Why Is Cybersecurity Important for Investment Advisers?
Cybersecurity remains vital for investment advisers. As new cyber threats are identified, cybersecurity will remain paramount for these advisers both now and in the future. The PricewaterhouseCooper (PWC) “State of Information Security Survey 2016” revealed 91 percent of businesses currently follow a risk-based cybersecurity framework. Investment advisers, meanwhile, must be able to identify the key issues associated with cybersecurity as well as the best ways to manage these problems. Fortunately, cybersecurity guidance is readily available — but first, it is important to examine why cybersecurity is important for investment advisers. Get Cybersecurity Guidance Today About Cybersecurity Compliance Services Why Is…
Read MoreGuide to SEC Investment Adviser Registration
Becoming a registered investment advisor (RIA) is not merely an industry best-practice. In most cases, it's a regulatory obligation that stamps more than security and quality assurance onto your services — it means you or your advisory firm stay in operation. About Vigilant Under the Dodd-Frank regulatory act of 2010, updates were made on the registration qualifications and certification process for investment advisors. These updates now outline the parameters under which an investment advisor can't merely rely on state registration and must enroll with the U.S. Securities and Exchange Commision (SEC) itself: You or your firm hold $100 million or higher…
Read MoreStock Market Analyst Barred for Illegally Cashing In On His Research Reports
The Securities and Exchange Commission today charged a stock market analyst with insider trading prior to the publication of research reports and articles he authored with the false disclaimer that he wasn’t trading in the companies being covered. He agreed to settle the charges and be barred from trading in penny stocks for the rest of his life. The SEC alleges that Jason Napodano, who headed a division called Zacks Small Cap Research within a larger investment research firm, misled investors in penny stocks by representing that he wasn’t trading or holding positions in the companies he was writing about…
Read MoreSEC Announces Enforcement Initiatives to Combat Cyber-Based Threats and Protect Retail Investors
The Securities and Exchange Commission today announced two new initiatives that will build on its Enforcement Division’s ongoing efforts to address cyber-based threats and protect retail investors. The creation of a Cyber Unit that will focus on targeting cyber-related misconduct and the establishment of a retail strategy task force that will implement initiatives that directly affect retail investors reflect SEC Chairman Jay Clayton’s priorities in these important areas. Cyber Unit The Cyber Unit will focus the Enforcement Division’s substantial cyber-related expertise on targeting cyber-related misconduct, such as: Market manipulation schemes involving false information spread through electronic and social media Hacking…
Read MorePharmaceutical Company Paying Penalty for Misleading Investors About Sales Metric
The Securities and Exchange Commission today filed fraud charges against a Massachusetts-based biopharmaceutical company that exaggerated how many new patients actually filled prescriptions for an expensive drug that was its sole source of revenue. Aegerion Pharmaceuticals, now a subsidiary of Novelion Therapeutics, has agreed to pay a $4.1 million penalty to settle the charges that it misled investors on multiple occasions in 2013. The SEC’s complaint alleges that Aegerion told investors that the number of unfilled prescriptions for Juxtapid was not material and the “vast majority” of patients receiving prescriptions ultimately purchased the drug. The SEC alleges that Aegerion’s records…
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