Sunshine Act Meeting, 25521-25522 [2012-10512]
Download as PDF
mstockstill on DSK4VPTVN1PROD with NOTICES
Federal Register / Vol. 77, No. 83 / Monday, April 30, 2012 / Notices
Purchasing Fund Subadviser. In the
event that the Purchasing Fund
Subadviser waives fees, the benefit of
the waiver will be passed through to the
Purchasing Management Company.
12. No Purchasing Fund or
Purchasing Fund Affiliate (except to the
extent it is acting in its capacity as an
investment adviser to a Fund (or its
respective Master Fund)) will cause a
Fund (or its respective Master Fund) to
purchase a security in an Affiliated
Underwriting.
13. The Board of the Fund (or of its
respective Master Fund), including a
majority of the disinterested Board
members, will adopt procedures
reasonably designed to monitor any
purchases of securities by the Fund (or
its respective Master Fund) in an
Affiliated Underwriting, once an
investment by a Purchasing Fund in the
securities of the Fund exceeds the limit
of section 12(d)(1)(A)(i) of the Act,
including any purchases made directly
from an Underwriting Affiliate. The
Board will review these purchases
periodically, but no less frequently than
annually, to determine whether the
purchases were influenced by the
investment by the Purchasing Fund in
the Fund. The Board will consider,
among other things: (i) Whether the
purchases were consistent with the
investment objectives and policies of
the Fund (or its respective Master
Fund); (ii) how the performance of
securities purchased in an Affiliated
Underwriting compares to the
performance of comparable securities
purchased during a comparable period
of time in underwritings other than
Affiliated Underwritings or to a
benchmark such as a comparable market
index; and (iii) whether the amount of
securities purchased by the Fund (or its
respective Master Fund) in Affiliated
Underwritings and the amount
purchased directly from an
Underwriting Affiliate have changed
significantly from prior years. The
Board will take any appropriate actions
based on its review, including, if
appropriate, the institution of
procedures designed to assure that
purchases of securities in Affiliated
Underwritings are in the best interest of
shareholders.
14. Each Fund (or its respective
Master Fund) will maintain and
preserve permanently in an easily
accessible place a written copy of the
procedures described in the preceding
condition, and any modifications to
such procedures, and will maintain and
preserve for a period of not less than six
years from the end of the fiscal year in
which any purchase in an Affiliated
Underwriting occurred, the first two
VerDate Mar<15>2010
17:59 Apr 27, 2012
Jkt 226001
years in an easily accessible place, a
written record of each purchase of
securities in Affiliated Underwritings,
once an investment by a Purchasing
Fund in the securities of the Fund
exceeds the limit of section
12(d)(1)(A)(i) of the Act, setting forth
from whom the securities were
acquired, the identity of the
underwriting syndicate’s members, the
terms of the purchase, and the
information or materials upon which
the Board’s determinations were made.
15. Before investing in a Fund in
excess of the limit in section
12(d)(1)(A), a Purchasing Fund will
execute a FOF Participation Agreement
with the Fund stating that their
respective boards of directors or trustees
and their investment advisers, or
Trustee and Sponsor, as applicable,
understand the terms and conditions of
the order, and agree to fulfill their
responsibilities under the order. At the
time of its investment in shares of a
Fund in excess of the limit in section
12(d)(1)(A)(i), a Purchasing Fund will
notify the Fund of the investment. At
such time, the Purchasing Fund will
also transmit to the Fund a list of the
names of each Purchasing Fund Affiliate
and Underwriting Affiliate. The
Purchasing Fund will notify the Fund of
any changes to the list of the names as
soon as reasonably practicable after a
change occurs. The Fund and the
Purchasing Fund will maintain and
preserve a copy of the order, the FOF
Participation Agreement, and the list
with any updated information for the
duration of the investment and for a
period of not less than six years
thereafter, the first two years in an
easily accessible place.
16. Before approving any advisory
contract under section 15 of the Act, the
board of directors or trustees of each
Purchasing Management Company,
including a majority of the disinterested
directors or trustees, will find that the
advisory fees charged under such
contract are based on services provided
that will be in addition to, rather than
duplicative of, the services provided
under the advisory contract(s) of any
Fund (or its respective Master Fund) in
which the Purchasing Management
Company may invest. These findings
and their basis will be recorded fully in
the minute books of the appropriate
Purchasing Management Company.
17. Any sales charges and/or service
fees charged with respect to shares of a
Purchasing Fund will not exceed the
limits applicable to a fund of funds as
set forth in NASD Conduct Rule 2830.
