Is Your Fund Name Connoting Safety Misleading Investors?
A Guidance Statement released by the Securities and Exchange Commission’s (SEC) Investment Management Division in early November 2013 offers a warning to mutual funds and other investment companies to avoid naming funds in such a way that “suggests safety or … Read More
SEC Elaborates on Issue of Qualified Client Statuses of Specific Private Investors
At the start of November 2013, the Securities and Exchange Commission’s (SEC) Investment Management Division released a Guidance Statement to address certain inquiries regarding the determination of the “qualified client” status under Rule 205-3 of the Investment Adviser’s Act of … Read More
Three Advisory Firms Charged with Violating SEC Custody Rule
The Securities and Exchange Commission (SEC) rounded out a busy month of issuing enforcement actions by charging three investment advisory (IA) firms with violations of Section 206(4) and Rule 206(4)-2 of the Investment Advisers Act of 1940 (the “Custody Rule”). … Read More
Compliance Program Sanctions Made to Three IA Firms Under SEC Initiative
Enforcement actions by the Securities and Exchange Commission (SEC), Financial Industry Regulatory Authority (FINRA), and other US regulatory bodies continue at a steady pace in the fourth quarter of 2013, as the SEC announced in late October that as part … Read More
New NASAA Report Notes Investment Adviser Exam Deficiencies and Provides Suggested Best Practices
On October 7, 2013, the North American Securities Administrators Association (NASAA) released a report summarizing the results of state investment adviser examinations performed by 44 state and provincial securities examiners over the last two years. The report noted the differences … Read More
Best Execution Violations by Nebraska Investment Adviser Lead to Sanctions by SEC
In a recent enforcement case, the Securities and Exchange Commission (SEC) claimed that a Nebraska-based investment advisory firm, Manarin Investment Counsel Ltd., and its owner, Roland R. Manarin, breached a core fiduciary responsibility. The SEC investigation of Manarin found that … Read More
Core Compliance Risk Management Update Profile – Financial Professional Titles: Did You Earn That?
At the end of each month, Core Compliance & Legal Services, Inc. (“Core Compliance”) publishes a Risk Management Update (RMU), an in-depth article written by one of our staff members on a currently relevant topic in compliance, securities, and investment … Read More
Permanent SEC Registration Now Required for Municipal Advisors
In yet another move to pass a series of regulations required under the 2010 Dodd-Frank Act, the Securities and Exchange Commission (SEC) recently adopted a rule mandating the permanent registration of municipal advisors with the agency. Shortly after the passage … Read More