The SEC's Spring 2018 regulatory flexibility agenda included a prospective rule titled "Use of Derivatives by Registered Investment Companies and Business Development Companies," after a similar proposed rule in 2015 was abandoned. It stated that the Division of Investment Management is "considering recommending that the SEC re-propose a new rule designed to enhance the regulation of the use of derivatives by registered investment companies, including mutual funds, exchange-traded funds, closed-end funds and business development companies." The proposed rule would regulate registered investment companies' use of derivatives and require enhanced risk management measures, the notice states.
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