Regulatory Filings Archives

Policies and Procedures- SEC Priorities and Areas of Scrutiny

September 13, 2024 by Jacko Law Group, PC

As part of any Compliance Program, your Policies and Procedures provide one of the strongest internal controls for what to do, and when. Policies and Procedures are critical for helping to mitigate risk and provide direction to employees on how to comply with the various securities regulations that govern your business. That is why it is so important, prior to year-end, to review and update Policies and Procedures to ensure they are customized to your business practices, with consideration for new regulations and use of technology to help govern your firm.… Read More

SEC, FINRA Crack Down on “Duty of Care” Violations

August 28, 2024 by Jacko Law Group, PC

Enforcement actions are once again on the rise. The U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) are cracking down on violations of “Duty of Care” highlighting the importance of making sure your clients’ best interests are always top of mind.… Read More

Are you a Prime Target for SEC EXAMS? Determining your Risk Quotient and How to Prepare.

August 15, 2024 by Jacko Law Group, PC

A common question that investment advisers often wonder is: When is the next time the U.S. Securities and Exchange Commission (“SEC”) will examine me?

The answer to this often lies in the risk quotient tied to the firm.

When the last time the adviser was examined, new products and service offerings, and tips, referrals and complaints all factor into this. The SEC has a risk-based approach to determining when advisers should be examined which also can be driven by new rules and resources available to the SEC staff to conduct registrant examinations.… Read More

Considerations for Mergers and Acquisitions in the AI Space

August 5, 2024 by Jacko Law Group, PC

Contrary to analysts’ predictions, mergers and acquisitions (M&As) did not surge as expected in the first part of the year. However, there is one area that continues to see high activity: M&As in the AI sector. Reuters reported a 42% spike in M&A transactions in technology in the first quarter of 2024, bringing in the largest share of M&A deals in that time period.… Read More

Chevron Overturned, Now What? How the Supreme Court’s Decision on Federal Regulators Can Affect You

July 22, 2024 by Jacko Law Group, PC

On June 28, 2024, the Supreme Court overturned the “Chevron Doctrine,” stripping judicial discretion from regulatory agencies and putting it back in the hands of the courts. This event came as a result of a lawsuit against the US Securities and Exchange Commission (SEC), which found that the securities and finance regulatory agency overstepped its judicial power when it tried a fraud case internally and found the accused guilty of fraud.… Read More

Four Hot Topics to Consider for Your 2024 Annual Review

July 2, 2024 by Jacko Law Group, PC

What should you consider when performing your annual review? With so many new regulations and amendments, it can be challenging to keep abreast of what areas the SEC is scrutinizing and expecting advisers to examine closely. You should consider first and foremost the highest risks, as well as the areas that have been in the headlines for the last several months. … Read More

Securities Law Considerations Part 2: SEC Registered Funds, Exemptions and Regulatory Considerations

April 24, 2024 by Eric Leander

The Investment Company Act of 1940, as amended (“40 Act”) defines an “investment company” as an issuer primarily involved in the business of investing, reinvesting, or trading securities. It explicitly prohibits any engagement in buying and selling securities without SEC registration or a valid exemption. Hedge funds and comparable pooled investment vehicles fall under this definition if they meet one of the two exemptions.… Read More

Compliance Considerations for Adding ESG Assets to Your Client Portfolios

January 25, 2024 by Jacko Law Group, PC

Investment Advisers who fail to adopt or acknowledge the societal mind-shift towards sustainability may lose out on potential investors.
Whereas such shifting trends may have been ignored several years ago, overlooking the importance of incorporating investments that adhere to responsible Environmental, Social, and Governance (ESG) practices may border on an investment adviser’s failure to act in the best interest of their investors.
However, it is advisable to take the necessary steps to mitigate risk when adding ESG investment assets to clients’ portfolios.… Read More