Massachusetts Adopts New Regulation on the Use of Expert Network Services

more+
less-

On August 8, 2011, the Massachusetts Secretary of State’s Securities Division (the “Securities Division”) issued a new final regulation on the use of expert network services.1 The new regulation takes effect on December 1, 2011 and will require certain investment advisers who retain consulting services, for compensation that is paid either directly to the consultant or indirectly through a firm providing expert-network services, to obtain a signed certification from the consultant that (i) describes all confidentiality restrictions that the consultant has, or reasonably expects to have, regarding confidential information and (ii) affirmatively states that the consultant will not provide confidential information to the adviser. The Securities Division indicated that the new regulation is intended to address “the rising use of expert network firms by investment advisers to facilitate paid consultations between investment advisers and industry experts.”

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Published In:

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Ropes & Gray LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.
×
Loading...
×