Compliance
Mandatory Advisor Exams Are Out At The SEC, "High-Risk" Screening Is In
- Details Category: Registered Investment Advisors
A bit of clarification from the SEC on its examination protocols confirms what many advisors already suspected: the long wait between audits is a matter of regulatory triage.
Five Compliance Areas To Focus On For In 2012
- Details Category: Regulatory
Fines increased 51% in 2011 on advisors who fall short of FINRA’s regulatory guidance. Fourteen percent more were forced out of the industry. This points to the need for firms to beef up their compliance efforts. There are five key areas identified by the law firm Sutherland Asbill & Brennan that are responsible for most breaches.
· Advertising, especially regarding Auction Rate Securities (ARSs)
· Municipals, based on the lack of comprehensive understanding of the
SEC Staffing Up Fast To Monitor...Hedge Funds, Derivative Traders
- Details Category: Regulatory
Recent news that the SEC has "hired 130 new examiners" may only frustrate and mislead those who want clarification on RIA oversight.
Investment Banks Take A Harder Look At Conflicts Of Interest
- Details Category: Regulatory
Conflicts of interest are the newest focus of Goldman Sachs as well as other investment banks. The brouhaha resulting from Goldman advisor Greg Smith’s very public departure and scathing criticism of the bank has brought sharp attention to the matter. Greater transparency regarding bank holdings will be provided to companies seeking advice on deals.
This is a next development in a time of an increased regulatory and consumer protection considerations. Law firms who work with the banks on deals are also upping their disclosure requirements. Conflicting holdings can easily
Mets Blame Their Madoff Woes On Too Much Trust In The SEC
- Details Category: Regulatory
The owners of the New York Mets want to argue that SEC inaction encouraged them to think Bernard Madoff's Ponzi scheme was a safe and regulated investment. This is not a scenario the regulator wants.
