SECURITIES AND EXCHANGE COMMISSION
17 CFR Parts 275 and 279
Release No. IA-1602
RIN 3235-AH08
Suspension of Form ADV-S
AGENCY: Securities and Exchange Commission
ACTION: Stay of rules and suspension of form.
SUMMARY: The Commission is staying a rule and a provision in a
rule under the Investment Advisers Act of 1940 that require the
filing of Form ADV-S, the annual report filed by all investment
advisers registered with the Commission. The Commission is also
suspending the use of Form ADV-S indefinitely, pending the
outcome of a related rulemaking.
EFFECTIVE DATE: Effective [insert date of publication in the
Federal Register] paragraph (c) of 275.204-1(c) and 279.3 are
stayed, and the use of Form ADV-S is suspended.
FOR FURTHER INFORMATION CONTACT: Catherine M. Saadeh, Staff
Attorney, or Cynthia G. Pugh, Staff Attorney, at (202) 942-0690,
Office of Regulatory Policy, Division of Investment Management,
Mail Stop 10-2, 450 Fifth Street, N.W., Washington, D.C. 20549.
SUPPLEMENTARY INFORMATION: The Commission is staying paragraph
(c) of rule 204-1 [17 CFR 275.204-1(c)] and section 279.3 of Part
279 [17 CFR 279.3] under the Investment Advisers Act of 1940 [15
USC 80b-1 et seq.] (the "Advisers Act"), which require investment
advisers registered with the Commission to annually file Form
ADV-S. The Commission is also suspending the use of Form ADV-S.
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In a separate release, the Commission today is proposing new
Form ADV-T, amendments to Form ADV, and related rules and rule
amendments.-[1]- The proposed rules and form would, among
other things, require each investment adviser registered with the
Commission to: (i) file a report with the Commission by April 9,
1997 indicating the adviser's continued status under the Advisers
Act;-[2]- and (ii) provide similar information in a new
schedule to Form ADV annually thereafter. These proposed new
requirements would make unnecessary the reporting requirements of
Form ADV-S. Because the new requirements would either duplicate
or replace the ADV-S reporting requirements, the Commission
believes requiring advisers to file Form ADV-S prior to a final
decision whether to adopt the proposed rules would be unduly
burdensome. The Commission is therefore staying paragraph (c) of
rule 204-1 and rule 279.3, and is suspending the use of Form
ADV-S. If proposed new Form ADV-T and the related proposed rules
and amendments are adopted, the Commission plans to eliminate the
reporting requirements of Form ADV-S. Persons interested in
commenting on the proposed elimination of Form ADV-S are
encouraged to respond to the request for comments in Investment
---------FOOTNOTES----------
-[1]- See Investment Advisers Act Rel. No. 1601 (Dec.
20, 1996). Form ADV [17 CFR 279.1] is the form
used by investment advisers to apply for
registration as an investment adviser with the
Commission, or amend an existing registration.
See Investment Advisers Act Rel. No. 1601 at
Section II.H.
-[2]- See Investment Advisers Act Rel. No. 1601 at
Section II.B.
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Advisers Act Rel. No. 1601, File No. S7-31-96.
STATUTORY AUTHORITY
The Commission is staying rule 204-1(c) and rule 279.3, and is
suspending the use of Form ADV-S pursuant to the authority set
forth in sections 204 and 211(a) of the Investment Advisers Act
of 1940 [15 USC 80b-4 and 80b-11(a)].
TEXT OF STAYED RULES
List of subjects in 17 CFR Parts 275 and 279
Reporting and recordkeeping requirements, securities
For the reasons set out in the preamble, Title 17, Chapter
II of the Code of Federal Regulations is amended as follows:
PART 275 - RULES AND REGULATIONS, INVESTMENT ADVISERS ACT OF 1940
1. The authority citation for Part 275 continues to read,
in part, as follows:
AUTHORITY: 15 U.S.C. 80b-3, 80b-4, 80b-6A, 80b-11, unless
otherwise noted. * * * * *
PART 279 - FORMS PRESCRIBED UNDER THE INVESTMENT ADVISERS ACT OF
1940
2. The authority citation for Part 279 continues to read
as follows:
AUTHORITY: The Investment Advisers Act of 1940, 15 U.S.C.
80b-1, et seq.
3. Effective [insert date of publication in the Federal
Register] 275.204-1(c) and 275.279.3 are stayed, and the use
of Form ADV-S is suspended.
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Note: Form ADV-S does not appear in the Code of Federal
Regulations.
By the Commission.
Jonathan G. Katz
Secretary
December 20, 1996