News Archives - SmartRIA

2021 SEC Exam Priorities

March 9, 2021 by Ara Jabrayan Leave a Comment

On March 3, 2021, the SEC’s Division of Examinations (Division) published its examination priorities for the year. These priorities are the driving force behind the Division’s examinations but are not exhaustive. Examiners may focus on other issues during an examination. The Division, which was previously called the Office of Compliance Inspections and Examinations, circulates its yearly priorities to alert Registered Investment Advisers (RIAs) and broker-dealers regarding the risks that firms should address. The Division’s goal is to prevent harm to

New York Regulatory Update

February 13, 2021 by Amy Easterly Leave a Comment

The New York State Department of Law (the “Department”) recently adopted new regulations that went into effect on February 1, 2021. These new regulations govern the registration and examination requirements for investment adviser representatives domiciled in New York, or doing business with New York clients. Previously, New York did not require registration of state and SEC investment adviser representatives. The Department is allowing for an implementation period for current New York domiciled representatives to apply for registration by August 31,

What Can RIAs Learn About the SEC’s Ponzi Scheme Charges?

February 12, 2021 by Ara Jabrayan Leave a Comment

On February 4, 2021, the SEC charged three individuals and their affiliated entities with running an alleged Ponzi scheme that raised over $1.7 billion from securities issued by an asset management firm and Registered Investment Adviser (RIA). Approximately 4,000 of the 17,000 retail investors defrauded were seniors. According to the SEC’s complaint, the defendants told investors that they would receive distributions from the profits of the portfolio companies. In fact, many of the payments came from the investors’ own funds.

RIAs Can Expect Big Changes with SEC’s New Marketing Rule

December 29, 2020 by Ara Jabrayan Leave a Comment

Guest post by Ara Jabrayan On December 22, 2020, the SEC enacted the new Marketing Rule, which will have an enormous impact on Registered Investment Advisers (RIAs). The new rule will replace the prior Advertising Rule, as well as the Cash Solicitation Rule. The SEC also amended Form ADV and the Books and Records Rule to implement changes resulting from the Marketing Rule. The SEC enacted the new Marketing Rule to protect investors from misleading advertisements and solicitations, while accommodating

SmartRIA Announces a Deeper Partnership With SS&C Technologies’ Black Diamond Wealth Platform

November 13, 2020 by Mac Bartine Leave a Comment

Newly expanded relationship makes SmartRIA a preferred third-party compliance solution for Black Diamond clients Yesterday, SmartRIA announced an expanded relationship with SS&C Technologies’ Black Diamond® Wealth Platform. This alliance strengthens the deep integration between the two solutions with a committed focus and investment from both parties to advance the integration. “Our ability to maintain compliance workflows has been greatly enhanced with the partnership between Black Diamond and SmartRIA, and we are excited to experience the collaborative improvements from these critical

SmartRIA Acquires Greytwist Data Governance Solution

September 9, 2019 by Mac Bartine Leave a Comment

The data governance platform will be integrated into SmartRIA’s compliance management solution platform to better support customers’ needs. Knoxville, TN, Sept. 9, 2019: SmartRIA and Greytwist have announced today the acquisition by SmartRIA of Greytwist Data Governance, a solution for vendor due diligence and management, personally identifiable information (PII) data governance and cybersecurity policy and procedures management and oversight. The asset sale includes the Greytwist Data Governance software platform, which will be integrated into the SmartRIA Compliance Management Platform.

How to Hire a CCO to Manage RIA Compliance

SEC Issues Risk Alert Dealing with Regulation S-P Privacy Notices & Safeguard Policies

April 26, 2019 by Ara Jabrayan Leave a Comment

On April 16, 2019, the SEC’s Office of Compliance Inspections and Examinations (OCIE) published a Risk Alert dealing with Regulation S-P, which is the Commission’s primary rule governing privacy notices and the safeguarding policies of Registered Investment Advisers (RIAs), as well as broker-dealers. The Risk Alert guidance is derived from recent examinations of RIAs and broker-dealers and is designed to help them develop compliant privacy and opt-out notices to clients who are individuals (“customers”). The Risk Alert will also

Software to Replace Your Investment Advisor Compliance Checklist

SS&C’s Black Diamond Wealth Platform and SmartRIA Announce Integration Partnership to Streamline Compliance Surveillance

April 22, 2019 by Mac Bartine Leave a Comment

SmartRIA today announced an integration with SS&Cs’ Black Diamond Wealth Platform to significantly streamline the surveillance of compliance activities for well-established RIA firms. The direct connection between the two systems allows RIA firms to use Black Diamond data within SmartRIA. The shared data creates a 360-degree view of client households, which facilitates surveillance of mission critical compliance issues. These can include: client annual reviews, trading inactivity and high account cash balance alerts, viewing and reporting on accounts by discretionary/non-discretionary status

Fiduciary Duty Goes Well Beyond Share Class Selection

March 29, 2019 by Ara Jabrayan Leave a Comment

Investment advisers may have noticed the SEC’s recent Share Class Selection Disclosure Initiative and thought they had nothing to learn from the 79 enforcement actions. The reality is that even investment advisers who are not affiliated with a broker-dealer can learn valuable lessons from these enforcement actions. Lessons learned from Share Class Selection Disclosure Initiative On March 11, 2019, the SEC announced that its Share Class Selection Disclosure Initiative had returned more than $125 million to investors. The initiative was

SEC Announces Its 2019 Examination Priorities

January 3, 2019 by Ara Jabrayan Leave a Comment

The SEC’s Office of Compliance Inspections and Examinations (OCIE) publishes annually its examination priorities to promote transparency and provide insights into the areas it believes pose a heightened risk to investors or to the integrity of the U.S. capital markets. OCIE’s priorities are designed to support the SEC’s mission, which is to protect investors and facilitate capital formation, as well as to maintain fair, orderly, and efficient markets. On December 20, 2018, OCIE announced its 2019 examination priorities. Both the