The SEC’s Office of Compliance Inspections and Examinations (“OCIE”) identified the following five areas of compliance deficiencies or weaknesses frequently found during its staff’s examinations of SEC-registered investment advisers:
(1) Rule 206(4)-7 (the “Compliance Rule”) under the Investment Advisers Act of 1940 (the “Advisers Act”);
(2) required regulatory filings;
(3) Rule 206(4)-2 under the Advisers Act (the “Custody Rule”);
(4) Rule 204A-1 under the Advisers Act (the “Code of Ethics Rule”); and
(5) Rule 204-2 under the Advisers Act (the “Books and Records Rule”).
The Risk Alert can be found here.
