By Seth Gaudreau and Stephen Wilkes On June 8, 2023, the Securities and Exchange Commission’s (“SEC”) Division of Examinations (the “Division”) published a risk alert (the “Risk Alert” - found here)...
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SEC Issues New Guidance For Investment Advice Obligations
By Stephen Wilkes and Seth Gaudreau On April 26, 2023, the U.S. Securities and Exchange Commission (“SEC”) published a Staff Bulletin (the “Bulletin”) reiterating the care obligation standards of...
IRS Issues Guidance on Nonfungible Tokens (“NFTs”) in IRAs and Tax-Qualified Individual Account Plans
By Barry Salkin and Jon Schultze Unlike ERISA, the Internal Revenue Code (“Code”) places almost no restrictions on the manner in which plan assets of individual retirement plans or tax-qualified...
The Wagner Law Group Ranked Among the Largest Women-Owned Businesses in Massachusetts
The Wagner Law Group Ranked Among the Largest Women-Owned Businesses in Massachusetts - March 15, 2023
The Largest Women-Owned Businesses in Massachusetts
The Largest Women-Owned Businesses in Massachusetts - Boston Business Journal, February 24, 2023
Rudy Adolf Dodges Questions on Focus Financial Earnings Call
Rudy Adolf Dodges Questions on Focus Financial Earnings Call - Ari Sonneberg, RIABiz, February 21, 2023 (PDF)
Was the DOL FAQed Out and Rolled Over? Second Court Rejects DOL’s Interpretation of ERISA’s Fiduciary Rule
By Andrew Oringer Two recent federal courts, in Carfora v. TIAA, No. 1:21-cv-08384 (S.D.N.Y. Sept. 27, 2022) and American Securities Association [“ASA”] v. U.S. Department of Labor, No....
Expectations of the Fiduciary and Retrospective Review
Expectations of the Fiduciary and Retrospective Review - Stephen Wilkes, panelist, National Society of Compliance Professionals (NSCP) Virtual Educational Seminar, May 3, 2023 - Click here for details
Potential Fallout from the SEC’s Late Trading Rule Revival
Potential Fallout from the SEC’s Late Trading Rule Revival - Marcia Wagner, NAPA, January 10, 2023 (PDF)
DOL Rule Permits Consideration of Climate and ESG Factors and Codifies Proxy Voting Responsibilities
By Stephen Wilkes, Izzy Goldowitz and John Sohn On November 22, 2022, the Department of Labor (“DOL”) issued a final rule modernizing and revising the long-standing Investment Duties Regulation....
SEC’s Proposed Outsourcing Rule Could Be Hardest on Small Advisers
SEC’s Proposed Outsourcing Rule Could Be Hardest on Small Advisers - Marcia Wagner, PLANADVISER, November 2, 2022 (PDF)
A Guide to the SEC’s Reg BI Bulletins
A Guide to the SEC’s Reg BI Bulletins - Stephen Wilkes and Seth Gaudreau, PLANADVISER, August 25, 2022 (PDF)
SEC Provides Further Guidance in its Staff Bulletin: Standards of Conduct for Broker-Dealers and Investment Advisers Conflict of Interest
By Stephen Wilkes and Seth Gaudreau The U.S. Securities and Exchange Commission (“SEC”) recently published a Staff Bulletin (the “Bulletin”) providing further fiduciary standards guidance for...
SEC Marketing Rule: New Engagement Tools but More Red Tape
SEC Marketing Rule: New Engagement Tools but More Red Tape - Financial Advisor IQ, August 2, 2022 (PDF)
Grayscale Investments is Suing the SEC to Get its ETF Approved but Bitcoin’s Swoon Means ‘Public Sympathy’ May Swing in Favor of the Regulator
Grayscale Investments is Suing the SEC to Get its ETF Approved but Bitcoin's Swoon Means 'Public Sympathy' May Swing in Favor of the Regulator, a Rules Lawyer Says - RIABiz, July 1, 2022 (PDF)
ERISA Considerations in Using Brokerage Window Investing
ERISA Considerations in Using Brokerage Window Investing - Marcia Wagner, 401(k) Advisor, May/June 2022
DOL Proposes Tougher Prohibited Transaction Exemption Procedures
DOL Proposes Tougher Prohibited Transaction Exemption Procedures - Stephen Wilkes and Mark Greenstein, Bloomberg Tax, June 6, 2022 (PDF)
Are You Ready for the SEC’s New Marketing Rule?
Are You Ready for the SEC’s New Marketing Rule? – Seth Gaudreau and Steve Wilkes, National Association of Plan Advisors (NAPA), May 6, 2022 (PDF)
White Paper: SEC Marketing Rule
SEC Marketing Rule Insights By Seth Gadreau and Stephen Wilkes With the U.S. Securities and Exchange Commission (“SEC”) November 4, 2022, date for full compliance with its “Marketing Rule” (found...
