News in Personal Trading Software & Compliance Monitoring Tools

What’s in the news: the top five compliance articles for April 30th – May 13th, 2022

Compliance innovation moves fast, but the news moves faster. To keep you and your team up to speed on the latest happenings and goings-on in the compliance world, we’ve aggregated the top five articles from the past few weeks to provide you with an in-depth look at the regulatory ecosystem.

Stay up-to-date and in the know on everything happening in the compliance world as of May 13, 2022.

Top 5 Compliance Articles

ComplySci and RIA In A Box offer compliance tips to small firms and a playbook for compliance officers – Author Justin L. Mack

“Smaller teams. Fewer resources. Same big compliance problems.”

Meeting the challenges of the evolving regulatory landscape with limited resources creates a unique set of challenges for small to mid-sized firms. However, by leveraging an integrated technological solution in partnership with your compliance team’s efforts, firms can remove the manual, time-consuming tasks to focus on big picture compliance projects. ComplySci’s CCO Playbook provides details into how firms can effectively select a technology vendor that meets their needs and adds strategic value.

A Checklist to Improve Your Annual Review Process – Author Chris DiTata

“The annual review burden that investment advisors feel is the result of cramming the process into a few days’ work. Your annual review isn’t something that should be conducted over the course of a couple days. To thoroughly conduct your review, your compliance team must integrate aspects of the review process into their day-to-day activities.”

SEC extends comment period on climate-related disclosure rule – Author Aaron Nicodemus

With the original deadline of May 20th nearing, the Securities and Exchange Commission (SEC) announced that they would be extending the comment period to June 17th, providing commenters with four additional weeks to make their comments, suggestions and concerns known.

“The rule is a sweeping potential mandate that, if passed, would force all public companies to quantify, measure, and disclose their effect on the environment. The rule would order public companies to include disclosures about how climate-related risks affect their strategy, business model, and outlook; how the company’s board and management oversee climate-related issues; and any plans for transition to a lower carbon footprint.”

SEC to Nearly Double Crypto Unit – Author Melanie Waddell

“The Securities and Exchange Commission said Tuesday that it will add 20 positions to its newly named Crypto Assets and Cyber Unit — as well as expand the unit’s enforcement focus — to protect investors in crypto markets and from cyber-related threats.

The unit, formerly called the Cyber Unit, is housed with the Division of Enforcement and will grow to 50 dedicated positions.

“The U.S. has the greatest capital markets because investors have faith in them, and as more investors access the crypto markets, it is increasingly important to dedicate more resources to protecting them,” said SEC Chairman Gary Gensler in a statement.”

FINRA’s potential regulation of ‘complex products’ meets serious blowback from investors – Author Diana Li

Since opening comments on one of their complex product regulation ruling, the Financial Industry Regulatory Authority (FINRA) has seen significant resistance from over 800 commenters.

“The regulator is considering rules that could prevent or restrict U.S. investors from buying a broad range of securities, including crypto and crypto futures funds, options, leveraged and inverse ETFs without taking an exam that proves their understanding of the investment vehicles.”