The Securities and Exchange Commission (SEC) is seeking public comments on the information collection process required by Rule 204-3 under the Investment Advisers Act of 1940, as part of extending the current information collection approval. This rule mandates that investment advisers deliver brochures and updates to clients to keep them informed about any significant changes. The SEC estimates that complying with this rule takes about 4.04 hours annually for each adviser, affecting around 15,464 advisers. Feedback is requested on whether this process is necessary, accurate, and allows for improving the information’s quality and reducing the burden on advisers, with comments due by June 9, 2025.
Simple Explanation
The Securities and Exchange Commission (SEC) wants to hear from people about a rule that says financial advisers need to give their clients special booklets to keep them updated about important changes. They want help to make sure this rule is useful, not too hard to follow, and doesn’t take too much time.