The Securities and Exchange Commission says it hasn’t yet determined whether to propose a rule requiring firms to disclose their political activities, but proponents of such a rule say they’re increasingly confident the SEC will issue a recommendation. The rule … Continued
Further proof that you can do just about anything as long as you disclose it first. Take the recent enforcement action “In the Matter of Ross Mandell (Initial Decision Release No. 478, January 3, 2013)” The Findings of Fact section … Continued
Just a reminder that the annual super account administrator certification begins this coming Monday (Jan. 14th).
The Securities and Exchange Commission today announced that Enforcement Director Robert Khuzami will leave the agency after nearly four years of leadership. During Mr. Khuzami’s tenure, the Enforcement Division filed scores of significant actions connected to the financial crisis and … Continued
Dear Compliance Professional, Continuing on with our New Year’s compliance resolutions. . . Conduct a Risk Assessment It is clear from the recent trend of SEC examinations that regulators are sanctioning advisory firms that do not conduct an annual risk … Continued
A really helpful list for investment advisers from the SEC Office of Compliance Inspections and Examinations. http://sec.gov/about/offices/ocie/ocie_guidance.shtml
Read your firm’s E & O insurance to make sure it covers what you do in your advisory business. Have a whistleblower policy. Have a pay-to-play policy.
It is interesting that a significant number of the standards imposed on investment advisers today have been developed through the SEC’s institution of enforcement actions rather than through their rulemaking authority under the Advisers Act.
FINRA recently issued guidance stating that it will now accept requests for arbitration on a voluntary, case-by-case basis from investors and investment advisers, provided the parties meet certain conditions. Guidance on Disputes between Investors and Investment Advisers who are not … Continued
Dear Compliance Professional, As we start the new year, I think it appropriate that investment advisers add a few compliance-related resolutions to go along with the more typical “eat healthy, exercise more” resolutions we usually break by the second week … Continued
Important News from FINRA: As you may be aware, one of your responsibilities as your firm’s Super Account Administrator (SAA) is to complete the annual FINRA Entitlement User Accounts Certification Process. This certification process–which for 2013 begins Jan. 14 and … Continued
Because I receive a live feed from the SEC, I get between 6 and 12 SEC press releases every day. Most deal with actions brought by the SEC against a variety of individuals and firms and most are, quite frankly, … Continued
Robert Khuzami, director of the SEC’s Division of Enforcement, is reportedly leaving. His departure would mark the fourth major SEC staff exit in the last few weeks, following the heads of the Divisions of Corporation Finance and Trading and Markets and … Continued
The Securities and Exchange Commission today issued an Investor Bulletin to help purchasers of municipal bonds better assess the bonds’ credit risks. The bulletin provides several factors for investors to consider including the type of the bond, the purpose and nature of the … Continued
Dear Compliance Professional, We have just been notified by one of our clients of a wire fraud scam and wanted to bring it to your immediate attention. A cyber criminal created a fake client email message in an attempt to … Continued
We all know that there are regulatory issues specific to registered investment advisers’ use of social media. This article from the Wall Street Journal shows that awareness of your employees use of social media should not be limited to regulatory … Continued
The SEC has implemented a risk-focused National Examination Program (“NAP”). Through this program, the SEC will gather and track information on private equity advisers’: – internal systems, – material changes in business activities such as lines of business or investment strategies, – changes … Continued
In order to provide state-registered investment advisers with a better understanding of what they need to do to “stay out of trouble” we analyzed all the state-level compliance material (e.g., examination request lists, deficiency letters, policy notices, speeches) we have … Continued
. . . that the SEC annually examines only about 8% of the nearly 12,000 advisers registered with the agency.
Attorney, Wall Street Trader, and Middleman Settle SEC Charges in $32 Million Insider Trading Case The Securities and Exchange Commission announced a settlement in a $32 million insider trading case against a corporate attorney and a Wall Street trader. The … Continued