Notice2021-23159

Proposed Collection; Comment Request

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
October 25, 2021

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 86 Issue 203 (Monday, October 25, 2021)</title>
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[Federal Register Volume 86, Number 203 (Monday, October 25, 2021)]
[Notices]
[Page 58969]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-23159]


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SECURITIES AND EXCHANGE COMMISSION


Proposed Collection; Comment Request

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

Extension:
    Regulation R, Rule 701; SEC File No. 270-562, OMB Control No. 
3235-0624

    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 
existing collection of information provided for in Regulation R, Rule 
701 (17 CFR 247.701) under the Securities Exchange Act of 1934 (15 
U.S.C. 78a et seq.). The Commission plans to submit this existing 
collection of information to the Office of Management and Budget 
(``OMB'') for extension and approval.
    Regulation R, Rule 701 requires a broker or dealer (as part of a 
written agreement between the bank and the broker or dealer) to notify 
the bank if the broker or dealer makes certain determinations regarding 
the financial status of the customer, a bank employee's statutory 
disqualification status, and compliance with suitability or 
sophistication standards.
    The Commission estimates there are 3,560 registered brokers or 
dealers that would, on average, notify 1,000 banks approximately two 
times annually about a determination regarding a customer's high net 
worth or institutional status or suitability or sophistication standing 
as well as a bank employee's statutory disqualification status. Based 
on these estimates, the Commission anticipates that Regulation R, Rule 
701 would result in brokers or dealers making approximately 2,000 
notifications to banks per year. The Commission further estimates 
(based on the level of difficulty and complexity of the applicable 
activities) that a broker or dealer would spend approximately 15 
minutes per notice to a bank. Therefore, the estimated total annual 
third party disclosure burden for the requirements in Regulation R, 
Rule 701 is 500 \1\ hours for brokers or dealers.
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    \1\ 1,000 banks x 2 notices = 2,000 notices; (2,000 notices x 15 
minutes) = 30,000 minutes/60 minutes = 500 hours.
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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 Commission, including whether the information 
shall have practical utility; (b) the accuracy of the Commission's 
estimates of the burden of the proposed 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.
    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: David Bottom, Director/
Chief Information Officer, Securities and Exchange Commission, c/o 
Cynthia Roscoe, 100 F Street NE, Washington, DC 20549, or send an email 
to: <a href="/cdn-cgi/l/email-protection#8adad8cbd5c7ebe3e6e8e5f2caf9efe9a4ede5fc"><span class="__cf_email__" data-cfemail="e7b7b5a6b8aa868e8b85889fa7948284c9808891">[email&#160;protected]</span></a>.

    Dated: October 19, 2021.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-23159 Filed 10-22-21; 8:45 am]
BILLING CODE 8011-01-P


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Indexed from Federal Register on October 25, 2021.

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