This issue of Venable's Fund Forum provides (i) the ABC's of launching a fund, (ii) a how-to guide for structuring U.S. real estate funds, (iii) a summary of SEC's OCIE Examination Priorities for 2017, (iv) a review of FINRA's 2017 priorities letter, and (v) a collection of post-election resources. We're also happy to announce that Sung Hwang, Venable Tax partner and Fund Forum contributor, was appointed as a joint General Reporter for the Investment Funds topic for the International Fiscal Association London Congress 2019.
ABCs of Fund Formation
So you want to form a fund – everybody's doing it, right? More and more entrepreneurs are exploring whether to form a fund to fulfill their business objectives. Here are some critical questions to answer in anticipation of launching a fund.
Structuring a U.S. Real Estate Fund: A How-To Guide for Emerging Managers
A common real estate fund model is to "roll up" multiple freestanding, single-tenant commercial properties into a single asset that accomplishes an economy of scale, diversifies risks, and achieves a portfolio size that is palatable to investors with real money. These funds can offer investors steady cash flows, tax sheltered returns, and portfolio diversification. This article walks the reader through a basic structuring analysis.
SEC's OCIE Announces Examination Priorities for 2017
The SEC recently announced the 2017 examination priorities of its Office of Compliance Inspections and Examinations (OCIE). OCIE's 2017 examination areas are informed in part by OCIE's priorities from 2016 and will focus centrally on (1) matters of importance to retail investors; (2) risks specific to elderly and retiring investors; and (3) market-wide risks.
FINRA 2017 Priorities Letter
In January, FINRA released its annual Regulatory and Examinations Priorities Letter. As with prior editions, the letter highlights the areas of risk and concern that will drive FINRA's examination and regulatory programs. The backdrop is the strengthening of firms' compliance, supervision, and risk management internal controls. In 2017, FINRA's priorities will include a focus on five specific areas.
Presidential and Congressional Outlook Site
Reminder: Please check out our Presidential and Congressional Outlook site as we continue to write and speak on legislative and regulatory changes under the Trump presidency. In fact, last month, President Trump issued an Executive Order titled "Reducing Regulation and Controlling Regulatory Costs," which, if properly implemented, may herald the most significant changes in the federal regulatory process in decades.
March 14, 2017: Breakfast Roundtable on the importance of cyber due diligence in your deals. Details coming soon!