SEC Defines Family Office

In order to allow family offices to retain their ability to escape SEC regulation, the SEC has proposed new rules that define “family office” as an advisory firm that:

•  
  •  
    • Provides investment advice only to family members, as defined by the rule; certain key employees; charities and trusts established by family members; and entities wholly owned and controlled by family members.
    • Is wholly owned and controlled by family members.
    • Does not hold itself out to the public as an investment advisor.

Click here for a full copy of the proposal.

SEC Defines ‘Family Office’, Financial Advisor, Oct. 13, 2010.

Special thanks to Jim Hillhouse (WealthCounsel) for bringing this to my attention.