Late last week, a bipartisan team of lawmakers reintroduced the Strengthening the Tenth Amendment Through Entrusting States Act (the "STATES Act") in the Senate and House of Representatives. The STATES Act would amend the Controlled Substances Act ("CSA") to restrict federal enforcement against state-legal cannabis activity. In particular, the STATES Act would prevent the application of the CSA to persons complying with state law with respect to the manufacture, production, possession, distribution, dispensation, administration or delivery of cannabis. Additionally, the STATES Act would

The SEC Division of Investment Management granted no-action relief, allowing certain Puerto Rico retirement plans to participate in "bank-maintained" collective trust funds without requiring the trust to register under the Investment Company Act, the Securities Act or the Exchange Act. The no-action relief under the Investment Company Act was granted primarily because the Puerto Rico retirement plans do not meet the requirements for qualification under Section 401 of the Internal Revenue Code. Thus, collective trust funds accepting the assets of such plans would not, absent relief, be able to

FINRA issued a notice informing member firms that the fee rate for certain securities transactions on exchanges and in the OTC markets will increase from $13 to $20.70 per million dollars in transactions.

The Investment Company Institute ("ICI") expressed opposition to New York State bills (see here and here) that would reduce the rebate of stock transfer sales tax from 100 percent to 60 percent. In a comment letter, the ICI claimed that the proposed reduced rebate would substantially increase the cost of funds' portfolio transactions. The ICI said that at the very least any reduction of the rebate on stock transfer tax must not apply to Investment Company Act-registered funds. The ICI further argued that any reduction in the rebate to funds would impact investors, specifically "average

The Investor Protection, Entrepreneurship, and Capital Markets subcommittee of the House Financial Services Committee ("HFSC") held a hearing to consider six legislative proposals intended to "hold public company executives accountable to both investors and the general public" including: the " Insider Trading Prohibition Act," sponsored by Representative Jim Himes (D-CT), which generally codifies existing federal prohibitions on insider trading and also overturns a requirement from the Second Circuit decision in United States v. Newman where a tippee knew about the "personal benefit" received