Defendant Name:
RBC Capital Markets, LLC
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
Royal Bank of Canada
SIC Code:
6029
CUSIP:
78008710
Document Reference:
IA-5198
Document Details
Legal Case Name
In the Matter of RBC Capital Markets, LLC
Document Name
Order Instituting Administrative and Cease-and-Desist Proceedings, Pursuant to Sections 203(e) and 203(k) of the Investment Advisers Act of 1940, Making Findings, and Imposing Remedial Sanctions and a Cease-and-Desist Order
Document Date
11-Mar-2019
Document Format
Administrative Proceeding
Allegation Type
Investment Advisers/Investment Companies
Document Summary
On March 11, 2019, the SEC issued an order against RBC Capital Markets, LLC, stating: "These proceedings arise out of breaches of fiduciary duty and inadequate disclosures by registered investment adviser RBC Capital Markets, LLC in connection with its mutual fund share class selection practices and the fees it and its associated persons received pursuant to Rule 12b-1 under the Investment Company Act of 1940 ("12b-1 fees")."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Censured
Other Compliance Related Undertaking
"Respondent shall deposit the full amount of the disgorgement and prejudgment interest (the “Distribution Fund”), less monies already distributed to investors, into an escrow account [...] Respondent shall be responsible for administering the Distribution Fund"
Self Reporting to SEC
Monetary Penalties:
Disgorgement
Individual:
$10,494,813.38
Shared:
Pre-Judgment Interest
Individual:
$1,220,581.34
Shared:
Total Penalty
Individual:
$11,715,395.72
Shared:
