United States: The Last Leg: SEC Extends Trading Relief to Share Class ETFs
By: Thoreau A. Bartmann, Jessica D. Cohn, and Kevin R. Gustafson
With this fourth SEC approval, share class ETFs are now ready to go live.
Read MoreUnited States: Did you Predict This? Why Prediction Markets may be Your Next Compliance Headache.
By: Thoreau A. Bartmann, Lance C. Dial, Todd S. Fishman, Pablo J. Man, and Sarah V. Riddell
Prediction markets and event contracts have gone mainstream. Prediction market platforms offer contracts on virtually any event you can imagine, and increasingly advisers and their personnel, including portfolio managers, are signing up. If your compliance program hasn’t caught up to the issues that prediction markets raise, you may have a problem you don’t know about yet.
Read MoreUnited States: 401(k) Plan Access to Alternative Investments–DOL Seeks to Clarify Fiduciary Duties and Proposes “Safe Harbor”
By: Sasha Burstein, Ruth E. Delaney, Pablo J. Man, Robert L. Sichel
On 30 March 2026, Department of Labor (DOL) issued a proposed rule, in response to President Trump’s August 2025 executive order, that seeks to clarify DOL’s position on fiduciary duties in connection with the selection of investment options for participant-directed individual account plans (e.g. 401(k) plans) – including investment options that feature exposure to alternative assets – and would establish a “safe harbor” for fiduciaries who follow a prudent process in making available such investment options to plan participants. Comments on the proposal are due on or before 60 days from the date of publication in the Federal Register.
Read MoreUnited States: A Place for Every Token and Every Token in its Place: The SEC “Airdrops” Its New Crypto Taxonomy
By: Thoreau A. Bartmann, Lance C. Dial, and Sarah V. Riddell
On 17 March 2026, the SEC and CFTC issued a joint interpretive release establishing a formal taxonomy for crypto assets and when such assets are securities under federal law, which is a critical analytical point in determining if regulations apply. While the release is an interpretation of existing laws, and not a final rulemaking, it is a major step toward a durable crypto regulatory regime.
Read MoreUnited States: A Recipe for a Settlement: Why the SEC Sent This Private Fund Advisers “Season and Sell” Valuation Practices Back to the Kitchen.
By: Thoreau Bartmann, Sasha Burstein, and Pablo Man
On 25 February 2026,1 the SEC, in one of the few cases brought to-date against a private fund adviser under Chair Atkins, settled charges with a private fund adviser regarding its valuation practices. This case involved conduct dating back to the early days of the COVID market dislocations, with the SEC finding that the adviser failed to adequately fair value loans it originated and later sold to private fund clients in principal transactions despite significant changes in markets caused by the pandemic.
Read MoreUnited States: Dele-great!: CFTC Staff Allows CPO Delegation Structures to Remain Intact
By: Sarah Riddell, Pablo Man, and Martina Sandoval Iriarte
As previously discussed in our client alert, the industry celebrated the no-action relief from registration as a commodity pool operator (CPO) (the Relief). The Relief, however, raised certain questions in connection with the Commodity Futures Trading Commission (CFTC) staff’s class delegation relief under CFTC No-Action Letter No. 14-126 (Letter 14-126), which requires that the “Designated CPO” to whom the non-registrant (i.e., the “Delegating CPO”) delegates CPO responsibilities be a registered CPO. In particular, the Relief called into question whether private fund general partners or boards of directors of offshore private funds, who are Delegating CPOs, would need to continue delegating CPO responsibilities to a registered CPO pursuant to Letter 14-126 or whether they could instead delegate these responsibilities to a registered investment adviser that relied on the Relief.
Read MoreUnited States: Second Circuit Applies Loper Bright to Reject Reliance on SEC Definition of Investment Adviser in Enforcement Action
By: Thoreau A. Bartmann, Theodore L. Kornobis, and Varu Chilakamarri
The SEC has long taken the position that the “expectation” of receiving profits can satisfy the “receipt of compensation” element needed to be an investment adviser. In an important new summary order, and one of the first applying Loper Bright to the SEC, the Second Circuit vacated Advisers Act liability after concluding that courts must independently construe the statutory definition of “investment adviser” rather than defer to the SEC’s interpretation. The decision has potential implications whenever the SEC relies on its own interpretations of the securities laws in enforcement proceedings.
Read MoreUnited States: It’s Official-The SEC Issues a Revised Enforcement Manual for the First Time in Nearly a Decade
By: Thoreau Bartmann, Theodore Kornobis, and Neil Smith
Understanding the SEC’s Revised Enforcement Manual
Understanding the SEC’s enforcement approach is critical for practitioners and regulated entities alike. One of the few public documents describing how the Division of Enforcement conducts its business is the Enforcement Manual, which provides guidance to staff on conducting investigations, engaging with parties, and resolving matters—including the Wells process and cooperation credit.
Read MoreUnited States: But Wait, There’s More–Names Rule FAQ
By: Thoreau A. Bartmann and Christine Mikhael
On 19 February 2026, the United States Securities and Exchange Commission (SEC) published additional FAQs regarding Rule 35d-1 of the Investment Company Act of 1940, as amended (Names Rule). As you may recall, the SEC adopted the Names Rule amendments in September 2023, extended the compliance date in March 2025, and have published multiple rounds of FAQs. In tandem with these new FAQs, the SEC has delayed compliance with certain N-PORT amendments that related to the Names Rule. More information on the N-PORT amendments can be found in our Blog Post.
Read MoreUnited States: From Fast Track to Fine-Tuned: How the SEC’s New Form N-PORT Proposed Amendments Refine the Rules for Fund Reporting
By: Thoreau A. Bartmann and Christine Mikhael
On 19 February 2026, the SEC proposed further amendments to Form N-PORT (2026 Proposal). In August 2024, the SEC adopted amendments to Form N-PORT that required more frequent and accelerated reporting for registered investment companies (the 2024 Amendments). The 2024 Amendments would have required registered investment companies to file monthly Form N-PORT reports within 30 days of month-end and would have required information related to the newly amended Investment Company Act Names Rule (Names Rule).
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