18. No Fund (or its respective Master
Fund) will acquire securities of any
investment company or company
PO 00000
Frm 00122
Fmt 4703
Sfmt 4703
25521
relying on section 3(c)(1) or 3(c)(7) of
the Act in excess of the limits contained
in section 12(d)(1)(A) of the Act, except
to the extent that (i) the Fund (or its
respective Master Fund) acquires
securities of another investment
company pursuant to exemptive relief
from the Commission permitting the
Fund (or its respective Master Fund) to
acquire securities of one or more
investment companies for short-term
cash management purposes, or (ii) the
Fund acquires securities of the Master
Fund pursuant to the Master-Feeder
Relief.
For the Commission, by the Division of
Investment Management, under delegated
authority.
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–10299 Filed 4–27–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meeting
Notice is hereby given, pursuant to
the provisions of the Government in the
Sunshine Act, Public Law 94–409, that
the Securities and Exchange
Commission will hold a Closed Meeting
on Thursday, May 3, 2012 at 2:00 p.m.
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the Closed Meeting. Certain
staff members who have an interest in
the matters also may be present.
The General Counsel of the
Commission, or his designee, has
certified that, in his opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (7), 9(B) and (10)
and 17 CFR 200.402(a)(3), (5), (7), 9(ii)
and (10), permit consideration of the
scheduled matters at the Closed
Meeting.
Commissioner Paredes, as duty
officer, voted to consider the items
listed for the Closed Meeting in a closed
session.
The subject matter of the Closed
Meeting scheduled for Thursday, May 3,
2012 will be:
Institution and settlement of injunctive
actions;
Institution and settlement of
administrative proceedings; and
Other matters relating to enforcement
proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
For further information and to
ascertain what, if any, matters have been
added, deleted or postponed, please
E:\FR\FM\30APN1.SGM
30APN1
25522
Federal Register / Vol. 77, No. 83 / Monday, April 30, 2012 / Notices
contact: The Office of the Secretary at
(202) 551–5400.
Dated: April 26, 2012
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2012–10512 Filed 4–26–12; 4:15 pm]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–66853; File No. SR–ICC–
2012–02]
Self-Regulatory Organizations; ICE
Clear Credit LLC; Order Approving
Proposed Rule Change to Provide for
a T+1 Settlement of the Initial Payment
Related to the CDS Contracts Cleared
by ICE Clear Credit LLC
April 24, 2012.
mstockstill on DSK4VPTVN1PROD with NOTICES
I. Introduction
On March 1, 2012, ICE Clear Credit
LLC (‘‘ICC’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change SR–ICC–2012–02 pursuant to
Section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’).1 The
proposed rule change was published for
comment in the Federal Register on
March 12, 2012.2 The Commission
received no comment letters. For the
reasons discussed below, the
Commission is granting approval of the
proposed rule change.
II. Description
ICC proposed rule amendments that
were intended to modify the terms of
each of the various CDS Contracts
cleared by ICC (CDX.NA Untranched
Contracts, Standard North American
Corporate (‘‘SNAC’’) Single Name
Contracts and Standard Emerging
Sovereign (‘‘SES’’) Single Name
Contracts) to make the Initial Payment 3
date the first business day immediately
following the trade date, provided that
with respect to CDS Contracts that are
accepted for clearing after the trade
date, the Initial Payment date will be the
date that is the first business day
following the date when the CDS
Contract is accepted for clearing. The
Initial Payment under a CDS Contract is
established at the time the contract is
executed and may be payable from
either the protection buyer to the
protection seller or vice versa. Under
1 15
U.S.C. 78s(b)(1).
Exchange Act Release No. 34–66517
(March 6, 2012), 77 FR 14578 (March 12, 2012).
3 The Initial Payment is an obligation by either
counterparty to make an upfront payment
established at the time the contract is executed. See
ICE Clear Credit Clearing Rules, Section 301(b).
2 Securities
VerDate Mar<15>2010
17:59 Apr 27, 2012
Jkt 226001
the current ICC Rules (by way of the
incorporated ISDA Credit Derivatives
Definitions), and consistent with
practice in the market for uncleared
credit default swaps, the Initial Payment
is required to be made on the third
business day following the trade date
(the execution date). ICC proposed to
add the definition of Initial Payment
Date to its Clearing Rules to provide
instead that the Initial Payment is to be
made on the first business day following
the trade date (or, if the transaction is
accepted for clearing after the trade
date, the Initial Payment is to be made
on the first business day following the
date of acceptance for clearing). ICC
believes that this change from ‘‘T+3’’
settlement to ‘‘T+1’’ settlement for the
Initial Payment will facilitate customerrelated clearing. In addition, this change
will improve margin efficiency (as
margin requirements will no longer
need to take into account the additional
risk from a T+3 as opposed to a T+1
settlement rule).
