Risk monitoring and examination priorities are the focus of the annual letter produced recently by the Financial Industry Regulatory Authority (FINRA). That annual FINRA letter highlights new priorities for 2019 and identifies “areas of ongoing concern.” The regulatory authority specifies that the 2019 letter’s “focus on materially new issues may help firms better identify those… Read More >>
FINRA Sanctions Citigroup Global Markets $11.5 Million
The Financial Industry Regulatory Authority reports that it has fined Citigroup Global Markets Inc. (CGMI) $5.5 million and required the firm to pay “at least” $6 million in compensation to retail customers for “displaying inaccurate research ratings for numerous equity securities during a nearly five-year period, and for related supervisory violations.” In fact, according to… Read More >>
Barclays Penalized for EFRP Records Violations
A U.S. regulator has cited Barclays Bank on charges of record-keeping violations and is imposing a $500,000 civil monetary penalty upon the bank, months after the U.K. banking giant was cited for problems with its submissions of large trader reports (LTRs) on physical commodity swap positions. The CFTC, the regulator in both cases, is now… Read More >>
FINRA Fines Wedbush $675K on Supervisory Violation Charges
The Financial Industry Regulatory Authority (FINRA) reports that it has censured and levied a $675,000 fine against Wedbush Securities Inc. for “supervisory violations” that concerned a client’s “chronic fails to deliver” after so-called naked trades of leveraged exchange-traded funds (ETFs), during the January 2010 to March 2012 period. The Wedbush client was broker-dealer Scout Trading,… Read More >>
FINRA Cracks Down on Deutsche Bank Securities, Scottrade
While alleged acts of fraud by Wall Street firms have gotten the spotlight this year, financial services regulator, the Financial Industry Regulatory Authority (FINRA), is making the point with some firms that they need to maintain high standards for regulatory reporting and for keeping their books and records as specified by industry watchdogs. Most recently,… Read More >>
Fears Over Liquidity Risk Spur SEC, FINRA Into Action
Better liquidity risk management amid volatile markets has become the new byword for regulators. The SEC is trying to rein in liquidity issues for mutual funds and exchange traded funds (ETFs) while independent regulator the Financial Industry Regulatory Authority is targeting liquidity problems for broker-dealers, even citing the liquidity risks that “played a large role… Read More >>
