Notice2026-01890

Agency Information Collection Activities; Submission for OMB Review; 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
January 30, 2026

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 91 Issue 20 (Friday, January 30, 2026)</title>
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[Federal Register Volume 91, Number 20 (Friday, January 30, 2026)]
[Notices]
[Pages 4129-4130]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-01890]


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SECURITIES AND EXCHANGE COMMISSION

[OMB Control No. 3235-0444]


Agency Information Collection Activities; Submission for OMB 
Review; 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 submitting to the Office of 
Management and Budget (``OMB'') this request for extension of 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.).
    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

[[Page 4130]]

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 
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.
    The public may view and comment on this information collection 
request at: <a href="https://www.reginfo.gov/public/do/PRAViewICR?ref_nbr=202511-3235-005">https://www.reginfo.gov/public/do/PRAViewICR?ref_nbr=202511-3235-005</a> or email comment to 
<a href="/cdn-cgi/l/email-protection#327f706a1c7d7f701c7d7b60731c6177716d565741596d5d54545b515740725d5f501c575d421c555d44"><span class="__cf_email__" data-cfemail="f2bfb0aadcbdbfb0dcbdbba0b3dca1b7b1ad96978199ad9d94949b919780b29d9f90dc979d82dc959d84">[email&#160;protected]</span></a> within 30 days of the day 
after publication of this notice, by March 2, 2026.

    Dated: January 28, 2026.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-01890 Filed 1-29-26; 8:45 am]
BILLING CODE 8011-01-P


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Indexed from Federal Register on January 30, 2026.

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