#aah? ,,congress  #b;d ,session  ,h4 ,r4
 #dgij  ,,an ,,act  ,to am5d ! ,f$]al   
securities laws ) respect to !          
mat]iality ( disclosure requirem5ts1 to 
e/abli% ! ,public ,company ,advisory    
,committee1 & = o!r purposes4  #a4 ,%ort
 title2 table ( cont5ts  7a7 ,%ort title
 ,?is ,act may be cit$ z ! ,prioritiz+  
,economic ,gr[? ,ov] ,woke ,policies    
,act4  7b7 ,table ( cont5ts ,! table (  
cont5ts = ?is ,act is z foll[s3  ,sec4  
#a4 ,%ort title2 table ( cont5ts4       
,division ,a--,,gu>drail ,act ( #bjbc   
,sec4 #ajja4 ,%ort title2 table (       
cont5ts4 ,title ,i--,m&atory ,mat]iality
 ,requirem5t ,sec4 #aaja4 ,limitation on
 disclosure requirem5ts4 ,title         
,,ii--,,sec ju/ification ( non-mat]ial  
disclosure m&ates ,sec4 #abja4 ,,sec    
ju/ification ( non-mat]ial disclosure   
m&ates4 ,title ,,iii--,public ,company  
,advisory ,committee ,sec4 #acja4       
,public ,company ,advisory ,committee4  
,title ,,iv--,protect+ ,u4,s4 ,bus9ess  
,sov]eignty ,sec4 #adja4 ,/udy on       

detrim5tal impact ( ! ,directive on     
,corporate ,su/a9ability ,due ,dilig5ce 
& ,corporate ,su/a9ability ,report+     
,directive4 ,division ,b--,bus9esses    
,ov] ,activi/s ,act ,sec4 #bjja4 ,%ort  
title4 ,sec4 #bjjb4 ,limitation )       
respect to compell+ ! inclusion or      
discussion ( %>ehold] proposals4        
,division ,c--,protect+ ,am]icans'      
,retirem5t ,sav+s f ,politics ,act ,sec4
 #cjja4 ,%ort title2 ,table ( cont5ts4  
,title ,i--,p]=mance ov] ,politics ,sec4
 #caja4 ,exclusion ( c]ta9 sub/antially 
simil> %>ehold] proposals4 ,title       
,,ii--,no ,exp5sive1 ,/ifl+ ,gov]nance  
,sec4 #cbja4 ,exclusion ( c]ta9 %>ehold]
 proposals4 ,title ,,iii--,exclusion (  
c]ta9 ,,esg %>ehold] proposals ,sec4    
#ccja4 ,exclusion ( c]ta9 ,,esg %>ehold]
 proposals4 ,title ,,iv--,exclusions    
available reg>dless ( significant social
 policy issue ,sec4 #cdja4 ,exclusions  
available reg>dless ( significant social
 policy issue4 ,title ,v--,corporate    
,gov]nance ,exam9ation ,sec4 #ceja4     

,/udy ( c]ta9 issues ) respect to       
%>ehold] proposals1 proxy advisory      
firms1 & ! proxy process4 ,title        
,,vi--,regi/ration ( proxy advisory     
firms ,sec4 #cfja4 ,regi/ration ( proxy 
advisory firms4 ,title ,,vii--,liability
 = c]ta9 failures to disclose mat]ial   
in=mation or mak+ ( mat]ial mis/atem5ts 
,sec4 #cgja4 ,liability = c]ta9 failures
 to disclose mat]ial in=mation or mak+ (
 mat]ial mis/atem5ts4 ,title            
,,viii--,duties ( inve/m5t advisors1    
asset manag]s1 & p5sion funds ,sec4     
#chja4 ,duties ( inve/m5t advisors1     
asset manag]s1 & p5sion funds4 ,title   
,,ix--,protect+ ,am]icans' ,sav+s ,sec4 
#cija4 ,requirem5ts relat$ to proxy     
vot+4 ,title ,x--,emp[]+ ,%>ehold]s     
,sec4 #ciaa4 ,proxy vot+ ( passively    
manag$ funds4 ,title ,,xi--,protect+    
,retail ,inve/ors' ,sav+s ,sec4 #ciba4  
,be/ int]e/ bas$ on pecuni>y factors4   
,sec4 #cibb4 ,/udy on climate *ange &   
o!r environm5tal disclosures 9 municipal
 bond m>ket4 ,sec4 #cibc4 ,/udy on      

solicitation ( municipal securities     
bus9ess4 ,division ,d--,am]ican ,,fir/  
,act ( #bjbc ,sec4 #djja4 ,%ort title2  
,table ( cont5ts4 ,title ,i--,/op       
,executive ,capture ( ,bank+ ,regulators
 ,sec4 #daja4 ,report on ! implem5tation
 ( recomm5dations f ! ,,fsoc ,*airp]son 
& ,executive ,ord]s4 ,title             
,,ii--,ensur+ ,u4,s4 ,au?ority ov]      
,u4,s4 ,bank+ ,regulations ,sec4 #dbja4 
,requirem5ts 9 connection ) rulemak+s   
implem5t+ policies ( non-gov]nm5tal     
int]national organizations4 ,sec4 #dbjb4
 ,report on c]ta9 climate-relat$        
int]actions ) cov]$ int]national        
organizations4 ,title ,,iii--,bank+     
,regulator ,int]national ,report+ ,sec4 
#dcja4 ,report+ on int]actions )        
non-gov]nm5tal int]national             
organizations4 ,title ,,iv--,sup]vision 
,re=m ,sec4 #ddja4 ,removal ( ! ,vice   
,*airman = ,sup]vision designation4     
,division ,e--,limitation on ,,sec      
,res]ve ,fund ,sec4 #ejja4 ,limitation4 
,a ,,gu>drail ,act ( #bjbc  #ajja4 ,%ort

 title2 table ( cont5ts  7a7 ,%ort title
 ,?is division may be cit$ z ! ,guid+   
,uni=m & ,responsible ,disclosure       
,requirem5ts & ,in=mation ,limits ,act (
 #bjbc or ! ,,gu>drail ,act ( #bjbc4    
7b7 ,table ( cont5ts ,! table ( cont5ts 
= ?is division is z foll[s3  ,sec4      
#ajja4 ,%ort title2 table ( cont5ts4    
,title ,i--,m&atory ,mat]iality         
,requirem5t ,sec4 #aaja4 ,limitation on 
disclosure requirem5ts4 ,title          
,,ii--,,sec ju/ification ( non-mat]ial  
disclosure m&ates ,sec4 #abja4 ,,sec    
ju/ification ( non-mat]ial disclosure   
m&ates4 ,title ,,iii--,public ,company  
,advisory ,committee ,sec4 #acja4       
,public ,company ,advisory ,committee4  
,title ,,iv--,protect+ ,u4,s4 ,bus9ess  
,sov]eignty ,sec4 #adja4 ,/udy on       
detrim5tal impact ( ! ,directive on     
,corporate ,su/a9ability ,due ,dilig5ce 
& ,corporate ,su/a9ability ,report+     
,directive4  ,i ,m&atory ,mat]iality    
,requirem5t  #aaja4 ,limitation on      
disclosure requirem5ts  7a7 ,securities 

,act ( #aicc ,section #b7;b7 ( !        
,securities ,act ( #aicc 7#ae ,u4,s4,c4 
#gg;b7b77 is am5d$-- 7#a7 9 ! subsection
 head+1 by ins]t+ 2 ,limitation on      
,disclosure ,requirem5ts aft] ,=mation2 
7#b7 by /rik+ ,:5ev] & ins]t+ ! foll[+3 
7#a7 ,9 g5]al ,:5ev]  2 &  7#c7 by add+ 
at ! end ! foll[+3  7#b7 ,limitation    
7,a7 ,9 g5]al ,:5ev] pursuant to ?is    
title ! ,commission is engag$ 9 rulemak+
 reg>d+ disclosure obligations ( issu]s1
 ! ,commission %all expressly provide t 
an issu] is only requir$ to disclose    
in=mation 9 response to su* disclosure  
obligations to ! ext5t ! issu] has      
det]m9$ t su* in=mation is mat]ial )    
respect to a vot+ or inve/m5t decision  
reg>d+ ! securities ( su* issu]4  7,b7  
,applicability ,subp>agraph 7,a7 %all n 
apply ) respect to ! removal ( any      
disclosure requirem5t ) respect to an   
issu]4  7,c7 ,rule ( con/ruction ,= !   
purposes ( ?is p>agraph1 in=mation is   
consid]$ mat]ial ) respect to a vot+ or 
inve/m5t decision reg>d+ ! securities ( 

an issu] if !re is a sub/antial         
likelihood t a reasonable inve/or w\ld  
view ! failure to disclose t in=mation z
 hav+ significantly alt]$ ! total mix ( 
in=mation made available to ! inve/or4  
4  7b7 ,securities ,ex*ange ,act ( #aicd
 ,section #c7;f7 ( ! ,securities        
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gh;c7f77 is am5d$-- 7#a7 9 ! subsection
 head+1 by ins]t+ 2 ,limitation on      
,disclosure ,requirem5ts aft] ,=mation2 
7#b7 by /rik+ ,:5ev] & ins]t+ ! foll[+3 
7#a7 ,9 g5]al ,:5ev]  2 &  7#c7 by add+ 
at ! end ! foll[+3  7#b7 ,limitation    
7,a7 ,9 g5]al ,:5ev] pursuant to ?is    
title ! ,commission is engag$ 9 rulemak+
 reg>d+ disclosure obligations ( issu]s1
 ! ,commission %all expressly provide t 
an issu] is only requir$ to disclose    
in=mation 9 response to su* disclosure  
obligations to ! ext5t ! issu] has      
det]m9$ t su* in=mation is mat]ial )    
respect to a vot+ or inve/m5t decision  
reg>d+ ! securities ( su* issu]4  7,b7  
,applicability ,subp>agraph 7,a7 %all n 

apply ) respect to ! removal ( any      
disclosure requirem5t ) respect to an   
issu]4  7,c7 ,rule ( con/ruction ,= !   
purposes ( ?is p>agraph1 in=mation is   
consid]$ mat]ial ) respect to a vot+ or 
inve/m5t decision reg>d+ ! securities ( 
an issu] if !re is a sub/antial         
likelihood t a reasonable inve/or w\ld  
view ! failure to disclose t in=mation z
 hav+ significantly alt]$ ! total mix ( 
in=mation made available to ! inve/or4  
4  ,,ii ,,sec ju/ification ( non-mat]ial
 disclosure m&ates  #abja4 ,,sec        
ju/ification ( non-mat]ial disclosure   
m&ates ,section #bc ( ! ,securities     
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#ghw7 is am5d$ by add+ at ! end !       
foll[+3  7e7 ,non-mat]ial disclosure    
m&ates  7#a7 ,disclosure ,! ,commission 
%all ma9ta9 a li/ on ! website ( !      
,commission t conta9s--  7,a7 ea* m&ate 
"u ! ,f$]al securities laws &           
regulations t requires ! disclosure (   
non-mat]ial in=mation2 &  7,b7 = ea* su*
 disclosure m&ate1 an explanation ( :y !

 m&ate is requir$4  7#b7 ,/udy & report 
,! ,commission %all1 e #e ye>s1 issue a 
report to ! ,congress ju/ify+ ea*       
disclosure conta9$ on ! li/ requir$ "u  
p>agraph 7#a74  7#c7 ,no private        
liability = fail+ to make a non-mat]ial 
disclosure ,a p]son :o fails to disclose
 non-mat]ial in=mation requir$ to be    
disclos$ "u ! ,f$]al securities laws or 
regulations %all n be liable = su*      
failure 9 any private action4  4  ,,iii 
,public ,company ,advisory ,committee   
#acja4 ,public ,company ,advisory       
,committee ,! ,securities ,ex*ange ,act 
( #aicd is am5d$ by ins]t+ aft] section 
#dj 7#ae ,u4,s4,c4 #ghqq7 ! foll[+3     
#dj;,a4 ,public ,company ,advisory      
,committee  7a7 ,e/abli%m5t & purpose   
7#a7 ,e/abli%m5t ,!re is e/abli%$ )9 !  
,commission ! ,public ,company ,advisory
 ,committee 7ref]r$ to 9 ?is section z !
 #8,committee'74  7#b7 ,purpose ,!      
,committee %all-- 7,a7 provide !        
,commission ) advice on its rules1      
regulations1 & policies ) reg>d to its  

mission ( protect+ inve/ors1 ma9ta9+    
fair1 ord]ly1 & effici5t m>kets1 &      
facilitat+ capital =mation1 z !y relate 
to--  7i7 exi/+ & em]g+ regulatory      
priorities ( ! ,commission2  7ii7 issues
 relat+ to ! public report+ & corporate 
gov]nance ( public companies2  7iii7    
issues relat+ to ! proxy process =      
%>ehold] meet+s held by public          
companies2  7iv7 issues relat+ to trad+ 
9 ! securities ( public companies2 &    
7v7 issues relat+ to capital =mation2 & 
7,b7 submit to ! ,commission su* f9d+s &
 recomm5dations z ! ,committee det]m9es 
are appropriate1 includ+ recomm5dations 
= propos$ regulatory & legislative      
*anges4  7b7 ,memb]%ip  7#a7 ,9 g5]al ,!
 memb]%ip ( ! ,committee %all be n few] 
?an #aj1 & n m ?an #bj1 memb]s appo9t$  
by ! ,commission f among individuals    
:o-- 7,a7 are (fic]s1 directors1 or     
s5ior (ficials ( public companies       
regi/]$ ) ! ,commission "u ! ,securities
 ,act or #aicc & ?is ,act1 except = ^?  
public companies t own asset managem5t1 

fix$ income1 inve/m5t advisory1         
brok]-deal]1 or proxy s]vices bus9esses2
  7,b7 are executives or o!r individuals
 ) s5ior manag]ial responsibility 9     
bus9ess1 pr(essional1 trade1 & indu/ry  
associations t repres5t ! int]e/s ( su* 
public companies2 or  7,c7 are          
pr(essional advis]s & s]vice provid]s to
 su* public companies 7includ+          
attorneys1 acc\ntants1 inve/m5t bank]s1 
& f9ancial advis]s74  7#b7              
,qualifications ,at lea/ #ej p]c5t ( !  
,committee memb]%ip %all be drawn f     
individuals :o w\ld qualify = memb]%ip  
"u p>agraph 7#a77;,a74  7#c7 ,t]m  7,a7 
,9 g5]al ,ea* memb] ( ! ,committee      
appo9t$ "u p>agraph 7#a7 %all s]ve = a  
t]m ( #d ye>s4  7,b7 ,vacancies         
,vacancies among ! memb]s1 :e!r caus$ by
 ! resignation1 dea?1 removal1          
expiration ( a t]m1 or o!rwise1 w be    
fill$ consi/5t ) ! ,commission's        
proc$ures !n 9 effect4  7,c7 ,/agg]$    
t]ms ,! memb]s ( ! ,committee %all s]ve 
/agg]$ t]ms1 ) "o-?ird ( ! initial      

memb]s ( ! ,committee ea* s]v+ = #a1 #b1
 or #c ye>s4  7#d7 ,memb]s n on o!r     
advisory committees ,public companies & 
o!r organizations t are curr5tly        
repres5t$ on any o!r ,commission        
,advisory ,committee are n eligible to h
 repres5tatives also s]ve on ! ,public  
,company ,advisory ,committee4  7#e7    
,memb]s n ,commission employees ,memb]s 
appo9t$ "u p>agraph 7#a7 %all n be      
consid]$ to be employees or ag5ts ( !   
,commission solely because ( memb]%ip on
 ! ,committee4  7c7 ,*air2 ,vice ,*air2 
,secret>y2 ,assi/ant ,secret>y  7#a7 ,9 
g5]al ,! memb]s ( ! ,committee %all     
elect1 f among ! memb]s ( ! ,committee--
 7,a7 a ,*air2  7,b7 a ,vice ,*air2     
7,c7 a ,secret>y2 &  7,d7 an ,assi/ant  
,secret>y4  7#b7 ,t]m ,ea* memb] elect$ 
"u p>agraph 7#a7 %all s]ve = a t]m ( two
 ye>s 9 ! capacity ! memb] 0 elect$ "u  
p>agraph 7#a74  7#c7 ,subcommittees ,!  
,*air may create subcommittees t hold   
public or non-public meet+s & provide   
recomm5dations to ! full ,committee4    

