Compliance Isn’t the Enemy of Growth Anymore, They Are Complimentary

On Demand Webinar

Compliance has long been seen as a defensive function – necessary but burdensome, a cost center rather than a contributor to business success. But if there was one key takeaway from InvestorCOM’s recent webinar with compliance leaders and former regulators, it’s this: compliance, when executed strategically, can be a growth enabler.

Compliance in 2025 and Beyond: A Strategic Imperative

With 63% of retirement assets being advisor-led rollovers, wealth management firms sit at the intersection of regulation and a $1 trillion opportunity. That makes compliance more than just a checklist. It’s a competitive differentiator.

“Fewer regulators does not mean fewer risks,” warned Anna Petrovich, Director at Kroll and former SEC staffer. She emphasized that just because enforcement may appear softer under certain administrations, the statutory obligations remain unchanged. Regulators are still watching – only now they’re watching with AI.

From Reactive to Proactive: The Cultural Shift

What separates the firms merely surviving from those thriving? A culture of proactive compliance. Armin Sarabi, Managing Director at Bates Group, laid it out plainly: “There’s real value in being proactive. A reactive firm is always playing catch-up – and that’s where you make mistakes.”

He called out three major missteps firms still make:

1. Assuming deregulation signals safety.
2. Siloing compliance from other functions.
3. Underinvesting in technology.

It’s the last point where the transformation really takes shape. Sarabi affirms “No matter how good your manual processes are, you can still run into inefficiencies that leave your business at risk”.

Technology Is Necessary for a Strong Compliance Function

Technology is no longer optional. In fact, firms not embracing #RegTech are already behind. From tech enabled email review to real-time documentation tools like RolloverAnalyzer, the modern compliance function must be built on scalable, intuitive platforms.

Jessica Sexton, Chief Compliance Officer at Independent Advisor Alliance, explained how her team scaled from 10 to 250 advisors. “What worked with 10 doesn’t work with 250. Our manual processes were not sustainable,” she said. “Technology like InvestorCOM helps us be both audit-ready and more collaborative with clients. [RolloverAnalyzer] saved us a lot of time we spent scrambling with clients to gather all the information, now everything is all in one place”

The result? Less friction at the client level, better advice, and greater trust.

Advisors Win, Too

A digital compliance program is just as good for the back office as it is for protecting advisors. As David Schneer, General Counsel at NewEdge Capital Group, pointed out, “Our advisors didn’t realize how exposed they were with inconsistent or manual documentation. Giving them the tools to protect themselves aligns compliance with their drive to grow.”

The alignment here is critical. Good systems and strong compliance practices is how top firms attract top talent and win new clients in a competitive landscape.

Reframing Compliance as a Business Ally

To truly unlock growth, firms must stop treating compliance and revenue generation as mutually exclusive. “Sustainable growth demands more compliance, not less,” said Petrovich. Her coaching advice to compliance officers: don’t lead with ‘no’ – lead with ‘yes, if…’ There is usually a solution to collaborate with all teams and achieve everyone’s respective priorities without compromising adherence.

When compliance teams become business partners rather than gatekeepers, innovation accelerates. The best compliance professionals now think like product strategists – deeply understanding client goals while safeguarding the firms reputation.

Looking Ahead: The Technology Edge

If the future of compliance is scale, then AI is its engine. Sarabi was blunt: “If you’re not leveraging technology today, you re giving your competition the upper hand.”

Beyond automation and efficiency, Regech introduces a new level of defensibility. It minimizes advisor error, standardizes simple manual processes, and allows compliance and supervision teams to focus on strategy rather than form-filling.

But it also raises the bar.

As Petrovich warned, “Technology will raise expectations. Regulators will ask: ‘If your peers are doing this, why aren’t you?’”

Turning Insight Into Action: Start With a Gap Analysis

Understanding that compliance can drive growth is the first step. Now, putting that into practice is where leading professionals will take action. For teams ready to assess how their compliance posture is limiting growth, a compliance gap analysis can be a powerful next step.

As Armin Sarabi shared during the session, “We’ve helped firms explore where their current compliance setup creates friction – and where smarter processes or technology could unlock significant scale.”

The complimentary conversation is a strategic exploratory review that helps uncover:

• Operational inefficiencies
• Risks hidden in manual processes
• Opportunities for RegTech adoption
• Alignment gaps between compliance and business strategy

“This kind of diagnostic review gave us a starting roadmap to a more proactive, business-aligned compliance framework.” – Sr Compliance Officer

Compliance isn’t Going Away

Today’s most forward-looking firms understand that embedding compliance into operations, culture, and client service creates lasting value.

