The Securities and Exchange Commission (SEC) has requested the Office of Management and Budget (OMB) to approve an extension of the existing data collection required under Rule 15c2-8. This rule mandates that broker-dealers deliver prospectuses to certain individuals during securities offerings, including initial public offerings (IPOs), with a specific "48-hour rule" for IPOs. Broker-dealers must also maintain accurate records to identify those requesting prospectuses. The SEC estimates significant time and cost burdens for compliance, and a 30-day public comment period for this request is open until January 2, 2025.
Simple Explanation
The Securities and Exchange Commission wants to continue a rule that makes sure certain people get important papers about companies when they are selling their stocks, like when they first start selling shares to the public. They are asking for people's thoughts until January 2, 2025, and they say this can be costly for companies to follow.