7d7 ,meet+s  7#a7 ,frequ5cy ( meet+s ,! 
,committee %all meet--  7,a7 n less     
frequ5tly ?an twice annually1 at ! call 
( ! ,*air ( ! ,committee2 &  7,b7 f "t  
to "t1 at ! call ( ! ,commission4  7#b7 
,notice ,! ,*air ( ! ,committee %all    
give ! memb]s ( ! ,committee writt5     
notice ( ea* meet+1 n lat] ?an two weeks
 be=e ! date ( ! meet+4  7e7            
,comp5sation & travel exp5ses ,ea* memb]
 ( ! ,committee :o is n a full-"t       
employee ( ! ,unit$ ,/ates %all--  7#a7 
be entitl$ to receive comp5sation at a  
rate n to exce$ ! daily equival5t ( !   
annual rate ( basic pay 9 effect = a    
position at level ,v ( ! ,executive     
,s*$ule "u section #ecaf ( title #e1    
,unit$ ,/ates ,code1 = ea* day dur+ :i* 
! memb]s is engag$ 9 ! actual p]=mance (
 ! duties ( ! ,committee2 &  7#b7 :ile  
away f ! home or regul> place ( bus9ess 
( ! memb] 9 ! p]=mance ( s]vices = !    
,committee1 be all[$ travel exp5ses1    
includ+ p] diem 9 lieu ( subsi/5ce1 9 ! 
same mann] z p]sons employ$ int]mitt5tly

 9 ! ,gov]nm5t s]vice are all[$ exp5ses 
"u section #egjc7;b7 ( title #e1 ,unit$ 
,/ates ,code4  7f7 ,/aff ,! ,commission 
%all make available to ! ,committee su* 
/aff z ! ,*air ( ! ,committee det]m9es  
are necess>y to c>ry out ?is section4   
7g7 ,review by ,commission ,!           
,commission %all--  7#a7 review ! f9d+s 
& recomm5dations ( ! ,committee2 &  7#b7
 ea* "t ! ,committee submits a f9d+ or  
recomm5dation to ! ,commission1 promptly
 issue a public /atem5t--  7,a7 assess+ 
! f9d+ or recomm5dation ( ! ,committee2 
&  7,b7 disclos+ ! action1 if any1 !    
,commission int5ds to take ) respect to 
! f9d+ or recomm5dation4  7h7 ,committee
 f9d+s ,no?+ 9 ?is section %all require 
! ,commission to agree to or act ^u any 
f9d+ or recomm5dation ( ! ,committee4   
7i7 ,nonapplicability ( ,,faca ,*apt]   
#aj ( "p ,i ( title #e1 ,unit$ ,/ates   
,code1 %all n apply to ! ,committee &   
its activities4  4  ,,iv ,protect+      
,u4,s4 ,bus9ess ,sov]eignty  #adja4     
,/udy on detrim5tal impact ( !          

,directive on ,corporate ,su/a9ability  
,due ,dilig5ce & ,corporate             
,su/a9ability ,report+ ,directive  7a7  
,/udy ,! ,securities & ,ex*ange         
,commission %all conduct a /udy to      
exam9e & evaluate-- 7#a7 ! detrim5tal   
impact & pot5tial detrim5tal impact (   
ea* ( ! ,directives on--  7,a7 ,unit$   
,/ates companies1 consum]s1 & inve/ors2 
&  7,b7 ! economy ( ! ,unit$ ,/ates2    
7#b7 ! ext5t to :i* ea* ( ! ,directives 
aligns ) int]national conv5tions &      
decl>ations on human rights &           
environm5tal obligations2 &  7#c7 !     
legal basis = ! extrat]ritorial rea* (  
ea* ( ! ,directives4  7b7 ,report ,n    
lat] ?an #a ye> aft] ! date ( ! enactm5t
 ( ?is ,act1 ! ,securities & ,ex*ange   
,commission %all submit to ! ,committee 
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate1 ! ,committee on ,f9ancial       
,s]vices ( ! ,h\se ( ,repres5tatives1 ! 
,secret>y ( ,/ate1 ! ,secret>y (        
,comm]ce1 & ! ,unit$ ,/ates ,trade      
,repres5tative a report t includes--    

7#a7 ! results ( ! /udy conduct$ "u ?is 
section2 &  7#b7 recomm5dations =       
policymak]s & relevant /akehold]s on    
pot5tial mitigat+ measures1 alt]native  
approa*es1 or modifications to ea* ( !  
,directives t w\ld address any conc]ns  
id5tifi$ 9 ! /udy4  7c7 ,access to      
in=mation ,! ,securities & ,ex*ange     
,commission may reque/ f private        
entities su* relevant data & in=mation z
 ! ,securities & ,ex*ange ,commission   
det]m9es necess>y to c>ry out ! /udy    
requir$ "u ?is section & su* private    
entities %all provide su* reque/$ data &
 in=mation to ! ,securities & ,ex*ange  
,commission4  7d7 ,directives def9$ ,9  
?is section ! t]m ,directives means--   
7#a7 ! propos$ directive entitl$        
,corporate ,su/a9ability ,due ,dilig5ce 
adopt$ by ! ,european ,commission on    
,febru>y #bc1 #bjbb2 &  7#b7 !          
,corporate ,su/a9ability ,report+       
,directive ( ! ,european ,commission    
effective ,janu>y #e1 #bjbc4  ,b        
,bus9esses ,ov] ,activi/s ,act  #bjja4  

,%ort title ,?is division may be cit$ z 
! ,bus9esses ,ov] ,activi/s ,act4       
#bjjb4 ,limitation ) respect to compell+
 ! inclusion or discussion ( %>ehold]   
proposals ,section #ad7;a7 ( !          
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghn7a77 is am5d$ by add+ at !
 end ! foll[+3  7#c7 ,limitation )      
respect to compell+ inclusion or        
discussion ( %>ehold] proposals ,except 
z provid$ 9 p>agraph 7#b71 ! ,commission
 may n compel an issu] to include 9 a   
proxy /atem5t ( ! issu]--  7,a7 any     
%>ehold] proposal2 or  7,b7 any         
discussion 7ei!r f ! issu] or o!rwise7  
relat$ to a %>ehold] proposal conta9$ 9 
! proxy /atem5t4  7#d7 ,rule (          
con/ruction relat+ to ,/ate au?ority    
,no?+ 9 ?is ,act or any o!r securities  
law %all be con/ru$ to provide !        
,commission ! au?ority to preempt !     
,/ate regulation ( %>ehold] proposals or
 proxy or cons5t solicitation mat]ials4 
4  ,c ,protect+ ,am]icans' ,retirem5t   
,sav+s f ,politics ,act  #cjja4 ,%ort   

title2 ,table ( cont5ts  7a7 ,%ort title
 ,?is division may be cit$ z ! ,protect+
 ,am]icans' ,retirem5t ,sav+s f         
,politics ,act4  7b7 ,table ( cont5ts ,!
 table ( cont5ts = ?is division is z    
foll[s3 ,sec4 #cjja4 ,%ort title2 ,table
 ( cont5ts4 ,title ,i--,p]=mance ov]    
,politics ,sec4 #caja4 ,exclusion (     
c]ta9 sub/antially simil> %>ehold]      
proposals4 ,title ,,ii--,no ,exp5sive1  
,/ifl+ ,gov]nance ,sec4 #cbja4          
,exclusion ( c]ta9 %>ehold] proposals4  
,title ,,iii--,exclusion ( c]ta9 ,,esg  
%>ehold] proposals ,sec4 #ccja4         
,exclusion ( c]ta9 ,,esg %>ehold]       
proposals4 ,title ,,iv--,exclusions     
available reg>dless ( significant social
 policy issue ,sec4 #cdja4 ,exclusions  
available reg>dless ( significant social
 policy issue4 ,title ,v--,corporate    
,gov]nance ,exam9ation ,sec4 #ceja4     
,/udy ( c]ta9 issues ) respect to       
%>ehold] proposals1 proxy advisory      
firms1 & ! proxy process4 ,title        
,,vi--,regi/ration ( proxy advisory     

firms ,sec4 #cfja4 ,regi/ration ( proxy 
advisory firms4 ,title ,,vii--,liability
 = c]ta9 failures to disclose mat]ial   
in=mation or mak+ ( mat]ial mis/atem5ts 
,sec4 #cgja4 ,liability = c]ta9 failures
 to disclose mat]ial in=mation or mak+ (
 mat]ial mis/atem5ts4 ,title            
,,viii--,duties ( inve/m5t advisors1    
asset manag]s1 & p5sion funds ,sec4     
#chja4 ,duties ( inve/m5t advisors1     
asset manag]s1 & p5sion funds4 ,title   
,,ix--,protect+ ,am]icans' ,sav+s ,sec4 
#cija4 ,requirem5ts relat$ to proxy     
vot+4 ,title ,x--,emp[]+ ,%>ehold]s     
,sec4 #ciaa4 ,proxy vot+ ( passively    
manag$ funds4 ,title ,,xi--,protect+    
,retail ,inve/ors' ,sav+s ,sec4 #ciba4  
,be/ int]e/ bas$ on pecuni>y factors4   
,sec4 #cibb4 ,/udy on climate *ange &   
o!r environm5tal disclosures 9 municipal
 bond m>ket4 ,sec4 #cibc4 ,/udy on      
solicitation ( municipal securities     
bus9ess4  ,i ,p]=mance ov] ,politics    
#caja4 ,exclusion ( c]ta9 sub/antially  
simil> %>ehold] proposals ,! ,securities

 & ,ex*ange ,commission %all revise !   
resubmission requirem5ts 9 section      
#bdj4ad;a-#h7;i77#ab7 ( title #ag1 ,code
 ( ,f$]al ,regulations1 to provide t a  
%>ehold] proposal may be exclud$ by an  
issu] f its proxy or cons5t solicitation
 mat]ial = a meet+ ( ! %>ehold]s ( su*  
issu] if ! %>ehold] proposal addresses  
sub/antially ! same subject matt] z a   
proposal1 or proposals1 previ\sly       
includ$ 9 ! proxy or cons5t solicitation
 mat]ial = a meet+ ( ! %>ehold]s ( su*  
issu]--  7#a7 = a meet+ ( ! %>ehold]s   
conduct$ 9 ! prec$+ #e cal5d> ye>s2 &   
7#b7 if ! mo/ rec5t vote--  7,a7 occurr$
 9 ! prec$+ #c cal5d> ye>s2 &  7,b7 7i7 
if vot$ on once dur+ su* #e-ye> p]iod1  
receiv$ less ?an #aj p]c5t ( ! votes    
ca/2  7ii7 if vot$ on twice dur+ su*    
#e-ye> p]iod1 receiv$ less ?an #bj p]c5t
 ( ! votes ca/2 or  7iii7 if vot$ on    
?ree or m times dur+ su* #e-ye> p]iod1  
receiv$ less ?an #dj p]c5t ( ! votes    
ca/4  ,,ii ,no ,exp5sive1 ,/ifl+        
,gov]nance  #cbja4 ,exclusion ( c]ta9   

%>ehold] proposals  7a7 ,exclusion (    
c]ta9 %>ehold] proposals ,a %>ehold]    
proposal submitt$ to an issu] pursuant  
to section #bdj4ad;a-#h ( title #ag1    
,code ( ,f$]al ,regulations1 may be     
exclud$ by an issu] f its proxy or      
cons5t solicitation mat]ial = a meet+ ( 
! %>ehold]s ( su* issu] if ! %>ehold]   
proposal-- 7#a7 has be5 sub/antially    
implem5t$ by ! issu] by implem5t+       
policies1 practices1 or proc$ures t     
comp>e favorably ) ! guidel9es ( !      
proposal & address ! proposal's und]ly+ 
conc]ns2 or  7#b7 sub/antially          
duplicates by hav+ ! same pr9cipal ?ru/ 
or pr9cipal focus z ano!r proposal      
previ\sly submitt$ to ! issu] by ano!r  
propon5t t w be includ$ 9 su* mat]ial4  
7b7 ,nullification ( propos$ rule ,!    
,securities & ,ex*ange ,commission may n
 f9alize or apply ! positions conta9$ 9 
! propos$ rule entitl$ ,sub/antial      
,implem5tation1 ,duplication1 &         
,resubmission ( ,%>ehold] ,proposals "u 
,ex*ange ,act ,rule #ad;a-#h 7#hg ,f$4  

