SEC Reviews Application to Allow Co-Investments by BDCs and Investment Funds

The Securities and Exchange Commission published a notice of an application for an order under sections 17(d) and 57(i) of the Investment Company Act of 1940, and rule 17d-1, to permit certain joint transactions that are otherwise prohibited. The relief sought would allow business development companies, closed-end management investment companies, and open-end management investment companies to co-invest in portfolio companies with each other and with specified affiliated investment entities.

The applicants are Emery Partners Income Credit Strategies Fund, Emery Partners LLC, and EP Alternatives LP. The original filing occurred on June 9, 2026, and an amended filing was submitted on September 24, 2026. The proceeding is identified as Investment Company Act Release No. 36374; File No. 812-16042, and appears in Federal Register Volume 91, No. 211, FR Doc No. 2026-22365.

If the Commission grants the order, the prohibited joint transactions under sections 17(d) and 57(a)(4) would be authorized for the named entities. The order will be issued unless a hearing is requested. Interested persons may request a hearing by emailing the SEC's Secretary and serving the applicants, with requests due by 5:30 p.m., Eastern Time, on November 23, 2026. Requests must include proof of service and comply with rule 0-5, stating the requester's interest, relevant facts, reason for the hearing, and contested issues.

For additional details, the applicants' representations, legal analysis, and conditions are available in the amended application filed September 24, 2026, via the SEC's EDGAR system. Inquiries may be directed to Matthew Cook, Branch Chief, or Laura L. Solomon, Senior Counsel, at (202) 551-6720.