Most brokers despise the fact that they need to re-take their examinations if they are not employed with a broker-dealer for 2 years or if they are not associated with a member firm.   Now, FINRA comes to the rescue with a new proposal to permit registered representatives to avoid re-taking their exams for up to

The Dodd-Frank Act directed the SEC to study whether broker-dealers should be held to a fiduciary duty standard rather than the lower “suitability” standard.  Advocates for the fiduciary standard claim that customers are often under the misconception that they are dealing with a professional obligated to put their interests first.  Many broker-dealers have argued that

Recently, FINRA publicized penalties against three companies and associated individuals for failing to implement adequate anti-money laundering procedures.  These fines should serve as a warning to the industry as a whole that FINRA is very focused on AML policies and procedures.

In its announcement, FINRA noted that the firms failed to implement adequate procedures to

ComplianceEX recently published an article by Julie DiMauro regarding the debate, albeit not as pronounced as of late, over whether broker-dealers should be subject to a fiduciary duty standard of care similar to that of registered investment advisers. The article highlighted one investment adviser group (the Committee for Fiduciary Standard) who is lobbying Congress to adopt a strong

In a recent letter from SEC Enforcement Director, Robert Khuzami, to United States Senator Charles Grassley, the SEC for the first time said that the destroyed documents did not have any effect on current or future investigations. 

In fact, Khuzami said that the SEC saved electronic data allowing them to “connect the dots” for current

Approximately 2 years ago, the SEC implemented a new e-mail security protocol for its communications regarding non-public investigations, among other things.

This system required defense counsel to fill out a webpage form, enter e-mails and passwords to meet the SEC security requirements.  Ultimately, the recipient would only be able to read and reply to the

Recently, UBS announced that it had terminated a former trader, who was also arrested by British police.  Apparently, this rogue trader cost UBS over to $2.25 billion.  UBS was in the process of eliminating a number of jobs to save money on its balance sheet, but this loss will likely wipe out the savings.