83 FR 53691 - Proposed Collection; Comment Request

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 206 (October 24, 2018)

[Federal Register Volume 83, Number 206 (Wednesday, October 24, 2018)]
[Notices]
[Pages 53691-53692]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-23209]


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SECURITIES AND EXCHANGE COMMISSION


Proposed Collection; Comment Request

Upon Written Request, Copies Available From: U.S. Securities and 
Exchange Commission, Office of FOIA Services, 100 F Street NE, 
Washington, DC 20549-2736

Extension:
    Order Granting a Conditional Exemption Under the Securities 
Exchange Act of 1934 from the Confirmation Requirements of Exchange 
Act Rule 10b-10(a) for Certain Transactions in Money Market Funds, 
SEC File No. 270-792; OMB Control No. 3235-0739

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (``PRA'') (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: Order Granting a Conditional 
Exemption under the Securities Exchange Act of 1934 from the 
Confirmation Requirements of Exchange Act Rule 10b-10(a) for Certain 
Transactions in Money Market Funds (17 CFR 240.10b-10(a)).
    Rule 10b-10 under the Securities Exchange Act of 1934 (15 U.S.C. 
78a et seq.) generally requires broker-dealers to provide customers 
with specified information relating to their securities transactions at 
or before the completion of the transactions. Rule 10b-10(b), however, 
provides an exception from this requirement for certain transactions in 
money market funds that attempt to maintain a stable net asset value 
when no sales load or redemption fee is charged. The exception permits 
broker-dealers to provide transaction information to money market fund 
shareholders on a monthly, rather than immediate, basis, subject to the 
conditions. Amendments to Rule 2a-7 of the Investment Company Act of 
1940 (``Investment Company Act'') (15 U.S.C. 80a-1 et seq.) among other 
things, means, absent an exemption, broker-dealers would not be able to 
continue to rely on the exception under Exchange Act Rule 10b-10(b) for 
transactions in money market funds operating in accordance with Rule 
2a-7(c)(1)(ii).\1\
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    \1\ See generally Money Market Fund Reform; Amendments to Form 
PF, Securities Act Release No. 9408, Investment Advisers Act Release 
No. 3616, Investment Company Act Release No. 30551 (June 5, 2013), 
78 FR 36834, 36934 (June 19, 2013); see also Exchange Act Rule 10b-
10(b)(1), 17 CFR 240.10b-10(b)(1) (limiting alternative monthly 
reporting to money market funds that attempt to maintain a stable 
NAV).
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    In 2015, the Commission issued an Order Granting a Conditional 
Exemption under the Securities Exchange Act of 1934 From The 
Confirmation Requirements of Exchange Act Rule 10b-10(a) For Certain 
Transactions In Money Market Funds (``Order'') \2\ which allows broker-
dealers, subject to certain conditions, to provide transaction 
information to investors in any money market fund operating pursuant to 
Rule 2a-7(c)(1)(ii) on a monthly basis in lieu of providing immediate 
confirmations as required under Exchange Act Rule 10b-10(a) (``the 
Exemption''). Accordingly, to be eligible for the Exemption, a broker-
dealer must (1) provide an initial written notification to the customer 
of its ability to request delivery of immediate confirmations 
consistent with the written notification requirements of Exchange Act 
Rule 10b-10(a), and (2) not receive any such request to receive 
immediate confirms from the customer. As of March 31, 2018, the 
Commission estimates there are approximately 162 broker-dealers that 
clear customer transactions or carry customer funds and securities who 
would be responsible for providing customer confirmations. The 
Commission estimates that the cost of the ongoing notification 
requirements would be minimal, approximately 5% of the initial burden 
which was previously estimated to be 36 hours per broker-dealer, or 
approximately 1.8 hours per broker-dealer per year to provide ongoing 
notifications or a total burden of 292 hours annually for the 162 
carrying broker-dealers.
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    \2\ See Order Granting a Conditional Exemption Under the 
Securities Exchange Act of 1934 From the Confirmation Requirements 
of Exchange Act Rule 10b-10(a) for Certain Transactions in Money 
Market Funds, Exchange Act Release No. 34-76480 (Nov. 19, 2015), 80 
FR 73849 (Nov. 25, 2015).
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    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 shall 
have practical utility; (b) the accuracy of the Commission's estimate 
of the burden of the proposed collection of information; (c) ways to 
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

[[Page 53692]]

writing within 60 days of this publication.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information under the PRA unless it 
displays a currently valid OMB control number.
    Please direct your written comments to: Charles Riddle, Acting 
Director/Chief Information Officer, Securities and Exchange Commission, 
c/o Candace Kenner, 100 F Street NE, Washington, DC 20549, or send an 
email to: [email protected].

    Dated: October 19, 2018.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-23209 Filed 10-23-18; 8:45 am]
 BILLING CODE P