,reg4 #dejeb71 issue any sub/antially   
simil> rule1 or apply any sub/antially  
simil> rule1 includ+ ) respect to a     
no-action or o!r int]pretive reque/4    
,,iii ,exclusion ( c]ta9 ,,esg %>ehold] 
proposals  #ccja4 ,exclusion ( c]ta9    
,,esg %>ehold] proposals ,a %>ehold]    
proposal submitt$ to an issu] pursuant  
to section #bdj4ad;a-#h ( title #ag1    
,code ( ,f$]al ,regulations1 may be     
exclud$ by an issu] f its proxy or      
cons5t solicitation mat]ial = a meet+ ( 
! %>ehold]s ( su* issu] if ! subject    
matt] ( ! %>ehold] proposal is          
environm5tal1 social1 or political 7or a
 simil> subject matt]74  ,,iv           
,exclusions available reg>dless (       
significant social policy issue  #cdja4 
,exclusions available reg>dless (       
significant social policy issue ,an     
issu] may exclude a %>ehold] proposal   
pursuant to section #bdj4ad;a-#h7;i7 (  
title #ag1 ,code ( ,f$]al ,regulations1 
)\t reg>d to :e!r su* %>ehold] proposal 
relates to a significant social policy  

issue4  ,v ,corporate ,gov]nance        
,exam9ation  #ceja4 ,/udy ( c]ta9 issues
 ) respect to %>ehold] proposals1 proxy 
advisory firms1 & ! proxy process       
,section #d7;j7 ( ! ,securities ,ex*ange
 ,act ( #aicd 7#ae ,u4,s4,c4 #gh;d7j77  
is am5d$ by add+ at ! end ! foll[+3     
7#aj7 ,/udy ( c]ta9 issues ) respect to 
%>ehold] proposals1 proxy advisory      
firms1 & ! proxy process  7,a7 ,9 g5]al 
,n lat] ?an #ahj days aft] ! date ( !   
enactm5t ( ?is p>agraph1 & e #e ye>s    
!reaft]1 ! ,commission %all conduct a   
compreh5sive /udy on %>ehold] proposals1
 proxy advisory firms1 & ! proxy        
process4  7,b7 ,scope ( /udy ,! /udies  
requir$ "u subp>agraph 7,a7 %all cov]-- 
7i7 ! previ\s #aj ye>s1 ) respect to !  
initial /udy2 &  7ii7 ! previ\s #e ye>s1
 ) respect to ea* o!r /udy4  7,c7       
,cont5ts ,ea* /udy requir$ "u           
subp>agraph 7,a7 %all address ! foll[+  
issues3  7i7 ,! f9ancial & o!r inc5tives
 & obligations ( all gr\ps involv$ 9 !  
proxy process4  7ii7 ,a consid]ation (  

:e!r f9ancial & o!r inc5tives h creat$ a
 process t no long] s]ves ! economic    
int]e/s ( long-t]m retail inve/ors4     
7iii7 ,an analysis ( :e!r regulations & 
f9ancial inc5tives h creat$ & protect$ !
 outsiz$ influ5ce ( proxy advisors or a 
duopoly 9 proxy advice1 & if s1 :at are 
! b5efits & co/s ( t outsiz$ influ5ce or
 duopoly4  7iv7 ,! co/s incurr$ by      
issu]s 9 respond+ to politically-1      
environm5tally-1 or socially-motivat$   
%>ehold] proposals4  7v7 ,an assessm5t1 
includ+ a co/-b5efit analysis1 ( !      
adequacy ( ! curr5t submission ?re%olds 
9 ,rule #ad;a-#h 7#ag ,,cfr             
#bdj4ad;a-#h7 to ensure t %>ehold]      
propon5ts h demon/rat$ a mean+ful       
economic /ake 9 a company1 :i* is       
appropriate to effectively s]ve m>kets &
 %>ehold]s at l>ge4  7vi7 ,an exam9ation
 ( ! ext5t to :i* ! politicization ( !  
%>ehold] proposal process is increas+ ! 
op]at+ co/s ( public companies4  7vii7  
,an analysis ( ! impact t %>ehold]      
proposals h on disc\rag+ private        

companies f go+ public4  7viii7 ,an     
evaluation ( ! risk t %>ehold] proposals
 may contribute to ! balkanization ( !  
,u4,s4 economy ov] "t4  7ix7 ,a ?or\gh  
assessm5t ( ! economic analysis1 if any1
 conduct$ by proxy advisory firms &     
in/itutional %>ehold]s :5 recomm5d+ or  
vot+ 9 favor ( %>ehold] proposals4  7x7 
,a review ( ! ext5t to :i* in/itutional 
inve/ors1 :o owe fiduci>y duties1 rely  
on proxy advisory firm recomm5dations4  
7xi7 ,an assessm5t ( :e!r1 9 light ( _! 
significant influ5ce on corporate       
actions & vote outcomes1 proxy advisors 
are subject to suffici5t & effective    
regulation to ensure t _! policies &    
recomm5dations are accurate1 free (     
conflicts1 & b5efit ! economic be/      
int]e/ ( %>ehold]s at l>ge4  7,d7       
,report ,at ! completion ( ea* /udy     
requir$ "u subp>agraph 7,a7 !           
,commission %all issue a report to !    
,committee on ,bank+1 ,h\s+1 & ,urban   
,affairs ( ! ,s5ate & ! ,committee on   
,f9ancial ,s]vices ( ! ,h\se (          

,repres5tatives t includes ! results ( !
 /udy4  4  ,,vi ,regi/ration ( proxy    
advisory firms  #cfja4 ,regi/ration (   
proxy advisory firms  7a7 ,am5dm5t ,!   
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;a et seq47 is am5d$ by    
ins]t+ aft] section #ae;,g ! foll[+ new 
section3  #ae;,h4 ,regi/ration ( proxy  
advisory firms  7a7 ,conduct prohibit$  
,x %all be unlawful = a proxy advisory  
firm to make use ( ! mails or any means 
or in/rum5tality ( int]/ate comm]ce to  
provide proxy vot+ advice1 rese>*1      
analysis1 rat+s or recomm5dations to any
 cli5t1 unless su* proxy advisory firm  
is regi/]$ "u ?is section4  7b7         
,regi/ration proc$ures  7#a7            
,application = regi/ration  7,a7 ,9     
g5]al ,a proxy advisory firm %all file )
 ! ,commission an application =         
regi/ration1 9 su* =m z ! ,commission   
%all require1 by rule1 & conta9+ !      
in=mation describ$ 9 subp>agraph 7,b74  
7,b7 ,requir$ in=mation ,an application 
= regi/ration "u ?is section %all       

conta9--  7i7 a c]tification t !        
applicant is able to consi/5tly provide 
proxy advice bas$ on accurate in=mation2
  7ii7 ) respect to cli5ts ( ! applicant
 t vote %>es held on behalf ( %>ehold]s1
 a c]tification t ! applicant--  7,i7 w 
provide proxy vot+ advice only 9 ! be/  
economic int]e/ ( ^? %>ehold]s2 &       
7,,ii7 has ! requisite exp]tise to      
ensure t vot+ recomm5dations are 9 ! be/
 economic int]e/ ( ^? %>ehold]s2  7iii7 
in=mation on ! proc$ures & me?odologies 
t ! applicant uses to ensure t proxy    
vot+ recomm5dations are 9 ! be/ economic
 int]e/ ( ! ultimate %>ehold]s2  7iv7   
in=mation on ! organizational /ructure (
 ! applicant2  7v7 an explanation ( :e!r
 or n ! applicant has 9 effect a code ( 
e?ics1 & if n1 ! reasons !re=2  7vi7 a  
description ( any pot5tial or actual    
conflict ( int]e/ relat+ to ! provision 
( proxy advisory s]vices1 includ+ ^?    
aris+ out ( or result+ f ! own]%ip      
/ructure ( ! applicant or ! provision ( 
o!r s]vices by ! applicant or any p]son 

associat$ ) ! applicant2  7vii7 !       
policies & proc$ures 9 place to publicly
 disclose & manage conflicts ( int]e/ "u
 subsection 7f72  7viii7 in=mation      
relat$ to ! pr(essional & academic      
qualifications ( /aff task$ ) provid+   
proxy advisory s]vices2 &  7ix7 any o!r 
in=mation & docum5ts conc]n+ ! applicant
 & any p]son associat$ ) su* applicant z
 ! ,commission1 by rule1 may prescribe z
 necess>y or appropriate 9 ! public     
int]e/ or = ! protection ( inve/ors4    
7#b7 ,review ( application  7,a7        
,initial det]m9ation ,n lat] ?an #ij    
days aft] ! date on :i* ! application = 
regi/ration is fil$ ) ! ,commission "u  
p>agraph 7#a7 7or )9 su* long] p]iod z  
to :i* ! applicant cons5ts7 !           
,commission %all--  7i7 by ord]1 grant  
regi/ration2 or  7ii7 in/itute proce$+s 
to det]m9e :e!r regi/ration %\ld be     
d5i$4  7,b7 ,conduct ( proce$+s  7i7    
,cont5t ,proce$+s ref]r$ to 9           
subp>agraph 7,a77ii7 %all-- 7,i7 include
 notice ( ! gr\nds = d5ial "u           

consid]ation & an opportunity = he>+2 & 
7,,ii7 be conclud$ n lat] ?an #abj days 
aft] ! date on :i* ! application =      
regi/ration is fil$ ) ! ,commission "u  
p>agraph 7#a74  7ii7 ,det]m9ation ,at ! 
conclusion ( su* proce$+s1 !            
,commission1 by ord]1 %all grant or d5y 
su* application = regi/ration4  7iii7   
,ext5sion au?oriz$ ,! ,commission may   
ext5d ! "t = conclusion ( su* proce$+s =
 n long] ?an #ij days1 if ! ,commission 
f9ds good cause = su* ext5sion &        
publi%es its reasons = s f9d+1 or = su* 
long] p]iod z to :i* ! applicant        
cons5ts4  7,c7 ,gr\nds = decision ,!    
,commission %all grant regi/ration "u   
?is subsection--  7i7 if ! ,commission  
f9ds t ! requirem5ts ( ?is section are  
satisfi$2 &  7ii7 unless ! ,commission  
f9ds 79 :i* case ! ,commission %all d5y 
su* regi/ration7 t--  7,i7 ! applicant  
has fail$ to c]tify to ! ,commission's  
satisfaction t x is able to consi/5tly  
provide proxy advice bas$ on accurate   
in=mation & to mat]ially comply ) !     

proc$ures & me?odologies disclos$ "u    
p>agraph 7#a77;,b7 & ) subsections 7f7 &
 7g72 or  7,,ii7 if ! applicant 7 s     
regi/]$1 its regi/ration w\ld be subject
 to susp5sion or revocation "u          
subsection 7d74  7#c7 ,public           
availability ( in=mation ,subject to    
section #bd1 ! ,commission %all make !  
in=mation & docum5ts submitt$ to !      
,commission by a proxy advisory firm 9  
its complet$ application = regi/ration1 
or 9 any am5dm5t submitt$ "u p>agraph   
7#a7 or 7#b7 ( subsection 7c71 publicly 
available on ! ,commission's website1 or
 ?r\gh ano!r comp>able1 readily         
accessible means4  7c7 ,update (        
regi/ration  7#a7 ,update ,ea* regi/]$  
proxy advisory firm %all promptly am5d &
 update its application = regi/ration "u
 ?is section if any in=mation or docum5t
 provid$ !re9 becomes mat]ially         
inaccurate1 except t a regi/]$ proxy    
advisory firm is n requir$ to am5d !    
in=mation requir$ to be fil$ "u         
subsection 7b77#a77;,b77i7 by fil+      

in=mation "u ?is p>agraph1 b %all am5d  
su* in=mation 9 ! annual submission ( ! 
organization "u p>agraph 7#b7 ( ?is     
subsection4  7#b7 ,c]tification ,n lat] 
?an #ij cal5d> days aft] ! end ( ea*    
cal5d> ye>1 ea* regi/]$ proxy advisory  
firm %all file ) ! ,commission an       
am5dm5t to its regi/ration1 9 su* =m z !
 ,commission1 by rule1 may prescribe z  
necess>y or appropriate 9 ! public      
int]e/ or = ! protection ( inve/ors--   
7,a7 c]tify+ t ! in=mation & docum5ts 9 
! application = regi/ration ( su*       
regi/]$ proxy advisory firm cont9ue to  
be accurate 9 all mat]ial respects2 &   
7,b7 li/+ any mat]ial *ange t occurr$ to
 su* in=mation or docum5ts dur+ !       
previ\s cal5d> ye>4  7d7 ,c5sure1 d5ial1
 or susp5sion ( regi/ration2 notice &   
he>+ ,! ,commission1 by ord]1 %all      
c5sure1 place limitations on !          
activities1 functions1 or op]ations (1  
susp5d = a p]iod n exce$+ #ab mon?s1 or 
revoke ! regi/ration ( any regi/]$ proxy
 advisory firm if ! ,commission f9ds1 on

