Compliance & Regulatory Updates

To Disclose or Not to Disclose – Is a PPP Loan “Material?”

PPP loans, which are intended to support company payrolls during the COVID-19 shutdown, have been a source of great debate in the Registered Investment Advisor space.  Are they material?  If my RIA applies for and receives a loan, do we have to disclose it as a material event on our Form ADV Part 2A? The… READ MORE

New Podcast: Conducting Remote Supervision in Your Transitioning Workplace

Regulators expect both offsite and onsite monitoring of offices and employees due to the heightened risk inherent in remote arrangements.  The work-at-home orders issued by the States in response to the pandemic have created supervision challenges for firms.  While some consider the present state the “new normal,” no one really knows how and when this… READ MORE

Remote Supervision in the Pandemic World

The SEC and FINRA have long held that broker-dealers and investment advisers are required to supervise their employees’ conduct in order to prevent and detect violations of the securities laws.  Moreover, the regulators have emphasized that remote or offsite offices and employees require particularly vigilant supervision. Regulators expect both offsite and onsite monitoring of offices… READ MORE

Increases Expected in Pandemic-Related Securities Litigation

Recent webinars and articles have centered around the issues the securities industry will confront as a result of the pandemic and market turmoil.  We have compiled relevant information from those sources and added our own observations based on our previous experience. Based on past market downturns, firms can expect a wave of litigation stemming from… READ MORE

More States Adopt Disbursement Hold Regulations to Protect Senior and Vulnerable Adults

As the population dynamics in the Unites States moves towards an unprecedented number of baby boomers entering their retirement years, federal and state regulators and FINRA have enacted regulations, examination priorities and enforcement efforts to protect the assets of senior and vulnerable adults. In 2020, the states of New Jersey (April 12th), West Virginia (June… READ MORE

New Podcast: SEC Issues Anticipated Exemptive Relief for Consolidated Audit Trail (CAT)

The Consolidated Audit trail (CAT) is moving forward and the SEC has released new exemptive relief dates for parts 2a (Equity reporting) and 2b (Options reporting).  The SEC has also provided exemptive relief for introducing brokers. In this episode, Oyster Consultants Ralph Magee and Jeff Call discuss what firms should be doing around certifications, linkages, testing validation and… READ MORE