LITMIR.BIZ

Скачать книгу

every Licensee or Candidate must notify IMCA in writing of such action within sixty (60) days.

      6.2

      Every Licensee or Candidate, upon being convicted of a Serious Crime or being the subject of a Professional Loss or Suspension must notify IMCA in writing of such conviction, loss, or suspension within sixty (60) days after receipt of notification by the Licensee or Candidate of such conviction, loss, or suspension. Upon becoming aware of a Licensee's or Candidate's conviction for a Serious Crime or Professional Loss or Suspension, the PRB may, in its discretion, issue an order to show cause why the Licensee's license to use an IMCA Designation should not be immediately suspended or the Candidate should not immediately be terminated from the applicable IMCA program. Failure to respond to the order to show cause within ten (10) days of receipt may result in immediate suspension or termination of the Licensee or Candidate.

      Responses to orders to show cause shall be referred to the PRB for further action under these Rules.

      ARTICLE 7: REINSTATEMENT AFTER DISCIPLINE

      7.1 Reinstatement after Termination

      Termination shall be permanent and there shall be no grounds upon which a terminated Licensee or Candidate may seek reinstatement.

      7.2 Reinstatement after Suspension

      Unless otherwise provided by a PRB order or order of the IMCA Appeals Board issued after an appeal, within thirty (30) days of the expiration of the suspension term, a Respondent may file a petition for reinstatement. The petition for reinstatement must be accompanied by an affidavit of compliance signed by the Respondent reporting compliance with the order and setting forth the steps taken by the Respondent during the suspension period to rehabilitate himself or herself, and make amends to clients, colleagues, and others adversely affected byhis/her actions. The Respondent also must verify in the petition for reinstatement that he or she has complied with IMCA's continuing education requirements throughout the suspension period.

      7.3 Reinstatement by PRB

      The PRB, upon review of the petition for reinstatement and the Respondent's affidavit, may, in its discretion, grant reinstatement or require the Respondent to attend a reinstatement hearing. All costs of the reinstatement hearing shall be borne by the Respondent. Reinstatement is within the sole discretion of the PRB and shall not be granted in the absence of clear and convincing evidence of compliance with the order, the Code, Standards of Practice, Rules, and IMCA's continuing education requirements. Upon or in conjunction with the PRB's grant or acceptance of a petition for reinstatement after disciplinary suspension, the Respondent, in order to be eligible to reactivate his or her license to use the IMCA Designation, shall comply with IMCA's rules regarding reactivation after disciplinary suspension.

      7.4 Appeal from Reinstatement Decision

      Any order by the PRB concerning reinstatement may be appealed to the IMCA Appeals Board using the same procedures as provided in Article 5 of these Rules.

      Part V IMCA Guidelines for Consultants Regarding the Acceptance of Benefits from Third Parties

      In General

      The consultant always should remain objective. The acceptance of benefits of any kind, such as cash, gifts, products, services, expense-paid trips, lodging, special events, and so forth, from investment managers or vendors other than the consultant's employer or client may have an impact on a consultant's objectivity. Even when a consultant's objectivity has not in fact been impaired, the possibility of conflicting interest that arises from the acceptance of third-party benefits weakens a client's confidence in the consultant's objectivity and is therefore detrimental to the consultant/client relationship. Acceptance of any material benefit by a consultant from a third party is therefore discouraged.

      The guidelines that follow do not supersede any more stringent guidelines or rules established by employers or government agencies.

      Definitions

      1. THIRD-PARTY BENEFIT

      A third-party benefit is any benefit received by a consultant or by any member of his family or household from any person or firm other than the consultant's employer or the consultant's client as a result of, or in the expectation or hope of generating professional relationships with the consultant, his employer, or his client. A third-party benefit may be cash or a noncash item or service that has value to the consultant. Gifts, merchandise, meals, tickets to events, trips, lodging, and outings are examples of noncash benefits.

      2. MATERIAL

      Any third-party benefit with a fair-market value in excess of $100 is considered material.

      3. OCCASIONS

      A third-party benefit is considered “occasional” if it occurs no more frequently than once a year.

      Applicable Guidelines

      1. A consultant should not solicit any third-party benefit under any circumstances.

      2. A consultant should not accept any third-party benefit if its source is not identified.

      3. A consultant should not under any circumstances accept any third-party benefit that is directly or indirectly linked to a manager or vendor's receipt of business from a client of the consultant.

      4. No material third-party benefit should be accepted without the written approval of the consultant's employer.

      5. A consultant should disclose to the client in writing any material third-party benefit he or she receives from a manager or vendor who also services that client. Disclosure is required if the consultant has, in fact or theory, any responsibility for the selection, monitoring, or evaluation of that manager or vendor for that client. Client disclosure in writing is not required if the client is present as a guest of the manager or vendor at the same event attended by the consultant, or if the client is present at the time the third-party benefit is delivered to the consultant.

      6. A consultant should maintain a written record of all material third-party benefits received; this record should be open to inspection by the consultant's employer and client upon request.

      7. Occasional meals, event tickets, or similar entertainment of a consultant and his or her guest need not be disclosed.

      8. Reimbursement for the costs or expenses incurred when traveling to the offices of an investment manager for the purpose of conducting a due diligence inspection are considered to be a third-party benefit and should be treated accordingly.

      9. A consultant may accept reimbursement for the reasonable cost or expense incurred in attendance at a training or educational meeting held by an investment manager or vendor, provided that his or her attendance at the meeting is approved in writing, in advance, by the consultant's employer and that it does in fact provide legitimate educational content. This reimbursement is, however, considered to be a third-party benefit and should be treated accordingly.

      10. Attendance at industry-wide meetings or conferences, sponsored by multiple, totally unaffiliated investment managers or vendors or special events at such conferences, sponsored by a single manager or vendor, need not be disclosed, provided that the participation in sponsored events is open to all conference attendees.

      CHAPTER 2

      Regulatory Considerations

      Investment advisors and consultants are subject to numerous laws and regulations that apply to the activities in which they engage, the products and services they provide, and the relationships they have with specific clientele they serve. Depending on these activities, products and services, relationships, and the jurisdictions in which they work, investment professionals may be subject to oversight by the following regulators: the SEC (Securities and Exchange Commission), FINRA (Financial Industry Regulatory Authority), and state securities boards or agencies among others.

      This chapter explores fiduciary responsibilities, direct and indirect relationships, the principal-agent relationship, disqualified persons, prohibited transactions, and various laws and regulations that apply to investment advisors

Скачать книгу