83 FR 45860 - Extension of Comment Period for Proposed Revisions to Prohibitions and Restrictions on Proprietary Trading and Certain Interests in, and Relationships With, Hedge Funds and Private Equity Funds

DEPARTMENT OF TREASURY
Office of the Comptroller of the Currency
FEDERAL RESERVE SYSTEM
FEDERAL DEPOSIT INSURANCE CORPORATION
COMMODITY FUTURES TRADING COMMISSION
SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 176 (September 11, 2018)

Page Range		45860-45861
FR Document		2018-19649

On July 17, 2018, the Agencies published in the Federal Register a notice of proposed rulemaking (proposal) that would amend the regulations implementing section 13 of the Bank Holding Company Act. Section 13 contains certain restrictions on the ability of a banking entity and nonbank financial company supervised by the Board to engage in proprietary trading and have certain interests in, or relationships with, a hedge fund or private equity fund. The proposed amendments are intended to provide banking entities with clarity about what activities are prohibited and to improve supervision and implementation of section 13. In response to requests from commenters regarding issues addressed in the proposal, the public comment period has been extended for 30 days until October 17, 2018. This action will allow interested persons additional time to analyze the proposal and prepare their comments.

Federal Register, Volume 83 Issue 176 (Tuesday, September 11, 2018)

[Federal Register Volume 83, Number 176 (Tuesday, September 11, 2018)]
[Proposed Rules]
[Pages 45860-45861]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-19649]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF TREASURY

Office of the Comptroller of the Currency

12 CFR Part 44

[Docket No. OCC-2018-0010]
RIN 1557-AE27

FEDERAL RESERVE SYSTEM

12 CFR Part 248

[Docket No. R-1608]
RIN 7100-AF 06

FEDERAL DEPOSIT INSURANCE CORPORATION

12 CFR Part 351

RIN 3064-AE67

COMMODITY FUTURES TRADING COMMISSION

17 CFR Part 75

RIN 3038-AE72

SECURITIES AND EXCHANGE COMMISSION

17 CFR Part 255

[Release no. BHCA-3; File no. S7-14-18]
RIN 3235-AM10


Extension of Comment Period for Proposed Revisions to 
Prohibitions and Restrictions on Proprietary Trading and Certain 
Interests in, and Relationships With, Hedge Funds and Private Equity 
Funds

AGENCY: Office of the Comptroller of the Currency, Treasury (OCC); 
Board of Governors of the Federal Reserve System (Board); Federal 
Deposit Insurance Corporation (FDIC); Securities and Exchange 
Commission (SEC); and Commodity Futures Trading Commission (CFTC) 
(collectively, the ``Agencies'').

ACTION: Notice of proposed rulemaking; extension of comment period.

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

SUMMARY: On July 17, 2018, the Agencies published in the Federal 
Register a notice of proposed rulemaking (proposal) that would amend 
the regulations implementing section 13 of the Bank Holding Company 
Act. Section 13 contains certain restrictions on the ability of a 
banking entity and nonbank financial company supervised by the Board to 
engage in proprietary trading and have certain interests in, or 
relationships with, a hedge fund or private equity fund. The proposed 
amendments are intended to provide banking entities with clarity about 
what activities are prohibited and to improve supervision and 
implementation of section 13.
    In response to requests from commenters regarding issues addressed 
in the proposal, the public comment period has been extended for 30 
days until October 17, 2018. This action will allow interested persons 
additional time to analyze the proposal and prepare their comments.

DATES: The comment period for the notice of proposed rulemaking 
published on July 17, 2018 (83 FR 33432), regarding proposed revisions 
to prohibitions and restrictions on proprietary trading and certain 
interests in, and relationships with, hedge funds and private equity 
funds, is extended from September 17, 2018, to October 17, 2018.

ADDRESSES: You may submit comments by any of the methods identified in 
the proposal.\1\ Please submit your comments using only one method.
---------------------------------------------------------------------------

    \1\ See 83 FR 33432, 33432-33 (July 17, 2018).

