FINRA’s Post

FINRA Rule 3110 factors in nearly every one of its examinations. Understanding the rule's key components is the first step to achieving compliance.  https://lnkd.in/eJDHurK7 Oyster's experts understand the complexity of achieving compliance with FINRA Rule 3110 and provide the support you need.

Compliance with FINRA rules is crucial. With that in mind, here are some of the most commonly violated rules.

It is hard to believe that firms like this still exist. With most major firms giving away trading now, it makes no sense to have investments with a firm that charges commissions for trading, thus encouraging churning accounts to make commissions. It is good that FINRA took action, which should protect investors, but it is misleading to suggest that Reg BI enforcement somehow led to this outcome. These behaviors were always a violation of industry rules and regulations and Reg BI did absolutely nothing to impact FINRA's actions here. In my opinion, Reg BI remains a weak rule that is meant to give those who provide investment advice a free pass from acting as fiduciaries when they know investors all expect and deserve that standard of care. #investorprotection

New Blog Alert! 📢 Stay ahead in compliance with our latest blog post, "Impact of FINRA SEA Rule 17A-4 on Financial Institutions". Learn how this crucial regulation affects record retention and storage, ensuring transparency and integrity in the financial sector. Dive into the details: ✅ What is FINRA? ✅ FINRA Roles and Responsibilities ✅ Impact on Financial Industry ✅ Understanding SEA Rule 17A-4 ✅ Who Needs to Comply? https://lnkd.in/euA9ZqF8 #FINRA #Compliance #FinancialRegulations #SEA17A4 #FinancialInstitutions #ASC

📣 Breaking News: SEC Charges 11 Wall Street Firms over Recordkeeping Failures! Key Highlights: 📌 SEC has announced charges against 10 broker-dealers and one dually registered broker-dealer & investment adviser. 📌 The firms acknowledged their conduct violated federal securities laws and have agreed to penalties totaling $289 million. 📌 Key firms and penalties: Wells Fargo group: $125 million BNP Paribas & SG Americas: $35 million each BMO Capital & Mizuho Securities: $25 million each Houlihan Lokey: $15 million Moelis & Company & Wedbush Securities: $10 million each SMBC Nikko Securities: $9 million Gurbir S. Grewal, Director of the SEC’s Division of Enforcement, emphasized the importance of firms self-reporting, cooperating, and remediating violations. The SEC's primary concern is the firms' failure to maintain and preserve electronic communications on personal devices, undermining regulatory oversight and potentially jeopardizing investor protections. In addition to financial penalties, the firms were ordered to cease future violations and retain independent compliance consultants to review and strengthen their internal electronic communication policies. Separate settlements were also announced by the Commodity Futures Trading Commission with several firms over related conduct. For the financial community, this serves as a potent reminder of the importance of stringent recordkeeping and compliance to uphold the integrity of our markets. 💼🔍 #SEC #WallStreet #Compliance #Finance #Recordkeeping #Enforcement https://lnkd.in/gCACqYu6

Compliance with federal securities laws is essential to protect investors and maintain well-functioning markets. The SEC has taken strong enforcement actions, with 30 cases and over $1.5 billion in penalties to date. While some have taken heed and improved their policies, today's actions serve as a reminder that many still have not. Gurbir S. Grewal, Director of the SEC’s Division of Enforcement, urges broker-dealers and investment advisers to take this message seriously and prioritize compliance with books and records requirements. #InvestorProtection #SEC #EnforcementActions #BizComGlobal

SEC Charges 11 Wall Street Firms with Widespread Recordkeeping Failures, highlighting the necessity of regulatory oversight and tools like Apiax for staying updated with evolving regulations. Read the press release below 👇 #effectiveregulatoryoversight #EmbeddedCompliance #Apiax

Unpack the essentials of brokerage compliance with guidance from Angela Turiano on FINRA Rule 3110. Learn how a strong supervisory system is more than a regulatory requirement—it's a foundation for trust and better business practices. With important amendments approaching, being well-informed is crucial. Read more here: https://bit.ly/3xw5ufk

Among the SEC's charges announced today against 11 broker-dealers for failing to retain certain required records, was a single case involving a dual-registrant broker-dealer/investment adviser. The SEC's order against the dual registrant, however, does not shed any additional light on the question the industry has raised with the SEC: How broadly is the SEC interpreting an adviser's records retention requirements regarding recommendations, which differ from a broker-dealer's record retention requirements to maintain all business-related communications? While the SEC order restates the language of the rule applicable to investment advisers and includes a general allegation that off-channel communications related to recommendations to advisory clients, the examples the SEC order includes provide no additional information on this point. https://lnkd.in/gXiVc34F