[Federal Register Volume 70, Number 133 (Wednesday, July 13, 2005)]
[Notices]
[Pages 40407-40408]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-13715]


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SECURITIES AND EXCHANGE COMMISSION


Proposed Collection; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of Filings and Information Services, Washington, DC 
20549.

Extension:
    Rule 203A-2; SEC File No. 270-501; OMB Control No. 3235-0559.

    Notice is hereby given that, pursuant to the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3501 et seq.) (``PRA''), the Securities and 
Exchange Commission

[[Page 40408]]

(``Commission'') is soliciting comments on the collections of 
information summarized below. The Commission plans to submit these 
existing collections of information to the Office of Management and 
Budget (``OMB'') for extension and approval.
    Rule 203A-2(f), which is entitled ``Internet Investment Advisers,'' 
exempts from the prohibition on Commission registration an Internet 
investment adviser who provides investment advice to all of its clients 
exclusively through computer software-based models or applications, 
termed under the rule as ``interactive websites.'' \1\ These advisers 
generally would not meet the statutory thresholds set out in section 
203A of the Advisers Act--they do not manage $25 million or more in 
assets and do not advise registered investment companies.\2\ 
Eligibility under rule 203A-2(f) is conditioned on an adviser 
maintaining in an easily accessible place, for a period of not less 
than five years from the filing of Form ADV relying on the rule,\3\ a 
record demonstrating that the adviser's advisory business has been 
conducted through an interactive website in accordance with the rule.
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    \1\ 17 CFR 275.203A-2(f). Included in rule 203A-2(f) is a 
limited exception to the interactive website requirement which 
allows these advisers to provide investment advice to no more than 
14 clients through other means on an annual basis. 17 CFR 275.203A-
2(f)(1)(i). The rule also precludes advisers in a control 
relationship with the SEC-registered Internet adviser from 
registering with the Commission under the common control exemption 
provided by rule 203A-2(c) [17 CFR 275.203A-2(c)]. 17 CFR 275.203A-
2(f)(1)(iii).
    \2\ 15 U.S.C. 80b-3a(a).
    \3\ The five-year record retention period is the same 
recordkeeping retention period for all advisers imposed under rule 
204-2 of the Adviser Act. See rule 204-2 [17 CFR 275.204-2].
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    This record maintenance requirement is a ``collection of 
information'' for PRA purposes. The Commission believes that 
approximately 25 advisers are registered with the Commission under rule 
203-2A(f), which involves a recordkeeping requirement manifesting in 
approximately four burden hours per year per adviser and results in an 
estimated 100 of total burden hours (4 x 25) for all advisers.
    This collection of information is mandatory, as it is used by 
Commission staff in its examination and oversight program in order to 
determine continued Commission registration eligibility for advisers 
registered under this rule. Responses generally are kept confidential 
pursuant to section 210(b) of the Advisers Act.\4\ Written comments are 
invited on: (a) Whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility; (b) The 
accuracy of the agency's estimate of the burden of the collection of 
information; (c) Ways to enhance the quality, utility, and clarity of 
the information collected; and (d) Ways to minimize the burden of the 
collection of information on respondents, including through the use of 
automated collection techniques or other forms of information 
technology. Consideration will be given to comments and suggestions 
submitted in writing within 60 days of this publication.
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    \4\ 15 U.S.C. 80b-10(b).
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    Please direct your written comments to R. Corey Booth, Director/
Chief Information Officer, Office of Information Technology, Securities 
and Exchange Commission, 100 F Street, NE., Washington, DC 20549.

    Dated: June 29, 2005.
J. Lynn Taylor,
Assistant Secretary.
[FR Doc. 05-13715 Filed 7-12-05; 8:45 am]
BILLING CODE 8010-01-P