Good news for those of us in the compliance trenches! 

On June 12, 2025 the SEC formally withdrew 14 rules that were proposed in 2022 and 2023.  In withdrawing the proposals, the SEC stated that they did not intend to issue final rules.  If the SEC decides to engage in rulemaking on these topics in the future, it will do so by proposing new rules.

The withdrawn proposals that are the most noteworthy for investment advisers and registered funds are listed below:

1. Cybersecurity Risk Management for Investment Advisers, RICs and BDCs – proposed February 9, 2022
2. Enhanced Disclosures by Certain Investment Advisers and Investment Companies about ESG Practices – proposed May 25, 2022
3. Outsourcing by Investment Advisers (Service Provider Due Diligence) – proposed October 26, 2022
4. Safeguarding Advisory Client Assets (Custody) – proposed February 15, 2023
5. Conflicts of Interest Associated with Use of Predictive Data Analytics – proposed July 26, 2023

Withdrawing these rule proposals removes the majority of the open SEC rule proposals that would have had a significant impact on investment advisers and registered funds and provides some certainty to the advisory industry moving forward under the new SEC.