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.
- Join the expert-authors behind Tax Facts in a free, live webinar as they explain various ways to help maximize what every client wants to be ready for – retirement. “Tax Strategies to Boost Your Clients’ Qualified Plan Savings.” Wednesday, October 9, 2019 at 3:00 p.m. EST. Register here!
— Related on ThinkAdvisor: