30 Day Notice

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Federal Register / Vol. 86, No. 49 / Tuesday, March 16, 2021 / Notices

investment guidelines and governance
procedures set forth therein. Given that
such guidelines and governance
procedures are designed to safeguard
funds that are in the custody or control
of the Clearing Agencies or for which
they are responsible, the Clearing
Agencies believe the proposed changes
are consistent with the requirements of
Section 17A(b)(3)(F) of the Act.12
Rule 17Ad–22(e)(16) under the Act
requires the Clearing Agencies to
establish, implement, maintain and
enforce written policies and procedures
reasonably designed to safeguard the
Clearing Agencies’ own and their
participants’ assets, minimize the risk of
loss and delay in access to these assets,
and invest such assets in instruments
with minimal credit, market, and
liquidity risks.13 The Clearing Agencies
believe that the Investment Policy
follows a prudent and conservative
investment philosophy, placing the
highest priority on maximizing liquidity
and avoiding risk of loss, by setting
appropriate investment limits and
creating clear guidelines. As originally
implemented, the Investment Policy
was designed to meet the requirements
of Rule 17Ad–22(e)(16) under the Act.14
For the reasons stated above, the
Clearing Agencies believe that the
proposed revisions would both
strengthen the risk management
objectives of the Investment Policy and
improve the clarity of the Policy and,
therefore, make the Investment Policy
more effective in governing the
management, custody, and investment
of funds of and held by the Clearing
Agencies. In this way, the proposed
changes would better allow the Clearing
Agencies to maintain this document in
a way that is designed to meet the
requirements of Rule 17Ad–22(e)(16).
Therefore, the Clearing Agencies believe
the proposed revisions would be
consistent with the requirements of Rule
17Ad–22(e)(16) under the Act.15
(B) Clearing Agency’s Statement on
Burden on Competition
Each of the Clearing Agencies believes
that none of the proposed revisions to
the Investment Policy would have any
12 Id.

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13 When

the Investment Policy was implemented,
the Clearing Agencies were subject to the
requirements of subsection (d) of Rule 17Ad–22 and
the Investment Policy was designed to meet the
requirements of Rule 17Ad–22(d)(3). See supra note
3; 17 CFR 240.17Ad–22(d). The Commission
subsequently adopted Rule 17Ad–22(e) and
amended Rule 17Ad–22(d) such that the Clearing
Agencies became subject to the new requirements
of Rule 17Ad–22(e) and are no longer subject to the
requirements of Rule 17Ad–22(d). Id.
14 17 CFR 240.17Ad–22(e)(16).
15 Id.

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impact, or impose any burden, on
competition. The Investment Policy
applies equally to allowable
investments of Clearing Fund and
Participants Fund deposits, as
applicable, of each member of the
Clearing Agencies, and establishes a
uniform policy at the Clearing Agencies.
The proposed changes to the Investment
Policy would not affect any changes on
the fundamental purpose or operation of
this document and, as such, would also
not have any impact, or impose any
burden, on competition.
(C) Clearing Agency’s Statement on
Comments on the Proposed Rule
Change Received From Members,
Participants, or Others
The Clearing Agencies have not
solicited or received any written
comments relating to this proposal. The
Clearing Agencies will notify the
Commission of any written comments
received by the Clearing Agencies.
III. Date of Effectiveness of the
Proposed Rule Change, and Timing for
Commission Action
Within 45 days of the date of
publication of this notice in the Federal
Register or within such longer period
up to 90 days (i) as the Commission may
designate if it finds such longer period
to be appropriate and publishes its
reasons for so finding or (ii) as to which
the self-regulatory organization
consents, the Commission will:
(A) By order approve or disapprove
such proposed rule change, or
(B) institute proceedings to determine
whether the proposed rule change
should be disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
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–
DTC–2021–002 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549.
All submissions should refer to File
Number SR–DTC–2021–002. This file
number should be included on the

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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 DTC and on DTCC’s website
(http://dtcc.com/legal/sec-rulefilings.aspx). All comments received
will be posted without change. Persons
submitting comments are cautioned that
we do not redact or edit personal
identifying information from comment
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–DTC–
2021–002 and should be submitted on
or before April 6, 2021.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.16
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021–05344 Filed 3–15–21; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[SEC File No. 270–574, OMB Control No.
3235–0648]

Submission for OMB Review;
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 498

Notice is hereby given that, pursuant
to the Paperwork Reduction Act of 1995
(44 U.S.C. 3501 et seq.) (‘‘Paperwork
16 17

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CFR 200.30–3(a)(12).