 ! record aft] notice & opportunity =   
he>+1 t su* c5sure1 plac+ ( limitations1
 susp5sion1 or revocation is necess>y = 
! protection ( inve/ors & 9 ! public    
int]e/ & t su* regi/]$ proxy advisory   
firm1 or any p]son associat$ ) su* an   
organization1 :e!r prior to or subsequ5t
 to becom+ s associat$--  7#a7 has      
committ$ or omitt$ any act1 or is       
subject to an ord] or f9d+1 enum]at$ 9  
subp>agraph 7,a71 7,d71 7,e71 7,h71 or  
7,g7 ( section #ae7;b77#d71 has be5     
convict$ ( any (f5se specifi$ 9 section 
#ae7;b77#d77;,b71 or is enjo9$ f any    
action1 conduct1 or practice specifi$ 9 
subp>agraph 7,c7 ( section #ae7;b77#d71 
dur+ ! #aj-ye> p]iod prec$+ ! date (    
comm5cem5t ( ! proce$+s "u ?is          
subsection1 or at any "t !reaft]2  7#b7 
has be5 convict$ dur+ ! #aj-ye> p]iod   
prec$+ ! date on :i* an application =   
regi/ration is fil$ ) ! ,commission "u  
?is section1 or at any "t !reaft]1 (--  
7,a7 any crime t is puni%able by        
imprisonm5t = #a or m ye>s1 & t is n    

describ$ 9 section #ae7;b77#d77;,b72 or 
7,b7 a sub/antially equival5t crime by a
 =eign c\rt ( compet5t jurisdiction2    
7#c7 is subject to any ord] ( !         
,commission b>r+ or susp5d+ ! "r ( !    
p]son to be associat$ ) a regi/]$ proxy 
advisory firm2  7#d7 fails to furni% !  
c]tifications requir$ "u subsections    
7b77#b77;,c77ii77,i7 & 7c77#b72  7#e7   
has engag$ 9 "o or m prohibit$ acts     
enum]at$ 9 p>agraph 7#a72  7#f7 fails to
 ma9ta9 adequate f9ancial & manag]ial   
res\rces to consi/5tly (f] advisory     
s]vices to cli5ts t vote %>es held on   
behalf ( %>ehold]s consi/5t ) ! be/     
economic int]e/ ( ^? %>ehold]s1 includ+ 
by fail+ to comply ) subsections 7f7 or 
7g72  7#g7 fails to ma9ta9 adequate     
exp]tise to ensure t proxy advisory     
s]vices = cli5ts t vote %>es held on    
behalf ( %>ehold]s are ti$ to ! be/     
economic int]e/ ( ^? %>ehold]s2 or  7#h7
 engages 9 a prohibit$ act enum]at$ 9   
subsection 7j74  7e7 ,t]m9ation (       
regi/ration  7#a7 ,volunt>y )drawal ,a  

regi/]$ proxy advisory firm may1 ^u su* 
t]ms & conditions z ! ,commission may   
e/abli% z necess>y 9 ! public int]e/ or 
= ! protection ( inve/ors1 :i* t]ms &   
conditions %all include at a m9imum t ! 
regi/]$ proxy advisory firm w no long]  
conduct su* activities z to br+ x )9 !  
def9ition ( proxy advisory firm 9       
section #c7;a77#hb71 )draw f regi/ration
 by fil+ a writt5 notice ( )drawal to ! 
,commission4  7#b7 ,commission au?ority 
,9 addition to any o!r au?ority ( !     
,commission "u ?is title1 if !          
,commission f9ds t a regi/]$ proxy      
advisory firm is no long] 9 exi/5ce or  
has ceas$ to d bus9ess z a proxy        
advisory firm1 ! ,commission1 by ord]1  
%all cancel ! regi/ration "u ?is section
 ( su* regi/]$ proxy advisory firm4  7f7
 ,managem5t ( conflicts ( int]e/  7#a7  
,organization policies & proc$ures ,ea* 
regi/]$ proxy advisory firm %all        
e/abli%1 ma9ta91 & en=ce writt5 policies
 & proc$ures reasonably design$1 tak+   
into consid]ation ! nature ( ! bus9ess (

 su* regi/]$ proxy advisory firm &      
associat$ p]sons1 to publicly disclose &
 manage any conflicts ( int]e/ t arise  
or w\ld reasonably be expect$ to arise f
 su* bus9ess4  7#b7 ,commission au?ority
 ,! ,commission %all1 )9 "o ye> ( ! date
 ( enactm5t ( ?is section1 issue f9al   
rules to prohibit1 or require !         
managem5t & public disclosure (1 any    
conflicts ( int]e/ relat+ to ! (f]+ (   
proxy advisory s]vices by a regi/]$     
proxy advisory firm1 includ+1 )\t       
limitation1 conflicts ( int]e/ relat+   
to--  7,a7 ! mann] 9 :i* a regi/]$ proxy
 advisory firm is comp5sat$ by ! cli5t1 
any affiliate ( ! cli5t1 or any o!r     
p]son = provid+ proxy advisory s]vices2 
7,b7 bus9ess relation%ips1 own]%ip      
int]e/s1 or any o!r f9ancial or p]sonal 
int]e/s betwe5 a regi/]$ proxy advisory 
firm1 or any p]son associat$ ) su*      
regi/]$ proxy advisory firm1 & any      
cli5t1 or any affiliate ( su* cli5t2    
7,c7 ! =mulation ( proxy vot+ policies2 
7,d7 ! execution1 or assi/ance ) !      

execution1 ( proxy votes if su* votes   
are bas$ ^u recomm5dations made by !    
proxy advisory firm 9 :i* a p]son o!r   
?an ! issu] is a propon5t2 &  7,e7 any  
o!r pot5tial conflict ( int]e/1 z !     
,commission deems necess>y or           
appropriate 9 ! public int]e/ or = !    
protection ( inve/ors4  7#c7 ,disclosure
 on factors influ5c+ recomm5dations ,ea*
 regi/]$ proxy advisory firm %all       
annually disclose to ! ,commission &    
make publicly available ! economic & o!r
 factors t a reasonable inve/or w\ld    
expect to influ5ce ! recomm5dations (   
su* proxy advisory firm1 includ+ !      
own]%ip composition ( su* proxy advisory
 firm & any meet+s )1 or fe$back receiv$
 f1 outside entities4  7g7 ,reliability 
( proxy advisory firm s]vices  7#a7 ,9  
g5]al ,ea* regi/]$ proxy advisory firm  
%all-- 7,a7 h /aff & o!r res\rces       
suffici5t to produce proxy vot+         
recomm5dations t are bas$ on accurate & 
curr5t in=mation & design$ = cli5ts t   
vote %>es held on behalf ( %>ehold]s to 

advance ! be/ economic int]e/ ( ^?      
%>ehold]s2  7,b7 implem5t proc$ures t   
p]mit issu]s t are ! subject ( proxy    
vot+ recomm5dations-- 7i7 access 9 a    
reasonable "t to data & in=mation us$ to
 make recomm5dations2 &  7ii7 a         
reasonable opportunity to provide       
mean+ful comm5t & corrections to su*    
data & in=mation1 includ+ ! opportunity 
to pres5t 79 p]son or telephonically7   
details to ! p]son responsible =        
develop+ su* data & in=mation prior to !
 publication ( proxy vot+ recomm5dations
 to cli5ts2  7,c7 employ an ombudsman to
 receive compla9ts ab\t ! accuracy (    
in=mation us$ 9 mak+ recomm5dations f ! 
companies t are ! subject ( ! proxy     
advisory firm's vot+ recomm5dations &   
seek to resolve ^? compla9ts 9 a timely 
fa%ion & prior to ! publication ( proxy 
vot+ recomm5dations to cli5ts2 &  7,d7  
if ! ombudsman is unable to resolve a   
compla9t to a company's satisfaction    
prior to ! publication ( proxy vot+     
recomm5dations to cli5ts1 include 9 !   

f9al report ( ! firm to cli5ts-- 7i7 a  
/atem5t detail+ ! company's compla9ts1  
if reque/$ 9 writ+ by ! company2 &  7ii7
 a /atem5t expla9+ :y ! proxy vot+      
recomm5dation is 9 ! be/ economic int]e/
 ( %>ehold]s4  7#b7 ,def9itions ,9 ?is  
subsection3  7,a7 ,data & in=mation us$ 
to make recomm5dations ,! t]m data &    
in=mation us$ to make vot+              
recomm5dations-- 7i7 means ! f9ancial1  
op]ational1 or descriptive data &       
in=mation on an issu] us$ by proxy      
advisory firms & any contextual or      
sub/antive analysis impact+ !           
recomm5dation2 &  7ii7 does n include ! 
entirety ( ! proxy advisory firm's f9al 
report to its cli5ts4  7,b7 ,reasonable 
"t ,! t]m reasonable "t--  7i7 means n  
less ?an #a week be=e ! publication (   
proxy vot+ recomm5dations = cli5ts2 &   
7ii7 %all n o!rwise int]f]e ) a proxy   
advisory firm's ability to provide its  
cli5ts ) timely access to accurate proxy
 vot+ rese>*1 analysis1 or              
recomm5dations4  7h7 ,private "r (      

action ) respect to illegal             
recomm5dations ,any proxy advisory firm 
t endorses a proposal t is n support$ by
 ! issu] b is approv$ & subsequ5tly f\nd
 by a c\rt ( compet5t jurisdiction to   
violate ,/ate or ,f$]al law %all be     
liable to ! applicable issu] = ! co/s   
associat$ ) ! approval ( su* proposal1  
includ+ implem5tation co/s & any        
p5alties incurr$ by ! issu]4  7i7       
,designation ( compliance (fic] ,ea*    
regi/]$ proxy advisory firm %all        
designate an individual :o reports      
directly to s5ior managem5t z           
responsible = adm9i/]+ ! policies &     
proc$ures t are requir$ to be e/abli%$  
pursuant to subsections 7f7 & 7g71 & =  
ensur+ compliance ) ! securities laws & 
! rules & regulations !reund]1 includ+  
^? promulgat$ by ! ,commission pursuant 
to ?is section4  7j7 ,prohibit$ conduct 
7#a7 ,prohibit$ acts & practices ,n lat]
 ?an "o ye> aft] ! date ( enactm5t ( ?is
 section1 ! ,commission %all issue f9al 
rules to prohibit any act or practice   

relat+ to ! (f]+ ( proxy advisory       
s]vices by a regi/]$ proxy advisory firm
 t ! ,commission det]m9es to be unfair1 
co]cive1 or abusive1 includ+ any act or 
practice relat+ to-- 7,a7 advisory or   
consult+ s]vices 7(f]$ directly or      
indirectly1 includ+ ?r\gh an affiliate7 
relat$ to corporate gov]nance issues2 or
  7,b7 modify+ a vot+ recomm5dation or  
o!rwise dep>t+ f its adopt$ sy/ematic   
proc$ures & me?odologies 9 ! provision (
 proxy advisory s]vices1 bas$ on :e!r an
 issu]1 or affiliate !re(1 subscribes or
 w subscribe to o!r s]vices or product (
 ! regi/]$ proxy advisory firm or any   
p]son associat$ ) su* organization4     
7#b7 ,rule ( con/ruction ,no?+ 9        
p>agraph 7#a71 or 9 any rules or        
regulations adopt$ !reund]1 may be      
con/ru$ to modify1 impair1 or sup]s$e ! 
op]ation ( any ( ! antitru/ laws 7z     
def9$ 9 ! fir/ section ( ! ,clayton     
,act1 except t su* t]m includes section 
#e ( ! ,f$]al ,trade ,commission ,act1  
to ! ext5t t su* section #e applies to  

unfair me?ods ( competition74  7k7      
,/atem5ts ( f9ancial condition ,ea*     
regi/]$ proxy advisory firm %all1 on a  
confid5tial basis1 file ) ! ,commission1
 at int]vals det]m9$ by ! ,commission1  
su* f9ancial /atem5ts1 c]tifi$ 7if      
requir$ by ! rules or regulations ( !   
,commission7 by an indep5d5t public     
auditor1 & in=mation conc]n+ its        
f9ancial condition1 z ! ,commission1 by 
rule1 may prescribe z necess>y or       
appropriate 9 ! public int]e/ or = !    
protection ( inve/ors4  7l7 ,annual     
report  7#a7 ,9 g5]al ,ea* regi/]$ proxy
 advisory firm %all1 n lat] ?an #ij     
cal5d> days aft] ! end ( ea* fiscal ye>1
 file ) ! ,commission & make publicly   
available an annual report 9 su* =m z ! 
,commission1 by rule1 may prescribe z   
necess>y or appropriate 9 ! public      
int]e/ or = ! protection ( inve/ors4    
7#b7 ,cont5ts ,ea* annual report requir$
 "u p>agraph 7#a7 %all include1 at a    
m9imum1 disclosure by ! regi/]$ proxy   
advisory firm ( ! foll[+3 7,a7 ,a li/ ( 

%>ehold] proposals ! /aff ( ! regi/]$   
proxy advisory firm review$ 9 ! prior   
fiscal ye>4  7,b7 ,a li/ ( !            
recomm5dations made 9 ! prior fiscal    
ye>4  7,c7 ,! economic analysis conduct$
 to det]m9e t f9al recomm5dations       
provid$ 9 ! prior fiscal ye> 7o!r ?an   
recomm5dations relat+ to an             
issu]-sponsor$ proposal or              
recomm5dations consi/5t ) t ( a bo>d (  
directors compos$ ( a majority (        
indep5d5t directors7 deliv]$ to cli5ts t
 vote %>es held on behalf ( %>ehold]s 7 
9 ! be/ economic int]e/ ( ^? %>ehold]s4 
7,d7 ,! /aff :o review$ & made          
recomm5dations on su* proposals 9 !     
prior fiscal ye>4  7,e7 ,!              
qualifications ( su* /aff to ensure t   
ea* ( ! recomm5dations = cli5ts t vote  
%>es held on behalf ( %>ehold]s 7 ti$ to
 ! be/ economic int]e/ ( ^? %>ehold]s4  
7,f7 ,! recomm5dations made 9 ! prior   
fiscal ye> :]e ! propon5t ( su*         
recomm5dation 0 a cli5t ( or receiv$    
s]vices f ! proxy advisory firm4  7,g7  

,a c]tification by ! *ief executive     
(fic]1 *ief f9ancial (fic]1 & ! prim>y  
executive responsible = ov]see+ !       
compilation & dissem9ation ( proxy vot+ 
advice t ! f9al recomm5dations 7o!r ?an 
recomm5dations relat+ to an             
issu]-sponsor$ proposal or              
recomm5dations consi/5t ) t ( a bo>d (  
directors compos$ ( a majority (        
indep5d5t directors7 deliv]$ to cli5ts t
 vote %>es held on behalf ( %>ehold]s 9 
! la/ fiscal ye>--  7i7 7 bas$ on       
int]nal controls & proc$ures t are      
design$ to ensure accurate in=mation & t
 su* int]nal controls & proc$ures are   
effective2  7ii7 d n violate applicable 
,/ate or ,f$]al law2 &  7iii7 7 bas$ on 
! be/ economic int]e/ ( ^? %>ehold]s4   
7,h7 ,! economic & o!r factors t a      
reasonable inve/or w\ld expect to       
influ5ce ! recomm5dations ( su* proxy   
advisory firm1 includ+ ! own]%ip        
composition ( su* proxy advisory firm4  
7m7 ,transp>5t policies ,ea* regi/]$    
proxy advisory firm %all file ) !       

