Former SEC Chief Walter Named FINRA Public Governor

FINRA also elected small and large firm governors at annual meeting

FINRA also elected two industry governors. FINRA also elected two industry governors.

More On Legal & Compliance

from The Advisor's Professional Library
  • Using Solicitors to Attract Clients Rule 206(4)-3 under the Investment Advisors Act establishes requirements governing cash payments to solicitors. The rule permits payment of cash referral fees to individuals and companies recommending clients to an RIA, but requires four conditions are first satisfied.
  • The Need for Thorough and Effective Policies and Procedures Whethere an advisor is SEC or state-registered, RIAs must revise their policies and procedures to address significant compliance problems occurring during the year, changes in business arrangements, and regulatory developments.

The Financial Industry Regulatory Authority announced Thursday that former Securities and Exchange Commission Chairwoman Elisse Walter has been elected to FINRA’s board as public governor, along with Susan Wolburgh Jenah, president and CEO of the Investment Industry Regulatory Organization of Canada (IIROC).

Also elected at FINRA’s 2014 annual meeting in Washington, which was closed to the public, were a small-firm governor, Mark Cresap, president and owner of Cresap Inc., and a large-firm governor, Gregory J. Fleming, president of Morgan Stanley Wealth Management and Morgan Stanley Investment Management.

Cresap is newly elected, while Fleming has been a large-firm governor for the past two years and was re-elected to a second term.

FINRA is overseen by a 24-person Board of Governors, with 13 seats held by public governors and 10 by industry governors. FINRA’s CEO has the remaining seat. FINRA governors are appointed or elected to three-year terms and may not serve more than two consecutive terms.

Walter was the 30th chair of the SEC, holding the post from Dec. 14, 2012, to April 10, 2013. Before her chairmanship, she was appointed an SEC commissioner by President George W. Bush and was sworn in on July 9, 2008. Earlier, Walter was senior executive vice president of regulatory policy and programs at FINRA.

---

Check out SEC Swears In 2 Commissioners; FINRA Names New Governors on ThinkAdvisor.

Reprints Discuss this story
This is where the comments go.