News & Insights: Compliance Administration

Five Investment Advisers Charged by the SEC for Marketing Rule Violations

On April 12, 2024, the Securities and Exchange Commission (SEC) announced that it settled charges against five registered investment advisers for Marketing Rule violations.

Off-Channel Communications and Recordkeeping Among RIAs Remains a Top Priority for SEC

The Securities and Exchange Commission (SEC) has fined several companies in recent months for off-channel communications and record-keeping. At the recent SEC Speaks conference, Sanjay Wadhwa, deputy director of the Division of Enforcement, said the SEC considers several factors in determining the fine amount, including size of the firm, breadth and depth of the violations, whether a firm self-reported, level of cooperation, and more.  

SEC Risk Alert on “T+1” Settlement Cycle

On March 29, 2024, the Securities and Exchange Commission’s Division of Examinations (EXAMS) published a Risk Alert on changes to the securities transaction settlement cycle. The Risk Alert noted that, as of May 28, 2024, “the standard settlement cycle for most transactions in US securities will shorten from two business days (‘T+2’) to one business day (‘T+1’).”

SEC Adopts Reforms Relating to Internet Investment Advisers

On March 27, 2024, the Securities and Exchange Commission (SEC) adopted amendments to the rule that allows certain internet investment advisers to register with the SEC (the “internet adviser exemption”).

SEC Exams Remain Focused on New Marketing Rule

This year, Securities and Exchange Commission (SEC) Exams will remain focused on the new Marketing Rule, as well as AI, according to Natasha Vij Greiner, deputy director of the SEC’s Division of Examinations, who recently spoke at the Investment Advisers Association (IAA) Compliance Conference in Washington, D.C. 

FinCEN Proposes AML Rule for SEC Registrants and Exempt Reporting Advisers, Again

On February 13, 2024, the Financial Crimes Enforcement Network (FinCEN) proposed a new rule to combat the investment of illicit funds in the U.S. financial system. The proposed rule would require certain investment advisers to apply Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) requirements pursuant to the Bank Secrecy Act (BSA). 

SEC starts 2024 with Charges Against More Firms for Off-Channel Communications Failures

On February 9, 2024, the SEC announced charges against five broker-dealers, seven dual registrants, and four advisers for recordkeeping violations related to electronic communications.

SEC Marketing FAQ: Net IRR Guidance for Private Funds

On February 6, 2024, the SEC updated its Frequently Asked Questions page for the new Marketing Rule. The page now has four questions and four answers, which provide clarity on items such as the compliance date of November 4, 2022, and an adviser’s ability to comply early; the prescribed time period requirement and conditions on the use of interim performance information; presenting performance of one investment or group of investments in a private fund; and calculation of gross and net performance.

SEC Adopts Additional Amendments to Form PF

On February 8, 2024, the SEC adopted additional amendments to Form PF that build on those adopted in May and July of 2023. The amendments will require SEC-registered advisers to private funds, particularly advisers to hedge funds, to report additional information on Form PF. The amendments’ effective and compliance dates will be one year after their publication in the federal register.

Private Fund Reforms: Restricted Activities

On August 23, 2023, a divided SEC voted to adopt enhanced regulations of private fund advisers. These included two rules that all investment advisers managing private funds must follow: the Preferential Treatment Rule and the Restricted Activities Rule. 

Click below to view General Filing Deadlines and SEC Holidays

Regulatory Calendar

Stay up to date on the latest industry news and resources.

Filter by Category

Filter by Topic

Fairview

Fairview has been providing streamlined solutions to providers in the financial services industry since 2005. We are part of ViewPoint Partners, our employee-owned parent company for both Fairview and FilePoint, which provides regulatory reporting solutions for registered investment companies.

©2024 Fairview® Investment Services, LLC. All rights reserved.

1330 St. Mary’s St.
Suite 400
Raleigh, NC 27605

info@fairviewinvest.com
919.706.4100
FAX: 800.770.9925