On April 2, Chair Clayton said the SEC would hold firm on the June 30 compliance deadline for Regulation Best Interest (“Reg. BI”) and Form CRS, but suggested early examinations might focus more on compliance efforts than results. The SEC’s Office of Compliance Inspections and Examinations (“OCIE”) issued two April 7 Risk Alerts providing firms with guidance on what to expect during those early-phase examinations.
As expected, OCIE indicates its exams will focus on whether firms “have made a good-faith effort to implement policies and procedures reasonably designed ...
Securities and Exchange Commission Chair Jay Clayton issued an April 2 public statement that the SEC will hold firm on its June 30, 2020 deadline for firms to implement Reg. BI and Form CRS. There had been industry speculation that the SEC might push that compliance deadline back in the face of the COVID-19 pandemic.
Regulation Best Interest (“Reg. BI”) was adopted by the SEC last June in the wake of the turmoil from the Department of Labor’s “Fiduciary Rule” – a preemptive regulatory incursion into financial markets outside DOL’s usual “portfolio” that resulted in a ...