Top of the Agenda - Regulatory

'Cop on the beat' SEC tops enforcement action record in FY'23

The Securities and Exchange Commission—the industry's "cop on the beat," according to Chairman Gary Gensler—filed 784 enforcement actions in its September-ending fiscal year 2023, representing a 3% year-on-year increase. The number of original, or stand-alone, enforcement actions increased to 501, an 8% increase over FY'22, the SEC said. Despite those ... >> CONTINUE READING <<<

MMF reforms add work, duties to boards, even absent swing pricing

By Hillary Jackson

The Securities and Exchange Commission's move away from swing pricing in the money market fund rule finalized last week was welcomed by the fund board community, though this new regulation still will add new responsibilities to already-busy directors, lawyers told Fund Board Views. Money market fund boards will spend the ... >> CONTINUE READING <<<

Fund's adviser, officers, directors face 'aiding, abetting' charges related to liquidity rule

By Hillary Jackson

The Securities and Exchange Commission on Friday said it has charged an investment adviser, its CCO, its fund's president, and two independent fund directors with "aiding and abetting liquidity rule violations." The charges are the first ever brought by the regulator related to enforcement of the liquidity risk management rule ... >> CONTINUE READING <<<

SEC's Birdthistle spoke...but not about hard close, swing pricing

By Hillary Jackson

William Birdthistle, director of the SEC's Division of Investment Management, delivered keynote remarks at a mutual fund industry conference this morning but failed to address a recently proposed rule that just last month garnered thousands of comment letters—including from around 30 fund boards and independent directors. Birdthistle instead provided a ... >> CONTINUE READING <<<

Fund boards to SEC: Scrap hard close, swing pricing

By Hillary Jackson

The mutual fund director community has come out in force against the Securities and Exchange Commission's hard close, mandatory swing pricing, and liquidity proposal. The two industry groups representing independent directors and a number of boards themselves are voicing concerns about high costs, potential confusion among investors, displacement of mutual ... >> CONTINUE READING <<<

SEC exam priorities: Fund boards remain in regulator's focus

By Hillary Jackson

The Securities and Exchange Commission earlier this month announced its 2023 examination priorities, some of which place mutual fund boards squarely in the crosshairs of regulatory scrutiny. The extra attention is unlikely to change boards' behavior, but rather serves as a reminder for diligence, industry lawyers told Fund Board Views.

The ... >> CONTINUE READING <<<