Red flags abound for SEC’s next move (FundFire)

The resulting fallout from Archegos Capital’s margin call event would seem to provide momentum for new SEC Chair Gary Gensler’s upcoming agenda. According to FrontLine’s Founder and President Amy Lynch, the SEC already had plans to review the definition of a family office. Now Gensler and the SEC have greater reasons to act quickly, with several red flags emerging from a family office – Archegos. Ms. Lynch believes the SEC will review several factors such as the types of family offices that should report trading activity, be registered with the SEC or exempt from registration. She adds that the SEC now has the rationale to take a closer look, especially in light of the amount of risk and leverage revealed by the Archegos transactions. See FundFire (subscription required), “Massive Fallout from Archegos Margin Call Miss Raises Red Flags”