Will New Administration Speed VA Summary Prospectus?

President Trump's nominee for SEC Chairman, Jay Clayton, could speed authorization of the variable annuity (VA) summary prospectus and related layered disclosure and shortened underlying fund report to shareholders. Doing so would be consistent with the President's stated objectives of relieving companies of regulatory burdens, reducing company costs, and benefiting investors.

It has been more than nine years since the SEC proposed summary prospectuses for mutual funds and more than eight years since it adopted an authorizing rule. It also has been more than seven years since then-SEC Chairman Mary Schapiro announced that the staff had begun developing a VA summary prospectus, and about four years since then-Director of the Division of Investment Management Norm Champ announced that the staff was working on the VA summary as a "regulatory priority."