The staff of the SEC Division of Investment Management withdrew 2010 guidance which reviewed the permissibility of an SEC-registered, closed-end fund determining to opt in to a control share acquisition statute authorized under state law.
The Managed Funds Association and the Alternative Investment Management Association recommended modifications to the SEC's proposal on the use of derivatives by registered investment companies and business development companies.
The Investment Company Institute offered recommendations on the SEC's "re-proposed" rule to provide a comprehensive approach to the regulation of funds’ use of derivatives and other senior securities transactions.
Federal Reserve Board Governor Jerome Powell lauded the progress made by the U.S. financial system since the financial crisis and identified five areas that could benefit from additional regulatory reform.
The SEC approved a proposed rule change that will permit the listing and trading of the first quadruple-leveraged exchange-traded funds ("ETFs"). Prior to this approval, the highest-leveraged ETFs offered three times leveraged (or inverse leveraged) exposure to their benchmarks.
The First Department of the New York Appellate Division found that the seller of protection under a credit default swap ("CDS") did not act in bad faith when it took certain actions affecting the price of a security that effectively reduced the settlement amount owed by the seller under the CDS.
The SEC Division of Economic and Risk Analysis described the methodology it used to analyze comments received on a proposal for the use of derivatives by registered funds and business development companies.
The SEC voted to adopt rule changes under the Investment Company Act that will (i) expand reporting and disclosure by registered investment companies, (ii) impose additional liquidity risk requirements by open-end funds, and (iii) permit mutual funds to use "swing pricing."
The Board of Governors of the Federal Reserve System adopted a final policy statement that describes the framework that the Board will follow in setting the U.S. countercyclical capital buffer. The final policy statement was published in the Federal Register.
The Board of Governors of the Federal Reserve System approved a final policy statement describing the framework that the Board will follow under Regulation Q, in setting the amount of the U.S. countercyclical capital buffer.
On the anniversary of the passage of the Dodd Frank Act, Financial Services Committee Chair Jeb Hensarling argued that "[i]nstead of ending 'too big to fail,' Dodd-Frank has created 'too small to succeed.'"