[Federal Register Volume 77, Number 247 (Wednesday, December 26, 2012)]
[Notices]
[Pages 76097-76098]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-31022]
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SECURITIES AND EXCHANGE COMMISSION
Submission for OMB Review; Comment Request
Upon Written Request Copies Available From: Securities and Exchange
Commission, Office of Investor Education and Advocacy, Washington, DC
20549-0213.
Extension:
Form N-MFP, OMB Control No. 3235-0657, SEC File No. 270-604.
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.
Section 30(b) of the Investment Company Act of 1940 [15 U.S.C. 80a-
30(b)] (``Act'') provides that ``[e]very registered investment company
shall file with the Commission[hellip]such information, documents, and
reports (other than financial statements), as the Commission may
require to keep reasonably current the information and documents
contained in the registration statement of such company[hellip].'' Rule
30b1-7 under the Act [17 CFR 270.30b1-7], entitled ``Monthly Report for
Money Market Funds,'' provides that every registered investment
company, or series thereof, that is regulated as a money market fund
under rule 2a-7 [17
[[Page 76098]]
CFR 270.2a-7] must file with the Commission a monthly report of
portfolio holdings on Form N-MFP [17 CFR 274.201] no later than the
fifth business day of each month. Form N-MFP sets forth the specific
disclosure items that money market funds must provide. The report must
be filed electronically using the Commission's electronic filing system
(``EDGAR'') in eXtensible Markup Language (``XML'') format.
Certain provisions of the rule and form contain ``collection of
information'' requirements. We estimate that 684 money market funds are
required by rule 30b1-7 to file, on a monthly basis, a complete report
on Form N-MFP disclosing certain information regarding the fund and its
portfolio holdings. We further estimate that an additional ten new
money market funds will file reports on Form N-MFP each year. For
purposes of this Paperwork Reduction Act analysis, the burden
associated with the requirements of rule 30b1-7 is included in the
collection of information requirements of Form N-MFP, rather than the
rule. Based on conversations with industry participants, we estimate
that money market funds prepare and file their reports on Form N-MFP by
either (1) licensing a software solution and preparing and filing the
report in house, or (2) retaining a service provider to provide data
aggregation and validation services as part of the preparation and
filing of reports on Form N-MFP on behalf of the fund.
We estimate that 35% of money market funds (239 funds) license a
software solution and file reports on Form N-MFP in house; we further
estimate that each fund that files reports on Form N-MFP in house
requires an average of approximately 42 burden hours to compile
(including review of the information), tag, and electronically file the
Form N-MFP for the first time and an average of approximately 8 burden
hours for subsequent filings. Therefore, we estimate the per fund
average annual hour burden is 96 hours for existing funds and 130 hours
for new money market funds. Based on an estimate of 239 existing fund
filers and 4 new fund filers each year, we estimate that filing reports
on Form N-MFP in house takes 23,464 hours per year.
We estimate that 65% of money market funds (445 funds) retain the
services of a third party to provide data aggregation and validation
services as part of the preparation and filing of reports on Form N-MFP
on the fund's behalf; we further estimate that each fund requires an
average of approximately 21 burden hours to compile and review the
information with the service provider prior to electronically filing
the report for the first time and an average of approximately 4 burden
hours for subsequent filings. Therefore, we estimate the per fund
average annual hour burden is 48 hours for existing funds and 65 hours
for new money market funds. Based on an estimate of 445 existing fund
filers and 6 new fund filers each year, we estimate that filing reports
on Form N-MFP using a service provider takes 21,750 hours per year. In
sum, we estimate that filing reports on Form N-MFP imposes a total
annual hour burden of 45,214 on all money market funds.
In addition to the costs associated with the hours burdens
discussed above, money market funds incur other external costs. Based
on discussions with industry participants, we estimate that money
market funds that file reports on Form N-MFP in house license a third-
party software solution to assist in filing their reports at an average
cost of $3,360 per fund per year. In addition, we estimate that money
market funds that use a service provider to prepare and file reports on
Form N-MFP pay an average fee of $8,000 per fund per year. In sum, we
estimate that all money market funds incur on average, in the
aggregate, external annual costs of $4,424,480.\1\ This estimate is
based on the following calculation: (243 money market funds (239
existing funds + 4 new funds) that file reports on Form N-MFP in house
x $3,360 per fund, per year) + (451 money market funds (445 existing
funds + 6 new funds) that file reports on Form N-MFP using a service
provider x $8,000 per fund, per year) = $4,424,480.
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\1\ The estimate of burden hours and costs are made solely for
the purposes of the Paperwork Reduction Act. The estimates are not
derived from a comprehensive or even a representative survey or
study of the costs of Commission rules. The collection of
information under Form N-MFP is mandatory. The information provided
by the form 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 control number.
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The public may view the background documentation for this
information collection at the following Web site: http://www.reginfo.gov. Please direct general comments regarding the above
information to the following persons: (i) Desk Officer for the
Securities and Exchange Commission, Office of Management and Budget,
Room 10102, New Executive Office Building, Washington, DC 20503 or send
an email to Shagufta Ahmed at [email protected]; and (ii)
Thomas Bayer, Director/CIO, Securities and Exchange Commission, c/o
Remi Pavlik-Simon, 6432 General Green Way, Alexandria, VA 22312; or
send an email to: [email protected]. Comments must be submitted to
OMB within 30 days of this notice.
Dated: December 18, 2012.
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-31022 Filed 12-21-12; 4:15 pm]
BILLING CODE 8011-01-