SIFMA AMG Submits Supplemental Comments to the SEC Regarding the SEC Proposed Liquidity Management Rules

Release Date: April 14, 2016
Contact: Liz Pierce, 212-313-1173, [email protected]

SIFMA AMG Submits Supplemental Comments to the SEC Regarding the SEC Proposed Liquidity Management Rules

Washington, D.C., April 14, 2016–SIFMA’s Asset Management Group (SIFMA AMG) today announced it has submitted a supplemental comment letter to the Securities and Exchange Commission (SEC) regarding the SEC’s proposed liquidity management rules for open-end funds, including mutual funds and exchange-traded funds (ETFs). SIFMA AMG’s initial letter was filed in January 2016.

The supplemental comment letter revises SIFMA AMG’s recommendation for an alternative classification system for designating the liquidity of fund holdings. SIFMA AMG’s initial recommendation called for four liquidity categories designed to achieve the SEC’s classification and reporting goals in a simpler manner without the adverse consequences inherent in the SEC’s proposed six-category “days-to-cash” proposal. After additional consideration and review, SIFM A AMG is now recommending five liquidity categories with substantial additional detail about the liquidity characteristics of each category.

The supplemental letter is available here: http://www.sifma.org/issues/item.aspx?id=8589959806.

SIFMA AMG’s initial comment letter is available here: http://www.sifma.org/newsroom/2016/sifma-amg-recommends-improvements-to-the-sec-proposed-liquidity-management-rules-for-mutual-funds-and-etfs/.

SIFMA AMG members represent U.S. asset management firms whose combined assets under management exceed $30 trillion. The clients of AMG member firms include, among others, registered investment companies, endowments, state and local government pension funds, private sector Employee Retirement Income Security Act of 1974 (“ERISA”) pension funds, and private funds such as hedge funds and private equity funds.