The other proposed changes in the
ICC Rules reflect updates to crossreferences and defined terms and
similar drafting clarifications, and do
not affect the substance of the ICC Rules
or cleared products.
III. Discussion
Section 19(b)(2)(B) of the Act 4 directs
the Commission to approve a proposed
rule change of a self-regulatory
organization if it finds that such
proposed rule change is consistent with
the requirements of the Act and the
rules and regulations thereunder
applicable to such organization. Section
17A(b)(3)(F) of the Act 5 requires, among
other things, that the rules of a clearing
agency be designed to promote the
prompt and accurate clearance and
settlement of securities transactions
and, to the extent applicable, derivative
agreements, contracts, and transactions.
Because the proposed rule change
will accelerate the Initial Payment date,
it will improve margin efficiency (as
margin requirements will no longer
need to take into account the additional
risk from a T+3 as opposed to a T+1
settlement rule) thereby promoting the
prompt and accurate clearance and
settlement of derivative agreements,
contracts, and transactions, and
therefore is consistent with the
requirements of Section 17A(b)(3)(F) of
the Act.
IV. Conclusion
On the basis of the foregoing, the
Commission finds that the proposal is
4 15
5 15
PO 00000
U.S.C. 78s(b)(2)(B).
U.S.C. 78q–1(b)(3)(F).
Frm 00123
Fmt 4703
Sfmt 4703
consistent with the requirements of the
Act and in particular with the
requirements of Section 17A of the Act 6
and the rules and regulations
thereunder.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,7 that the
proposed rule change (File No. SR–ICC–
2012–02) be, and hereby is, approved.8
For the Commission by the Division of
Trading and Markets, pursuant to delegated
authority.9
Kevin O’Neill,
Deputy Secretary.
[FR Doc. 2012–10307 Filed 4–27–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–66856; File No. SR–FICC–
2012–02]
Self-Regulatory Organizations; Fixed
Income Clearing Corporation; Order
Approving Proposed Rule Change
Relating To Remove Functionality in
the Government Securities Division’s
Rules That Is No Longer Utilized by
Participants
April 25, 2012.
I. Introduction
On February 29, 2012, the Fixed
Income Clearing Corporation (‘‘FICC’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change SR–FICC–2012–
02 pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 2 thereunder.
The proposed rule change was
published for comment in the Federal
Register on March 16, 2012.3 The
Commission received no comment
letters on the proposed rule change.
This order approves the proposed rule
change.
II. Description
This rule change revises certain rules
of the Government Securities Division
(‘‘GSD’’) to eliminate references to
functions or classifications that are
either technologically obsolete or no
longer utilized by GSD’s participants.
6 15
U.S.C. 78q–1.
U.S.C. 78s(b)(2).
8 In approving the proposed rule change, the
Commission considered the proposal’s impact on
efficiency, competition and capital formation. 15
U.S.C. 78c(f).
9 17 CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 Securities Exchange Act Release No. 15822
(March 12, 2012), 77 FR 15822 (March 16, 2012).
7 15
E:\FR\FM\30APN1.SGM
30APN1
Agencies
[Federal Register Volume 77, Number 83 (Monday, April 30, 2012)]
[Notices]
[Pages 25521-25522]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-10512]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Sunshine Act Meeting
Notice is hereby given, pursuant to the provisions of the
Government in the Sunshine Act, Public Law 94-409, that the Securities
and Exchange Commission will hold a Closed Meeting on Thursday, May 3,
2012 at 2:00 p.m.
Commissioners, Counsel to the Commissioners, the Secretary to the
Commission, and recording secretaries will attend the Closed Meeting.
Certain staff members who have an interest in the matters also may be
present.
The General Counsel of the Commission, or his designee, has
certified that, in his opinion, one or more of the exemptions set forth
in 5 U.S.C. 552b(c)(3), (5), (7), 9(B) and (10) and 17 CFR
200.402(a)(3), (5), (7), 9(ii) and (10), permit consideration of the
scheduled matters at the Closed Meeting.
Commissioner Paredes, as duty officer, voted to consider the items
listed for the Closed Meeting in a closed session.
The subject matter of the Closed Meeting scheduled for Thursday,
May 3, 2012 will be:
Institution and settlement of injunctive actions;
Institution and settlement of administrative proceedings; and
Other matters relating to enforcement proceedings.
At times, changes in Commission priorities require alterations in
the scheduling of meeting items.
For further information and to ascertain what, if any, matters have
been added, deleted or postponed, please
[[Page 25522]]
contact: The Office of the Secretary at (202) 551-5400.
Dated: April 26, 2012
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2012-10512 Filed 4-26-12; 4:15 pm]
BILLING CODE 8011-01-P