We welcome guest contributor Seymour Bucholz, a seasoned transactional attorney focused on corporate and regulatory matters for broker-dealer clients at Garvey Schubert Barer. Mr. Bucholz is presenting a white paper discussing the impact of the forthcoming Dodd-Frank Act.
Title IV of the Dodd-Frank Wall Street Reform and Consumer Protection Act will impact virtually every professional investment adviser when its provisions go into effect next July. Key changes made by Title IV, together with recent and future SEC rule-making initiatives, will establish new registration and compliance parameters for the entire U.S. asset management industry, from smaller and mid-sized firms providing traditional advisory and retirement account firms, to managers of private-equity, venture and hedge funds, to the largest fund managers handling billions of dollars of assets. Recent SEC rule-making proposals based on Dodd-Frank make clear that: (i) thousands of smaller and mid-sized investment advisory firms will be switching to new state registration and compliance regimes next July, (ii) private fund advisers, whether or not exempt from registration under the new $150 million threshold or otherwise, will be learning to adjust to a new regulatory environment with reporting and disclosure requirements not previously familiar to them, and (iii) all investment advisers will be operating under expanded disclosure requirements based on a significantly amended Form ADV. It is not too soon for all investment advisory firms to begin to plan for July 2011.
Download the white paper.