
[Federal Register Volume 80, Number 16 (Monday, January 26, 2015)]
[Notices]
[Pages 4000-4001]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-01251]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-74098; File No. SR-NSCC-2014-12]


Self-Regulatory Organizations; National Securities Clearing 
Corporation; Order Approving Proposed Rule Change To Amend NSCC's Rules 
and Procedures in Connection With the Discontinuance of the Analytic 
Reporting Service

January 20, 2015.

I. Introduction

    On November 25, 2014, National Securities Clearing Corporation 
(``NSCC'') filed with the Securities and Exchange Commission 
(``Commission'') proposed rule change SR-NSCC-2014-12 (``Proposed Rule 
Change'') pursuant to Section 19(b)(1) of the Securities Exchange Act 
of 1934 (``Act'') \1\ and Rule 19b-4 thereunder.\2\ The Proposed Rule

[[Page 4001]]

Change was published for comment in the Federal Register on December 
12, 2014.\3\ The Commission did not receive any comments on the 
Proposed Rule Change. This order approves the Proposed Rule Change.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Securities Exchange Act Release No. 73779 (December 8, 
2014), 79 FR 73938 (December 12, 2014) (SR-NSCC-2014-12).
---------------------------------------------------------------------------

II. Description

    NSCC filed the Proposed Rule Change to modify its Rules, By-Laws, 
and Organization Certificate to discontinue the Analytic Reporting 
Service (``Service''). With the Proposed Rule Change, NSCC seeks to 
eliminate the Service because there is limited interest and it is not 
recovering its costs of maintaining the Service.
    NSCC launched the Service in 2011 to provide NSCC members 
(``Members'') access to aggregated-insurance-products information, 
including benchmarking information and league tables (``Analytics 
Data'').\4\ The Analytics Data comes primarily from data transmitted to 
NSCC by Members from NSCC's other insurance and retirement service. In 
2013, at the request of Members, NSCC enhanced the Service to include 
insurance-transaction data processed outside of NSCC but submitted to 
NSCC.\5\
---------------------------------------------------------------------------

    \4\ Securities Exchange Act Release No. 63604 (December 23, 
2010), 75 FR 82115 (December 29, 2010) (SR-NSCC-2010-18).
    \5\ Securities Exchange Act Release No. 69824 (June 21, 2013), 
78 FR 38743 (June 27, 2013) (SR-NSCC-2013-08).
---------------------------------------------------------------------------

    Members access the Service via a paid subscription. However, since 
its launch, there have been few subscribers, with only 12 Members 
currently subscribing. As such, NSCC states that it is not recovering 
the cost of maintaining the Service and proposes to eliminate it.

III. Discussion

    Section 19(b)(2)(C) of the Act \6\ directs the Commission to 
approve a proposed rule change of a self-regulatory organization if it 
finds that such proposed rule change is consistent with the 
requirements of the Act and rules and regulations thereunder applicable 
to such organization. Section 17A(b)(3)(F) of the Act requires, among 
other things, that the rules of a clearing agency be designed to 
promote the prompt and accurate clearance and settlement of securities 
transactions.\7\
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78s(b)(2)(C).
    \7\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------

    The Commission finds the Proposed Rule Change consistent with the 
Act. More specifically, the Commission finds that the Proposed Rule 
Change is consistent with Section 17A(b)(3)(F) of the Act.\8\ By 
eliminating a service that is not economically efficient to maintain or 
central to NSCC's core clearing business, NSCC will be able to better 
allocate its economic resources to support the safeguarding of 
securities or funds in its custody or control, and promote the prompt 
and accurate clearance and settlement of securities transactions.
---------------------------------------------------------------------------

    \8\ Id.
---------------------------------------------------------------------------

IV. Conclusion

    On the basis of the foregoing, the Commission finds that the 
Proposed Rule Change is consistent with the requirements of the Act and 
in particular with the requirements of Section 17A of the Act \9\ and 
the rules and regulations thereunder.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78q-1.
---------------------------------------------------------------------------

    It is therefore ordered, pursuant to Section 19(b)(2) of the Act, 
that proposed rule change SR-NSCC-2014-12 be, and hereby is, 
approved.\10\
---------------------------------------------------------------------------

    \10\ In approving the proposed rule change, the Commission 
considered the proposal's impact on efficiency, competition, and 
capital formation. 15 U.S.C. 78c(f).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
---------------------------------------------------------------------------

    \11\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Brent J. Fields,
Secretary.
[FR Doc. 2015-01251 Filed 1-23-15; 8:45 am]
BILLING CODE 8011-01-P


