Fewer registered investment advisor exams will take place this year due to the government shutdown, the head of the Securities and Exchange Commission’s exam unit said Monday.
“We’re still struggling to have good coverage in the IA space,” Pete Driscoll, director of the SEC’s Office of Compliance Inspections and Examinations, said at the Practising Law Institute’s SEC Speaks conference in Washington. He noted, however, that OCIE will be able to hire a couple of individuals this year to help in the advisor space.
“Our [advisor exam] numbers will be less this year because we lost 35 days” during the shutdown, Driscoll said, adding that OCIE will not hit the 17% exam rate reached last year.
OCIE, however, is “still pushing forward on our priorities.”
Cybersecurity will continue to be a focus for OCIE, specifically around the areas of governance and risk assessment and data loss prevention, and with an emphasis on cybersecurity measures of advisors with multiple branch offices.