Quarterly U.S. Regulatory Roundup – Fourth Quarter 2020

In the latest edition of the U.S. Regulatory Roundup, Duff & Phelps' Compliance and Regulatory Consulting practice outlines updates, enforcement and judicial actions from the SEC, FINRA, NFA and regulatory news related to COVID-19 from the fourth quarter of 2020.

COVID-19 Resources

• Duff & Phelps COVID-19 Resource Center
• FINRA COVID-19 Task Force
• SEC COVID-19 Frequently Asked Questions

For a detailed synopsis of the recent news and publications issued by the Financial Conduct Authority (FCA), read our December 2020 Regulatory Focus Newsletter.

For additional news and developments, visit Global Relay’s blog.

U.S. Securities and Exchange Commission (SEC) Update - Fourth Quarter 2020

• SEC Renames Office of Compliance Inspections and Examinations
• SEC Updates Regulatory Framework for Fund of Funds Arrangements
• SEC Adopts Modernized Regulatory Framework for Derivatives Use by Registered Funds and Business Development Companies
• SEC Updates Auditor Independence Rules
• SEC Harmonizes and Improves “Patchwork” Exempt Offering Framework
• Risk Alert: Observations from Examinations of RIAs—Supervision, Compliance and Multiple Branch Offices
• SEC Adopts Rules to Facilitate Electronic Submission of Documents
• Risk Alert: Investment Adviser Compliance Programs
• SEC Adopts Modernized Marketing Rule for Investment Advisers

Financial Industry Regulatory Authority (FINRA) Update - Fourth Quarter 2020

• FINRA Alerts Firms to Phishing Email Requesting Them to Respond to Fraudulent FINRA Survey
• Cyber Security Background: Authentication Methods
• FINRA Adopts Rule to Limit a Registered Person from Being Named a Customer’s Beneficiary or Holding a Position of Trust for or on Behalf of a Customer
• Broker-Dealer, Investment Adviser Firm, Agent and Investment Adviser Representative and Branch Renewals for 2021

National Futures Association (NFA) Update - Fourth Quarter 2020

• CFTC Unanimously Approves a Final Rule Amending Form CPO-PQR
• CFTC Staff Issues Advisory on Virtual Currency for Futures Commission Merchants
• Coronavirus Update—Relief from the Onsite Annual Inspection of Branch Offices and Guaranteed IBs
• CFTC Approves Amendments to Swap Clearing Requirement Exemptions
• CFTC Unanimously Approves Final Rule for Granting Exemptions from Derivatives Clearing Organization Registration
• CFTC Staff Extends Existing Brexit-Related Relief to Provide Market Certainty

Enforcement Matters - Fourth Quarter 2020

• Opening Remarks at National Investment Adviser/Investment Company Compliance Outreach 2020: The Role of the CCO—Empowered, Senior and With Authority
• CFTC Charges Wisconsin Firm and its Manager with Registration, Disclosure and Recordkeeping Violations
• SEC Wins Virtual Bench Trial Against Analyst Charged with Aiding and Abetting New York Pension Fund Pay-To-Play Scheme
• SEC Charges Investment Adviser with Fraudulent Securities Offering
• SEC Charges Former Finance Department Employee with Insider Trading
• SEC Settles with Investment Adviser Who Failed to Disclose Conflicts of Interest and Misled Advisory Clients About the Terms of Their Investments
• SEC Charges Corporate Controller and Brother-in-Law with Insider Trading Ahead of Merger Announcement