Page:United States Statutes at Large Volume 89.djvu/172

 89 STAT. 112

National market system for securities, establishment.

Advisory committees, establishment. 5 USC app. I.

Studies and recommendations to Congress. Securities information processors. Exemption.

PUBLIC LAW 94-29—JUNE 4, 1975 " (C) I t is in the public interest and appropriate for the protection of investors and the maintenance of fair and orderly markets to assure— " (i) economically efficient execution of securities transactions; " ( i i) fair competition among brokers and dealers, among exchange markets, and between exchange markets and markets other than exchange m a r k e t s; " ( i i i) the availability to brokers, dealers, and investors of information with respect to quotations for and transactions in securities; " ( i v) the practicability of brokers executing investors' orders in the best m a r k e t; and " (v) an opportunity, consistent with the provisions of clauses (i) and (iv) of this subparagraph, for investors' orders to be executed without the participation of a dealer. " (D) The linking of all markets for qualified securities through communication and data processing facilities will foster efficiency, enhance competition, increase the information available to brokers, dealers, and investors, facilitate the offsetting of investors' orders, and contribute to best execution of such orders. " (2) The Commission is directed, therefore, having due regard for the public interest, the protection of investors, and the maintenance of fair and orderly markets, to use its authority under this title to facilitate the establishment of a national market system for securities (which may include subsystems for particular types of securities with unique t r a d i n g characteristics) in accordance with the findings and to carry out the objectives set forth in paragraph (1) of this subsection. The Commission, by rule, shall designate the securities or classes of securities qualified for t r a d i n g in the national market system from among securities other than exempted securities. (Securities or classes of securities so designated hereinafter in this section referred to as 'qualified securities'.) " (3) The Commission is authorized in furtherance of the directive m paragraph (2) of this subsection— " (A) to create one or more advisory committees pursuant to the Federal Advisory Committee Act (which shall be in addition to the National Market Advisory Board established pursuant to subsection (d) of this section) and to employ one or more outside experts; " (B) by rule or order, to authorize or require self-regulatory organizations to act jointly with respect to matters as to which they share authority under this title in planning, developing, operating, or regulating a national market system (or a subsystem thereof) or one or more facilities thereof; and " (C) to conduct studies and make recommendations to the Congress from time to time as to the possible need for modifications of the scheme of self-regulation provided for in this title so as to a d a p t it to a national market system. " (b)(1) Except as otherwise provided in this section, it shall be unlawful for any securities information processor unless registered in accordance with this subsection, directly or indirectly, to make use of the mails or any means or instrumentality of interstate commerce to perform the functions of a securities information processor. The Commission, by rule or order, upon its own motion or upon application, may conditionally or unconditionally exempt any securities information processor or class of securities information processors or security or class of securities from any provision of this section or the rules or regulations thereunder, if the Commission finds that such exemption

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