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...
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...
Expense Allocation: Establishing a Benchmark

Expense Allocation: Establishing a Benchmark

It is hard to overstate the risks expense allocation poses to the alternative investment industry: “A hedge fund hired us to investigate a claim of misallocation by one of its investors,” an industry consultant told us. “After a long and costly process, we discovered...