Submission for OMB Review; Comment Request; Extension: Rule 34b-1
| Published date | 28 March 2024 |
| Record Number | 2024-06627 |
| Citation | 89 FR 21564 |
| Court | Securities And Exchange Commission |
| Section | Notices |
Federal Register, Volume 89 Issue 61 (Thursday, March 28, 2024)
[Federal Register Volume 89, Number 61 (Thursday, March 28, 2024)]
[Notices]
[Page 21564]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-06627]
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SECURITIES AND EXCHANGE COMMISSION
[SEC File No. 270-305, OMB Control No. 3235-0346]
Submission for OMB Review; Comment Request; Extension: Rule 34b-1
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 (the ``Commission'') has submitted to the Office of
Management and Budget a request for extension of the previously
approved collection of information discussed below.
Rule 34b-1 under the Investment Company Act (17 CFR 270.34b-1)
governs sales material that accompanies or follows the delivery of a
statutory prospectus (``sales literature''). Rule 34b-1 deems to be
materially misleading any investment company (``fund'') sales
literature required to be filed with the Securities and Exchange
Commission (``Commission'') by Section 24(b) of the Investment Company
Act (15 U.S.C. 80a-24(b)) that includes performance data, unless the
sales literature also includes the appropriate uniformly computed data
and the legend disclosure required in investment company advertisements
by rule 482 under the Securities Act of 1933 (17 CFR 230.482) (``rule
482''). Additionally, rule 34b-1 deems to be materially misleading any
fund sales literature intended for distribution to prospective
investors that includes fee and expense information, unless that sales
literature complies with the disclosure and timeliness requirements of
rule 482.\1\ These requirements are designed to prevent misleading
performance claims by funds and to enable investors to make meaningful
comparisons among funds.
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\1\ These provisions of rule 34b-1 apply to any registered
investment company or business development company advertisement,
pamphlet, circular, form letter, or other sales literature addressed
to or intended for distribution to prospective investors in
connection with a public offering. See rule 34b-1(c).
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The Commission estimates that on average approximately 8,289 \2\
responses that include the information required by rule 34b-1 each
year. The burden resulting from the collection of information
requirements of rule 34b-1 is estimated to be 11 hours per response.\3\
The total hourly burden for rule 34b-1 is approximately 91,179 hours
per year in the aggregate.\4\
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\2\ The estimated average number of responses to rule 34b-1 for
the two-year period from October 1, 2021, to November 30, 2023,
comprises 7,912 filings submitted to FINRA and 377 filings submitted
to the Commission.
\3\ Previous PRA extensions for rule 34b-1 assumed an estimated
annual burden of 6 hours per response in complying with paragraphs a
and b of rule 34b-1, 3 hours per response in complying with the fee
and expense figure disclosure requirements of paragraph c, and 2
hours for the fee waivers/expense reimbursement arrangements
disclosure requirements of paragraph c, while estimating that only
96% of relevant responses would need to comply with all of the
paragraph c requirements; for purposes of this extension, we are
assuming that 100% of the responsive filings identified will incur
burdens for all of the rule's requirements, such that a total of 11
hours per response per year (6 + 3 + 2 = 11); we recognize that this
might overstate the total burden.
\4\ 8,289 responses x 11 hours per response = 91,179 hours.
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The collection of information under rule 34b-1 is mandatory. The
information provided under rule 34b-1 is not kept confidential. 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 control number.
The public may view background documentation for this information
collection at the following website: www.reginfo.gov. Find this
particular information collection by selecting ``Currently under 30-day
Review--Open for Public Comments'' or by using the search function.
Written comments and recommendations for the proposed information
collection should be sent within 30 days of publication of this notice
by April 29, 2024 to (i) [email protected] and
(ii) David Bottom, Director/Chief Information Officer, Securities and
Exchange Commission, c/o John Pezzullo, 100 F Street NE, Washington, DC
20549, or by sending an email to: [email protected] .
Dated: March 25, 2024.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2024-06627 Filed 3-27-24; 8:45 am]
BILLING CODE 8011-01-P
