Purshe Kaplan Sterling allowed its agents to conduct thousands of transactions involving the complex products as investment adviser reps for another firm.
Now that the broker standard of conduct has been in force for 20 months, the debate over its effectiveness is intensifying.
It's the agency's second round of Form CRS compliance cases. The SEC is encouraging firms to self-report delinquencies.
The win follows several losses for Credit Suisse on similar actions brought by former brokers who say they were denied pay when the firm shut down its U.S. private bank.
The request for information comes as the agency is working on a separate final rule on the use of ESG in retirement accounts. But the SEC's climate efforts are bogged down.
Sen. Elizabeth Warren, D-Mass., and Rep. Katie Porter, D-Calif., asked how arbitrators were chosen and whether the firm influenced the selection.
Firms will have to beef up their ability to detect, react to and report attacks, which is easier to do if you have an IT department.
Under the regulation, advisers would have to adopt and implement policies and procedure to address cyber risks and report incidents to the SEC and on their Form ADV.
The Reg BI examination results are part of a 60-page report outlining the regulator's 2022 priorities.
The SEC has rejected several Bitcoin ETF proposals because of concerns about potential investor harm tied to a crypto market it does not regulate.
