The staff of the SEC’s Division of Investment Management (the “Division”) issued a new statement (the “Staff Statement”) on May 27, 2020, addressing the intersection between state control share acquisition statutes and the voting requirements contained in section 18(i) of the Investment Company Act of 1940 (the “1940 Act”). The Staff Statement effectively replaces a previous no-action position which addressed how the Maryland Control Share Acquisition Act should be interpreted in light of the requirements of section 18(i) of the 1940 Act.

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