Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 3135 

recommendations for the proposed 

information collection should be sent 

within 30 days of publication of this 

notice to (i) MBX.OMB.OIRA.SEC_desk_

officer@omb.eop.gov and (ii) David 

Bottom, Director/Chief Information 

Officer, Securities and Exchange 

Commission, c/o John Pezzullo, 100 F 

Street NE, Washington, DC 20549, or by 

sending an email to: PRA_Mailbox@

sec.gov. 

Dated: January 14, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01058 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–523, OMB Control No. 

3235–0585] 

Submission for OMB Review; 

Comment Request; Extension: Rule 

206(4)–7 

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 

(‘‘OMB’’) a request for extension of the 

previously approved collection of 

information discussed below. 

The title for the collection of 

information is ‘‘Investment Advisers Act 

rule 206(4)–7, 17 CFR Sec. 275.206(4)– 

7, Compliance procedures and 

practices.’’ This collection of 

information is found at 17 CFR 

275.206(4)–7, and is mandatory. Rule 

206(4)–7 under the Investment Advisers 

Act of 1940 (‘‘Advisers Act’’) requires 

each investment adviser registered with 

the Commission to (1) adopt and 

implement written policies and 

procedures reasonably designed to 

prevent violations of the Advisers Act 

and its rules, (2) review those 

compliance policies and procedures 

annually, and (3) designate a chief 

compliance officer who is responsible 

for administering the compliance 

policies and procedures. The rule is 

designed to protect investors by 

fostering better compliance with the 

securities laws. The collection of 

information under rule 206(4)–7 is 

necessary to help ensure that 

investment advisers maintain 

comprehensive internal programs that 

promote the advisers’ compliance with 

the Advisers Act and its rules. The 

Commission’s examination and 

oversight staff may review the 

information collected to assess 

investment advisers’ compliance 

programs. Responses provided to the 

Commission pursuant to the rule in the 

context of the Commission’s 

examination and oversight program are 

generally kept confidential. 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 control 

number. 

The respondents to this information 

collection are investment advisers 

registered with the Commission. 

Updated data indicate that there were 

14,376 advisers registered with the 

Commission as of August 2021. Each 

respondent would produce one 

response, per year. Commission staff has 

estimated that compliance with rule 

206(4)–7 imposes an annual burden of 

approximately 90 hours per response. 

Based on this figure, Commission staff 

estimates a total annual burden of 

1,293,840 hours for this collection of 

information. 

The public may view the background 

documentation for this information 

collection at the following website, 

www.reginfo.gov. Comments should be 

directed to: (1) 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 (2) 

David Bottom, Director/Chief 

Information Officer, Securities and 

Exchange Commission, c/o John R. 

Pezzullo, 100 F Street NE, Washington, 

DC 20549 or send an email to: PRA_

Mailbox@sec.gov. Written comments 

and recommendations for the proposed 

information collection should be sent 

within 30 days of publication 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 14, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01061 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–586, OMB Control No. 

3235–0647] 

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 204 

Notice is hereby given that pursuant 

to the Paperwork Reduction Act of 1995 

(‘‘PRA’’) (44 U.S.C. 3501 et seq.), 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 204 (17 CFR 242.204), under the 

Securities Exchange Act of 1934 (15 

U.S.C. 78a et seq.). 

Rule 204(a) provides that a participant 

of a registered clearing agency must 

deliver securities to a registered clearing 

agency for clearance and settlement on 

a long or short sale in any equity 

security by settlement date, or if a 

participant of a registered clearing 

agency has a fail to deliver position at 

a registered clearing agency in any 

equity security for a long or short sale 

transaction in the equity security, the 

participant shall, by no later than the 

beginning of regular trading hours on 

the applicable close-out date, 

immediately close out its fail to deliver 

positions by borrowing or purchasing 

securities of like kind and quantity. For 

a short sale transaction, the participant 

must close out a fail to deliver by no 

later than the beginning of regular 

trading hours on the settlement day 

following the settlement date. If a 

participant has a fail to deliver that the 

participant can demonstrate on its books 

and records resulted from a long sale, or 

that is attributable to bona-fide market 

making activities, the participant must 

close out the fail to deliver by no later 

than the beginning of regular trading 

hours on the third consecutive 

settlement day following the settlement 

date. Rule 204 is intended to help 

further the Commission’s goal of 

reducing fails to deliver by maintaining 

the reductions in fails to deliver 

achieved by the adoption of temporary 

Rule 204T, as well as other actions 

taken by the Commission. In addition, 

Rule 204 is intended to help further the 

Commission’s goal of addressing 


lotter on DSK11XQN23PROD with NOTICES1
3136 Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 

1The Commission’s Division of Economic and 

Risk Analysis (‘‘DERA’’) estimates that there were 

approximately 3,551 registered broker-dealers as of 

December 31, 2020. 2 DERA estimates that there were approximately 

7,450 average daily fail to deliver positions during 

2020. Across 3,551 registered broker-dealers, the 

number of securities per registered broker-dealer 

per trading day is approximately 2.1 (7,450 ÷ 3,551) 

equity securities. 

