SEC proposes more flexibility for interval funds and broader expense disclosures
October 5, 2026 4:41pm
The SEC has proposed changes to the rules governing interval funds and other regulated closed-end funds. The plan would adjust periodic share repurchases and li...
The SEC has proposed changes to the rules governing interval funds and other regulated closed-end funds. The plan would adjust periodic share repurchases and liquidity management. It would also allow multiple share classes under amended rules. Additional investor disclosures would cover expenses and prospectus information. The commission published the proposal October 5; the amendments remain proposed changes.
5-Second Takeaway
The SEC has proposed changes to the rules governing interval funds and other regulated closed-end funds.
Why This Matters
The plan would adjust periodic share repurchases and liquidity management. It would also allow multiple share classes under amended rules.
What Changed
- The SEC proposal addresses interval funds under the Investment Company Act of 1940.
- Interval funds make periodic offers to repurchase shares at net asset value.
- The proposed changes would give funds more flexibility in repurchase offers and modify liquidity-management requirements.
- Other amendments would allow registered closed-end funds and business development companies to issue multiple share classes.
- The plan adds related prospectus disclosures and expense information in shareholder reports.
- The SEC would also change the dollar amount used in prospectus expense examples and rescind related exemptive orders.
- The SEC published proposed-rule document 2026-20360 on October 5, 2026.
Key Facts
- The SEC proposal addresses interval funds under the Investment Company Act of 1940.
- Interval funds make periodic offers to repurchase shares at net asset value.
- The proposed changes would give funds more flexibility in repurchase offers and modify liquidity-management requirements.
- Other amendments would allow registered closed-end funds and business development companies to issue multiple share classes.
Key Numbers
- The SEC proposal addresses interval funds under the Investment Company Act of 1940.
- The SEC published proposed-rule document 2026-20360 on October 5, 2026.