Tagged: regulations

Identifying “Bad Actors” In Private Offerings under Rule 506

Stop Bad Actors Bernie Madoff

This article part one of a two part discussion on Identifying Bad Actors for private placements. In 2010, as part of the aftermath of the Global Financial Crisis of 2008, Congress adopted the Dodd-Frank Wall Street Reform and Consumer Protection Act. While most of the Act addressed the financial services industry, one significant provision targeted… Read More

Taiwan Investment Crowdfunding Platforms to be Operated by Brokers

Flag of Taiwan

The National Development Council (NDC) of Taiwan is pushing forward with investment crowdfunding. According to a report in the Taipei Times, crowdfunding platforms will allow investors to purchase stakes in startups and small companies as soon as May of this year. “Startups are the fruits of innovation,” stated Woody Duh NDC Minister. “They benefit our… Read More

People’s Bank of China to Lead Regulations on Internet Finance

Peoples Bank of China

Online finance has been booming in China.  Today the country claims to be the largest market in the world for peer to peer lending with an estimate value of $18 billion for 2014. The Chinese People’s Political Consultative Conference (CPPCC) opened their meeting in the Great Hall of the People in Beijing earlier this week… Read More

Massachusetts Schedules Hearing on Crowdfunding Exemption, Solicits Comments from the Public

George Washington Boston Massachusetts

The state of Massachusetts, under the Office of the Secretary of the Commonwealth, enacted “emergency” crowdfunding regulations this past January. Secretary William Galvin, previously identified as highly skeptical of investment crowdfunding having vocally criticized the new form of finance, surprised industry followers when the rules were released.  One commentator called the released regulations as a“breath… Read More

David Weild: The Need for a Venture Exchange (Deck)

David Weild and Vince Molinari

David Weild, former Vice Chair of Nasdaq and current CEO of IssuWorks, delivered a presentation to the SEC Advisory Committee on Small and Emerging Companies that addressed the issue of venture exchanges.  The need for a venture exchange has recently percolated up in discussion as new types of securities are being created that may require a… Read More

SME Advisory Committee on Reg A+: SEC Review is Sufficient for Investor Protection. State Blue Sky Review Must Be Preempted.

Michael Pieciak

The SEC Advisory Committee on Small and Emerging Companies tackled the highly contentious issue of state Blue Sky Review preemption today regarding Title IV of the JOBS Act. Commonly called Reg A+, the SEC has recommended pre-empting state review as it is widely understood to have killed the efficacy of existing Reg A due to the… Read More

ALL HAIL THE COMING of The Illinois Intrastate Crowdfunding Bill

Anthony Zeoli

Alright so maybe “all hail” might be a little much but cut me some slack, I’m excited. After more than a year of lobbying, campaigning and pounding the pavement Illinois finally has a filed intrastate crowdfunding exemption bill. Well, that’s not entirely true … Illinois actually now has three proposed bills… Introduction. As many of… Read More

P2PFA Survey Indicates Consumers Want Separate ISA for Peer to Peer Assets

Peer2PeerLendingUK

A new survey from the Peer to Peer Finance Association (P2PFA) indicates that consumers “overwhelmingly” believe that peer-to-peer lending should be separated from traditional Cash or Stocks & Shares ISAs.  According to the P2PFA, the group polled over 4500 p2p investors regarding their preferences. This information comes at a time when the UK will soon decide how… Read More

SeedInvest to SEC: Please Enact Final, Simple, Crowdfunding Rules

Keep It Simple

SeedInvest, a widely respected investment crowdfunding platform that operates under Title II accredited crowdfunding (for now), has just submitted a comment letter to the Securities Exchange Commission pleading with he agency to “keep Title III crowdfunding simple”. The JOBS Act was signed into law almost 3 years ago yet final rules for retail crowdfunding under… Read More

NASAA Continues to Lobby SEC on Blue Sky Review & Title IV of the JOBS Act

The Battle of Blue Sky Review

The North American Securities Administrators Association (NASAA) continues to lobby the SEC aggressively in their attempt to obstruct removal of Blue Sky Review under Title IV of the JOBS Act.  NASAA is a special interest group that represents state securities regulators and advocates on behalf of issues they believe are important to state regulators. Earlier… Read More

