The U.S. Supreme Court, in a 9-0 ruling, curtailed the Securities Exchange Commission’s authority to recover ill-gotten profits from defendants.  The Court ruled that the SEC’s recovery remedy known as “disgorgement” is subject to a five-year statute of limitations.  Disgorgement is commonly defined as the act of returning profits gained from illegal or unethical acts […]

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As expected, the Department of Labor (DOL) has made official its proposal to delay implementation of its fiduciary rule by 60 days.  The rule was originally slated to become effective on April 10.  However, a President Trump directive to review the rule, with an eye to modify or repeal, led the DOL to propose a […]

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New Consolidated Rule for Personal Trading Accounts April 3, 2017, is the effective date of FINRA’s new consolidated Rule 3210, Accounts at Other Broker/Dealers and Financial Institutions. This rule consolidation replaces NASD Rule 3050 and incorporates NYSE Rules 407 and 407A as well as NYSE Rule Interpretations 407/01 and 407/02. When an associated person of […]

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IAs will be required to maintain additional materials related to the calculation and distribution of performance information beginning October 2017. Currently, advisers are only required to maintain records supporting performance claims that were distributed to 10 or more people. The amendments will now require this type of documentation to be kept for all information supporting […]

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