Proposed Collection; Comment Request, 71340-71341 [E5-6540]

Download as PDF 71340 Federal Register / Vol. 70, No. 227 / Monday, November 28, 2005 / Notices transaction for a period of not less than six years from the end of the fiscal year in which the transaction occurred. The collection of information required by rule 17a–7 is necessary to obtain the benefits of the rule. Responses will not be kept confidential. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid control number. Written comments are invited on: (a) Whether the collections of information are necessary for the proper performance of the functions of the Commission, including whether the information has practical utility; (b) the accuracy of the Commission’s estimate of the burdens of the collections of information; (c) ways to enhance the quality, utility, and clarity of the information collected; and (d) ways to minimize the burdens of the collections of information on respondents, including through the use of automated collection techniques or other forms of information technology. Consideration will be given to comments and suggestions submitted in writing within 60 days of this publication. Please direct your written comments to R. Corey Booth, Director/Chief Information Officer, Office of Information Technology, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549. Dated: November 17, 2005. Jonathan G. Katz, Secretary. [FR Doc. E5–6539 Filed 11–25–05; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION Proposed Collection; Comment Request Upon written request, copies available from: Securities and Exchange Commission, Office of Filings and Information Services, Washington, DC 20549. Extension: Rule 30a–8; SEC File No. 270–516; OMB Control No. 3235–0574. Notice is hereby given that pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange Commission (the ‘‘Commission’’) is soliciting comments on the collections of information summarized below. The Commission plans to submit these existing collections of information to the Office of Management and Budget (‘‘OMB’’), for extension and approval. VerDate Aug<31>2005 15:28 Nov 25, 2005 Jkt 208001 Rule 3a–8 of the Investment Company Act of 1940 (the ‘‘Act’’), serves as a nonexclusive safe harbor from investment company status for certain research and development companies (‘‘R&D companies’’). The rule requires that the board of directors of an R&D company seeking to rely on the safe harbor adopt an appropriate resolution evidencing that the company is primarily engaged in a non-investment business and record that resolution contemporaneously in its minute books or comparable documents.1 An R&D company seeking to rely on the safe harbor must retain these records only as long as such records must be maintained in accordance with state law. Rule 3a–8 contains an additional requirement that is also a collection of information within the meaning of the PRA. The board of directors of a company that relies on the safe harbor under rule 3a–8 must adopt a written policy with respect to the company’s capital preservation investments. We expect that the board of directors will base its decision to adopt the resolution discussed above, in part, on investment guidelines that the company will follow to ensure its investment portfolio is in compliance with the rule’s requirements. The collection of information imposed by rule 3a–8 is voluntary because the rule is an exemptive safe harbor, and therefore, R&D companies may choose whether or not to rely on it. The purposes of the information collection requirements in rule 3a–8 are to ensure that: (i) The board of directors of an R&D company is involved in determining whether the company should be considered an investment company and subject to regulation under the Act, and (ii) adequate records are available for Commission review, if necessary. Rule 3a–8 would not require the reporting of any information or the filing of any documents with the Commission. Commission staff estimates that there is no annual recordkeeping burden associated with the rule’s requirements. Nevertheless, the Commission requests authorization to maintain an inventory of one burden hour for administrative purposes. There are approximately 33,000 R&D companies in the United States.2 Rule 3a–8 impacts non-manufacturing R&D 1 Rule 3a–8(a)(6). This requirement is modeled on the requirement in rule 3a–2 under the Act that provides a temporary exemption from the Act for transient investment companies. 17 CFR 270.3a–2. 2 See National Science Board, Science and Engineering Indicators 2004 (‘‘NSB Indicators’’) (available at http://www.nsf.gov/statistics/seind04/). PO 00000 Frm 00079 Fmt 4703 Sfmt 4703 companies that would fall within the definition of investment company pursuant to section 3(a)(1)(C) of the Act [15 U.S.C. 80a–3(a)(1)(C)].3 Of the 16,170 non-manufacturing R&D Companies, the Commission believes that companies in scientific R&D services are more likely to use the exemption provided by rule 3a–8.4 This field comprises companies that specialize in conducting R&D for other organizations, such as many biotechnology companies.5 It accounts for 18%, or approximately 2910 companies.6 Given that the board resolutions and investment guidelines will generally need to be adopted only once (unless relevant circumstances change),7 the Commission believes that all the companies that seek to rely on rule 3a–8 would have adopted their board resolutions and established written investment guidelines in 2003 when the rule was adopted. We expect that newly formed R&D companies would adopt the board resolution and investment guidelines simultaneously with their formation documents in the ordinary course of business.8 Therefore, we estimate that rule 3a–8 will not create additional time burdens. Written comments are invited on: (a) Whether the proposed collection of 3 The Act provides certain exclusions from the definition of investment company for a company that is primarily engaged in a non-investment business. 15 U.S.C. 80a–3(b)(1). For purposes of this PRA analysis, we assume that all manufacturing R&D companies are primarily engaged in the manufacturing industry and, therefore, may rely on the exclusion for companies primarily engaged in a non-investment business. For example, the top two manufacturing R&D companies in terms of dollars spent are Ford Motor Company and General Motors, which are primarily engaged in motor vehicle manufacturing. See NSB Indicators, supra note 2. 4 We believe that R&D Companies in this field are most likely to rely on the rule because they often raise and invest large amounts of capital to fund their research and product development and may make strategic investments in other R&D companies to develop products jointly. These activities may cause the R&D companies to fall within the definition of investment company and fail to qualify for statutory exclusions under the Act when using the Commission’s traditional analysis. See Certain Research and Development Companies, Release No. 26077 (Jun. 16, 2003) [68 FR 37045 (Jun. 20, 2003)], at n. 12 and accompanying text (‘‘Rule 3a–8 Release’’). 