Rule 12d3-1 Exemption of acquisitions of securities issued by persons engaged in securities related businesses

Forms and Documents

Document Name	Status
3235-0561 60 day notice.pdf Supplementary Document	2019-10-28
30 Day Notice 3235-0561.pdf Supplementary Document	2019-10-28
Rule 12d3-1 Supporting Statement 2019.pdf Supporting Statement A	2019-06-11

IC Document Collections

IC ID	Document Title	Status
35395	Exemption of acquisitions of securities issued by persons engaged in securities related businesses	Modified

ICR Details

OMB Control No: 3235-0561	ICR Reference No: 201904-3235-018
Status: Active	Previous ICR Reference No: 201611-3235-001
Agency/Subagency: SEC	Agency Tracking No: IM-270-504
Title: Rule 12d3-1 Exemption of acquisitions of securities issued by persons engaged in securities related businesses
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 12/10/2019
	Date Received in OIRA: 10/28/2019
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	12/31/2022	36 Months From Approved	02/29/2020
Responses	216	0	319
Time Burden (Hours)	162	0	239
Cost Burden (Dollars)	0	0	0

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Abstract: Rule 12d3-1 permits a registered investment company ("fund") to invest up to five percent of its assets in securities of an issuer deriving more than fifteen percent of its gross revenues from securities-related businesses unless the securities are issued by the fund's investment adviser or an affiliated person of the adviser. The rule provides an exemption that allows a fund to invest in securities of a subadviser if the fund's advisory contract includes certain clauses that prohibit, among other things, consultation between the subadvisers that advise the transacting fund and other fund subadvisers.

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Authorizing Statute(s): US Code: 15 USC 80a Name of Law: Investment Company Act of 1940
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	84 FR 35169	07/22/2019
30-day Notice:	Federal Register Citation:	Citation Date:
	84 FR 51654	09/30/2019
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Exemption of acquisitions of securities issued by persons engaged in securities related businesses

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	216	319	0	0	-103	0
Annual Time Burden (Hours)	162	239	0	0	-77	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: Rule 12d3-1 has a current annual burden of 239 hours and no costs. We estimate the hour burden associated with rule 12d3-1 has decreased to 162 hours since our last burden analysis due to a change in our estimate of the number of funds using subadvisers, for a total decrease of 38 burden hours. The cost burden has not changed.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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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:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(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;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

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.

Certification Date: 10/28/2019

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