November 27, 2002

Mr. Jonathan G. Katz
Secretary, Securities and Exchange Commission
450 Fifth Street, NW
Washington, DC 20549-0609
By Electronic Mail and USPS

In Re: File No. S7-36-02 and File No. S7-38-02

Dear Mr. Katz,

I am writing to express my strong support for the referenced Proposed Rules. The voting policies and voting records of investment advisers can and should be made available to their clients, the public and the regulatory authorities. The fact that the Department of Labor already requires such disclosure and that a number of investment advisors and mutual funds already voluntarily make this information available is testimony to the feasibility of the proposals.

We strongly believe, however, that the proposals must be expanded. We urge you to:

    1) Apply the same disclosure requirements to all investment advisers,

    2) Require that all investment advisers disclose their share lending practices, their specific share loan positions and the impact of their lending practices on their voting policies, and

    3) Require that all investment advisers disclose all short positions held using the same criteria applied to specific disclosure of long positions.

Without these additions it will be impossible to reconcile voting rights held to voting actions taken. Without these additions necessary and appropriate information concerning portfolio risk and potential conflicts of interest will continue to be unavailable to both clients and regulators. Without these additions the laudable aims of the current proposals will fall short of their potential.


Clifton H. Morris, Jr.
Executive Chairman