NSCP Currents On Demand

Currents Live Webinar - "The DOL Fiduciary Rule"

Featuring Jason Berkowitz, Chief Legal & Regulatory Affairs Officer, Insured Retirement Institute (“IRI”), David Kaleda, Principal, Groom Law Group, and Jane Riley, Chief Compliance Officer, The Leaders Group … View Webinar

06-25-2024

DOL’s Amended Definition of a Fiduciary

By Craig Watanabe

“Fiduciary” has multiple definitions. The one most of us are familiar with is the common law fiduciary, which applies to registered investment advisers. However, this article will focus on the ERISA Section 3(21)(A)(ii) and IRC Section 4975(e)(3)(B) definitions which are statutory and prescriptive as opposed to the principles-based common law definition. Final Rules On April 25, 2024, the final rules were published in the Federal Register in four separate releases: .... Continue Reading

06-20-2024

Documentation Under Reg BI – Requirements, Expectations and Reasonable Practices

By Christopher J. Kelly and Miriam Lefkowitz

Compliance professionals frequently incorporate interpretive guidance issued by SEC and FINRA Staff as they develop and maintain their compliance programs. Such guidance also helps firms prepare for the inevitable regulatory examinations, as the guidance often lays out expectations about how firms can demonstrate their implementation of applicable rules. Concerningly, however, guidance issued by the staff of regulators also can have the effect of .... Continue Reading

06-13-2024

NSCP Celebrates… Pride Month

By Shannon Bean

All across the country, June is celebrated as Pride Month, and NSCP is proud to be a participant in that celebration. Pride Month is celebrated in honor of the 1969 Stonewall Uprising, which marked a pivotal change in the LGBTQ+ rights movement. Now, 55 years later, a focus on diversity, equity, and inclusion continues to be a priority for NSCP, as well as many organizations across the country. Much like a lot of corporate America, financial services and investment management .... Continue Reading

06-06-2024

The Final Fiduciary Regulation and Exemptions: The Clock is Ticking

By Fred Reish

The Department of Labor (DOL) has issued its final regulation defining fiduciary advice together with related exemptions for conflicted fiduciary recommendations, Prohibited Transaction Exemptions (PTEs) 2020-02 and 84-24. The clock for compliance has started to run. The fiduciary rule—formally called the Retirement Security Rule: Definition of an Investment Advice Fiduciary–will be effective on September 23, 2024. Parts of the PTEs will also be effective on that date, and the .... Continue Reading

05-30-2024

Currents Live Webinar - "Navigating Regulatory Exams & Interacting with Regulators During Exams"

Featuring Pete Driscoll, Partner, PwC, Liz Legacy, Executive Director, CCO – CUSO SPF, Atria Wealth, and Paul Tyrell, Partner, Sidley Austin LLP … View Webinar

05-22-2024

Compliance Considerations for Spot Cryptocurrency ETFs

By Craig Watanabe and Ryan Smith

On January 11, 2024, the SEC approved 11 spot Bitcoin ETFs for trading. Importantly, these spot Bitcoin ETFs will own Bitcoin directly and not Bitcoin futures which is a distinction with a significant difference. Below are factors that compliance officers are well-served to consider when encountering this and similar products. Characteristics of the Cryptocurrency Markets Before delving into the specifics of the spot Bitcoin ETFs, it will be instructive .... Continue Reading

05-16-2024

Explaining What We Do in Compliance

By Melissa Starr, Jane Riley, Craig Watanabe and Miriam Lefkowitz

Have you ever had to explain what we do as Compliance Officers to someone who knows little to nothing about compliance? Or have you trained a new Compliance Staff member who has no experience in compliance? These are common occurrences, and in this article, four experienced Compliance Officers explain what they do and what training resources they provide. Even experienced Compliance Officers will .... Continue Reading

05-09-2024

NSCP Celebrates… Asian American and Pacific Island Heritage Month & Mental Health Awareness Month

