Regulation D Advertising and General Solicitation Amendments Approved By SEC
A proposed alteration to Rule 506 under Regulation D of the Securities Act of 1933 permitting issuers, including private investment funds (e.g., hedge funds), to advertise to a broad investor public was approved on July 10 by the Securities and … Read More
FINRA Withdraws BrokerCheck Website Mandate Rule
The Financial Industry Regulatory Authority, Inc. (FINRA) retracted a rule, proposed this year, requiring brokers to display a URL on their websites and on social media profiles linking directly to their background profiles on the online FINRA-based database BrokerCheck. BrokerCheck … Read More
SEC and The Use of Social Media
The use of social media has become a very convenient and economical way for companies and individuals to share and broadcast information. However, this avenue of advertising and communication has attracted the attention of both federal and state regulators. Last … Read More
SEC Announces Additional Delay on General Solicitation Rule Change
On Friday, August 17, 2012, it was reported that, in response to heavy criticism, the SEC would backtrack on its earlier plans to issue an interim rule lifting the ban on general solicitation and advertising of public offerings required by … Read More
FINRA Rate Increases on the Horizon
In Regulatory Notice 12-32, the Financial Industry Regulatory Authority (“FINRA”) says it needs to increase its fees to cover the costs of regulating an increasingly complex industry. It plans to achieve this by raising the fees on a staggered schedule. … Read More
Ongoing Compliance Concerns with Social Media Use
Rule 206(4)-1 under the Investment Advisers Act of 1940 prohibits any investment adviser (“IA”) from directly or indirectly publishing, circulating or distributing any advertisement that: (i) contains or refers to a testimonial regarding the IA or past recommendations of such … Read More
Paving the Way to Allow General Advertising and Solicitation in Exempt Securities Offerings
As reported in this prior post, efforts to eliminate the prohibition on general advertising and solicitation in Rule 506 of Regulation D have recently gained momentum at the federal level. The states appear to be following suit by proposing new … Read More
Massachusetts Issues Guidance Regarding Use of Social Media by Investment Advisers
Recognizing the rapid growth of the use of social media in the securities industry, the SEC recently released a Risk Alert on the use of social media by investment advisers highlighting concerns that may arise from the use of social … Read More