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Implementing KYP: Client Conversations and Firm Preparedness

Throughout the CFR journey to date, InvestorCOM has met with more than 50 dealers and helped dozens meet their KYP requirements.  We’ve been fortunate to participate in meaningful conversations with wealth leaders to discuss how to implement the principles-based nature of the Client Focused Reforms. Reflecting on the approach firms are taking towards implementing a […]

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Advisors Require Tech as Pre-trade Obligations Grow

Firms that deliver on digital documentation and disclosure will reduce audit risk The wealth industry has faced an unprecedented wave of new regulations over the last decade, and 2022 may be the most challenging regulatory year yet for firms. In Canada, the client-focused reforms (CFRs) will be in effect in the new year. In the U.S. regulation […]

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Reg BI’s Care Obligation Under Scrutiny by SEC

On March 3, 2021, the US Securities and Exchange Commission (SEC) Division of Examinations announced its examination priorities including a greater focus on Regulation Best Interest (Reg BI). Reports from October 2021 suggest the SEC is making good on its promise by sending a large number of broker-dealers Reg BI exam deficiency letters. Reg BI […]

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A Manual Compliance Process is Not Enough: Fiduciary Rule 3.0 and PTE 2020-02

The window for firms to meet compliance for PTE 2020-02 is getting shorter. In October 2021, the DOL stated that all proper processes need to be in place by January 31, 2022 and documentation and disclosure by June 30, 2022. InvestorCOM hosted a roundtable event “Preparing for PTE 2020-02” which facilitated a collaborative discussion with […]

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Data and Technology Challenges When Meeting Fiduciary Rule 3.0 Obligations

The PTE 2020-02 deadline is coming up, and firms must ensure that they have the proper processes by January 31 2022, and documentation and disclosure in place by June 30, 2022. To address the industry’s questions and concerns, and to share approaches firms are taking to meeting compliance, InvestorCOM recently hosted a roundtable event “Preparing […]

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Approach Fiduciary Rule 3.0 and PTE 2020-02 with a Long-term Lens

December 20 is just around the corner, which means time is quickly running out to meet compliance for PTE 2020-02. In preparation for the looming deadline, InvestorCOM recently hosted a roundtable event “Preparing for PTE 2020-02” to address the industry’s questions and concerns, and to share approaches firms are taking to meeting compliance. One interesting insight […]

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Meeting New KYP Requirements Without Restricting Shelves

In response to recent know-your-product (KYP) regulations on both sides of the border, some of the industry has focused on reducing product shelves and in some cases eliminating third-party products altogether. The intent of the new regulations is to ensure that advisors consider a reasonable range of alternatives when making a recommendation. By pruning their […]

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When Making Rollover Recommendations, Is Educating Investors Enough?

When it comes to making best interest rollover recommendations, some financial professionals and their respective wealth management firms are evaluating whether an educational or an advice-based approach is needed to meet the Department of Labor’s (DOL) Prohibited Transaction Exemption (PTE) 2020-02 requirements. For context, the DOL’s PTE 2020-02, “Improving Investment Advice for Workers & Retirees,” is […]

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Reg BI Enforcement Is Ramping Up: Are You Ready?

Prior to the Reg BI implementation deadline, many saw the principled-based regulation as the most significant enhancement of conduct standards since the passing of the Securities Act. Fast forward to today, and the Securities and Exchange Commission (SEC) has conducted several fact-finding exercises, onboarded key personnel and begun to take noticeable enforcement action. In short, […]

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How Financial Professionals are Thriving under Reg BI

Over the past decade, the wealth management industry has grappled with a fair share of regulatory change. For many, the mushrooming regulatory change is no longer an exception, but an expectation. In the past year, many wealth managers and financial professionals were focused on meeting the requirements of Regulation Best Interest (Reg BI). In summary, […]

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