November SEC Advertising Rule Compliance Date Fast Approaching
November SEC Advertising Rule Compliance Date Fast Approaching – Seth Gaudreau and Steve Wilkes, PLANADVISER, May 5, 2022 (PDF)
Would A Brokerage Window Limit An ERISA Plan’s Fiduciary Risk?
Would A Brokerage Window Limit An ERISA Plan’s Fiduciary Risk? – Barry Salkin and Mark Greenstein, Finanacial Advisor Mag, May 4, 2022 (PDF)
Webinar – Mandates Beyond the Advisers Act: Anti-Money Laundering, ERISA and ’34 Act Section 13 Reporting for Investment Advisers
Click here for details
Grayscale CEO’s Threatened Lawsuit Against the SEC, in Case it Rejects His Firm’s Spot-Bitcoin ETF Application
Grayscale CEO’s Threatened Lawsuit Against the SEC, in Case it Rejects His Firm’s Spot-Bitcoin ETF Application – Ari Sonneberg, RIABiz, April 1, 2022 (PDF)
Charles Schwab & Co. registers TD Ameritrade brokers to rep Schwab products and to retain clients who chose to convert to ‘Schwab’
Charles Schwab & Co. registers TD Ameritrade brokers to rep Schwab products and to retain clients who chose to convert to ‘Schwab’ – Ari Sonneberg, RIABiz, February 8, 2022 (PDF)
New Lawsuit in 5th Circuit Challenges Revised DOL Fiduciary Rule
New Lawsuit in 5th Circuit Challenges Revised DOL Fiduciary Rule – Stephen Wilkes, WealthManagement.com, February 7, 2022 (PDF)
SEC Expects to Focus on Cybersecurity in 2022
The U.S. Securities and Exchange Commission (“SEC”) has focused on cybersecurity under the Biden administration and it is expected to be one of its top priorities for the coming year. The SEC’s...
Cybersecurity A Major SEC Focus in 2022
Cybersecurity A Major SEC Focus in 2022 - Seth Gadreau and Stephen Wilkes, 401(k) Specialist, January 26, 2022 (PDF)
Stephen P. Wilkes Appointed as Chief Legal Officer of The Wagner Law Group
We are delighted to announce that partner, Stephen P. Wilkes, has been designated as our firm’s Chief Legal Officer. Excellent leadership structure is vital as our firm continues to grow, and Steve...
So, You Are a Wealth Manager and You Think ERISA Does Not Impact Your Rollover Advice to IRA Owners? Think Again. Now.
New interpretations voiced in the Department of Labor’s (“DOL”) Prohibited Transaction Exemption 2020-02 (the “Investment Advice PTE”) could be a bomb that hits squarely on unwary wealth managers...
SEC Extracts $96M Settlement from TIAA Subsidiary for Rollover Practices – This is Only the Beginning
The Securities and Exchange Commission (“SEC”) beat the Department of Labor (“DOL”) to the punch and announced a major settlement with a broker dealer arising from its rollover practices. In what is...
More Investors Qualify to Purchase Unregistered Securities… But What Will the Expanded Definition of “Accredited Investor” Really Change for BDs and RIAs?
By Kimberly Shaw Elliott Registered representatives and investment adviser representatives may soon purchase for themselves the unregistered products they recommend to other investors, without proof...
What You Need to Know About the SEC’s New Form CRS
On June 30, 2020, the Securities and Exchange Commission’s (“SEC”) new “relationship summary,” known as Form CRS, took effect. Form CRS — which broker-dealers and SEC-registered investment advisers...
REG BI Compliance Deadline; Financial Relief Considerations for RIA Firms
By Stephen Wilkes, Livia Quan Aber and Seth Gaudreau I. The SEC Will Not Delay Reg BI and Form CRS Compliance Date Last week, the U.S. Securities and Exchange Commission (“SEC”) Chairman, Jay...
PANDEMIC and Broker-Dealer/Recordkeepers and Advisors… Chances Are, Your Business Continuity Plan Did Not Fully Address This…
By Stephen Wilkes, Kimberly Shaw Elliot and Seth Gaudreau In uncertain times like these where the novel coronavirus or COVID-19 seems to be impacting everything, broker-dealers, investment advisory...
SEC Proposed Amendments to Advertising and Solicitation Rules
In early November 2019, the Securities and Exchange Commission ("SEC") released proposed amendments to the advertising rule and solicitation rule under the Investment Advisers Act of 1940 ("Advisers...
Massachusetts Advances Regulations Imposing Fiduciary Duty on Broker-Dealers
In November 2019, the Commonwealth of Massachusetts issued revised regulations imposing a fiduciary standard upon broker-dealers, although the regulations would not apply to a broker-dealer who is a...
Follow-up on SEC Guidance Regarding Broker-Dealers and Investment Advisors
On June 5th, the SEC issued a four-part package of guidance with respect to the activities of broker-dealers and investment advisors. We prepared an Investment Management Law Alert focusing on one...
