SEC Issues Guidance Update on Social Media Commentary in Investment Adviser Advertising

May 06, 2014

The staff of the Division of Investment Management (Staff) of the Securities and Exchange Commission (SEC) has issued an IM Guidance Update (Guidance Update) on the use of social media in investment adviser advertising. The Guidance Update seeks to clarify when registered investment advisers may use reviews available on independent social media sites without violating Rule 206(4)-1(a)(1) under the Investment Advisers Act of 1940 (Testimonial Rule).

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