Tag Archives: Investment Adviser

SEC Proposes Amending Form 13F Reporting Thresholds

Proposed Amendments The Securities and Exchange Commission (the “SEC”) has proposed amendments to Section 13(f) of the Securities Exchange Act of 1934 (“Form 13F”).  The most significant amendment change would raise the current reporting threshold from $100 million, to $3.5 billion.  This change is the first amendment to Form 13F in 45 years, and is … Continue reading SEC Proposes Amending Form 13F Reporting Thresholds

PPP Loans Create Divergent Disclosure Paths for Brokers and Advisers

Payroll Protection Program (PPP) Loans Recent guidelines issued by the Securities and Exchange Commission (SEC) have again shed light on the fact that broker-dealers and investment advisers address disclosure issues differently. Specifically, the Payroll Protection Program (PPP), which was established pursuant to Section 1106(b) of the Coronavirus Aid, Relief, and Economic Security Act (the CARES … Continue reading PPP Loans Create Divergent Disclosure Paths for Brokers and Advisers

Updated Advertising and Cash Solicitation Rules Proposed for Investment Advisers (Part 1 of 3)

The Securities and Exchange Commission (“SEC”) has announced that it is releasing proposed amendments to the advertising and cash solicitation rules impacting investment advisers.  The proposed amendments are to the rules that prohibit certain investment adviser advertisements and payments to solicitors, respectively, under the Investment Advisers Act of 1940 (the “Act”). Neither rule has been … Continue reading Updated Advertising and Cash Solicitation Rules Proposed for Investment Advisers (Part 1 of 3)

OCIE Issues Guidance on Cash Solicitation Rule for RIAs

The Securities and Exchange Commission’s (“SEC”) Office of Compliance Inspections and Examinations (“OCIE”) has issued a Risk Alert to provide investment advisers with information concerning the most common deficiencies the staff has cited relating to Rule 206(4)-3 (“Cash Solicitation Rule”) under the Investment Advisers Act of 1940 (“Advisers Act”).  The Risk Alert includes observations by … Continue reading OCIE Issues Guidance on Cash Solicitation Rule for RIAs

SEC Issues Best Execution Risk Alert

The Office of Compliance Inspections and Examinations (“OCIE”) recently issued a Risk Alert regarding Best Execution The alert was targeted to investment advisers (“advisers”), investors and other market participants with information concerning many of the most common deficiencies that the staff of the Securities and Exchange Commission (“SEC”) has cited in recent examinations of advisers’ … Continue reading SEC Issues Best Execution Risk Alert

Investment Advisers Face Enhanced Information Reporting

The  Securities and Exchange Commission  (SEC) adopted amendments to several Investment Advisers Act rules, including the investment adviser registration data collection and reporting forms to enhance the reporting and disclosure of information by Investment Advisers.  These amendments are intended to improve the quality of information that investment advisers provide to investors and the SEC. “These … Continue reading Investment Advisers Face Enhanced Information Reporting

SEC Releases Updated Instructions for Form ADV Filings with Incomplete Information

In Form ADV and Investment Advisers Act Rules, Advisers Act Release No. 4509, the Securities and Exchange Commission (“SEC”) adopted amendments to Form ADV that have a compliance date of October 1, 2017. As of that date, any adviser filing an initial Form ADV or an amendment to an existing Form ADV will be required to provide responses … Continue reading SEC Releases Updated Instructions for Form ADV Filings with Incomplete Information

SEC Proposes Amendment to Investment Advisers Act to Address FAST Act

The Securities and Exchange Commission ( “SEC”) is proposing to amend the definition of a venture capital fund (rule 203(l)-1) and the private fund adviser exemption (rule 203(m)-1) under the Investment Advisers Act of 1940 (the “Advisers Act”) in order to reflect changes made by title LXXIV, sections 74001 and 74002 of the Fixing America’s Surface Transportation … Continue reading SEC Proposes Amendment to Investment Advisers Act to Address FAST Act

SEC Enforcement Actions Against Investment Advisers Increasing

In the enforcement results summary recently issued by the Securities and Exchange Commission (“SEC”), it was noted that in fiscal year 2016, the SEC filed 868 enforcement actions against financial reporting firms related to misconduct by companies and their executives and misconduct by investment advisers and gatekeepers, as the agency continued to enhance its use … Continue reading SEC Enforcement Actions Against Investment Advisers Increasing

Investment Advisers Face Enhanced Information Reporting

The Securities and Exchange Commission (SEC) has recently adopted amendments to several Investment Advisers Act rules, including the investment adviser registration data collection and reporting forms to enhance the reporting and disclosure of information by Investment Advisers.  These amendments are intended to improve the quality of information that investment advisers provide to investors and the … Continue reading Investment Advisers Face Enhanced Information Reporting

