 15 U.S.C. 78f(b)(5).
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Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the 
Act,\7\ that the proposed rule change (SR-ISE-2009-87) be, and hereby 
is, approved.
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    \7\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-1271 Filed 1-22-10; 8:45 am]
BILLING CODE 8011-01-P

