Regulatory Alerts2022-11-02
Open-End Fund Liquidity Risk Management Programs and Swing Pricing; Form N-PORT
The Securities and Exchange Commission proposes amendments to enhance liquidity risk management programs and mandate swing pricing for open-end funds, excluding money market and exchange-traded funds. These rules require funds to classify portfolio assets by liquidity, maintain minimum holdings of highly liquid investments, and adjust net asset values to pass transaction costs directly to transacting shareholders. The proposal also establishes a hard close requirement for order execution and updates Form N-PORT reporting to ensure more frequent, transparent disclosure of portfolio holdings and liquidity data.
Share