News & Events

Corporate Partner Rajib Chanda was quoted in an article in FundFire, a Financial Times news service, titled, “New SEC Rule May Give Interval Funds Big Headaches.” The article focuses on the SEC’s new derivatives rule proposal, which aims to create investor protections around fund use of derivatives and other transactions. In the article, Rajib touches on the potential impact of the proposed rule, noting that while it would primarily impact mutual funds and exchange-traded funds, the provisions will also apply to registered alternative funds, such as interval funds with opportunistic credit strategies.

“A lot of the newer interval funds are credit funds, and many of them use derivatives, such as credit default swaps or interest rate swaps, instead of investing directly in debt instruments,” Rajib says. “The rule is a big issue for these interval funds.”

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