In comments filed with the SEC, SIFMA and the Investment Company Institute (together, the "Associations") voiced support for efforts by the financial services industry to shorten settlement cycles for equities, corporate and municipal bonds, unit investment trusts, and financial instruments composed of such products that are traded on the secondary market. According to the Associations, shortening the settlement cycle to the second business day after the trade date ("T+2") rather than the third day will increase the overall efficiency of the securities market and promote financial stability

SEC National Associate Director of the Broker-Dealer Examination Program Kevin W. Goodman discussed components of an effective anti-money laundering program, factors to consider in evaluating a program's adequacy, and areas of focus for SEC examiners. At a conference hosted by SIFMA, Mr. Goodman stressed that AML involves more than simply preventing traditional kinds of money laundering. It also encompasses the prevention of fraud, insider trading and even manipulative trading schemes. He explained that compliance officers' obligations are primarily proactive rather than administrative. He

The SEC announced fraud charges against an investment advisory firm's former president, who is accused of stealing clients' funds. The SEC Enforcement Division alleges that the former president of SFX Financial Advisory Management Enterprises ("SFX") used his control of and discretionary authority over the accounts of several clients to steal approximately $670,000 over a five-year period by writing checks to himself and initiating wires from client accounts for his own benefit. The SEC filed a separate charge against SFX and its chief compliance officer ("CCO"), finding that the firm failed

The House Financial Services Committee held a hearing on the Annual Report of the Financial Stability Oversight Council. Secretary of the Treasury Jacob Lew's testified. In his remarks, Secretary Lew reported that the FSOC 2015 report focuses on 11 themes that warrant "continued attention" and further action. In particular, FSOC recommended: the establishment of a national plan for cyber incident responses to the private sector, coordinated by the Treasury, in order to identify and articulate the roles of law enforcement, the Department of Homeland Security and financial regulators regarding

The Board of Governors of the Federal Reserve System ("FRB") announced the approval of a final rule amending Regulation D. The purpose of the rule is to make changes to the calculation of interest payments on excess balances maintained by depository institutions at Federal Reserve Banks. See: FRB Press Release.