Title 15, Commerce and TradeRelease 119-102
§80a–21 Loans by Management Companies
Title 15 › CHAPTER 2D — INVESTMENT COMPANIES AND ADVISERS › SUBCHAPTER I — INVESTMENT COMPANIES › § 80a–21
Summary
Registered management companies must not lend to anyone if their registration papers and reports forbid the loan or if the borrower controls, or shares control with, them. Exception: loans to a company that owns all outstanding securities except directors’ qualifying shares.
Full Legal Text
Title 15, §80a–21
Commerce and Trade, Source: USLM XML via OLRC
It shall be unlawful for any registered management company to lend money or property to any person, directly or indirectly, if—
(a)the investment policies of such registered company, as recited in its registration statement and reports filed under this subchapter, do not permit such a loan; or
(b)such person controls or is under common control with such registered company; except that the provisions of this paragraph shall not apply to any loan from a registered company to a company which owns all of the outstanding securities of such registered company, except directors’ qualifying shares.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
1987—Subsec. (b). Pub. L. 100–181 struck out “to the extension or renewal of any such loan made prior to March 15, 1940, or” after “shall not apply”.
Reference
Citations & Metadata
Citation
15 U.S.C. § 80a–21
Title 15, Commerce and Trade
Last Updated
Aug 21, 2026
Release point: 119-102