CSS Blog

News, updates and analysis from around the world of compliance

RegTech Radar: Foreign Investment Developments

The following RegTech Radar update focuses on recent changes in Japan’s Foreign Exchange and Foreign Trade Act (FEFTA) and additional foreign investment changes in New Zealand, France and Germany from end-April to mid-May. For any additional queries regarding substantial shareholding, position limit monitoring and sensitive industries, please contact us at info@cssregtech.com. New Japan Foreign Investment … Continued

A Familiar Theme in Unfamiliar Times

Recently, the SEC settled with a private equity adviser for failing to adequately disclose and obtain consent for conflicts of interest associated with portfolio compensation. The Administrative Order reminds us of familiar tenets to regulatory disclosure, and perhaps this familiarity is reassuring to us in these unfamiliar, pandemic times. However familiar the theme, this case … Continued

Eventually, We Have to Go Back – BCP Post-Mortem

We don’t know when, but at some point we will have to put on shoes, get a haircut and return to the office. As compliance professionals, we are trained to look ahead and should be planning our action steps for when we return. Gather Firm Records and Other Property. You should have a good sense … Continued

Coming of Age – The SEC Proposes Modernized Fund Valuation Practices

It has been 50 years since the SEC last addressed valuation practices for funds registered under the Investment Company Act of 1940, as amended (“ICA”). The SEC’s newly proposed rule[1] seeks to address the evolution of fund investment practices during that time. In particular, the proposed rule (Rule 2a-5) provides for the good faith determination … Continued

ESMA Proposes Major Changes to EMIR

On March 27, ESMA published a consultation on changes to the technical standards of trade reporting under the EMIR Refit legislation. Highlights include: ESMA proposes a complete overhaul of EMIR with full alignment to SFTR in terms of validations and data formats and alignment with MiFIR in terms of how to handle reference data (specifically … Continued

New SEC Risk Alerts

The SEC today issued Risk Alerts identifying areas related to Form CRS and Regulation BI on which examiners will focus during upcoming exams. The SEC indicated in today’s Form CRS Risk Alert that RIAs need to meet content, delivery and record keeping requirements. The SEC referred RIAs to the Form CRS Adopting Release and Small … Continued

COVID-19 and Compliance – Mitigation Efforts Will Have Compliance Consequences the SEC Soon Will Examine

We understand that COVID-19 has brought many stresses, both personal and professional.  To many private fund advisers, this may seem an appropriate time to allow “compliance” to take a “back-seat.”  However, many business and management decisions your firm now may be contemplating or is already positioned to take likely will have compliance ramifications, now or … Continued

SEC Grants Section 17a No-Action Relief to Open-End Funds

The SEC has taken many actions in the past month to provide relief to registrants and the financial services industry during the COVID-19 national emergency. Another recent action is the relief granted by the SEC to open-end investment companies that are not exchange-traded funds and are not considered money market funds (“Funds”). The relief, granted … Continued

Guidance for State-Registered Advisers Dealing with COVID-19

In addition to the SEC providing relief and support to investment advisers, the North American Securities Administrators’ Association (NASAA) and state regulators have also provided guidance in the form of a very helpful resource page. The page includes information on temporary regulatory relief, as well as updates on the operating status of NASAA members. The … Continued

OCIE Now Conducting Exams Off-Site Unless Necessary

On March 23, 2020, the SEC’s Office of Compliance Inspections and Examinations posted an announcement on its website that “in light of health and safety concerns and other circumstances, OCIE has moved to conducting examinations off-site through correspondence, unless it is absolutely necessary to be on-site.” Similarly, over recent weeks, CSS has arranged with clients … Continued

CTFC Issues No-Action Letters for Temporary Relief in Response to COVID-19 Pandemic

During the last week, the CFTC issued several no-action letters aimed at providing temporary relief from certain recordkeeping, operations requirements, and some reporting deadlines as summarized in the table below. In addition, the CFTC offers a coronavirus-focused webpage, cftc.gov/coronavirus, which includes eight of the nine No-Action letters as well as a Customer Advisory to raise … Continued

SEC Offers Additional Relief for Advisers Impacted by Coronavirus

The SEC has made several COVID-19 related announcements this week pertaining to investment managers that offer relief from routine regulatory obligations. First, the SEC has issued relief in filing due dates and delivery requirements related to the Coronavirus (COVID-19) and the current market conditions. This will extend the reporting deadline 45 days for Forms ADV, … Continued


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CSS frequently publishes blog posts which are written by our team from their observations in the field, at conferences and through experiences with compliance professionals. These posts are designed to further knowledge and share industry best practices. Topics run the gamut, including Form ADV, cybersecurity, MiFID II, position limit monitoring, technology challenges and more. Complete and submit the brief form below to receive notifications when we publish new content.


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