To amend the Internal Revenue Code of 1986 to provide nonrecognition treatment for certain transfers by common trust funds to regulated investment companies.

[AI summary unavailable — showing source text] Amends the Internal Revenue Code to provide for the nonrecognition of gain or loss for the transfer of common trust fund assets to regulated investment companies in exchange for stock when the stock is distributed to participants of the common trust fund in exchange for their interest in such fund.…