New SEC Rules Announced for Private Funds – How will you be impacted?
March 3, 2022
On February 9th the SEC proposed five new rules and amendments intended to enhance the regulation of private fund advisers that could have a material impact on registered and unregistered Investment Managers.
The proposals include:
- An increased frequency of reporting for registered private fund advisers
- Requirement for registered private fund advisers to obtain an annual audit for each private fund
- Registered private fund advisers to distribute to investors a fairness opinion related to adviser-led secondary transactions & summarise the relationship between advisor and the opinion provider
- Prohibiting certain activities and practices that are contrary to the public interest and the protection of investors.
- Preferential treatment that would have a material negative effect on other investors would be prohibited, along with all other types of preferential treatment unless disclosed to current and prospective investors.
The SEC has also proposed amendments to the compliance rule under the Advisers Act requiring all registered advisers, including those that do not advise private funds, to document their annual review in writing.
How do you plan to comply? If you would like help in navigating the above please join our SEC expert Marc Leiding from our US operation as he walks you through what these updates mean and how Waystone can help.Panelist: Marc Leiding
Moderated by: Chris Marchioli