In an effort to beef up surveillance of financial firms that hold custody of client assets, the SEC passed a final rule at the end of 2009 which amended the existing Custody Rule (Rule 206(4)-2 under the Investment Advisers Act of 1940). When the amendment was put out for public comment, the additional rules were [...]
Entries Tagged as 'Custody'
As we head around toward the end of the second quarter — and thus the likely passing of 120 (or 180) days after fiscal year end — hedge fund compliance pros know that it is time to ensure that “custody rule” requirements have been met at their shop. While the SEC’s Rule 206(4)-2 can be [...]