Compliance, Legislative & Regulatory Standards

Dodd-Frank Act - Part 2



This eCourse consists of three modules. Module 1 explores the basics of credit rating agencies and the motivation for changing the way they are regulated. It describes the specific rules, requirements, and other changes required by the Dodd-Frank Act that impact rating agencies. It also outlines the Securities and Exchange Commission’s enhanced powers in its oversight of credit rating agencies, and the role of the Office of Credit Ratings that was established under the Dodd-Frank Act.

Module 2 begins with an overview of the regulation of investment funds, including the registration requirements of the Investment Company Act of 1940, the Investment Advisers Act of 1940, and the Securities Act of 1933, as well as the implications of these registrations requirements. It then explores how private investment funds have historically avoided registration, before turning to the Dodd-Frank Act and describing in detail its registration requirement.

Module 3 describes Section 619 of the Dodd-Frank Act, widely referred to as the ”Volcker rule' in details. Volcker rule places prohibitions and limitations on certain activities on the part of banking entities and nonbank financial companies. The activities are proprietary trading, as well as hedge fund and private equity fund sponsorship and ownership.


On completion of this course, you will be able to:
- Outline the role of credit rating agencies and why regulation of such firms had to be enhanced
- Describe the rules and requirements of the Dodd-Frank Act that impact credit rating agencies
- Outline how investment funds have historically been regulated and how they managed to avoid registration with the Securities and Exchange Commission (SEC)
- Describe the Dodd-Frank Act’s registration requirement for advisers to private investment funds, the exemptions from this requirement, and the records and reporting consequences of the requirement
- Outline the thinking behind the Volcker rule and the rule's objectives
- Describe the Volcker rule's prohibitions in relation to proprietary trading and hedge fund and private equity fund sponsorship and ownership
- Describe the activities permitted by the Volcker rule and the limitations on these permitted activities


Module 1: Dodd-Frank Act - Credit Rating Agencies
Topic 1: Overview of Credit Rating Agencies
Topic 2: Impact of the Dodd-Frank Act on Credit Rating Agencies

Module 2: Dodd-Frank Act - Registration Requirement for Advisers to Private Investment Funds
Topic 1: Before the Dodd-Frank Act
Topic 2: The Dodd-Frank Act’s Registration Requirement

Module 3: Dodd-Frank Act - The Volcker Rule
Topic 1: Overview of the Volcker Rule
Topic 2: The Volcker Rules Prohibitions
Topic 3: Activities Permitted by the Volcker Rules


SFC:2.00, PWMA:2.00
Staff of Corporate Member: HK$540
Non-Member: HK$780
All Member: HK$540