Upshot of SEC’s 2016 Goals – Active Year for Regulatory Rulemaking

In her opening remarks at the annual “SEC Speaks” conference held in Washington, D.C., the U.S. Securities and Exchange Commission (“SEC”), SEC Chairman Mary Jo White cautioned that the SEC should not be considered a mere “disclosure agency,” in that she noted that the SEC would use all of the tools at the SEC’s disposal … Continue reading Upshot of SEC’s 2016 Goals – Active Year for Regulatory Rulemaking

State Exam Programs Reflect Improved Compliance by State Regulated Advisers

Every two years, state securities examiners voluntarily report sample data from their investment adviser examinations to the North American Securities Administrators Association’s (NASAA) Investment Adviser Operations Project Group.  The 2015 sample examination data was provided by 42 jurisdictions between January and June 2015 and as a result, NASAA has released the 2015 IA Coordinated Examinations … Continue reading State Exam Programs Reflect Improved Compliance by State Regulated Advisers

MSRB to Raise Annual and Initial Fees

The MSRB’s current fee for initial registration under Rule A-12 is $100, an amount that has not been changed since its inception in 1975. During its fee review, the MSRB Board concluded that an increase in the initial registration fee from $100 to $1,000 was reasonable to help defray a significant portion of the administrative and operational costs associated with processing an initial registration.

FinCEN Re-Proposes AML Rule for Investment Advisers

The U.S. Department of the Treasury (“Treasury Department”) submitted its Semiannual Regulatory Agenda for review by The Office of Management and Budget (“OMB”) in April 2015. The semiannual regulatory agenda of the Treasury Department includes regulations that the Financial Crimes Enforcement Network (“FinCEN”) has issued or expects to issue and rules currently in effect that … Continue reading FinCEN Re-Proposes AML Rule for Investment Advisers

Broker-Dealer & Investment Adviser Renewal Update for 2014

2014 Renewal Calendar On November 11, 2013, FINRA posted the online Preliminary Renewal Statements on Web CRD and Web IARD, which commenced the 2014 renewal season for broker-dealers and investment advisers. The FINRA renewal calendar is as follows: November 11, 2013    Preliminary Renewal Statements available on Web CRD/IARD. December 13, 2013    Full payment of Preliminary … Continue reading Broker-Dealer & Investment Adviser Renewal Update for 2014

2013 NSCP Southern Regional Meeting – Atlanta

National Society of Compliance Professionals Panel Information Date: Thursday, March 11, 2013 Time: 10:15am – 11:30am Where: Alston + Bird LLP, Atlantic Center Plaza, 1180 West Peachtree St., Atlanta Ga Investment Adviser, Private funds and Hedge Funds – Books and Records Understanding the nuts & bolts of Advisers Act Rule 204-2, including retention Reconciling the different … Continue reading 2013 NSCP Southern Regional Meeting – Atlanta

SEC Extends Broker-Dealer Reliance on CIPs of Investment Advisers

The SEC has recently issued a No-Action Letter that extends the ability for a broker-dealer to treat an investment adviser as if it were subject to an Anti-Money Laundering Program (AML Program) and rely on the investment adviser to perform some or all of its customer identification program (CIP) obligations under rule 31 CFR 103.122.  However, … Continue reading SEC Extends Broker-Dealer Reliance on CIPs of Investment Advisers

Compliance Date for Form ADV Part 2B Extended by SEC

Compliance Date for Delivery to Clients of the New Form ADV Part 2B Supplements Extended by SEC As a result of the efforts of the Securities Industry and Financial Markets Association (SIFMA), the Securities and Exchange Commission (SEC) has extended the compliance date out four months with respect to the delivery of the brochure supplement … Continue reading Compliance Date for Form ADV Part 2B Extended by SEC

Form ADV Amendments Approved by the SEC

After years of speculation regarding when the proposed changes to the Form ADV Part II would be implemented, the Securities and Exchange Commission (SEC) unanimously adopted the proposed changes on July 21, 2010. The changes will raise the bar on how disclosures will be made to investment advisory clients and will result in all investment … Continue reading Form ADV Amendments Approved by the SEC

White Paper – RIA Registration and Regulatory Issues

6/23/2010 White Paper – RIA Registration and Regulatory Issues Companies and individuals who provide investment advice to others are generally subject to regulation by federal and or state securities regulators.  Therefore, before providing financial advice to anyone, prospective advisers must determine whether registration is required, and if so, what type of registration is appropriate. Where registration … Continue reading White Paper – RIA Registration and Regulatory Issues

White Paper – Dual Registration and FINRA Supervision

As the financial services industry has evolved, the supervision of registered persons that are dually registered or affiliated, either with another broker-dealer, an investment adviser or other financial services firm has become increasingly complex. While FINRA speaks regularly about how there is no “one size fits all” approach to compliance, it is clear that supervisory issues … Continue reading White Paper – Dual Registration and FINRA Supervision