Oksana Wright and Charles DeMonaco discuss the management and corporate compliance measures for the companies to prioritize during the time of cost-cutting and uncertainty:
https://www.corporatecomplianceinsights.com/corporate-compliance-during-covid-19/
Although we are certain that Shakespeare never had to deal with the vagaries of Regulation BI, we do, and, in a series of questions relating to Regulation BI, the SEC Staff made it abundantly clear that, if you are a broker-dealer and not also a registered investment adviser, you cannot use the term “adviser” or
Last month, we discussed business continuity plans and how important they were to firms. Further, my partner, Josh Horn, and I, recently, conducted a webinar for the NSCP on this very topic.
Now, we know both the SEC and FINRA will be conducting examinations to evaluate securities firms response to the pandemic as well as
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Compliance personnel– especially, chief compliance officers– cannot ignore problems because, as one SEC ALJ determined, it will lead to censure and fines for ignoring compliance obligations. See https://www.sec.gov/alj/aljdec/2020/id1400cff.pdf.
Apparently, for over 10 years, a registered investment advisor hired a series of unskilled CCOs, and ignored compliance and audit requirements. The RIA tried to claim that
A few weeks ago as this crisis began to take shape, we indicated it would be a good idea to dust off the old business interruption policies. In response to some queries, we wanted to add to our discussion.
Regardless of anyone’s (including your insurance broker) belief, you should still make the claim on the
Let’s be honest, the only people usually concerned about business continuity plans (“BCP”) are compliance folks and the lawyers. In fact, many probably have not looked at their BCP since Hurricane Sandy. Well, you better dust it off (or dry it off, more accurately).
FINRA has already provided notice regarding traders working at home. https://www.bloomberg.com/news/articles/2020-03-09/finra-concedes-virus-may-impact-wall-street-oversight-of-traders.
Ernie Badway, the Chair of Fox Rothschild’s Securities Industry Group, will be speaking at the National Conference of the National Society of Compliance Professionals. Registration information may be found at: https://www.foxrothschild.com/ernest-e-badway/events/the-secs-challenging-new-guidance-on-the-solely-incidental-broker-exemption/
A chief compliance officer (“CCO”) for a registered investment adviser (“RIA”) found himself barred from any compliance or supervisory role in the future because he willfully refused to fix a number of compliance issues. See https://www.sec.gov/litigation/admin/2017/34-82397.pdf.
The RIA had conducted a review that uncovered numerous compliance problems. Despite having notice of the results of this
Nearly a year ago, FINRA adopted Rule 2165 (Financial Exploitation of Specified Adults) and amended Rule 4512 (Customer Account Information). This new rule and amended rule were ways to address the myriad of issues dealing with senior clients.
With nearly a year gone by, FINRA has now published responses to frequently asked questions involving Rules
The SEC recently put out an Investor Bulletin on wrap fees. Although this guidance is steered toward consumers, there are lessons to be learned by firms who offer such programs.
The SEC specifically posed the question of what does the fee cover. Included in that list of possibilities are:
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