Sunday, September 26 / Pre-Conference Workshop
2:30 – 3:30
REGISTRATION
3:30 – 5:30
WORKSHOP: EVALUATING RISK FOR FORM ADV RESPONSES AND MORE
The SEC, compliance professionals, accountants, lawyers, and Chief Compliance Officers are all rating the risks for investment advisers, primarily registered investment advisers. The Office of Inspector General commented that the SEC’s methods of rating risk need improvement. Most everyone’s does, or could at least have another look.
This Pre-Conference Workshop will review risk and the sources of information about risk, with the Form ADV still ranking as a significant provider of risk indications. Also, new Form ADV Amendments applicable to next year’s ADV filings will reveal even greater or lesser risk.
Workshop provided by Ascendant Compliance Management and its team of compliance professionals.
Monday, September 27 / Day One
5:30 – 7:00
WELCOMING RECEPTION & REGISTRATION
7:00 - 7:50
REGISTRATION & CONTINENTAL BREAKFAST
7:50 - 8:00
OPENING REMARKS
• Welcome Attendees
• Ascendant’s Compliance Conference Vision
• Operations, Compliance and Regulatory Developments
• Conference Overview
8:00 – 10:05
PANEL DISCUSSION: KEY REGULATORY DEVELOPMENTS
With Introduction Presented by Marianne Smythe
• Form ADV, Part 2 and Brochure Supplements
• How Will the SEC Implement Congressional Mandates?
• The SEC’s Progress on Its Own First Internal Annual Review
• Understanding SEC Examination Procedures
• Custody/Verification of Client Assets: How Will the SEC Respond to Material Discrepancies?
10:05 – 10:30
REFRESHMENTS
10:30 - 10:40
COMPLIANCE AND OPERATIONS RESOURCE INTRODUCTIONS
10:40 - 11:45
CURRENT FOCUS AREA:
ALERT – NEW DOL REGULATIONS THAT APPLY TO INVESTMENT MANAGERS
The Department of Labor has issued and is implementing a significant expansion of the reporting of direct and indirect compensation. This Special Focus Session will review, discuss and explain new reporting requirements and additional proposed regulations with which all investment advisers will be required to comply. It will also compare the evolving issue of the appropriateness of fees paid to mutual fund companies with the disclosure being required by the DOL of all ERISA qualified plan service providers.
• Identifying and Describing Reportable Indirect Compensation
(issue of undisclosed compensation)
• Fee Transparency
• Soft Dollars, Placement Fees, Float Revenues, 12b-1 Fees
• Acceptance of Gifts and Business Entertainment by Plan Fiduciaries
• Looking Out for Form 5500, Schedule C
11:50 – 12:45
CURRENT FOCUS AREA: OFFERING PRODUCTS AND SERVICES INTERNATIONALLY
U.S. Advisers face a multitude of different regulatory landscapes when their products and services go abroad. This Special Focus session will focus on issues associated with marketing in foreign jurisdictions (particularly the UK and Europe), and the types and composition of product solutions.
• Overview of Foreign Regulatory Considerations
• UCITs, Separately Managed Accounts, SICAVs, Other Products
(product characteristics and limitations)
• Distribution Considerations and Finders’ Fees
• Compliance and Legal Team Interaction
12:45 - 1:45
LUNCHEON
1:45 - 2:15
CORPORATE COMPLIANCE & ETHICS STUDIES: GO OUT AND FIX PROBLEMS
2:15 – 2:25
COMPLIANCE AND OPERATIONS RESOURCE INTRODUCTIONS
2:30 - 3:00
SPECIAL PRESENTATION: INVESTMENT ADVISER ASSOCIATION PERSPECTIVES
David Tittsworth, Executive Vice President and Executive Director of the Investment Adviser Association, shares IAA’s perspectives on recent regulatory and Congressional developments that affect investment management firms. Mr. Tittsworth and IAA advocate for the investment advisory profession on legislative and regulatory matters including FORM ADV changes, custody rule developments, proliferation of the fiduciary duty standard, DOL regulations, and international issues. IAA is a not-for-profit organization that exclusively represents the interests of SEC-registered investment adviser firms.
3:00 – 3:30
REFRESHMENTS
3:30 - 5:30
LEARNING PATH ONE: FOR INVESTMENT MANAGERS
This Ascendant Learning Path focuses on certain discrete issues that should be addressed by asset management firms.
3:30 – 4:25
POLICY CONSIDERATIONS OF TRADE ERRORS
Errors happen. All kinds of information is relevant to what should happen to resolve such situations. Review policy and resulting decisions. Are gains the client’s money or subject to the adviser’s practices and disclosures? What Form ADV Part 2 disclosure is required?
