Federal Register 60-Day Notice

31716

Federal Register / Vol. 90, No. 133 / Tuesday, July 15, 2025 / Notices

SECURITIES AND EXCHANGE
COMMISSION
[OMB Control No. 3235–0701]

khammond on DSK9W7S144PROD with NOTICES

Proposed Collection; Comment
Request; Extension: Rule 18a–1
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 (‘‘SEC’’ or
‘‘Commission’’) is soliciting comments
on the proposed collection of
information in Rule 18a–1.
Rule 18a–1, 17 CFR 240.18a–1,
establishes net capital requirements for
nonbank security-based swap dealers
that are not also broker-dealers
registered with the Commission (‘‘standalone SBSDs’’). First, under paragraphs
(a)(2) and (d) of Rule 18a–1, a standalone SBSD may apply to the
Commission to be authorized to use
internal value-at-risk (‘‘VaR) models to
compute net capital, and a stand-alone
SBSD authorized to use internal models
must review and update the models it
uses to compute market and credit risk,
as well as back-test the models. Second,
under paragraph (f) of Rule 18a–1, a
stand-alone SBSD is required to comply
with certain requirements of Exchange
Act Rule 15c3–4 (17 CFR 240.15c3–4).
Rule 15c3–4 requires OTC derivatives
dealers and firms subject to its
provisions to establish, document, and
maintain a system of internal risk
management controls to assist the firm
in managing the risks associated with
business activities, including market,
credit, leverage, liquidity, legal, and
operational risks. Third, for purposes of
calculating ‘‘haircuts’’ on credit default
swaps, paragraph (c)(1)(vi)(B)(1)(iii) of
Rule 18a–1 requires stand-alone SBSDs
that are not using internal models to use
an industry sector classification system
that is documented and reasonable in
terms of grouping types of companies
with similar business activities and risk
characteristics. Fourth, under paragraph
(h) of Rule 18a–1, stand-alone SBSDs
are required to provide the Commission
with certain written notices with respect
to equity withdrawals. Fifth, under
paragraph (c)(5) of Appendix D to Rule
18a–1 (17 CFR 240.18a–1d), stand-alone
SBSDs are required to file with the
Commission two copies of any proposed
subordinated loan agreement (including
nonconforming subordinated loan
agreements) at least 30 days prior to the
proposed execution date of the

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agreement. Finally, under paragraph
(c)(1)(ix)(C) of Rule 18a–1, a nonbank
SBSD may treat collateral held by a
third-party custodian to meet an initial
margin requirement of a security-based
swap or swap customer as being held by
the nonbank SBSD for purposes of the
capital in lieu of margin charge
provisions of the rule if certain
conditions are met. In particular, the
SBSD must execute an account control
agreement and must maintain written
documentation of its analysis that in the
event of a legal challenge the account
control agreement would be held to be
legal, valid, binding, and enforceable
under the applicable law.
The collection of information is
mandatory and is designed to ensure
that stand-alone SBSDs maintain
sufficient liquidity at all times to meet
all unsubordinated obligations of their
customers and counterparties and,
should a nonbank SBSD fail, that there
are sufficient resources for an orderly
liquidation. These information
collections facilitate the monitoring of
the financial condition of nonbank
SBSDs by the Commission. The
information collected by the
Commission under Rule 18a–1, as
adopted, is kept confidential to the
extent permitted by the Freedom of
Information Act (5 U.S.C. 552 et seq.).
The annual aggregate initial burden
for all respondents is estimated to be
4,310 hours. The aggregate initial cost
burden for all respondents is estimated
to be $2,772,334. The aggregate annual
burden for all respondents is estimated
to be 28,933 hours. The aggregate
annual cost burden for all respondents
is estimated to be $3,732,600.
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.
Written comments are invited on: (a)
whether this proposed collection of
information is necessary for the proper
performance of the functions of the SEC,
including whether the information will
have practical utility; (b) the accuracy of
the SEC’s estimate of the burden
imposed by the proposed collection of
information, including the validity of
the methodology and the assumptions
used; (c) ways to enhance the quality,
utility, and clarity of the information to
be collected; and (d) ways to minimize
the burden of the collection of
information on respondents, including
through the use of automated, electronic
collection techniques or other forms of
information technology.
Please direct your written comments
on this 60-Day Collection Notice to
Austin Gerig, Director/Chief Data

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Officer, Securities and Exchange
Commission, c/o Tanya Ruttenberg via
email to PaperworkReductionAct@
sec.gov by September 15, 2025. There
will be a second opportunity to
comment on this SEC request following
the Federal Register publishing a 30Day Submission Notice.
Dated: July 11, 2025.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–13254 Filed 7–14–25; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
Release No. 34–103434; File No. SR–
ISE–2025–15)]
Self-Regulatory Organizations; Nasdaq
ISE, LLC; Notice of Filing of
Amendment No. 1 to a Proposed Rule
Change To Amend the Short Term
Option Series Program To List
Qualifying Securities
July 10, 2025.

On May 1, 2025, the Nasdaq ISE, LLC
(‘‘ISE’’ or ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘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
amend the Exchange’s Short Term
Option Series Program to permit the
listing of up to two Monday and
Wednesday expirations for options on
certain individual stocks or ExchangeTraded Fund Shares. The proposed rule
change was published for comment in
the Federal Register on May 21, 2025.3
On June 27, 2025, the Commission
designated a longer period within which
to take action on the proposed rule
change.4 On July 1, 2025, the Exchange
filed Amendment No. 1 to the proposed
rule change.5 The Commission is
publishing this notice to solicit
comments on the proposed rule change,
as amended by Amendment No. 1, from
1 15

U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 103048
(May 15, 2025), 90 FR 21805. Comments on the
proposed rule change are available at https://
www.sec.gov/comments/sr-ise-2025-15/
srise202515.htm.
4 See Securities Exchange Act Release No.
103343, 90 FR 29098 (July 2, 2025). The
Commission designated August 19, 2025 as the date
by which it should approve, disapprove, or institute
proceedings to determine whether to disapprove the
proposed rule change. See id.
5 Amendment No. 1 is publicly available on the
Commission’s website at: https://www.sec.gov/
comments/sr-iex-2025-02/sriex202502-5801151667463.pdf.
2 17

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