Updating information on my u4
Attention to the core regulatory requirements identified in the letter—and how to address them in light of new business challenges and market developments—will serve investors and markets well.Your ongoing input on existing and emerging issues that put investors and market integrity at risk is very important.I have already asked our staff to develop several new resources along these lines, and in 2017 we will introduce a “compliance calendar” and a directory of compliance service providers.In addition, to gather more information in this area, we recently sent a brief survey to small firms to help us learn about the compliance tools and resources they would find valuable.In the meantime, I want to share with you two more modest steps we are already planning to take.
In planning and executing an examination, we consider, among other things, a firm’s business model, size and complexity of operations, and the nature and extent of a firm’s activities against the priorities outlined in this letter.
As you will see, a common thread running throughout the Priorities Letter is a focus on core “blocking and tackling” issues of compliance, supervision and risk management.
Most of the topics addressed in this year’s letter have been highlighted in prior years, but specific areas of emphasis have been updated or modified based on recent observations and experience.
This group will rigorously review these brokers’ interactions with customers, including their compliance with rules regarding suitability, know-your-customer, outside business activities, private securities transactions, commissions and fees.
Second, FINRA will review firms’ supervisory procedures for hiring or retaining statutorily disqualified and recidivist brokers.