Broker Dealer Compliance Services

Timely trade reporting continues to be a focus of regulators as they look to improve transparency and price discovery in the marketplace. The FINRA release of Regulatory Notice on July 1, 2020 includes clarified guidance for calculating and presenting IRR for use in retail communications by FINRA member firms. Join ACA for a complimentary webcast discussing the main areas of impact to broker-dealers and FINRA member placements agents. Our team conducts comprehensive reviews of broker-dealer equity trading desks intended to emulate the TFCE performed by FINRA’s Market Regulation Department. Our branch office inspections can be a general review to assess compliance with FINRA Rule 3110(c), or they can be refined to include specific focus areas.

After we have undertaken representation of you concerning a matter, you will be our client, and we may thereafter exchange confidential information freely. The 2023 Investment Management Compliance Testing Survey results reveal marketing is still the top compliance concern. The SEC Division of Examinations issued a risk alert describing its observations of Regulation Best Interest deficiencies during broker-dealer exams. ACA Foreside can assist with all aspects of your FINRA licensing needs for both registered and private funds.

In most countries, regulators require companies to register with the respective authorities (e.g., firms working in the US must be registered with FINRA). We are a federal contractor or subcontractor required by law to provide equal employment opportunity to qualified people with disabilities. The firm should have a system to identify all relevant laws and rules and to continually update policies and procedures to cover them. To assist in the evaluation of the coverage of your firm’s supervisory procedures, you may wish to refer to the NASD’s Written Supervisory Procedures Checklist .

Peer-2-Peer Compliance Library
This resource shares compliance tools developed by FINRA-registered firms. Although FINRA is not a government organization, it does refer insider trading and fraud cases to the SEC and other government agencies. When FINRA opens an investigation, it can rely on the information from surveillance reports, referrals, complaints, tips, and findings from examinations, but it will not violate your right to confidentiality. Licensing and appointments may be a minor annoyance for a single insurance agent working on their own. Our experts will discuss how the recently released 2022 examination priorities may impact you and your compliance program. Designsite is an award-winning website, digital marketing and branding firm, based in Fairfield CT.

The old adage “garbage in, garbage out” fully applies to broker-dealer compliance software and systems. If the data is old, poorly organized or faulty, the results within the exception reporting will be of that standard. Issues with data are the number one contributor to difficult software implementations and user dissatisfaction.

Subscriptions are based on topic, so that you can receive the information that’s most important to you. Compliance Vendor Directory
This directory allows firms to search for vendors offering compliance-related services, such as consulting and surveillance. Our proprietary governance, https://www.xcritical.in/ risk and compliance software, Oyster Solutions, takes the worry out of managing your compliance requirements. With consolidated dashboards, customizable workflows and user profiles designed for your business model, you have a bird’s eye view of your firm’s compliance program.

In any industry where remuneration is mostly commission-based, salespeople often have an incentive to operate in their own best interests. You can also hire third-party compliance specialists who can ensure you have what is required for your state. In connection with this work, we have liaised with FINRA and the SEC regarding interpretive guidance and relief. We also provide guidance on implementing MiFID II requirements for “unbundling” research products and services from brokerage products and services. Similar to pleading guilty in court, these firms receive favorable treatment if enforcement action is warranted. Review these WSP Checklists to evaluate your firm’s compliance program across all relevant regulatory obligations for broker-dealers, Capital Acquisition Brokers (CABs) and Funding Portal (FPs).

• The SEC Division of Examinations issued a risk alert describing its observations of Regulation Best Interest deficiencies during broker-dealer exams.
• Build a scalable and resilient compliance program with our ComplianceAlpha® regulatory technology  platform backed by managed services support.
• Prohibiting loan originators in a transaction from being compensated by both the consumer and another person, such as a creditor.
• Although the days of initials scrawled on the front of a document as proof of review should be in the past, many brokerages still use pen and paper to review documents.
• Thankfully, modern compliance technologies can automate transaction monitoring, completing assessments in seconds and enforcing compliance requirements regardless of transaction volume.

We help determine the best regulatory structure based on your business model, technology and user acquisition strategy. The digital trading platform is an integral part of the product that’s as important to the value proposition as the stocks, ETFs and options offered for trading. As noted therein, until you have received from us a written statement that we represent you in a particular manner (an “engagement letter”) you should not send to us any confidential information about any such matter. Just as regulators what is compliance for brokers conduct risk assessments to determine what will be the focus of examinations each year, there is an expectation that industry firms… To help you stay on track with your firm’s FINRA reporting obligations, we’ve put together a printable calendar with key deadlines in addition to U.S. national holidays at a glance. Our broad range of services for broker-dealers extend from guiding firms through all aspects of the initial registration to providing consultations on the implications of individual rule changes.

Compliance teams inform and guide a firm’s culture to ensure it meets all its regulatory requirements. To do this, broker-dealers must invest adequate resources to ensure their compliance teams aren’t overly stretched and unable to keep up with the transactional component of their roles. With such a complex regulatory landscape, broker dealers’ compliance programs need to run like a well-oiled machine. From tracking a huge number of separate deals for conflicts, AML, anti-fraud, and more to ensuring compliance with customer protection regulations, firms can’t afford to cut corners on compliance processes. This is obvious in cases such as the Morgan Keegan fund cases where the underlying capital market structure of the funds themselves would remain opaque at best to the compliance system. Choose a platform that includes an AML compliance software solution and a KYC compliance software solution.

For this reason, you will find a lesser quality of management at firms that have not implemented an advanced compliance software system. Broker-dealers may choose to structure their supervisory and compliance systems in different ways. The definition of “dealer” does not include a “trader,” that is, a person who buys and sells securities for his or her own account, either individually or in a fiduciary capacity, but not as part of a regular business. Individuals who buy and sell securities for themselves generally are considered traders and not dealers. We can maintain a private-label broker-dealer on behalf of your firm, allowing you to focus on your core business. Our private label broker-dealer offering provides an opportunity for firms to have ACA Foreside own and manage a broker-dealer branded by you and dedicated solely to you as the client.

We can help broker-dealers understand the compliance and operational issues presented by Reg BI as they relate to their retail business. Our consultants can assist in designing customized procedures that will detail the steps needed to address Reg BI’s requirements as they relate to your firm. FINRA’s Office of General Counsel (OGC) staff provides broker-dealers, attorneys, registered representatives, investors and other interested parties with interpretative guidance relating to FINRA’s rules. Both licensed and unlicensed members of the trade community who are engaging in the above identified illegal activities must cease and desist such activity. Should you have any questions regarding these rules, please contact the Broker Management Branch.

Ensuring that your compliance program is robust and current with evolving regulatory requirements is an important factor when it comes to protecting your business. If you are a dual-registered firm, we can also perform your Investment Advisor Annual Review, required under SEC Rule 206(4)-7. Our experts will ensure your investment advisor program is compliant, reflects your firm’s capabilities, leverages technology and has effective, streamlined processes. Our clients range from financial holding companies to multi-service investment banks, Nasdaq market makers, trade associations, national and regional brokerage houses, exchanges and other market venues. Among our client roster are Barclays Capital, Citigroup, Credit Suisse, Goldman Sachs, Jefferies, JPMorgan, Royal Bank of Canada, Royal Bank of Scotland and UBS.

Addressing compliance issues is a detail-oriented but necessary part of being in the mortgage compliance business. This post will focus on a high-level overview of the mortgage acts and practices regulations to consider in starting or operating a mortgage brokerage firm. We develop and manage your compliance and operational workflows to efficiently manage high volumes in user onboarding and transaction processing. Offering a full suite of services to mortgage brokers and other independent mortgage professionals.