On Oct. 7, 2020, the U.S. Securities and Exchange Commission adopted a new rule under the Investment Company Act of 1940, as amended, aimed at streamlining the regulatory framework for the investment by regulated funds in other funds. Subject to complying with certain conditions, Rule 12d1-4 will permit a registered investment company or a business development company to acquire the securities of any other registered investment company or BDC in an amount that exceeds the limits set forth in Section 12(d)(1) of the 1940 Act, without the need for such fund to obtain exemptive relief from the Commission. In this article, partner John Mahon and associates Karen Spiegel and Noah Aschen discuss this new rule and the impact it may have within the regulated funds industry.
Offices
-
New York
- 919 Third Avenue
- New York, NY 10022
- United States of America
-
- +1 212.593.5955 Fax
-
Washington, DC
- 901 Fifteenth Street, NW, Suite 800
- Washington, DC 20005
- United States of America
-
- +1 202.730.4520 Fax
-
London
- One Eagle Place
- London SW1Y 6AF
- United Kingdom
-
- +44 (0) 20 7081 8010 Fax
