As a fund manager one of the best ways to be prepared for a visit from the Securities and Exchange Commission is to practice. You should grab a recent document request from a SEC examination. Then give yourself one week to pull all the requested information together in a coherent package. I put together a … Read more »
Tag: Rule 204-2
Performance Results in Fund Brochures
Section 206 of the Investment Advisers Act prohibits fraud, deception or manipulation, regardless of whether the fund manager is registered. Once registered, Rule 206(4)-1 imposes additional restrictions on advertising that the SEC has determined would be fraudulent, deceptive or manipulative. The first item on the list of fraudulent, deceptive or manipulative practices is testimonials, which … Read more »
SEC Releases Proposed Custody Rules for Investment Advisers
On May 14, the Securities Exchange Commission said they were proposing New Custody Rules for Investment Advisers. They summarized the proposed rules but did not release the actual text of the proposed rules. Now the proposed rules are available in Release No. IA-2876 (.pdf). Comments must be received on or before July 28, 2009. SUMMARY: … Read more »
Books and Records Requirement for Investment Advisers
The proposed Hedge Fund Transparency Act would require private investment funds to maintain books and records that the SEC requires. Presumably, if the Act passes the SEC would promulgate some regulations addressing what it would require. One place to look would be Rule 204-2 under the Investment Advisers Act. The other place would be Rule … Read more »