‘Why us?’ SEC lists reasons it conducts examinations of broker-dealers
By 
Aaron Nicodemus2024-06-06T19:22:00
A risk alert from the Securities and Exchange Commission (SEC) listed top reasons why a registered broker-dealer might be the subject of an examination, with factors including length of time since the last exam, prior violations, a whistleblower tip, supervisory concerns, and/or signs of financial stress.
The risk alert, published Wednesday by the SEC’s Division of Examinations, attempted to answer the question, “Why us?” as it relates to registered broker-dealers being chosen to be the subject of a supervisory examination by the agency.
The alert also attempted to answer a second question: “Why now?”
Related articles
-
News Brief
SEC risk alert warns investment advisers of marketing rule missteps
Examiners with the Securities and Exchange Commission found investment advisory firms have generally done well creating processes to comply with the agency’s amended marketing rule but some have fallen short in ensuring compliance.
-
News Brief
SEC exam report highlights Marketing Rule, Reg BI, private fund advisers
The Securities and Exchange Commission’s 2023 examination priorities report laid out areas under the microscope this year, including compliance with the agency’s Marketing Rule and Regulation Best Interest.
-
News BriefSEC examiners flag deficiencies in Reg BI compliance
The Securities and Exchange Commission issued a risk alert listing deficiencies its examiners found in broker-dealers’ compliance with Regulation Best Interest.
More from Risk Management
-
News BriefAI hallucinations in Deloitte Australia report highlight important role for compliance
“Hallucinatory” citations and errors in an AI-assisted report produced by Deloitte for the Australian government should be a wake-up call for compliance officers about the risks of placing too much trust in AI.
-
ArticleHow food and beverage companies adjust to the throes of tariff woes
On-again-off-again tariffs, a down economy, and a long list of global supply chain disruptions are challenging U.S. food and beverage companies to adjust their supply chain operations in a variety of ways.
-
PremiumTop compliance challenges facing the food and beverage industry
New regulations, changing consumer demands, and global supply chain disruptions – from cost-of-goods inflation to tariffs to raw material shortages, and more – are just a few top challenges reshaping the operations of food and beverage industry today. “These challenges are no longer just logistical—they implicate sourcing risk, contract performance, ...