More On Legal & Compliancefrom The Advisor's Professional Library
- Risk-Based Oversight of Investment Advisors Even if the SEC had a larger budget and more resources, it is doubtful that the Commission would have the resources to regularly examine all RIAs. Therefore, the SEC is likely to continue relying on risk-based oversight to fulfill its mission of protecting investors.
- Do’s and Don’ts of Advisory Contracts In preparation for a compliance exam, securities regulators typically will ask to see copies of an RIAs advisory agreements. An RIA must be able to produce requested contracts and the contracts must comply with applicable SEC or state rules.
The Financial Industry Regulatory Authority (FINRA), the newly combined NASD-NYSE regulatory agency, announced the appointment of a 23-member Interim Board of Governors on August 2. Members of the interim board will serve until the super-SRO's annual meeting on October 26, when elections will be held for a three-year Transition Board of Governors.
At the annual meeting, three small-firm representatives, one mid-sized firm representative, and three large-firm representatives will be elected to serve on the transition board along with 14 interim board members who have been appointed to that transition board.
Included on the interim board is John Simmers, CEO of ING Advisors Network and chairman of the Financial Services Institute.