In these uncertain times, the predictability and regularity of the annual priorities letters from FINRA and the Securities and Exchange Commission’s (SEC) Office of Compliance Inspections and Examinations (OCIE) is well-received. As we discuss below, there were few surprises in the annual priorities letters, with the FINRA and the OCIE letters both discussing mainly topics that have been on the regulators’ agenda for quite some time.

In characterizing the topics covered in the FINRA letter, FINRA President Robert Cook noted that the “focus on core ‘blocking and tackling’ issues of compliance, supervision and risk management.” In the cover note accompanying the FINRA letter and in a subsequent speech, Mr. Cook struck a new tone, emphasizing FINRA’s renewed emphasis on transparency and engagement. To that end, he committed to sharing with member firms a summary report regarding common exam findings, so that firms can learn from what FINRA is seeing at other firms.

Originally published in NSCP Currents on February 23, 2017.