By Takesha Pollock

In our collective journey towards progress and inclusivity, it’s imperative to acknowledge and celebrate the rich tapestry of contributions made by the Asian American and Pacific Islander (AAPI) community. Join us as we embark on a journey of recognition, shedding light on the extraordinary achievements and enduring resilience of AAPI trailblazers who have paved the way for future generations. Source: .... Continue Reading

05-02-2024

Currents Live Webinar - "FINRA's Residential Supervisory Location (RSL) and Remote Inspection Pilot"

Featuring Jerry Danielson, Assistant Vice President Field Audit, Lincoln Financial Group Distribution, Andrew Mount, Senior Associate, Eversheds Sutherland (US) LLP, and Jennifer Szaro, Chief Compliance Officer, XML Financial Group, XML Securities, LLC … View Webinar

04-25-2024

The New Age of Branch Office Inspections

By Andrew T. Mount and Erin Preston

The COVID-19 pandemic changed how broker-dealers serve customers and supervise associated persons, and pushed regulators to consider how to adapt regulatory requirements to fit an environment where many, if not most, firms have embraced some form of remote work. On November 17, 2023, after two years of prolonged rulemaking, the SEC approved changes to FINRA Rule 3110 that introduced a three-year Remote Inspections Pilot Program and a new Residential Supervisory .... Continue Reading

04-18-2024

Proposed AML Rule for Advisers

Proposed AML Rule for Advisers By Melissa Starr and Craig Watanabe

The USA PATRIOT ACT of 2001 was passed by Congress following the wake of the terrorist attacks on September 11, 2001, and shortly thereafter, the National Association of Securities Dealers (“NASD”) enacted Rule 3011, which is now known as FINRA Rule 3310 – Anti-Money Laundering Compliance Program. While broker-dealers (“BDs”) have been required to have AML programs since 2002, investment .... Continue Reading

04-11-2024

Currents Live Webinar - "SEC Private Funds Adviser Rules - How Advisers are Preparing for Implementation”

Featuring Genna Garver, Partner, Troutman Pepper, Igor Rozenblit, Managing Partner, Iron Road Partners, and Scott Weisman, Partner, CCO, Senior Regulatory Counsel, Bain Capital, Boston Office … View Webinar

03-27-2024

Regulation SHO

By Christopher J. Kelly

A little-known provision of Regulation SHO is getting increased attention from regulators. Recently, regulators have signaled that they will be taking a close look at broker-dealers’ invocation of the so-called “bona fide market-maker” exception to Regulation SHO (“Reg SHO”), and firms that rely on this exception should be wary of the potential for future enforcement actions. The SEC adopted Reg SHO in response to potentially abusive “naked” short selling (or, the sale .... Continue Reading

03-21-2024

Compliance Department Leadership and Management

By Craig Watanabe

The Body of Knowledge for Leadership and Management Effectively managing a compliance department with two or more people requires basic leadership and management skills. Fortunately, there is a tremendous body of knowledge dedicated to leadership and management and it not necessary to “recreate the wheel.” Rather, this article will offer practical suggestions on how to apply sound leadership and management concepts specifically to managing a Compliance Department. The Difference .... Continue Reading

03-14-2024

NSCP Celebrates… Women’s History Month

By Takesha Pollock

Since 1995, March has been designated as Women’s History Month. Women’s History Month gives us the opportunity to formally celebrate the women who have paved the way for future women leaders in our industry. The Opportunity for a Bright (Pink) Future: Women in Leadership While steadily more women are holding high-level leadership roles in the financial services industry, according to Deloitte’s “Advancing .... Continue Reading

03-07-2024

Currents Live Webinar - "How to Uncover and Address Off-Channel Communications"

Featuring Myles Blechner, Director – Investment Advisory, ACA Group, Kim Chapman, Chief Compliance Officer, Berthel Fisher & Co Financial Services, and Patricia (“Trish”) Flynn, Vice President, CCO, PGIM Portfolio Advisory … View Webinar

