On 8-25-15, Joel Schectman wrote in the Wall Street Journal’s Risk and Compliance Journal about Treasury’s Financial Crimes Enforcement Network (FINCen) proposed rule which would require advisers with assets of more than $100 million to adopt many of the requirements in force for banks.
“Investment advisers are on the front lines of a multi-trillion-dollar sector of our financial system,” said FinCEN Director Jennifer Shasky Calvery in a statement. “If a client is trying to move or stash dirty money, we need investment advisers to be vigilant in protecting the integrity of their sector.”
Seetha Ramachandran, an attorney with Schulte Roth & Zabel LLP, says while many hedge funds already follow AML best practices, the new reporting requirements will be costly.
The comment period is for 60 days.
About me: Sean McClure is a former Senior Advisor at the White House. Sean is currently the Suspension and Debarment Advisor to the Department of the Treasury and with over 15 years of experience working at the White House, Department of the Treasury, USAID, and Department of State. He has traveled extensively to 35 countries in Africa, Asia, Latin America and Europe.
