The Securities and Exchange Commission’s Division of Investment Management has issued guidance intended to clarify when mutual funds and other investment companies should file social media materials for review by the Financial Industry Regulatory Authority. These entities are required to file certain advertisements for review by FINRA. According to the Division, “out of an abundance […]
Joe Mont
Posted inAccounting & Auditing
SEC Proposes Rules to Keep Markets Functioning
Battered by Hurricane Sandy, equity exchanges based in New York were forced to suspend trading for two days in October. Now regulators are requiring exchanges and providers of other services crtical to keeping markets functioning to take steps to prevent failures from human error, software glitches, or extreme weather and natural disasters. Earlier this month, […]
Posted inUncategorized
Healthcare Plans Facing Compliance Demands, Audits
If they haven’t already, now would be the time for compliance officers and legal counsel to take a more active role in ensuring employee health plans pass regulatory muster. Health benefits have long been the domain of human resources departments, with minimal oversight from compliance. Complex regulations from the Patient Protection and Affordable Care Act, […]
Posted inFrom the Archive
Report: JPMorgan Manipulated Risk Controls, Thwarted Regulators
Executives, past and present, of JPMorgan Chase were grilled at a Senate hearing on Friday morning that followed up on a scathing report detailing the events leading up to a more than $6 billion loss in its derivatives portfolio. The 300-page report delivered to the U.S. Senate Permanent Subcommittee on Investigations was the result of […]
Posted inFrom the Archive
CFPB Seeks Greater Oversight of Student Loan Marketplace
Following up on new rules for mortgage lenders and debt collection agencies, the Consumer Financial Protection Bureau has now expanded its focus to student loans. On Thursday, it proposed a rule today that would allow it to supervise nonbank student loan servicers, bringing new oversight to a “rapidly growing market that has seen a rise […]
Posted inFrom the Archive
Cordray and White Make Their Case to Be Top Regulators
If there was a surprise to be had during the Senate Banking Committee’s confirmation hearing on Tuesday for Richard Cordray and Mary Jo White, nominees to head the Consumer Financial Protection Bureau and Securities and Exchange Commission respectively, it was how cordial the questioning was. Cordray, in particular, was let off surprisingly easy, accruing plenty […]
Posted inBoards & Shareholders
What the Board Wants to Know From Compliance
Compliance officers are spending a lot more time in the boardroom these days. Regulators are putting more pressure—and in some cases liability—on directors to keep up with regulatory demands, which means directors are increasingly leaning on compliance officers to keep them informed. “Boards have really a Herculean task in today’s regulatory climate,” says Michael Bramnick, […]
Posted inFrom the Archive
Mandatory Clearing Begins Today for Swap Dealers, Private Funds
Today is the day swap dealers, major swap participants, and private funds were required to begin clearing credit default swaps and interest rate swaps, ensuring that those trades are collateralized to offset losses. Commodity Futures Trading Commission Chairman Gary Gensler described this initial batch of clearing requirements, intended to mitigate risks inherent to the $639 […]
Posted inFrom the Archive
Nasdaq Seeks Rule Change Requiring Internal Audit Function
The Securities and Exchange Commission is seeking comments on a request by Nasdaq for a rule change that will require its listed companies to establish and maintain an internal audit function. The requirement, as detailed in a notice of proposed rulemaking, is intended to ensure that listed companies have a mechanism in place to regularly […]
Posted inFrom the Archive
SEC Proposes Rule to Better Battle Unexpected Market Meltdowns
From “flash crashes” to flash flooding, the Securities and Exchange Commission on Thursday issued a proposed rule intended to ensure the stability and resiliency of the securities marketplace when unexpected events strike. The proposed rule, Regulation SCI (the acronym for stands for “systems, compliance and integrity”) would require “entities essential to the smooth functioning of […]
