In October 2010, the Securities and Exchange Commission created a new Part 2 for Form ADV. Instead of filling in blanks, investment advisers need to create a brochure for delivery to clients and prospective clients. For fund managers getting ready to register, that means writing a brochure, not just filling in boxes. One question for … Read more »
Year: 2011
Want to Attend Interact 2011?
I’m not going to be able to make it to Interact 2011 this year, but the event organizers have offered some conference passes for me to dole out to readers of Compliance Building. (You will have to get there on your own and pay for accommodations.) If you are interested in attending, leave a comment … Read more »
Nursing Mothers and Compliance
An amendment to the Fair Labor Standards Act included in the recent Health Care reform law imposes a new requirement on the workplace. Employers must now provide “reasonable” unpaid breaks to nursing mothers in the first year after birth. The health care law adds a new provision to the FLSA, 29 U.S.C. §207(r)(1), which allows … Read more »
Lawyers and Insider Trading
Even smart people do dumb things. Lawyers presumably know the law, but still break it. That means they occasionally take some short term profits through insider trading and get caught red-handed. Everyone is focused on the Galleon Group insider trading trial happening in Manhattan, threatening to put Raj Rajaratnam in jail. That case is complicated … Read more »
Compliance Bits and Pieces for March 18
Here are some compliance-related stories that recently caught my eye: April 5 Webcast: The SEC’s Asset Management Unit and Strategies for Avoiding Trouble in 2011 and Beyond in Securities Docket In this webcast, Bruce Karpati, the co-head of the SEC’s Asset Management unit since its inception, will discuss his unit’s successes over the past year, … Read more »
Should You Invest in the World’s Most Ethical Companies 2011 Edition
The Ethisphere Institute announced its fifth annual selection of the World’s Most Ethical Companies, highlighting 110 organizations that lead the way in promoting ethical business standards. Of the 110 companies honored this year, 74were on the 2010 list. (If you need help with the math, 36 are new to the list in 2011 and 26 … Read more »
The Small Business Capital Access and Job Preservation Act
With the House of Representatives’ change in political control, the Republicans are taking some steps to cut back on Dodd-Frank. Earlier this week the House Committee on Financial Services distributed a press release about five potential bills that would revise the financial service legislation: The Asset-Backed Market Stabilization Act The Small Company Capital Formation Act … Read more »
More on the Proposed Limitations on Compensation for Fund Managers
There is a new joint federal rule in the works for all financial institutions. This will lump together banks, credit unions, broker-dealers and investment advisers. If you have more than $1 billion in assets under management, you need to pay attention to this rule. Section 956 of the Dodd-Frank Wall Street Reform and Consumer Protection … Read more »
SEC’s Pay-to-Play Rule Is Effective Today
If you have (or want to have) government investors in your private fund then you need to be in compliance with Rule 206(4)-5 starting today. Summary (from the SEC): The Securities and Exchange Commission is adopting a new rule under the Investment Advisers Act of 1940 that prohibits an investment adviser from providing advisory services … Read more »
Compliance Bits and Pieces for March 11
These are some compliance-related stories that recently caught my eye. Inside The Mind of An Inside Trader by Francine McKenna in re: The Auditors No Big 4 audit firms or their partners have been named in the insider trading scandal surrounding the now-defunct hedge fund Galleon Management. But the SEC has accused one of the … Read more »