3140 Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 

17 15 U.S.C. 78s(b)(3)(A)(ii). 

18 17 CFR 240.19b–4(f)(2). 19 17 CFR 200.30–3(a)(12). 

transparency to FINRA’s fees as listed 

within the BOX Fee Schedule. Further, 

the proposal is also equitable and not 

unfairly discriminatory because the 

Exchange will not be collecting or 

retaining these fees, therefore, the 

Exchange will not be in a position to 

apply them in an inequitable or unfairly 

discriminatory manner. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on competition not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

Exchange does not believe that this 

proposal creates an unnecessary or 

inappropriate inter-market burden on 

competition as FINRA’s fees apply to all 

market participants. Additionally, the 

Exchange does not believe that this 

proposal creates an unnecessary or 

inappropriate intra-market burden on 

competition as the increased fee for 

each initial Form U4 filed for the 

registration of a representative or 

principal will be assessed by FINRA to 

all Participants who require Form U4 

filings as of January 2, 2022. 

The Exchange does not believe that 

this proposal creates an unnecessary or 

inappropriate intra-market burden on 

competition as the decreased 

Continuing Education fee from will be 

assessed by FINRA to all Participants 

who complete the Regulatory Element of 

the Continuing Education requirements 

pursuant to FINRA rules. Also, 

clarifying that the Continuing Education 

Fees apply to all individual required to 

complete the Regulatory Element of the 

Continuing Education requirements 

does not impose an undue burden on 

competition as FINRA currently 

assesses these rates to all Participants 

that are required to have those 

registrations. The Exchange also does 

not believe that its proposal to list the 

proposed annual MQP Fee of $100 

creates an unnecessary or inappropriate 

intra-market burden on competition as 

this annual fee that will be assessed by 

FINRA to all Participants who elect to 

participate in the MQP pursuant to 

FINRA rules. Additionally, making clear 

that FINRA will bill and collect these 

fees will bring greater transparency to 

the FINRA fees listed within the BOX 

Fee Schedule. Finally, clarifying that 

the FINRA Annual System Processing 

Fee is assessed only during renewals, 

the Fingerprinting Fees are processing 

fees, and that Series 57 exam fee 

includes the fee for the Securities 

Industry Essentials Exam, will provide 

more information to Participants 

regarding the fees collected by FINRA 

and listed within the BOX Fee 

Schedule. Further, the proposal does 

not impose an undue burden on 

competition because the Exchange will 

not be collecting or retaining these fees, 

therefore, the Exchange will not be in a 

position to apply them in an inequitable 

or unfairly discriminatory manner. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were either 

solicited or received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action Effectiveness 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Exchange Act 17

and Rule 19b–4(f)(2) thereunder,18

because it establishes or changes a due, 

or fee. 

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission summarily may 

temporarily suspend the rule change if 

it appears to the Commission that the 

action is necessary or appropriate in the 

public interest, for the protection of 

investors, or would otherwise further 

the purposes of the Act. If the 

Commission takes such action, the 

Commission shall institute proceedings 

to determine whether the proposed rule 

should be approved or 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– 

BOX–2022–03 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 

Commission, 100 F Street NE, 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–BOX–2022–03. This file 

number should be included on the 

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 such 

filing also will be available for 

inspection and copying at the principal 

office of the Exchange. 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–BOX–2022–03 and should 

be submitted on or before February 10, 

2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01069 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–441, OMB Control No. 

3235–0497] 

Proposed Collection; 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 15c3–4 

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 

(‘‘Commission’’) is soliciting comments 

on the collection of information 


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Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 3141 

1 (200 hours × 11 firms) = 2200. 

2 ((2,000 hours/3 years) × 5 firms) = 3,333. 

3 (200 hours × 5 firms) = 1,000. 

1According to Commission records, one issuer 

filed two notifications on Form 1–E, together with 

offering circulars, during 2013 and 2014. 

provided for in Rule 15c3–4 (17 CFR 

240.15c3–4) under the Securities 

Exchange Act of 1934 (15 U.S.C. 78a et 

seq.). The Commission plans to submit 

this existing collection of information to 

the Office of Management and Budget 

(‘‘OMB’’) for extension and approval. 

