SEC: Surprise exams might be on horizon
The SEC is considering rule changes that would require advisers to submit to surprise exams by outside auditors.
The SEC is considering rule changes that would require advisers to submit to surprise exams by outside auditors. The amendments to the custody rule would require, among other provisions, registered investment advisers that have custody of client funds or securities to undergo an annual surprise examination to verify client funds and securities. For more details of the proposed rule changes, go to sec.gov/rules/proposed/2009/ia-2876.pdf.
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