Douglas Adams Meets FINRA and the SEC . . . Really
From "Don't panic" to "So once you do know what the question actually is, you'll know what the answer means" to "I don’t know what I’m looking for . . ." to "Life’s bad enough as it is without wanting to invent any more of it" to (finally)...
December at the SEC: DTC Tokenization Pilot and Marketing Rule Risk Alert
As 2025 concluded, recent Securities and Exchange Commission development further highlighted significant shifts in its priorities. Beyond Staff’s most recent Examination Priorities Report, two actions stand out: its recent No Action Letter to The Depository Trust Company and its Risk Alert concerning the Marketing Rule.
E-Mail Retention
The broker-dealer and RIA sectors have long been aware that the criteria for maintaining and overseeing digital communications are stringent. And unforgiving. has long been aware that the criteria for maintaining and overseeing digital communications are stringent. And unforgiving. See https://www.thinkadvisor.com/2025/10/09/finra-hits-ally-invest-securities-with-850k-fine-over-emails/ for another example. More cases will arise as long as humans...
A Recipe for Failure
The firm's surveillance system generated more than 10,000 alerts over a two-month period. It also flagged approximately 15.2 million items over a two-year period with over 5.2 million still unreviewed at the time of the disciplinary action. If that were not enough - and stop me if you have heard this before...
Compliance Checkup Form
Is your firm operationally ready to handle its compliance responsibilities? Find out with the Compliance Checkup Form.
Because broker-dealers, registered investment advisers and their associates want to spend their time serving their clients, not their regulators.
Read more:
For Compliance
The National Society of Compliance Professionals (NSCP) is a valuable resource for the broker-dealer and registered investment adviser compliance community. I have had the good fortune to contribute to the NSCP's efforts in a number of ways, among which is writing articles for its Currents publication. ...
A Trilogy in Five Parts
From "Don't panic" to "So once you do know what the question actually is, you'll know what the answer means" to "I don’t know what I’m looking for . . ." to "Life’s bad enough as it is without wanting to invent any more of it" to (finally)...
Tips from The Hitchhiker’s Guide to the Galaxy for Responding to a Regulatory Exam – Part 5
Your day was going great. You helped a client with a particularly complex situation. Another client submitted the paperwork to transfer accounts to your firm. You did not have to deal with a bulldozer trying to demolish your home. Then you received a message from a “@sec.gov” or “@finra.org” email address, which...
It Is Still Art
In April 2024, the Securities and Exchange Commission’s Division of Examinations (“EXAMS”) posted another Risk Alert concerning the Marketing Rule (Advisers Act Rule 206(4)-1). This was EXAMS’ third Risk Alert about the rule, following those it published in June 2023...
Tips from The Hitchhiker’s Guide to the Galaxy for Responding to a Regulatory Exam – Part 4
Your day was going great. You helped a client with a particularly complex situation. Another client submitted the paperwork to transfer accounts to your firm. You did not have to deal with a bulldozer trying to demolish your home. Then you received a message from a “@sec.gov” or “@finra.org” email address, which...