Donohue Considering Summary Annual Reports

In a recent speech, Andrew Donohue, the Director of the Division of Investment Management, announced that the SEC is considering a summary annual and semi-annual report for funds that will operate similar to the summary prospectus. He said that the Division is examining the idea of a summary document containing the information “most important to the typical shareholders” while more detailed information would be made available on the internet.

OUR TAKE: We support the idea of summary shareholder reporting documents with available information available via web access. The hard part is determining what will be included/excluded: the shareholder letter, the financials, or the holdings.

http://www.sec.gov/news/speech/2010/spch042410ajd.htm