The Securities and Exchange Commission has charged New York-based investment adviser Perceptive Advisors with failing to disclose conflicts of interest regarding its employees' ownership of sponsors of special purpose acquisition companies in which the firm advised its clients to invest.
Without admitting or denying the findings, Perceptive agreed to a cease-and-desist order, a censure and a $1.5 million penalty to settle the charges.
According to the SEC’s order, Perceptive formed multiple SPACs in 2020 whose sponsors were owned both by Perceptive personnel and by a private fund that Perceptive advised. The Perceptive personnel were entitled to a portion of the compensation the SPAC sponsors received upon completion of the SPACs’ business combinations.
The SEC’s order said that Perceptive repeatedly invested assets of a private fund it advised in certain transactions that helped complete the SPACs’ business combinations and did not disclose these conflicts in a timely manner.
[More: Gensler targets SPAC disclosures]
First Trust models, Schwab-linked data tools and Orion transition tech headline a busy week for RIA wealthtech.
The change in senior personnel occurs days after LPL Financial tapped a new head of recruiting.
Former PulteGroup and Citizens executives join the broker-dealer network after a year of senior leadership departures.
Independent RIA Concurrent adds over $1B across six moves, while OnePoint BFG opens West Palm Beach with a $240M team.
The mega-RIA keeps absorbing independent fiduciary firms as Cerulli data shows the fee-only segment losing asset share.
Knighthead Life entered the market with a competitive MYGA. A strong launch earned advisor confidence and paved the way for FIAs.
As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor
