On December 22, 2020, the SEC released its much awaited advertising and solicitation rule amendments, merging both rules together to create a new adviser marketing rule.  We expect the changes to have a significant impact on future marketing efforts.  The new rule will be effective 60 days after publication in the Federal Register with an 18 month transition period.  

At a high level, the rule has the following areas of impact:  

  • The new definition of an advertisement;
  • The elimination of the cash referral fee rule and conditions for use of testimonials and endorsements;
  • General prohibitions and disclosure obligations;
  • Actual and hypothetical performance advertising; and
  • Compliance review and approval requirements.

Join us on January 6, 2020 at 3pm Eastern for a webinar on initial impressions of the rule and implementation concerns to think ahead to.