SEC Risk Alert: Expense Allocation

SEC Risk Alert: Expense Allocation

The SEC issued a Risk Alert identifying expense misallocation as one of the most widespread compliance problems facing private equity and hedge fund managers. The SEC’s objective in issuing the Risk Alert was “to encourage advisors to assess their [practices] to...
SEC Expense Misallocation Actions of 2017

SEC Expense Misallocation Actions of 2017

The Securities and Exchange Commission (“SEC”) continues to aggressively pursue expense allocation charges against private equity and hedge fund managers. The agency has publicly settled three misallocation enforcement actions in the past few months netting over $2...
Spear Phishing Risks to Hedge Funds: A Case Study

Spear Phishing Risks to Hedge Funds: A Case Study

Hedge fund Tillage Commodities filed a lawsuit last September alleging its fund administrator ignored its own security protocols when it fell for a spear phishing attack and inadvertently wired millions of dollars out of Tillage’s accounts. The fund admin has...
Trump won. What does it mean for financial markets?

Trump won. What does it mean for financial markets?

Defying the polls, odds, and establishment, Donald Trump will be the next President of the United States. Wall Street is likely to experience volatility in short term as Mr. Trump represents a drastic break with the status quo and injects uncertainty into the markets....
Expense Allocation Interactive Timeline

Expense Allocation Interactive Timeline

If you work in the investment industry, you’ve most likely heard the SEC is taking expense allocation seriously and has made it an investigative priority. You might have also heard about SEC misallocation charges resulting in settlements in the millions of...