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Federal Register / Vol. 86, No. 49 / Tuesday, March 16, 2021 / Notices
Reduction Act’’), the Securities and
Exchange Commission (‘‘the
Commission’’) has submitted to the
Office of Management and Budget
(‘‘OMB’’) a request for extension of the
previously approved collection of
information discussed below.
Rule 498 (17 CFR 230.498) under the
Securities Act of 1933 (15 U.S.C. 77a et
seq.) (‘‘Securities Act’’) permits openend management investment companies
(‘‘funds’’) to satisfy their prospectus
delivery obligations under the Securities
Act by sending or giving key
information directly to investors in the
form of a summary prospectus
(‘‘Summary Prospectus’’) and providing
the statutory prospectus on a website.
Upon an investor’s request, funds are
also required to send the statutory
prospectus to the investor. In addition,
under rule 498, a fund that relies on the
rule to meet its statutory prospectus
delivery obligations must make
available, free of charge, the fund’s
current Summary Prospectus, statutory
prospectus, statement of additional
information, and most recent annual
and semi-annual reports to shareholders
at the website address specified in the
required Summary Prospectus legend
(17 CFR 270.498(e)(1)). A Summary
Prospectus that complies with rule 498
is deemed to be a prospectus that is
authorized under Section 10(b) of the
Securities Act and Section 24(g) of the
Investment Company Act of 1940 (15
U.S.C. 80a–1 et seq.).
The purpose of rule 498 is to enable
a fund to provide investors with a
Summary Prospectus containing key
information necessary to evaluate an
investment in the fund. Unlike many
other federal information collections,
which are primarily for the use and
benefit of the collecting agency, this
information collection is primarily for
the use and benefit of investors. The
information filed with the Commission
also permits the verification of
compliance with securities law
requirements and assures the public
availability and dissemination of the
information.
Based on an analysis of fund filings,
the Commission estimates that
approximately 10,536 funds are using a
Summary Prospectus. The Commission
estimates that the annual hourly burden
per fund associated with the
compilation of the information required
on the cover page or the beginning of
the Summary Prospectus is 0.5 hours,
and estimates that the annual hourly
burden per fund to comply with the
website posting requirement is
approximately 1 hour, requiring a total

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of 1.5 hours per fund per year.1 Thus the
total annual hour burden associated
with these requirements of the rule is
approximately 15,804.2 The
Commission estimates that the annual
cost burden is approximately $18,105
per fund, for a total annual cost burden
of approximately $190,754,280.3
Estimates of the average burden hours
are made solely for the purposes of the
Paperwork Reduction Act and are not
derived from a comprehensive or even
a representative survey or study of the
costs of Commission rules and forms.
Under rule 498, use of the Summary
Prospectus is voluntary, but the rule’s
requirements regarding provision of the
statutory prospectus upon investor
request are mandatory for funds that
elect to send or give a Summary
Prospectus in reliance upon rule 498.
The information provided under rule
498 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 OMB 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 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 11, 2021.
J. Matthew DeLesDernier,
Assistant Secretary.
BILLING CODE 8011–01–P

1 0.5 hours per fund + 1 hour per fund = 1.5 hours
per fund.
2 1.5 hours per fund × 10,536 fund = 15,804
hours.
3 $18,105 per fund × 10,536 fund = $190,754,280.

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SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–91292; File No. SR–FICC–
2021–001]

Self-Regulatory Organizations; Fixed
Income Clearing Corporation; Notice of
Filing of a Proposed Rule Change To
Revise the Clearing Agency
Investment Policy
March 10, 2021.

Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on March 8,
2021, Fixed Income Clearing
Corporation (‘‘FICC’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II and III
below, which Items have been prepared
by the clearing agency. The Commission
is publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Clearing Agency’s Statement of the
Terms of Substance of the Proposed
Rule Change
The proposed rule change would
revise the Clearing Agency Investment
Policy (‘‘Investment Policy’’) of Fixed
Income Clearing Corporation (‘‘FICC’’)
and its affiliates, The Depository Trust
Company (‘‘DTC’’) and National
Securities Clearing Corporation
(‘‘NSCC,’’ and, together with DTC and
FICC, the ‘‘Clearing Agencies’’) in order
to (1) enhance the methodology for
determining investment limits for
investments in bank deposits, and (2)
clarify the description of certain
investable funds of the Government
Securities Division of FICC (‘‘GSD’’), as
described in greater detail below.
II. Clearing Agency’s Statement of the
Purpose of, and Statutory Basis for, the
Proposed Rule Change

[FR Doc. 2021–05376 Filed 3–15–21; 8:45 am]

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In its filing with the Commission, the
clearing agency included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
clearing agency has prepared
summaries, set forth in sections A, B,
and C below, of the most significant
aspects of such statements.
1 15
2 17

U.S.C. 78s(b)(1).
CFR 240.19b–4.

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