Proposed Collection; Comment Request, 44294-44295 [2010-18445]
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Federal Register / Vol. 75, No. 144 / Wednesday, July 28, 2010 / Notices
enhance the quality, utility, and clarity
of the information to be 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.
Comments should be directed to:
Charles Boucher, Director/Chief
Information Officer, Securities and
Exchange Commission, c/o Shirley
Martinson, 6432 General Green Way,
Alexandria, Virginia 22312, or send an
e-mail to: PRA_Mailbox@sec.gov.
Dated: July 21, 2010.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–18444 Filed 7–27–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
sroberts on DSKD5P82C1PROD with NOTICES
Proposed Collection; Comment
Request
Upon Written Request, Copies Available
From: Securities and Exchange
Commission, Office of Investor
Education and Advocacy,
Washington, DC 20549–0213.
Extension:
Rule 17e–1; SEC File No. 270–224;
OMB Control No. 3235–0217.
Notice is hereby given that, pursuant
to the Paperwork Reduction Act of 1995
(44 U.S.C. 3501–3520), 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 17e–1 (17 CFR 270.17e–1) under
the Investment Company Act of 1940
(15 U.S.C. 80a–1) (the ‘‘Act’’) is entitled
‘‘Brokerage Transactions on a Securities
Exchange.’’ The rule governs the
remuneration that a broker affiliated
with a registered investment company
(‘‘fund’’) may receive in connection with
securities transactions by the fund. The
rule requires a fund’s board of directors
to establish, and review as necessary,
procedures reasonably designed to
provide that the remuneration to an
affiliated broker is a fair amount
compared to that received by other
brokers in connection with transactions
in similar securities during a
comparable period of time. Each
quarter, the board must determine that
VerDate Mar<15>2010
19:05 Jul 27, 2010
Jkt 220001
all transactions with affiliated brokers
during the preceding quarter complied
with the procedures established under
the rule. Rule 17e–1 also requires the
fund to (i) maintain permanently a
written copy of the procedures adopted
by the board for complying with the
requirements of the rule; and (ii)
maintain for a period of six years a
written record of each transaction
subject to the rule, setting forth: the
amount and source of the commission,
fee or other remuneration received; the
identity of the broker; the terms of the
transaction; and the materials used to
determine that the transactions were
effected in compliance with the
procedures adopted by the board. The
Commission’s examination staff uses
these records to evaluate transactions
between funds and their affiliated
brokers for compliance with the rule.
Based on an analysis of fund filings,
the staff estimates that approximately
252 fund portfolios enter into
subadvisory agreements each year.1
Based on discussions with industry
representatives, the staff estimates that
it will require approximately 3 attorney
hours to draft and execute additional
clauses in new subadvisory contracts in
order for funds and subadvisers to be
able to rely on the exemptions in rule
17e–1. Because these additional clauses
are identical to the clauses that a fund
would need to insert in their
subadvisory contracts to rely on rules
12d3–1, 10f–3, 17a–10, and because we
believe that funds that use one such rule
generally use all of these rules, we
apportion this 3 hour time burden
equally to all four rules. Therefore, we
estimate that the burden allocated to
rule 17e–1 for this contract change
would be 0.75 hours.2 Assuming that all
252 funds that enter into new
subadvisory contracts each year make
the modification to their contract
required by the rule, we estimate that
the rule’s contract modification
requirement will result in 189 burden
hours annually, with an associated cost
of approximately $59,724.3
1 Based on information in Commission filings, we
estimate that 42.5 percent of funds are advised by
subadvisers.
2 This estimate is based on the following
calculation (3 hours ÷ 4 rules = .75 hours).
3 These estimates are based on the following
calculations: (0.75 hours × 252 portfolios = 189
burden hours); ($316 per hour × 189 hours =
$59,724 total cost). The Commission staff’s
estimates concerning the wage rates for attorney
time are based on salary information for the
securities industry compiled by the Securities
Industry Association. The $316 per hour figure for
an attorney is from the SIA Report on Management
& Professional Earnings in the Securities Industry
2009, modified to account for an 1800-hour workyear and multiplied by 5.35 to account for bonuses,
firm size, employee benefits and overhead.
