SEC Warns Smaller Advisers to Transition by December 17

The SEC has sent notices to 293 mid-sized advisers (between $25 Million and $100 Million in AUM) that they have until December 17 to withdraw from SEC registration. Otherwise, the SEC will cancel their registration. The Dodd-Frank Act raised the threshold for SEC registration eligibility from $25 Million in AUM to $100 Million. The SEC also noted that 1,504 private fund advisers registered with the SEC pursuant to Dodd-Frank. Over 4000 advisers manage private funds, representing 37% of the 11,002 SEC-registered advisers. More than 2,300 mid-sized advisers have transitioned to state registration.