The Office of Compliance Inspections and Examinations alerted firms to the increased prevalence of "credential stuffing," a cyberattack method that involves the use of automated scripts to attempt to log into customer accounts using stolen personal information.
In a study funded by FINRA's Investor Education Foundation, researchers found that financial overconfidence (i.e., high confidence in an individual's financial knowledge relative to their actual financial literacy) may result in excessive financial risk-taking.
The SEC adopted a final rule that will rescind Industry Guide 3 concerning the statistical disclosures that banking entities and bank holding companies provide in their registration statements. The new rule replaces Guide 3 with a new Subpart 1400 to Regulation S-K, the SEC's general regulation governing disclosure.
A group of investor rights organizations urged the SEC to reopen the comment period for proposed amendments to SEC rules on shareholder proposals, in light of recently submitted data from the SEC Division of Economic and Risk Analysis.
The DOJ and the SEC charged the manager of a hedge fund with securities fraud, wire fraud, extortion and obstruction of justice related to his "conduct in the offer of certain shares being disposed of as part of the Neiman Marcus Group Ltd. bankruptcy proceedings."
In a speech on governance, SEC Commissioner Hester M. Peirce highlighted the need to refocus corporate priorities on shareholders rather than stakeholders, and the danger that the continuing shift in such focus reduces management accountability.
The SEC adopted amendments to the definitions of "accredited investor" and "qualified institutional buyer" under regulations on private placement exemptions and private resales of securities to institutions. The amendments are intended to increase accessibility to private capital markets.
The SEC provided certain limited exemptive relief from the “locate” and "close-out" requirements under its short sale regulations. The relief was provided because of COVID-19 related intermittent suspension of physical securities processing by the Depository Trust Company .
A global IT company and its former chief financial officer settled SEC charges for improper accounting methods, filing "materially misstated financial statements" and failing to maintain sufficient internal accounting controls.