On March 26 at the SEC Speaks 2010 conference, Andrew J. Donohue, the Director of the Securities and Exchange Commission’s Division of Investment Management (Division), stated that he has convened a task force to examine the use of derivatives by all funds registered under the Investment Company Act of 1940 (1940 Act). Mr. Donohue indicated that his concerns about derivatives use by registered funds predated the March 25 SEC press release relating to the Division’s temporary halt in considering exemptive relief applications submitted by exchange-traded funds (ETFs) that plan to make “significant investments in derivatives to achieve their investment objectives.” In the spring of 2009, Mr. Donohue asked the American Bar Association to form a task force to look at registered funds’ use of derivatives.