CHICAGO – Guggenheim Partners today announced a settlement with the U.S. Securities and Exchange Commission focused on negligent conduct.
The SEC settlement is focused on a negligent failure of Guggenheim Partners Investment Management (GPIM) to disclose, in two transactions dating from 2010, a potential conflict of interest related to a loan to an executive in GPIM. There is no allegation in the settlement that the loan itself was illegal. Guggenheim neither admitted nor denied the findings contained in the SEC Order. The Order imposes a fine, but does not impose any restrictions on GPIM’s future business activities.
“Since the occurrence of the events described in the SEC Order—which primarily occurred five years ago—Guggenheim has implemented new, comprehensive, best practice compliance policies, procedures and controls, including those that address the issues set forth in the SEC settlement,” a Guggenheim spokesman said.
The spokesman continued, “There is no allegation by the SEC that any Guggenheim client was financially harmed. No individual was charged by the SEC.
“GPIM seeks always to put client interests first,” he continued. “We are fully mindful of—and deeply committed to—our fiduciary responsibilities to our clients. Any failure to perform to the highest level is not acceptable.”
Sitrick And Company