[Federal Register Volume 63, Number 3 (Tuesday, January 6, 1998)]
[Notices]
[Page 582]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-160]
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SECURITIES AND EXCHANGE COMMISSION
Proposed Collection; Comment Request
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of Filings and Information Services, Washington,
DC 20549.
Extension:
Rule 206(3)-2
SEC File No. 270-216
OMB Control No. 3235-0243.
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 (``Commission'') is publishing the following summary of
collections for public comment.
Rule 206(3)-2 permits investment advisers to comply with section
206(3) of the Investment Advisers Act of 1940 by obtaining a blanket
consent from a client to enter into agency cross transactions, provided
that certain disclosures are made to the client. The information
requirements of the rule consist of the following: (1) Prior to
obtaining the client's consent appropriate disclosure must be made to
the client as to the practice of, and the conflicts of interest
involved in, agency cross transactions; (2) at or before the completion
of any such transaction the client must be furnished with a written
confirmation containing specified information and offering to furnish
upon request certain additional information; and (3) at least annually,
the client must be furnished with a written statement or summary as to
the total number of transactions during the period covered by the
consent and the total amount of commissions received by the adviser or
its affiliated broker-dealer attributable to such transactions.
The information required by rule 206(3)-2 is used by the Commission
in connection with its investment adviser inspection program to ensure
that advisers are in compliance with rule 206(3)-2. The information is
also used by clients. Without the information collected under the rule,
the Commission would be less efficient and effective in its inspection
program and clients would not have information valuable for monitoring
the adviser's handling of their accounts.
The Commission estimates that approximately 233 respondents utilize
the rule annually, necessitating about 122 responses per respondent
each year, for a total of 28,426 responses. Each response requires
about .5 hours, for a total of 14,213 hours.
The estimated average burden hours are made solely for the purposes
of the Paperwork Reduction Act and are not derived from a comprehensive
or even representative survey or study of the cost of Commission rules
and forms.
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 agency'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
writing within 60 days of this publication.
Direct your written comments to Michael E. Bartell, Associate
Executive Director, Office of Information Technology, Securities and
Exchange Commission, 450 5th Street, N.W., Washington, DC 20549.
Dated: December 23, 1997.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 98-160 Filed 1-5-98; 8:45 am]
BILLING CODE 8010-01-M
