SEC Requests Comment on Proposed Rule Filing Requirements

Washington, DC, February 5, 2001 - The Securities and Exchange Commission published for comment a proposed rule to amend their filing requirements for proposed rule changes by self-regulatory organizations (SROs). Specifically, the SEC is proposing to replace current Securities Exchange Act Rule 19b-4 with new Exchange Act Rule 19b-6. Comments on the proposed rule are due to the SEC by April 6, 2001.

The SEC's release states that proposed Rule 19b-6 is intended to eliminate the competitive disadvantage that SROs may face from Alternative Trading Systems, including ECNs, which are not registered as exchanges and are not required to file trading rules with the SEC for approval. The aim of the proposed rule, therefore, is to revise the filing and approval process for SRO trading rules so that SROs could amend the majority of these rules without waiting for SEC approval.