A federal judge has entered a final judgment against 51-year old Massachusetts resident and Cape Cod investment advisor Kimberly Pine Kitts in an SEC case that charged Kitts, a long-time former Royal Alliance advisor, with defrauding multiple clients by stealing more than $3 million from their investment and retirement accounts.
The Securities and Exchange Commission (“SEC”) charged a North Carolina financial adviser Stephen Brandon Anderson with defrauding his clients by overcharging asset-based advisory fees by at least $367,000 over two years. Mr. Anderson owned and operated River Source Wealth Management in Waynesville, N.C., between November 2010 and March 2017.
Collateralized Loan Obligations or CLOs now are the biggest buyers of loans to non-investment grade businesses. They hold about 60% of the debt of companies. Buyers of CLOs include hedge funds, insurers, pensions, and other large investors.
The Securities and Exchange Commission (“SEC”) Office of Investor Education and Advocacy has issued an Investor Bulletin to educate investors about Regulation A. Regulation A is an exemption from registration under the Securities Act which allows companies to raise money from the public in securities offerings of up to $50 million.
Bloomberg has published an article entitled, “The Birth and Death of Covenants.” The article highlights the latest trend in the tug of war between private equity firms and lenders. That trend is to agree to weaker and fewer covenants, which generally make it easier for private equity firms and other equity investors to divest assets and possibly keep such assets out of the reach of lenders.
According to an InvestmentNews article, Bank of America’s recent decision to transfer 300 Merrill Edge advisors into its Merrill Lynch Wealth Management branch offices may be a turning point in the evolution of compensation for financial advisors at major brokerage firms.
Edward Jones is concerned. In an SEC filing earlier this year, it warned that fiduciary rule enactments by individual states “may have an adverse effect on the partnership’s financial condition, results of operations and liquidity.” Likewise, last year Edward Jones (and seven other brokerages) asked the CFP Board to delay its new fiduciary rules, urging that the SEC’s Reg BI instead should govern so as to avoid conflicts in the two rules.
Collateralized loan obligations or CLOs are now the biggest buyers of loans to non-investment grade businesses. They hold about 60% of the debt of companies. Buyers of CLOs include hedge funds, insurers, pensions, and other large investors.
On May 29, 2019, the Securities and Exchange Commission (SEC) charged George Slowinski with perpetrating a more than $20 million real estate fraud in Chicago, Illinois, impacting more than 600 investors.
InvestmentNews has published the 10 IBDs that received the most annuity revenue last year, based on data collected from firms that participated in InvestmentNews’ independent broker-dealer survey.
