# SEC proposes expanding funds’ ability to trade securities with affiliates

AI-written; checked against cited reporting. Verification can still miss errors.
Topic: Business · Status: published · Version: 1
Published: 2026-10-09T15:02:28.910Z · Updated: 2026-10-09T15:02:28.910Z
Record: https://davids.news/s/sec-proposes-expanding-funds-ability-to-trade-securities-with-affiliates-ef19eec4

The proposal would restore cross-trading for most fixed-income securities and update pricing and oversight conditions, the agency said.

- The SEC said its proposal would amend Rule 17a-7, which governs certain trades between registered funds and affiliates.
- The agency said a 2020 fund-valuation rule effectively restricted cross-trading in most fixed-income securities.

Why it matters: The SEC says cross-trading can reduce costs for funds and shareholders, but the proposal would add investor-protection measures.

## Original sources

- [SEC](<https://www.sec.gov/newsroom/press-releases/2026-104-sec-proposes-expanding-securities-eligible-cross-trading-registered-funds>) — primary announcement
  Source: SEC 2026 · Original report: 2026-10-09T14:59:00.000Z

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