•  
• Tweet
•  
•        Print
•  
•         Track Keywords
•  
• 

B. G., Opalesque Geneva:

The U.S. Securities and Exchange Commission (SEC) said that registered investment adviser Pacific Investment Management Company LLC (PIMCO) would pay $m9 million to settle two enforcement actions.

In the first action, the SEC found that, from 2014 to 2016, PIMCO failed to disclose material information to investors concerning the use by PIMCO Global StocksPLUS & Income Fund (PGP) of interest rate swaps and the material impact of the swaps on PGP's dividend.

In the second action, the SEC found that, from 2011 to 2017, PIMCO failed to waive approximately $27m of advisory fees as required by its agreement with the PIMCO All Asset All Authority Fund. Additionally, until at least 2018, PIMCO did not have adequate written policies and procedures concerning its oversight of advisory fee calculations and related fee waivers. PIMCO has since disbursed to investors the $27m in fees that should have been waived, plus interest and a performance adjustment.

Without admitting or denying the SEC's findings, PIMCO agreed to a cease-and-desist order and a censure in each action and to pay a combined $9m penalty.

"These cases highlight our continued focus on ensuring that firms adequately disclose material information and implement reasonably designed policies and procedures," said Corey Schuster, co-chief of the Enforcement Divis......................

To view our full article Click here