SEC Sees Deficiencies in “Custody Rule”: Warns Clients to be Vigilant.

Simon Riveles Custody Rule, Investment Advisers, SEC

The Securities and Exchange Commission (the “Commission”) recently issued an Investor Bulletin with guidelines on compliance with its “custody rule” for investment advisers. While the rule is designed to enhance safeguards over client assets, clients still need to be aware of the specific steps taken by their advisers to comply with the rule. Custody relates to the holding of client funds or securities, directly or …