Client Alert
On June 30, 2010, the Securities and Exchange Commission unanimously adopted new measures intended to prevent “pay to play” practices by investment advisers seeking to manage funds for state and local governments. The adopted rule aims to prevent investment advisers from making campaign contributions and related payments to elected officials in order to influence the awarding of lucrative contracts for the management of public pension plan assets and similar government investment accounts. The new rule will be become effective 60 days after publication in the Federal Register and generally will have to be complied with six months after that.