With the January 3, 2023, deadline fast approaching for compliance with Exchange Act Rule 15c2-11, as amended and reinterpreted by the staff of the US Securities and Exchange Commission (“SEC”) to apply to fixed income securities (the “Rule”), the SEC staff granted some temporary relief in a new no-action letter on November 30. Participants in the Rule 144A fixed-income security market, who have been grappling with how to ensure compliance with the Rule, now have an additional two years to consider the issue.

This Legal Update provides further detail, including on a petition to the SEC requesting it amend the Rule (or otherwise provide exemptive relief) to expressly exclude Rule 144A securities.