Updated Guidance Issued on Exemption Reporting

Recently, the SEC and FINRA issued Frequently Asked Questions (FAQs) concerning the exemptive provisions of SEC Rule 15c3-3 and reporting under SEC Rule 17a-5 for monthly and quarterly Focus reports, annual Exemption reports and for updating membership agreements. Who is Affected? The FAQs relate to Non-Covered firms, broker-dealers that do not: meet any of the… READ MORE

What makes a strong FINOP?

FINRA requires all broker-dealers to designate a Principal Financial Officer (PFO), Principal Operations Officer (POO) and a Financial and Operations Principal (FINOP). Each of these positions must have passed the appropriate licensing exam to be registered as a Financial and Operations Principal (Series 27 or 28), depending on the broker-dealer’s business. In small firms, these… READ MORE

FINRA Issues FOCUS Report Guidance – Operating Lease Reporting

On March 19, 2019 the Financial Industry Regulatory Authority (FINRA) issued Regulatory Notice 19-08, providing guidance on reporting operating lease assets and liabilities on their Focus reports. Background On October 23, 2018, the SEC issued a no action relief letter (the Letter) stating that, absent relief, the right-to-use asset would be a non-allowable asset in… READ MORE