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A Supreme Court Win for Fund Investors — and the Work That Remains

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The Supreme Court has handed fund investors a decisive victory. In FS Credit Opportunities Corp. v. Saba Capital Master Fund, the Court held 6–3 that Section 47(b) of the Investment Company Act of 1940 does not create an implied private right of action, confirming that responsibility for enforcing the statute rests with the Securities and Exchange Commission.

The Supreme Court held in FS Credit Opportunities Corp. v. Saba Capital Master Fund that Section 47(b) of the Investment Company Act of 1940 does not create a private right of action, preserving the...

The Supreme Court has handed regulated funds and the nearly 130 million Americans who invest in them a decisive victory. In FS Credit Opportunities Corp. v. Saba Capital Master Fund, the Court held 6...