Compliance

Regulators Still Probing Morningstar Advice Practices

In its most recent filing with the Securities and Exchange Commission, Morningstar Associates, LLC said that the SEC has ended an investigation into the firm’s practices, while the Department of Labor and New York Attorney General’s office appear to be taking their investigations to the next level.

IMHO: Option “Null″

Not too long after my first daughter was born, my wife decided that we needed to have a vehicle with four doors.

Fiduciary Breach Costs CPA $5,000

A California CPA firm will have to pay $5,000 in restitution to an employee stock ownership plan (ESOP), to resolve a lawsuit alleging that the CPA firm knowingly participated in fiduciary breaches under the Employee Retirement Income Security Act (ERISA).

A Billion Here, A Billion There…

The New York Stock Exchange has fined Morgan Stanley $300,000 for its failure to stop a trader from entering an order to buy $10.8 billion in stocks – rather than the $10.8 million intended.

Four Fidelity B-Ds Fined $3.75M by NASD

The National Association of Securities Dealers (NASD) has fined four Fidelity broker-dealers a combined $3.75 million for faltering on some of their recordkeeping responsibilities for clients and ordered them to conduct audits of their registration and recordkeeping systems, policies and procedures.

DOL Releases Guidelines for PPA’s Fiduciary Adviser

In its first Field Accounting Bulletin (FAB) of 2007, the U.S. Department of Labor’s (DoL) Employee Benefits Security Administration (EBSA) offered guidance pertaining to the investment advice and fiduciary investment adviser exemptions introduced in the Pension Protection Act (PPA).

NQDC Provision Passes Senate

U.S. Senators may have overwhelmingly approved a bill that includes a provision limiting non-qualified deferred compensation programs (NQDC), but the NQDC provision may still be changed in a later legislative conference committee, according to one lawmaker.

DOL Clarifies PTE Exemption for QPAM, Advice Offering

Transactions between an investment management firm and investment funds managed by a qualified professional asset manager (QPAM) as an option under a retirement plan satisfy a Prohibited Transaction Exemption, according to regulators.

U.S. Senate Panel OKs Deferred Comp Limit

The U.S. Senate Finance Committee on Wednesday approved by voice vote a measure that could limit the earnings corporate executives can defer into non-qualified deferred compensation (NQDC) plans.