August 29, 1994
TO: SEC RULES COMMITTEE NO. 99-94
STATE LIAISON COMMITTEE NO. 49-94
RE: NASAA RESPONSE TO INSTITUTE LETTER ON SUMMARY PROSPECTUS
PROPOSAL
__________________________________________________________
As we previously reported, the Institute recently responded to
a letter from the Investment Companies Committee of the North
American Securities Administrators Association, Inc., to the SEC's
Division of Investment Management, regarding the Commission's
summary prospectus proposal. (See Memorandum to the Board of
Governors No. 58-94, SEC Rules Committee No. 71-94, State Liaison
Committee, No. 41-94, dated July 5, 1994.) The NASAA Committee has
responded with the attached letter to the Division.
As you may recall, the Institute's letter questioned the
methods by which the Committee conducted its survey of state
regulators. For example, the Institute letter questioned the
objectivity of the survey, especially since the Committee only
provided the Commission with the states' negative comments on the
summary prospectus proposal.
In response, the Committee's letter states that the Committee
attempted to identify issues that might inhibit adoption of the
proposal by state securities regulators, and asked questions about
these areas. The Committee's letter continues, "Admittedly, we
selected the responses that supported our conclusions . . .. We
did not, and do not, make any claim that the survey was conducted
scientifically."
Thomas M. Selman
Assistant Counsel
Attachment