New ADV Disclosures For Separate Account Managers

SEC registered investment advisers will have to disclose more information about the separately managed accounts they advise, including data on borrowings and derivatives positions, under new amendments to Form ADV planned by the SEC. Read More

SEC Charges Private Equity Fund Adviser as an Unregistered Broker Dealer

Last month, the SEC issued an administrative order sanctioning Blackstreet Capital Management LLC (“BCM”) and BCM’s managing member and principal owner, Murry N. Gunty, for acting as an unregistered broker-dealer, in violation of the Securities Exchange Act of 1934, as well as violations of the Investment Advisers Act of 1940, as amended. Read More

Private Equity Regulatory Challenges

With the advent of the registration requirements, SEC examiners of private equity funds have been focused on internal controls with an intense focus on conflicts of interest, valuation, expense allocation, misrepresentation and other similar compliance and controls. As a result, it is critical for PE firms to identify key compliance risks and then develop their internal controls and risk mitigation to address those key risks. Read More

Enforcement Trends

According to an SEC press release, the agency filed 807 enforcement actions in the previous fiscal year and obtained orders totaling approximately $4.2 billion in disgorgement and penalties. Of the 807 enforcement actions filed in fiscal year 2015, a record 507 were independent actions for violations of the federal securities laws and 300 were either actions against issuers who were delinquent in making required filings with the SEC or administrative proceedings seeking bars against individual Read More

2016 Municipal Advisory Updates

In 2016, many of the Municipal Securities Regulatory Board’s (MSRB) new standards of conduct for Municipal Advisors go into effect. In addition to complying with these new standards, municipal advisors must continue to obtain professional qualifications in order to advise state and local governments on public finance decisions. The Dodd-Frank Wall Street Reform and Consumer Protection Act established the framework for these new initiatives. Read More

Cybersecurity: On-Going Risks & Compliance challenges

The SEC’s Office of Compliance Inspections and Examinations’ (OCIE) National Examination Priorities 2016 release confirms the agency’s continued emphasis on cybersecurity. In its September 2015 Risk Alert, OCIE announced the intention of the Commission to conduct a second phase of targeted cybersecurity examinations of Broker Dealer and Investment Adviser firms. In 2016, OCIE intends to advance those efforts and include testing and assessments of firms’ implementation of procedures and controls. Read More

ReTIRE Initiative

The SEC’s Office of Compliance Inspections and Examinations (OCIE) announced a retirement targeted industry review and examinations (ReTIRE) initiative in June 2015. Read More

New DOL Fiduciary Regulations

On April 6th, The Department of Labor ("DOL") issued the final version of its highly controversial fiduciary regulation package which sets a new standard for investment advice provided to employee benefit plans and individual retirement accounts. Read More

Whistleblower Sweep

In a March press release, the Securities and Exchange Commission (SEC) announced the payment of almost $2 million to three whistleblowers. Read More