LAW 520 - Investment Management Regulation

Prereq/Corequisite(s): Students taking this course are required to contemporaneously take or to have previously taken Business Associations. It is also suggested but not required that students take or have previously taken Securities Regulation.

Americans depend on a variety of investment professionals and corporate forms to achieve their financial goals and build financial wealth. Much of that wealth is invested or “managed” in vehicles known as mutual funds, exchange-traded funds (ETFs), private hedge funds, and separately-managed accounts and portfolios - and is overseen by professionals and firms known as “investment advisers.” The investment management industry thus plays a critical role in how Americans build wealth for retirement, save for education and other major life expenses, and endeavor to transfer wealth to the next generation. In 2023 there were over 14,000 funds registered with the US Securities and Exchange Commission (SEC) holding approximately $27 trillion in assets. The SEC also oversaw more than 15,000 registered investment advisers (RIAs) reporting approximately $125 trillion in regulatory assets under management.

This course is designed to familiarize students with the legal and regulatory framework of the investment management industry, focusing primarily on the Investment Company Act of 1940, the Investment Advisers Act of 1940, and the regulations under each. It will address key case law and engage with significant interpretive and regulatory positions taken by the SEC and other regulators. Topics of study include the reach of federal investment management regulation, the registration and regulation of investment advisers, and the regulation of the operation, management, and distribution of mutual funds, ETFs, and other pooled investment vehicles. The course will also examine how the SEC and its Division of Investment Management regulate the investment management industry as well as the role of private counsel in representing regulated entities and investment professionals.

Students taking this course are required to contemporaneously take or to have previously taken Business Associations. It is also suggested but not required that students take or have previously taken Securities Regulation.