4:30 - 5:30
BEST EXECUTION, SOFT DOLLARS, ETHICS AND PROFESSIONAL CONDUCT
Various standards and guidelines even apply to these core compliance topics for investment managers. Personnel from the CFA Institute and David Lui, CCO of FAF Advisors, will review industry practices. Whether making certifications to a Board of Directors or within requests for proposals, these topics are likely to be subjects. Our panel will review questions frequently asked by boards of directors and other clients.
• How Can You Express Your Standard?
• Can You Assert Compliance for CFA Institute Standards?
• A Consideration of Marketing Ramifications
• SEC Examination Considerations
3:30 - 5:30
LEARNING PATH TWO: FOR PRIVATE (HEDGE) FUND MANAGERS
This Ascendant Learning Path focuses on issues specifically relating to hedge fund compliance, and prepares compliance professionals for the key and nuanced regulatory issues.
3:30 – 4:25
THE REGISTRATION OF PRIVATE FUND MANAGERS
• What Changes?
• Designation of Someone with Authority to Comply (CCO)
• Marketing Materials
• Waiting for the SEC
• Risk Matrices
• Side Letters
• Form ADV Part 2
4:30 - 5:30
THE DISTRIBUTION OF PRODUCTS
• Distribution Processes
• Pitfalls of Marketing: Avoiding General Solicitations
• Cooling Off Periods
• Potential Loss of Exempt Registration Status
• Solicitors and Finders (Pay to Play)
• Side Letters: Redemptions, Gates, Fees, Information
5:30 – 6:30
RECEPTION
7:00 - 9:00
POTOMAC YACHT CRUISE
It is our pleasure to invite you to join us for this special evening aboard the Celebrity Yacht, with great food and beverages as well as excellent company -- be sure to mark your calendar!
Tuesday, September 28 / Day 2
7:00-8:00
CONTINENTAL BREAKFAST
8:00–8:15
HOUSEKEEPING AND COMPLIANCE AND OPERATIONS RESOURCE INTRODUCTIONS
8:15-8:55
OPEN FORUM: ACCOUNTING STANDARDS KEEPING YOU UP AT NIGHT?
Sometimes the most important thing to know is which accounting standard needs to be followed and documented. And the standards are being changed along the way – written, in fact, some might say. John Blackshire, Jr., the CEO of The Accountware Group, Inc., helps companies improve business processes and implement financial systems to meet various accounting standards. Frequently referenced standards include FASB, GAAP, AICPA, PCAOB, SOX, NAIC’s MAR, IFRS, GAAP to IFRS conversions, continuous auditing, S.O.F.T audits, GAGAS, and OMB A-123 internal controls.
9:00-10:00
POLICY CONSIDERATIONS: HANDLING NON-PUBLIC INFORMATION
This session will explore the policy considerations of data and confidential information treatment.
• The Security of Client Non-Public and Sensitive Information
• Communications Among Managers, Including Hedge Fund Managers
• Restrictions on the Disclosure of Holdings, Positions and Trades
• Research Conflicts
• Client Obligations, Rule 10b-5, Insider Trading
• Market Timing History
• Form ADV Part 2 Disclosures
10:00-10:20
REFRESHMENTS
10:20-11:20
CORE FOCUS SESSION: ASSET MANAGEMENT INDUSTRY
The SEC Asset Management Unit now specializes in issues involving the operations, motivations and strategies of investment advisers. This Unit will focus on many areas monitored by compliance, including valuation, performance, due diligence, trading and soft dollars. They plan to further develop the SEC’s knowledge of the industry. This Core Focus Session will review this new SEC Unit's areas of focus.
11:25-12:30
SPECIAL SKILLS SESSION: THE ART OF NEGOTIATION
We will discuss successful strategies for negotiating. As “chief” officers, CCOs now must be able to negotiate with vendors, counterparties, members of their own firms, and of course discuss matters with the SEC. This involves components of research, trading and management systems and so much more including compensation. And add in the complexities of Fund Boards. Ann Oglanian of ReGroup, LLC, will discuss the art of negotiation during this Special Skills Session.
12:30-1:30
LUNCHEON
1:30 – 5:30
ROUNDTABLE WORKSHOPS
CCOs, Ascendant consultants and other industry experts will lead Ascendant’s ongoing practical, interactive workshops covering recent and critical compliance program development issues. Each roundtable workshop will be limited to approximately 40 participants to promote maximum openness and discussion. Topics to be addressed include:
• Required Policy and Procedure Updates
• Placing a Value on Bundled Soft Dollars: Best Execution Analysis, Ranking and Voting
• Custody
• Date Security
• Coordinating Risk Management and Compliance: Canadian National Instrument 31-103
• Share Your Ridiculous Compliance Situations
• SEC Exams
• Benchmark of Compliance Costs
• Form ADV Upkeep
• Inventorying Conflicts of Interest
• Common Marketing Deficiencies
• Insider Trading
• Information Barriers
• Marketing Development: Use of Social Network Sites
• Critical Annual Review Tasks
• Code of Ethics Management
End of Conference
