Reasonable Due Diligence Includes Monitoring Ongoing Financial Performance

Wednesday, May 28th, 2014 and is filed under AI Insight News

Broker Dealers are finding the Regulatory focus and the need to provide documentation increasingly demanding – particularly when it comes to offering complex products to their clients. As new regulations are released, a trend toward a fiduciary standard for broker dealers and their advisors appears to be emerging. Read More

Regulatory Update

Saturday, December 15th, 2012 and is filed under AI Insight News

December 15, 2012 – FINRA Regulatory Notice 12-55:  Guidance on FINRA’s Suitability Rule. In November 2010, the Securities and Exchange Commission approved FINRA Rule 2111 (Suitability), which became effective on July 9, 2012. In May 2012, FINRA issued Regulatory Notice 12-25, which provides guidance on the rule in a frequently asked questions format. This Noticeaddresses two issues discussed in Regulatory Notice 12-25: the scope of the terms “customer” and “investment strategy.” In addition, FINRA has created a suitability web page that, among other things, will locate in one place questions and answers regarding FINRA Rule 2111. The suitability website can be found here and Notice 12-55 can be read in its entirety here.

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