[Federal Register Volume 59, Number 37 (Thursday, February 24, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-4084]


[[Page Unknown]]

[Federal Register: February 24, 1994]


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DEPARTMENT OF THE TREASURY
 

Survey of Selected Foreign Financial Assets as of March 31, 1994

AGENCY: Departmental Offices, Department of the Treasury.

ACTION: Notice of reporting requirements and availability of survey 
forms and instructions.

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SUMMARY: By this Notice the Department of the Treasury is informing the 
public that it is conducting a mandatory survey of United States 
residents' ownership and/or custody of selected financial claims on 
foreigners other than long-term debt or equity securities. The purpose 
of this survey is to reassess the value of various classes of portfolio 
capital positions on foreigners as currently reported by United States 
persons under the Treasury International Capitol reporting system. The 
data will be used to ensure the quality and completeness of 
international financial statistics which are vital components used in 
determining the international investment position and in compiling the 
official balance of payments accounts of the United States. These data 
are also important in the formulation of the U.S. Government's 
international financial and monetary policies. The survey has been 
approved by the Office of Management and Budget pursuant to the 
Paperwork Reduction Act under OMB Control No. 1505-0150.
    This survey has been designed to collect systematic and consistent 
information on selected classes of financial claims on foreigners owned 
by U.S. persons as of March 31, 1994, while holding the reporting 
requirements to a minimum. The survey's approach is to collect data 
from global custodians located in the United States to the extent 
possible. Data are requested only by type of instrument. Data are not 
required on individual claims and financial instruments, nor on the 
geographical distribution of such assets. The survey collects data on 
certain types of claims on foreigners owned by U.S. persons that 
represent portfolio investment. Reportable claims include deposits with 
foreign institutions, financial instruments with an original maturity 
of one year or less, and loans to foreigners. Excluded are direct 
investments, equity holdings, debt securities with an original maturity 
of more than one year, contingent claims, and off-balance sheet 
contracts, including unsettled spot and forward foreign exchange 
contracts, options, and warrants. More detailed information on the 
categories of claims and financial instruments to report is provided in 
the survey form and instructions.
    This Notice constitutes legal notification to all United States 
persons that they must respond to, and comply with, this survey if they 
are subject to the reporting requirements set forth below in Who Must 
Report. United States persons who are required to report but who do not 
receive a set of the ``Survey of Selected Foreign Financial Assets 
``forms and instructions, should obtain copies by contacting the 
Federal Reserve Bank of New York at (212) 720-8238, or the Department 
of the Treasury at (202) 622-2250.

DATES: All United States persons who receive a set of survey forms and 
instructions or who are required to report as set forth in this Notice 
must submit reports, including those which indicate that the United 
States person is exempt from reporting requirements, by June 30, 1994.

ADDRESSES: All reports should be submitted to the Federal Reserve Bank 
of New York, International Reports Division, 33 Liberty Street, 4th 
Floor, New York, New York 10045-0001.

FOR FURTHER INFORMATION CONTACT: T. Ashby McCown, Director, Office of 
Data Management, Department of Treasury, room 5460, 1500 Pennsylvania 
Avenue, NW., Washington, DC 20220. Telephone (202) 622-2250; FAX (202) 
622-0607.

SUPPLEMENTARY INFORMATION: The International Investment and Trade in 
Services Act (22 U.S.C. 3101 et seq.) (the Act) provides for the 
collection of comprehensive and reliable information concerning 
international investment while minimizing the reporting burden on 
respondents. The Act specifies that regular data collection programs 
and surveys, as outlined in the Act, or as deemed necessary by the 
Secretary of the Treasury pursuant to Executive Order (E.O.) 11961, 
shall be conducted to secure information on international capital flows 
and other information related to international portfolio investment, 
including information that may be necessary for computing and analyzing 
the U.S. balance of payments. Regulations governing the current survey, 
31 CFR part 128, were published in the Federal Register on November 2, 
1993, 58 FR 58494-58497. The preamble to the regulations stated that 
notice of specific report forms and instructions would be published 
separately in the Federal Register.

