The Securities and Exchange Commission (SEC) is seeking to extend its current rules on collecting information under the Paperwork Reduction Act of 1995. Rule 22e-3 allows money market funds to suspend redemptions temporarily if it helps with an orderly fund liquidation, but they must notify the SEC of such suspensions. The SEC estimates that compliance with this rule will involve minimal effort, requiring about an hour of a lawyer's time each year. The public is invited to comment on the necessity and burden of this information collection by February 14, 2025.
Simple Explanation
The SEC wants to keep a rule that lets certain funds take a break from letting people take their money out if it helps the fund close down smoothly, but they have to tell the SEC first. They think it won't take much time or money to follow this rule, and they want to know if others think it's a good idea by February 14, 2025.