3Because failure to comply with the close-out 

requirements of Rule 204(a) is a violation of the 

rule, the Commission believes that a broker or 

dealer would make the notification to a participant 

that it is subject to the borrowing requirements of 

Rule 204(b) at most once per day. 

4See Amendments to Regulation SHO, Exchange 

Act Release No. 60388 (July 27, 2009), 74 FR 38265 

(July 31, 2009) (‘‘Rule 204 Adopting Release’’) 

(making permanent the amendments to Regulation 

SHO contained in Interim Final Temporary Rule 

204T and incorporating by reference the time 

estimates from the Rule 204T Adopting Release for 

compliance with the notification, demonstration, 

and certification requirements of Rule 204). 

5 DERA estimates that during 20120 

approximately 49.2% of trade volume was long. 

DERA estimates that there were approximately 

7,450 average daily fail to deliver positions during 

2020. Across 127 broker-dealer participants of the 

NSCC, the number of securities per participant per 

day is approximately 59 (7,450 ÷ 127) equity 

securities. 49.2% of 59 equity securities per trading 

day equals approximately 29 securities per day. 

6See supra note 4. 

7See supra note 5. 

8See supra note 4. 

9See supra note 2. 

10See supra note 4. 

11See supra note 2. 

potentially abusive ‘‘naked’’ short 

selling in all equity securities. 

The information collected under Rule 

204 will continue to be retained and/or 

provided to other entities pursuant to 

the specific rule provisions and will be 

available to the Commission and selfregulatory organization (‘‘SRO’’) 

examiners upon request. The 

information collected will continue to 

aid the Commission and SROs in 

monitoring compliance with these 

requirements. In addition, the 

information collected will aid those 

subject to Rule 204 in complying with 

its requirements. These collections of 

information are mandatory. 

Several provisions under Rule 204 

will impose a ‘‘collection of 

information’’ within the meaning of the 

Paperwork Reduction Act. 

I. Allocation Notification 

Requirement: As of December 31, 2020, 

there were 3,551 registered brokerdealers.1 Each of these broker-dealers 

could clear trades through a participant 

of a registered clearing agency and, 

therefore, become subject to the 

notification requirements of Rule 

204(d). If a participant allocates a fail to 

deliver position to a broker or dealer 

pursuant to Rule 204(d), the broker or 

dealer that has been allocated the fail to 

deliver position in an equity security 

must determine whether such fail to 

deliver position was closed out in 

accordance with Rule 204(a). If such 

broker or dealer does not comply with 

the provisions of Rule 204(a), such 

broker or dealer must immediately 

notify the participant that it has become 

subject to the requirements of Rule 

204(b). The Commission estimates that 

a broker or dealer could have to make 

such determination and notification 

with respect to approximately 2.1 equity 

securities per day.2 The Commission 

estimates a total of 1,886,646 potential 

notifications in accordance with Rule 

204(d) across all registered brokerdealers that could be allocated 

responsibility to close out a fail to 

deliver position per year (3,551 

registered broker-dealers notifying 

participants once per day 3 on 2.1 equity 

securities, multiplied by 253 trading 

days in 2020). The total estimated 

annual burden hours per year will be 

approximately 301,864 burden hours 

(1,886,646 multiplied by 0.16 hours/ 

notification 4). 

II. Demonstration Requirement for 

Fails to Deliver on Long Sales: As of 

December 31, 2020, there were 127 

participants of NSCC that were 

registered as broker-dealers. If a 

participant of a registered clearing 

agency has a fail to deliver position in 

an equity security at a registered 

clearing agency and determined that 

such fail to deliver position resulted 

from a long sale, the Commission 

estimates that a participant of a 

registered clearing agency will have to 

make such determination with respect 

to approximately 29 securities per day.5

The Commission estimates a total of 

931,799 potential demonstrations in 

accordance with Rule 204(a)(1) across 

all broker-dealer participants per year 

(127 participants checking for 

compliance once per day on 29 

securities, multiplied by 253 trading 

days in 2020). The total approximate 

estimated annual burden hour per year 

will be approximately 149,088 burden 

hours (931,799 multiplied by 0.16 

hours/demonstration 6). 

