Split SEC Will Allow Funds To Expand Derivatives Use
Law360 (October 28, 2020, 6:42 PM EDT) -- A divided U.S. Securities and Exchange Commission on Wednesday approved a rule that would regulate how mutual funds and other investment companies use risky derivatives to boost returns, seeking to replace a patchwork system with concrete standards.
The SEC's action is the latest in yearslong efforts to create new rules that reflect the growth of derivatives, which are instruments widely used by investment managers as a means of improving returns albeit at greater risk. The agency said it has relied on various staff guidance to advise market participants on the acceptable use of derivatives since a general policy statement issued in...
Stay ahead of the curve
In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.
Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
Create custom alerts for specific article and case topics and so much more!