Are your firm’s electronic records secure by SEC standards? WHAT HAPPENED? In recent years, the United States Securities and Exchange Commission has heightened its emphasis on cybersecurity requirements for firms. Routine examinations now often involve in-depth requests for information on firms’ cyber and data security practices, which are areas [...]
Updated Accredited Investor Definition Expands Investor Access to Private Offerings WHAT HAPPENED? On Aug. 26, 2020, the United States Securities and Exchange Commission updated the “accredited investor” definition in the Securities Act. Until this point, “accredited investors” were limited to certain individuals based on income or net worth. With [...]
5 Ways to Strengthen Your Firm’s Vendor Management Program WHAT HAPPENED? Vendor management is a critical piece of creating a comprehensive information security strategy for firms. Vendors processing or maintaining sensitive information on behalf of your firm and its clients are especially important to review and conduct due diligence [...]
Newly Identified Compliance Risks Due to COVID-19: What You Should Know WHAT HAPPENED? Last week, the Office of Compliance Inspections and Examinations of the United States Securities and Exchange Commission (OCIE) issued a Risk Alert which outlines new compliance risks stemming from the global pandemic. The SEC and OCIE have remained [...]
Open-End Funds: Proposed Amendments to Reporting and Disclosure Requirements WHAT HAPPENED? On Aug. 5, 2020, the United States Securities and Exchange Commission proposed a new set of amendments to mutual fund and exchange-traded fund disclosure requirements. The package includes, among other things, changes to visual presentation requirements and the [...]
SEC Adopts Rule Amendments, Issues Guidance on Proxy Voting Process WHAT HAPPENED? On July 22, 2020, the United States Securities and Exchange Commission adopted rule amendments and issued additional guidance on the proxy voting responsibilities of investment advisers and third-party proxy voting advice service providers. The goal of the [...]
Are You Taking Steps To Avoid Ransomware Attacks? WHAT HAPPENED? Earlier this month, the Office of Compliance Inspections and Examinations of the United States Securities and Exchange Commission (OCIE) issued a Risk Alert which outlines best practices for maintaining a secure network; the United States Cybersecurity and Infrastructure Agency [...]
New Security Feature for Web CRD and IARD Systems WHAT HAPPENED? For Super Account Administrators (SAAs) and Account Administrators (AAs) on FINRA’s Web CRD or IARD platforms, a new security feature is now required as part of the login process. For these administrators, FINRA is phasing in a multi-factor [...]
SEC Proposes Changes to Form 13F WHAT HAPPENED? On July 10, 2020, the United States Securities and Exchange Commission proposed amendments to Form 13F reporting. The changes would affect the filing threshold for institutional advisers and several other requirements. Because the filing requirements have not been updated since adoption [...]
Nine Things to Notice: SEC Examiners’ Focus Areas WHAT HAPPENED? As capital markets shift and the risks to market participants change, so do the focus areas of routine SEC exams. Below are trending items from recent examinations: KEY FOCUS POINTS: Environmental, social, and governance [...]