PO 00000
Frm 00081
Fmt 4703
Sfmt 4703
Based on an analysis of fund filings,
the staff estimates that approximately
1935 funds use at least one affiliated
broker. Based on conversations with
fund representatives, the staff estimates
that rule 17e–1’s exemption would free
approximately 40 percent of
transactions that occur under rule 17e–
1 from the rule’s recordkeeping and
review requirements. This would leave
approximately 1161 funds (1935 funds ×
.6 = 1161) still subject to the rule’s
recordkeeping and review requirements.
The staff estimates that each of these
funds spends approximately 59 hours
per year (40 hours by accounting staff,
15 hours by an attorney, and 4 director
hours) at a cost of approximately
$25,500 per year to comply with rule
17e–1’s requirements that (i) the fund
retain records of transactions entered
into pursuant to the rule, and (ii) the
fund’s directors review those
transactions quarterly.4 We estimate,
therefore, that the total yearly hourly
burden for all funds relying on this
exemption is 68,499 hours,5 with yearly
costs of approximately $29,605,500.6
Therefore, the estimated annual
aggregate burden hour associated with
rule 17e–1 is 68,688,7 and the estimated
annual aggregate cost associated with it
is $29,665,224.8
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. 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 OMB control
number.
Written comments are invited on: (a)
Whether the collections of information
are necessary for the proper
4 This estimate is based on the following
calculations: (40 hours accounting staff × $119 per
hour = $4760) (15 hours by an attorney × $316 per
hour = $4740); (4 hours by directors × $4000 =
$16,000) ($4760 + $4740 + $16,000 = $25,500 total
cost). The Commission staff’s estimates concerning
the wage rate for professional time are based on
salary information for the securities industry
compiled by the Securities Industry Association,
except for the estimate of $4000 per hour for a
board of directors. The $316 per hour estimate for
an attorney and the $119 per hour estimate for
accountant time is from the SIA Report on
Management & Professional Earnings in the
Securities Industry 2009, modified to account for an
1800-hour work-year and multiplied by 5.35 to
account for bonuses, firm size, employee benefits
and overhead.
5 This estimate is based on the following
calculation: (1161 funds × 59 hours = 68,499).
6 This estimate is based on the following
calculation: ($25,500 × 1161 funds = $29,605,500).
7 This estimate is based on the following
calculation: (189 hours + 68,499 hours = 68,688
total hours).
8 This estimate is based on the following
calculation: ($59,724 + $29,605,500 = $29,665,224).
E:\FR\FM\28JYN1.SGM
28JYN1
Federal Register / Vol. 75, No. 144 / Wednesday, July 28, 2010 / Notices
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 Charles Boucher, Director/Chief
Information Officer, Securities and
Exchange Commission, C/O Shirley
Martinson, 6432 General Green Way,
Alexandria, VA 22312; or send an email to: PRA_Mailbox@sec.gov.
Dated: July 21, 2010.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–18445 Filed 7–27–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
sroberts on DSKD5P82C1PROD with NOTICES
Request for Public Comment;
Comment Request
Upon Written Request, Copies Available
From: Securities and Exchange
Commission, Office of Investor
Education and Advocacy,
Washington, DC 20549–0213.
Extension:
Rule 203–2 and Form ADV–W; SEC
File No. 270–40; OMB Control No.
3235–0313.
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
(‘‘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 for extension
and approval.
The title for the collection of
information is ‘‘Rule 203–2 (17 CFR
275.203–2) and Form ADV–W (17 CFR
279.2) under the Investment Advisers
Act of 1940 (15 U.S.C. 80b).’’ Rule 203–
2 under the Investment Advisers Act of
1940 establishes procedures for an
investment adviser to withdraw its
registration with the Commission. Rule
203–2 requires every person
withdrawing from investment adviser
registration with the Commission to file
Form ADV–W electronically on the
VerDate Mar<15>2010
19:05 Jul 27, 2010
Jkt 220001
Investment Adviser Registration
Depository (‘‘IARD’’). The purpose of the
information collection is to notify the
Commission and the public when an
investment adviser withdraws its
pending or approved SEC registration.
Typically, an investment adviser files a
Form ADV–W when it ceases doing
business or when it is ineligible to
remain registered with the Commission.
The respondents to the collection of
information are all investment advisers
that are registered with the Commission
or have applications pending for
registration. The Commission has
estimated that compliance with the
requirement to complete Form ADV–W
imposes a total burden of approximately
0.75 hours (45 minutes) for an adviser
filing for full withdrawal and
approximately 0.25 hours (15 minutes)
for an adviser filing for partial
withdrawal. Based on historical filings,
the Commission estimates that there are
approximately 500 respondents
annually filing for full withdrawal and
approximately 500 respondents
annually filing for partial withdrawal.
