News Release

SEC Should Adapt Off-Channel Communications Rules for 21st Century

Dinesh Khanna — Fri, 01 May 2026 18:13:10 +0000

SEC Should Adapt Off-Channel Communications Rules for 21st Century Dinesh Khanna May 1, 2026

Public

Fri, 05/01/2026 - 14:13

Washington, DC; May 1, 2026— The Securities and Exchange Commission (SEC) should modernize the Recordkeeping Rule under the Investment Advisers Act of 1940 to better reflect the realities of modern technology, the Investment Company Institute (ICI) wrote in a joint letter with the Investment Adviser Association (IAA) today.

“We applaud Chairman Atkins for his work to refocus the SEC’s enforcement efforts on cases correcting investor harms. Off-channel communications cases involving asset managers under prior SEC leadership saw vastly disproportionate penalties levied for employees using personal devices to send text messages,” said ICI President and CEO Eric J. Pan. “Updating the recordkeeping framework would be a significant step toward achieving our shared goals of investor protection and strengthening market integrity.”

The rule was originally drafted in 1961, and the way organizations communicate, use technology, and account for cybersecurity needs was not anticipated at that time. The ICI letter recommends that the Recordkeeping Rule be adaptable as technologies and business practices continue to evolve. The revised rule should also strike a balance between investor protection measures and the increasing burdens of retention requirements for advisers.

Under previous SEC leadership, advisors were heavily penalized for recordkeeping violations despite good faith efforts to comply. The current Commission has noted that ‘these cases identified no direct investor harm from those violations, produced no investor benefit or protection, and demonstrate what the current Commission views as a misinterpretation of the federal securities laws, a misallocation of Commission resources, and a bias for volume of cases brought versus matters of investor protection.’

ICI welcomes Chairman Atkins’ revised guidelines, which hold advisors accountable while ensuring robust protection for investors. These guidelines avoid setting unreasonably high or unattainable requirements. To support the industry’s robust compliance efforts, the Commission should avoid imposing a strict liability standard and create a safe harbor under the Recordkeeping Rule. The off-channel communications cases displayed the near-impossibility of compliance under a strict liability standard.

The letter also urges the Commission to consider potential cybersecurity and data privacy risks. If privacy and cybersecurity risks are not addressed alongside retention requirements, the rule may inadvertently increase exposure and ultimately harm retail investors.

Read the full letter here.

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Recordkeeping

Securities and Exchange Commission

News Release

ICI Welcomes Focus on Expanding Retirement Saving

Dinesh Khanna — Thu, 30 Apr 2026 20:11:19 +0000

ICI Welcomes Focus on Expanding Retirement Saving Dinesh Khanna April 30, 2026

Public

Thu, 04/30/2026 - 16:11

Washington, DC; April 30, 2026—Investment Company Institute (ICI) Chief of Staff and Chief Strategic Communications Officer Erica Richardson released the following statement regarding President Trump’s executive order (EO) expanding workers’ access to retirement accounts.

“The voluntary retirement system is a clear success of smart government policy meeting the strength and innovation of the private sector. Tax incentives and bipartisan reforms have helped turn investing into a habit for millions, channeling over $30 trillion into Americans’ futures. This model works. We welcome the administration’s focus on expanding retirement saving. The Administration wants to build—let’s work together to build on the foundation already in place to deliver more savings for more American families.”

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Retirement Plans

News Release

SEC Broadens Co-Investment Relief

Dinesh Khanna — Tue, 28 Apr 2026 02:40:17 +0000

SEC Broadens Co-Investment Relief Dinesh Khanna April 27, 2026

Public

Mon, 04/27/2026 - 22:40

Washington, DC; April 28, 2026—Today the Investment Company Institute (ICI) issued the following statement in response to the Securities and Exchange Commission (SEC) no-action letter to an asset manager on co-investment. The no-action relief will allow open-end funds serving millions of American investors to participate in co-investment transactions on a similar basis as other regulated funds. Today’s letter is another example of how the SEC’s push towards “responsible retailization” of the private markets is making significant strides that will benefit everyday investors.

