• Dodd-Frank Act Makes Important Changes to the Regulation of Securities Industry Participants, Including Private Fund Advisers and Broker-Dealers
  • August 11, 2010 | Authors: Catherine L. Bridge; Stephen J. Dutton; David G. Edwards; R. Paul Guerre; Curt W. Hidde
  • Law Firms: Barnes & Thornburg LLP - Indianapolis Office ; Barnes & Thornburg LLP - Chicago Office ; Barnes & Thornburg LLP - Grand Rapids Office ; Barnes & Thornburg LLP - Indianapolis Office
  • On July 21, 2010, President Obama signed into law the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act), which significantly changes the regulation of financial institutions and the financial services industry. In addition to the widely publicized provisions of the new law governing systemically important financial firms (i.e., firms “too-big-to-fail”), proprietary trading by financial institutions, and the regulation of depository institutions, to name a few, the Dodd- Frank Act also contains sweeping changes to the regulation of other securities industry participants, such as investment advisers to private equity funds, hedge funds, venture capital funds, and family offices. These new provisions are contained in the Private Fund Investment Advisers Registration Act of 2010 (the Registration Act or the Act), which was promulgated as part of the Dodd-Frank Act. The Dodd- Frank Act also contains new regulations intended to improve investor protection and strengthen the regulation of broker-dealers. This alert summarizes the principal aspects of these new regulatory provisions.