Investment Management & Securities
Bitcoin and Investment Advisers
Posted in Investment Management & Securities
Bitcoin and other Cryptocurrencies With recent developments in the regulatory, legal, and compliance landscape surrounding Bitcoin and a spot Bitcoin ETF (i.e., an ETF backed by physical Bitcoins. If the value of the digital coins backing the ETF rises, the value of the investment will generally be expected to increase),… Continue reading
What is Form N-PX? Who Must File it and When?
Posted in Investment Management & Securities
Effective July 1, 2024, New rule 14Ad-1 requires institutional investment managers that are 13F filers to report say-on-pay votes (see below) on Form N-PX when voting on the approval of executive compensation, including, but not limited to, “golden parachute” compensation in connection with a merger or acquisition, among other matters. IF you are a 13F… Continue reading
Proposed FTC Rule Limiting Non-Compete Clauses
Posted in Employment Law, Investment Management & Securities
The Federal Trade Commission (“FTC”) is proposing a set of rules which, if passed and deemed constitutional would severely limit the use of non-compete clauses between employers and their employees. The proposed rule would, among other things, provide that it is an unfair method of competition for an employer to… Continue reading
The Initial DOL Retrospective Review Approaches
Posted in Investment Management & Securities
The Department of Labor (“DOL”) rule requirement continues with the fast-approaching filing date for an investment adviser’s initial Retrospective Review. While we anticipate assisting many investment advisers with their completion of this new requirement, it is important to understand its purpose and components. For this reason, I asked our colleague,… Continue reading
CFP Board Issues Notice Applying Code and Standards to Cryptocurrency-Related Assets
Posted in Investment Management & Securities
The Code and Standards Apply to Financial Advice About Cryptocurrency-Related Assets On December 5, 2022, the CFP Board issued a notice to CFP professionals in response to questions raised regarding cryptocurrency-related assets. Cryptocurrency-related assets, including cryptocurrency, cryptocurrency exchange traded funds, cryptocurrency derivatives, and interests in business entities that provide services… Continue reading
Use of Testimonials Under the New SEC Marketing Rule for Investment Advisors
Posted in Investment Management & Securities
The SEC’s new Marketing Rule compliance date was November 4, 2022. As part of the Marketing Rule, the SEC expanded advisers’ ability to use client testimonials in marketing materials. With these new marketing powers come certain responsibilities pertaining to obtaining testimonials and disclosures which must be made alongside the testimonials…. Continue reading
Electronic Signatures in Securities Transactions
Posted in Business & Commercial Law, Investment Management & Securities
As we continue to assist Advisors during examinations conducted by the United States Securities and Exchange Commission (the “SEC”), we have noticed questions related to the Advisors’ use of electronic signatures. Earlier this week, we provided guidelines for Advisors using electronic signatures in securities transactions. The legality of electronic signatures… Continue reading
To Sign or Docu-Sign, That is the Question
Posted in Business & Commercial Law, Investment Management & Securities
On November 17, 2020, the U.S. Securities and Exchange Commission (the “SEC”) adopted amendments to Rule 302(b) of Regulation S-T that permits individuals to sign the signature page or other document (“Authentication Document”) with an electronic signature. The amendment allows flexibility in complying with the Authentication Document requirements by providing… Continue reading
New York Investment Adviser Representatives Now Subject to Registration
Posted in Investment Management & Securities
On December 1, 2020, the New York Attorney General announced amendments to the New York Investment Advisory Act (the “Rules”) that will require investment adviser representatives (“IARs”) to register with the state of New York. If you render investment advice from a place of business in New York, now is… Continue reading
State Regulators to Require Licensing for Investment Adviser Representatives Displaced by COVID-19
Posted in Investment Management & Securities
Many investment adviser representatives (“IARs”) employed by or associated with state-registered and SEC-registered/“federal covered” investment advisers have been required to conduct business from their home or other temporary office location in the face of COVID-19. If those displaced IARs are not currently licensed by the states where they are temporarily… Continue reading
