For a registered investment adviser, it’s okay to have the SEC’s Office of Compliance Inspections and Examinations visit you. It’s a big problem if the enforcement division visit. OCIE will issue a deficiency letter asking you to fix any deficiencies it finds. If your noncompliance is serious or the examiners think investor funds are at … Read more »
Year: 2011
The SEC’s Asset Management Unit
Yesterday, Bruce Carton of Securities Docket hosted a webinar: The SEC’s Asset Management Unit and Strategies for Avoiding Trouble in 2011 and Beyond. He managed to get Bruce Karpati, the co-head of the SEC’s Asset Management unit, to participate. Also joining the presentation were John Reed Stark, Managing Director of Stroz Friedberg and former Chief, … Read more »
Pay for Performance from Future Fund Flows
Michael Weisbach Professor and Ralph W. Kurtz Chair in Finance at The Ohio State University, and his colleagues, Ji-Woong Chung, Berk A. Sensoy and Léa H. Stern, are looking a the effect of the pay for performance at private equity funds. One hand, there is the current income from management fees and a percentage of … Read more »
SEC Answers Questions About the Pay to Play Rule
The staff of the Division of Investment Management at the Securities and Exchange Commission has prepared responses to some questions about Rule 206(4)-5 under the Investment Advisers Act of 1940. Here are a few that caught my eye: Question II.6. Covered Associates’ Family Members. Q: Are contributions by an advisory employee’s family members covered under … Read more »
Compliance Bits and Pieces for April 1
Here are some compliance related stories that caught my eye: Playmobil Apple Store Playset from ThinkGeek So when we spotted this amazing Apple Store Playset from PLAYMOBIL™ we were admittedly in a bit of a conundrum. On the one hand, it’s a product designed for children much younger than ourselves. On the other hand, it’s … Read more »
Guidance Under the UK Bribery Act
We have been waiting for some guidance from the United Kingdom about their new Bribery Act since it received Royal Assent last April. The delay on the guidance has delayed the implementation of the Bribery Act itself. Now the guidance is out. The Bribery Act 2010 creates a new offence under section 7 which can … Read more »
Real Estate Funds and the Investment Company Act
Traditionally, private fund managers have looked at the section 3(c)(1) or section 3(c)(7) exemptions from the definition of “investment company” to avoid the restrictions of being regulated under the Investment Company Act. Dodd-Frank defined a “private fund” as being “issuer that would be an investment company as defined in Section 3 of the Investment Company Act, but … Read more »
Are you an Investment Company?
Fund managers are dealing with Dodd-Frank and the requirements under the Investment Advisers Act made by the Securities and Exchange Commission. Of course, a fund manager needs to focus on other areas of financial regulation and enforcement by the Securities and Exchange Commission. Fund managers need to keep focused on how they comply with the … Read more »
Are you an Investment Adviser?
There has been a lot of focus on the effect of Dodd-Frank on private fund managers. Many had relied on the small adviser exception from registration. If you had fewer than 15 clients (funds) you were exempt from regulation. With the loss of that exclusion, the industry has been looking to other ways to fall … Read more »
Compliance Bits and Pieces for March 26
Here are some compliance related stories that recently caught my eye: PEI Media’s Private Fund Compliance Forum Don’t miss your last chance to attend the essential event for compliance professionals in 2011 at a discounted price. Book your place before midnight on Friday March 25 and save $355 off the full delegate price. (I will be speaking on a panel on … Read more »