Weiss Asset Management, a Boston-based hedge fund manager, has agreed to pay approximately $6.9 million to settle SEC charges that it violated the federal securities laws when it unlawfully purchased stock in seven public offerings after selling short those same stocks.
The Securities and Exchange Commission charged that between December 2020 and February 2021, Weiss violated violated Rule 105, which prohibits short selling an equity security during a restricted period (generally five business days before a covered public offering) and then purchasing the same security through the offering, absent an exception.
“The rule applies regardless of the trader’s intent and promotes offering prices that are set by natural forces of supply and demand rather than potentially manipulative activity,” the SEC said in a press release Tuesday.
According to the order, Weiss Asset Management’s violations occurred because it repeatedly miscalculated the restricted period and dismissed several red flags raised by its internal controls that suggested possible rule violations.
Weiss has agreed to disgorge profits of $6,508,793 and to pay interest of $190,211 and a penalty of $200,000. The firm also agreed to cease and desist from violating Rule 105 in the future.
The leadership changes coming in June, which also include wealth management and digital unit heads, come as the firm pushes to offer more comprehensive services.
Strategist sees relatively little risk of the university losing its tax-exempt status, which could pose opportunity for investors with a "longer time horizon."
As the next generation of investors take their turn, advisors have to strike a fine balance between embracing new technology and building human connections.
IFG works with 550 producing advisors and generates about $325 million in annual revenue, said Dave Fischer, the company's co-founder and chief marketing officer.
Five new RIAs are joining the industry coalition promoting firm-level impact across workforce, client, community and environmental goals.
RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.
As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.
