4312 Federal Register / Vol. 87, No. 18 / Thursday, January 27, 2022 / Notices 

indicated in Form ADV Item 5I(2)(b) and (c), and 

the number of individual clients of advisers that 

identify as internet advisers in Form ADV Item 

2A(11). From analysis comparing reported 

individual client assets in Form ADV Item 5D(a)(3) 

and 5D(b)(3) to reported wrap portfolio manager 

assets in Form ADV Item 5I(2)(b) and (c), we 

discount the estimated number of individual clients 

of non-internet advisers providing portfolio 

management to wrap programs by 10%. 

5These estimates are based on the number of new 

clients expected due to average year-over-year 

growth in individual clients from Form ADV Item 

5D(a)(1) and (b)(1) (about 8%) and an assumed rate 

of yearly client turnover of 10%. 

6These estimates are based upon consultation 

with investment advisers that operate investment 

advisory programs that rely on rule 3a–4. 

7The staff bases this estimate in part on the fact 

that, by business necessity, computer records 

already will be available that contain the 

information in the quarterly reports. 

8This estimate is based on the following 

calculation: (25,852,313 continuing clients × 1 

hour) + (2,127,147 new clients × 1.5 hours) + 

(27,979,460 total clients × (0.25 hours × 4 

statements)) = 57,022,493 hours. 1 15 U.S.C. 78o–7. 

2See 17 CFR 240.17g–4; Release No. 34–55231 

(Feb. 2, 2007), 72 FR 6378 (Feb. 9, 2007); Release 

No. 34–55857 (June 5, 2007), 72 FR 33564 (June 18, 

2007). 

3 9 currently registered NRSROs × 10 hours = 90 

hours. 

estimates that 2,127,147 are new clients 

and 25,852,313 are continuing clients.5

The staff estimates that each year the 

investment advisory program sponsors’ 

staff engage in 1.5 hours per new client 

and 1 hour per continuing client to 

prepare, conduct and/or review 

interviews regarding the client’s 

financial situation and investment 

objectives as required by the rule.6

Furthermore, the staff estimates that 

each year the investment advisory 

program sponsors’ staff spends 1 hour 

per client each year to prepare and mail 

quarterly client account statements, 

including notices to update 

information.7 Based on the estimates 

above, the Commission estimates that 

the total annual burden of the rule’s 

paperwork requirements is 57,022,493 

hours.8

The estimate of average burden hours 

is made solely for the purposes of the 

Paperwork Reduction Act. The estimate 

is not derived from a comprehensive or 

even a representative survey or study of 

the costs of Commission rules and 

forms. 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 the background 

documentation for this information 

collection at the following website, 

www.reginfo.gov. Comments should be 

directed to: (i) Desk Officer for the 

Securities and Exchange Commission, 

Office of Information and Regulatory 

Affairs, Office of Management and 

Budget, Room 10102, New Executive 

Office Building, Washington, DC 20503, 

or by sending an email to: 

Lindsay.M.Abate@omb.eop.gov; and (ii) 

David Bottom, c/o John R. Pezzullo, 

Director/Chief Information Officer, 

Securities and Exchange Commission, 

100 F Street NE, Washington, DC 20549 

or send an email to: PRA_Mailbox@

sec.gov. 

Comments must be submitted to OMB 

within 30 days of this notice to 

www.reginfo.gov/public/do/PRAMain. 

Find this particular information 

collection by selecting ‘‘Currently under 

30-day Review—Open for Public 

Comments’’ or by using the search 

function. 

Dated: January 21, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01555 Filed 1–26–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[OMB Control No. 3235–0627] 

Rule 17g–4 30 Day Notice 2021— 

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: 

Rule 17g–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’’) has submitted to the 

Office of Management and Budget 

(‘‘OMB’’) a request for approval of 

extension of the previously approved 

collection of information provided for in 

Rule 17g–4 (17 CFR 240.17g–4) under 

the Securities Exchange Act of 1934 (15 

U.S.C. 78a et seq.) (‘‘Exchange Act’’). 

The Credit Rating Agency Reform Act 

of 2006 added a new section 15E, 

‘‘Registration of Nationally Recognized 

Statistical Rating Organizations,’’ 1 to 

the Exchange Act. Pursuant to the 

authority granted under section 15E of 

the Exchange Act, the Commission 

adopted Rule 17g–4, which requires that 

a nationally recognized statistical rating 

organization (‘‘NRSRO’’) establish, 

maintain, and enforce written policies 

and procedures to prevent the misuse of 

material nonpublic information, 

including policies and procedures 

reasonably designed to prevent: (a) The 

inappropriate dissemination of material 

nonpublic information obtained in 

connection with the performance of 

credit rating services; (b) a person 

within the NRSRO from trading on 

material nonpublic information; and (c) 

the inappropriate dissemination of a 

pending credit rating action.2

There are 9 credit rating agencies 

registered with the Commission as 

NRSROs under section 15E of the 

Exchange Act, which have already 

established the policies and procedures 

required by Rule 17g–4. Based on staff 

experience, an NRSRO is estimated to 

spend an average of approximately 10 

hours per year reviewing its policies 

and procedures regarding material 

nonpublic information and updating 

them (if necessary), resulting in an 

average industry-wide annual hour 

burden of approximately 90 hours.3

An agency may not conduct or 

sponsor a collection of information 

unless it displays a currently valid OMB 

control number. No person shall be 

subject to any penalty for failing to 

comply with a collection of information 

subject to the PRA that does not display 

a valid OMB control number. 

The public may view background 

documentation for this information 

collection at the following website: 

>www.reginfo.gov<. Find this particular 

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 to (i) >www.reginfo.gov/public/ 

do/PRAMain< and (ii) David Bottom, 

Director/Chief Information Officer, 

Securities and Exchange Commission, c/ 

o John R. Pezzullo, 100 F Street NE, 

Washington, DC 20549, or by sending an 

email to: PRA_Mailbox@sec.gov. 

Dated: January 21, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01547 Filed 1–26–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–489, OMB Control No. 

3235–0541] 

Submission for OMB Review; 

Comment Request 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 


lotter on DSK11XQN23PROD with NOTICES1