The SEC announced charges against two registered investment advisersfor failure to disclose conflicts of interest resulting from the receipt of revenuein the form of forgivable loans from a third-party broker/dealer.

Advantage InvestmentManagement LLC failed to disclose that it received more than $3 millionin revenue in the form of a forgivable loan made in 2012 by a broker/dealer, andfailed to disclose the conflicts of interest arising from the loan, an SEC probefound.

Without admitting or denying the SEC's findings, Advantage Investmentagreed to a censure, a cease-and-desist order and a penalty of $60,000.

Separately, the SEC found that Washington Wealth Management LLC,a San Diego-based registered investment adviser, failed to disclose that it receivedmore than $1.8 million in multiple loans from a broker/dealer between October 2012and March 2013. Washington Wealth did not admit or deny the SEC's findings, butagreed to a censure, a cease-and-desist order and a penalty of $50,000.

Washington Wealth Management has rebranded as KestraPrivate Wealth Services LLC.