30 Day Notice

Federal Register / Vol. 86, No. 43 / Monday, March 8, 2021 / Notices
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s internet
comment form (http://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
CboeEDGA–2021–006 on the subject
line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.

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All submissions should refer to File
Number SR–CboeEDGA–2021–006. This
file number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
internet website (http://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549 on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for
inspection and copying at the principal
office of the Exchange. All comments
received will be posted without change;
the Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–
CboeEDGA–2021–006 and should be
submitted on or before March 29, 2021.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021–04682 Filed 3–5–21; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION

SECURITIES AND EXCHANGE
COMMISSION

Sunshine Act Meetings

[SEC File No. 270–236, OMB Control No.
3235–0222]

TIME AND DATE:

3 p.m. on Thursday,
March 11, 2021.

Submission for OMB Review;
Comment Request

The meeting will be held via
remote means and/or at the
Commission’s headquarters, 100 F
Street, NE, Washington, DC 20549.

Upon Written Request, Copies Available
From: Securities and Exchange
Commission, Office of FOIA Services,
100 F Street NE, Washington, DC
20549–2736

PLACE:

This meeting will be closed to
the public.

STATUS:

MATTERS TO BE CONSIDERED:
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the closed meeting. Certain
staff members who have an interest in
the matters also may be present.
In the event that the time, date, or
location of this meeting changes, an
announcement of the change, along with
the new time, date, and/or place of the
meeting will be posted on the
Commission’s website at https://
www.sec.gov.
The General Counsel of the
Commission, or his designee, has
certified that, in his opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B)
and (10) and 17 CFR 200.402(a)(3),
(a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and
(a)(10), permit consideration of the
scheduled matters at the closed meeting.
The subject matter of the closed
meeting will consist of the following
topics:
Institution and settlement of
injunctive actions;
Institution and settlement of
administrative proceedings;
Resolution of litigation claims; and
Other matters relating to examinations
and enforcement proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting agenda items that
may consist of adjudicatory,
examination, litigation, or regulatory
matters.
CONTACT PERSON FOR MORE INFORMATION:

For further information; please contact
Vanessa A. Countryman from the Office
of the Secretary at (202) 551–5400.
Dated: March 4, 2021.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2021–04871 Filed 3–4–21; 4:15 pm]

17 17

CFR 200.30–3(a)(12).

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Extension:
Rule 17f–1

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 17f–1 (17 CFR 270.17f–1) under
the Investment Company Act of 1940
(the ‘‘Act’’) (15 U.S.C. 80a) is entitled:
‘‘Custody of Securities with Members of
National Securities Exchanges.’’ Rule
17f–1 provides that any registered
management investment company
(‘‘fund’’) that wishes to place its assets
in the custody of a national securities
exchange member may do so only under
a written contract that must be ratified
initially and approved annually by a
majority of the fund’s board of directors.
The written contract also must contain
certain specified provisions. In addition,
the rule requires an independent public
accountant to examine the fund’s assets
in the custody of the exchange member
at least three times during the fund’s
fiscal year. The rule requires the written
contract and the certificate of each
examination to be transmitted to the
Commission. The purpose of the rule is
to ensure the safekeeping of fund assets.
Commission staff estimates that each
fund makes 1 response and spends an
average of 3.5 hours annually in
complying with the rule’s requirements.
Commission staff estimates that on an
annual basis it takes: (i) 0.5 hours for the
board of directors 1 to review and ratify
the custodial contracts; and (ii) 3 hours
for the fund’s controller to assist the
fund’s independent public auditors in
verifying the fund’s assets.
Approximately 6 funds rely on the rule
1 Estimates of the number of hours are based on
conversations with representatives of mutual funds
that comply with the rule. The actual number of
hours may vary significantly depending on
individual fund assets. The hour burden for rule
17f–1 does not include preparing the custody
contract because that would be part of customary
and usual business practice.

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Federal Register / Vol. 86, No. 43 / Monday, March 8, 2021 / Notices

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annually, with a total of 6 responses.2
Thus, the total annual hour burden for
rule 17f–1 is approximately 21 hours.3
Funds that rely on rule 17f–1
generally use outside counsel to prepare
the custodial contract for the board’s
review and to transmit the contract to
the Commission. Commission staff
estimates the cost of outside counsel to
perform these tasks for a fund each year
is $978.4 Funds also must have an
independent public accountant verify
the fund’s assets three times each year
and prepare the certificate of
examination. Commission staff
estimates the annual cost for an
independent public accountant to
perform this service is $9,050.5
Therefore, the total annual cost burden
for a fund that relies on rule 17f–1
would be approximately $10,028.6 As
noted above, the staff estimates that 6
funds rely on rule 17f–1 each year, for
an estimated total annualized cost
burden of $60,168.7
The estimate of average burden hours
is made solely for the purposes of the
Paperwork Reduction Act, and is not
derived from a comprehensive or even
a representative survey or study of the
costs of Commission rules. Compliance
with the collections of information
required by rule 17f–1 is mandatory for
funds that place their assets in the
custody of a national securities
exchange member. Responses will not
be 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
2 Based on a review of Form N–17f–1 filings over
the last three years the Commission staff estimates
that an average of 6 funds rely on rule 17f–1 each
year.
3 This estimate is based on the following
calculation: (6 respondents × 3.5 hours = 21 hours).
The annual burden for rule 17f–1 does not include
time spent preparing Form N–17f–1. The burden for
Form N–17f–1 is included in a separate collection
of information.
4 This estimate is based on the following
calculation: (2 hours of outside counsel time × $489
= $978). The staff has estimated the average cost of
outside counsel at $489 per hour, based on
information received from funds and their counsel.
5 This estimate is based on information received
from fund representatives estimating the aggregate
annual cost of an independent public accountant’s
periodic verification of assets and preparation of the
certificate of examination.
6 This estimate is based on the following
calculation: ($978 + $9,050 = $10,028).
7 This estimate is based on the following
calculation: (6 funds × $10,028 = $60,168).

