SEC Extends No-Action Relief for Auditor Independence
- Monday, October 30, 2017
Contact: Peggy McCaffrey
In a no-action letter issued by the Securities and Exchange Commission (SEC) Division of Investment Management to Fidelity Management and Research Company in June 2016, the SEC provided temporary relief in connection with audit firm independence and Regulation S-X Rule 2-01 (c)(1)(ii)(A), or, the “Loan Rule.”
In addition to meeting the above requirements, funds and their audit committees should keep in close communication with their auditors and keep a close eye on developments surrounding the Loan Rule and its potential reinstatement.