SEC Proposes Amendments To Mutual Fund And ETF Disclosure Framework

The SEC proposed amendments designed to tailor mutual fund and exchange-traded fund ("ETF") disclosures to the needs of retail investors. The proposal would amend the mutual fund and ETF disclosure framework as follows:

• Shareholder Reports. The proposed amendments would limit the length and complexity of annual and semi-annual reports in order to make disclosures more "concise and visually engaging." Shareholder reports would be designed to highlight key information for retail investors, including information relating to fund expenses, performance, and portfolio holdings. In addition, the proposal would provide funds with the flexibility to make electronic versions of shareholder reports more interactive.