,commission & make publicly available   
its me?odology = ! =mulation ( proxy    
vot+ policies & vot+ recomm5dations to  
cli5ts t vote %>es held on behalf (     
%>ehold]s & h[ t me?odology ensures t ! 
firm's vot+ recomm5dations are 9 ! be/  
economic int]e/ ( ^? %>ehold]s4  7n7    
,rules ( con/ruction ,regi/ration "u &  
compliance ) ?is section does n         
con/itute a waiv] (1 or o!rwise dim9i%1 
any "r1 privilege1 or def5se t a regi/]$
 proxy advisory firm may o!rwise h "u   
any provision ( ,/ate or ,f$]al law1    
includ+ any rule1 regulation1 or ord]   
!reund]4  7o7 ,regulations  7#a7 ,new   
provisions ,su* rules & regulations z   
are requir$ by ?is section or are       
o!rwise necess>y to c>ry out ?is        
section1 includ+ ! application =m       
requir$ "u subsection 7a7-- 7,a7 %all be
 issu$ by ! ,commission1 n lat] ?an #ahj
 days aft] ! date ( enactm5t ( ?is      
section2 &  7,b7 %all become effective n
 lat] ?an #a ye> aft] ! date ( enactm5t 
( ?is section4  7#b7 ,review ( exi/+    

regulations ,n lat] ?an #bgj days aft] !
 date ( enactm5t ( ?is section1 !       
,commission %all--  7,a7 review its     
exi/+ rules & regulations :i* affect !  
op]ations ( proxy advisory firms2 &     
7,b7 am5d or revise su* rules &         
regulations 9 accordance ) ! purposes ( 
?is section1 & issue su* guidance z !   
,commission may prescribe z necess>y or 
appropriate 9 ! public int]e/ or = !    
protection ( inve/ors4  7p7             
,applicability ,?is section1 o!r ?an    
subsection 7n71 :i* %all apply on ! date
 ( enactm5t ( ?is section1 %all apply on
 ! e>li] (-- 7#a7 ! date on :i*         
regulations are issu$ 9 f9al =m "u      
subsection 7o77#a72 or  7#b7 #bgj days  
aft] ! date ( enactm5t ( ?is section4   
7q7 ,be/ economic int]e/ def9$ ,9 ?is   
section1 ! t]m be/ economic int]e/ means
 decisions t seek to maximize inve/m5t  
returns ov] a "t horizon consi/5t ) !   
inve/m5t objectives & risk managem5t    
pr(ile ( ! fund 9 :i* ! %>ehold]s are   
inve/$4  4  7b7 ,con=m+ am5dm5t ,section

 #ag7;a77#a7 ( ! ,securities ,ex*ange   
,act ( #aicd 7#ae ,u4,s4,c4 #ghq7a77#a77
 is am5d$ by ins]t+ proxy advisory firm1
 aft] nationally recogniz$ /ati/ical    
rat+ organization14  7c7 ,proxy advisory
 firm def9itions ,section #c7;a7 ( !    
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;c7a77 is am5d$--  7#a7 by 
r$esignat+ ! second p>agraph 7#hj7      
7relat+ to fund+ portal7 z p>agraph     
7#ha72 &  7#b7 by add+ at ! end !       
foll[+3  7#hb7 ,proxy advisory firm ,!  
t]m proxy advisory firm-- 7,a7 means any
 p]son :o is prim>ily engag$ 9 ! bus9ess
 ( provid+ proxy vot+ advice1 rese>*1   
analysis1 rat+s1 or recomm5dations to   
cli5ts1 :i* conduct con/itutes a        
solicitation )9 ! mean+ ( section #ad2 &
  7,b7 does n include any p]son t is    
exempt "u law or regulation f !         
requirem5ts o!rwise applicable to p]sons
 engag$ 9 su* a solicitation4  7#hc7    
,p]son associat$ ) a proxy advisory firm
 ,) respect to a proxy advisory firm--  
7,a7 a p]son is associat$ ) ! proxy     

advisory firm if ! p]son is-- 7i7 a     
p>tn]1 (fic]1 or director ( ! proxy     
advisory firm 7or any p]son occupy+ a   
simil> /atus or p]=m+ simil> functions72
  7ii7 a p]son directly or indirectly   
controll+1 controll$ by1 or "u common   
control ) ! proxy advisory firm2  7iii7 
an employee ( ! proxy advisory firm2 or 
7iv7 a p]son ! ,commission det]m9es by  
rule is controll$ by ! proxy advisory   
firm2 &  7,b7 a p]son is n associat$ ) !
 proxy advisory firm if ! p]son only    
p]=ms cl]ical or m9i/]ial functions )   
respect to a proxy advisory firm4  4    
,,vii ,liability = c]ta9 failures to    
disclose mat]ial in=mation or mak+ (    
mat]ial mis/atem5ts  #cgja4 ,liability =
 c]ta9 failures to disclose mat]ial     
in=mation or mak+ ( mat]ial mis/atem5ts 
,section #ad ( ! ,securities ,ex*ange   
,act ( #aicd 7#ae ,u4,s4,c4 #ghn7 is    
am5d$ by add+ at ! end ! foll[+3  7l7   
,false or mislead+ /atem5ts ,= purposes 
( section #ah1 ! failure to disclose    
mat]ial in=mation 7su* z a proxy vot+   

advice bus9ess's me?odology1 s\rces (   
in=mation1 or conflicts ( int]e/7 or !  
mak+ ( a mat]ial mis/atem5t reg>d+ proxy
 vot+ advice t makes a recomm5dation to 
a security hold] z to ! security hold]'s
 vote1 cons5t1 or au?orization on a     
specific matt] = :i* security hold]     
approval is solicit$1 & t is furni%$ by 
a p]son t m>kets ! p]son's exp]tise z a 
provid] ( su* proxy vot+ advice         
sep>ately f o!r =ms ( inve/m5t advice1 &
 sells su* proxy vot+ advice = a fee1   
%all be consid]$ to be false or mislead+
 ) respect to a mat]ial fact4  4  ,,viii
 ,duties ( inve/m5t advisors1 asset     
manag]s1 & p5sion funds  #chja4 ,duties 
( inve/m5t advisors1 asset manag]s1 &   
p5sion funds ,section #ac7;f7 ( !       
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghm7f77 is am5d$ by add+ at !
 end ! foll[+3  7#g7 ,disclosures by    
in/itutional inve/m5t manag]s 9         
connection ) proxy advisory firms  7,a7 
,9 g5]al ,e in/itutional inve/m5t manag]
 :i* uses ! mails1 or any means or      

in/rum5tality ( int]/ate comm]ce 9 !    
c\rse ( its bus9ess z an in/itutional   
inve/m5t manag]1 :i* engages a proxy    
advisory firm1 & :i* ex]cises vot+ p[] )
 respect to acc\nts hold+ equity        
securities ( a class describ$ 9         
subsection 7d77#a7 or o!rwise becomes or
 is deem$ to become a b5eficial own] (  
any security ( a class describ$ 9       
subsection 7d77#a7 ^u ! pur*ase or sale 
( a security-bas$ swap t ! ,commission  
may def9e by rule1 %all file an annual  
report ) ! ,commission conta9+--  7i7 an
 explanation ( h[ ! in/itutional        
inve/m5t manag] vot$ ) respect to ea*   
%>ehold] proposal2  7ii7 ! p]c5tage (   
votes ca/ on %>ehold] proposals t 7     
consi/5t ) proxy advisory firm          
recomm5dations1 = ea* proxy advisory    
firm reta9$ by ! in/itutional inve/m5t  
manag]2  7iii7 an explanation (-- 7,i7  
h[ ! in/itutional inve/m5t manag] took  
into consid]ation proxy advisory firm   
recomm5dations 9 mak+ vot+ decisions1   
includ+ ! degree to :i* ! in/itutional  

inve/m5t manag] us$ ^? recomm5dations 9 
mak+ vot+ decisions2  7,,ii7 h[ (t5 !   
in/itutional inve/m5t manag] vot$       
consi/5t ) a recomm5dation made by a    
proxy advisory firm1 express$ z a       
p]c5tage2  7,,iii7 h[ su* votes are     
reconcil$ ) ! fiduci>y duty ( !         
in/itutional inve/m5t manag] to vote 9 !
 be/ economic int]e/s ( %>ehold]s2      
7,,iv7 h[ frequ5tly votes 7 *ang$ :5 an 
error occurr$ or due to new in=mation f 
issu]s2 &  7,v7 ! degree to :i* inve/m5t
 pr(essionals ( ! in/itutional inve/m5t 
manag] 7 involv$ 9 proxy vot+ decisions2
 &  7iv7 a c]tification t ! vot+        
decisions ( ! in/itutional inve/m5t     
manag] 7 bas$ solely on ! be/ economic  
int]e/ ( ! %>ehold]s on behalf ( :om !  
in/itutional inve/m5t manag] holds %>es4
  7,b7 ,requirem5ts = l>g] in/itutional 
inve/m5t manag]s ,e in/itutional        
inve/m5t manag] describ$ 9 subp>agraph  
7,a7 t has assets "u managem5t ) an     
aggregate fair m>ket value on ! la/     
trad+ day 9 any ( ! prec$+ twelve mon?s 

( at lea/ #ajj1jjj1jjj1jjj %all--  7i7 9
 any mat]ials provid$ to cu/om]s &      
relat$ to cu/om]s vot+ _! %>es1 cl>ify t
 %>ehold]s are n requir$ to vote on e   
proposal2  7ii7 ) respect to ea*        
%>ehold] proposal = :i* ! in/itutional  
inve/m5t manag] votes 7o!r ?an votes    
consi/5t ) ! recomm5dation ( a bo>d (   
directors compos$ ( a majority (        
indep5d5t directors7 p]=m an economic   
analysis be=e mak+ su* vote1 to det]m9e 
t ! vote is 9 ! be/ economic int]e/ ( ! 
%>ehold]s on behalf ( :om ! in/itutional
 inve/m5t manag] holds %>es2 &  7iii7   
include ea* economic analysis requir$ "u
 clause 7ii7 9 ! annual report requir$  
"u subp>agraph 7,a74  7,c7 ,be/ economic
 int]e/ def9$ ,9 ?is p>agraph1 ! t]m be/
 economic int]e/ means decisions t seek 
to maximize inve/m5t returns ov] a "t   
horizon consi/5t ) ! inve/m5t objectives
 & risk managem5t pr(ile ( ! fund 9 :i* 
%>ehold]s are inve/$4  4  ,,ix ,protect+
 ,am]icans' ,sav+s  #cija4 ,requirem5ts 
relat$ to proxy vot+ ,section #ad ( !   

,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghn71 z am5d$ by section     
#cgja1 is fur!r am5d$ by add+ at ! end !
 foll[+3  7m7 ,prohibition on robovot+  
7#a7 ,9 g5]al ,! ,commission %all issue 
f9al rules prohibit+ ! use ( robovot+ ) 
respect to votes relat$ to proxy or     
cons5t solicitation mat]ials4  7#b7     
,robovot+ def9$ ,9 ?is subsection1 ! t]m
 robovot+ means ! practice (            
automatically vot+ 9 a mann] consi/5t ) 
! recomm5dations ( a proxy advisory firm
 or pre-populat+ votes on a proxy       
advisory firm's electronic vot+ plat=m )
 ! proxy advisory firm's recomm5dations1
 9 ei!r case1 )\t indep5d5t review &    
analysis4  7n7 ,prohibition on outs\rc+ 
vot+ decisions by in/itutional inve/ors 
,) respect to votes relat$ to proxy or  
cons5t solicitation mat]ials1 an        
in/itutional inve/or may n outs\rce vot+
 decisions to any p]son o!r ?an an      
inve/m5t advis] or a brok] or deal] t is
 regi/]$ ) ! ,commission & has a        
fiduci>y or be/ int]e/ duty to !        

in/itutional inve/or4  7o7 ,no          
requirem5t to vote ,no p]son may be     
requir$ to ca/ votes relat$ to proxy or 
cons5t solicitation mat]ials4  7p7      
,proxy advisory firm calculation ( votes
 ,) respect to votes relat$ to proxy or 
cons5t solicitation mat]ials ) respect  
to an issu]1 a proxy advisor firm %all  
calculate ! vote result consi/5t ) ! law
 ( ! ,/ate 9 :i* ! issu] is incorporat$4
  4  ,x ,emp[]+ ,%>ehold]s  #ciaa4      
,proxy vot+ ( passively manag$ funds    
7a7 ,9 g5]al ,! ,inve/m5t ,advis]s ,act 
( #aidj 7#ae ,u4,s4,c4 #hj;b-#a et seq47
 is am5d$ by ins]t+ aft] section #bjh   
7#ae ,u4,s4,c4 #hj;b-#h7 ! foll[+3      
#bjh;,a4 ,proxy vot+ ( passively manag$ 
funds  7a7 ,inve/m5t advis] proxy vot+  
7#a7 ,9 g5]al ,an inve/m5t advis] t     
holds au?ority to vote a proxy solicit$ 
by an issu] pursuant to section #ad ( ! 
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghn7 9 connection ) any vote 
( cov]$ securities held by a passively  
manag$ fund %all--  7,a7 vote 9         

accordance ) ! in/ructions ( ! b5eficial
 own] ( a vot+ security ( ! passively   
manag$ fund2  7,b7 vote 9 accordance ) !
 vot+ recomm5dations ( su* issu]2 or    
7,c7 ab/a9 f vot+ b make reasonable     
ef=ts to be consid]$ pres5t = purposes (
 e/abli%+ a quorum4  7#b7 ,exception    
,p>agraph 7#a7 %all n apply ) respect to
 a vote on a r\t9e matt]4  7b7 ,safe    
h>bor ,) respect to a matt] t is n a    
r\t9e matt]1 9 ! case ( a vote describ$ 
9 subsection 7a77#a71 an inve/m5t advis]
 %all n be liable to any p]son "u any   
law or regulation ( ! ,unit$ ,/ates1 any
 con/itution1 law1 or regulation ( any  
,/ate or political subdivision !re(1 or 
"u any contract or o!r legally en=ceable
 agreem5t 7includ+ any arbitration      
agreem5t71 = any ( ! foll[+3 7#a7 ,vot+ 
9 accordance ) ! in/ructions ( !        
b5eficial own] ( a vot+ security ( !    
passively manag$ fund4  7#b7 ,n solicit+
 vot+ in/ruct+ f any p]son "u subsection
 7a77#a7 ) respect to su* vote4  7#c7   
,vot+ 9 accordance ) ! vot+             