“ICI supports the SEC’s expansion of co-investment relief to include open-end funds, including mutual funds and ETFs. Private markets now represent a multi-trillion-dollar segment of global capital and continue to expand as companies stay private longer and leverage alternative funding sources. For long-term investors, including retirement savers, access to these markets can enhance diversification and broaden the opportunity set within professionally managed portfolios.

“Expanding principles-based co-investment relief to open-end funds allows all regulated funds to participate in negotiated transactions on equal footing with affiliated private funds, consistent with safeguards the SEC has already deemed appropriate for other regulated funds as well as existing SEC regulations for open-end funds, such as the liquidity risk management rule. ICI supports these measured steps to enhance diversification, support capital formation, and align regulation with the realities of today’s markets—all while preserving the strong investor protections at the core of the agency’s mission.”

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Securities and Exchange Commission

News Release

ICI Fact Book Showcases Broad Array of Fund Industry Statistics

Dinesh Khanna — Mon, 27 Apr 2026 17:20:30 +0000

ICI Fact Book Showcases Broad Array of Fund Industry Statistics Dinesh Khanna April 27, 2026

Public

Mon, 04/27/2026 - 11:20

Washington, DC; April 27, 2026—Today, the Investment Company Institute (ICI) published the 2026 edition of the Investment Company Fact Book. Since 1960, the Fact Book, a compendium of the research and analysis conducted by the Institute over the previous year, has served as the most comprehensive source of facts and data about the asset management industry in the United States and across the globe.

“ICI’s Fact Book is the number one resource for industry leaders, policymakers, and regulators looking to understand the depth and breadth of the fund industry, said ICI President and CEO Eric J. Pan. “This work reflects the commitment of ICI’s staff to delivering top-quality research and insights that inform and strengthen the industry.”

ICI Chief Economist Shelly Antoniewicz added that “ICI’s latest edition of Fact Book provides readers with an indispensable source of data and analysis from our expert team. It underscores the industry’s continued innovation, including declining expense ratios and expanded access to retirement plans, helping more investors build long-term financial security.”

Key takeaways in the 2026 edition include:

Worldwide demand for regulated funds remained strong in 2025. Sustained inflows into bond and money market funds—along with strong stock market performance—contributed to a 19% increase in total assets. By year-end 2025, regulated funds managed $88.0 trillion in total net assets worldwide. Net inflows into bond funds remained strong in 2025 at $1.3 trillion.
Net issuance of ETF shares surged to a record $1.5 trillion in 2025, up from a robust $1.1 trillion in 2024. Total net assets of ETFs surpassed $13 trillion in 2025.
Mutual funds (and other regulated funds) have introduced millions of US households to investing and have become well established as a reliable investment vehicle for middle-class families. The share of middle-income households owning mutual funds rose from 43% in 2005 to 57% in 2025.
US households had a record $49.1 trillion earmarked for retirement at year-end 2025—up 11% from year-end 2024. The largest components of retirement assets were IRAs and employer‑sponsored DC plans (including 401(k) plans), which together represented 68% of all retirement market assets at year-end 2025. IRAs and DC plans had 44% of their assets invested in mutual funds at year‑end 2025.

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Fact Book

News Release

SEC’s Form N-PORT Reforms Will Protect Fund Shareholders

Dinesh Khanna — Fri, 24 Apr 2026 18:49:30 +0000

SEC’s Form N-PORT Reforms Will Protect Fund Shareholders Dinesh Khanna April 24, 2026

Public

Fri, 04/24/2026 - 14:49

The Commission’s new proposal calls for strong oversight while reducing unnecessary reporting burdens

Washington, DC; April 24, 2026—The Investment Company Institute (ICI) filed today a letter strongly supporting the Securities and Exchange Commission’s (SEC) proposal to amend Form N-PORT. The new SEC proposal rectifies the not-yet-effective 2024 amendments to the form, adopted under the previous SEC leadership, which ICI concluded to be unworkable. The new proposal will support timely oversight while protecting fund shareholders.

