The Commission has issued guidance to assist investment advisers in fulfilling their proxy voting responsibilities, particularly where they use the services of a proxy advisory firm, and provides guidance on proxy voting disclosures under
Form N-1A, Form N-2, Form N-3, and Form N-CSR under the Investment Company Act of 1940.
The Commission has issued guidance to assist investment advisers in fulfilling their proxy voting responsibilities, particularly where they use the services of a proxy advisory firm, and provides guidance on proxy voting disclosures under
Form N-1A, Form N-2, Form N-3, and Form N-CSR under the Investment Company Act of 1940.0x20 The Commission has also issued an interpretation of Exchange Act Rule 14a-1(l) that proxy voting advice generally constitutes a solicitation under the federal proxy rules and related guidance regarding the application of the antifraud provisions in Exchange Act Rule 14a-9 to proxy voting advice.
Finally, the Commission anticipates considering in the future proposed amendments to Form N-PORT and
Form N-1A related to disclosures of liquidity risk management for open-end management investment companies.
For instance, Form N-1A requires investment companies to present financial data in comparative columns "for each of the last 10 fiscal years." (45) Funds should also provide fee data for each of these periods so that investors can determine whether adviser compensation aligns with fund performance over time.
This supplementary section could be added to item 26 of Form N-1A, which requires a discussion of the factors that a fund's board uses to decide whether to approve an advisory contract.
See SEC, FORM N-1A, at item 3, instruction 3(e) [hereinafter FORM N-1A], available at http://www.sec.gov/about/forms/formn-1a.pdf (last visited Jan.
(32.) This Part will review the disclosures required of mutual funds on Form N-1A, the registration statement, which, in contrast to Forms N-SAR and N-Q, contains significant information about advisory fees.
(45.) FORM N-1A, supra note 25, at item 4(b)(2)(ii).
The SEC has adopted amendments to Form N-1A requiring certain key information in plain English in a standardized order at the front of each mutual fund's prospectus.
The summary prospectus must have the same information and order as the Form N-1A amendments.
