Document ID: SEC-2011-1719-0001
Agency: sec
Document Type: Notice
Title: Agency Information Collection Activities; Proposals, Submissions, and Approvals
Posted Date: 2011-11-08T05:00Z

[Federal Register Volume 76, Number 216 (Tuesday, November 8, 2011)]
[Notices]
[Pages 69307-69308]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-28912]

-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

Submission for OMB Review; Comment Request

Upon Written Request, Copy Available From: Securities and Exchange 
Commission, Office of Investor Education and Advocacy, Washington, DC 
20549-0213.

Extension:
    Rule 498, File No. 270-574, OMB Control No. 3235-0648.

    Notice is hereby given that pursuant to the Paperwork Reduction 
Act of 1995,\1\ 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.
---------------------------------------------------------------------------

    \1\ 44 U.S.C. 3501 et seq.
---------------------------------------------------------------------------

    Rule 498 under the Securities Act of 1933 (``Securities Act'') 
\2\ permits open-end management investment companies (``funds'') to 
satisfy their prospectus delivery obligations under the Securities 
Act by sending or giving key information directly to investors in 
the form of a summary prospectus (``Summary Prospectus'') and 
providing the statutory prospectus on a Web site. Upon an investor's 
request, funds are also required to send the statutory prospectus to 
the investor. In addition, under rule 498, a fund that relies on the 
rule to meet its statutory prospectus delivery obligations must make 
available, free of charge, the fund's current Summary Prospectus, 
statutory prospectus, statement of additional information, and most 
recent annual and semi-annual reports to shareholders at the Web 
site address specified in the required Summary Prospectus legend. A 
Summary Prospectus that complies with rule 498 is deemed to be a 
prospectus that is authorized under Section 10(b) of the Securities 
Act \3\ and Section 24(g) of the Investment Company Act of 1940.\4\
---------------------------------------------------------------------------

    \2\ 17 CFR 230.498.
    \3\ 15 U.S.C. 77j. A ``prospectus,'' as defined by the 
Securities Act, is any prospectus, notice, circular, advertisement, 
letter, or communication, written or by radio or television, which 
offers any security for sale or confirms the sale of any security, 
with certain exceptions. 15 U.S.C. 77b(a)(10).
    \4\ 15 U.S.C. 80a-24(g).
---------------------------------------------------------------------------

    The purpose of rule 498 is to enable a fund to provide investors 
with a Summary Prospectus containing key information necessary to 
evaluate an investment in the fund. Unlike many other federal 
information

[[Page 69308]]

collections, which are primarily for the use and benefit of the 
collecting agency, this information collection is primarily for the 
use and benefit of investors. The information filed with the 
Commission also permits the verification of compliance with 
securities law requirements and assures the public availability and 
dissemination of the information.
    The current approved annual internal hour burden for filing and 
updating Summary Prospectuses and posting the required disclosure 
documents on a Web site pursuant to rule 498 is 63,014 hours. Based 
on staff review of Summary Prospectuses filed with the Commission, 
the Commission now estimates that approximately 6,250 portfolios are 
using a Summary Prospectus. Therefore, the Commission estimates that 
the total annual internal burden for filing and updating Summary 
Prospectuses and posting the required disclosure documents to a Web 
site pursuant to rule 498 will therefore be approximately 9,375 
hours, representing a decrease of 53,639 hours.
    The current approved total annual cost burden is $106,200,000 or 
approximately $15,200 per portfolio. Adjusting the total annual cost 
burden per portfolio for the effects of inflation, the Commission 
now estimates the total annual cost burden per portfolio to be 
$15,900, for a total annual cost burden of approximately 
$99,375,000. This represents a decrease in the total annual cost 
burden of approximately $6,825,000.
    Estimates of average burden hours are made solely for the 
purposes of the Paperwork Reduction Act, and are not derived from a 
comprehensive or even a representative survey or study of the costs 
of Commission rules and forms. The collection of information under 
rule is voluntary. The information provided under rule is not 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 OMB control number.
    The public may view the background documentation for this 
information collection at the following Web site, http://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: Shagufta_Ahmed@omb.eop.gov; and (ii) Thomas Bayer, 
Director/Chief Information Officer, Securities and Exchange 
Commission, c/o Remi Pavlik-Simon, 6432 General Green Way, 
Alexandria, VA 22312 or send an email to: PRA_Mailbox@sec.gov. 
Comments must be submitted to OMB within 30 days of this notice.

    November 3, 2011.
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2011-28912 Filed 11-7-11; 8:45 am]
BILLING CODE 8011-01-P