SEC Identifies Deficiencies at Newly-Registered Advisers

A new Risk Alert (“the Alert”) focused on newly-registered SEC investment advisers has been issued by the Division of Examinations (“EXAMS”). This second Risk Alert of 2023 discusses Staff findings from examinations conducted on newly-registered advisers. The term “newly-registered adviser” is not defined by the SEC but is generally believed to be an entity registered as an adviser with the SEC for no more than one year. EXAMs stated that it uses these examinations to…

Read More

A 2008 type crisis again…or not? (Reuters)

With the recent bank collapses and fears that others would follow, questions of whether we have entered another 2008 type financial crisis inevitably emerged. However, most experts see few similarities, citing the current issues as less complex and the overall financial industry as more healthy. Yet, measures are being taken in light of the previous financial crisis to instill confidence in the banking system and help ensure market stability. Amy Lynch, FrontLine’s Founder and President,…

Read More

Amy Lynch interview on bank failures and role of SEC (Bloomberg TV)

FrontLine’s Founder and President Amy Lynch appeared on “Bloomberg Markets” for a live interview discussing the SEC’s role following the collapses of Silicon Valley Bank and Signature Bank. Ms. Lynch provides insight on why the SEC will be looking closely at the recent events and reviewing the banks’ Rule 10b5-1 plans to see how bank executives used them in the months prior to the failures occurring. She states that the SEC will want to determine…

Read More

Watch Video

Implications for VC and PE firms following SVB collapse (Law360)

In the wake of SVB’s failure, many VC and PE firms are scrambling to establish other bank accounts vital to operating their businesses and funding the companies they back. Despite the Federal government stepping in to backstop deposits, many questions for the industry remain. In the lead quotes, FrontLine’s Founder and President Amy Lynch explains that the situation will hit those firms the hardest that are in their fundraising stage. She further comments that the…

Read More

SEC to significantly increase onsite exams, seeks more resources (ThinkAdvisor)

In their recent Investor Advisory Committee meeting, the SEC made it clear that it has an aggressive goal to increase its examination frequency within the next six months. With its current levels of staff and resources, coupled with the continued growth in the number of registered investment advisers, the SEC faces challenges. It will seek more human capital and technology resources, and according to Amy Lynch, FrontLine’s Founder and President, it will also need to…

Read More