Based on these estimates, the total
estimated annual burden would be 500
hours ((500 respondents × .75 hours) +
(500 respondents × .25 hours)).
Rule 203–2 and Form ADV–W do not
require recordkeeping or records
retention. The collection of information
requirements under the rule and form
are mandatory. The information
collected pursuant to the rule and Form
ADV–W are filings with the
Commission. These filings are not 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 documentation 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
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 Charles Boucher, Director/CIO,
Securities and Exchange Commission,
PO 00000
Frm 00082
Fmt 4703
Sfmt 4703
44295
C/O Shirley Martinson, 6432 General
Green Way, Alexandria, VA 22312; or
send an e-mail to:
PRA_Mailbox@sec.gov.
Dated: July 20, 2010.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–18446 Filed 7–27–10; 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 Investor
Education and Advocacy,
Washington, DC 20549–0213.
Extension:
Rule 203–3, Form ADV–H; SEC File
No. 270–481; OMB Control No.
3235–0538.
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 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.
The title for the collection of
information is ‘‘Rule 203–3 and Form
ADV–H under the Investment Advisers
Act of 1940.’’ Rule 203–3 (17 CFR
275.203–3) under the Investment
Advisers Act of 1940 (15 U.S.C. 80b)
establishes procedures for an
investment adviser to obtain a hardship
exemption from the electronic filing
requirements of the Investment Advisers
Act. Rule 203–3 requires every person
requesting a hardship exemption to file
Form ADV–H (17 CFR 279.3) with the
Commission. The purpose of this
collection of information is to permit
advisers to obtain a hardship
exemption, on a continuing or
temporary basis, to not complete an
electronic filing. The temporary
hardship exemption permits advisers to
make late filings due to unforeseen
computer or software problems, while
the continuing hardship exemption
permits advisers to submit all required
electronic filings on hard copy for data
entry by the operator of the IARD.
The respondents to the collection of
information are all investment advisers
that are registered with the Commission.
The Commission has estimated that
compliance with the requirement to
complete Form ADV–H imposes a total
E:\FR\FM\28JYN1.SGM
28JYN1
]]>Agencies
[Federal Register Volume 75, Number 144 (Wednesday, July 28, 2010)]
[Notices]
[Pages 44294-44295]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-18445]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Proposed Collection; Comment Request
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of Investor Education and Advocacy, Washington, DC
20549-0213.
Extension:
Rule 17e-1; SEC File No. 270-224; OMB Control No. 3235-0217.
Notice is hereby given that, pursuant to the Paperwork Reduction
Act of 1995 (44 U.S.C. 3501-3520), 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 17e-1 (17 CFR 270.17e-1) under the Investment Company Act of
1940 (15 U.S.C. 80a-1) (the ``Act'') is entitled ``Brokerage
Transactions on a Securities Exchange.'' The rule governs the
remuneration that a broker affiliated with a registered investment
company (``fund'') may receive in connection with securities
transactions by the fund. The rule requires a fund's board of directors
to establish, and review as necessary, procedures reasonably designed
to provide that the remuneration to an affiliated broker is a fair
amount compared to that received by other brokers in connection with
transactions in similar securities during a comparable period of time.
Each quarter, the board must determine that all transactions with
affiliated brokers during the preceding quarter complied with the
procedures established under the rule. Rule 17e-1 also requires the
fund to (i) maintain permanently a written copy of the procedures
adopted by the board for complying with the requirements of the rule;
and (ii) maintain for a period of six years a written record of each
transaction subject to the rule, setting forth: the amount and source
of the commission, fee or other remuneration received; the identity of
the broker; the terms of the transaction; and the materials used to
determine that the transactions were effected in compliance with the
procedures adopted by the board. The Commission's examination staff
uses these records to evaluate transactions between funds and their
affiliated brokers for compliance with the rule.
