Episode 10 - SEC Regulatory Update with Kerry Potter McCormick of Barnes & Thornburg

The Hoosier Hub Podcast

Recorded December 15th 2022

The SEC has recently made a number of changes and/or proposals around the marketing of performance reporting, due diligence on outsourcing for registered investment advisors, private funds and ESG. Kerry Potter McCormick, a partner at Indianapolis-based law firm Barnes & Thornburg, helps us understand the evolving regulatory landscape for investment firms and the implications for investment professionals.

Kerry’s Book Recommendation – The Caesars Palace Coup: How a Billionaire Brawl Over the Famous Casino Exposed the Power and Greed of Wall Street

Guest BioKerry Potter McCormick, a partner at Barnes & Thornburg LLP, represents investment advisers and fund sponsors in connection with the launch and ongoing operations of various investment products and structures, including private funds, managed accounts, funds-of-one, and co-investment products. Kerry advises investment advisers (including those registered with the SEC and those exempt from such registration) with respect to ongoing regulatory compliance and services clients across a broad range of strategies, including private equity, hedge, credit, real estate, and funds-of-funds. She represents advisers throughout a product’s life cycle, from negotiating with seed and other early investors in start-up managers to fund restructurings and wind-downs. She also represents institutional investors, pension plans, foundations, family offices and high net worth individuals with respect to their investments with such advisers.

Kerry is a Member of the New York City Bar Association Private Investment Funds Committee, and also serves as the Chairwoman of the ESG Task Force for Women in Funds.

SEC Linkshttps://www.sec.gov/regulatory-actions/how-to-submit-comments

https://www.sec.gov/comments/s7-14-19/s71419.htm

https://www.sec.gov/rules/proposed.shtml

https://www.sec.gov/rules/final.htm

Helpful Links from Barnes & Thornburghttps://btlaw.com/people/kerry-potter-mccormick

https://btlaw.com/en/insights/alerts/2022/compliance-date-approaching-for-new-marketing-rule-for-investment-advisers

https://btlaw.com/insights/alerts/2022/proposed-sec-rule-would-expand-private-fund-compliance-obligations-investor-protections

https://btlaw.com/en/insights/alerts/2022/sec-proposes-new-rule-with-respect-to-outsourcing-by-investment-advisers

Want to get Barnes & Thornburg alerts regularly? Sign up here: https://insights.btlaw.com/34/967/landing-pages/dedicated-subscribe.asp

Link to the Economist chart Austin referenced regarding the correlation of testosterone and face-width to investment performance https://www.economist.com/graphic-detail/2018/02/20/are-alpha-males-worse-investors

Who are the hosts?Austin Crites, CFA: Austin is a past-president and current committee member of CFA Society Indianapolis. Professionally, he is the Chief Investment Officer at Aurora Financial Strategies where he manages US-focused, all-cap, style-agnostic equity strategies as the core of client portfolios. Austin is a 2008 graduate of Marian University in Indianapolis where he is now an adjunct professor in the Byrum School of Business.

Matt Henry, CFA: Matt is a Senior Investment Officer at STAR Wealth Management. He is also a Past President and a director of CFA Society Indianapolis. When he’s not managing porfolios, Matt teaches Finance 300 at Ball State University. He enjoys air conditioning, wi-fi, and the conveniences of indoor living.