[Federal Register Volume 89, Number 134 (Friday, July 12, 2024)]
[Notices]
[Pages 57174-57175]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-15293]


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SECURITIES AND EXCHANGE COMMISSION

[SEC File No. 270-522, OMB Control No. 3235-0586]


Submission for OMB Review; Comment Request; Extension: Rule 38a-1

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

    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 38a-1 (17 CFR 270.38a-1) under the Investment Company Act of 
1940 (15 U.S.C. 80a) (``Investment Company Act'') is intended to 
protect investors by fostering better fund compliance with securities 
laws. The rule requires every registered investment company and 
business development company (``fund'') to: (i) adopt and implement 
written policies and procedures reasonably designed to prevent 
violations of the federal securities laws by the fund, including 
procedures for oversight of compliance by each investment adviser, 
principal underwriter, administrator, and transfer agent of the fund; 
(ii) obtain the fund board of directors' approval of those policies and 
procedures; (iii) annually review the adequacy of those policies and 
procedures and the policies and procedures of each investment adviser, 
principal underwriter, administrator, and transfer agent of the fund, 
and the effectiveness of their implementation; (iv) designate a chief 
compliance officer to administer the fund's policies and procedures and 
prepare an annual report to the board that addresses certain specified 
items relating to the policies and procedures; and (v) maintain for 
five years the compliance policies and procedures and the chief 
compliance officer's annual report to the board.
    The rule contains certain information collection requirements that 
are designed to ensure that funds establish and maintain comprehensive, 
written internal compliance programs. The information collections also 
assist the Commission's examination staff in assessing the adequacy of 
funds' compliance programs.
    The Commission staff estimates that 13,628 funds are subject to 
rule 38a-1. Based on these estimates, the total annual burden hours 
associated with Rule 38a-1 is 476,980 hours. The estimated total annual 
burden hours associated with rule 38a-1 have increased 25,572 hours, 
from 451,408 hours to 476,980 hours and external costs increased from 
$19,608,000 to $23,876,256. These changes in burden hours and external 
costs reflect changes in the number of affected entities and in the 
external cost associated with the information collection requirements. 
These changes reflect revised estimates.
    The estimate of average burden hours is made solely for the 
purposes of the Paperwork Reduction Act. The estimate is based on 
communications with industry representatives and is not derived from a 
comprehensive or even a representative survey or study. Responses will 
not be kept confidential. Other information provided to the Commission 
in connection with staff examinations or investigations is kept 
confidential subject to the provisions of applicable law. If 
information collected pursuant to rule 38a-1 is reviewed by the 
Commission's examination staff, it is accorded the same level of 
confidentiality accorded to other responses provided to the Commission 
in the context of its examination and oversight program. 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

[[Page 57175]]

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 by August 
12, 2024 to (i) [email protected] and (ii) 
Austin Gerig, Director/Chief Data Officer, Securities and Exchange 
Commission, c/o Oluwaseun Ajayi, 100 F Street NE, Washington, DC 20549, 
or by sending an email to: [email protected].

    Dated: July 8, 2024.
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2024-15293 Filed 7-11-24; 8:45 am]
BILLING CODE 8011-01-P