Broker-Dealer Archives - MasterCompliance

FINRA Rule 3110 Amendment Proposals

Posted on June 20, 2023 by SCM Communications

The Financial Industry Regulatory Authority (“FINRA”) Rule 3110 gives explicit directives on supervision of all persons related to the broker dealer in order to stay in compliance with all applicable FINRA rules and regulations. Although it takes a solid compliance program to achieve this, it has been manageable. Enter COVID-19: “Stay at home for two weeks to flatten the curve” they said. With that, employees packed up their work, and so began the lifestyle of working from home (“WFH”). The Financial Industry Regulatory Authority had to ease up on broker dealer’s completing branch audits during this time simply due to Read more about FINRA Rule 3110 Amendment Proposals[…]

Anti-Money Laundering Compliance

Posted on June 13, 2023 by SCM Communications

Anti-Money Laundering Compliance

FINRA Audit Preparation

Posted on June 8, 2023 by SCM Communications

For the broker dealer, there are a few things that are certain in life, and one of those happens to be Financial Industry Regulatory Authority (“FINRA”) audits. No broker dealer wants to get a FINRA examination call. However, there are multiple ways that a broker dealer can be prepared for their firm’s FINRA exam. The most important thing a broker dealer can have in place is a solid compliance program. This includes but is not limited to: Knowing where your broker dealer’s books and records are stored and how to easily access said files Being able to clearly explain your Read more about FINRA Audit Preparation[…]

The Chief Compliance Officer

Posted on June 5, 2023 by SCM Communications

As with all career choices, there are some vital pieces of information that are not included in the textbooks. Being a Chief Compliance Officer (“CCO”) is no exception to this rule. There are simply aspects of the position where life experience becomes the CCO’s guidebook. A thorough Chief Compliance Officer within a broker dealer (“BD”) is not every employee’s favorite person. Holding all employees to the strict processes and procedures set forth for the broker dealer can sometimes feel like a full-time job in itself. Being a CCO can be a thankless position, but the rewards can also be great. Read more about The Chief Compliance Officer[…]

Communication Recordkeeping in the Day of the Hybrid Workforce

Posted on May 31, 2023 by SCM Communications

All broker dealers have recordkeeping obligations required by Rule 17a-4(b)(4) under the Securities Exchange Act of 1934. Among the list of required obligations is communication recordkeeping. This includes incoming as well as outgoing communications with respect to the broker dealer. Further instructions were given by the Financial Industry Regulatory Authority (“FINRA”) in FINRA 11-39 and later in FINRA 17-18. This is noted because over the course of the past years, the hybrid work environment has become the norm. With this, more and more communication software and applications have become available to the public to ease the transition between working from Read more about Communication Recordkeeping in the Day of the Hybrid Workforce[…]

Outsourced Compliance

Posted on May 23, 2023 by SCM Communications

Are there times when as a Financial Industry Regulatory Authority (“FINRA”) approved and registered broker dealer that you feel your broker dealer is lost in an ocean of overwhelming rules and regulations? You may feel as though your firm is drowning in a plethora of obligations and tasks. It is times like this when broker dealers can find drastic benefits of outsourcing some of its compliance functions. Having outside compliance is not a requirement of FINRA, but it is understandable given the constant stream of changes in the world of the broker dealer industry. There is a level of comfort Read more about Outsourced Compliance[…]