The 18-month transition period came to an end on September 8, 2022 for compliance with the SEC’s final rule that created a new framework for fund valuation practices. New Rule 2a-5 under the Investment Company Act of 1940 establishes requirements for determining fair value in good faith. New Rule 31a-4 requires funds to maintain appropriate documentation to support fair value determinations and, where applicable, documentation related to the designation of the valuation designee. This article provides details on the changes, which apply to all registered investment companies and business development companies regardless of their classification.
Have You Complied with the New Fair Valuation Rules?
Public Company Reporting • October 11, 2022
The 18-month transition period has ended for compliance with the SEC’s final rule that created a new framework for fund valuation practices.
