Core Principles and Other
Requirements for Swap Execution Facilities
Revision of a currently approved collection
No
Regular
04/16/2021
Requested
Previously Approved
36 Months From Approved
05/31/2021
739,557
880,554
22,200
26,200
0
0
In January 2018, the Commission
adopted regulation 9.11(b)(3)(ii) requiring a designated contract
market (DCM) or swap execution facility (SEF) (collectively,
“exchange”) to include two additional elements in the disciplinary
or access denial notice action provided to the National Futures
Association. First, an exchange must include the type of product
(as applicable) involved in the adverse action. Requiring an
exchange to provide this information in the disciplinary or access
denial notice will provide the Commission, market participants, the
public, and other exchanges with greater transparency concerning
where market abuses originate and whether the abuses are
concentrated among certain product types. Second, an exchange must
indicate in its notice of disciplinary or access denial actions
whether the violation underlying the notice resulted in financial
harm to any customers. The Commission believes that the inclusion
of customer harm is essential because it cannot effectively perform
its regulatory and oversight functions without knowledge of those
instances in which brokers violate their fiduciary duty to
customers by taking advantage of customer orders and engaging in
fraudulent activity. The Commission concluded that the additional
burden for an exchange to add the two additional elements in the
contents of the disciplinary or access denial notice is de minimis
and will not change the burden hours for the collection. In April
2018, the Commission published a 30-Day Notice of Intent to Renew
Collection 3038–0074 (30-Day Renewal Notice) and stated that 25
SEFs were registered with the Commission. However, since
publication of the 30-Day Renewal Notice, the Commission has
granted permanent registration to several additional SEFs, while
others SEFs have had their registrations vacated or have been
deemed dormant under part 40 of the Commission regulations, for a
total of 21 registered SEFs. Therefore, the Commission is revising
the below burden statement for OMB Control No. 3038–0074 to account
for the decrease in the number of registered SEFs.
The Commission is amending
control number 3038-0074 to account for a change in the number of
SEFs currently registered with the Commission from 25 to 21. The
decrease in the number of SEFs registered with the Commission will
decrease the total information collection burden for 3038-0074 from
25,000 hours to 21,000 hours.
$0
No
No
No
No
Yes
No
No
Herminio Castro 202 418-6705
hcastro@cftc.gov
No
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.
(2021) 0074 Supporting Statement Renewal 1-12-21.docx
Core Principles and Other Requirements for Swap Execution Facilities