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Tag Archives: Division of Investment Management

SEC’s Champ: Staff to Focus on Alt Fund Risk Disclosures

Posted in Investment Adviser Regulation

The Division of Investment Management again has turned its attention to alternative mutual funds, this time ensuring that they adequately disclose risks to retail investors.  In a speech to the SIFMA Complex Products Forum on October 29, 2014, Norm Champ, the Director of the SEC’s Division of Investment Management, called for alt funds (and all… Read More

SEC Staff Warns Against “Disclosure Creep”

Posted in Investment Adviser Regulation

The staff of the SEC’s Division of Investment Management warned against “disclosure creep” invading fund prospectuses in regulatory guidance posted in June 2014. In reviewing registrant filings, the staff cited a “significant number of prospectuses,” which contained disclosure that is “complex, technical and duplicative.”  Moreover, it found many Summary Sections to be “unnecessarily long.” The… Read More

New Regulatory Guidance on Use of Social Media by Investment Advisers

Posted in SEC Enforcement

Acknowledging the growing demand by consumers for information through social media, the Division of Investment Management set some ground rules on how investment advisers can use social media and publish advertisements featuring public commentary about them from social media sites. Click here to read Morrison & Foerster’s summary on the Socially Aware blog. 

SEC Staff Urges Bond Fund Advisers to Reassess Risk Management in Light of Market Volatility

Posted in Fund Independent Directors, Fund Regulation

The SEC’s Division of Investment Management recommends that fixed income fund advisers take steps to assess portfolio risk in light of “potential market volatility” and review the adequacy of related prospectus disclosures. In particular, the staff suggests that fund advisers “consider taking” the following steps: Assess and stress-test liquidity during normal and stressed environments, taking… Read More