Top of the Agenda - Regulatory

Morningstar Funds to SEC: Tell shareholders about boards

By Hillary Jackson

The Morningstar Funds board has called on the Securities and Exchange Commission to add information about the fund board's role to the tailored mutual and exchange-traded fund shareholder reports the agency proposed in August. The SEC has moved to streamline and simplify the reports in an effort to aid retail ... >> CONTINUE READING <<<

SEC finalizes derivs rule, integrating industry comments

By Hillary Jackson

The Securities and Exchange Commission this week finalized its rule on funds' use of derivatives, making some notable changes to what was proposed nearly a year ago but maintaining its expectation that boards will take an active role in their oversight of such activity. Although industry lawyers and others are ... >> CONTINUE READING <<<

SEC proposes tailored shareholder reports

By Hillary Jackson

The Securities and Exchange Commission has proposed streamlining and simplifying the reports that retail mutual and exchange-traded fund shareholders receive, an effort the regulator says will aid investors in their decision making. And while the boards that oversee these funds would not be expected to get involved in the nitty ... >> CONTINUE READING <<<

SEC's Blass: Permanent in-person meeting relief 'makes good sense'

By Hillary Jackson

Dalia Blass, director of the Securities and Exchange Commission's Division of Investment Management, is exploring whether mutual fund boards should be permanently exempted from in-person meeting requirements. In a wide-ranging speech on July 28 to a Practising Law Institute gathering, Blass said there has been interest from the industry in ... >> CONTINUE READING <<<

In-person voting relief extended through year-end

Mutual fund boards can continue to conduct business—including voting on contract approvals and renewals and other important matters—virtually through the end of 2020, according to the Securities and Exchange Commission, which said Friday it was extending conditional relief from in-person voting requirements to provide flexibility to boards that may continue ... >> CONTINUE READING <<<

Fair valuation draft draws praise, scrutiny (and some criticism)

By Hillary Jackson

Response among mutual fund governance professionals to a proposed rule on fund valuation practices has been generally positive, but industry lawyers anticipate pushback on a number of aspects of the draft during the three-month comment period. While labeled "a good step forward" by several individuals, the proposed rule is a ... >> CONTINUE READING <<<