Are you in compliance?

Don't miss out! Sign up today for our weekly newsletters and stay abreast of important GRC-related information and news.


Status message

Start your free, no obligation 5-day trial to continue exploring with full access.

FINRA scrutinizes digital investment advice, ‘robo-advisers'

Joe Mont | March 17, 2016

Financial services firms’ offerings of digital investment advice—also known as ‘robo-advisers’—require sound governance and supervision, including effectively overseeing the suitability of recommendations, conflicts of interest, customer risk profiles, and portfolio rebalancing. That’s the warning in a new report released by the Financial Industry Regulatory Authority.

With global spending on digital wealth management services is expected to increase significantly, the report outlines lessons for investors, stressing that training and education are crucial for financial for financial professionals who use digital investment advice tools.

The report outlines regulatory principles and effective practices in five key areas: ensuring that algorithms at the core of digital investment advice...

Read this single article for $49, or click the subscribe button below to review subscription options.

Enjoy unlimited access to thousands of articles, browse five years of digital magazines, qualify for reduced admission to events, and more.