About a month ago, the SEC announced a settlement in a modest little case that has, nevertheless, managed to garner a lot of attention. This is a result of the fact that one of the respondents was the CCO, i.e., the Chief Compliance Officer, of the co-respondent RIA. Determining the particular circumstances under which CCOs
Chief Compliance Officer
SEC Settlement Proves That When CCOs Spot A Problem, Silence Is Not Golden
By Alan Wolper on
FYI, in February, Ulmer & Berne will be hosting a series of webinars on the following: FINRA Expungement: Rule Changes and Updates on Tuesday, February 9 2:00 PM EST; SEC Update: Reg BI, Enforcement Activity, and the Willfulness Standard on Thursday, February 11, 2021 at 2:00 PM EST; Data Protection & Cybersecurity Challenges for Financial …
Let’s Hear It For CCOs; After All, They Are Human People
By Alan Wolper on
We have frequently blogged here about the degree of attention that regulators pay to Chief Compliance Officers, and whether it is proper that they sometimes are named individually in Enforcement actions. And we are hardly the only ones who see this issue. The New York City Bar back in February – I know, that seems…
The Head-In-The-Sand Approach To Supervision: A Primer
By Alan Wolper on
There’s a claimant’s lawyer I’ve litigated against several times who is very good at his job, and who I personally like very much. Part of the reason for his success is that he is very engaging, so even when he utterly lacks any decent facts on which to base his claim – which is often…
When FINRA Can’t Discipline The Firm, Individuals Pay The Price
By Alan Wolper on
There has been a lot of discussion over the past few years, including in this blog, about the growing – and troubling – trend for Chief Compliance Officers to be named as respondents in disciplinary actions. While regulators regularly deny that they truly have it out for CCOs, as is often the case, their…
Highlights from Day Two of SIFMA-CL Conference
By Alan Wolper on
The Rick Ketchum Show. Today’s sessions opened with what was likely the highlight of the entire conference, Rick Ketchum’s swan song “conversation” with Ira Hammerman, GC of SIFMA, before he toddles off into retirement. Granted, these interviews never remotely approach Sixty Minutes intensity, but this year’s featured even more coddling than ever:
- What would
…
Highlights from Day One of SIFMA-CL Conference
By Alan Wolper on
Posted in Best execution, CCO liability, Culture, Fiduciary duty, Fiduciary Standard, FINRA, municipal securities, SEC, SIFMA, Supervision
Opening Session/Firm Culture/CCO Liability. If you are reading this blog, then you, like me, have been probably eagerly waiting for the start of SIFMA’s annual Compliance and Legal conference not just for the jumbo shrimp at the reception, but also to learn some insights from the regulators about their concerns and intentions. If you…
Lost at Sea: Why FINRA’s Lack of Formal Guidance to CCOs Could Leave Them Adrift in Dangerous Regulatory Waters
By Blaine Doyle on
In Homer’s epic poem the Odyssey, Odysseus and the crew of his ship are faced with the impossible choice of either sailing closer to Charybdis, a whirlpool capable of sinking their entire ship, or, alternatively, to Scylla, a sea monster just as deadly. Odysseus’ dilemma sprang to mind as I listened to a presentation…
Actions Speak Louder Than Words: The Regulation of Chief Compliance Officer (CCO) Conduct
By Nathan Lamb on
Yesterday, the SEC held its 2015 “National Compliance Outreach Program for Broker-Dealers.” The program was designed to “provide[] an open forum for regulators and industry professionals to share strong compliance practices and promote the exchange of ideas to develop an effective compliance structure.” In the spirit of this cooperation, SEC Chairwoman White opened the conference…