recomm5dations ( an issu] pursuant to   
subp>agraph 7,b7 ( su* subsection4  7#d7
 ,ab/a9+ f vot+ 9 accordance )          
subp>agraph 7,c7 ( su* subsection4  7c7 
,=eign private issu]s exemption         
,subsection 7a7 %all n apply ) respect  
to a =eign private issu] if ! vot+      
policy ( ! inve/m5t advisor ) respect to
 su* =eign private issu]s is fully &    
fairly disclos$ to b5eficial own]s1     
includ+ ! ext5t to :i* su* policy diff]s
 f ! vot+ policy = non-exempt issu]s4   
7d7 ,def9itions ,9 ?is section3 7#a7    
,cov]$ security ,! t]m cov]$ security-- 
7,a7 means a vot+ security1 z t t]m is  
def9$ 9 section #b7;a7 ( ! ,inve/m5t    
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#b7;a771 9 :i* a qualifi$ fund is 
inve/$2 &  7,b7 does n include any vot+ 
security 7z def9$ 9 subp>agraph 7,a77 ( 
an issu] regi/]$ ) ! ,commission z an   
inve/m5t company "u section #h ( !      
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#h74  7#b7 ,passively   
manag$ fund ,! t]m passively manag$ fund

 means a qualifi$ fund t-- 7,a7 is      
design$ to track1 or is d]iv$ f1 an     
index ( securities or a portion ( su* an
 index2  7,b7 discloses t ! qualifi$    
fund is a passive index fund2 or  7,c7  
allocates n less ?an #fj p]c5t ( ! total
 assets ( ! qualifi$ fund to an inve/m5t
 /rategy t is design$ to track1 or is   
d]iv$ f1 an index ( securities or a     
portion ( su* an index fund4  7#c7      
,qualifi$ fund ,! t]m qualifi$ fund     
means-- 7,a7 an inve/m5t company1 z t   
t]m is def9$ 9 section #c ( ! ,inve/m5t 
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#c72  7,b7 a private fund2  7,c7  
an eligible def]r$ comp5sation plan1 z t
 t]m is def9$ 9 section #deg7;b7 ( !    
,int]nal ,rev5ue ,code ( #aihf2  7,d7 a 
tru/1 plan1 acc\nt1 or o!r entity       
describ$ 9 section #c7;c77#aa7 ( !      
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#c7;c77#aa772  7,e7 a   
plan ma9ta9$ by an employ] describ$ 9   
clause 7i71 7ii71 or 7iii7 ( section    
#djc7;b77#a77;,a7 ( ! ,int]nal ,rev5ue  

,code ( #aihf to provide annuity        
contracts describ$ 9 section #djc7;b7 ( 
su* ,code2  7,f7 a common tru/ fund1 or 
simil> fund1 ma9ta9$ by a bank2  7,g7   
any fund e/abli%$ "u section            
#hdch7;b77#a7 ( title #e1 ,unit$ ,/ates 
,code2 or  7,h7 any sep>ate manag$      
acc\nt ( a cli5t ( an inve/m5t advis]4  
7#d7 ,regi/rant ,! t]m regi/rant means  
an issu] ( cov]$ securities4  7#e7      
,r\t9e matt] ,! t]m r\t9e matt]-- 7,a7  
includes a proposal t relates to--  7i7 
an election ) respect to ! bo>d (       
directors ( ! regi/rant2  7ii7 !        
comp5sation ( managem5t or ! bo>d (     
directors ( ! regi/rant2  7iii7 !       
selection ( auditors2  7iv7 a matt] :]e 
!re is a mat]ial conflict ( int]e/      
betwe5 or among ! issu]1 memb]s (       
managem5t1 memb]s ( ! bo>d ( directors1 
or an affiliate ( ! issu]2  7v7         
declassification2 or  7vi7 transactions 
t w\ld trans=m ! /ructure ( ! regi/rant1
 includ+--  7,i7 a m]g] or              
consolidation2 &  7,,ii7 ! sale1 lease1 

or ex*ange ( all1 or sub/antially all1 (
 ! prop]ty & assets ( a regi/rant2 &    
7,b7 does n include-- 7i7 a proposal t  
is n submitt$ to a hold] ( cov]$        
securities by means ( a proxy /atem5t   
comp>able to t describ$ 9 section       
#bdj4ad;a-#aja ( title #ag1 ,code (     
,f$]al ,regulations1 or any successor   
regulation2 or  7ii7 a proposal t is--  
7,i7 ! subject ( a c\nt]-solicitation2  
or  7,,ii7 "p ( a proposal made by a    
p]son o!r ?an ! applicable regi/rant4  4
  7b7 ,effective date ,! am5dm5t made by
 ?is section %all take effect on ! fir/ 
,augu/ #a t occurs aft] ! date t is #b  
ye>s aft] ! date ( enactm5t ( ?is ,act4 
,,xi ,protect+ ,retail ,inve/ors' ,sav+s
  #ciba4 ,be/ int]e/ bas$ on pecuni>y   
factors  7a7 ,9 g5]al ,section #baa7;g7 
( ! ,inve/m5t ,advis]s ,act ( #aidj 7#ae
 ,u4,s4,c4 #hj;b-#aa7;g77 is am5d$ by   
add+ at ! end ! foll[+3  7#c7 ,be/      
int]e/ bas$ on pecuni>y factors  7,a7 ,9
 g5]al ,= purposes ( p>agraph 7#a71 !   
be/ int]e/ ( a cu/om] %all be det]m9$   

us+ pecuni>y factors1 :i* may n be      
subord9at$ to or limit$ by non-pecuni>y 
factors1 unless ! cu/om] provides in=m$ 
cons5t1 9 writ+1 t su* non-pecuni>y     
factors be consid]$4  7,b7 ,disclosure (
 pecuni>y factors ,if a cu/om] provides 
a brok]1 deal]1 or inve/m5t advis] ) !  
in=m$ cons5t to consid] non-pecuni>y    
factors describ$ "u subp>agraph 7,a71 ! 
brok]1 deal]1 or inve/m5t advis] %all-- 
7i7 disclose ! expect$ pecuni>y effects 
to ! cu/om] ov] a "t p]iod select$ by ! 
cu/om] & n to exce$ ?ree ye>s2 &  7ii7  
at ! end ( ! "t p]iod describ$ 9 clause 
7i71 disclose1 by comp>ison to a        
reasonably comp>able index or basket (  
securities select$ by ! cu/om]1 ! actual
 pecuni>y effects ( t "t p]iod1 includ+ 
all fees1 co/s1 & o!r exp5ses incurr$ to
 consid] non-pecuni>y factors4  7,c7    
,pecuni>y factor def9$ ,9 ?is p>agraph1 
! t]m pecuni>y factor means a factor t a
 fiduci>y prud5tly det]m9es is expect$  
to h a mat]ial effect on ! risk or      
return ( an inve/m5t bas$ on appropriate

 inve/m5t horizons4  4  7b7 ,rulemak+ ,n
 lat] ?an ! end ( ! #ab-mon? p]iod      
beg9n+ on ! date ( enactm5t ( ?is ,act1 
! ,securities & ,ex*ange ,commission    
%all revise or issue su* rules z may be 
necess>y to implem5t ! am5dm5t made by  
subsection 7a74  7c7 ,applicability ,!  
am5dm5t made by subsection 7a7 %all     
apply to actions tak5 by a brok]1 deal]1
 or inve/m5t advis] beg9n+ on ! date t  
is #ab mon?s aft] ! date ( enactm5t (   
?is ,act4  #cibb4 ,/udy on climate *ange
 & o!r environm5tal disclosures 9       
municipal bond m>ket  7a7 ,9 g5]al ,!   
,securities & ,ex*ange ,commission      
%all-- 7#a7 conduct a /udy to det]m9e ! 
ext5t to :i* issu]s ( municipal         
securities 7z su* t]m is def9$ 9 section
 #c7;a77#bi7 ( ! ,securities ,ex*ange   
,act ( #aicd 7#ae ,u4,s4,c4             
#gh;c7a77#bi77 make disclosures to      
inve/ors reg>d+ climate *ange & o!r     
environm5tal matt]s2 &  7#b7 solicit    
public comm5t ) respect to su* /udy4    
7b7 ,cont5ts ,! /udy requir$ "u         

subsection 7a7 %all consid] & analyze-- 
7#a7 ! frequ5cy ) :i* disclosures       
describ$ 9 subsection 7a77#a7 are made2 
7#b7 :e!r su* disclosures made by issu]s
 ( municipal securities 9 connection )  
(f]+s ( securities align ) su*          
disclosures made by issu]s ( municipal  
securities 9 o!r contexts or to audi5ces
 o!r ?an inve/ors2  7#c7 any volunt>y or
 m&atory disclosure /&>ds obs]v$ by     
issu]s ( municipal securities 9 ! c\rse 
( mak+ su* disclosures2  7#d7 ! degree  
to :i* inve/ors consid] su* disclosures 
9 connection ) mak+ an inve/m5t         
decision2 &  7#e7 su* o!r in=mation z ! 
,securities & ,ex*ange ,commission      
det]m9es appropriate4  7c7 ,report ,n   
lat] ?an #a ye> aft] ! date ( ! enactm5t
 ( ?is ,act1 ! ,securities & ,ex*ange   
,commission %all submit to ! ,committee 
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate & ! ,committee on ,f9ancial      
,s]vices ( ! ,h\se ( ,repres5tatives a  
report t includes--  7#a7 ! results ( ! 
/udy requir$ "u ?is section2  7#b7 a    

detail$ discussion ( ! f9ancial risks to
 inve/ors f inve/m5ts 9 municipal       
securities2  7#c7 :e!r su* risks are    
adequately disclos$ to inve/ors2 &  7#d7
 recomm5d$ regulatory or legislative    
/eps to address any conc]ns id5tifi$ 9 !
 /udy4  #cibc4 ,/udy on solicitation (  
municipal securities bus9ess  7a7 ,9    
g5]al ,! ,securities & ,ex*ange         
,commission %all-- 7#a7 conduct a /udy  
on ! effectiv5ess ( ea* cov]$ rule 9    
prev5t+ ! paym5t ( funds to elect$      
(ficials or c&idates = elect$ (fice 9   
ex*ange = ! receipt ( gov]nm5t bus9ess 9
 connection ) ! (f] or sale ( municipal 
securities2 &  7#b7 solicit public      
comm5t ) respect to su* /udy4  7b7      
,cont5ts ,! /udy requir$ "u subsection  
7a7 %all consid] & analyze--  7#a7 !    
effectiv5ess ( ea* cov]$ rule1 includ+  
:e!r ea* cov]$ rule accompli%es ! int5d$
 effect ( su* cov]$ rule & has any      
un9t5d$ adv]se effects2  7#b7 ! frequ5cy
 & scope ( en=cem5t actions und]tak5    
pursuant to ea* cov]$ rule2  7#c7 !     

degree to :i*-- 7,a7 p]sons subject to  
ea* cov]$ rule--  7i7 h 9 effect        
policies & proc$ures int5d$ to ensure   
compliance ) ea* su* cov]$ rule2 &  7ii7
 are disadvantag$ f p>ticipat+ 9 !      
political process g5]ally & 9 relation  
to p]sons :o solicit or receive gov]nm5t
 bus9ess or gov]nm5t lic5ses1 p]mits1 & 
approvals o!r ?an 9 connection ) ! (f]  
or sale ( municipal securities2 &  7,b7 
o!r ,/ate & ,f$]al laws & regulations   
impact ! solicitation ( municipal       
securities bus9ess2 &  7#d7 su* o!r     
in=mation z ! ,securities & ,ex*ange    
,commission det]m9es appropriate4  7c7  
,report ,n lat] ?an #a ye> aft] ! date (
 ! enactm5t ( ?is ,act1 ! ,securities & 
,ex*ange ,commission %all submit to !   
,committee on ,bank+1 ,h\s+1 & ,urban   
,affairs ( ! ,s5ate & ! ,committee on   
,f9ancial ,s]vices ( ! ,h\se (          
,repres5tatives a report t includes--   
7#a7 ! results ( ! /udy requir$ "u ?is  
section2  7#b7 an analysis ( ! ext5t to 
:i* p]sons affiliat$ ) small bus9esses1 

z well z p]sons affiliat$ ) m9ority &   
wom5 op5$ bus9esses1 h be5 affect$ by ! 
cov]$ rules2 &  7#c7 recomm5d$          
regulatory or legislative /eps to       
address any conc]ns id5tifi$ 9 ! /udy4  
7d7 ,def9itions ,9 ?is section3 7#a7    
,cov]$ rule ,! t]m cov]$ rule means--   
7,a7 ,rule ,g-#ch ( ! ,municipal        
,securities ,rulemak+ ,bo>d2 &  7,b7    
,rule #bjf7d7-e 7#ag ,,cfr              
#bge4bjf7d7-e74  7#b7 ,municipal        
securities ,! t]m municipal securities  
has ! mean+ giv5 ! t]m 9 section        
#c7;a77#bi7 ( ! ,securities ,ex*ange    
,act ( #aicd 7#ae ,u4,s4,c4             
#gh;c7a77#bi774  ,d ,am]ican ,,fir/ ,act
 ( #bjbc  #djja4 ,%ort title2 ,table (  
cont5ts  7a7 ,%ort title ,?is division  
may be cit$ z ! ,am]ican ,f9ancial      
,in/itution ,regulatory ,sov]eignty &   
,transp>5cy ,act ( #bjbc or ! ,am]ican  
,,fir/ ,act ( #bjbc4  7b7 ,table (      
cont5ts ,! table ( cont5ts = ?is        
division is z foll[s3 ,sec4 #djja4 ,%ort
 title2 ,table ( cont5ts4 ,title        

