SEC's White Speaks
SEC Chair Mary Jo White spoke Friday on "Beyond Disclosure at the SEC in 2016." She said, "There is much to report on all fronts, and I will try to capture at least the flavor of the volume and importance of what we accomplished in 2015 and what we are already advancing in 2016." White continued, "Importantly ... we have also continued our discretionary rulemaking in areas that are essential to our mission of protecting investors and the markets.... First, asset management. After adopting final rules for fundamental reforms to the money market fund industry, we turned to executing the broad-based program I outlined in December 2014 to address the increasingly complex portfolios and operations of mutual funds and ETFs.... In September 2015, the Commission proposed reforms designed to promote stronger and more effective liquidity risk management across open-end funds and limit the adverse effects that liquidity risk can have on investors and potentially the broader markets.... Finalizing these rules, as well as advancing proposals for transition planning and stress testing, are among our 2016 priorities for the asset management industry." She adds, "The money market fund reforms coming on line in October of this year go well beyond enhancing disclosure and require prime funds to float their NAV after years of a fixed NAV.... Looking ahead, a number of the Commission's outstanding proposals and initiatives also reflect the careful consideration of tools beyond disclosure. Aspects of our asset management proposals would impose minimum liquidity requirements and limits on derivatives in addition to greater and more standardized disclosures."
