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59100 Federal Register / Vol. 70, No. 195 / Tuesday, October 11, 2005 / Notices
U.S.C. 552b(c)(5), (7), (9)(B) and (10) ‘‘Trust’’): Ultra500 Fund; Ultra100 Funds’’)—seek daily investment results,
and 17 CFR 200.402(a)(5), (7), 9(ii) and Fund; Ultra30 Fund; UltraMid-Cap 400 before fees and expenses, that
(10) permit consideration of the Fund; Short500 Fund; Short100 Fund; correspond to twice (200%) the daily
scheduled matter at the closed meeting. Short30 Fund; and ShortMid-Cap 400 performance of the Standard and Poor’s
Commissioner Nazareth, as duty Fund (the ‘‘Funds’’). On March 4, 2005, 500 Index (‘‘S&P 500’’), the Nasdaq-
officer, determined that no earlier notice the Exchange filed Amendment No. 1.3 100 Index (‘‘Nasdaq 100’’), the Dow
thereof was possible. On May 9, 2005, the Exchange filed Jones Industrial AverageSM (‘‘DJIA’’),
The subject matter of the Closed Amendment No. 2.4 The Exchange filed and the S&P MidCap400TM Index (‘‘S&P
Meeting will be: Institution and Amendment No. 3 on August 1, 2005.5 MidCap’’), respectively. (These indexes
settlement of an injunctive action. The proposed rule change, as amended, are referred to herein as ‘‘Underlying
At times, changes in Commission was published for comment in the Indexes’’.) 9 Each of these Funds, if
priorities require alterations in the Federal Register on August 9, 2005.6 successful in meeting its objective,
scheduling of meeting items. For further The Commission received no comments should gain, on a percentage basis,
information and to ascertain what, if on the proposal. On September 15, approximately twice as much as the
any, matters have been added, deleted 2005, the Exchange filed Amendment Fund’s Underlying Index when the
or postponed, please contact: No. 4.7 This order approves the prices of the securities in such Index
The Office of the Secretary at (202) proposed rule change as amended. increase on a given day and should lose
551–5400. Simultaneously, the Commission approximately twice as much when
Dated: October 5, 2005. provides notice of, and grants such prices decline on a given day. In
Jonathan G. Katz, accelerated approval to, Amendment addition, four other Funds—the
Secretary. No. 4. Short500, Short100, Short30, and
[FR Doc. 05–20389 Filed 10–6–05; 11:37 am] ShortMid-Cap400 Funds (the ‘‘Bearish
II. Description of Proposed Rule Change
BILLING CODE 8010–01–P
Funds’’)—seek daily investment results,
As set forth in the Notice, the before fees and expenses, which
Exchange proposes to amend Rule correspond to the inverse or opposite of
SECURITIES AND EXCHANGE 1000A and related Commentary .02 to the daily performance (¥100%) of the
COMMISSION accommodate the listing of Index Fund S&P 500, Nasdaq-100, DJIA, and S&P
Shares that seek to provide investment MidCap, respectively.10 If each of these
[Release No. 34–52553; File No. SR–Amex– results that exceed the daily Funds is successful in meeting its
2004–62] performance of a specified stock index objective, the net asset value (the
by a specified percentage (e.g., equal to ‘‘NAV’’) 11 of Shares of each Fund
Self-Regulatory Organizations; 200 percent of the index value) or that should increase approximately as much,
American Stock Exchange LLC; Order
seek to provide investment results that on a percentage basis, as the respective
Granting Approval to Proposed Rule correspond to the inverse or opposite of Underlying Index loses when the prices
Change and Amendment Nos. 1, 2, and
the index’s daily performance.8 of the securities in the Index decline on
3 and Notice of Filing and Order The Exchange proposes to list, under
Granting Accelerated Approval of a given day, or should decrease
amended Rule 1000A, the shares of the approximately as much as the respective
Amendment No. 4 Relating to Listing Funds (‘‘Shares’’). Four of the Funds—
and Trading of Shares of the Index gains when the prices of the
the Ultra500, Ultra100, Ultra30, and securities in the index rise on a given
xtraShares Trust UltraMid-Cap400 Funds (the ‘‘Bullish day.
October 3, 2005. ProFunds Advisors LLC is the
3 In Amendment No. 1, the Exchange modified
‘‘Exchange’’) filed with the Securities portfolio investment methodology and made certain 9 Exchange-traded funds (‘‘ETFs’’) based on each
and Exchange Commission other clarifications to the description of the of the Underlying Indexes are listed and/or traded
proposal. on the Exchange. See Securities Exchange Act
(‘‘Commission’’), pursuant to Section 5 In Amendment No. 3, the Exchange provided
Release Nos. 31591 (December 11, 1992), 57 FR
19(b)(1) 1 of the Securities Exchange Act additional details regarding the disclosure of the 60253 (December 18, 1992) (S&P 500 SPDR); 39143
of 1934 (‘‘Act’’ or ‘‘Exchange Act’’) and portfolio holdings of the Fund Shares and made (September 29, 1997), 62 FR 51917 (October 3,
Rule 19b–4 thereunder,2 a proposed rule certain other minor corrections to the rule text and 1997) (DIAMONDS); 41119 (February 26, 1999), 64
change to amend Amex Rule 411 (‘‘Duty proposal. Amendment No. 3 replaced Amex’s FR 11510 (March 9, 1999) (QQQ); and 35689 (May
earlier submissions in their entirety. 8, 1995), 60 FR 26057 (May 16, 1995) (S&P MidCap
to Know and Approve Customers’’) and 6 See Securities Exchange Act Release No. 52197 400). The Statement of Additional Information
Rule 1000A (‘‘Index Fund Shares’’) and (August 2, 2005), 70 FR 46228 (‘‘Notice’’). (‘‘SAI’’) for the Funds discloses that each Fund
related Commentary .02 to 7 In Amendment No. 4, the Amex clarified that reserves the right to substitute a different Index.
accommodate the listing of Index Fund Authorized Participants (‘‘APs’’), as defined in the Substitution could occur if the Index becomes
proposal, who create and redeem Index Fund unavailable, no longer serves the investment needs
Shares that seek to provide investment of shareholders, the Fund experiences difficulty in
Shares, will deposit and receive only stock and/or
results that exceed the performance of a cash, not other financial instruments. achieving investment results that correspond to the
securities index by a specified 8 Amex Rules 1000A et seq. provide standards for Index, or for any other reason determined in good
percentage or that seek to provide the listing of Index Fund Shares, which are faith by the Board. In such instance, the substitute
securities issued by an open-end management index will attempt to measure the same general
investment results that correspond to market as the current index. Shareholders will be
investment company for exchange trading. These
the inverse or opposite of the index’s securities are registered under the Investment notified (either directly or through their
performance. The proposed rule change Company Act of 1940 (‘‘1940 Act’’), as well as the intermediary) in the event a Fund’s current index
will accommodate listing on the Exchange Act. Index Fund Shares are defined in is replaced. In the event a Fund substitutes a
Rule 1000A as securities based on a portfolio of different index, the Exchange will file a new Rule
Exchange of the following eight (8) 19b–4 filing with the Commission.
stocks or fixed income securities that seek to
funds of the xtraShares Trust (the provide investment results that correspond 10 Id.
generally to the price and yield of a specified 11 The NAV of each Fund is calculated and
1 15 U.S.C. 78s(b)(1). foreign or domestic stock index or fixed income determined each business day at the close of regular
2 17 CFR 240.19b–4. securities index. trading, typically 4:00 p.m. e.s.t.
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