Rule 15c3–4 requires certain brokerdealers that are registered with the 

Commission as OTC derivatives dealers, 

or who compute their net capital 

charges under Appendix E to Rule 

15c3–1 (17 CFR 240.15c3–1) (‘‘ANC 

firms’’), to establish, document, and 

maintain a system of internal risk 

management controls. In addition, 

security-based swap dealers (‘‘SBSDs’’) 

that are subject to Rule 18a–1 (17 CFR 

240.18a–1) must comply with Rule 

15c3–4 as if they were OTC derivatives 

dealers. The Rule sets forth the basic 

elements for an OTC derivatives dealer, 

an ANC firm, or an SBSD to consider 

and include when establishing, 

documenting, and reviewing its internal 

risk management control system, which 

is designed to, among other things, 

ensure the integrity of an OTC 

derivatives dealer’s, an ANC firm’s, or 

an SBDS’s risk measurement, 

monitoring, and management process, to 

clarify accountability at the appropriate 

organizational level, and to define the 

permitted scope of the firm’s activities 

and level of risk. The Rule also requires 

that management of an OTC derivatives 

dealer, ANC firm, or SBSD must 

periodically review, in accordance with 

written procedures, the firm’s business 

activities for consistency with its risk 

management guidelines. 

The staff estimates that the average 

amount of time a new firm subject to 

Rule 15c3–4 will spend establishing and 

documenting its risk management 

control system is approximately 2,000 

hours (666.666667 hours per year when 

annualized over three years) and that, 

on average, an existing firm subject to 

Rule 15c3–4 will spend approximately 

200 hours each year to maintain (e.g., 

reviewing and updating) its risk 

management control system. Currently, 

five firms are registered with the 

Commission as OTC derivatives dealers, 

five as ANC firms, and one as an SBSD. 

The staff estimates that approximately 

two new additional entities may register 

as OTC derivatives dealers, one new 

entity may register as an ANC firm, and 

two new entities may register as SBSDs 

subject to the requirements of Rule 

15c3–4 within the next three years. 

Thus, the estimated annual burden 

would be approximately 2,200 hours for 

the eleven existing firms (five OTC 

derivatives dealers, five ANC firms, and 

one SBSD) currently required to comply 

with Rule 15c3–4 to maintain their risk 

management control systems,1 3,333 

hours for the five new firms (two new 

OTC derivatives dealers, one new ANC 

firm, and two new SBSDs) to establish 

and document their risk management 

control systems,2 and 1,000 hours for 

the five new firms (two new OTC 

derivatives dealers, one new ANC firm, 

and two new SBSDs) to maintain their 

risk management control systems.3

Accordingly, the staff estimates the total 

annual burden associated with Rule 

15c3–4 for the 16 respondents (nine 

OTC derivatives dealers, six ANC firms, 

and five SBSDs) will be approximately 

6,533 hours per year. 

Written comments are invited on: (a) 

Whether the proposed collection of 

information is necessary for the proper 

performance of the functions of the 

Commission, including whether the 

information shall have practical utility; 

(b) the accuracy of the Commission’s 

estimates of the burden of the proposed 

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. 

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. 

Please direct your written comments 

to: David Bottom, Acting Director/Chief 

Information Officer, Securities and 

Exchange Commission, c/o John 

Pezzullo, 100 F Street NE, Washington, 

DC 20549, or send an email to: PRA_

Mailbox@SEC.gov. 

Dated: January 14, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01056 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–221, OMB Control No. 

3235–0232] 

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: 

Form 1–E, Regulation E 

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. 

Form 1–E (17 CFR 239.200) under the 

Securities Act of 1933 (15 U.S.C. 77a et 

seq.) (‘‘Securities Act’’) is the form that 

a small business investment company 

(‘‘SBIC’’) or business development 

company (‘‘BDC’’) uses to notify the 

Commission that it is claiming an 

exemption under Regulation E from 

registering its securities under the 

Securities Act. Rule 605 of Regulation E 

(17 CFR 230.605) under the Securities 

Act requires an SBIC or BDC claiming 

such an exemption to file an offering 

circular with the Commission that must 

also be provided to persons to whom an 

offer is made. Form 1–E requires an 

issuer to provide the names and 

addresses of the issuer, its affiliates, 

directors, officers, and counsel; a 

description of events which would 

make the exemption unavailable; the 

jurisdictions in which the issuer intends 

to offer the securities; information about 

unregistered securities issued or sold by 

the issuer within one year before filing 

the notification on Form 1–E; 

information as to whether the issuer is 

presently offering or contemplating 

offering any other securities; and 

exhibits, including copies of the rule 

605 offering circular and any 

underwriting contracts. 

The Commission uses the information 

provided in the notification on Form 1– 

E and the offering circular to determine 

whether an offering qualifies for the 

exemption under Regulation E. The 

Commission estimates that, each year, 

one issuer files one notification on Form 

1–E, together with offering circulars, 

with the Commission.1 Based on the 

Commission’s experience with 

disclosure documents, we estimate that 

the burden from compliance with Form 

1–E and the offering circular requires 

approximately 100 hours per filing. The 

annual burden hours for compliance 

with Form 1–E and the offering circular 

would be 200 hours (2 responses × 100 

hours per response). Estimates of the 

burden hours are made solely for the 


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