Month: November 2010

SEC to Consider New Rules for Fund Managers

On Friday, The Securities and Exchange Commission will be considering rules that should be of interest to private investment fund managers. It looks like we may have the first look at how the SEC will define a venture capital fund and who will fit into that new exemption to registration under the Investment Advisers Act.

Have you been Dodd-Franked?

On Thursday, December 2nd, 2010, I will be part of panel discussing some of the effects of the Dodd-Frank Wall Street Reform and Consumer Protection Act on real estate investment management firms. The session is open to the public, but not free. Panelists John Schneider, Principal, KPMG LLP Paul D. Schwartz, Partner, Goodwin Procter LLP

Europe’s New Directive on Alternative Investment Fund Management

The European Parliament has approved the Directive on Alternative Investment Fund Managers. European countries will now be setting up a framework for regulating hedge funds and private equity funds. The AIRM Directive passed with 513 votes to 92 with 3 abstentions on November 10. Under the Directive, an “alternative investment fund” is any collective investment

Compliance Bits and Pieces for November 12

Here are some compliance-related stories that I found interesting: Stanford Moved After More Fisticuffs Leaves Him Bruised and Bloodied by Ashby Jones in’s Law Blog He was granted a transfer Monday from a private Texas jail to a federal one closer to his lawyers in downtown Houston. The transfer came in the wake of

Salute a Veteran

U.S. President Woodrow Wilson first proclaimed an Armistice Day for November 11, 1919. “To us in America, the reflections of Armistice Day will be filled with solemn pride in the heroism of those who died in the country’s service and with gratitude for the victory, both because of the thing from which it has freed

Do You need State Licensing if You’re an SEC Registered Investment Adviser?

With Dodd-Frank‘s elimination of the 15 client exemption, thousands (my guess) of private fund managers will need to register with the Securities and Exchange Commission as investment advisers to their funds. For alternative investment funds, like real estate, you’ll need to look at whether you are giving advice regarding securities. If you have less than

Disciplinary Actions Against Chief Compliance Officers

The Chief Compliance Officer should be a model for employee conduct. I don’t thing there is any better way to lead and educate than to set an example. Not all Chief Compliance Officers succeed in this role and some get subject to discipline. Here are some ways to get in trouble. Participation in Wrongful Conduct

Fraud Awareness Week

The Association of Certified Fraud Examiners is urging organizations worldwide to participate in International Fraud Awareness Week, November 7-13, 2010 to help cast a spotlight on the problems arising from fraud. This weeklong campaign encourages business leaders and employees to proactively take steps to minimize the impact of fraud by promoting anti-fraud awareness and education.

Compliance Bits and Pieces for November 5

Here are some interesting compliance related stories that caught my eye recently: Does that Pass the Smell Test by Eilene Zimmerman in the New York Times‘ Career Couch Q. Your boss has asked you to do something that seems unethical. How can you determine whether your suspicions are correct? Ethisphere’s 20 Ethics & Compliance Officers

What is a Security? Is Real Estate a Security?

Previously, I went through the analysis that a fund manager is considered an investment adviser. But left open the question of “what is a security?” That’s a key question for fund managers with alternative investments, like real estate. The Investment Advisers Act gives a very broad definition of a security: any note, stock, treasury stock,