The Securities and Exchange Commission on January 26, 2022 voted three-to-one to propose amendments to Form Private Fund (Form PF), a confidential reporting form for certain SEC-registered investment advisers to private...more
The staff of the SEC’s Division of Examinations (Division) released a risk alert on November 9, 2021 (Risk Alert) discussing the staff’s observations and findings from the Division’s recent electronic investment advice...more
Whether a cryptocurrency product is a security is an issue with serious regulatory consequences. In recent years, the Securities and Exchange Commission (“SEC”) has taken a broad position that various crypto assets are...more
11/19/2021
/ Bitcoin ,
Blockchain ,
Cryptocurrency ,
Digital Assets ,
Financial Instruments ,
Financial Markets ,
Howey ,
Investment Contract ,
Investment Opportunities ,
Popular ,
Regulatory Agenda ,
Regulatory Oversight ,
Securities and Exchange Commission (SEC) ,
Virtual Currency
The Securities and Exchange Commission has proposed amendments to Form N-PX under the Investment Company Act of 1940 to increase the utility to investors of proxy voting information reported on Form N‑PX by mutual funds,...more
The Securities and Exchange Commission’s Division of Examinations (EXAMS) published its report on 2021 Examination Priorities on March 3, 2021. The 2021 Examination Priorities cover eight broad topics:
- The protection...more
3/30/2021
/ Anti-Money Laundering ,
Cybersecurity ,
Digital Assets ,
ETFs ,
FinTech ,
Form CRS ,
Investment ,
Investment Adviser ,
Investors ,
Regulation Best Interest ,
Retail Investors ,
Securities and Exchange Commission (SEC)
The U.S. Securities and Exchange Commission on December 3, 2020 adopted a long-anticipated rule for the fair valuation of fund investments. Rule 2a-5 under the Investment Company Act of 1940 (final rule or rule): defines...more
On December 22, 2020, the U.S. Securities and Exchange Commission adopted rule and form amendments to modernize the regulatory framework governing investment adviser advertising and payments to solicitors....more
On December 3, 2020, the U.S. Securities and Exchange Commission adopted a long-anticipated rule for the fair valuation of fund investments. Rule 2a-5 under the Investment Company Act of 1940 (final rule) establishes...more
The U.S. Securities and Exchange Commission on October 28, 2020 approved by a 3-2 vote a new rule and rule and form amendments related to the use of derivatives and certain other transactions by registered investment...more
The Enforcement Division of the Securities and Exchange Commission (Division) released its Annual Report on November 2, 2020, providing information concerning its activities over the past fiscal year and outlining key...more
11/23/2020
/ American Depository Receipts (ADRs) ,
Annual Reports ,
Coronavirus/COVID-19 ,
Disgorgement ,
Enforcement Actions ,
Enforcement Statistics ,
Infectious Diseases ,
Kokesh v SEC ,
Liu v Securities and Exchange Commission ,
Securities and Exchange Commission (SEC) ,
Securities Violations ,
Steering Committees ,
Trading Suspension ,
Whistleblowers
The U.S. Securities and Exchange Commission on October 28, 2020 approved by a 3-2 vote a new rule and rule amendments (collectively, Final Rule) related to the use of derivatives and certain other transactions by registered...more
The staff of the Securities and Exchange Commission’s Office of Compliance Inspections and Examinations (staff) issued a National Exam Program Risk Alert on August 12, 2020 (Risk Alert). The Risk Alert is intended to share...more
8/26/2020
/ Broker-Dealer ,
Business Continuity Plans ,
Compliance ,
Coronavirus/COVID-19 ,
Data Protection ,
Fees ,
Fraud ,
Investment Adviser ,
OCIE ,
Popular ,
Registered Investment Advisors ,
Risk Alert ,
Securities and Exchange Commission (SEC)
The staff of the Securities and Exchange Commission’s Office of Compliance Inspections and Examinations (staff) issued a National Exam Program Risk Alert on June 23, 2020 (Risk Alert). The Risk Alert focuses on advisers that...more
7/17/2020
/ Conflicts of Interest ,
Ethics ,
Excessive Fees ,
Fee Disclosure ,
Investment Adviser ,
MNPI ,
OCIE ,
Private Funds ,
Risk Alert ,
SEC Examination Priorities ,
Securities and Exchange Commission (SEC)
The U.S. Securities and Exchange Commission on April 21, 2020 proposed a long-anticipated framework for fair valuation of fund investments. Proposed Rule 2a-5 under the Investment Company Act of 1940 would establish...more
5/26/2020
/ Board of Directors ,
Fair Value Standard ,
Fund Managers ,
Good Faith ,
Investment Adviser ,
Investment Company Act of 1940 ,
No-Action Letters ,
Proposed Rules ,
Rescission ,
Securities and Exchange Commission (SEC) ,
Valuation
On April 21, 2020, the U.S. Securities and Exchange Commission proposed a long-anticipated framework for valuation of fund investments. Proposed Rule 2a-5 under the Investment Company Act of 1940 would establish requirements...more
4/26/2020
/ Board of Directors ,
Comment Period ,
