SEC Issues No-Action Letter Regarding Lost Securityholders

The SEC issued a no-action letter that provided clarification of the requirements under Exchange Act Rule 17Ad-17(a)(1) ("Lost Securityholders and Unresponsive Payees") with respect to holders of variable annuities. The relief permits an insurance company issuer of variable annuities, acting on behalf of a broker-dealer, to conduct database searches for lost securityholders. The letter stated that if the insurance company obtains a securityholder's new address, the securityholder is no longer deemed a lost securityholder.

See: SEC No-Action Letter.