Alert June 14, 2011

SEC to Consider Final Action on Advisers Act Rulemaking under Dodd-Frank at June 22 Open Meeting

The SEC announced that the agenda for its open meeting at 10 a.m. on June 22 includes consideration of action designed to implement provisions of the Dodd-Frank Act affecting the regulation of investment advisers under the Investment Advisers Act of 1940 (the “Advisers Act”), including final rules and rule amendments that would:

  • increase the statutory threshold for registration of investment advisers with the SEC;
  • require advisers to hedge funds and other private funds to register with the SEC;
  • implement new exemptions from the registration requirements of the Advisers Act for advisers to venture capital funds and advisers with less than $150 million in private fund assets under management in the United States;
  • clarify the meaning of certain terms included in a new exemption for foreign private advisers;
  • address reporting by certain investment advisers that are exempt from registration; and
  • define “family offices” that will be excluded from the definition of  “investment adviser” under the Advisers Act.

Although the matter was not discussed in the meeting notice, this meeting may also address the widely anticipated delay in the compliance date for the changes to investment adviser regulatory scheme under the Dodd-Frank Act that will become effective on July 21, 2011.