Fair Value Standard ,
Good Faith ,
Investment Adviser ,
Investment Company Act of 1940 ,
Investment Fund Vehicles ,
Popular ,
Proposed Rules ,
Public Comment ,
Securities and Exchange Commission (SEC) ,
Valuation
The Securities and Exchange Commission’s Office of Compliance Inspections and Examinations issued two Risk Alerts (Risk Alerts)1 on April 7, 2020, identifying the scope and content of OCIE’s initial examinations following the...more
The Financial Industry Regulatory Authority, Inc. filed proposed amendments with the Securities and Exchange Commission on March 19, 2020, to FINRA Rule 2111 (Suitability Rule) and Capital Acquisition Broker (CAB) Rule 211...more
As financial markets react to daily, dramatic news headlines concerning the coronavirus pandemic, an oil market price war, extraordinary government responses and the economic and financial fallout, funds and their liquidity...more
The U.S. Securities and Exchange Commission has proposed amendments to Rule 206(4)-1 – Advertisements by Investment Advisers (Current Advertising Rule) and Rule 206(4)-3 – Cash Payments for Client Solicitations (Current...more
2/3/2020
/ Advertising ,
Cash Solicitation Rule ,
Form ADV ,
Institutional Investors ,
Investment Adviser ,
Investment Advisers Act of 1940 ,
Proposed Amendments ,
Publicly-Traded Companies ,
Recordkeeping Requirements ,
Retail Investors ,
SEC Advertising Rule ,
Securities and Exchange Commission (SEC) ,
Securities Regulation
The 2020 Examination Priorities of the Office of Compliance Inspections and Examinations (OCIE) of the U.S. Securities and Exchange Commission were announced on January 7, 2020, and cover eight broad topics:
- Protection...more
2/1/2020
/ Anti-Money Laundering ,
Broker-Dealer ,
Critical Infrastructure Sectors ,
Cybersecurity ,
Digital Assets ,
ETFs ,
Examination Priorities ,
Financial Industry Regulatory Authority (FINRA) ,
FinTech ,
Innovation ,
Investor Protection ,
MSRB ,
Municipal Advisers ,
Mutual Funds ,
OCIE ,
Registered Investment Advisors ,
Registered Investment Companies (RICs) ,
Retail Investors ,
Rulemaking Process ,
Securities and Exchange Commission (SEC) ,
Stock Exchange
The U.S. Securities and Exchange Commission on November 25, 2019 unanimously approved for publication a three-part rule proposal related to the use of derivatives and certain other transactions by registered investment...more
12/17/2019
/ BDC ,
Board of Directors ,
Comment Period ,
Compliance ,
Derivatives ,
Due Diligence ,
Form N-CEN ,
Form N-LIQUID ,
Form N-PORT ,
Investment Funds ,
Oversight Duties ,
Proposed Amendments ,
Recordkeeping Requirements ,
Reporting Requirements ,
Repurchase Agreements ,
Risk Management ,
Securities and Exchange Commission (SEC)
The Enforcement Division (Division) of the Securities and Exchange Commission released its Annual Report on November 6, 2019, summarizing the year’s enforcement activity. It was a record-setting year for the Division due to...more
12/3/2019
/ Annual Reports ,
Appointments Clause ,
Asset Management ,
Civil Monetary Penalty ,
Conflicts of Interest ,
Corporate Executives ,
Cybersecurity ,
Disgorgement ,
Enforcement Actions ,
Financial Institutions ,
Initial Coin Offering (ICOs) ,
Investment Adviser ,
Investment Companies ,
Investor Protection ,
Kokesh v SEC ,
Lucia v SEC ,
Publicly-Traded Companies ,
Restitution ,
SCOTUS ,
Securities and Exchange Commission (SEC) ,
Self-Reporting ,
Share Class Selection Disclosure Initiative (SCSD) ,
Statute of Limitations ,
Suspensions & Debarments ,
Whistleblowers
The U.S. Securities and Exchange Commission on November 25, 2019 approved for publication a three-part rule proposal related to the use of derivatives and certain other transactions by registered investment companies (i.e.,...more
11/27/2019
/ Business Development Companies ,
Closed-End Funds ,
Derivatives ,
ETFs ,
Form N-CEN ,
Form N-PORT ,
Investment Advisers Act of 1940 ,
Investment Company Act of 1940 ,
Leveraged Finance ,
Money Market Funds ,
Open-Ended Fund Companies (OFCs) ,
Proposed Amendments ,
Proposed Rules ,
Registered Investment Companies (RICs) ,
Repurchase Agreements ,
Rule 18f-4 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Transition Relief
The staff of the SEC’s Office of Compliance Inspections and Examinations (Staff) issued a Risk Alert on July 23, 2019, in which the Staff shared observations from its “Supervision Initiative” that “assess[ed] the oversight...more
The U.S. Securities and Exchange Commission, on June 5, 2019, voted 3-1 in favor of adopting a package of rules, amendments and interpretations (Final Rules) intended to improve the retail investor experience and to provide...more
6/12/2019
/ Best Interest Standard ,
Broker-Dealer ,
Compliance ,
Compliance Dates ,
Conflicts of Interest ,
Disclosure Requirements ,
Duty of Care ,
Duty of Loyalty ,
Fiduciary Duty ,
Form CRS ,
Investment Adviser ,
Investment Advisers Act of 1940 ,
New Rules ,
Regulation Best Interest ,
Retail Investors ,
Securities and Exchange Commission (SEC) ,
Standard of Conduct