SEC investigation into problematic trades of an investment manager

SEC investigation into problematic trades of an investment manager

We managed a dispute advisory project related to the response of an SEC inquiry over potentially problematic trades by an investment manager. The inquiry included allegations of “marking the close” and cross-trading thinly traded securities among multiple managed accounts. The trades were alleged to have been intended to manipulate the market price of certain securities that were used to inflate account values and earned commissions at period-ends.