Nine Things to Notice: SEC Examiners’ Focus Areas WHAT HAPPENED? As capital markets shift and the risks to market participants change, so do the focus areas of routine SEC exams. Below are trending items from recent examinations: KEY FOCUS POINTS: Environmental, social, and governance [...]
LIBOR Transition Compliance Risks WHAT HAPPENED? On June 18, 2020, the Office of Compliance Inspections and Examinations of the United States Securities and Exchange Commission (OCIE) announced an exam initiative and issued a subsequent Risk Alert about LIBOR transition preparedness. LIBOR, formerly known as the London Interbank Offered Rate, [...]
OCIE: Private Fund Risk Alert WHAT HAPPENED? On June 23, 2020, the Office of Compliance Inspections and Examinations of the United States Securities and Exchange Commission (OICE), released a Risk Alert which outlines recently observed compliance issues among private fund advisers. Over a third of SEC-registered advisers manage private [...]
Our Firm Filed Form CRS - What Now? WHAT HAPPENED? Initial filings of Form ADV Part 3 (Form CRS) are due by June 30, 2020. For months, retail advisers and their service providers have put much time and effort into understanding, writing, and filing the initial Form CRS document. [...]
Look for Fairview at the NSCP National Conference On Oct. 19-21, 2020, the National Society of Compliance Professionals (NSCP) will hold its annual national conference virtually. In addition to sponsoring the event, Fairview’s Vice President and General Counsel, Amber Allen, will lend her expertise to the conference, speaking on “Evolving [...]
Firm Misused MNPI, Ordered to Pay $1 Million WHAT HAPPENED? On May 26, 2020, the United States Securities and Exchange Commission released documentation detailing an enforcement action against a Los Angeles private equity firm and registered investment adviser, Ares Management, for its misuse of material nonpublic information (MNPI). The [...]
Adviser Fined $60,000 for Custody Rule Violation WHAT HAPPENED? On May 22, 2020, the United States Securities and Exchange Commission published information on an enforcement action against a registered investment adviser, TSP Capital. The firm was investigated, and subsequently disciplined by the SEC for violating the Custody Rule, which [...]
Six Ways to Help Protect Your Firm from a Cybersecurity Breach WHAT HAPPENED? As the COVID-19 pandemic has changed how most industries are conducting business, one of the biggest challenges is the transition to working from home. Many people are using their personal devices for work, often on an [...]
UPDATE: SEC Provides Guidance on Advisory Firms Accepting PPP Loans WHAT'S GOING ON? Many investment advisers have applied for or accepted a Paycheck Protection Program (“PPP”) loan for their firm. Recently, the SEC provided guidance and updates to frequently asked questions (“FAQs”). The updates include potential disclosure obligations relating [...]
SEC Proposes Rule to Modernize Fund Valuation Practices WHAT HAPPENED? Last month, the United States Securities and Exchange Commission released a proposed rule, Rule 2a-5, which would modernize valuation practices for funds. After significant changes to trading practices since the last releases on this topic over 50 years ago, [...]