The SEC, in a move that would ease access to capital, on March 4 proposed rule amendments to its exempt offering framework that would, among other things, raise the offering limit under a number of existing regulations, and could streamline the exempt offering process. The proposal will be open for public comment for 60 days, before being considered for adoption.
The Investment Adviser Association wants to see the definition of "accredited investor" amended in Regulation Ds Rule 501 to encompass a larger group of entities,including discretionary clients of SEC-registered advisers and "knowledgeableemployees" of private funds. The association made that recommendation, among others, in a comment letter to the SEC.
Every now and then the SEC does something that makes advisers happy. Adoption of the final ETF Rule is one example. Another might be the agency's recent proposal to make the process of applying for exemptions easier.
The SEC is seeking public comment on ways to reform registration exemptions in order to "expand investor opportunities while maintaining appropriate investor protections." The concept release and request for comment is expected to, among other things, look at ways to ease the ability of 401(k)s and other retail investor retirement vehicles to invest in private funds.
Whether applying for a job, seeking to secure financing or sending the SEC an application for an exemptive order or a request for no-action relief, it is always wise to put your best foot forward. No sense damaging your chances with an application that is poorly written, disorganized or omits key information. There are steps that attorneys for advisers, funds and others can take to ensure their process gets off to a good start.
Advisers operating exchange-traded funds better know the rules of the road before moving forward. BlackRock Fund Advisors recently settled with the SEC over allegations that it missed one key requirement - and wound up paying a $1.5 million fine.
The SEC staff put a little something in charitable organizations stockings last month.
Here is part of an actual exam given by Catholic University School of Law Professors Chris Menconi and Bill Kotapish (who hold down day jobs as a law partner at Dykema Gossett and assistant director at the SECs Division of Investment Management, respectively). Answers are at the end of the quiz.1. Which of the following […]
Four months after the fact, the SEC has posted copies of its comment letters on the Blackstone IPO. The letters detail the SEC staffs questions on the firms investment company status analysis, as well as Blackstones responses. The actual data underlying Blackstone’s analysis, however, was submitted “under separate cover,” according to the firms correspondence.
Research and development companies seeking to rely on ICA Rule 3a-8 to avoid investment company status now know exactly how much of their expenses should be R&D related: 20 percent. In a July 12 interpretive letter issued to the law firm of Cooley Godward & Kronish, the SECs Division of Investment Management stated that for purposes […]