The financial services industry is subject to a regularly changing landscape of regulations and laws, driven in part by shifts in policy from regulators and lawmakers.

Goodwin’s FinReg + Policy Watch provides real-time updates and analyses focusing on regulation and policymaking. Issues are framed in an easy-to-digest manner, providing insight gained from our experience serving in key roles in government and advising clients across the industry.

Follow along as we deliver our take on the latest developments affecting the financial services community as well as the road ahead.

BD and IA Conflicts of Interest: SEC Staff Says Don't Set It (Them) and Forget It (Them)

Our recent client alert discusses a recent SEC staff bulletin covering the standards of conduct for broker-dealer and investment adviser conflicts of interest. The staff bulletin includes 13 Q&As categorized into five different flavors relating to identifying, eliminating, mitigating, and disclosing conflicts of interest, as well as related to product…

Read More

CFTC Commissioner Romero Calls on Agency to Bring the "HEAT" in Enforcement Actions

Our recent client alert discusses the CFTC’s longstanding practice of settling enforcement cases without seeking admissions of wrongdoing (so-called “no-admit/no-deny” settlements). CFTC Commissioner Romero suggests application of a “HEAT” test (Heightened Enforcement Accountability and Transparency), which would encourage CFTC staff to push for admissions of wrongdoing in actions with one or more bad…

Read More

SEC Continues Scrutiny of Municipal Bond Offerings

The SEC recently brought fraud charges against Sterlington, Louisiana and its former mayor and separately against Rochester, New York and its former executives and Rochester’s municipal advisors and principals/owners for misleading investors related to their respective bond offerings. At a high level, the SEC alleged (collectively between the two matters):…

Read More

FINRA Proposes Remote Inspection Pilot Program

FINRA recently proposed amendments to FINRA Rule 3110 (Supervision) to adopt a voluntary, three-year pilot program (Pilot Program) to allow member firms to conduct remote branch office inspections.  In a nod to where things have headed since the onset of the Covid-19 pandemic (WFH and such), providing firms with the…

Read More

SEC Proposes Amendments to Exchange Act Rule 15b9-1—Is FINRA Taking Over the Lease at 100 F Street NE?

Back in April 2022, we wrote about the SEC killing the Dealer/Trader distinction.  We also noted then that it would come as no surprise to see the SEC re-propose amendments to Exchange Act Rule 15b9-1.  Just a few months later, the SEC has done just that. Rule 15b9-1 currently exempts…

Read More

FINRA Proposes to Publicly Identify “Restricted Firms” on BrokerCheck

BrokerCheck is the database through which FINRA publishes licensing, registration, and disciplinary history of brokerage industry firms and their personnel. BrokerCheck does not currently specify whether a particular firm is a “Restricted Firm”–one FINRA considers to “pose far higher risks to the public than firms of similar size” based on…

Read More