[Federal Register Volume 80, Number 230 (Tuesday, December 1, 2015)]
[Notices]
[Pages 75102-75104]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-30446]


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FEDERAL RESERVE SYSTEM


Proposed Agency Information Collection Activities; Comment 
Request

AGENCY: Board of Governors of the Federal Reserve System.
SUMMARY: On June 15, 1984, the Office of Management and Budget (OMB) 
delegated to the Board of Governors of the Federal Reserve System 
(Board) its approval authority under the Paperwork Reduction Act (PRA), 
to approve of and assign OMB numbers to collection of information 
requests and requirements conducted or sponsored by the Board. Board-
approved collections of information are incorporated into the official 
OMB inventory of currently approved collections of information. Copies 
of the PRA Submission, supporting statements and approved collection of 
information instruments are placed into OMB's public docket files. The 
Federal Reserve may not conduct or sponsor, and the respondent is not 
required to respond to, an information collection that has been 
extended, revised, or implemented on or after October 1, 1995, unless 
it displays a currently valid OMB number.

DATES: Comments must be submitted on or before February 1, 2016.

ADDRESSES: You may submit comments, identified by FR 2436 or FR 3036, 
by any of the following methods:
     Agency Web site: http://www.federalreserve.gov. Follow the 
instructions for submitting comments at http://www.federalreserve.gov/apps/foia/proposedregs.aspx.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Email: [email protected]. Include OMB 
number in the subject line of the message.
     FAX: (202) 452-3819 or (202) 452-3102.
     Mail: Robert deV. Frierson, Secretary, Board of Governors 
of the Federal Reserve System, 20th Street and Constitution Avenue NW., 
Washington, DC 20551.
    All public comments are available from the Board's Web site at 
http://www.federalreserve.gov/apps/foia/proposedregs.aspx as submitted, 
unless modified for technical reasons. Accordingly, your comments will 
not be edited to remove any identifying or contact information. Public 
comments may also be viewed electronically or in paper form in Room 
3515, 1801 K Street (between 18th and 19th Streets NW.) Washington, DC 
20006 between 9:00 a.m. and 5:00 p.m. on weekdays.
    Additionally, commenters may send a copy of their comments to the 
OMB Desk Officer--Shagufta Ahmed--Office of Information and Regulatory 
Affairs, Office of Management and Budget, New Executive Office 
Building, Room 10235 725 17th Street NW., Washington, DC 20503 or by 
fax to (202) 395-6974.

FOR FURTHER INFORMATION CONTACT: A copy of the PRA OMB submission, 
including the proposed reporting form and instructions, supporting 
statement, and other documentation will be placed into OMB's public 
docket files, once approved. These documents will also be made 
available on the Federal Reserve Board's public Web site at: http://www.federalreserve.gov/apps/reportforms/review.aspx or may be requested 
from the agency clearance officer, whose name appears below.
    Federal Reserve Board Clearance Officer--Nuha Elmaghrabi--Office of 
the Chief Data Officer, Board of Governors of the Federal Reserve 
System, Washington, DC 20551 (202) 452-3829. Telecommunications Device 
for the Deaf (TDD) users may contact (202) 263-4869, Board of Governors 
of the Federal Reserve System, Washington, DC 20551.

SUPPLEMENTARY INFORMATION:

Request for Comment on Information Collection Proposals

    The following information collections, which are being handled 
under this delegated authority, have received initial Board approval 
and are hereby published for comment. At the end of the comment period, 
the proposed information collections, along with an analysis of 
comments and recommendations received, will be submitted to the Board 
for final approval under OMB delegated authority. Comments are invited 
on the following:
    a. Whether the proposed collection of information is necessary for 
the proper performance of the Federal Reserve's functions; including 
whether the information has practical utility;
    b. The accuracy of the Federal Reserve's estimate of the burden of 
the proposed information collection, including the validity of the 
methodology and assumptions used;
    c. Ways to enhance the quality, utility, and clarity of the 
information to be collected;
    d. Ways to minimize the burden of information collection on 
respondents, including through the use of automated collection 
techniques or other forms of information technology; and
    e. Estimates of capital or start up costs and costs of operation, 
maintenance, and purchase of services to provide information.
    Proposal to approve under OMB delegated authority the extension for 
three years, with revision, of the following reports:
    1. Report title: Semiannual Report of Derivatives Activity.
    Agency form number: FR 2436.
    OMB control number: 7100-0286.
    Frequency: Semiannually.
    Reporters: U.S. dealers of over-the-counter derivatives.
    Estimated annual reporting hours: 3,776 hours.
    Estimated average hours per response: 236 hours.
    Number of respondents: 8.
    General description of report: This information collection is 
voluntary and is authorized under section 2A and 12A of the Federal 
Reserve Act (FRA). Section 2A of the FRA requires the Federal Reserve 
Board and the Federal Open Market Committee (FOMC) to maintain long run 
growth of the monetary and credit aggregates commensurate with the 
economy's long run potential to increase production, so as to promote 
effectively the goals of maximum employment, stable prices, and 
moderate long-term interest rates (12 U.S.C. 225a) and section 12A of 
the FRA requires the FOMC to implement regulations relating to the open 
market operations conducted by Federal Reserve Banks with a view to 
accommodating commerce and business and with regard to their bearing 
upon the general credit situation of the country (12 U.S.C. 263). 
Because Federal Reserve System uses the