Based on an analysis of fund filings, the staff estimates that
approximately 252 fund portfolios enter into subadvisory agreements
each year.\1\ Based on discussions with industry representatives, the
staff estimates that it will require approximately 3 attorney hours to
draft and execute additional clauses in new subadvisory contracts in
order for funds and subadvisers to be able to rely on the exemptions in
rule 17e-1. Because these additional clauses are identical to the
clauses that a fund would need to insert in their subadvisory contracts
to rely on rules 12d3-1, 10f-3, 17a-10, and because we believe that
funds that use one such rule generally use all of these rules, we
apportion this 3 hour time burden equally to all four rules. Therefore,
we estimate that the burden allocated to rule 17e-1 for this contract
change would be 0.75 hours.\2\ Assuming that all 252 funds that enter
into new subadvisory contracts each year make the modification to their
contract required by the rule, we estimate that the rule's contract
modification requirement will result in 189 burden hours annually, with
an associated cost of approximately $59,724.\3\
---------------------------------------------------------------------------
\1\ Based on information in Commission filings, we estimate that
42.5 percent of funds are advised by subadvisers.
\2\ This estimate is based on the following calculation (3 hours
/ 4 rules = .75 hours).
\3\ These estimates are based on the following calculations:
(0.75 hours x 252 portfolios = 189 burden hours); ($316 per hour x
189 hours = $59,724 total cost). The Commission staff's estimates
concerning the wage rates for attorney time are based on salary
information for the securities industry compiled by the Securities
Industry Association. The $316 per hour figure for an attorney is
from the SIA Report on Management & Professional Earnings in the
Securities Industry 2009, modified to account for an 1800-hour work-
year and multiplied by 5.35 to account for bonuses, firm size,
employee benefits and overhead.
---------------------------------------------------------------------------
Based on an analysis of fund filings, the staff estimates that
approximately 1935 funds use at least one affiliated broker. Based on
conversations with fund representatives, the staff estimates that rule
17e-1's exemption would free approximately 40 percent of transactions
that occur under rule 17e-1 from the rule's recordkeeping and review
requirements. This would leave approximately 1161 funds (1935 funds x
.6 = 1161) still subject to the rule's recordkeeping and review
requirements. The staff estimates that each of these funds spends
approximately 59 hours per year (40 hours by accounting staff, 15 hours
by an attorney, and 4 director hours) at a cost of approximately
$25,500 per year to comply with rule 17e-1's requirements that (i) the
fund retain records of transactions entered into pursuant to the rule,
and (ii) the fund's directors review those transactions quarterly.\4\
We estimate, therefore, that the total yearly hourly burden for all
funds relying on this exemption is 68,499 hours,\5\ with yearly costs
of approximately $29,605,500.\6\ Therefore, the estimated annual
aggregate burden hour associated with rule 17e-1 is 68,688,\7\ and the
estimated annual aggregate cost associated with it is $29,665,224.\8\
---------------------------------------------------------------------------
\4\ This estimate is based on the following calculations: (40
hours accounting staff x $119 per hour = $4760) (15 hours by an
attorney x $316 per hour = $4740); (4 hours by directors x $4000 =
$16,000) ($4760 + $4740 + $16,000 = $25,500 total cost). The
Commission staff's estimates concerning the wage rate for
professional time are based on salary information for the securities
industry compiled by the Securities Industry Association, except for
the estimate of $4000 per hour for a board of directors. The $316
per hour estimate for an attorney and the $119 per hour estimate for
accountant time is from the SIA Report on Management & Professional
Earnings in the Securities Industry 2009, modified to account for an
1800-hour work-year and multiplied by 5.35 to account for bonuses,
firm size, employee benefits and overhead.
\5\ This estimate is based on the following calculation: (1161
funds x 59 hours = 68,499).
\6\ This estimate is based on the following calculation:
($25,500 x 1161 funds = $29,605,500).
\7\ This estimate is based on the following calculation: (189
hours + 68,499 hours = 68,688 total hours).
\8\ This estimate is based on the following calculation:
($59,724 + $29,605,500 = $29,665,224).
---------------------------------------------------------------------------
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. 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 OMB
control number.
Written comments are invited on: (a) Whether the collections of
information are necessary for the proper
[[Page 44295]]
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 Charles Boucher, Director/
Chief Information Officer, Securities and Exchange Commission, C/O
Shirley Martinson, 6432 General Green Way, Alexandria, VA 22312; or
send an e-mail to: PRA_Mailbox@sec.gov.
Dated: July 21, 2010.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-18445 Filed 7-27-10; 8:45 am]
BILLING CODE 8010-01-P
