Personal financial planning


  Investment advisers need to follow appropriate due-diligence processes when recommending or placing clients’ assets in alternative investments such as hedge funds, private-equity funds, or funds of private funds, the SEC said in a risk alert, available at tinyurl.com/l2gcmfk.

According to the alert from the SEC’s Office of Compliance Inspections and Examinations, advisers are:

  • Seeking more information and data directly from the managers of alternative investments.
  • Getting third parties to supplement and validate the information managers of alternative investments provide.
  • Performing additional quantitative analysis and risk assessment of alternative investments and their managers.


  The recent financial crisis magnified the importance of investor protection. Regulators can play a vital role in ensuring that securities firms protect client assets. The International Organization of Securities Commissions (IOSCO) published eight principles to guide regulators as they supervise securities firms on the protection of client assets.

The guidance refers to securities firms—including derivatives firms—that are subject to regulatory supervision as “intermediaries.” The principles are available at tinyurl.com/bntsbyw.

SPONSORED REPORT

Tax reform changes are now in effect

With all the recent tax law changes, this year it’s more important than ever to make sure your clients’ tax situations are squared away before year end. This report provides necessary guidance to ensure 2019 starts without a hitch.

PODCAST

Using drones to enhance audits

Hermann Sidhu, CPA, global assurance digital leader at EY, walks us through EY’s exciting new project to use drones to help audit large warehouses and outdoor inventories.