- Aiming to boost its oversight of asset managers - mutual funds, hedge funds, private-equity - the SEC is prepping new disclosure rules supposedly to allow the agency to better assess whether the companies pose systemic risk.
- The top 5 firms are: BlackRock (BLK), Vanguard, State Street Global Advisors (STT -0.1%), Pimco (OTCPK:AZSEY -0.3%), and Fidelity.
- Among the concerns are some mutual funds' use of derivatives to boost returns, reports the WSJ, citing sources at the SEC.
- Another issue down the road could be the SEC requiring living wills along the lines of what's been ordered from the largest banks (a fiasco to this point).
- The large asset managers had previously been under scrutiny by the Financial Stability Oversight Council to possibly be labeled as SIFIs, but the FSOC backed down this summer amid a heavy lobbying push by the big players.