ICI President and CEO Eric J. Pan released the following statement on the proposal:

“ICI welcomes the commission's recognition that Commission for recognizing that the 2024 amendments would have imposed outsized costs and risks on funds and their shareholders. The previous amendments would have increased the risk of predatory trading and imposed unnecessary and heavy burdens on funds.

“We strongly support the more measured approach Chairman Atkins is taking, which will protect all funds and their shareholders. These proposed changes appropriately refine the balance between regulatory insight and operational feasibility.

“We also applaud the Commission for taking a holistic view of the form and proactively recommending additional changes to streamline and eliminate unnecessary data requests that impose meaningful burdens with little corresponding regulatory value.

“ICI looks forward to working with Chairman Atkins and the SEC staff on the implementation of this proposal to help our members better serve more than 125 million Americans investors.”

Read the full letter here.

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Fund Accounting & Financial Reporting

News Release

Inside How Funds Value Private Credit: New ICI Paper

Dinesh Khanna — Mon, 20 Apr 2026 12:27:04 +0000

Inside How Funds Value Private Credit: New ICI Paper Dinesh Khanna April 20, 2026

Public

Mon, 04/20/2026 - 08:27

WASHINGTON, DC; April 20, 2026— As investments in private credit attract more public attention, questions about how these assets are valued are coming into sharper focus. The Investment Company Institute (ICI) today released a new paper outlining how regulated funds approach private credit valuation and the governance frameworks that support it.

The paper, Valuation Governance Considerations for Private Credit Assets in Regulated Funds, captures current industry practices and highlights how firms are approaching valuation as the market evolves, serving as a resource for ICI members, regulators, policymakers, and the public seeking to better understand how regulated funds value private credit.

“Strong valuation practices and governance are critical to supporting fair and consistent treatment of investors,” said ICI President and CEO Eric Pan. “The paper’s comprehensive analysis of valuation practices reflects ICI’s unique ability to convene experts across the industry and translate that expertise into practical guidance.”

The paper was developed through ICI’s Security Valuation Operations Committee Private Credit Working Group, whose members shared substantive feedback and practical experience from their own valuation programs. Outside experts, including valuation specialists, accounting firms, and lawyers, also provided technical and legal review. The result reflects a broad cross-section of industry perspectives, offering insights that only ICI’s industry-wide reach and convening power can provide.

Private credit has evolved into a significant part of the global lending ecosystem, with assets under management increasing from $357 billion at year-end 2010 to more than $1.7 trillion as of June 2025. While business development companies (BDCs) have invested in private credit for decades, other regulated fund structures like interval funds, tender offer funds, and listed closed-end funds, have more recently expanded into the space.

Valuation approaches can vary across fund structures depending on how and when investors transact. For example, an interval fund with a large private credit position and frequent investor activity may update valuations monthly, with daily monitoring, while a listed BDC may follow a quarterly reporting cycle and monitor developments throughout the period. A diversified mutual fund with a small private credit allocation may scale its oversight to reflect the more limited impact on overall NAV. The framework is the same; what differs is how funds apply it.

As private credit markets continue to grow and more investors gain access through regulated funds, maintaining robust and well-governed valuation practices will remain essential. ICI will continue to monitor trends in these evolving markets and bring our data and analytics to bear. Read the full paper here.

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Valuation

News Release

ICI Statement on the EU Market Integration and Supervision Package (MISP)

Dinesh Khanna — Mon, 13 Apr 2026 20:39:49 +0000

ICI Statement on the EU Market Integration and Supervision Package (MISP) Dinesh Khanna April 13, 2026

Public

Tue, 04/14/2026 - 07:39

Brussels, Belgium; 14 April, 2026 - Today, the Investment Company Institute (ICI) published its position paper on the European Commission’s Market Integration and Supervision Package (MISP), setting out targeted recommendations to strengthen the practical functioning of the EU’s cross‑border fund market and support the success of the Savings and Investments Union (SIU).

