ARTICLE
3 June 2016

SEC To Make Inflation Adjustments To Net Worth Thresholds For Qualified Clients (Fed. Reg.)

CW
Cadwalader, Wickersham & Taft LLP

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Cadwalader, established in 1792, serves a diverse client base, including many of the world's leading financial institutions, funds and corporations. With offices in the United States and Europe, Cadwalader offers legal representation in antitrust, banking, corporate finance, corporate governance, executive compensation, financial restructuring, intellectual property, litigation, mergers and acquisitions, private equity, private wealth, real estate, regulation, securitization, structured finance, tax and white collar defense.
The order would not increase the minimum dollar amount of assets under management requirement.
United States Corporate/Commercial Law

The SEC announced its intention to issue an order that would increase and adjust for inflation the dollar amount thresholds applicable to the minimum net worth requirement of "qualified clients," as defined in Rule IAA 205-3 under the Investment Advisers Act. Rule IAA 205-3 permits investment advisers to charge performance-based fees to such clients. The order would not increase the minimum dollar amount of assets under management requirement.

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