SEC Advisory Committee on Small & Emerging Companies Scheduled to Tackle Secondary Markets, Accredited Investor Defintition

Mary Jo White

The SEC has shared the agenda for the next meeting of the Advisory Committee on Small & Emerging Companies.  This committee was recently re-animated by SEC Chair Mary Jo White.  The Committee provides insight and advice to the SEC on privately held small businesses and publicly traded companies with a market capitalization less than $250 million…. Read More

Colorado Lawmakers Seek Support for New Crowdfunding Legislation

Flag of Colorado

Last month, Crowdfund Insider reported that a drafted crowdfunding legistation for Colorado was presented that will facilitate crowdfunding by authorizing on-line intermediaries to match Colorado investors with a state-based business. Authors of the Colorado Crowdfunding Act, have attempted to improve on some of the glaring deficiencies that have pinned Title III retail crowdfunding. The bill covered: Non-accred’s… Read More

Europe Wants a Capital Markets Union. Crowdfunding Can Be A Catalyst.

A Revolution in Finance

The European Union published a “green paper” on Building a Capital Markets Union for the broader European community.  The ambitious goals are laudable but the challenge is high. While in the United States, and other countries around the globe, SME’s are the engine of growth.  The report states that in comparison to the United States,… Read More

Central Bank of Ireland: Peer to Peer Regulations Years Away

Ireland Where the Blarney Stone rests

The Central Bank of Ireland has been monitoring the evolution of the investment crowdfunding world but they do not seem to be in a hurry to apply any type of regulatory regime.  According to a report in the Independent, there is no time frame on regulations. A representative from the Central Bank was quoted stating;… Read More

The JOBS Act, Crowdfinance & Building Social Consensus: Are Investors Unnecessarily at Risk?

money house of cards dollars 100

Is the JOBS Act Title II ecosystem being built around the art of the “con” by some Internet funding platforms and companies raising money on these platforms?  The answer seems to be yes, judging by investment advice provided by Morningstar, FINRA, psychologists, and business world academics – and newly emerging practices of Internet platforms which… Read More

Commissioner Aguilar Sets Goals: “The Commission Should Adopt Final Rules..”

Luis A. Aguilar

While SEC Chair presented a state of SEC type presentation, Commissioner Aguilar has jumped in and put some more meat on the bones.  Speaking at the annual Practicing Law Institute gathering, Aguilar set forth his perceived goals for the SEC for 2015. While touching base on Dodd-Frank noting the SEC has finalized 56 out of… Read More

Canada Expects Crowdfunding Rules This Summer

Canada Equity Crowdfunding

In a statement yesterday (Thursday, February 19th), the Ontario Securities Commission shared they expect to release crowdfunding rules this coming summer.  The proposed rules entered a comment period last year and the Commission has been in the process of reviewing the feedback; “The comment period ended on June 18, 2014 and the participating CSA jurisdictions… Read More

Mary Jo White: “This year, we will be focused on implementing the final two major mandates of the JOBS Act”

Wanted SEC That Provides Crowdfunding Regulations Mary Jo White

SEC Chair Mary Jo White addressed the Practicing Law Institute in DC this morning and it appears that most of the big shots at the SEC are sharing their wisdom as well today. Following opening remarks by Andrew Ceresny, the Director of SEC Enforcement and Keith Higgins, the Director of CorpFin, Chair White delivered a pretty… Read More

Interview: Investor & Cambridge Research Fellow Robert Wardrop Elucidates Alternative Finance’s Complexities and Societal Differences’ Effect on Markets

Robert Waldrop Quote

Interested in innovation, both in the finance industry and in the broader economy, Robert Wardrop began his career at Procter & Gamble before moving on to the Anschutz Investment Company and later to DAM Capital. The seasoned entrepreneur presently serves as a Non Executive Director at Asia Broadcast Satellite and Clarity Health Services as well as… Read More

Brief: SEC Postpones Advisory Committee on Small & Emerging Companies Meeting

Walking to the SEC Securities and Exchange Commission

Due to inclement weather, and the associated closure of Federal Offices in Washington, DC, the Advisory Committee on Small and Emerging Companies has postponed its meeting to a later date.  Originally scheduled to take place today (February 17th), no new meeting date was disclosed. The meeting was scheduled to include a vote on the recommendations… Read More