Rule 12b-1 under the Investment
Company Act (17 CFR 270.12b-1) permits a mutual fund to bear
expenses associated with the distribution of its shares, provided
that the fund complies with certain requirements. Rule 12b-1
requires, among other things, that the fund adopt a written plan
describing all material aspects of the proposed financing of
distribution ("rule 12b-1 plan"). The rule 12b-1 plan must be
approved by the fund's board of directors, including the
independent directors (as described in the rule), and, if the rule
12b-1 plan is being adopted after public offering of the fund's
voting securities, by a majority of the fund's outstanding voting
securities.
US Code:
15 USC 80a-12(b) Name of Law: Investment Company Act of
1940
The estimated annual time
burden for funds with rule 12b-1 plans increased by 1,700 hours,
from 157,675 hours to 159,375 hours. This is due to an increase in
the number of mutual fund families that have at least one fund that
charges rule 12b-1 fees. The estimated total annual cost burden
increased $6,522, from $90,000 to $96,522. The increase in cost is
due to inflation.
$0
No
No
No
No
No
Uncollected
Andrea Magovern 202
551-6784
No
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.