SEC may pursue regulatory measures for family offices (InvestmentNews)

Family offices do not have a requirement to register with the SEC, but fallout from the Archegos implosion is creating momentum for greater regulatory oversight of these entities. Amy Lynch, FrontLine’s Founder and President, states that currently there are few mechanisms for the SEC to monitor family offices and their funds. She notes, however, that most are smaller firms that concentrate on managing family wealth, whereby exemption from SEC registration makes sense. Absent of a rule requiring registration, the SEC may seek mandatory reporting of riskier investment vehicles, such as derivatives. See InvestmentNews, “Archegos implosion could lead to family-office registration“