This might seem intuitive, but is not always the case. Depending upon your investment management division’s interaction with the compliance team, responsibilities may only be published in a compliance manual and sitting on a shelf. In many cases not only was it not read, but may not even be locatable.
Read more →At a recent SIFMA conference earlier this month, the SEC co-Director of Enforcement Andrew Ceresney discussed the SEC exam and review priorities for 2013. The overall theme is his team intends to be both vigilant and proactive in identifying and reacting to a firm’s compliance deficiencies. Mr. Ceresney commented that
Read more →FINRA and the SEC have sanctioned many firms and individuals for not establishing or following their AML Compliance Program. The NASD NtM 02-21 provides guidance for member firms to build their program. The findings have ranged from not having adequate safeguards based on the firm’s business model to “willful blindness”.
Read more →On June 21 of this year, FINRA filed with the SEC proposed rule changes regarding supervision. Rules 3010, with a couple of exceptions, and 3012 respectively will be replaced by 3110 (Supervision) and 3120 (Supervisory Control System). There are a number of rules coming from this change such as 3170
Read more →Late last month FINRA withdrew their proposal to require BDs to monitor and supervise an RRs Outside Business Activity (ies). If the proposed amendment to the rule was adopted, a BD would be required to not only be aware of the activity, but also supervise it. This plan was met
Read more →Over the past several years FINRA’s Examiners (formerly NASD) were not instructed to visit with the front lines (branch offices & non-home office OSJs) of the broker-dealer without cause, until recently. Today, a routine FINRA exam includes branch office visits. After the lead examiner assembles the information about your firm,
Read more →It is no surprise that the SEC has stepped up their routine exam cycle of RIAs under their jurisdiction, especially since they transitioned a number of them to the states where the RIA is domiciled. The numbers are staggering; only 8% of the SEC Registered RIAs were examined in 2012
Read more →More regulation in 2013 is certain. The Dodd-Frank bill is under review and implementation. The regulators have not yet enacted many of the changes. When completed, they may require significant modifications to the way you conduct your business. There are a number of proposals awaiting approval which may be
Read more →Identity theft can and is a horrible experience for the victim and their family. There are so many tactics one can take and the suggestion box is overflowing with ideas and opinions. The SEC has begun to put into place new rules to address this risk. The SEC is requiring Advisors
Read more →Attention all Massachusetts IAs who wish to file an application with the Mass Division of Securities for a Registered Investment Advisor. If passed, all future applications will require a Criminal Offender Record Information form more commonly known as a CORI. This was filed March 15, 2013 and the comment period
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