FOR FURTHER INFORMATION CONTACT: 
    OCC: Tabitha Edgens, Senior Attorney; Mark O'Horo, Attorney, Chief 
Counsel's Office, (202) 649-5510; for persons who are deaf or hearing 
impaired, TTY, (202) 649-5597, Office of the Comptroller of the 
Currency, 400 7th Street SW, Washington, DC 20219.
    Board: Kevin Tran, Supervisory Financial Analyst, (202) 452-2309, 
Amy Lorenc, Financial Analyst, (202) 452-5293, David Lynch, Deputy 
Associate Director, (202) 452-2081, David McArthur, Senior Economist, 
(202) 452-2985, Division of Supervision and Regulation; Flora Ahn, 
Senior Counsel, (202) 452-2317, Gregory Frischmann, Counsel, (202) 452-
2803, or Kirin Walsh, Attorney, (202) 452-3058, Legal Division, Board 
of Governors of the Federal Reserve System, 20th and C Streets NW, 
Washington, DC 20551. For the hearing impaired only,

[[Page 45861]]

Telecommunication Device for the Deaf (TDD), (202) 263-4869.
    FDIC: Bobby R. Bean, Associate Director, [email protected], Michael 
Spencer, Chief, Capital Markets Strategies Section, 
[email protected], or Brian Cox, Capital Markets Policy Analyst, 
[email protected], Capital Markets Branch, (202) 898-6888; Michael B. 
Phillips, Counsel, [email protected], Benjamin J. Klein, Counsel, 
[email protected], or Annmarie H. Boyd, Counsel, [email protected], Legal 
Division, Federal Deposit Insurance Corporation, 550 17th Street NW, 
Washington, DC 20429.
    SEC: Andrew R. Bernstein (Senior Special Counsel), Sophia Colas 
(Attorney-Adviser), Sam Litz (Attorney-Adviser), Aaron Washington 
(Special Counsel), Elizabeth Sandoe (Senior Special Counsel), Carol 
McGee (Assistant Director), or Josephine J. Tao (Assistant Director), 
at (202) 551-5777, Division of Trading and Markets, and Nicholas 
Cordell, Matthew Cook, Elizabeth Blase, Aaron Gilbride (Branch Chief), 
Brian McLaughlin Johnson (Assistant Director), and Sara Cortes 
(Assistant Director), at (202) 551-6787 or [email protected], Division of 
Investment Management, U.S. Securities and Exchange Commission, 100 F 
Street NE, Washington, DC 20549.
    CFTC: Erik Remmler, Deputy Director, (202) 418-7630, 
[email protected]; Cantrell Dumas, Special Counsel, (202) 418-5043, 
[email protected]; Jeffrey Hasterok, Data and Risk Analyst, (646) 746-
9736, [email protected], Division of Swap Dealer and Intermediary 
Oversight; Mark Fajfar, Assistant General Counsel, (202) 418-6636, 
[email protected], Office of the General Counsel; Stephen Kane, Research 
Economist, (202) 418-5911, [email protected], Office of the Chief 
Economist; Commodity Futures Trading Commission, Three Lafayette 
Centre, 1155 21st Street NW, Washington, DC 20581.

SUPPLEMENTARY INFORMATION: On July 17, 2018, the Agencies published in 
the Federal Register a notice of proposed rulemaking that would amend 
the regulations implementing section 13 of the Bank Holding Company 
Act.\2\ Section 13 contains certain restrictions on the ability of a 
banking entity and nonbank financial company supervised by the Board to 
engage in proprietary trading and have certain interests in, or 
relationships with, a hedge fund or private equity fund. The proposed 
amendments are intended to provide banking entities with clarity about 
what activities are prohibited and to improve supervision and 
implementation of section 13. The proposal stated that the public 
comment period would close on September 17, 2018.\3\
---------------------------------------------------------------------------

    \2\ 83 FR 33432-33605.
    \3\ 83 FR 33432-33605.
---------------------------------------------------------------------------

    The Agencies have received requests from the public asking the 
Agencies to extend the comment period for the proposal.\4\ These 
requests suggested that an extension of the comment period would help 
commenters provide feedback on the proposed changes and detailed 
requests for comment in the proposal. This extension of the comment 
period will allow interested persons additional time to analyze the 
proposal and prepare their comments. Accordingly, the comment period 
for the proposal is extended from September 17, 2018, to October 17, 
2018.
---------------------------------------------------------------------------

    \4\ See joint comment letter to the Agencies from Better 
Markets, Americans for Financial Reform, Public Citizen and the 
Center for American Progress (July 10, 2018); comment letter to the 
Agencies from U.S. Senators Sherrod Brown and Jeffrey A. Merkley 
(August 6, 2018); comment letter to the Agencies from the National 
Association of Federally-Insured Credit Unions (July 25, 2018).

