September Regulatory Updates from Jaqueline Hummel at Hardin Compliance Consulting LLC.

Topics include:

• IRS Ruling Allows Advisers to be Paid out of Fee-Based Annuities
• At Long Last… the SEC provides Guidance on Voting Client Proxies
• What’s New with Regulation Best Interest and Form CRS Relationship Summary?
• States Continue to Find Trouble Brewing in Crypto Markets
• Do You Need to Register as a Municipal Advisor?
• SEC Staff Issues No-Action Letter on Hiring Affiliated Sub-Advisers without Shareholder Approval
• New Dues for CPO/CTAs Engaged in Swap Activities
• Ignorance is not Bliss – NFA Takes Emergency Enforcement Action Against Walnut Creek, CA-Based CPO/CTA
• SEC Sanctions Levied Against Boston-Based Adviser for Breach of Fiduciary Duty to Senior Client
• Broker’s Clean Record of 32 Years Tarnished by SEC Insider Trading Fine
• The Other Shoe Drops… SEC Files Case Against Commonwealth Financial for Disclosure Failures for Revenue Sharing After Settling Charges in 12b-1 Sweep
• The Bigger the Conflict, the Bigger the Disclosure

Read the full post here

On August 21, 2019, in a 3-2 vote, the SEC voted in favor of publishing guidance regarding the proxy voting responsibilities of investment advisers. The guidance, structured in a question-and-answer format, provides examples to help facilitate IAs’ compliance with their proxy voting responsibilities under the Investment Advisers Act of 1940, as amended (Advisers Act), and Rule 206(4)-6 thereunder. Importantly, the SEC encourages IAs and proxy advisory firms (PAFs) to review their policies and practices before next year’s proxy season to ensure they are consistent with the guidance.

Read more here.