Investment Adviser Marketing Rule
Energy, power, and commodities firms registered as investment advisers are navigating a compliance posture that shifted materially when the U.S. Securities and Exchange Commission's Marketing Rule (Rule 206(4)-1 under the Advisers Act) took full effect in November 2022. The rule's constraints on performance advertising, testimonials, and third-party ratings apply directly to commodity pool operators and energy-focused advisers that carry SEC registration, and the SEC's Division of Examinations has since flagged Marketing Rule deficiencies as a standing examination priority. Firms with dual registration under the U.S. Commodity Futures Trading Commission are also watching for any CFTC guidance that narrows or cross-references the advertising standards already binding their SEC-registered affiliates.
Watch
- SEC Marketing Rule examination deficiency letters targeting performance track record presentations
- CFTC advertising guidance that may mirror or conflict with Rule 206(4)-1 standards
- Testimonial and endorsement disclosures: third-party rating use by energy fund managers
- Hypothetical performance restrictions as applied to commodity-linked model portfolios
- Pending SEC staff guidance on net performance presentation for funds with incentive allocations
Recent material activity in Energy, Power & Commodities
Active monitoring in place across Energy, Power & Commodities. Material developments related to investment adviser marketing rule will appear here as they are published.