,i--,/op ,executive ,capture ( ,bank+   
,regulators ,sec4 #daja4 ,report on !   
implem5tation ( recomm5dations f !      
,,fsoc ,*airp]son & ,executive ,ord]s4  
,title ,,ii--,ensur+ ,u4,s4 ,au?ority   
ov] ,u4,s4 ,bank+ ,regulations ,sec4    
#dbja4 ,requirem5ts 9 connection )      
rulemak+s implem5t+ policies (          
non-gov]nm5tal int]national             
organizations4 ,sec4 #dbjb4 ,report on  
c]ta9 climate-relat$ int]actions ) cov]$
 int]national organizations4 ,title     
,,iii--,bank+ ,regulator ,int]national  
,report+ ,sec4 #dcja4 ,report+ on       
int]actions ) non-gov]nm5tal            
int]national organizations4 ,title      
,,iv--,sup]vision ,re=m ,sec4 #ddja4    
,removal ( ! ,vice ,*airman =           
,sup]vision designation4  ,i ,/op       
,executive ,capture ( ,bank+ ,regulators
  #daja4 ,report on ! implem5tation (   
recomm5dations f ! ,,fsoc ,*airp]son &  
,executive ,ord]s  7a7 ,bo>d ( ,gov]nors
 ( ! ,f$]al ,res]ve ,sy/em ,section #aj 
( ! ,f$]al ,res]ve ,act 7#ab ,u4,s4,c4  

#bdg;b71 z am5d$ by section #ddja7;b71  
is fur!r am5d$ by add+ at ! end !       
foll[+3  7#aa7 ,report on !             
implem5tation ( recomm5dations f !      
,,fsoc ,*airp]son & ,executive ,ord]s ,!
 ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve   
,sy/em may n implem5t a non-b9d+        
recomm5dation made by ! ,*airp]son ( !  
,f9ancial ,/ability ,ov]sight ,c\ncil or
 conta9$ 9 an ,executive ,ord] unless ! 
,bo>d ( ,gov]nors fir/ provides !       
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives & ! ,committee  
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate )-- 7,a7 notice t ! ,bo>d (      
,gov]nors int5ds to implem5t su*        
recomm5dation2  7,b7 a report conta9+ ! 
propos$ implem5tation by ! ,bo>d (      
,gov]nors & a ju/ification = su*        
implem5tation2 &  7,c7 ^u reque/1 n lat]
 ?an ! end ( ! #abj-;day p]iod beg9n+ on
 ! date ( ! notice "u subp>agraph 7,a71 
te/imony on su* propos$ implem5tation4  
4  7b7 ,(fice ( ! ,comptroll] ( !       
,curr5cy ,section #cbd ( ! ,revis$      

,/atutes ( ! ,unit$ ,/ates 7#ab         
,u4,s4,c4 #a7 is am5d$ by add+ at ! end 
! foll[+3  7c7 ,report on !             
implem5tation ( recomm5dations f !      
,,fsoc ,*airp]son & ,executive ,ord]s ,!
 ,comptroll] ( ! ,curr5cy may n implem5t
 a non-b9d+ recomm5dation made by !     
,*airp]son ( ! ,f9ancial ,/ability      
,ov]sight ,c\ncil or conta9$ 9 an       
,executive ,ord] unless ! ,comptroll] ( 
! ,curr5cy fir/ provides ! ,committee on
 ,f9ancial ,s]vices ( ! ,h\se (         
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate )--  7#a7 notice t ! ,comptroll] 
( ! ,curr5cy int5ds to implem5t su*     
recomm5dation2  7#b7 a report conta9+ ! 
propos$ implem5tation by ! ,comptroll] (
 ! ,curr5cy & a ju/ification = su*      
implem5tation2 &  7#c7 ^u reque/1 n lat]
 ?an ! end ( ! #abj-;day p]iod beg9n+ on
 ! date ( ! notice "u p>agraph 7#a71    
te/imony on su* propos$ implem5tation4  
4  7c7 ,f$]al ,deposit ,insurance       
,corporation ,section #b ( ! ,f$]al     

,deposit ,insurance ,act 7#ab ,u4,s4,c4 
#ahab7 is am5d$ by ins]t+ aft]          
subsection 7f7 ! foll[+3  7g7 ,report on
 ! implem5tation ( recomm5dations f !   
,,fsoc ,*airp]son & ,executive ,ord]s ,!
 ,bo>d ( ,directors ( ! ,corporation may
 n implem5t a non-b9d+ recomm5dation    
made by ! ,*airp]son ( ! ,f9ancial      
,/ability ,ov]sight ,c\ncil or conta9$ 9
 an ,executive ,ord] unless ! ,bo>d (   
,directors fir/ provides ! ,committee on
 ,f9ancial ,s]vices ( ! ,h\se (         
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate )-- 7#a7 notice t ! ,bo>d (      
,directors int5ds to implem5t su*       
recomm5dation2  7#b7 a report conta9+ ! 
propos$ implem5tation by ! ,bo>d (      
,directors & a ju/ification = su*       
implem5tation2 &  7#c7 ^u reque/1 n lat]
 ?an ! end ( ! #abj-;day p]iod beg9n+ on
 ! date ( ! notice "u p>agraph 7#a71    
te/imony on su* propos$ implem5tation4  
4  7d7 ,national ,cr$it ,union          
,adm9i/ration ,section #ajb ( ! ,f$]al  

,cr$it ,union ,act 7#ab ,u4,s4,c4       
#ageb;a7 is am5d$ by add+ at ! end !    
foll[+3  7g7 ,report on ! implem5tation 
( recomm5dations f ! ,,fsoc ,*airp]son &
 ,executive ,ord]s ,! ,bo>d may n       
implem5t a non-b9d+ recomm5dation made  
by ! ,*airp]son ( ! ,f9ancial ,/ability 
,ov]sight ,c\ncil or conta9$ 9 an       
,executive ,ord] unless ! ,bo>d fir/    
provides ! ,committee on ,f9ancial      
,s]vices ( ! ,h\se ( ,repres5tatives & !
 ,committee on ,bank+1 ,h\s+1 & ,urban  
,affairs ( ! ,s5ate )--  7#a7 notice t !
 ,bo>d int5ds to implem5t su*           
recomm5dation2  7#b7 a report conta9+ ! 
propos$ implem5tation by ! ,bo>d & a    
ju/ification = su* implem5tation2 &     
7#c7 ^u reque/1 n lat] ?an ! end ( !    
#abj-;day p]iod beg9n+ on ! date ( !    
notice "u p>agraph 7#a71 te/imony on su*
 propos$ implem5tation4  4  7e7 ,f$]al  
,h\s+ ,f9ance ,ag5cy ,section #acaa ( ! 
,h\s+ & ,community ,developm5t ,act (   
#aiib 7#ab ,u4,s4,c4 #deaa7 is am5d$ by 
add+ at ! end ! foll[+3  7d7 ,report on 

! implem5tation ( recomm5dations f !    
,,fsoc ,*airp]son & ,executive ,ord]s ,!
 ,director may n implem5t a non-b9d+    
recomm5dation made by ! ,*airp]son ( !  
,f9ancial ,/ability ,ov]sight ,c\ncil or
 conta9$ 9 an ,executive ,ord] unless ! 
,director fir/ provides ! ,committee on 
,f9ancial ,s]vices ( ! ,h\se (          
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate )-- 7#a7 notice t ! ,director    
int5ds to implem5t su* recomm5dation2   
7#b7 a report conta9+ ! propos$         
implem5tation by ! ,director & a        
ju/ification = su* implem5tation2 &     
7#c7 ^u reque/1 n lat] ?an ! end ( !    
#abj-;day p]iod beg9n+ on ! date ( !    
notice "u p>agraph 7#a71 te/imony on su*
 propos$ implem5tation4  4  ,,ii ,ensur+
 ,u4,s4 ,au?ority ov] ,u4,s4 ,bank+     
,regulations  #dbja4 ,requirem5ts 9     
connection ) rulemak+s implem5t+        
policies ( non-gov]nm5tal int]national  
organizations  7a7 ,bo>d ( ,gov]nors ( !
 ,f$]al ,res]ve ,sy/em ,section #aj ( ! 

,f$]al ,res]ve ,act 7#ab ,u4,s4,c4      
#bdg;b71 z am5d$ by section #daja7;a71  
is fur!r am5d$ by ins]t+ aft] p>agraph  
7#aa7 ! foll[+3  7#ab7 ,requirem5ts 9   
connection ) rulemak+s implem5t+        
policies ( non-gov]nm5tal int]national  
organizations  7,a7 ,9 g5]al ,! ,bo>d ( 
,gov]nors ( ! ,f$]al ,res]ve ,sy/em may 
n propose or f9alize a major cov]$ rule 
unless1 n lat] ?an #abj days be=e issu+ 
su* a propos$ or f9al rule1 ! ,bo>d (   
,gov]nors provides ! ,committee on      
,f9ancial ,s]vices ( ! ,h\se (          
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate ) notice1 te/imony1 & a detail$  
economic analysis ) respect to ! propos$
 or f9al rule1 includ+ projections (    
economic co/s1 sectoral effects1 &      
effects on ! availability ( cr$it1 !    
gross dome/ic product1 & employm5t4     
7,b7 ,major cov]$ rule def9$ ,9 ?is     
p>agraph1 ! t]m major cov]$ rule means a
 rule-- 7i7 t ! ,bo>d ( ,gov]nors       
det]m9es w\ld h an effect1 9 !          

aggregate1 on ! economy ( ! ,unit$      
,/ates ( #aj1jjj1jjj1jjj or m dur+ !    
#aj-ye> p]iod beg9n+ on ! date ! rule   
takes effect2 &  7ii7 t is int5d$ to    
align or con=m ) a recomm5dation f a    
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision74  4   
7b7 ,(fice ( ! ,comptroll] ( ! ,curr5cy 
,section #cbd ( ! ,revis$ ,/atutes ( !  
,unit$ ,/ates 7#ab ,u4,s4,c4 #a71 z     
am5d$ by section #daja7;b71 is fur!r    
am5d$ by add+ at ! end ! foll[+3  7d7   
,requirem5ts 9 connection ) rulemak+s   
implem5t+ policies ( non-gov]nm5tal     
int]national organizations  7#a7 ,9     
g5]al ,! ,comptroll] ( ! ,curr5cy may n 
propose or f9alize a major cov]$ rule   
unless1 n lat] ?an #abj days be=e issu+ 
su* a propos$ or f9al rule1 !           
,comptroll] ( ! ,curr5cy provides !     
,committee on ,f9ancial ,s]vices ( !    

,h\se ( ,repres5tatives & ! ,committee  
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate ) notice1 te/imony1 & a detail$  
economic analysis ) respect to ! propos$
 or f9al rule1 includ+ projections (    
economic co/s1 sectoral effects1 &      
effects on ! availability ( cr$it1 !    
gross dome/ic product1 & employm5t4     
7#b7 ,major cov]$ rule def9$ ,9 ?is     
subsection1 ! t]m major cov]$ rule means
 a rule--  7,a7 t ! ,comptroll] ( !     
,curr5cy det]m9es w\ld h an effect1 9 ! 
aggregate1 on ! economy ( ! ,unit$      
,/ates ( #aj1jjj1jjj1jjj or m dur+ !    
#aj-ye> p]iod beg9n+ on ! date ! rule   
takes effect2 &  7,b7 t is int5d$ to    
align or con=m ) a recomm5dation f a    
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision74  4   
7c7 ,f$]al ,deposit ,insurance          
,corporation ,section #b ( ! ,f$]al     

,deposit ,insurance ,act 7#ab ,u4,s4,c4 
#ahab71 z am5d$ by section #daja7;c71 is
 fur!r am5d$ by ins]t+ aft] subsection  
7g7 ! foll[+3  7h7 ,requirem5ts 9       
connection ) rulemak+s implem5t+        
policies ( non-gov]nm5tal int]national  
organizations  7#a7 ,9 g5]al ,! ,bo>d ( 
,directors ( ! ,corporation may n       
propose or f9alize a major cov]$ rule   
unless1 n lat] ?an #abj days be=e issu+ 
su* a propos$ or f9al rule1 ! ,bo>d (   
,directors provides ! ,committee on     
,f9ancial ,s]vices ( ! ,h\se (          
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate ) notice1 te/imony1 & a detail$  
economic analysis ) respect to ! propos$
 or f9al rule1 includ+ projections (    
economic co/s1 sectoral effects1 &      
effects on ! availability ( cr$it1 !    
gross dome/ic product1 & employm5t4     
7#b7 ,major cov]$ rule def9$ ,9 ?is     
subsection1 ! t]m major cov]$ rule means
 a rule-- 7,a7 t ! ,bo>d ( ,directors   
det]m9es w\ld h an effect1 9 !          

aggregate1 on ! economy ( ! ,unit$      
,/ates ( #aj1jjj1jjj1jjj or m dur+ !    
#aj-ye> p]iod beg9n+ on ! date ! rule   
takes effect2 &  7,b7 t is int5d$ to    
align or con=m ) a recomm5dation f a    
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision74  4   
7d7 ,national ,cr$it ,union             
,adm9i/ration ,section #ajb ( ! ,f$]al  
,cr$it ,union ,act 7#ab ,u4,s4,c4       
#ageb;a71 z am5d$ by section #daja7;d71 
is fur!r am5d$ by add+ at ! end !       
foll[+3  7h7 ,requirem5ts 9 connection )
 rulemak+s implem5t+ policies (         
non-gov]nm5tal int]national             
organizations  7#a7 ,9 g5]al ,! ,bo>d   
may n propose or f9alize a major cov]$  
rule unless1 n lat] ?an #abj days be=e  
issu+ su* a propos$ or f9al rule1 !     
,bo>d provides ! ,committee on ,f9ancial
 ,s]vices ( ! ,h\se ( ,repres5tatives & 

! ,committee on ,bank+1 ,h\s+1 & ,urban 
,affairs ( ! ,s5ate ) notice1 te/imony1 
& a detail$ economic analysis ) respect 
to ! propos$ or f9al rule1 includ+      
projections ( economic co/s1 sectoral   
effects1 & effects on ! availability (  
cr$it1 ! gross dome/ic product1 &       
employm5t4  7#b7 ,major cov]$ rule def9$
 ,9 ?is subsection1 ! t]m major cov]$   
rule means a rule--  7,a7 t ! ,bo>d     
det]m9es w\ld h an effect1 9 !          
aggregate1 on ! economy ( ! ,unit$      
,/ates ( #aj1jjj1jjj1jjj or m dur+ !    
#aj-ye> p]iod beg9n+ on ! date ! rule   
takes effect2 &  7,b7 t is int5d$ to    
align or con=m ) a recomm5dation f a    
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision74  4   
7e7 ,f$]al ,h\s+ ,f9ance ,ag5cy ,section
 #acaa ( ! ,h\s+ & ,community           
,developm5t ,act ( #aiib 7#ab ,u4,s4,c4 

