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.
- Nothing but the Best Execution Along with the many other fiduciary obligations owed by RIAs, firms owe a duty to seek best execution of clients transactions. If they fail to do, RIAs violate Section 206 of the Investment Advisers Act.
The Securities and Exchange Commission and the Financial Industry Regulatory Authority announced Tuesday the opening of registration for the regional compliance outreach programs for broker-dealers beginning in the spring that will take place in Denver, Los Angeles, Chicago, Miami, Philadelphia and New York.
The SEC’s Office of Compliance Inspections and Examinations, in coordination with the SEC’s Division of Trading and Markets, is partnering with FINRA to sponsor the programs, which will start in April in Denver and Los Angeles. The other outreach programs in Chicago, Philadelphia, Miami and New York will take place in June.
“These regional programs supplement our national compliance outreach program for broker-dealers by allowing critical regional interaction between staff from the SEC and FINRA and personnel from registered broker-dealer firms operating in the region,” said Kevin Goodman, national associate director of the SEC’s broker-dealer examination program, in a statement. “This local collaboration is an important aspect of our overall outreach efforts.”
FINRA senior vice president for member relations and education Chip Jones added in the statement that FINRA “views these programs as unique learning opportunities because they provide compliance professionals across the country with the opportunity to interact with FINRA and SEC staff. These outreach programs also provide us with an opportunity to listen to the firms regarding their day-to-day compliance initiatives.”
Andrew Bowden, director of the SEC’s National Examination Program, added that the compliance outreach program “is an important part of the commission’s and FINRA’s initiative to share information with the industry about observed deficiencies and control weaknesses and to assist firms in assessing and enhancing their compliance.”
There is no cost to attend the regional programs. Registration is open to all risk, audit, legal and compliance professionals employed by broker-dealers.