By Northern Trust – With Regulation Best Interest in the rearview mirror, the SEC is poised to finalise rules governing fund of fund arrangements.
Following the adoption of the long-delayed final Regulation Best Interest in June, what’s next for the US Securities and Exchange Commission (SEC)?
It’s likely that finalising the proposed rule on Fund of Funds Arrangements (the Proposal) is at the top of the list. Since the SEC released the Proposal late in 2018 and requested public comment, more than 100 comment letters have been posted and SEC officials have met with a variety of industry representatives. With the comment period now closed, it seems likely the SEC will revisit the Proposal, reflect on industry reaction and assess how the operations of funds that invest in other funds (FOFs) could be affected.
