Rule 17d-1 Applications regarding joint enterprises or arrangements and certain profit-sharing plans

Section 17(d) of the Investment Company Act of 1940 (the “Act”) (15 U.S.C. 80a-17(d)) makes it unlawful for an affiliated person of or a principal underwriter for a registered investment company (“fund”), or any affiliated person of such a person or principal underwriter, acting as principal, to effect any transaction in which the fund is a joint or a joint and several participant, in contravention of Commission rules. Pursuant to this provision, the Commission adopted rule 17d-1 (17 CFR 270.17d-1) in 1946 and has amended the rule on numerous occasions. The rule contains two filing and recordkeeping requirements that constitute collections of information. First, rule 17d-1 requires funds that wish to engage in a joint transaction or arrangement with affiliates to meet the procedural requirements for obtaining exemptive relief from the rule’s prohibition on joint transactions or arrangements involving first- or second-tier affiliates. Second, rule 17d-1 permits a portfolio affiliate to enter into a joint transaction or arrangement with the fund if a prohibited participant has a financial interest that the fund's board determines is not material and records the basis for this finding in their meeting minutes. These requirements of rule 17d-1 are designed to prevent fund insiders from managing funds for their own benefit, rather than for the benefit of the funds’ shareholders.

The latest form for Rule 17d-1 Applications regarding joint enterprises or arrangements and certain profit-sharing plans expires 2029-06-30 and can be found here.