OCC Revises Short-Term Investment Fund Rule

The Office of the Comptroller of the Currency has adopted an interim final rule, effective immediately, to revise its short-term investment fund rule for national banks acting in a fiduciary capacity. Under the rule, banks may temporarily extend maturity limits of these funds to address the stress in financial markets.

Alongside the interim final rule, the OCC announced an order extending maturity limits for STIFs in cases where doing so is in the best interest of the STIF and the bank makes necessary amendments to the written plan for the STIF reflecting those changes. The relief in the administrative order ends July 20, 2020, unless amended before that date.