    Dated: August 31, 2018.
Joseph M. Otting,
Comptroller of the Currency.
    By order of the Board of Governors of the Federal Reserve 
System, acting through the Secretary of the Board under delegated 
authority, August 29, 2018.
Ann E. Misback,
Secretary of the Board.
    Dated at Washington, DC on August 28, 2018. Federal Deposit 
Insurance Corporation.
Valerie Jean Best,
Assistant Executive Secretary.
    By the Securities and Exchange Commission.
    Dated: September 4, 2018.
Brent J. Fields,
Secretary.
    Issued in Washington, DC, on August 30, 2018, by the Commodity 
Futures Trading Commission.
Christopher J. Kirkpatrick,
Secretary of the Commodity Futures Trading Commission.
[FR Doc. 2018-19649 Filed 9-10-18; 8:45 am]
 BILLING CODE 6210-01-P; 4810-33-P; 6714-01-P; 8011-01-P; 6351-01-P

45860 Federal Register / Vol. 83, No. 176 / Tuesday, September 11, 2018 / Proposed Rules

• One of the operating speeds is 45% to freeze protection controls enabled, the ACTION: Notice of proposed rulemaking;
55% of the maximum operating speed; default dry-bulb air temperature setting (in extension of comment period.
• One of the operating speeds is less than °F), default run time setting (in minutes), and
or equal to 40% of the maximum operating default motor speed (in rpm). SUMMARY: On July 17, 2018, the
speed and greater than zero. Agencies published in the Federal
And that must be distributed in commerce Compliance date
The compliance date should be July 19, Register a notice of proposed
either:
(1) With a variable speed drive and with 2021 to align with the compliance date of the rulemaking (proposal) that would
a user interface that changes the speed in DPPP standards. amend the regulations implementing
response to pre- programmed user section 13 of the Bank Holding
Verification of THP
preferences and allows the user to select the Company Act. Section 13 contains
duration of each speed and/or the on/off For purposes of verifying THP, DOE should certain restrictions on the ability of a
times; use the DPPP test procedure at 10 CFR 431
banking entity and nonbank financial
(2) With a variable speed drive and without Appendix C to Subpart Y.
company supervised by the Board to
a user interface that changes the speed in [FR Doc. 2018–19577 Filed 9–10–18; 8:45 am] engage in proprietary trading and have
response to pre-programmed user preferences BILLING CODE 6450–01–P
and allows the user to select the duration of certain interests in, or relationships
each speed and/or the on/off times, but is with, a hedge fund or private equity
unable to operate without the presence of a fund. The proposed amendments are
user interface; or DEPARTMENT OF TREASURY intended to provide banking entities
(3) Without a variable speed drive and with with clarity about what activities are
or without a user interface, but is unable to Office of the Comptroller of the prohibited and to improve supervision
operate without the presence of a variable Currency and implementation of section 13.
speed drive.
In response to requests from
And: 12 CFR Part 44
(1) Any high speed override capability commenters regarding issues addressed
shall be for a temporary period not to exceed [Docket No. OCC–2018–0010] in the proposal, the public comment
one 24-hour cycle without resetting to default period has been extended for 30 days
RIN 1557–AE27
settings or resuming normal operation until October 17, 2018. This action will
according to pre- programmed user FEDERAL RESERVE SYSTEM allow interested persons additional time
preferences; and to analyze the proposal and prepare
(2) Any factory default setting for daily run their comments.
time schedule may not include more hours 12 CFR Part 248
at an operating speed above 55% of DATES: The comment period for the
[Docket No. R–1608]
maximum operating speed than the hours at notice of proposed rulemaking
or below 55% of maximum operating speed; RIN 7100–AF 06 published on July 17, 2018 (83 FR
or if a motor is distributed in commerce 33432), regarding proposed revisions to
without a default setting for daily run time FEDERAL DEPOSIT INSURANCE prohibitions and restrictions on
schedule, the default operating speed after CORPORATION proprietary trading and certain interests
any priming cycle (if applicable) must be no in, and relationships with, hedge funds
greater than 55% of the maximum operating 12 CFR Part 351
speed.
and private equity funds, is extended
RIN 3064–AE67 from September 17, 2018, to October 17,
DPPP motors with freeze protection controls 2018.
For all dedicated-purpose pool pump COMMODITY FUTURES TRADING ADDRESSES: You may submit comments
motors distributed in commerce with freeze COMMISSION by any of the methods identified in the
protection controls, the motor must be
proposal.1 Please submit your
shipped with freeze protection disabled or 17 CFR Part 75
with the following default, user- adjustable comments using only one method.
settings: RIN 3038–AE72 FOR FURTHER INFORMATION CONTACT:
(1) The default dry-bulb air temperature OCC: Tabitha Edgens, Senior
setting is no greater than 40 °F; SECURITIES AND EXCHANGE Attorney; Mark O’Horo, Attorney, Chief
(2) The default run time setting shall be no COMMISSION Counsel’s Office, (202) 649–5510; for
greater than 1 hour (before the temperature persons who are deaf or hearing
is rechecked); and 17 CFR Part 255
(3) The default motor speed shall not be
impaired, TTY, (202) 649–5597, Office
more than 1⁄2 of the maximum speed. [Release no. BHCA–3; File no. S7–14–18] of the Comptroller of the Currency, 400
7th Street SW, Washington, DC 20219.
Labeling RIN 3235–AM10 Board: Kevin Tran, Supervisory
If DOE is able to implement labeling Financial Analyst, (202) 452–2309, Amy
requirements, the permanent nameplate must Extension of Comment Period for
Proposed Revisions to Prohibitions Lorenc, Financial Analyst, (202) 452–
be marked clearly with the following 5293, David Lynch, Deputy Associate
information: and Restrictions on Proprietary
Trading and Certain Interests in, and Director, (202) 452–2081, David
(A) The dedicated-purpose pool pump
motor total horsepower; and Relationships With, Hedge Funds and McArthur, Senior Economist, (202) 452–
(B) Either: single-speed, two-speed, multi- Private Equity Funds 2985, Division of Supervision and
speed, or variable-speed control. Regulation; Flora Ahn, Senior Counsel,
AGENCY: Office of the Comptroller of the (202) 452–2317, Gregory Frischmann,
daltland on DSKBBV9HB2PROD with PROPOSALS

