SEC Slaps 3 Advisory Firms Over Custody Rule Violations

Law360, New York (October 28, 2013, 2:04 PM EDT) -- The U.S. Securities and Exchange Commission on Monday hit three separate advisory firms with enforcement actions alleging that they violated the custody rule by, among other things, not having an appropriate third-party custodian holding customer money.

The three firms — Further Lane Asset Management LLC, GW & Wade LLC and Knelman Asset Management Group LLC — as well as two individual advisers will pay a combined $882,000 in penalties and disgorgement as well as taking steps to improve their internal management processes, according to SEC administrative...
To view the full article, register now.