Rule 17a-10, Exemption for transactions with certain subadvisory affiliates

Forms and Documents

Document Name	Status
20250902_3235-0563_2025-16707_90 FR 42471_30-Day Submission Notice.pdf.pdf Supplementary Document	2025-09-02
2025 05 28_90 FR 22524_3235-0563_60-Day Collection Notice.pdf Supplementary Document	2025-05-28
Supporting Statement_Rule 17a-10 (2025).pdf Supporting Statement A	2025-04-30

IC Document Collections

IC ID	Document Title	Status
35399	Exemptions for transactions with certain sub-advisory affiliates	Modified

ICR Details

OMB Control No: 3235-0563	ICR Reference No: 202504-3235-023
Status: Received in OIRA	Previous ICR Reference No: 202206-3235-003
Agency/Subagency: SEC	Agency Tracking No: IM
Title: Rule 17a-10, Exemption for transactions with certain subadvisory affiliates
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular	Date Submitted to OIRA: 09/02/2025

	Requested	Previously Approved
Expiration Date	36 Months From Approved	10/31/2025
Responses	49	314
Time Burden (Hours)	37	236
Cost Burden (Dollars)	0	0

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Abstract: Rule 17a-10 (17 CFR 270.17a-10) under the Investment Company Act of 1940 permits (i) a subadviser of a registered investment company (a “fund”) to enter into transactions with funds the subadviser does not advise but that are affiliated persons of a fund that it does advise (e.g., other funds in the fund complex), and (ii) a subadviser (and its affiliated persons) to enter into transactions and arrangements with funds the subadviser does advise, but only with respect to discrete portions of the subadvised fund for which the subadviser does not provide investment advice. The exemptions under Rule 17a-10 are intended to allow a subadviser to enter into such a transaction provided the subadviser does not influence the fund’s investment decision to engage in the transaction. In order to rely on the exemptions in rule 17a-10, funds must include in their subadvisory contracts the provisions required under rule 17a-10(a)(2) to ensure that the subadviser that engages in the transaction does not influence the fund’s investment decisions to engage in the transaction. Section 31(a) of the Investment Company Act of 1940 and rules 31a-1 and 31a-2 thereunder, require investment companies to maintain and preserve records related to investment advisory agreements, including those agreements with subadvisors.

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Authorizing Statute(s): US Code: 15 USC 80a Name of Law: Investment Company Act of 1940
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	90 FR 22524	05/28/2025
30-day Notice:	Federal Register Citation:	Citation Date:
	90 FR 42471	09/02/2025
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Exemptions for transactions with certain sub-advisory affiliates

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ICR Summary of Burden

	Total Request	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	49	314	0	0	-265	0
Annual Time Burden (Hours)	37	236	0	0	-199	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: Rule 17a-10 has a previously approved annual time burden of 236 hours. We estimate the hour burden associated with rule 17a-10 has decreased by 199 hours to a total of 37 hours since our last burden analysis. This decrease is due to a change in our estimate of the number of new funds using subadvisers from 314 to 49.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? No

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Common Form ICR:  No

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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:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(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;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

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.

Certification Date: 09/02/2025

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