Advisers Act

/Advisers Act

ShareFile Accounts to Switch to Multi-Factor Authentication

ShareFile Accounts to Switch to Multi-Factor Authentication WHAT HAPPENED? The SEC’s Office of Compliance Inspections and Exams (“OCIE”) has announced that cybersecurity will continue to be a focal point for its examinations in 2019.  SEC Chairman Jay Clayton has echoed this sentiment, noting that the agency will include access [...]

OCIE Announces 2019 Examination Priorities

OCIE Announces 2019 Examination Priorities WHAT HAPPENED? On December 20, 2018, the SEC’s Office of Compliance Inspections and Exams (“OCIE”) announced its 2019 examination priorities.  Key areas include cybersecurity, anti-money laundering (“AML”) programs, retail investors (particularly seniors), and entities providing critical market infrastructure services. Cybersecurity Cybersecurity endures as a [...]

OCIE Issues Risk Alert Outlining New Recommendations for Electronic Communications

OCIE Issues Risk Alert Outlining New Recommendations for Electronic Communications WHAT HAPPENED? On December 14th, 2018, the SEC’s Office of Compliance Inspections and Examinations (“OCIE”) released a Risk Alert reminding advisers of their obligations regarding the use of electronic messaging.  Under Rule 204-2 of the Advisers Act (the “Books [...]

Reminder: LAST DAY to Submit IARD Form Filings is December 27th

Reminder: LAST DAY to Submit IARD Form Filings is December 27th WHAT DOES THIS MEAN FOR ME? This is a reminder that the last day to submit form filings via IARD and Web CRD is Thursday, December 27th.  IARD and Web CRD will be available from 5:00 a.m. until 6:00 p.m. EST.On [...]

SEC Charges Dual Registrant with Deficient Compliance Infrastructure

SEC Charges Dual Registrant with Deficient Compliance Infrastructure WHAT HAPPENED? On December 12th, 2018, the Securities and Exchange Commission (the “SEC”) released an Administrative Order to Cease and Desist against a dually registered investment adviser/broker-dealer and its sole principal (collectively, the “Adviser”).  The SEC sanctioned these individuals for violations [...]

SEC Charges Broker with “Cherry-Picking”

SEC Charges Broker with “Cherry-Picking” WHAT HAPPENED? On Wednesday, September 12th, the Securities and Exchange Commission (SEC) charged a broker with allegedly misusing client account information to allocate gainful trades into their own accounts and unprofitable trades into client retirement accounts, also known as “cherry-picking.” Allegedly, the charged broker [...]

RIA Settles SEC Charges for Violations of Advisers Act and Custody Rule

RIA Settles SEC Charges for Violations of Advisers Act and Custody Rule WHAT HAPPENED? On July 17th, 2017, the Securities and Exchange Commission (SEC) released its final charges against a registered investment adviser for violations of the Investment Advisers Act of 1940 (the “Advisers Act”) and Custody Rule. According [...]

Three Investment Advisers Settle with SEC on Campaign Contribution Charges

Three Investment Advisers Settle with SEC on Campaign Contribution Charges WHAT HAPPENED? On July 10th, 2018, the Securities and Exchange Commission (SEC) released its charges against three separate investment advisers in violation of the “pay-to-play” rule. Rule 206(4)-5 of the Advisers Act is designed to address “pay-to-play abuses involving [...]

SEC Charges Investment Advisers and Representatives for Violating Testimonial Rule

SEC Charges Investment Advisers and Representatives for Violating Testimonial Rule WHAT HAPPENED? On July 10th, 2018, the Securities and Exchange Commission (SEC) settled proceedings against two registered investment advisers, three investment adviser representatives and a marketing consultant for distributing advertisements containing testimonials on the internet. The term “testimonial” has [...]

SEC Orders Cease-and-Desist to Registered Investment Adviser for Multiple Violations of the Advisers Act

SEC Orders Cease-and-Desist to Registered Investment Adviser for Multiple Violations of the Advisers Act WHAT HAPPENED? On June 4th, 2018, the Securities and Exchange Commission (SEC) released its order instituting administrative and cease-and-desist proceedings against a registered investment adviser (“Respondent”) found to be in multiple violations of the Advisers [...]