SEC Issues Final Regulation BI
The SEC, by a 3-1 party line vote, issued in a timely fashion its final regulations with respect to broker-dealer conduct, referred to as Regulation Best Interest ("Regulation BI"). The SEC's...
IRS Releases Round Two of Proposed Regulations for Qualified Opportunity Funds
On April 17, 2019, the Internal Revenue Service ("IRS") issued the second round of proposed regulations with respect to qualified opportunity funds ("QOFs"). While the first round of proposed...
U.S. Supreme Court Finds Non-“Makers” Can Violate Rule 10b-5
On March 27, 2019, the U.S. Supreme Court ruled in Lorenzo v. SEC, No. 17-1077 (U.S. Mar. 27, 2019) that a party who is not a “maker” under Securities and Exchange Commission Rule 10b-5(b) can...
Nevada Issues Proposed Regulations Regarding Fiduciary Standards
While the SEC works on finalizing its proposed Regulation Best Interest, there continues to be significant activity at the state level that will cover, in varying degrees, the same subject matter....
OCIE Identifies Common Deficiencies Relating to Best Execution
On July 11, 2018, the Office of Compliance Inspections and Examinations ("OCIE") of the Securities and Exchange Commission published a Risk Alert relating to best execution deficiencies on the part...
Recent DOL Settlement Agreements with ESOP Trustees
The spate of recent settlements between the U.S. Department of Labor ("DOL") and trustees of employee stock ownership plans ("ESOP") is a signal that trustees and other fiduciaries should reassess...
Recent FINRA Notices Seek Comment on Proposed Amendment to Quantitative Suitability and Efficacy of Supervision Rule
On the heels of the Security and Exchange Commission's (the "Commission") April 18, 2018 release of the proposed Regulation Best Interest rule package ("Regulation BI") (which was covered in our...
DOL Issues Temporary Enforcement Policy with Respect to Investment Advice Fiduciaries
Today, the Department of Labor ("DOL") issued Field Assistance Bulletin 2018-02 (the "FAB"), which indicates that both the DOL and the IRS will continue to rely upon its previously announced...
Another Win for the Plan Fiduciary – Fifth Circuit Follows Dudenhoeffer Standards in RadioShack Case
On February 6, 2018, the Court of Appeals for the Fifth Circuit in Singh v. RadioShack Corp. aligned with the Second Circuit and affirmed the dismissal of Plaintiffs' proposed class action. The...
SEC Proposes Three Related Releases on Retail Investor Matters
I. Introduction After a delay of almost eight years from the date that the SEC is authorized under the Dodd-Frank Act to provide for fiduciary standards for broker-dealers and investment advisers,...
FINRA Rules Going into Effect in 2018
There are a host of new and amended rules promulgated by the Financial Industry Regulatory Authority ("FINRA") that will be going into effect throughout 2018. This Alert summarizes these impending...
Massachusetts Securities Division Files Suit to Enforce Fiduciary Rule
In a recent Alert, we discussed how several states are charting their own course while the U.S. Department of Labor ("DOL") proceeds with its review of the Fiduciary Rule, the Best Interest Contract...
SEC Offers Amnesty Under Share Class Selection Disclosure Initiative
In our January 18, 2018 Law Alert on share class selection, we expressed our opinion that share class selection is likely to remain an enforcement focus for the Security and Exchange Commission (the...
Tax Reform: Unintended Consequences for Broker-Dealers
The "Act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018" (the "Tax Act") - formerly known as The Tax Cuts and Jobs Act -...
Recent Developments – States Proceed with Their Own Fiduciary or “Best Interest” Standards
States Proceed with Their Own Fiduciary or "Best Interest" Standards While the U.S. Department of Labor ("DOL") continues with its mandated review of the Fiduciary Rule and related exemptions,...
Regulatory Focus on Share Class Selection in 2018
In recent years, the Office of Compliance Inspections and Examinations ("OCIE") of the Security and Exchange Commission ("Commission") has increasingly scrutinized share class selection by...
FINRA Shares Examination Findings
The Financial Industry Regulatory Authority (FINRA) recently released the results of its exam program to assess compliance with securities rules and regulations. FINRA conducts cyclical examinations...
FINRA’s New Qualification and Registration Rules Effective October 1, 2018
Last month, the Securities and Exchange Commission (SEC) approved a new set of rules proposed by the Financial Industry Regulatory Authority (FINRA) intending to consolidate and simplify...
Calculating Regulatory Assets Under Management
A question we frequently receive from our advisory firm clients is whether they are accurately calculating and reporting regulatory assets under management ("RAUM"). RAUM, as a metric, was first...
BICE and Related Exemptions: Limiting Your Liability Until Full Implementation
Background - Transition Period May be Extended Until July 1, 2019 The DOL recently proposed to extend the transition period by 18 months (i.e., from January 1, 2018 to July 1, 2019) for the full...
Cybersecurity Guidance Update from SEC
On April 28, 2015, the SEC Division of Investment Management issued guidance with regard to cybersecurity issues for both registered investment companies and registered investment advisers. (IM...