02-28-2024

One Minute Trade Reporting: Considerations for Firms as They Prepare

by Jessica LeBlanc

In January 2024, the Financial Industry Regulatory Authority (FINRA) and the Municipal Securities Rulemaking Board (MSRB) filed their proposals with the Securities and Exchange Commission (SEC) to decrease the time to report fixed income securities transactions from fifteen minutes to one minute from the time of trade. If approved, these changes will have wide reaching impacts on the fixed income markets, and more specifically, firm compliance programs, perhaps more so .... Continue Reading

02-22-2024

A Day in the Life of a Financial Exploitation Compliance Professional

By Brett Lassoff

It was early in my career as a financial exploitation compliance professional, and I was on a conference call with a 94-year-old life insurance policyholder and various children and grandchildren, all vying to take control of the individual’s insurance policy. I was naïve at this point and assumed that everyone would remain cordial, and we could reach an understanding. But tensions rose and at one point everyone started yelling. One family member threatened to evict the policyholder .... Continue Reading

02-15-2024

Presenting Professionally: Three Key Steps to Becoming a Better Presenter

By Jocelin Martinez

As a compliance professional, you’re responsible for disseminating important regulatory information via training sessions and presentations. Whether you welcome the opportunity or view it unfavorably, much of your presentation prowess is tied to preconceived perceptions, and as I’ll tackle below, preparedness. It’s no secret most people dread being asked to present, but how can they overcome apprehension to maximize their time with audiences? The answer’s easier than you might .... Continue Reading

02-08-2024

NSCP Celebrates... Black History Month

By Takesha Pollock

Black History Month is a time to honor and celebrate the achievements and contributions of African Americans. Although officially recognized in the month of February, NSCP celebrates the countless achievements and contributions of African Americans all year round. Found below is a list of several ways you and members of your firm can observe, celebrate and learn about the rich history and culture of African Americans during this month. Also highlighted below are five African .... Continue Reading

02-01-2024

Currents Live Webinar - "How to Avoid CCO Liability"

Featuring Patrick Hayes, Chair, Investment Management, Calfee, Halter & Griswold LLP, Rosa Licea-Mailloux, CCO MFS Funds and Head of Compliance Americas, MFS Investment Management, and Brian Rubin, Partner, Co-Head of Securities, Enforcement Practices, Eversheds Sutherland (US) LLP … View Webinar

01-24-2024

A Comprehensive Risk-Based IA Testing Program

By Janice Powell and Craig Watanabe

A Comprehensive Risk-Based IA Testing Program What is the biggest hurdle to your compliance program? How do you incorporate changes to the program? In short, a common response is finding time to revamp the old and create a new, more efficient risk-based testing program. While not obvious, we should be in the mode of constant and never-ending improvement. This is our goal – work smarter, not harder, as the saying goes. The authors have a well-developed .... Continue Reading

01-18-2024

Launching a Diversity, Equity and Inclusion Program

By Amber Allen, Cameron Funderburk and Manning Peeler

Developing a Diversity, Equity and Inclusion (“DEI”) program at your organization can have many substantial benefits, such as increasing employee retention, improving recruitment strategies, encouraging employee professional development and ensuring company relevance, value and marketability. DEI policies are typically developed outside of a firm’s compliance policies and procedures. However, establishing a DEI .... Continue Reading

01-11-2024

A Look Ahead

By Melissa Loner

As we move into the New Year, I want to celebrate some of the accomplishments we’ve had and give a glimpse of what to look forward to. Celebrate 2023 We had one of the most successful National Conferences to date, with more than 960 attendees, 250 of those being first time attendees. For the first time we had more than 40 regulatory colleagues join us not just to present but to interact, learn together and build connections. We created and re-organized volunteer opportunities. .... Continue Reading

01-05-2024

A Look Back

By Jeff Blumberg

Those of you who were able to join us at the 2023 National Conference in Dallas have already heard some of this over lunch on the first day, but I wanted to take a moment to reflect on my year as the Chair of the Board for the NSCP. This past year has been a year of great strides for the organization – we spent the beginning of the year finalizing our revised strategic plan and the rest of the year implementing various facets of that plan. Our strategic plan has four primary .... Continue Reading

01-04-2024

All articles and previous issues of NSCP Currents are available for download in the NSCP Resource Library.