This action serves as a reminder that a firm's written supervisory procedures are only as good as the processes that a firm adopts to implement those procedures. According to FINRA, the disclosure breaches arose from a failure to track the firm's investment banking activities and communicate these activities to research supervisors responsible for incorporating required disclosures into the firm's research reports. The information barrier breaches arose from a failure to block email…
Mr. Sterling's comments emphasize the need to address both SEC and CFTC registration requirements when establishing a new pool, and to provide clear and relevant disclosures in pool offering documents. While this is true of all commodity pools, special care is necessary where a fund intends to trade novel assets, or derivatives referencing those assets, that have unique risks that need to be explained to investors. Firms that fail to do so are at risk of violating the anti-fraud provisions…
The CFTC has been moving forward with its Data Protection Initiative under the leadership of Commissioner Stump since she first the initiative in March 2019. In November 2019, Commissioner Stump steps to "streamline" the collection of data by the CFTC, and in January 2020, the CFTC became the first federal agency to the National Institute of Standards and Technology ("NIST") Privacy Framework.
The CFTC's Data Protection Initiative is important for a number of reasons. First, it…
FINRA's proposal seeks to widen the scope of firms that are eligible to operate as broker-dealers under the regulatory-lite regime for CABs. The proposal is likely to be of particular interest to private fund advisers and private placement agents.
Private fund advisers that are not registered with the SEC as broker-dealers generally sell securities of funds they advise either (i) through third-party brokers, which charge brokerage commissions for their sales activities, or (ii)…
Recent Articles & Comments
This action serves as a reminder that a firm's written supervisory procedures are only as good as the processes that a firm adopts to implement those procedures. According to FINRA, the disclosure breaches arose from a failure to track the firm's investment banking activities and communicate these activities to research supervisors responsible for incorporating required disclosures into the firm's research reports. The information barrier breaches arose from a failure to block email…
Mr. Sterling's comments emphasize the need to address both SEC and CFTC registration requirements when establishing a new pool, and to provide clear and relevant disclosures in pool offering documents. While this is true of all commodity pools, special care is necessary where a fund intends to trade novel assets, or derivatives referencing those assets, that have unique risks that need to be explained to investors. Firms that fail to do so are at risk of violating the anti-fraud provisions…
The CFTC has been moving forward with its Data Protection Initiative under the leadership of Commissioner Stump since she first the initiative in March 2019. In November 2019, Commissioner Stump steps to "streamline" the collection of data by the CFTC, and in January 2020, the CFTC became the first federal agency to the National Institute of Standards and Technology ("NIST") Privacy Framework.
The CFTC's Data Protection Initiative is important for a number of reasons. First, it…
FINRA's proposal seeks to widen the scope of firms that are eligible to operate as broker-dealers under the regulatory-lite regime for CABs. The proposal is likely to be of particular interest to private fund advisers and private placement agents.
Private fund advisers that are not registered with the SEC as broker-dealers generally sell securities of funds they advise either (i) through third-party brokers, which charge brokerage commissions for their sales activities, or (ii)…