5 See NSB Indicators, supra note 2. 6 Id. 7 In the event of changed circumstances, the Commission believes that the board resolution and investment guidelines will be amended and recorded in the ordinary course of business and would not create additional time burdens. 8 In order for these companies to raise sufficient capital to fund their product development stage, we believe they will need to present potential investors with investment guidelines. Investors would want to be assured that the company’s funds are invested consistent with the goals of capital preservation and liquidity. E:\FR\FM\28NON1.SGM 28NON1 Federal Register / Vol. 70, No. 227 / Monday, November 28, 2005 / Notices information is necessary for the proper performance of the functions of the agency, including whether the information will have practical utility; (b) the accuracy of the agency’s estimate of the burden of the collection of information; (c) ways to enhance the quality, utility, and clarity of the information collected; and (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology. Consideration will be given to comments and suggestions submitted in writing within 60 days of this publication. Please direct your written comments to R. Corey Booth, Director/Chief Information Officer, Office of Information Technology, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549. Dated: November 16, 2005. Jonathan G. Katz, Secretary. [FR Doc. E5–6540 Filed 11–25–05; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION Proposed Collection; Comment Request Upon written request, copies available from: Securities and Exchange Commission, Office of Filings and Information Services, Washington, DC 20549. Extension: Rule 498; File No. 270–435; OMB Control No. 3235–0488. Notice is hereby given that, pursuant to the Paperwork Reduction Act of 1995 (‘‘Act’’) [44 U.S.C. 3501 et seq.], the Securities and Exchange Commission (‘‘Commission’’) is soliciting comments on the collection of information summarized below. The Commission plans to submit this existing collection of information to the Office of Management and Budget (‘‘OMB’’) for extension and approval. Rule 498 Under the Securities Act of 1933, Profiles for Certain Open-End Management Investment Companies Rule 498 of the Securities Act of 1933 [17 CFR 230.498] permits open-end management investment companies (or a series of an investment company organized as a series company, which offers one or more series of shares representing interests in separate investment portfolios) (‘‘funds’’) to provide investors with a ‘‘profile’’ that VerDate Aug<31>2005 15:28 Nov 25, 2005 Jkt 208001 contains a summary of key information about a fund, including the fund’s investment objectives, strategies, risks and performance, and fees, in a standardized format. The profile provides investors the option of buying fund shares based on the information in the profile or reviewing the fund’s prospectus before making an investment decision. Investors purchasing shares based on a profile receive the fund’s prospectus prior to or with confirmation of their investment in the fund. Consistent with the filing requirement of a fund’s prospectus, a profile must be filed with the Commission thirty days before first use. Such a filing allows the Commission to review the profile for compliance with Rule 498. Compliance with the rule’s standardized format assists investors in evaluating and comparing funds. It is estimated that approximately 1 initial profile and 252 updated profiles are filed with the Commission annually. The Commission estimates that each profile contains on average 1.25 portfolios, resulting in 1.25 portfolios filed annually on initial profiles and 315 portfolios filed annually on updated profiles. The number of burden hours for preparing and filing an initial profile per portfolio is 25. The number of burden hours for preparing and filing an updated profile per portfolio is 10. The total burden hours for preparing and filing initial and updated profiles under Rule 498 is 3,181, representing a decrease of 1,269 hours from the prior estimate of 4,450. The reduction in burden hours is attributable to the lower number of profiles actually prepared and filed as compared to the previous estimates. The estimates of average burden hours are made solely for the purposes of the Act and are not derived from a comprehensive or even representative survey or study of the cost of Commission rules and forms. Written comments are invited on: (a) Whether the proposed collection of information is necessary for the proper performance of the functions of the agency, including whether the information will have practical utility; (b) the accuracy of the agency’s estimate of the burden of the collection of information; (c) ways to enhance the quality, utility, and clarity of the information collected; and (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology. Consideration will be given to comments and suggestions submitted in writing within 60 days of this publication. PO 00000 Frm 00080 Fmt 4703 Sfmt 4703 71341 Please direct your written comments to R. Corey Booth, Director/Chief Information Officer, Office of Information Technology, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549. Dated: November 17, 2005. Jonathan G. Katz, Secretary. [FR Doc. E5–6541 Filed 11–25–05; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. IC–27148] Notice of Applications for Deregistration Under Section 8(f) of the Investment Company Act of 1940 November 18, 2005. The following is a notice of applications for deregistration under section 8(f) of the Investment Company Act of 1940 for the month of November 2005. A copy of each application may be obtained for a fee at the SEC’s Public Reference Branch (tel. 202–551–5850). An order granting each application will be issued unless the SEC orders a hearing. Interested persons may request a hearing on any application by writing to the SEC’s Secretary at the address below and serving the relevant applicant with a copy of the request, personally or by mail. Hearing requests should be received by the SEC by 5:30 p.m. on December 13, 2005, and should be accompanied by proof of service on the applicant, in the form of an affidavit or, for lawyers, a certificate of service. Hearing requests should state the nature of the writer’s interest, the reason for the request, and the issues contested. Persons who wish to be notified of a hearing may request notification by writing to the Secretary, U.S. Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549– 9303. FOR FURTHER INFORMATION CONTACT: Diane L. Titus at (202) 551–6810, SEC, Division of Investment Management, Office of Investment Company Regulation, 100 F Street, NE., Washington, DC 20549–0504. Hilliard Lyons Research Trust [File No. 811–9281] Summary: Applicant seeks an order declaring that it has ceased to be an investment company. On August 31, 2005, applicant transferred its assets to The RBB Fund, Inc., based on net asset value. Expenses of approximately, $448,249 incurred in connection with the reorganization were paid by J.J.B. E:\FR\FM\28NON1.SGM 28NON1

