Legal & Compliance

SEC Votes For More Disclosure On Climate Change Risks

A divided SEC has voted to encourage companies to disclose the effects of climate change on their business, bringing a partisan debate over global warming into a new arena.

Securities America Charged With Misleading Investors

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The Massachusetts Securities Division filed a complaint today against Securities America, charging the broker-dealer misled investors when it sold approximately $697 million in promissory notes.

Finra Cautions Advisors About Social Media

New media is spurring new guidelines for brokerage firms and their employees.

Advice To Advisors: Get To Know Your Regulator


Regulators can seem like scary people, but financial advisors who take time to reach out to their state regulators could have an ally down the road in times of need.

Senate Shake-Ups Unlikely To Impact Fiduciary Standard

Recent shake-ups in the U.S. Senate will probably not impact the development of a stringent fiduciary standard for certain broker dealers.

Finra Lays Off Five Enforcement Officials

Five senior enforcement officials at the Financial Industry Regulatory Authority will be leaving as the regulator streamlines management.

What Transaction-Tax Foes Don't Say

Estimates suggest the burden the tax would place on mutual fund investors would, while real, be smaller than other controversial fees investors have paid for years.

Groups Fight Fiduciary Standard 'Myths'


Groups from across the financial spectrum have asked Congress to resist efforts to weaken proposed legislation that would require all financial advisors to abide by a fiduciary standard of care.

Many Advisors Not Subject To Audits

A new rule requiring some RIAs to undergo annual surprise audits may help stem the kind of malfeasance con artist Bernard Madoff has come to represent. But many RIAs won't be subject to them.

Secrecy Order May Go Too Far

A confidentiality order in an arbitration case in which a branch manager won a victory is considered unusual.

SEC Protective Measures Leave Advisors Uneasy

The SEC is stirring anxiety among some financial advisors by reaching out to clients at random, questioning them about their advisory relationship and verifying account assets.

Finra Suspends Exec In Private Placement Case

A brokerage company's former CEO has been suspended for improper marketing of private placements, the first settlement in a crackdown by Finra on sales practices involving these securities.

Wayward Advisor: Tales of Rape, Kidnapping And Fraud


Federal authorities have filed additional fraud charges against a Massachusetts financial advisor who has already amassed a track record of fraud, rape and kidnapping.

SEC Passes Rule On Surprise Audits

The Securities and Exchange Commission approved a rule Wednesday requiring some investment advisors who manage customer funds to undergo annual surprise audits.

US House Nixes Finra Regulation Of Advisors

Legislation to empower a self-regulatory organization--such as Finra--to regulate investment advisors was defeated Friday, prompting relief from those opposing the measure.

SEC Alleges $11 Million Ponzi Scheme

The Securities and Exchange Commission has sued Rockford Funding Group LLC, alleging the New York investment firm orchestrated an $11 million Ponzi scheme.

Frontline News

Financial Services Overhaul Getting Closer December should be a busy month for those involved with overhauling the U.S. financial services industry...

Soft Dollar Case Raises Eyebrows

Corporate compliance officers have been rolling their eyes at the unfolding story of Terra Nova Financial LLC, the Chicago broker-dealer fined $400,000 for making improper soft dollar payments.

Regulators Looking At Broker Pay, Product Sales

Securities regulators are on the lookout for conflicts of interest that may arise from the large recruiting packages some broker-dealers offer the financial advisors they're wooing.

Investors Lured Into 'Green' Ponzi Scheme


More than 300 investors nationwide were lured into a $30 million Ponzi scheme that focused on "green" investments, according to the Securities and Exchange Commission.