[[Page 75103]]

information obtained from the FR 2436 to fulfill these obligations, 
these statutory provisions provide the legal authorization for the 
collection of information on the FR 2436.
    Additionally, because all survey respondents are currently 
registered as bank holding companies, this survey is also authorized 
under section 5(c) of the Bank Holding Company Act (12 U.S.C. 1844(c)).
    Because the release of this information would cause substantial 
harm to the competitive position of the entity from whom the 
information was obtained, the information collected on the FR 2436 may 
be granted confidential treatment under exemption (b)(4) of the Freedom 
of Information Act, 5 U.S.C. 552(b)(4), which protects from disclosure 
``trade secrets and commercial or financial information obtained from a 
person and privileged or confidential.''
    Abstract: This collection of information complements the triennial 
Survey of Foreign Exchange and Derivatives Market Activity (FR 3036; 
OMB No. 7100-0285). The FR 2436 collects similar data on the 
outstanding volume of derivatives, but not on derivatives turnover. The 
Federal Reserve conducts both surveys in coordination with other 
central banks and forwards the aggregated data furnished by U.S. 
reporters to the Bank for International Settlements (BIS), which 
publishes global market statistics that are aggregates of national 
data.
    Current Actions: The Federal Reserve proposes to add central 
counterparties as an additional counterparty type for foreign exchange 
contracts in Tables 1A, 1B, and 1C, for interest rate contracts in 
Tables 2A, 2B, and 2C, for equity contracts in Tables 3A, 3B, and 3C, 
for maturity of contracts in Table 5, and for credit exposures and 
liabilities in Table 6. The Federal Reserve's interest in obtaining 
more detail on counterparty type arises because of the role that 
counterparty credit risk played in the recent global financial crisis. 
Central counterparties are of particular interest because after the 
crisis, financial regulators have encouraged greater use of central 
counterparties for derivatives contracts. The proposed revision will 
allow the Federal Reserve to better track the use of central 
counterparties for all types of derivatives contracts. Currently, 
central counterparties are broken out for only CDS contracts (Table 4A, 
4B, 4C, 4D, 4F, and 4G). In addition, the BIS is expanding its data 
collection on the global OTC derivatives market to include a breakdown 
of contracts with central counterparties, and the proposed revision 
will allow the United States to align its data collection with BIS 
reporting guidelines.
    The Federal Reserve also proposes to amend the definition of 
central counterparties in the FR 2436 instructions to align more 
closely with the definition used in capital regulations.\1\ Currently, 
the FR 2436 instructions give a more general definition of central 
counterparties and then list central counterparties in Annex V. Since 
the last revision of the FR 2436, many more central counterparties have 
been established. As a result of these changes, Annex V will be 
removed.
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    \1\ See Section 217.2 of 12 CFR Chapter II, Subchapter A.
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    The Federal Reserve proposes to correct a row heading in Table 5, 
to update the list of reporting dealers in Annex II, to drop Annex I (a 
copy of the report form) from the instructions and renumber the 
remaining annexes, and to make minor corrections to instructions.
    2. Report title: Central Bank Survey of Foreign Exchange and 
Derivative Market Activity.
    Agency form number: FR 3036.
    OMB control number: 7100-0285.
    Frequency: Triennially.
    Reporters: Financial institutions that serve as intermediaries in 
the wholesale foreign exchange and derivatives market and dealers.
    Estimated annual reporting hours: 1,320 hours.
    Estimated average hours per response: 55 hours.
    Number of respondents: 24.
    General description of report: This information collection is 
voluntary and is implicitly authorized under section 2A and 12A of the 
Federal Reserve Act (FRA). Section 2A of the FRA requires the Federal 
Reserve Board and the Federal Open Market Committee (FOMC) to maintain 
long run growth of the monetary and credit aggregates commensurate with 
the economy's long run potential to increase production, so as to 
promote effectively the goals of maximum employment, stable prices, and 
moderate long-term interest rates (12 U.S.C. 225a) and section 12A of 
the FRA requires the FOMC to implement regulations relating to the open 
market operations conducted by Federal Reserve Banks with a view to 
accommodating commerce and business and with regard to their bearing 
upon the general credit situation of the country (12 U.S.C. 263). 
Because Federal Reserve System uses the information obtained from the 
FR 3036 to fulfill these obligations, these statutory provisions 
provide the legal authorization for the collection of information on 
the FR 3036.\2\
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    \2\ Additionally, depending upon the survey respondent, the 
information collection may be authorized under a more specific 
statute. Specifically, the Federal Reserve is authorized to collect 
information from state member banks under section 9 of the Federal 
Reserve Act (12 U.S.C. 324); from bank holding companies (and their 
subsidiaries) under section 5(c) of the Bank Holding Company Act (12 
U.S.C. 1844(c)); from Edge and agreement corporations under section 
25 and 25A of the Federal Reserve Act (12 U.S.C. 602 and 625); and 
from U.S. branches and agencies of foreign banks under section 
7(c)(2) of the International Banking Act of 1978 (12 U.S.C. 
3105(c)(2)) and under section 7(a) of the Federal Deposit Insurance 
Act (12 U.S.C. 1817(a)).
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    Because the Federal Reserve believes the release of this 
information would cause substantial harm to the competitive position of 
the entity from whom the information was obtained, the information 
collected on the FR 3036 may be granted confidential treatment under 
exemption (b)(4) of the Freedom of Information Act, 5 U.S.C. 552(b)(4), 
which protects from disclosure ``trade secrets and commercial or 
financial information obtained from a person and privileged or 
confidential.''
    Abstract: The FR 3036 is the U.S. part of a global data collection 
that is conducted by central banks once every three years. More than 50 
central banks plan to conduct the survey in 2016. The Bank for 
International Settlements (BIS) compiles aggregate national data from 
each central bank to produce global market statistics. The Federal 
Reserve Bank of New Your (FRBNY) uses the survey to monitor activity in 
the foreign exchange and derivatives markets. Survey results also 
provide perspective on market developments for the Manager of the 
System Open Market Account, on the Desk's trading relationships, and 
for planning Federal Reserve and U.S. Treasury foreign exchange 
operations. Respondents also use the published data to gauge their 
market share.
    Current Actions: The Federal Reserve proposes the following 
revisions to the survey:

