Paul Roye, former head of the Securities and Exchange Commission's Division of Investment Management, has taken a job as senior vice president at Capital Research & Management Co., the parent company of the American Funds mutual fund group, the nation's second-largest mutual fund complex.
According to published reports, Mr. Roye will work on providing the funds with legal and compliance advice, although he will not be involved in an ongoing SEC and NASD probe of alleged payments American Funds made to brokers to recommend the firm's funds. The firm is fighting the charges.
Mr. Roye announced in February that he was leaving the SEC to pursue a job in the private sector (see Previous InvestmentAdvisor.com Story). It had been expected he would take a job at a securities law firm, since he previously worked at Dechert LLP before joining the SEC.