Reporting
Currency, Treasury (OCC); Board of Counsel, (202) 452–2803, or Kirin
Certification reporting requirements should Governors of the Federal Reserve Walsh, Attorney, (202) 452–3058, Legal
include, but not be limited to,: System (Board); Federal Deposit Division, Board of Governors of the
(A) For dedicated-purpose pool pump
motors distributed in commerce with freeze
Insurance Corporation (FDIC); Securities Federal Reserve System, 20th and C
protection controls, a statement regarding and Exchange Commission (SEC); and Streets NW, Washington, DC 20551. For
whether freeze protection is shipped enabled Commodity Futures Trading the hearing impaired only,
or disabled, and for dedicated-purpose pool Commission (CFTC) (collectively, the
pump motors distributed in commerce with ‘‘Agencies’’). 1 See 83 FR 33432, 33432–33 (July 17, 2018).

VerDate Sep<11>2014 16:36 Sep 10, 2018 Jkt 244001 PO 00000 Frm 00010 Fmt 4702 Sfmt 4702 E:\FR\FM\11SEP1.SGM 11SEP1

Document Created: 2018-09-11 01:03:27
Document Modified: 2018-09-11 01:03:27

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Proposed Rules
Action		Notice of proposed rulemaking; extension of comment period.
Dates		The comment period for the notice of proposed rulemaking published on July 17, 2018 (83 FR 33432), regarding proposed revisions to prohibitions and restrictions on proprietary trading and certain interests in, and relationships with, hedge funds and private equity funds, is extended from September 17, 2018, to October 17, 2018.
Contact		OCC: Tabitha Edgens, Senior Attorney; Mark O'Horo, Attorney, Chief Counsel's Office, (202) 649-5510; for persons who are deaf or hearing impaired, TTY, (202) 649-5597, Office of the Comptroller of the Currency, 400 7th Street SW, Washington, DC 20219.
FR Citation		83 FR 45860
RIN Number		1557-AE27, 3064-AE67, 3038-AE72 and 3235-AM10
CFR Citation		12 CFR 248 12 CFR 351 12 CFR 44 17 CFR 255 17 CFR 75

83 FR 45860 - Extension of Comment Period for Proposed Revisions to Prohibitions and Restrictions on Proprietary Trading and Certain Interests in, and Relationships With, Hedge Funds and Private Equity Funds

DEPARTMENT OF TREASURYOffice of the Comptroller of the CurrencyFEDERAL RESERVE SYSTEMFEDERAL DEPOSIT INSURANCE CORPORATIONCOMMODITY FUTURES TRADING COMMISSIONSECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 176 (September 11, 2018)

DEPARTMENT OF TREASURY
Office of the Comptroller of the Currency
FEDERAL RESERVE SYSTEM
FEDERAL DEPOSIT INSURANCE CORPORATION
COMMODITY FUTURES TRADING COMMISSION
SECURITIES AND EXCHANGE COMMISSION