The Employee Retirement Income Security Act of 1974, as amended (“ERISA”), contains provisions that restrict fiduciaries to retirement plans from engaging in certain activities. These prohibited activities include, among other things, self-dealing, implementing principal transactions,[1] and receiving compensation from third … Read More
Often, when broker-dealers and investment advisory firms are sanctioned by the regulators, the question on everyone’s mind is: where was compliance? While most firms are required to have a designated Chief Compliance Officer (“CCO”), few have more than one compliance … Read More
The North American Securities Administrators Association (“NASAA”) recently adopted a new model rule on Investment Adviser Representative (“IAR”) requirements for Continuing Education (“CE”). The new model rule states any IAR registered under Section 404 of the 2002 Act (or 201 … Read More
As the new year begins, there is a great opportunity to enhance your firm’s compliance program and start the year off on a positive note. In this Risk Management Update, we will discuss several recommendations and best practices to consider … Read More
As the year is ending, we know that there are several items that you will be focused on completing. An important item that should be on your list, is confirming that adequate compliance training has been provided to your personnel. … Read More
This year will certainly be one for the history books. The worldwide pandemic continues to impact our country and the way we live. For the financial industry, we have witnessed evolutions and changes of focus in regulatory examinations.
In accordance with Rule 206(4)-7 of the Investment Advisers Act of 1940 (the “Act”), as amended, an investment adviser (“RIA”) registered with the Securities and Exchange Commission (“SEC”) is required to conduct an annual compliance review to assess the adequacy … Read More
Cybersecurity continues to be a top priority for the Securities and Exchange Commission’s (“SEC”) Office of Compliance Inspections and Examinations’ (“OCIE”), especially as the bulk of firms have had to shift to working remotely in light of COVID-19. Just in … Read More
Registered investment companies (“RIC”) are regulated entities subject to various securities laws. One main regulation is Rule 38a-1 under the Investment Company Act of 1940, as amended (“40 Act”), which requires a RIC to adopt and implement a compliance … Read More
Proper Disclosures are a Fiduciary Responsibility One of the most important fiduciary duties of a Registered Investment Adviser (“RIA”) is that of disclosure. Current regulations require disclosure of many aspects of a RIA’s business including, among many things, ownership, business … Read More