On April 30, MFA submitted a letter to the SEC in response to its proposal to update the regulatory framework for fund of funds arrangements. In the letter, MFA requests that the SEC include private funds in the scope of rule 12d1-4 so they may invest in the same manner and subject to the same conditions as registered funds. The letter explains that including private funds would avoid creating an unlevel playing field and would have clear benefits for investors and capital allocation across U.S. markets and maintain investor protection to the same extent as registered funds. In addition, the extensive regulatory and reporting requirements applicable to SEC-registered private fund managers would provide the SEC with appropriate oversight to ensure compliance with the rule. The letter also recommends certain amendments to the rule as proposed to provide additional flexibility for private funds to benefit their investors while continuing to protect investors generally. Finally, the letter recommends that, if the SEC nevertheless determines to exclude private funds from rule 12d1-4, it should at a minimum allow additional investments by private funds in ETFs subject to appropriate conditions.