III. Pre-Borrow Notification 

Requirement: As of December 31, 2020, 

there were 27 participants of NSCC that 

were registered as broker-dealers. If a 

participant of a registered clearing 

agency has a fail to deliver position in 

an equity security, the participant must 

determine whether the fail to deliver 

position was closed out in accordance 

with Rule 204(a). The Commission 

estimates that a participant of a 

registered clearing agency will have to 

make such determination with respect 

to approximately 59 equity securities 

per day.7 The Commission estimates a 

total of 1,895,729 potential notifications 

in accordance with Rule 204(c) across 

all participants per year (127 brokerdealer participants notifying brokerdealers once per day on 59 securities, 

multiplied by 253 trading days in 2020). 

The total estimated annual burden 

hours per year will be approximately 

303,317 burden hours (1,895,729 

multiplied by 0.16 hours/notification 8). 

IV. Certification Requirement: As of 

December 31, 2020, there were 3,551 

registered broker-dealers. Each of these 

broker-dealers may clear trades through 

a participant of a registered clearing 

agency. If the broker-dealer determines 

that it has not incurred a fail to deliver 

position on settlement date for a long or 

short sale in an equity security for 

which the participant has a fail to 

deliver position at a registered clearing 

agency or has purchased or borrowed 

securities in accordance with the prefail credit provision of Rule 204(e), the 

Commission estimates that a brokerdealer could have to make such 

determination with respect to 

approximately 2.1 securities per day.9

The Commission estimates that each 

such registered broker-dealer could have 

to certify to a participant that the 

broker-dealer has not incurred a fail to 

deliver position on settlement date for a 

long or short sale in an equity security 

for which the participant has a fail to 

deliver position at a registered clearing 

agency or, alternatively, that the brokerdealer is in compliance with the 

requirements set forth in the pre-fail 

credit provision of Rule 204(e), 

1,886,646 times per year (3,551 

registered broker-dealers certifying once 

per day on 2.1 securities, multiplied by 

253 trading days in 2020). The total 

approximate estimated annual burden 

hours per year will be approximately 

301,864 burden hours (1,886,646 

multiplied by 0.16 hours/ 

certification 10). 

V. Pre-Fail Credit Demonstration 

Requirement: As of December 31, 2020, 

there were 3,551 registered brokerdealers. If a broker-dealer purchased or 

borrowed securities in accordance with 

the conditions specified in Rule 204(e) 

and determined that it had a net long 

position or net flat position on the 

settlement day for which the brokerdealer is claiming pre-fail credit, the 

Commission estimates that a brokerdealer could have to make such a 

determination with respect to 

approximately 2.1 securities per day.11

The Commission estimates that the total 

number of times per year that such 

registered broker-dealers could have to 

demonstrate on their respective books 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 3137 

12See supra note 4. 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 93676 

(November 29, 2021), 86 FR 68695. 

4 15 U.S.C. 78s(b)(2). 

and records that the broker-dealer has a 

net long position or net flat position on 

the settlement day for which the brokerdealer is claiming pre-fail credit is 

1,886,646 times per year (3,551 

registered broker-dealers checking for 

compliance once per day on 2.1 equity 

securities, multiplied by 253 trading 

days in 2020). The total approximate 

estimated annual burden hours per year 

will be 301,864 burden hours (1,886,646 

multiplied by 0.16 hours/ 

demonstration 12). 

The total aggregate annual burden for 

the collection of information undertaken 

pursuant to all five provisions is thus 

1,357,997 hours per year (301,864 + 

149,088 + 303,317 + 301,864 + 301,864). 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

under the PRA 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 

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) MBX.OMB.OIRA.SEC_desk_

officer@OMB.EOP.GOV and (ii) David 

Bottom, Director/Chief Information 

Officer, Securities and Exchange 

Commission, c/o John Pezzullo, 100 F 

Street NE, Washington, DC 20549, or by 

sending an email to: PRA_Mailbox@

sec.gov. 

Dated: January 14, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01057 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Investment Company Act Release No. 

34470; 812–15284] 

Oaktree Fund Advisors, LLC and 

Oaktree Strategic Credit Fund 

January 14, 2022. 

AGENCY: Securities and Exchange 

Commission (‘‘Commission’’). 

