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More Findings on SEC Exams of Private Funds

Andrew Bowden unloaded a truckload of information at the recent CFA Institute in Boston. Andrew Bowden is the Director of the U.S. Securities and Exchange Commission’s Office of Compliance Inspections and Examinations. His comments were based on audience questions, instead of a prepared speech. You can’t find it on the SEC website, but you can […]

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How Does the SEC Use Form PF in Adviser Exams?

You slave over Form PF trying to get the information demanded by the Securities and Exchange Commission. What happens to that data? The Dodd-Frank Wall Street Reform and Consumer Protection Act Section 404 directed the SEC to establish reporting requirements for investment advisers to private funds as necessary and appropriate in the public interest and […]

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Cybersecurity and Private Funds

The Securities and Exchange Commission has off-an-on expressed concerns about cybersecurity for broker-dealers and registered investment advisers. Now it’s officially concerned. The SEC’s Office of Compliance Inspections and Examinations has announced a new cybersecurity initiative. The Risk Alert follows the announcement of a technology element in OCIE’s 2014 examination priorities and the SEC’s March 26, 2014 […]

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The SEC Has Seen Your Private Equity Fees And Is Not Happy With Them

According to a story in Bloomberg, the Securities and Exchange Commission has examined about 400 private equity firms and found that more than half have charged “unjustified fees and expenses without notifying investors”. The editor decided to change the headline from “unjustified” to “bogus”. Fees and expenses charged by a fund manager to investors in […]

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What Are the Implications of the SEC’s New Private Fund Exam Unit

Greg Roumeliotis and Sarah N. Lynch are reporting in Reuters that the Securities and Exchange Commission has formed a new group dedicated to the exam of private equity and hedge funds. This new private fund unit will be co-chaired by Igor Rozenblit and Marc Wyatt. Rozenblit is coming from the asset management unit of the […]

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Get Ready for the SEC to Knock on Your Door

With the SEC’s presence exam initiative for new registrants and the Never-before-examined initiative for existing registrants, the odds have never been greater that the SEC will knock on your door and start an examination. I’ve also heard from a friend that the SEC is coming in for a full blown examination of her firm. (I […]

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Create an Introduction for the SEC

The chances are greater than ever that the Securities and Exchange Commission will show up in your lobby. Be prepared and have an introductory presentation for them. The SEC’s Office of Compliance Inspections and Examinations is continuing on its presence exam initiative. Those exams are shorter which means the examiners can get to more fund […]

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Never Been Examined by the SEC? Look in the Lobby

With the flood of new registered investment advisers after the enactment of Dodd-Frank, the Securities and Exchange Commission launched the presence exam program. The goal was to get to a big chunk of the newly registered fund managers. What got left out was the big chunk of investment advisers who had never been examined. That […]

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SEC Document Request Letters

As a fund manager one of the best ways to be prepared for a visit from the Securities and Exchange Commission is to practice. You should grab a recent document request from a SEC examination. Then give yourself one week to pull all the requested information together in a coherent package. I put together a […]

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OCIE Director Drew Bowden On Exams, CCO liability and more

IA Watch was able to get Drew Bowden, the Securities and Exchange Commission’s Director of the Office of Compliance Inspections and Examinations, to sit down for an interview. “The best thing [CCOs] can do is to be organized, be responsive and be helpful to the examination staff”. This can be measured by how timely you […]

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