The SEC sanctioned three SEC-registered investment advisory firms for violating the "custody rule" which requires each firm to meet certain standards when maintaining custody of their clients' funds or securities. In 2010, the SEC amended the custody rule to strengthen investor protections. The amendment required all advisers with custody to undergo an annual "surprise exam" to verify the existence of client assets. Advisers are required to comply with the custody rule if, as elaborated in the SEC releases linked to below, the investment adviser has "legal ownership or access to client assets

SEC Commissioner Daniel M. Gallagher delivered a speech to the AICPA/SIFMA Financial Management Society Conference on the Securities Industry regarding the need for the SEC to re-prioritize its agenda to focus on subjects more relevant to the SEC mission. Commissioner Gallagher stated that this mission is comprised of three intertwined components: to facilitate capital formation, to maintain orderly and efficient capital markets, and to protect investors. While the mission is fairly straightforward, Gallagher said that often becomes complicated due to "the thick overlay of recent congressional

In a speech at the SIFMA CL New York Regional Seminar, FINRA Chairman and CEO Rick Ketchum discussed how technological advances in the areas of data, risk analytics and surveillance are changing the way FINRA approaches market regulation. Chairman Ketchum envisions a "new day in regulation" that will harness the power of big data and technology to protect investors. In his remarks, Chairman Ketchum stated that, while FINRA is at the very early stages of a new era of big data and cloud computing, there is transformative potential for regulation. Observing that FINRA already collects vast

CFTC Commissioner Bart Chilton opened the International Regulators Conference with a short speech and a Kevin Costner paraphrasing, stating, "if we build global regulatory regimes, others will come."Commissioner Chilton said that he expects the decisions of regulators today to set the global regulatory rules for the financial sector for a generation, and highlighted the importance of these conferences in helping regulators to work together and learn from each other.

SEC Commissioner Luis A. Aguilar delivered a speech at the 20th Annual Securities Litigation and Regulatory Enforcement Seminar regarding recent SEC initiatives to strengthen the enforcement program. Commissioner Aguilar began by pointing out that much of the reputation of the SEC is based on the performance of the Division of Enforcement. Therefore, Aguilar said, ever since he first took office, he has focused on strengthening the enforcement program, leading to his nickname of "The Enforcement Commissioner." Continuing to speak about his work on enforcement, Aguilar noted developments in