In a remarkable decision by a split vote of 3 to 2, the Securities and Exchange Commission (SEC) approved substantial changes to Rule 2a-7, in addition to other rules pertaining to money market funds under the Investment Company Act of 1940 on July 12, 2023. The SEC development centered on several elements, chief among them…
The U.S. Securities and Exchange Commission (SEC) recently proposed new rules and amendments that may have significant impacts on broker-dealers and investment advisers. The initiative is aimed at addressing potential conflicts of interest that arise from these professionals’ use of predictive data analytics, among other related technologies, in their interactions with investors. From a briefing…
In a marked move, the U.S. Securities and Exchange Commission (SEC) adopted a noteworthy new rule last week, a move that notably increased reporting obligations for public companies. The adopted Cybersecurity Risk Management, Strategy, Governance, and Incident Disclosure Rule (the “Rule”) demands, among various other things, the reporting of “cybersecurity incidents” within merely four business…
On July 26, 2023, an open meeting held by the Securities and Exchange Commission (SEC) resulted in the adoption of final rules that aim to enhance and standardize cybersecurity disclosures by public companies. This development indicates a significant shift in regulatory focus towards improving transparency in the cybersecurity realm. According to a report by legal…
On July 25, 2023, an important decision took place in the United States District Court for the Southern District of New York. Judge Jed S. Rakoff dismissed a motion to dismiss a putative securities class action, involving an online food ordering and delivery platform, known merely as “the Company”. The allegation stems from violations of…
The U.S. Securities and Exchange Commission (SEC) has implemented a significant new policy regarding cybersecurity disclosure requirements, according to a recent report. As of July 26, 2023, all public companies that fall under the reporting obligations and handle data collection or processing are subject to the rule. This rule, named the Cybersecurity Risk Management, Strategy,…
On July 26, 2023, the Securities and Exchange Commission (SEC) significantly shifted the landscape of cybersecurity accountability for public companies. The SEC convened an open meeting where it was decided to adopt final rules requiring the standardization of cybersecurity disclosures by public companies (JD Supra). These new rules mark a strict departure from the previous…
On July 26, 2023, the U.S. Security and Exchange Commission (SEC) proposed a new set of rules affecting registered investment advisers and broker-dealers. As discussed in this JD Supra article, the proposed rules aim to handle certain conflicts of interest concerning the use of predictive analytics, artificial intelligence (AI), and other relevant technologies in dealings…
California’s laws surrounding securities claims are stringent, representing a robust infrastructure designed to serve as a robust system for financial regulation. Even after death, said claims may still hold relevant. As Part 5 of the Corporation Securities Law of 1968 establishes, certain violations and their subsequent remedies are clearly prescribed. Corporations Code Section 25401 elucidates…