News

November 16, 2022

The SEC released a rule proposal that would require advisers to satisfy specific due diligence elements before retaining a service provider that will perform certain advisory services or functions, and to subsequently carry out periodic monitoring of the service provider’s performance.

November 15, 2022

The Forum will host a webinar entitled, “Mutual Fund CCO Compensation: The MPI Annual Survey Update" which details aggregate compensation data received through confidential questionnaires from fund CCOs and other industry executives.

November 14, 2022

The SEC unanimously adopted a final rule on shareholder reports for open-end mutual funds and ETFs registered on Form N-1A, as well as amendments requiring fee comparability in fund advertising for all registered investment companies, including closed-end funds and BDCs. In a statement supporting the final rule, Chair Gensler noted the amendments would, “help investors better understand fund disclosures and help ensure that the information investors receive in investment company advertisements is transparent and balanced.”

November 10, 2022

Deloitte plans to host a virtual roundtable titled “The Mutual Fund Directors’ Exchange.” The program will focus on ESG impacts on the fund industry, board oversight, risk management, developments in board governance, and implementation of the SEC's Fair Valuation rule.

November 9, 2022

In recent remarks, SEC Chair Gary Gensler noted the important role competition plays in financial markets. Gensler highlighted several areas the SEC is focused on regarding competition: fixed income, equity markets, and private markets.

November 8, 2022

K&L Gates plans to host the first in a three-part webinar series entitled “Decoding Digital Assets: Blockchain, Crypto, and NFTs.” The first webinar installment will focus on blockchain technology, uses cases, risks, and response to common questions.

November 7, 2022

The SEC proposed new rules governing liquidity of open-end funds, including mandating swing pricing for most open-end funds (excluding money market funds and ETFs) by a vote of 3 to 2. The proposal would also change how funds classify the liquidity of their investments, institute a “hard close” on fund transactions, and require more detailed public reporting of a fund’s liquidity more frequently.

November 3, 2022

FSOC met at the beginning of October to approve the Council’s “Report on Digital Asset Financial Stability Risks and Regulation” as well as approve the recently created Climate-Related Financial Risk Advisory Committee (CFRAC) and appoint the founding members.

November 2, 2022

Willkie Farr & Gallagher partners will discuss what fund boards should know about the SEC’s examination and enforcement processes.

November 1, 2022

In an article from McKinsey & Co., the author details the rise of Web3 including a primer on what it is, how it is built, what it can and cannot do, the risks, and implications for stakeholders. One interesting adoption of Web3 technology is in the financial services space. The article highlights that when assets sit on the blockchain, instead of going to a depository institution where it is then loaned to borrowers, a smart contract can be employed to lend the users assets from the blockchain once certain, defined criteria are met.

October 31, 2022

The SEC proposed new rules for Treasury market clearinghouses in response to volatility in the Treasury markets during March 2020, as well as other volatile points in 2019 and 2014. The proposed rules would require clearinghouse members to push client trades, often those of other dealers, hedge funds, and principal trading firms through the clearinghouse.

October 27, 2022

SEC Chair Gary Gensler testified in front of the Senate Banking Committee covering issues such as digital assets, ESG, China-based entities, and market structure generally. On ESG disclosure, Gensler stated the SEC is focused on increasing transparency and disclosures related to investor decision-making. Gensler added, “climate-related factors and risks as well as cybersecurity risks both can affect a company’s bottom line and its future, and therefore an investor’s decision to buy, hold or sell a security or how to vote a proxy.”

October 26, 2022

BoardIQ plans to host a webinar entitled, "Audit Committee Succession Planning for All Boards” to discuss the approaches and nuances to audit committee composition and audit chair succession planning. The cost to attend the virtual event is free for BoardIQ subscribers.

October 25, 2022

In our fourth and final post in the Board Recruitment Series, we explore general succession planning. Whether your board has an impending vacancy or not, building a network of potential candidates to tap into improves the likelihood of locating the right people when you need them.

October 24, 2022

Stradley outlines four potential retail fund structures through which a crypto fund might be offered by investment complexes. The guide discusses the regulatory challenges to each option as well as the current landscape.

October 20, 2022

Senator Jack Reed (D-RI) introduced the “Private Markets Transparency and Accountability Act” which would require privately held companies to register with the SEC when they surpass a $700 million valuation or when they exceed $5 billion in revenue with at least 5,000 employees.

October 19, 2022

The SEC’s Office of the Investor Advocate released an independent research study examining the impact fund benchmarks have on investor decision-making. The study found “investors prioritize information on investment performance,” and therefore, investor education covering performance information and comparative benchmark information is critical.

October 18, 2022

The third installment of the Forum's four-part series on board recruitment discusses additional tools boards have to identify qualified candidates. Especially for boards that want to reach candidates with less traditional board backgrounds or from under-represented groups, there are numerous services and organizations that work with board candidates and can function as a resource for boards during their candidate search.

October 17, 2022

Dechert plans to host two “California Investment Management Symposia” events covering developments in digital assets, ESG, compliance policies, and enforcement, among other topics. Each program will examine the evolving legal and regulatory environments for investment advisers, as well as registered and private investment managers and funds.

October 13, 2022

The Department of the Treasury and the Justice Department (DOJ) released reports outlining the agencies’ respective legislative, regulatory, and policy recommendations with a focus on mitigating illicit finance and national security risks posed by the misuse of digital assets.