PUBLIC LAW 94-29—JUNE 4, 1975
89 STAT. I l l
"(B) transactions otherwise than on a national securities exchange effected by use of the mails or any means or instrumentality of interstate commerce by any member of a national securities exchange, broker, or dealer for the account of such member, broker, or dealer (unless such member, broker, or dealer is acting in the capacity of a market maker) the account of an associated person, or an account with respect to which such member, broker, or dealer or associated person thereof exercises investment discretion; and "(C) transactions on a national securities exchange effected by any broker or dealer not a member thereof for the account of such broker or dealer (unless such broker or dealer is acting in the capacity of market maker), the account of an associated person, or an account with respect to which such broker or dealer or associated person thereof exercises investment discretion. "(8) The provisions of paragraph (1) of this subsection insofar as Effective date. they apply to transactions on a national securities exchange effected by a member thereof who was a member on May 1, 1975 shall not become effective until May 1, 1978. Nothing in this paragraph shall be construed to impair or limit the authority of the Commission to regulate or prohibit such transactions prior to May 1, 1978, pursuant to paragraph (2) of this subsection. "(b) When not in contravention of such rules and regulations as Odd-lot dealers the Commission may prescribe as necessary or appropriate in the pub- and specialists. lic interest and for the protection of investors, to maintain fair and orderly markets, or to remove impediments to and perfect the mechanism of a national market system, the rules of a national securities exchange may permit (1) a member to be registered as an odd-lot dealer- and as such to buy and sell for his own account so far as may be reasonably necessary to carry on such odd-lot transactions, and (2) a member to be registered as a specialist. Under the rules and reguhitions of the Commission a specialist may be permitted to act as a brolver and dealer or limited to acting as a broker or dealer. I t shall be unlawful for a specialist or an official of the exchange to disclose infoT-mation in regard to orders placed with such specialist which is not available to all members of the exchange, to any person other than an official of the exchange, a representative of the Commission, or a specialist Avho may be acting for such specialist: Provided, however, That the Commission, by rule, may require disclosure to all members of the exchange of all orders placed with specialists, under such rules and T'egulations as the Commission may prescribe as necessary or appiopriate in the public interest or for the protection of investors. It shall also be unlawful for a specialist permitted to act as a broker and dealer to effect on the exchange as broker any transaction except upon a market or limited price order.". (8) Subsection (e) thereof is repealed. Repeal. SEC. 7. The Securities Exchange Act of 1934 is amended by inserting 15 USC 78k. after section 11 (15 U.S.C. 78k) the following new section: NATIONAL MARKET SYSTEM FOR SECURITIES; SECURITIES INFORMATION PROCESSORS
"SEC. IIA. (a)(1) The Congress finds that— 15 USC 78k-l. "(A) The securities markets are an important national asset which must be preserved and strengthened. "(B) New data processing and communications techniques create the opportunity for more efficient and effective market operations.
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