Vigilant Compliance Newsletter

Published on Jan 2nd, 2026 |

Monthly Newsletter

In December, there were important releases including Vigilant Announcements, Vigilant Insights, and SEC Releases.

Below is a brief overview of what took place in the month of December, and what is approaching for January.

Vigilant Announcements:

Vigilant is thrilled to announce that for the third year in a row, we have been selected as the 2025 Best Regulatory & Compliance Adviser by Institutional Asset Manager (IAM).
The Institutional Asset Manager Awards gathered results from a survey of industry participants that is used to identify nominations for each category as a part of their methodology for Service Provider categories.
For more on the award, click here.

Vigilant has been shortlisted for the Best Risk Management Solution Award by With Intelligence for their 2026 Mutual Fund & ETF Awards.
The With Intelligence Mutual Fund and ETF Awards has a history of celebrating excellence across the traditional Asset Management industry, recognizing outstanding business leaders, innovators, product development specialists, Fund Directors, and top-performing Funds.
Read more here.

Vigilant Insights:

Marketing Rule Risk Alert | Laura Arnott Insights

On December 16, 2025, the SEC’s Division of Examinations issued a Risk Alert addressing on-going compliance weaknesses related to the Marketing Rule under Rule 206(4)-1.
This Risk Alert reflects examination findings indicating that RIAs continue to face challenges in operationalizing the Rule, especially regarding the proper use of testimonials, endorsements, and third-party ratings in advertising materials.
One of Vigilant’s Directors, Laura Arnott, CFA, CIPM, IACCP, CTPRP, CRISC, was quoted in Alternative Credit Investor on this Risk Alert.
More on Laura’s thoughts here.

On December 3^rd, 2025, the Regulation S-P (“Reg S-P”) Rule Amendments went into effect for Large Advisers with over $1.5 Billion in AUM.
Within 24 hours, some Firms were notified of a targeted Reg S-P Sweep Exam. This swift action sends a clear message to the industry and underscores the Commission’s intent to prioritize enforcement and oversight of the Rule without delay.
Vigilant’s Directors, Will Clark, CIPM, MBA, and CJ Schaible, MBA, provided their thoughts and insights on Financial Advisor IQ.
View Will and CJ’s Insights here.

The SEC’s newly released 2026 Examination Priorities place a renewed emphasis on the risks Alternative Investments pose to Retail Investors, marking a continued shift toward investor protection and operational scrutiny.
While the priorities list is noticeably shorter than in prior years, it reflects the agency’s sharpened focus on areas where market complexity and Adviser oversight most directly intersect.
Vigilant Director, Donna DiMaria, MBA, provided her thoughts on the SEC’s 2026 priorities, specifically on the risks related to Mergers and Acquisitions within the Advisory space.
Click here to read Donna’s insights.

SEC Releases:

On November 25^th, 2025, a dually registered Broker Dealer and Registered Investment Adviser (RIA) has agreed to pay $325,000 to settle SEC charges tied to Cybersecurity and Identity‑Theft Protection failures.
Over roughly five years (July 2019–March 2024), the Firm’s branch offices experienced multiple email account takeovers by unauthorized third parties, exposing personally identifiable information (PII) of about 8,500 individuals, including customers.
For more information on the charges, click here.

On November 24^th, 2025, an RIA and its Principal agreed to pay $150,000 to settle an Enforcement Action by the SEC over longstanding compliance defects.
The SEC’s order finds that the RIA (which manages approximately $869 Million in AUM) repeatedly failed to perform Annual Compliance Reviews as was required by Advisers Act Rule 206(4)-7(b), misrepresented how advisory fees were determined in its disclosure brochure, failed to obtain signed Advisory Agreements from all clients, and neglected to maintain records documenting delivery of its Form ADV brochures to clients.
Click here for key takeaways on this Enforcement Action.

On December 2, 2025, the newly appointed Director of the SEC’s Division of Investment Management, Brian Daly, addressed members of the American Bar Association (ABA) Private Funds Subcommittee and Investment Advisers / Investment Companies Subcommittee.
In the speech, Brian laid out his vision for the Division over the coming years: emphasizing outreach and dialogue, while pursuing a work-plan built around four themes: deregulation, regulatory modernization, democratization of alternative investments, and facilitating the thoughtful adoption of AI in the Investment Management industry.
Learn more about Daly’s remarks and important details here.

On December 11^th, 2025, SEC Commissioner, Caroline A. Crenshaw, delivered a candid assessment of the current direction of the regulatory environment.
In this article, we provide key takeaways on her speech.
Click here for more details.

The Vigilant Team is always happy to schedule a time to chat, feel free to contact us with any questions!