“The MISP can strengthen Europe’s capital markets if it reduces fragmentation and enables European savings to flow efficiently and at scale across borders through regulated funds. Addressing supervisory divergence, national gold-plating, and unnecessary complexity is essential to making the Single Market work in practice,” said Tracey Wingate, Chief Global Affairs Officer at ICI.

ICI emphasizes that while frameworks like the Undertakings for Collective Investment in Transferable Securities (UCITS) and Alternative Investment Fund Managers Directive (AIFMD) are strong, inconsistent national implementation continues to undermine the effectiveness of the fund passport, raising costs and limiting scale. The paper highlights the importance of curbing divergent supervisory practices and reducing national add-ons to improve predictability, scale, and investor outcomes.

The paper cautions against approaches that would introduce new complexity or disrupt well‑functioning structures without clear supervisory benefit. It calls for recalibrating the proposed annual review of large cross-border asset managers into a structured supervisory convergence mechanism, strengthening ESMA’s coordinating role while preserving clear national supervisory responsibility, and removing the proposed “EU group” concept to maintain a proportionate, evidence‑based approach to delegation.

“Supervisory convergence does not require centralising day‑to‑day supervision at the EU level,” Wingate continued. “What Europe needs is a credible, operational framework that delivers more consistent supervisory outcomes, grounded in evidence and cooperation, while preserving the essential role of national authorities. Getting that balance right will be critical to the MISP’s success.”

ICI looks forward to working with EU institutions and national authorities as the legislative process advances, to help ensure that the MISP delivers tangible improvements in market integration, competitiveness, and investor outcomes.

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Investing in Private Markets Becomes a Reality for Millions of American Retirement Savers

Dinesh Khanna — Mon, 30 Mar 2026 14:39:59 +0000

Investing in Private Markets Becomes a Reality for Millions of American Retirement Savers Dinesh Khanna March 30, 2026

Public

Mon, 03/30/2026 - 10:39

Washington, DC; March 30, 2026—Today the Investment Company Institute (ICI) released the following statement in response to the Department of Labor’s (DOL) proposed rule on Fiduciary Duties in Selecting Designated Investment Alternatives:

“Today the DOL has taken a significant step towards realizing the vision President Trump set out in his executive order encouraging broader investor access to private market assets.

“We look forward to working with the Department to ensure that any final rule follows the key elements set forth in the proposal. This includes permitting 401(k) plan investment diversification among a broad range of asset classes while reinforcing the core principles that apply to plan fiduciaries when making any plan investment decisions. These are key ingredients to ensuring plan participants have a solid foundation for their retirement. In addition, the asset-neutral nature of the proposal is central to ensuring broader incorporation of a wide range of assets by plan fiduciaries as it confirms consistent standards for plan investments.

“More than 155 million Americans are covered by ERISA plans, and they will benefit from expanded access, such as by allowing target-date funds to add private market assets as a component of their investment portfolios. We look forward to continuing to work with the DOL on a final rule that supports innovation and maintains the robust investor protections Americans currently benefit from.”

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Department of Labor

News Release

FSOC Moves Toward More Tailored Systemic Risk Framework

Dinesh Khanna — Wed, 25 Mar 2026 23:22:28 +0000

FSOC Moves Toward More Tailored Systemic Risk Framework Dinesh Khanna March 25, 2026

Public

Wed, 03/25/2026 - 19:22

Washington, DC; March 25, 2026—The Investment Company Institute (ICI) released the following statement after the Financial Stability Oversight Council (FSOC) unanimously voted to publish its proposed interpretive guidance on nonbank financial company determinations:

“ICI applauds FSOC’s proposed interpretive guidance released today, reassessing how the Council designates nonbank financial companies as systemically important. This is a welcome and much needed step toward a more transparent and tailored regulatory framework, and we thank President Trump, Secretary Bessent, and the members of the Council for their leadership. FSOC’s proposed guidance and Senate action to pass the FSOC Improvement Act will strike the right balance of systemic risk regulation and providing opportunities for investors.