Agencies

[Federal Register Volume 70, Number 227 (Monday, November 28, 2005)]
[Notices]
[Pages 71340-71341]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-6540]


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

SECURITIES AND EXCHANGE COMMISSION


Proposed Collection; Comment Request

Upon written request, copies available from: Securities and Exchange 
Commission, Office of Filings and Information Services, Washington, DC 
20549.

Extension:
    Rule 30a-8; SEC File No. 270-516; OMB Control No. 3235-0574.

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (the ``Commission'') is soliciting comments on the 
collections of information summarized below. The Commission plans to 
submit these existing collections of information to the Office of 
Management and Budget (``OMB''), for extension and approval.
    Rule 3a-8 of the Investment Company Act of 1940 (the ``Act''), 
serves as a nonexclusive safe harbor from investment company status for 
certain research and development companies (``R&D companies''). The 
rule requires that the board of directors of an R&D company seeking to 
rely on the safe harbor adopt an appropriate resolution evidencing that 
the company is primarily engaged in a non-investment business and 
record that resolution contemporaneously in its minute books or 
comparable documents.\1\ An R&D company seeking to rely on the safe 
harbor must retain these records only as long as such records must be 
maintained in accordance with state law.
---------------------------------------------------------------------------

    \1\ Rule 3a-8(a)(6). This requirement is modeled on the 
requirement in rule 3a-2 under the Act that provides a temporary 
exemption from the Act for transient investment companies. 17 CFR 
270.3a-2.
---------------------------------------------------------------------------

