Conflicts of interest are a top priority for the Securities and Exchange Commission's office of compliance inspections and examinations, Andrew Bowden, OCIE director, told compliance professionals gathered at the NSCP Compliance Conference in National Harbor, Md., on Tuesday.
“(Some money managers) convince themselves that they're in the right,” Mr. Bowden said. Before the Dodd-Frank Wall Street Reform and Consumer Protection Act, which required private fund managers to register for the first time, managers “probably had a pretty low expectation of that kind of behavior being detected,” he said.
Mr. Bowden also said the SEC will be paying close attention to “the huge amount of money” from 401(k) and other defined contribution plans as growing numbers of older workers retire. “Our job is to make sure those people get a fair deal” when figuring out where to invest.
