SEC penalizes Boston RIA $1 million over private fund marketing
Regulator says Old Ironsides distributed materials with misleading information
Old Ironsides Energy, a Boston, Mass.-based registered investment adviser, has agreed to pay a $1 million penalty to settle charges relating to its marketing of a private fund between March 2014 and April 2015.
The Old Ironsides Energy Fund received more than $1.3 billion in commitments, the SEC said in an administrative proceeding announcement, after the firm distributed misleading marketing materials relating to the fund’s historical performance for managing direct drilling investments.
The SEC found that the marketing materials indicated that Old Ironsides directly managed the investment, when it was actually an investment in a private fund advised by a third party. By including the private fund’s performance, Old Ironsides misleadingly improved its “track record” for these types of investments, the SEC said.
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