FINRA revised and redesignated its Interpretations of the SEA Financial and Operating Rules to align with recent SEC amendments.
News & Insights
The SEC approved MSRB amendments extending the restrictions regarding gift-giving and related recordkeeping requirements that currently are applicable to brokers, dealers, and municipal securities dealers to municipal advisors. The amendments apply to MSRB Rules G-20 ("Gifts, Gratuities and Non-Cash Compensation") and G-8 ("Books and Records to Be Made by Brokers, Dealers and Municipal Securities Dealers").
A broker-dealer settled FINRA charges for failing to (i) reasonably monitor, investigate and act upon red flags concerning variable annuity exchange recommendations and (ii) monitor use of external email and preserve business-related emails.
FINRA provided an update of its targeted exam (sweep) focusing on the social media practices firms use to acquire new customers and firms’ privacy notices with respect to customer nonpublic information.
The SEC set a comment deadline of October 10, 2023 for a proposed rulemaking that would require broker-dealers and investment advisers to eliminate conflicts of interest associated with the use of predicative data analytic technologies.