    1. For foreign exchange execution methods, FRBNY would 
separately collect ``dark pools'' under electronic-indirect trading, 
and would clarify what would be reported under ``Other electronic 
communication networks.'' (Dark pools are private platforms for 
trading securities especially for large trade sizes, where access is 
restricted and quotes are not revealed.) The instructions were 
changed to provide a definition of dark pools, as well as updated 
guidance on definitions used for the Execution Method schedule.
    2. The category ``Others'' under electronic-indirect trading 
would be deleted as this item is being deleted by the BIS. The 
deletion will ensure the FR 3036 aligns with the BIS survey.

[[Page 75104]]

    3. The questions on algorithmic and high frequency trading would 
be deleted as this item is being deleted by the BIS. The deletion 
will ensure the FR 3036 aligns with the BIS survey.
    4. The questions on the number of business days, estimated 
coverage of the survey and concentration levels, and trading 
activity trends would be deleted. The FRBNY will coordinate 
responses to these questions with the Secretary of the New York 
Foreign Exchange Committee and its Operations Subcommittee. This 
change will allow for an improvement in data quality as it 
eliminates issues with dealer weighting and poor response rates.
    5. The questions on ``retail-driven'' transactions would be 
deleted. The FRBNY will coordinate responses to these questions with 
the Secretary of the New York Foreign Exchange Committee and its 
Operations Subcommittee. This change will allow for an improvement 
in data quality as it eliminates issues with dealer weighting and 
poor response rates.

    Board of Governors of the Federal Reserve System, November 25, 
2015.
Robert deV. Frierson,
Secretary of the Board.
[FR Doc. 2015-30446 Filed 11-30-15; 8:45 am]
BILLING CODE 6210-01-P