Definitions

    For purposes of reporting on this survey:
    (a) ``Foreign,'' when used in a geographical sense from the 
perspective of the United States, means that which is situated outside 
the United States, or that which belongs to or is characteristic of, a 
country other than the United States.
    (b) ``Foreign person'' means any person (defined below), including 
a U.S. citizen, who resides outside the United States or is subject to 
the jurisdiction of a country other than the United States or any 
international organization even if located in the United States, such 
as the International Monetary Fund (IMF), the International Bank for 
Reconstruction and Development (IBRD) or World Bank, the Inter-American 
Development Bank (IDB) and the United Nations (UN).
    (c) ``Foreign assets'' means those assets owned by the respondent 
and the respondent's domestic customers that represent claims on 
foreigners. Such assets include deposits placed with, and certificates 
of deposit issued by, banking institutions located abroad, including 
the foreign branches of U.S.-chartered banks; loans made to, and short-
term marketable instruments, e.g., commercial paper issued by, 0. . . 
persons located abroad, including international organizations even if 
located in the United States.
    (d) ``United States,'' when used in a geographical sense, means the 
fifty (50) states of the United States, the District of Columbia, the 
Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana 
Islands, and the following: American Samoa, Guam, Midway Island, the 
U.S. Virgin Islands, and Wake Island.
    (e) ``Person'' means any individual, branch, partnership, 
associated group, association, estate, trust, corporation or other 
organization (whether or not organized under the laws of any state), 
and any government, including a foreign government, the United States 
government, a State or local government, and any agency, corporation, 
financial institution, or other entity or instrumentality thereof, 
including a government-sponsored agency.
    (f) ``United States person'' means any person in the United States 
(defined above), including a foreign citizen, who resides in the United 
States or is subject to the jurisdiction of the United States.

Who Must Report

    All United States persons who, on a fully consolidated basis, hold 
for their own account and/or manage for domestic customers the custody 
or safekeeping of reportable foreign financial assets, if the total 
face value of such assets--aggregated over all accounts--is $10 million 
or more on an actual settlement basis as of March 31, 1994.

    Note: In instances where actual settlement date data are not 
available, the contractual settlement date may be used.

    If the respondent's ownership and/or custody of reportable foreign 
assets is less than $10 million, the report form must still be returned 
by the due date with the signature and initials of the authorized 
official in the places provided.

How To Report

    Respondents must file consolidated reports based on their own 
accounts and the accounts of their U.S. nonbanking subsidiaries, 
branches and other affiliates located in the United States, except for 
their broker/dealer subsidiaries. U.S. global custodians who manage the 
custody of reportable foreign assets for themselves and/or on behalf of 
other U.S. persons must report those assets in Part 1 for all accounts, 
including own accounts, own-custody accounts, pooled or commingled-
custody accounts, and omnibus-custody accounts. Data on foreign assets 
whose safekeeping was not arranged through U.S. global custodians are 
reportable in Part I of the ``Survey of Selected Foreign Financial 
Assets'' form by other U.S. persons/investors.
    Custodians located in the United States and U.S. persons/investors 
who entrust the safekeeping of reportable foreign assets for themselves 
or for the account of their domestic customers to other custodians in 
the United States must report summary totals of such assets in Part II 
of the ``Survey of Selected Foreign Financial Assets'' form. More 
detailed instructions on how to report on this survey are provided in 
the ``Survey of Selected Foreign Financial Assets'' form and 
instructions.

Enforcement Provided by Law

    United States persons who meet the reporting requirements set forth 
in this Notice are advised that failure to respond to, and to comply 
with, this survey may be subject to civil and/or criminal penalties 
provided by law (22 U.S.C. 3105).

    Dated: February 3, 1994.
Alicia H. Munnell,
Assistant Secretary for Economic Policy.
[FR Doc. 94-4084 Filed 2-23-94; 8:45 am]
BILLING CODE 4810-25-M