Return to office in flux with rise of Delta variant (IGNITES)

With the Delta variant causing COVID-19 cases to rise rapidly across the U.S., many investment firms are reconsidering return to office plans. Some firms have instructed employees to return to their office building in the Fall, explains FrontLine’s Founder and President Amy Lynch. Now, Ms. Lynch states, there may be a pause in those plans…

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Wrap fee accounts draw new attention from the SEC (FundFire)

With the continued growth of investor assets in wrap fee programs coupled with their increasing complexity, the SEC has put the industry on notice about certain concerns with firms and program sponsors. A recent alert issued by its Division of Examinations highlights several common deficiencies discovered through targeted exams. Amy Lynch, FrontLine’s Founder and President,…

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Case shows that policies need monitoring and enforcement to be effective (IGNITES/Financial Times)

A breakdown of policies management and oversight led to a recent SEC action against a firm for its failure to follow its own policies on the length of time to hold a certain security in customer accounts. Fined $8.1 million to settle the case, UBS and its financial advisors purchased a volatility-linked exchange-traded product (ETP)…

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ComplianceAlert

SEC Risk Alert Issued on Prohibited Transactions

The SEC’s Division of Examinations (formerly known as OCIE) has issued a new Risk Alert (the “Alert”) on principal and cross trades for fixed income managers. More than 20 fixed income managers were examined as part of a special study on prohibited transactions (FIX Initiative) that began more than two years ago. The investment advisers…

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SEC’s first target of SPACs shows Gensler’s aggressive stance (Law360)

SEC Chairman Gary Gensler has taken his initial steps toward laying the foundation for a more aggressive regulator. The SEC has moved quickly to send a strong message to the special purpose acquisition company (SPAC) market that misleading the investing public will bring consequences. In lead comments, Amy Lynch, FrontLine’s Founder and President, states that…

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