Tag: Securities and Exchange Commission

Banc West Investment Services asked the Securities and Exchange Commission to clarify its stance on the potential conflict between FINRA suitability determinations called for by rollover decisions and, on the other hand, SEC demands to forward customer checks within a day of receipt.

The SEC says relationship documentation, portfolio reconciliation, and portfolio compression are important tools for increasing operational efficiency and reducing risk for security-based swaps entities.

SEC examiners are concerned that the way mobile and personally owned communications devices are used by advisers pose challenges in their meeting obligations under the Books and Records Rule and the Compliance Rule.

The SEC says these changes are needed to reduce obstacles to providing research on investment funds, and to harmonize the treatment of such research with research on other public companies.

The committee says the SEC should explicitly explain that Regulation Best Interest is a fiduciary duty shared equally by advisers and broker/dealer to act in their customers’ best interest.

Forty percent are waiting for further clarification, Fidelity learned in a survey.

A test of the summary report found more than 90% of mutual fund investors agreed it was enough to help them stay informed and was a document they would be more likely to read than current reports.

The DOL said it is considering regulatory options in light of a 5th Circuit opinion vacating its previous fiduciary rule, and has on its timeline that a final rule will be issued in September of 2019.

Noting that they believe a more viable customer relationship summary (CRS) form can still be developed by the SEC as part of its Regulation Best Interest proposal, a group of retiree and investor advocacy organizations has published a report calling the draft CRS form misleading and unhelpful.

The SEC included these proposals as part of its proposed best interest standards for investment advisers.

The agency has issued a proposal that would make it easier for ETFs to come to market.

The leader of Sullivan & Worcester's Capital Markets Group analyzes the SEC’s recent move to double the limit of equity compensation that can be awarded by private companies in any 12-month period without requiring detailed disclosures; he also urges stakeholders to respond to the SEC's open call for comment about equity compensation under Rule 701. 

The SEC solicited public comment on potential changes to the regulator’s treatment of equity compensation, tied to the emergence of the “gig economy.”

State Street replies that "since the overcharging was discovered [we] have substantially enhanced our controls."

Participants in non-ERISA 403(b) plans could be considered "retail customers" under a section of the SEC's proposal, a law alert warns.

The brokerage firm will pay more than $15 million in settlement.

The Commission is also seeking public feedback on fund disclosure and the fees that intermediaries charge funds for delivering fund reports.

Instead of making the disclosure on Form N-PORT on a quarterly basis, firms would discuss their liquidity risk programs in their annual statements.