On October 13, 2016, the SEC voted to adopt new and amended rules and forms intended to enhance and standardize liquidity risk management by mutual funds and exchange-traded funds, which will likely have a broad impact on open-end funds and the investment management industry at large. The new rules impose significant additional oversight responsibilities on fund boards and may have a sizable impact on the ability to utilize certain investment strategies in open-end fund structures.
SEC Adopts Liquidity Risk Management Rules for Mutual Funds and Exchange-Traded Funds
Skadden, Arps, Slate, Meagher & Flom LLP