Notice2025-21391
Agency Information Collection Activities; Proposed Collection; Comment Request; Extension: Rule 10b-10
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
November 28, 2025
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 90 Issue 227 (Friday, November 28, 2025)</title>
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[Federal Register Volume 90, Number 227 (Friday, November 28, 2025)]
[Notices]
[Pages 54828-54829]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-21391]
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SECURITIES AND EXCHANGE COMMISSION
[OMB Control No. 3235-0444]
Agency Information Collection Activities; Proposed Collection;
Comment Request; Extension: Rule 10b-10
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of FOIA Services, 100 F Street NE, Washington, DC
20549-2736
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 (``SEC'' or ``Commission'') is soliciting comments on the
proposed collection of information provided for in Rule 10b-10 (17 CFR
240.10b-10) under the Securities and 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.
Rule 10b-10 requires broker-dealers to disclose specified
information to customers regarding their securities transactions. The
information required by the rule includes the date and time of the
transaction, the identity and number of shares bought or sold, and
whether the broker-dealer acts as agent for the customer or as
principal for its own account. In addition, depending on whether the
broker-dealer acts as agent for the customer or as principal for its
own account, the rule requires the disclosure of commissions and, under
specified circumstances, mark-up and mark-down information. For
transactions in debt securities (other than U.S. savings bonds and
municipal securities) the rule requires the disclosure of redemption
and yield information. For transactions in securities futures products
in a futures account, the rule permits the disclosure of alternative
information. This alternative information includes: the date the
transaction was executed; the identity and number of shares bought or
sold; the price, the delivery month, and the exchange on which the
transaction was executed; the source and amount of any remuneration
received or to be received by the broker-dealer in connection with the
transaction; whether the broker receives payment for order flow for
such transactions; and the fact that other specified information,
including whether the broker-dealer is acting as agent or principal,
will be available upon written request. Rule 10b-10 also requires
broker-dealers to inform their customers if they are not members of the
Securities Investor Protection Corporation (``SIPC'').
The confirmation has long been a customary document in the
securities industry, and it serves several functions, which include:
broker-dealers use it as a billing statement; it serves as a customer
invoice; it informs customers of the details of transactions and
facilitates their checking for errors or misunderstandings; it provides
information that helps investors evaluate the cost and quality of
services provided by broker-dealers; it discloses conflicts of interest
that may arise between investors and broker-dealers; and it safeguards
against fraud by helping customers detect problems with transactions.
Rule 10b-10 potentially applies to all the approximately 3,292
broker-dealers that are registered with the Commission and that effect
transactions for or with customers. Based on information provided by
registered broker-dealers to the Commission in annual Form X-17a-5
Schedule I FOCUS Reports filed from January 1, 2022 to December 31,
2024, the Commission staff estimates that on average, registered
broker-dealers process approximately 36,202,574,610 order tickets per
year for transactions for or with customers. Each order ticket
representing a transaction effected for or with a customer generally
results in one confirmation. Therefore, the Commission staff estimates
that approximately 36,202,574,610 confirmations are sent to customers
annually. Based on information provided by industry participants,
Commission staff estimates that it takes approximately 30 seconds to
generate and send a confirmation. As a result, the Commission staff
estimates that the annual burden to brokers-dealers to comply with the
confirmation delivery requirements of Rule 10b-10 would be
approximately 301,688,122 hours (36,202,574,610 confirmation x 0.5
minutes/confirmation x 1 hour/60 minutes).
Based on informal discussions with securities industry
representatives, as well as representations made in requests for
exemptive and no-action letters, Commission staff estimates that
broker-dealers use electronic confirmations as their sole confirmations
for approximately 35 percent of transactions. Commission staff
estimates that broker-dealers continue to send paper confirmations for
the remaining 65 percent of transactions. Accordingly, approximately
23,531,673,497 paper confirmations are mailed to customers each year
(36,202,574,610 x 0.65) and 12,670,901,114 wholly electronic
[[Page 54829]]
confirmations are sent each year (36,202,574,610 x 0.35).
According to information provided by industry participants, the
Commission staff estimates that the average cost for a paper
confirmation is 85 cents and the average cost for a wholly electronic
confirmation is 40 cents. Accordingly, the Commission staff estimates
that the total annual cost associated with generating and mailing paper
confirmations is approximately $20,001,922,473 (23,531,673,497 paper
confirmations x $0.85 per confirmation) and the total annual cost
associated with generating and sending wholly electronic confirmations
is approximately $5,068,360,446 (12,670,901,114 electronic
confirmations x $0.40 per confirmation). Accordingly, Commission staff
estimates that the total annual cost associated with generating and
delivering to investors the information required under Rule 10b-10 is
approximately $25,070,282,919 ($20,001,922,473 + $5,068,360,446).
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 this proposed
collection of information is necessary for the proper performance of
the functions of the SEC, including whether the information will have
practical utility; (b) the accuracy of the SEC's estimate of the burden
imposed by the proposed collection of information, including the
validity of the methodology and the assumptions used; (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,
electronic collection techniques or other forms of information
technology.
Please direct your written comments on this 60-Day Collection
Notice to Austin Gerig, Director/Chief Data Officer, Securities and
Exchange Commission, c/o Tanya Ruttenberg via email to
<a href="/cdn-cgi/l/email-protection#742415041106031b061f2611100117001d1b1a351700340711175a131b02"><span class="__cf_email__" data-cfemail="386859485d4a4f574a536a5d5c4d5b4c515756795b4c784b5d5b165f574e">[email protected]</span></a> by January 27, 2026. There will be a
second opportunity to comment on this SEC request following the Federal
Register publishing a 30-Day Submission Notice.
Dated: November 24, 2025.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025-21391 Filed 11-26-25; 8:45 am]
BILLING CODE 8011-01-P
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