Title

Investment Management Regulatory Update - July 2019
Client Newsletter

Created date

7/31/2019

Rules and Regulations

  • SEC Staff Grants No-Action Relief Extending Existing Exemptive Relief under Section 15(a) of the Investment Company Act to Affiliated Sub-Advisers
  • SEC Staff Grants No-Action Relief under Sections 13(a)(1) and 34(b) of the Investment Company Act
  • SEC Adopts Amendments to the Auditor Independence Rules
  • Davis Polk Publishes Visual Memorandum Related to Regulation Best Interest and Related Interpretations
  • SEC Staff Grants No-Action Relief Allowing a Business Development Company to Treat a Proposed Merger as a Realization Event under Section 205(b)(3) of the Advisers Act

Industry Update

  • Allison Herren Lee Sworn In as SEC Commissioner
  • SEC Seeks Public Comment on Ways to Harmonize Private Security Offerings
  • OCIE Issues Risk Alert Regarding Compliance Practices for Employees with a History of Disciplinary Events

Litigation

  • SEC Settles with Large Financial Institution for Overcharging its Clients for Out-Of-Pocket Expenses
  • SEC Charges Investment Adviser and Principal with Fraud for Misrepresentations to Clients and Misappropriation of Investor Funds; Issues Fines of $1.3 Million
  • Manhattan Jury Finds Fund Founder, Trader Guilty of Fraud and Conspiracy to Inflate Fund Valuation