Electronic Communication – Do it the Right Way or Be Ready to Pay

COVID-19 has impacted the world’s operations tremendously. From volatile   markets, to business loan grief, and overwhelming cyber threats, member firms have been forced to a new work environment, remote. Though

SEC Charges App Developers for Unregistered Security-Based Swap Transactions

Abra, a California-based trading app, and related firm Plutus Technologies Philippines Corp (“Plutus”), were charged by the Securities and Exchange Commission (SEC) on July 13, 2020. Abra and the related

Cybersecurity: Ransomware Alert

The U.S Securities and Exchange Commission (“SEC”) has focused on cybersecurity issues for many years, but with increased observation of cyber threats, the Office of Compliance Inspections and Examinations (“OCIE”)

ThinkAdvisor Article: “CCO Hit by FINRA for Business Email Infractions”

ThinkAdvisor published an article on June 18, 2020 discussing the importance surrounding broker-dealers retention and review of electronic communications. FINRA took action against a firm’s Chief Compliance Officer (“CCO”) for

April 2020 FINRA Disciplinary Actions

FINRA disciplinary actions taken against firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Firms Fined ACS Execution Services, LLC The Firm was fined

FINRA Regulatory Notice 20-05

Read our Regulatory Brief on the proposed new changes to FINRA’s Continuing Education Program (“CE”). FINRA Regulatory Notice 20-05 – CE Program Proposed Changes

Regulation Best Interest

Read our Regulatory Brief on Regulation BI to learn more about the requirements. Asgard Regulatory Brief – Regulation Best Interest (1.28.2020)

December 2019 FINRA Disciplinary Actions

FINRA disciplinary actions taken against firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Firms Fined World Equity Group The Firm was fined $18,500

November 2019 FINRA Disciplinary Actions

FINRA disciplinary actions taken against firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Individuals Barred Hannah Burgess Burgess was barred from association with

October 2019 FINRA Disciplinary Actions

      FINRA disciplinary actions taken against firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Firm Fined Dawson James Securities, Inc. The

2019 Report on FINRA Examination Findings and Observations

In efforts to become more transparent and aid firms in improving their compliance and risk management programs, FINRA has developed the 2019 Report on Examination Findings and Observations. FINRA Findings

Cybersecurity Alert: Cloud-Based Email Account Takeovers (Information Notice 10.2.19)

Cybersecurity has become a continuous concern as hackers constantly create new ways of gaining private information from their targets, leaving firms vulnerable to attacks. Although firm’s are required to implement

‘Tis the Season for an AML Inspection

      As Summer has turned to Fall and you are getting around to that “To Do” list that may have hit the back burner all summer, it’s time

September 2019 FINRA Disciplinary Actions

      FINRA disciplinary actions taken against firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Firm Fined Clearpool Execution Services, LLC The

August 2019 FINRA Disciplinary Actions

FINRA disciplinary actions taken against firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Firm Fined Robert W. Baird & Co. Incorporated (Milwaukee, Wisconsin)

SEC Risk Alert – Investment Adviser Principal and Agency Cross Trading Compliance Issues

      Overview On September 4, 2019, the  Office of Compliance Inspections and Examinations (“OCIE”) issued a Risk Alert related to principal trading and agency cross transactions under Section

July 2019 FINRA Disciplinary Actions

      The following disciplinary actions were taken against both firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules: Firm Fined Midtown Partners

SEC Risk Alert – RIAs Fail to Vet, Disclose Advisor History: SEC

      Overview The Office of Compliance Inspections and Examinations (“OCIE”) conducts a series of examinations assessing SEC RIAs business practices, with the purpose in protecting retail investors. The

June 2019 FINRA Disciplinary Actions

  The following disciplinary actions were taken against both firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules: Firm Fined Wilson-Davis & Co., Inc.

May 2019 Disciplinary Actions

      The following disciplinary actions were taken against both firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules: Firm Fined Great Point

April 2019 FINRA Disciplinary Actions

      Firms Suspended CSSC Brokerage Services, Inc The Firm was fined $120,000, suspended for one year from participating in private securities offerings and required to pay $130,000 in

Regulation S-P: Risk Alert

      The Office of Compliance Inspections and Examinations (“OCIE”) conducts the SEC’s National Exam Program with a mission to protect investors by improving compliance, preventing fraud, monitoring risk

SEC Approves Electronic Signatures for Discretionary Accounts

      Beginning May 6, 2019, the SEC will permit an amendment to FINRA Rule 4512 allowing authorized individuals to use electronic signatures for discretionary accounts held at member

March 2019 FINRA Disciplinary Actions

      The following disciplinary actions were taken against both firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules: Firms Fined Advisory Group

Wedbush Securities, Inc. SEC Enforcement Action March 2019

      The following disciplinary action was taken against both Wedbush Securities, Inc and one of its registered representatives, (“RR”) due to violations of Section 17(a)(1) and (3) of

February 2019 FINRA Disciplinary Actions

      The following disciplinary actions were taken against both firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules: Firms Fined Cetera Advisor

January 2019 Disciplinary Actions

      The following disciplinary actions were taken against both firms and individuals due to violations of FINRA rules, federal securities laws and MSRB rules. Firms Fined Third500, LLC

December 2018 Disciplinary Actions

      Firms Fined Ascensus Financial Services, LLC. The Firm was fined $35,000 for failing to meet net capital requirements by not including the complete value of 12b-1 fees

2019 SEC Examination Priorities

      The Office of Compliance Inspections and Examinations (OCIE) of the U.S. Securities and Exchange Commission (SEC) released its 2019 examination priorities. The protection of retail investors, including

SEC Risk Alert: Electronic Communications

    Overview On Friday December 14, 2018, the Securities and Exchange Commission (“SEC”) published a Risk Alert advising Registered Investment Advisers (“RIAs”) of their obligation to revise written policies