Core Compliance Blog Spotlight

SEC Proposes Amendments to OTC Securities Quotations

Over the past several years, The Securities and Exchange Commission (“SEC”) has brought hundreds of enforcement actions over violations of federal securities involving over-the-counter (OTC) securities, resulting in tens of millions in harm to retail investors. In an effort to increase retail... Read More
Core Compliance Blog Spotlight

SEC Charges Investment Advisers for Failing to Disclose Conflicts of Interest

Strategic Planning Group (“SPG”) agreed to settle charges with The Securities and Exchange Commission (“SEC”) for failing to disclose a conflict of interest by consenting to a cease-and-desist order, censure, and civil penalties of $200,000. Its principals, David A. Rourke and Jarrod A. Sherman... Read More

SEC Releases Proposed Rules Implementing Amendments to Investment Advisers Act of 1940

November 24, 2010

On November 19, 2010, the SEC released two separate but related releases proposing new rules and rule amendments governing the registration of investment advisers with the SEC (and exemptions therefrom) to give effect to provisions of Title IV of the Dodd-Frank Act. The first release includes...

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SEC Small Business Forum on Capital Formation Meets to Develop Recommendations Regarding Implementation of Dodd-Frank Act

November 19, 2010

On Thursday, November 18, 2010, Zac Rosenberg, CCLS Consultant, had the opportunity to participate in the SEC’s 29th Annual Small Business Forum on Capital Formation. The event is designed to give members of the small business community and their advocates the opportunity to provide input and...

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DOL Proposes Expansive New Definition of “Fiduciary” Under ERISA

November 16, 2010

The Department of Labor has published a proposed rule that would amend the definition of "fiduciary" and would significantly expand the categories of persons who would be deemed to be fiduciaries subject to the Employee Retirement Income Security Act of 1974 (“ERISA”).

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SEC Provides Relief from PCAOB Inspection Requirements for Auditors to Private Funds

November 04, 2010

Under Rule 206(4)-2 of the Advisers Act (the “Custody Rule”), investment advisers to one or more private funds are deemed to have custody of the assets in the fund, and accordingly must implement certain procedures designed to protect those assets from loss, misuse or misappropriation. Under the...

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Department of Labor Issues New Disclosure Requirements for 401(k) Plans

October 29, 2010

On October 20, 2010, long-awaited Department of Labor (DOL) rules were released in their final form.  The new rules require plan fiduciaries, specifically the companies sponsoring 401(k) plans, to make detailed disclosures to plan participants. The rule officially takes effect December 20, 2010;...

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SEC Proposes New Family Office Definition Under Dodd-Frank Act

October 19, 2010

Currently, many “family offices” have been structured to take advantage of the exemption from registration under section 203(b)(3) of the Investment Advisers Act for any adviser that during the course of the preceding 12 months had fewer than 15 clients and neither held itself out to the public as...

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CCLS and the Latest Developments in the Financial Services Industry

October 18, 2010

As the regulatory and legal landscape applicable to the financial services industry continues to go through unprecedented changes, CCLS will stay on top of the latest developments and, through this page, provide updates and practical considerations for complying with the new laws and regulations....

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Delaware Supreme Court Holds that Hedge Funds Formed in Delaware May be Required to Disclose Names and Addresses of all Limited Partners Upon Request

October 11, 2010

The Delaware Revised Uniform Limited Partnership Act (“DRULPA”), under which many U.S. hedge funds are organized, entitles limited partners to access partnership information and records for purposes reasonably related to their interest as a limited partner, but DRULPA also provides the general...

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New CFTC Forex Rules to Take Effect Later This Month

October 04, 2010

The Commodity Futures Trading Commission (“CFTC”) has released final rules to drastically revise the regulatory structure pertaining to off-exchange retail foreign exchange (Forex) transactions, which are set to take effect on October 18, 2010. The adoption of the new rules is the latest effort by...

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SEC Announces Upcoming Plans to Implement New Registration, Reporting, and Recordkeeping Requirements for Investment Advisers

September 27, 2010

The Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) includes significant changes to the registration and reporting requirements under the Investment Advisers Act of 1940 (the “Advisers Act”), including requiring many advisers to private funds to register with the...

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