#deaa71 z am5d$ by section #daja7;e71 is
 fur!r am5d$ by add+ at ! end ! foll[+3 
7e7 ,requirem5ts 9 connection )         
rulemak+s implem5t+ policies (          
non-gov]nm5tal int]national             
organizations  7#a7 ,9 g5]al ,!         
,director may n propose or f9alize a    
major cov]$ rule unless1 n lat] ?an #abj
 days be=e issu+ su* a propos$ or f9al  
rule1 ! ,director provides ! ,committee 
on ,f9ancial ,s]vices ( ! ,h\se (       
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate ) notice1 te/imony1 & a detail$  
economic analysis ) respect to ! propos$
 or f9al rule1 includ+ projections (    
economic co/s1 sectoral effects1 &      
effects on ! availability ( cr$it1 !    
gross dome/ic product1 & employm5t4     
7#b7 ,major cov]$ rule def9$ ,9 ?is     
subsection1 ! t]m major cov]$ rule means
 a rule-- 7,a7 t ! ,director det]m9es   
w\ld h an effect1 9 ! aggregate1 on !   
economy ( ! ,unit$ ,/ates (             
#aj1jjj1jjj1jjj or m dur+ ! #aj-ye>     

p]iod beg9n+ on ! date ! rule takes     
effect2 &  7,b7 t is int5d$ to align or 
con=m ) a recomm5dation f a             
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision74  4   
#dbjb4 ,report on c]ta9 climate-relat$  
int]actions ) cov]$ int]national        
organizations  7a7 ,9 g5]al ,a ,f$]al   
bank+ regulator may n meet ) or o!rwise 
engage ) a cov]$ int]national           
organization on ! topic ( climate-relat$
 f9ancial risk dur+ a cal5d> ye> unless 
! ,f$]al bank+ regulator has issu$ a    
report to ! ,committee on ,f9ancial     
,s]vices ( ! ,h\se ( ,repres5tatives & !
 ,committee on ,bank+1 ,h\s+1 & ,urban  
,affairs ( ! ,s5ate conta9+1 = ! previ\s
 cal5d> ye>--  7#a7 a complete          
description ( ! activities ( ! cov]$    
int]national organization 9 :i* ! ,f$]al
 bank+ regulator p>ticipates 7includ+   

any task =ce1 committee1 or o!r         
organizational unit !re(72 &  7#b7 a    
detail$ acc\nt+ ( ! gov]nm5tal &        
non-gov]nm5tal fund+ s\rces ( ! cov]$   
int]national organization 7includ+ any  
task =ce1 committee1 or o!r             
organizational unit !re(74  7b7         
,def9itions ,9 ?is section3 7#a7 ,cov]$ 
int]national organization ,! t]m cov]$  
int]national organization means !       
,f9ancial ,/ability ,bo>d1 ! ,bank =    
,int]national ,settlem5ts1 ! ,network ( 
,c5tral ,banks & ,sup]visors = ,gre5+ ! 
,f9ancial ,sy/em1 & ! ,basel ,committee 
on ,bank+ ,sup]vision4  7#b7 ,f$]al     
bank+ regulator ,! t]m ,f$]al bank+     
regulator means ! ,bo>d ( ,gov]nors ( ! 
,f$]al ,res]ve ,sy/em1 ! ,f$]al ,deposit
 ,insurance ,corporation1 ! ,f$]al ,h\s+
 ,f9ance ,ag5cy1 ! ,national ,cr$it     
,union ,adm9i/ration1 & ! ,(fice ( !    
,comptroll] ( ! ,curr5cy4  ,,iii ,bank+ 
,regulator ,int]national ,report+       
#dcja4 ,report+ on int]actions )        
non-gov]nm5tal int]national             

organizations  7a7 ,bo>d ( ,gov]nors ( !
 ,f$]al ,res]ve ,sy/em ,section #aj ( ! 
,f$]al ,res]ve ,act 7#ab ,u4,s4,c4      
#bdg;b71 z am5d$ by section #dbja7;a71  
is fur!r am5d$ by ins]t+ aft] p>agraph  
7#ab7 ! foll[+3  7#ac7 ,report+ on      
int]actions ) non-gov]nm5tal            
int]national organizations ,) respect to
 int]actions betwe5 ! ,bo>d ( ,gov]nors 
( ! ,f$]al ,res]ve ,sy/em & a           
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision71 !    
,bo>d ( ,gov]nors %all-- 7,a7 keep a    
complete record ( all su* int]actions1  
includ+ m9utes ( all meet+s & any       
recomm5dations made dur+ su* int]action 
= int]national /&>dization ) respect to 
op5-m>ket policies & op]ations1 disc\nt 
l5d+ & op]ations 7includ+ collat]al     
policies71 or sup]visory policies &     
op]ations2 &  7,b7 issue an annual      

report to ! ,committee on ,f9ancial     
,s]vices ( ! ,h\se ( ,repres5tatives & !
 ,committee on ,bank+1 ,h\s+1 & ,urban  
,affairs ( ! ,s5ate conta9+-- 7i7 all ( 
! in=mation record$ pursuant to         
subp>agraph 7,a7 ) respect to ! previ\s 
ye>2 &  7ii7 ) respect to ea*           
non-gov]nm5tal int]national organization
 ) :i* ! ,bo>d ( ,gov]nors _h an        
int]action 9 ! previ\s ye>1 a           
description ( ! fund+ s\rces ( !        
non-gov]nm5tal int]national             
organization4  4  7b7 ,(fice ( !        
,comptroll] ( ! ,curr5cy ,section #cbd (
 ! ,revis$ ,/atutes ( ! ,unit$ ,/ates   
7#ab ,u4,s4,c4 #a71 z am5d$ by section  
#dbja7;b71 is fur!r am5d$ by add+ at !  
end ! foll[+3  7e7 ,report+ on          
int]actions ) non-gov]nm5tal            
int]national organizations ,) respect to
 int]actions betwe5 ! ,(fice ( !        
,comptroll] ( ! ,curr5cy & a            
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   

,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 
,committee on ,bank+ ,sup]vision71 !    
,comptroll] ( ! ,curr5cy %all-- 7#a7    
keep a complete record ( all su*        
int]actions1 includ+ m9utes ( all meet+s
 & any recomm5dations made dur+ su*     
int]action = int]national /&>dization ) 
respect to disc\nt l5d+ & op]ations     
7includ+ collat]al policies7 or         
sup]visory policies & op]ations2 &  7#b7
 issue an annual report to ! ,committee 
on ,f9ancial ,s]vices ( ! ,h\se (       
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate conta9+-- 7,a7 all ( ! in=mation 
record$ pursuant to p>agraph 7#a7 )     
respect to ! previ\s ye>2 &  7,b7 )     
respect to ea* non-gov]nm5tal           
int]national organization ) :i* ! ,(fice
 ( ! ,comptroll] ( ! ,curr5cy _h an     
int]action 9 ! previ\s ye>1 a           
description ( ! fund+ s\rces ( !        
non-gov]nm5tal int]national             
organization4  4  7c7 ,f$]al ,deposit   

,insurance ,corporation ,section #b ( ! 
,f$]al ,deposit ,insurance ,act 7#ab    
,u4,s4,c4 #ahab71 z am5d$ by section    
#dbja7;c71 is fur!r am5d$ is am5d$ by   
ins]t+ aft] subsection 7h7 ! foll[+3    
7i7 ,report+ on int]actions )           
non-gov]nm5tal int]national             
organizations ,) respect to int]actions 
betwe5 ! ,f$]al ,deposit ,insurance     
,corporation & a non-gov]nm5tal         
int]national organization 7includ+ !    
,f9ancial ,/ability ,bo>d1 ! ,bank =    
,int]national ,settlem5ts1 ! ,network ( 
,c5tral ,banks & ,sup]visors = ,gre5+ ! 
,f9ancial ,sy/em1 & ! ,basel ,committee 
on ,bank+ ,sup]vision71 ! ,bo>d (       
,directors ( ! ,corporation %all-- 7#a7 
keep a complete record ( all su*        
int]actions1 includ+ m9utes ( all meet+s
 & any recomm5dations made dur+ su*     
int]action = int]national /&>dization ) 
respect to disc\nt l5d+ & op]ations     
7includ+ collat]al policies7 or         
sup]visory policies & op]ations2 &  7#b7
 issue an annual report to ! ,committee 

on ,f9ancial ,s]vices ( ! ,h\se (       
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate conta9+-- 7,a7 all ( ! in=mation 
record$ pursuant to p>agraph 7#a7 )     
respect to ! previ\s ye>2 &  7,b7 )     
respect to ea* non-gov]nm5tal           
int]national organization ) :i* !       
,corporation _h an int]action 9 !       
previ\s ye>1 a description ( ! fund+    
s\rces ( ! non-gov]nm5tal int]national  
organization4  4  7d7 ,national ,cr$it  
,union ,adm9i/ration ,section #ajb ( !  
,f$]al ,cr$it ,union ,act 7#ab ,u4,s4,c4
 #ageb;a71 z am5d$ by section #dbja7;d71
 is fur!r am5d$ by add+ at ! end !      
foll[+3  7i7 ,report+ on int]actions )  
non-gov]nm5tal int]national             
organizations ,) respect to int]actions 
betwe5 ! ,adm9i/ration & a              
non-gov]nm5tal int]national organization
 7includ+ ! ,f9ancial ,/ability ,bo>d1 !
 ,bank = ,int]national ,settlem5ts1 !   
,network ( ,c5tral ,banks & ,sup]visors 
= ,gre5+ ! ,f9ancial ,sy/em1 & ! ,basel 

,committee on ,bank+ ,sup]vision71 !    
,bo>d %all-- 7#a7 keep a complete record
 ( all su* int]actions1 includ+ m9utes (
 all meet+s & any recomm5dations made   
dur+ su* int]action = int]national      
/&>dization ) respect to disc\nt l5d+ & 
op]ations 7includ+ collat]al policies7  
or sup]visory policies & op]ations2 &   
7#b7 issue an annual report to !        
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives & ! ,committee  
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate conta9+-- 7,a7 all ( ! in=mation 
record$ pursuant to p>agraph 7#a7 )     
respect to ! previ\s ye>2 &  7,b7 )     
respect to ea* non-gov]nm5tal           
int]national organization ) :i* !       
,adm9i/ration _h an int]action 9 !      
previ\s ye>1 a description ( ! fund+    
s\rces ( ! non-gov]nm5tal int]national  
organization4  4  7e7 ,f$]al ,h\s+      
,f9ance ,ag5cy ,section #acaa ( ! ,h\s+ 
& ,community ,developm5t ,act ( #aiib   
7#ab ,u4,s4,c4 #deaa71 z am5d$ by       
section #dbja7;e71 is fur!r am5d$ by    

add+ at ! end ! foll[+3  7f7 ,report+ on
 int]actions ) non-gov]nm5tal           
int]national organizations ,) respect to
 int]actions betwe5 ! ,f$]al ,h\s+      
,f9ance ,ag5cy & a non-gov]nm5tal       
int]national organization 7includ+ !    
,f9ancial ,/ability ,bo>d1 ! ,bank =    
,int]national ,settlem5ts1 ! ,network ( 
,c5tral ,banks & ,sup]visors = ,gre5+ ! 
,f9ancial ,sy/em1 & ! ,basel ,committee 
on ,bank+ ,sup]vision71 ! ,director     
%all-- 7#a7 keep a complete record ( all
 su* int]actions1 includ+ m9utes ( all  
meet+s & any recomm5dations made dur+   
su* int]action = int]national           
/&>dization ) respect to disc\nt l5d+ & 
op]ations 7includ+ collat]al policies7  
or sup]visory policies & op]ations2 &   
7#b7 issue an annual report to !        
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives & ! ,committee  
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate conta9+-- 7,a7 all ( ! in=mation 
record$ pursuant to p>agraph 7#a7 )     
respect to ! previ\s ye>2 &  7,b7 )     

respect to ea* non-gov]nm5tal           
int]national organization ) :i* ! ,f$]al
 ,h\s+ ,f9ance ,ag5cy _h an int]action 9
 ! previ\s ye>1 a description ( ! fund+ 
s\rces ( ! non-gov]nm5tal int]national  
organization4  4  ,,iv ,sup]vision ,re=m
  #ddja4 ,removal ( ! ,vice ,*airman =  
,sup]vision designation  7a7 ,9 g5]al ,!
 second undesignat$ p>agraph ( section  
#aj ( ! ,f$]al ,res]ve ,act 7#ab        
,u4,s4,c4 #bdb7 7relat+ to ! ,*airman & 
,vice ,*airman ( ! ,bo>d7 is am5d$ by   
/rik+ & #b %all be designat$ by !       
,presid5t1 by & ) ! advice & cons5t ( ! 
,s5ate1 to s]ve z ,vice ,*airm5 ( !     
,bo>d1 ea* = a t]m ( #d ye>s1 #a ( :om  
%all s]ve 9 ! abs5ce ( ! ,*airman1 z    
provid$ 9 ! f\r? undesignat$ p>agraph ( 
?is section1 & #a ( :om %all be         
designat$ ,vice ,*airman = ,sup]vision4 
,! ,vice ,*airman = ,sup]vision %all    
develop policy recomm5dations = ! ,bo>d 
reg>d+ sup]vision & regulation (        
depository in/itution hold+ companies & 
o!r f9ancial firms sup]vis$ by ! ,bo>d1 

& %all ov]see ! sup]vision & regulation 
( su* firms4 & ins]t+ & #a %all be      
designat$ by ! ,presid5t1 by & ) !      
cons5t ( ! ,s5ate1 to s]ve z ,vice      
,*airman ( ! ,bo>d = a t]m ( #d ye>s44  
7b7 ,con=m+ am5dm5t ,section #aj ( !    
,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 #bda 
et seq47 is am5d$ by /rik+ p>agraph     
7#ab74  ,e ,limitation on ,,sec ,res]ve 
,fund  #ejja4 ,limitation ,dur+ fiscal  
ye>s #bjbf & #bjbg1 regi/ration fees    
collect$ by ! ,securities & ,ex*ange    
,commission %all n be deposit$ 9 !      
,securities & ,ex*ange ,commission      
,res]ve ,fund4  ,pass$ ! ,h\se (        
,repres5tatives ,septemb] #ai1          
#bjbd4;,cl]k4