Defendant Name:
Cowen Prime Advisors LLC
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
Cowen Inc.
SIC Code:
9999
CUSIP:
22362260
Document Reference:
IA-5874
Document Details
Legal Case Name
In the Matter of Cowen Prime Advisors 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
27-Sep-2021
Document Format
Administrative Proceeding
Allegation Type
Investment Advisers/Investment Companies
Document Summary
On September 27, 2021, the SEC instituted settled cease-and-desist proceedings against Cowen Prime Advisors LLC stating: "These proceedings arise from breaches of fiduciary duty by registered investment
adviser Cowen. From January 1, 2015 through July 31, 2021 (the “Relevant Period”), Cowen
received revenue sharing payments from its unaffiliated clearing broker (the “Clearing Broker”) as a
result of sweeping its advisory clients’ cash into certain money market mutual funds (“money
market funds”) instead of available lower-cost money market funds for which it would not have
received any revenue sharing."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Censured
Other Compliance Related Undertaking
Various Undertakings
Fair Funds
Monetary Penalties:
Disgorgement
Individual:
$579,232.00
Shared:
Civil Penalty
Individual:
$115,000.00
Shared:
Pre-Judgment Interest
Individual:
$74,647.00
Shared:
Total Penalty
Individual:
$768,879.00
Shared:
