Header graphic for print
Securities Compliance Sentinel Analysis of cutting-edge securities industry issues

Tag Archives: Registration; Exchange Act; SEC

So What Do You Need To Do With BrokerCheck

Posted in Broker-Dealer Regulation, Dodd-Frank, Financial Industry Trends, FINRA Compliance, Social Media

While many brokers breathed a sigh of relief when FINRA withdrew its proposal requiring members to include a “prominent description of and link to” BrokerCheck on their web sites and social media pages, this is probably not the end of this matter. Many firms complained about the proposal because it presented many administrative nightmares; such… Continue Reading

What You Need To Know About Identity Theft

Posted in Compliance and Supervision, Cyber-Security, Investment Adviser Regulation, SEC Compliance

Hardly a day goes by without hearing horrible stories of a person having their identity stolen and their finances ruined as a result.  The SEC is now stepping into this hornet’s nest by adopting new rules for financial advisors who have the authority to move client funds to third parties.  The new rules require firms… Continue Reading

Did You Know That Some Of Your Products Require Heightened Supervision

Posted in Broker-Dealer Regulation, Financial Industry Trends, FINRA Compliance, FINRA Enforcement

In a recent speech, FINRA CEO, Richard Ketchum, told broker-dealer compliance officers that, although firm compliance programs have improved, there must be heightened supervision when it comes to complex products.  In light of these comments, you must assume that the supervision over the sale of complex products will be a focus of your next examination.… Continue Reading

Some Things You Should Know About Compliance And Ethics

Posted in Broker-Dealer Regulation, Financial Industry Trends, FINRA Compliance, FINRA Enforcement, SEC Compliance, SEC Enforcement

At a recent conference held by the SEC, a panel highlighted the importance of compliance and ethics for broker-dealers.  The big take away from the conference was that a strong compliance program must have a solid ethical foundation. In other words, a compliance program is not simply making sure that your representatives check the right… Continue Reading

Is This The Beginning Of The End To Arbitrations

Posted in Arbitration, Broker-Dealer Regulation, Intra-Industry Arbitrations

This past week, members of the North American Securities Administrators Association lobbied Congress to do away with mandatory arbitration provisions from customer agreements.  In a speech before this group, SEC Commissioner Aguilar expressed that mandatory arbitration agreements must go.  Would this be a bad thing? Arbitration has be seen as the preference of the industry because… Continue Reading

Section 15(a) Registration And Foreign Transactions

Posted in SEC Compliance

A magistrate judge in the Northern District of Illinois recently ruled that Section 15(a) of the Exchange Act does not apply extraterritorially even if a foreign transaction was facilitated by a broker-dealer in the United States.  In the case, unregistered broker-dealers conducted a foreign stock transaction on a foreign exchange from the United States.  The… Continue Reading