More On Legal & Compliancefrom The Advisor's Professional Library
- RIAs and Customer Identification Just as RIAs owe a duty to diligently protect their clients privacy and guard against theft, firms also play a vital role in customer identification. Although RIAs are not subject to an anti-money laundering rule, securities regulators expect advisors to address these issues in their policies and procedures.
- Client Commission Practices and Soft Dollars RIAs should always evaluate whether the products and services they receive from broker-dealers are appropriate. The SEC suggested that an RIAs failure to stay within the scope of the Section 28(e) safe harbor may violate the advisors fiduciary duty to clients, so RIAs must evaluate their soft dollar relationships on a regular basis to ensure they are disclosed properly and that they do not negatively impact the best execution of clients transactions.
Two major private equity firms, along with some of the current management of Neuberger Berman, will acquire the asset management remainder of the former Lehman Brothers firm in a deal valued at $2.15 billion in cash.
The PE firms are Bain Capital and Hellman & Friedman; the other parties to the deal are the fixed income and certain alternative asset management businesses of Lehman Brothers' Investment Management Division in partnership with portfolio managers, the management team, and senior professionals, the acquirers said in a release announcing the acquisition.
The deal will create an independent asset management company with $230 million in AUM.
George Walker, the global head of investment management for Lehman Brothers, will be CEO of the new firm, to be called Neuberger Investment Management.