SEC and French AMF Sign MOU to Boost Cross‑Border Oversight

What the Agreement Covers

The Memorandum of Understanding establishes a framework for consultation, cooperation, and information exchange between the SEC and the AMF. It applies to investment service providers, investment advisers, and investment companies that are regulated by either authority and operate in the United States and France.

Under the MOU, the SEC will process new and pending registration applications from asset management companies supervised by the AMF that wish to conduct business in the United States as investment advisers. The arrangement is intended to streamline the registration process and ensure that both regulators can share relevant information.

Who Is Affected

The agreement primarily impacts asset management firms and other investment service providers that are supervised by the AMF but seek to offer services in the U.S. market. It also covers investment advisers and companies that are regulated by the SEC and have operations in France, as the SEC will be able to consult with the AMF on matters related to those firms.

By facilitating communication between the two regulators, the MOU is designed to help firms navigate the regulatory requirements of both jurisdictions more efficiently, reducing duplication of effort and potential regulatory gaps.

Why It Matters

The SEC said the MOU exemplifies a spirit of cooperation that expands opportunity and ensures global markets thrive in ways that are flexible, innovative, and protective of investors worldwide. The AMF Chair noted that the agreement strengthens cooperation, supports capital market development, safeguards financial system integrity, and enhances investor protection.

For investors, the agreement means that firms operating across the U.S. and French borders will be subject to more coordinated oversight, which can help prevent regulatory arbitrage and improve transparency. For the industry, the streamlined registration process may lower barriers to entry and encourage cross‑border investment activity.

The MOU reflects a broader trend of international collaboration among securities regulators, aiming to keep pace with the increasingly global nature of financial services.