SEC Proposes Streamlining ETF Exemption Process

Law360, New York (March 5, 2008, 12:00 AM EST) -- The U.S. Securities and Exchange Commission has proposed two new rules, which, if approved, will allow certain funds to trade without obtaining an exemption from regulators.

The new rules, made public on Wednesday, would modify the Investment Company Act to allow exchange-traded funds to make trades without first applying to the SEC for an exemptive order. Exchange-traded funds resemble mutual funds in their construction, although ETFs issue shares that trade throughout the day and at changing prices.

Investors also purchase ETFs from other ETF holders, rather...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.