    Rule 3a-8 contains an additional requirement that is also a 
collection of information within the meaning of the PRA. The board of 
directors of a company that relies on the safe harbor under rule 3a-8 
must adopt a written policy with respect to the company's capital 
preservation investments. We expect that the board of directors will 
base its decision to adopt the resolution discussed above, in part, on 
investment guidelines that the company will follow to ensure its 
investment portfolio is in compliance with the rule's requirements.
    The collection of information imposed by rule 3a-8 is voluntary 
because the rule is an exemptive safe harbor, and therefore, R&D 
companies may choose whether or not to rely on it. The purposes of the 
information collection requirements in rule 3a-8 are to ensure that: 
(i) The board of directors of an R&D company is involved in determining 
whether the company should be considered an investment company and 
subject to regulation under the Act, and (ii) adequate records are 
available for Commission review, if necessary. Rule 3a-8 would not 
require the reporting of any information or the filing of any documents 
with the Commission.
    Commission staff estimates that there is no annual recordkeeping 
burden associated with the rule's requirements. Nevertheless, the 
Commission requests authorization to maintain an inventory of one 
burden hour for administrative purposes.
    There are approximately 33,000 R&D companies in the United 
States.\2\ Rule 3a-8 impacts non-manufacturing R&D companies that would 
fall within the definition of investment company pursuant to section 
3(a)(1)(C) of the Act [15 U.S.C. 80a-3(a)(1)(C)].\3\ Of the 16,170 non-
manufacturing R&D Companies, the Commission believes that companies in 
scientific R&D services are more likely to use the exemption provided 
by rule 3a-8.\4\ This field comprises companies that specialize in 
conducting R&D for other organizations, such as many biotechnology 
companies.\5\ It accounts for 18%, or approximately 2910 companies.\6\ 
Given that the board resolutions and investment guidelines will 
generally need to be adopted only once (unless relevant circumstances 
change),\7\ the Commission believes that all the companies that seek to 
rely on rule 3a-8 would have adopted their board resolutions and 
established written investment guidelines in 2003 when the rule was 
adopted. We expect that newly formed R&D companies would adopt the 
board resolution and investment guidelines simultaneously with their 
formation documents in the ordinary course of business.\8\ Therefore, 
we estimate that rule 3a-8 will not create additional time burdens.
---------------------------------------------------------------------------

    \2\ See National Science Board, Science and Engineering 
Indicators 2004 (``NSB Indicators'') (available at http://
www.nsf.gov/statistics/seind04/).
    \3\ The Act provides certain exclusions from the definition of 
investment company for a company that is primarily engaged in a non-
investment business. 15 U.S.C. 80a-3(b)(1). For purposes of this PRA 
analysis, we assume that all manufacturing R&D companies are 
primarily engaged in the manufacturing industry and, therefore, may 
rely on the exclusion for companies primarily engaged in a non-
investment business. For example, the top two manufacturing R&D 
companies in terms of dollars spent are Ford Motor Company and 
General Motors, which are primarily engaged in motor vehicle 
manufacturing. See NSB Indicators, supra note 2.
    \4\ We believe that R&D Companies in this field are most likely 
to rely on the rule because they often raise and invest large 
amounts of capital to fund their research and product development 
and may make strategic investments in other R&D companies to develop 
products jointly. These activities may cause the R&D companies to 
fall within the definition of investment company and fail to qualify 
for statutory exclusions under the Act when using the Commission's 
traditional analysis. See Certain Research and Development 
Companies, Release No. 26077 (Jun. 16, 2003) [68 FR 37045 (Jun. 20, 
2003)], at n. 12 and accompanying text (``Rule 3a-8 Release'').
    \5\ See NSB Indicators, supra note 2.
    \6\ Id.
    \7\ In the event of changed circumstances, the Commission 
believes that the board resolution and investment guidelines will be 
amended and recorded in the ordinary course of business and would 
not create additional time burdens.
    \8\ In order for these companies to raise sufficient capital to 
fund their product development stage, we believe they will need to 
present potential investors with investment guidelines. Investors 
would want to be assured that the company's funds are invested 
consistent with the goals of capital preservation and liquidity.
---------------------------------------------------------------------------

    Written comments are invited on: (a) Whether the proposed 
collection of

[[Page 71341]]

information is necessary for the proper performance of the functions of 
the agency, including whether the information will have practical 
utility; (b) the accuracy of the agency's estimate of the burden of the 
collection of information; (c) ways to enhance the quality, utility, 
and clarity of the information collected; and (d) ways to minimize the 
burden of the collection of information on respondents, including 
through the use of automated collection techniques or other forms of 
information technology. Consideration will be given to comments and 
suggestions submitted in writing within 60 days of this publication.
    Please direct your written comments to R. Corey Booth, Director/
Chief Information Officer, Office of Information Technology, Securities 
and Exchange Commission, 100 F Street, NE., Washington, DC 20549.

    Dated: November 16, 2005.
Jonathan G. Katz,
Secretary.
 [FR Doc. E5-6540 Filed 11-25-05; 8:45 am]
BILLING CODE 8010-01-P