High-frequency traders, private funds, decentralized exchange automated market makers, and even state pension plans should consider whether the expanded dealer definition triggers the need to register as a securities dealer...more
2/12/2024
/ Cryptoassets ,
Dealers ,
Financial Industry Regulatory Authority (FINRA) ,
Government Securities ,
Liquidity ,
Market Participants ,
Municipal Bonds ,
New Rules ,
Private Investment Funds ,
Registration Requirement ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Traders
The proposal would codify for the first time the federal-level best execution standard for brokers and related obligations. New Regulation Best Execution would result in a pivot from what has been a principles-based approach...more
On December 29, 2022, President Biden signed H.R.2617, codifying a federal exemption from SEC registration for small business M&A brokers as new Exchange Act Section 15(b)(13). Limitations exist, as does the requirement to...more
The SEC Division of Examinations recently published a Risk Alert on quarterly reports required under Exchange Act Rule 606, which are published by broker-dealers to provide customers with insight into factors influencing...more
12/13/2022
/ Best Execution ,
Broker-Dealer ,
Disclosure Requirements ,
Information Reports ,
Public Comment ,
Public Meetings ,
Quarterly Report ,
Reporting Requirements ,
Risk Alert ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act
On September 14, 2022, the SEC announced a settled administrative order, also dated September 14 (“Order”), imposing penalties, including a $100,000 fine, on a registered broker (the “Broker”) for failing to (1)...more
On May 4, 2022, FINRA announced that it had fined two FINRA-registered funding portals a combined $1.75 million for failing to comply with securities laws and rules designed to protect crowdfunding investors. Funding portals...more
5/12/2022
/ Broker-Dealer ,
Crowdfunding ,
Enforcement Actions ,
Financial Industry Regulatory Authority (FINRA) ,
Fines ,
Funding Portal ,
Internal Controls ,
JOBS Act ,
Regulation CF ,
Securities Act of 1933 ,
Securities Exchange Act
On October 7, 2020, the U.S. Securities and Exchange Commission (“SEC”) voted 3-2 to propose a conditional exemption (“Exemption”) to permit natural persons to engage in limited securities activities as “finders” on behalf of...more
10/12/2020
/ Accredited Investors ,
Broker-Dealer ,
Capital Raising ,
Comment Period ,
Disclosure Requirements ,
Exemptions ,
Finders ,
Investment Adviser ,
Investors ,
Private Offerings ,
Public Comment ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Regulation ,
Securities Transactions ,
Unregistered Brokers
Regulatory Developments -
Client Alert: SEC Issues New Guidance on Excluding Shareholder Proposals under Rule 14a-8:
Goodwin Procter’s Capital Markets practice has released a client alert on the SEC’s Division of...more
11/5/2015
/ Banking Sector ,
Broker-Dealer ,
Exemptions ,
Federal Reserve ,
Financial Industry Regulatory Authority (FINRA) ,
Financial Institutions ,
Global Systemically Important Financial Institutions (GSIFI) ,
Interim Rule ,
Management Proposals ,
Margin Requirements ,
Ordinary Business Exception ,
Proposed Regulation ,
RAISE Act ,
Recordkeeping Requirements ,
Regulation SCI ,
Reporting Requirements ,
Resale Exemption ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Shareholder Proposals ,
SIFMA ,
Startups ,
Swap Dealers ,
Swaps ,
Trinity Wall Street ,
Wal-Mart
Editor’s Note:
Spotlight on the Credit Risk Retention Rule: The OCC, Federal Reserve Board, FDIC, SEC, FHFA and HUD announced the adoption of a joint final rule (the Rule) to implement the credit risk retention...more
12/31/2014
/ Asset-Backed Securities ,
Banking Sector ,
Banks ,
Dodd-Frank ,
Enforcement Actions ,
Final Rules ,
Investment Adviser ,
OCIE ,
Prudential Regulation Authority (PRA) ,
Risk Retention ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act
Regulatory Developments -
SEC Proposes Changes to Exchange Act Registration Requirements to Implement JOBS Act Mandates -
The SEC announced that it is proposing rule amendments under the Securities Exchange Act...more
12/24/2014
/ Asset Management ,
Bitcoin ,
BitLicense ,
CPOs ,
Employee Retirement Income Security Act (ERISA) ,
European Securities and Markets Authority (ESMA) ,
Federal Reserve ,
Financial Industry Regulatory Authority (FINRA) ,
FinCEN ,
FSOC ,
Investment Adviser ,
JOBS Act ,
MiFID ,
NFA ,
Proposed Amendments ,
Registration ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Volcker Rule ,
Year-End Planning
In this Issue: Last week brought news of several enforcement actions by the SEC against investment advisers on a number of issues: Rule 105 of Regulation M, improper withdrawals characterized as management fees, violation of...more