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search function. Written comments and
recommendations for the proposed
information collection should be sent
within 30 days of publication of this
notice to (i) www.reginfo.gov/public/do/
PRAMain and (ii) David Bottom,
Director/Chief Information Officer,
Securities and Exchange Commission,
c/o Cynthia Roscoe, 100 F Street NE,
Washington, DC 20549, or by sending an
email to: [email protected].
Dated: March 2, 2021.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021–04655 Filed 3–5–21; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[SEC File No. 270–429, OMB Control No.
3235–0480]

Proposed Collection; Comment
Request
Upon Written Request, Copies Available
From: Securities and Exchange
Commission, Office of FOIA Services,
100 F Street NE, Washington, DC
20549–2736
Extension:
Rule 9b–1

Notice is hereby given that pursuant
to the Paperwork Reduction Act of 1995
(‘‘PRA’’) (44 U.S.C. 3501 et seq.), the
Securities and Exchange Commission
(‘‘Commission’’) is soliciting comments
on the existing collection of information
provided for in Rule 9b–1, Options
Disclosure Document (17 CFR 240.9b–
1), under the Securities Exchange Act of
1934 (15 U.S.C. 78a et seq.). The
Commission plans to submit this
existing collection of information to the
Office of Management and Budget
(‘‘OMB’’) for extension and approval.
Rule 9b–1 (17 CFR 240.9b–1) sets
forth the categories of information
required to be disclosed in an options
disclosure document (‘‘ODD’’) and
requires the options markets to file an
ODD with the Commission 60 days prior
to the date it is distributed to investors.
In addition, Rule 9b–1 provides that the
ODD must be amended if the
information in the document becomes
materially inaccurate or incomplete and
that amendments must be filed with the
Commission 30 days prior to the
distribution to customers. Finally, Rule
9b–1 requires a broker-dealer to furnish
to each customer an ODD and any
amendments prior to accepting an order
to purchase or sell an option on behalf
of that customer or when approving a
customer’s account for options trading.

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There are 16 options markets 1 that
must comply with Rule 9b–1. These
respondents work together to prepare a
single ODD covering options traded on
each market, as well as amendments to
the ODD. These respondents file
approximately 3 amendments per year.
The staff calculates that the preparation
and filing of amendments should take
no more than eight hours per options
market. Thus, the total time burden for
options markets per year is
approximately 384 hours (16 options
markets × 8 hours per amendment × 3
amendments). The estimated cost for an
in-house attorney is $420 per hour,2
resulting in a total internal cost of
compliance for these respondents of
approximately $161,280 per year (384
hours at $420 per hour).
In addition, approximately 1,020
broker-dealers 3 must comply with Rule
9b–1. Each of these respondents will
process an average of 3 new customers
for options each week and, therefore,
will have to furnish approximately 156
ODDs per year. The postal mailing or
electronic delivery of the ODD takes
respondents no more than 30 seconds to
complete for an annual time burden for
each of these respondents of
approximately 78 minutes or 1.3 hours.
Thus, the total time burden per year for
broker-dealers is approximately 1,326
hours (1,020 broker-dealers × 1.3 hours).
The estimated cost for a general clerk of
a broker-dealer is $63 per hour,4
1 The sixteen options markets are as follows: BOX
Exchange LLC, Cboe BZX Exchange, Inc., Cboe C2
Exchange, Inc., Cboe EDGX Exchange, Inc., Cboe
Exchange, Inc., Miami International Securities
Exchange LLC, MIAX Emerald, LLC, MIAX PEARL,
LLC, Nasdaq BX, Inc., Nasdaq GEMX, LLC, Nasdaq
ISE, LLC, Nasdaq MRX, LLC, Nasdaq PHLX LLC,
Nasdaq Options Market (NOM), NYSE Arca, Inc.,
and NYSE American LLC.
2 SIFMA did its last annual survey in 2013 and
will not resume the survey process. Accordingly,
the $420 figure is based on the 2013 figure ($380)
adjusted by the inflation rate calculated using the
Bureau of Labor Statistics’ CPI Inflation Calculator.
The $380 per hour figure for an Attorney is from
SIFMA’s Management & Professional Earnings in
the Securities Industry 2013, modified by
Commission staff to account for an 1800-hour workyear and multiplied by 5.35 to account for bonuses,
firm size, employee benefits and overhead.
3 The estimate of 1,020 broker-dealers required to
comply with Rule 9b–1 is derived from Item 12 of
the Form BD (OMB Control No. 3235–0012). This
estimate may be high as it includes broker-dealers
that engage in only a proprietary business, and as
a result are not required to deliver an ODD, as well
as those broker-dealers subject to Rule 9b–1.
4 The $63 figure is based on the 2013 figure ($57)
adjusted for inflation. See supra note 2. The $57 per
hour figure for a General Clerk is from SIFMA’s
Office Salaries in the Securities Industry 2013,
modified by Commission staff to account for an
1800-hour work-year and multiplied by 2.93 to
account for bonuses, firm size, employee benefits
and overhead. The staff believes that the ODD
would be mailed or electronically delivered to
customers by a general clerk of the broker-dealer or
some other equivalent position.

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