In the words of Sarabi, “You can either treat compliance as a checkbox – or as a competitive edge. The choice is yours.”

Jessica Sexton, Chief Compliance Officer, Independent Advisor Alliance

Jessica Sexton has served as IAA’s Chief Compliance Officer since February 2014. Her primary responsibilities are to proactively identify, evaluate, manage, and report on compliance and ensure IAA’s compliance with outside regulatory requirements and internal policies. As an executive leader, Jessica also manages human resource responsibilities for the firm.

Jessica started her financial services career in 2006 at LPL Financial in New Accounts, where she was promoted to Supervisor and then Manager. Prior to joining IAA, she served as an OSJ- delegate for TriCapital Financial Group, Inc. and Project Manager for Impact Technologies Group, Inc. Her previous experience also includes Claims and Policy Services for Progressive Insurance.

Armin Sarabi, Managing Director, Bates Group

Armin Sarabi works with the Bates Group leadership to evaluate and optimize compliance program structures and risk management systems, bringing in his extensive experience in regulatory compliance, enforcement defense, risk management, and business strategy within the financial services industry.

Before joining Bates, Armin served as Chief Compliance Officer and General Counsel for multiple SEC-registered investment advisers. Throughout his career, he has also provided counsel to a range of financial industry firms and individuals on various matters. He is a member of the National Society of Compliance Professionals and the Investment Adviser Association and has served as an Adjunct Professor of Law at the University of Denver’s Sturm College of Law, where he taught Contract Drafting and Business Negotiations.

Ana D. Petrovic, Director – Financial Services Compliance and Regulation, Kroll

Ana D. Petrovic, Esq., is a Director of Kroll’s Financial Services Compliance and Regulation practice. Ana brings over a decade of diverse experience at the U.S. Securities and Exchange Commission (SEC) to servicing her clients on financial services and regulatory matters. Before joining Kroll, Ana served as an Assistant Regional Director in the SEC’s Division of Enforcement. She oversaw teams based in the SEC’s Chicago Regional Office and the Enforcement Division’s Complex Financial Instruments Unit (CFI). During her tenure at the SEC, Ana held various other senior roles, including Counsel to the former Co-Directors of Enforcement, Senior Investigative Counsel, and a Co-Leader of the Pyramid Scheme Taskforce’s Public Outreach Committee. Prior to the SEC, Ana was a litigation associate at major international law firms. Ana is also a Board Member of the Southern California Compliance Group.

David Schnier, General Counsel – NewEdge Capital Group

David Schnier is the General Counsel of NewEdge Capital Group, a provider of integrated platform services for independent financial advisers that includes technology, investment solutions, brokerage and advisory compliance programs and operational support.

David was formerly the General Counsel and Chief Compliance Officer of the Private Wealth Partners, where he was responsible for all aspects of its broker dealer compliance program as well as the compliance programs of its RIA clients. David has over 20 years of in-house legal and compliance experience working with broker-dealers and investment advisers. Prior to joining The Private Wealth Partners, David spent 9 years at Morgan Stanley Smith Barney, including 3 years as the lead attorney, and later head of business risk and supervision for their U.S. Private Wealth Management Division. David has advised on numerous legal and compliance matters ranging from SEC and FINRA examinations, cross jurisdictional registration and supervision, arbitrations, enforcement actions, and complex business transactions. David received his Juris Doctor from Georgetown University Law School and has a Bachelor of Arts degree in Philosophy from Rutgers University. He is a member of the Securities Regulation Committee of the Business Law Section of the New York State Bar Association and holds FINRA Series 7, 14 and 24 licenses.

Parham Nasseri, President, InvestorCOM

Parham Nasseri has spent his career translating complex regulatory requirements into technology solutions that improve investor and advisor outcomes. He has over 15 years of regulatory and wealth management experience, including senior roles in regulatory analytics, digital transformation, and investment analytics.

Parham currently serves as Vice President, Product & Regulatory Strategy at InvestorCOM, a leading software solutions provider for the financial services industry. He serves on several advisory boards including Ontario Securities Commission’s Investor Advisory Panel, CFA Societies’ Canadian Advocacy Council, The Canadian RegTech Association, and Junior Achievements of Central Ontario. He is also the host of the Wealth Compliance Leaders series.