Tr?id=566623520170033&ev=PageView&noscript=1

ÍøÆØ³Ô¹Ï

SEC Examiners to Target Complex Products, Annuities, Non-Traded REITs in Reg BI Investigations

Posted on February 27th, 2023 at 3:26 PM
SEC Examiners to Target Complex Products, Annuities, Non-Traded REITs in Reg BI Investigations

The Securities and Exchange Commission’s (SEC’s) Examinations Division will target advisors’ recommendations of complex derivatives and leveraged ETFs, as well as annuities and nontraded REITs in Regulation Best Interest (Reg BI) investigations in 2023. 

The SEC has published its annual Exam Priorities this week, which additionally noted that examiners will closely monitor the recommendations that advisors provide to clients on proprietary products and microcap securities. Examiners evaluating Reg BI compliance will review investment advice, disclosures provided to clients, and the processes firms employ to ensure that advisors make best-interest recommendations, according to the SEC. “Examinations may also focus on recommendations or advice to certain types of investors, such as senior investors and those saving for retirement, and specific account recommendations, such as retirement account rollovers and 529 plans”, according to the SEC’s report. 

Examiners also are expected to closely monitor firms that recommend cryptocurrency products, particularly amidst “recent financial distress among crypto asset market participants”, according to the SEC. The examiners additionally will scrutinize firms’ procedures for responding to cyberattacks as well as the practices used to protect confidential customer information. 

ÍøÆØ³Ô¹Ï LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

Tags: Eccleston, ÍøÆØ³Ô¹Ï

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

I just wanted to say thanks again for preparing and executing my case in such a professional manner. It was a pleasure to watch two professionals take such pride in their work, as well as becoming personally in tune with your client (Me). I would personally recommend you and your firm to anyone.

John O.

LATEST NEWS AND ARTICLES

1778171646 Law
May 7, 2026
FINRA Bars Former Raymond James Broker for Refusing Testimony in Unauthorized Trading Probe

A former registered representative with Raymond James has been barred from the securities industry after refusing to cooperate with a Financial Industry Regulatory Authority (FINRA) investigation into alleged unauthorized trading activity.

1778084309 Law
May 6, 2026
FINRA Outlines Key Rulemaking Priorities and Recent Developments in Quarterly Agenda

The Financial Industry Regulatory Authority (FINRA) recently released its Quarterly Regulatory Policy Agenda, offering a detailed view of its rulemaking priorities, pending proposals, and recently approved regulatory changes.

1778000603 Law
May 5, 2026
Commonwealth Financial Network Resolves SEC Conflict of Interest Case

Commonwealth Financial Network has agreed to pay $5 million to resolve a long-standing conflict of interest case brought by the Securities and Exchange Commission, according to reporting by ThinkAdvisor.