Proposed Collection; Comment Request, 11688-11689 [E6-3280]
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Federal Register / Vol. 71, No. 45 / Wednesday, March 8, 2006 / Notices
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[FR Doc. E6–3224 Filed 3–7–06; 8:45 am]
BILLING CODE 6325–39–P
SECURITIES AND EXCHANGE
COMMISSION
Proposed Collection; Comment
Request
Upon Written Request, Copy Available
From: Securities and Exchange
Commission Office of Filings and
Information Services, Washington, DC
20549.
PO 00000
Frm 00116
Fmt 4703
Sfmt 4703
Extension:
Form N–6F; SEC File No. 270–185; OMB
Control No. 3235–0238.
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 the existing collection
of information to the Office of
Management and Budget (‘‘OMB’’) for
extension and approval:
Form N–6F Under the Investment
Company Act of 1940 (17 CFR 274.15),
Notice of Intent To Elect To Be Subject
to Sections 55 Through 65 of the
Investment Company Act of 1940
Certain companies may have to make
a filing with the Commission before
they are ready to elect to be regulated
as a business development company.1 A
company that is excluded from the
definition of ‘‘investment company’’ by
Section 3(c)(1) of the Investment
Company Act of 1940 because it has
fewer than one hundred shareholders
and is not making a public offering of
its securities may lose such an exclusion
solely because it proposes to make a
public offering of securities as a
business development company. Such a
company, under certain conditions,
would not lose its exclusion if it notifies
the Commission on Form N–6F [17 CFR
274.15] of its intent to make an election
to be regulated as a business
development company. The company
only has to file a Form N–6F once.
It is estimated that 2 respondents per
year file with the Commission a Form
N–6F. Form N–6F requires
approximately 0.5 burden hours per
response resulting from creating and
filing the information required by the
Form. The total burden hours for Form
N–6F would be 1 hour per year in the
aggregate. The estimated annual burden
of 1.0 hour represents no change from
the prior estimate of 1.0 hour.
The estimate of average burden hours
for Form N–6F is made solely for the
purposes of the Paperwork Reduction
Act and is not derived from a
comprehensive or even representative
survey or study of the costs of
Commission rules and forms.
Written comments are invited on: (a)
Whether the proposed collections of
information are necessary for the proper
performance of the functions of the
agency, including whether the
1 A company might not be prepared to elect to be
subject to sections 55 through 65 of the Investment
Company Act of 1940 because its capital structure
or management compensation plan is not yet in
compliance with the requirements of those sections.
E:\FR\FM\08MRN1.SGM
08MRN1
Federal Register / Vol. 71, No. 45 / Wednesday, March 8, 2006 / Notices
information will have practical utility;
(b) the accuracy of the agency’s estimate
of the burden of the collections of
information; (c) ways to enhance the
quality, utility, and clarity of the
information collected; and (d) ways to
minimize the burden 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: February 28, 2006.
Nancy M. Morris,
Secretary.
[FR Doc. E6–3280 Filed 3–7–06; 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.
erjones on PROD1PC68 with NOTICES
Extension:
Rule 11a–3; SEC File No. 270–321; OMB
Control No. 3235–0358.
Notice is hereby given that pursuant
to the Paperwork Reduction Act of 1995
[44 U.S.C. 3501–3520], the Securities
and Exchange Commission
(‘‘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.
Section 11(a) of the Investment
Company Act of 1940 (‘‘Act’’) [15 U.S.C.
80a–11(a)] provides that it is unlawful
for a registered open-end investment
company (‘‘fund’’) or its underwriter to
make an offer to the fund’s shareholders
or the shareholders of any other fund to
exchange the fund’s securities for
securities of the same or another fund
on any basis other than the relative net
asset values (‘‘NAVs’’) of the respective
securities to be exchanged, ‘‘unless the
terms of the offer have first been
submitted to and approved by the
Commission or are in accordance with
such rules and regulations as the
VerDate Aug<31>2005
15:53 Mar 07, 2006
Jkt 208001
Commission may have prescribed in
respect of such offers.’’ Section 11(a)
was designed to prevent ‘‘switching,’’
the practice of inducing shareholders of
one fund to exchange their shares for
the shares of another fund for the
purpose of exacting additional sales
charges.
Rule 11a–3 under the Act [17 CFR
270.11a–3] is an exemptive rule that
permits open-end investment
companies (‘‘funds’’), other than
insurance company separate accounts,
and funds’ principal underwriters, to
make certain exchange offers to fund
shareholders and shareholders of other
funds in the same group of investment
companies. The rule requires a fund,
among other things, (i) to disclose in its
prospectus and advertising literature the
amount of any administrative or
redemption fee imposed on an exchange
transaction, (ii) if the fund imposes an
administrative fee on exchange
transactions, other than a nominal one,
to maintain and preserve records with
respect to the actual costs incurred in
connection with exchanges for at least
six years, and (iii) give the fund’s
shareholders a sixty day notice of a
termination of an exchange offer or any
material amendment to the terms of an
exchange offer (unless the only material
effect of an amendment is to reduce or
eliminate an administrative fee, sales
load or redemption fee payable at the
time of an exchange).
The rule’s requirements are designed
to protect investors against abuses
associated with exchange offers, provide
fund shareholders with information
necessary to evaluate exchange offers
and certain material changes in the
terms of exchange offers, and enable the
Commission staff to monitor funds’ use
of administrative fees charged in
connection with exchange transactions.
