1. On June 1, 2026, the SEC issued an order increasing the dollar thresholds for determining “qualified clients” under Rule 205-3 of the Investment Advisers Act of 1940, which governs when advisers may charge performance-based fees. Effective June 29, 2026, the asset threshold increases from $1.1 million to $1.4 million, and the net worth threshold … Read More
1. On April 30, 2026, the SEC approved a Plan of Distribution for Rimar Capital USA, Inc., Rimar Capital, LLC, Itai Liptz, and Clifford Boro. The case involved fraudulent SAFE offerings, where investors were misled about an AI-driven investment platform, raising nearly $4 million from 45 investors. Fair Fund: $310,000 (from penalties) Distribution: Based on … Read More
1. On February 25, 2026, the SEC issued an order instituting administrative proceedings against Madison Capital Funding LLC, a formerly registered investment adviser, for selling loans to private fund clients (“the Funds”) without reasonably determining whether those trades were at fair market value, contrary to its obligations under its advisory agreements and representations to investors. … Read More
1. In January 2026, regulators continue to focus on post-commitment period management fee calculations in private equity, viewing them as disclosure and conflict-of-interest risks tied to how advisers define “the base of the bill.” The SEC has warned that some private fund managers are not properly disclosing expenses—such as investment banking, legal, or financing costs—that … Read More
1. On November 25, 2025, the SEC instituted administrative proceedings against Joshua Charles Avikzer Goltry. Goltry, founder and Chief Investment Officer of JAG Cap and principal of JAG Capital Advisors, previously consented to a federal judgment permanently enjoining him from violating the antifraud provisions of the Securities Act, Exchange Act and Advisers Act. The SEC … Read More
1. On October 28, 2025, SEC Chairman Paul Atkins described the agency’s handling of off-channel communications over the last couple of years as “not the way a regulator should act.” Chairman Atkins was responding to a question posed by the Securities Industry and Financial Markets Association about his thoughts on “e-communication, off-channel, the whole issue … Read More
1. On September 29, 2025, the SEC charged Prophecy Asset Management, its CEO and CIO Jeffrey Spotts, and its largest sub-adviser Brian Kahn with defrauding investors by concealing hundreds of millions of dollars of losses while collecting millions in management and incentive fees. The defendants raised over $500 million from 2014 through 2020, misleading investors … Read More
1. On August 29, 2025, the SEC announced a settled administrative proceeding against Vanguard Advisers, Inc., one of the largest investment advisers in the world. This matter arises from Vanguard’s failure to adequately disclose conflicts of interest in connection with its recommendation to prospective clients and existing clients (collectively referred to as “clients”) to enroll … Read More