More On Legal & Compliancefrom The Advisor's Professional Library
- Suitability and Fiduciary Duty Recommending suitable investments is more than just a regulatory obligation. Many investors bring cases claiming lack of suitability, so RIAs must continuously put the onus on clients to notify the advisor of changes in their financial situation.
- Recent Changes in the Regulatory Landscape 2011 marked a major shift in the regulatory environment, as the SEC adopted rules for implementing the Dodd-Frank Act. Many changes to Investment Advisers Act were authorized by Title IV of the Dodd-Frank Act.
The Securities and Exchange Commission is now providing a ComplianceAlert letter to chief compliance officers of SEC-registered firms to help them learn more about the common deficiencies and weaknesses that the SEC examiners find during exams.
The ComplianceAlert letter, compiled by SEC staff, is available on the SEC Web site. According to the SEC, the letter summarizes select areas that SEC examiners have recently reviewed during examinations, describes issues that were found, and encourages firms to review compliance in these areas and implement improvements as appropriate. Additional ComplianceAlert letters will be made available on the SEC's Web site (www.sec.gov).
The first ComplianceAlert letter provides information concerning recent examination findings with respect to investment advisers' performance advertising and business continuity planning; with respect to broker/dealers' compliance with Regulation SHO; and sales of collateralized mortgage obligations, real estate investment trust products, and Section 529 College Savings Plans.