Using Data from PitchBook, COMPLY Outlines the Evolution of Private Equity Deal Activity Involving Investment Advisers and Broker-Dealers, Assessing the Impact of Dynamic Regulatory and Tech Environment on Industry Investment Trends
NEW YORK, Dec. 12, 2023 — A COMPLY™ announcement shared that the brand has published a comprehensive report on the use of private investments by private equity firms, investment advisers and broker-dealers in a time of emerging regulation and technologies. The report was created in collaboration with PitchBook, the leading resource for comprehensive data, research and insights spanning the global capital markets.
“Regulatory-Driven M&A: Why New Rules Means New Deals for Financial Firms” is a deep-dive into recent private equity deals and M&A activity involving advisory firms and broker-dealers, which assesses whether current deal strategy may be a result of increasing regulations and rulemaking. According to data featured in the report, Private Equity deal activity with investment adviser and broker-dealer participation surged to $61.8 billion across 210 deals in 2022. The same year, SEC-registered firms contended with new compliance requirements from the SEC’s Marketing Rule.
The report, which outlines market trends, as well as the impact of both regulatory and technological evolution, provides analysis regarding the growth of Regtech solutions and details expectations for the years to come.
Report highlights include:
- Private equity deal activity with investment adviser and broker-dealer participation
- Evolution of investment adviser and broker-dealer M&A activity and deal trends
- Impact of broadening regulatory regimes and advancing technology
- Analysis of recent trends and challenges, evaluating cryptocurrency as a case study for the evolving landscape
- Growth of Regtech adoption within the financial industry
- Q&A with COMPLY Chief Regulatory Officer John Gebauer
“Given recent regulatory trends, firms will continue to be faced with increasing compliance costs in the coming years. For much of the past few years, consolidation has been an effective strategy to spread the burden across a larger base. Today, regulatory technology solutions offer an alternative strategy and firms must take action, assessing how to best position themselves to proactively adapt with this regulatory evolution,” said John Gebauer, COMPLY’s Chief Regulatory Officer. “Our new report provides detailed, data-supported insights about the dynamics of the industry as well as the resulting impact on M&A activity. From my point of view, it’s clear that as we all broach the next chapter of regulatory oversight, the foundational technology used by firms will become increasingly paramount in achieving the heightened levels of compliance required by regulatory bodies.”
The report is now available for download.
COMPLY will also host a webinar on December 12 from 2-3 p.m. Eastern, featuring COMPLY Chief Regulatory Officer John Gebauer and PitchBook Representative Annemarie Donegan. The webinar will cover the report’s findings, assessing how regulatory trends have impacted private equity deals and M&A strategy. Following the live airing, the webinar will be available on demand. Registration is open now.
About COMPLY
As a global market leader in regulatory compliance solutions, COMPLY combines the power of regulatory technology, services and education to empower Chief Compliance Officers (CCOs) and compliance professionals to easily navigate the regulatory landscape. COMPLY enables firms to scale their growth, while remaining vigilant in their compliance efforts by providing solutions designed to manage the burden of complex compliance tasks. Our deep bench of industry expertise – which includes expansive knowledge in technology enablement and regulatory compliance protocols and processes from our product portfolio offerings ComplySci, RIA in a Box and NRS — supports more than 7,000 clients, including investment management firms, private equity firms, hedge funds, broker-dealers, registered investment advisers and other financial service sector participants.
COMPLY continually supports clients in their work to proactively address core compliance challenges – minimizing risk, addressing critical priorities and meeting new demands as the industry evolves and the firm scales.
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Media Contacts
Donald Cutler or Lorene Yue
Haven Tower Group
424-317-4864 or 424-317-4854