ACTION: Notice. 

Notice of an application under 

Section 6(c) of the Investment Company 

Act of 1940 (the ‘‘Act’’) for an 

exemption from Sections 18(a)(2), 18(c), 

18(i) and Section 61(a) of the Act. 

SUMMARY OF APPLICATION: Applicants 

request an order to permit certain 

closed-end management investment 

companies that have elected to be 

regulated as business development 

companies (‘‘BDCs’’) to issue multiple 

classes of shares with varying sales 

loads and asset-based service and/or 

distribution fees. 

APPLICANTS: Oaktree Fund Advisors, 

LLC. (‘‘OFA’’), Oaktree Strategic Credit 

Fund (‘‘OSCF’’). 

FILING DATE: The application was filed 

on November 30, 2021. 

HEARING OR NOTIFICATION OF HEARING: 

An order granting the requested relief 

will be issued unless the Commission 

orders a hearing. Interested persons may 

request a hearing on any application by 

emailing the SEC’s Secretary at 

Secretarys-Office@sec.gov and serving 

the relevant applicant with a copy of the 

request by email, if an email address is 

listed for the relevant applicant below, 

or personally or by mail, if a physical 

address is listed for the relevant 

applicant below. 

Hearing requests should be received 

by the Commission by 5:30 p.m. on 

February 8, 2022, and should be 

accompanied by proof of service on 

applicants, in the form of an affidavit or, 

for lawyers, a certificate of service. 

Pursuant to rule 0–5 under the Act, 

hearing requests should state the nature 

of the writer’s interest, any facts bearing 

upon the desirability of a hearing on the 

matter, the reason for the request, and 

the issues contested. Persons who wish 

to be notified of a hearing may request 

notification by emailing the 

Commission’s Secretary. 

ADDRESSES: The Commission: 

Secretarys-Office@sec.gov. Applicants: 

c/o William G. Farrar, by email to 

farrarw@sullcrom.com. 

FOR FURTHER INFORMATION CONTACT: Lisa 

Reid Ragen, Branch Chief, at (202) 551– 

6825 (Division of Investment 

Management, Chief Counsel’s Office). 

SUPPLEMENTARY INFORMATION: For 

Applicants’ representations, legal 

analysis, and condition, please refer to 

Applicants’ application, dated 

November 30, 2021, which may be 

obtained via the Commission’s website 

by searching for the file number, using 

the Company name box, at http://

www.sec.gov/search/search.htm, or by 

calling (202) 551–8090. 

For the Commission, by the Division 

of Investment Management, under 

delegated authority. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01053 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–93972; File No. SR–MIAX– 

2021–58] 

Self-Regulatory Organizations; Miami 

International Securities Exchange, 

LLC; Notice of Designation of a Longer 

Period for Commission Action on a 

Proposed Rule Change To Adopt 

Exchange Rule 532, Order and Quote 

Price Protection Mechanisms and Risk 

Controls 

January 13, 2022. 

On November 16, 2021, Miami 

International Securities Exchange, LLC 

(‘‘MIAX Options’’ or the ‘‘Exchange’’) 

filed with the Securities and Exchange 

Commission (the ‘‘Commission’’), 

pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 

(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a 

proposed rule change to adopt a new 

Managed Protection Override feature, a 

new Max Put Price Protection feature, 

and a new MIAX Strategy Price 

Protection, which will be included in 

new Exchange Rule 532, ‘‘Order and 

Quote Price Protection Mechanisms and 

Risk Controls.’’ The proposed rule 

change was published for comment in 

the Federal Register on December 3, 

2021.3 The Commission has received no 

comment letters regarding the proposed 

rule change. 

Section 19(b)(2) of the Act 4 provides 

that, within 45 days of the publication 

of notice of the filing of a proposed rule 

change, or within such longer period up 

to 90 days as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or as to which the 

self-regulatory organization consents, 

the Commission shall either approve the 

proposed rule change, disapprove the 

proposed rule change, or institute 

proceedings to determine whether the 

proposed rule change should be 

disapproved. The 45th day after 

publication of the notice for the 

proposed rule change is January 17, 

2022. 

The Commission is extending the 45- 

day period for Commission action on 

the proposed rule change. The 

Commission finds that it is appropriate 

to designate a longer period within 

which to take action on the proposed 

rule change so that it has sufficient time 

to consider and act on the proposed rule 

change. Accordingly, pursuant to 


lotter on DSK11XQN23PROD with NOTICES1