There are approximately 2,300 active
open-end funds registered with the
Commission as of December 31, 2005.
The staff estimates that 25 percent of
these funds impose a non-nominal
administrative fee on exchange
transactions. The staff estimates that the
recordkeeping requirement of the rule
requires approximately 1 hour annually
of clerical time (at an estimated $23 per
hour) 1 per fund, for a total of 575 hours
for all funds (at a total annual cost of
1 All hourly rates are derived from the average
annual salaries reported for employees outside of
New York City in Securities Industry Association,
Management and Professional Earnings in the
Securities Industry (2003) and Securities Industry
Association, Office Salaries in the Securities
Industry (2003), and have been adjusted upwards
through established formulas to reflect overhead
and the increase in salaries since the report was
published.
PO 00000
Frm 00117
Fmt 4703
Sfmt 4703
11689
$13,225).2 The staff estimates that 25
percent of the 2300 funds terminate an
exchange offer or make a material
change to the terms once each year, and
that the notice requirement of the rule
requires approximately 1 hour of
professional time (at an estimated $81
per hour) and 2 hours of clerical time
(at an estimated $23 per hour) per fund,
for a total of approximately 1,725 hours
for all funds to comply with the notice
requirement (at a total annual cost of
$73,025).3 The recordkeeping and notice
requirements impose a total burden of
2,300 hours on all funds (at a total
annual cost of $86,250).4 The burdens
associated with the disclosure
requirement of the rule are accounted
for in the burdens associated with the
Form N–1A registration statement for
funds.
The estimate of average burden hours
is made solely for the purposes of the
Paperwork Reduction Act, and is not
derived from a comprehensive or even
a representative survey or study of the
costs of Commission rules and forms.
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 requested on:
(a) Whether the collection of
information is 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 burden[s] 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.
2 This estimate is based on the following
calculations: (2,300 funds × 0.25% = 575 funds);
(575 × 1 (clerical hour) = 575 clerical hours); (575
× $23 = $13,225 total annual cost for recordkeeping
requirement).
3 This estimate is based on the following
calculations: (2,300 (funds) × 0.25% = 575 funds);
(575 × 1 (professional hour) = 575 total professional
hours); (575 (funds) × 2 (clerical hours) = 1,150 total
clerical hours); (575 (professional hours) + 1,150
(clerical hours) = 1,725 total hours); (575
(professional hours) × $81 = $46,575 total
professional cost); (1,150 (clerical hours) × $23 =
$26,450 clerical cost); ($46,575 + $26,450 = $73,025
total annual cost).
4 This estimate is based on the following
calculations: (1,725 (notice hours) + 575
(recordkeeping hours) = 2,300 total hours); ($73,025
(notice costs) + $13,225 (recordkeeping costs) =
$86,250 total annual costs).
E:\FR\FM\08MRN1.SGM
08MRN1
Agencies
[Federal Register Volume 71, Number 45 (Wednesday, March 8, 2006)]
[Notices]
[Pages 11688-11689]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-3280]
=======================================================================
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SECURITIES AND EXCHANGE COMMISSION
Proposed Collection; Comment Request
Upon Written Request, Copy Available From: Securities and Exchange
Commission Office of Filings and Information Services, Washington, DC
20549.
Extension:
Form N-6F; SEC File No. 270-185; OMB Control No. 3235-0238.
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 the existing collection of information to the Office of
Management and Budget (``OMB'') for extension and approval:
Form N-6F Under the Investment Company Act of 1940 (17 CFR 274.15),
Notice of Intent To Elect To Be Subject to Sections 55 Through 65 of
the Investment Company Act of 1940
Certain companies may have to make a filing with the Commission
before they are ready to elect to be regulated as a business
development company.\1\ A company that is excluded from the definition
of ``investment company'' by Section 3(c)(1) of the Investment Company
Act of 1940 because it has fewer than one hundred shareholders and is
not making a public offering of its securities may lose such an
exclusion solely because it proposes to make a public offering of
securities as a business development company. Such a company, under
certain conditions, would not lose its exclusion if it notifies the
Commission on Form N-6F [17 CFR 274.15] of its intent to make an
election to be regulated as a business development company. The company
only has to file a Form N-6F once.
---------------------------------------------------------------------------
\1\ A company might not be prepared to elect to be subject to
sections 55 through 65 of the Investment Company Act of 1940 because
its capital structure or management compensation plan is not yet in
compliance with the requirements of those sections.
---------------------------------------------------------------------------
It is estimated that 2 respondents per year file with the
Commission a Form N-6F. Form N-6F requires approximately 0.5 burden
hours per response resulting from creating and filing the information
required by the Form. The total burden hours for Form N-6F would be 1
hour per year in the aggregate. The estimated annual burden of 1.0 hour
represents no change from the prior estimate of 1.0 hour.
The estimate of average burden hours for Form N-6F is made solely
for the purposes of the Paperwork Reduction Act and is not derived from
a comprehensive or even representative survey or study of the costs of
Commission rules and forms.
Written comments are invited on: (a) Whether the proposed
collections of information are necessary for the proper performance of
the functions of the agency, including whether the
[[Page 11689]]
information will have practical utility; (b) the accuracy of the
agency's estimate of the burden of the collections of information; (c)
ways to enhance the quality, utility, and clarity of the information
collected; and (d) ways to minimize the burden 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: February 28, 2006.
Nancy M. Morris,
Secretary.
[FR Doc. E6-3280 Filed 3-7-06; 8:45 am]
BILLING CODE 8010-01-P