Close Close
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards

Regulation and Compliance > Federal Regulation > FINRA

FINRA Updates Reg BI Webpage With Compliance Checklist

Your article was successfully shared with the contacts you provided.

The Financial Industry Regulatory Authority has updated its Reg BI webpage with new Reg BI and Form CRS checklists to help broker-dealers comply with the Securities and Exchange Commission’s new rules.

FINRA also said Tuesday that it will be hosting several Reg BI events in the coming months.

“FINRA is committed to providing member firms with resources to assist in their implementation efforts,” said Robert Colby, FINRA executive vice president and chief legal officer, in a statement.

FINRA, which will be the enforcer of Reg BI once it takes effect on June 30, 2020, is providing an 11-page Reg BI and Form CRS Checklist “to help members with their assessment and implementation of necessary changes to their policies, procedures and compliance programs in light of Reg BI and Form CRS,” the broker-dealer self-regulator said.

The checklist “outlines the major requirements of the rules and notes key differences” between FINRA rules and SEC’s Reg BI and Form CRS, the customer relationship summary that will be given to clients.

As with other SEC rules, FINRA states, it “will examine for and enforce compliance with Reg BI and, in doing so, FINRA will adhere to SEC guidance and interpretations.”

FINRA said its staff will work with SEC staff to ensure FINRA’s “consistency in examining broker-dealers and their associated persons for compliance” with Reg BI and Form CRS.

FINRA is also reviewing its rules to see whether changes are needed to align them with the SEC’s rules.

FINRA CEO Robert Cook said in early September that the regulator is taking a two-pronged approach to reviewing how to potentially revamp its rulebook in light of Reg BI.

Any proposed changes to FINRA rules will be filed with the SEC for public comment.

FINRA plans to hold a one-day Reg BI conference on Dec. 18 in Washington, to bring regulators, executives and industry practitioners together to learn more about the rule.

— Related on ThinkAdvisor:


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.