“We have long advocated for an activities-based approach to identifying and addressing potential systemic risk. FSOC’s enhanced analytical rigor, including greater use of cost-benefit analysis, along with the inclusion of a pre-designation off-ramp, is consistent with recommendations ICI has put forward for many years.”

“ICI looks forward to working alongside the members of FSOC to promote more robust cost-benefit analysis and increased engagement between companies, primary regulators, and the Council.”

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Financial Stability

News Release

Mutual Fund and ETF Fees Remained Near Historic Lows in 2025

Dinesh Khanna — Wed, 25 Mar 2026 02:41:35 +0000

Mutual Fund and ETF Fees Remained Near Historic Lows in 2025 Dinesh Khanna March 24, 2026

Public

Wed, 03/25/2026 - 10:33

Washington, DC; March 25, 2026— Average expense ratios for both actively managed and index mutual funds have decreased over the past 29 years, contributing to the overall decline in mutual fund expense ratios, a new report released today by the Investment Company Institute (ICI) shows. Similarly, average ETF expense ratios have seen a marked decline since 2017. The report, Trends in the Expenses and Fees of Funds, 2025, finds that from 1996 to 2025, average expense ratios fell 62% for equity mutual funds and 57% for bond mutual funds. Over the past nine years, expense ratios for index equity and bond ETFs have declined by 33% and 50%, respectively.

“The long-term decline in fund expense ratios reflects strong competition and economies of scale across the industry, as well as investors’ increasing preference for lower-cost funds,” said Shane Worner, ICI’s Senior Director of Industry and Financial Analysis. “As assets have grown and new entrants and products have expanded the marketplace, firms have reduced costs and delivered more cost-effective investment options to investors.”

Average Expense Ratios for Both Actively Managed and Index Mutual Funds Have Fallen
Percent

Note: Expense ratios are measured as asset-weighted averages.
Sources: Investment Company Institute, Lipper, and Morningstar

Similarly, Average Expense Ratios for Both Actively Managed and Index ETFs Have Fallen
Percent

Note: Expense ratios are measured as asset-weighted averages. Data exclude ETFs not registered under the Investment Company Act of 1940. For additional data on ETF expense ratios, see Figures S4, S5, and S6 in the statistical appendix.
Sources: Investment Company Institute and Morningstar

Key Findings in 2025

In 2025, the average expense ratio for equity mutual funds remained unchanged at 0.40%.
The average expense ratio for bond mutual funds decreased 2 basis points to 0.36%.
In 2025, the average expense ratio for index equity ETFs remained unchanged at 0.14%.
The average expense ratio for index bond ETFs fell 1 basis point to 0.09%.
As more money market funds continued to pare back expense waivers amid relatively high short-term interest rates, the average expense ratio for money market funds increased 1 basis point to 0.24% in 2025.

Read the full report.

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Mutual Funds

Fees and Expenses

News Release

News Release

SEC Should Adapt Off-Channel Communications Rules for 21st Century

ICI Welcomes Focus on Expanding Retirement Saving

SEC Broadens Co-Investment Relief

ICI Fact Book Showcases Broad Array of Fund Industry Statistics

SEC’s Form N-PORT Reforms Will Protect Fund Shareholders

The Commission’s new proposal calls for strong oversight while reducing unnecessary reporting burdens

Inside How Funds Value Private Credit: New ICI Paper

ICI Statement on the EU Market Integration and Supervision Package (MISP)

Investing in Private Markets Becomes a Reality for Millions of American Retirement Savers

FSOC Moves Toward More Tailored Systemic Risk Framework

Mutual Fund and ETF Fees Remained Near Historic Lows in 2025

Average Expense Ratios for Both Actively Managed and Index Mutual Funds Have FallenPercent

Similarly, Average Expense Ratios for Both Actively Managed and Index ETFs Have FallenPercent

Average Expense Ratios for Both Actively Managed and Index Mutual Funds Have Fallen
Percent

Similarly, Average Expense Ratios for Both Actively Managed and Index ETFs Have Fallen
Percent