The North American Securities Administrators Association (NASAA) recently published a significant report which evaluates the implementation of Regulation Best Interest (Reg BI) by broker-dealers. The research, led by the NASAA Broker-Dealer Section Committee, is part of Phase II (B) of its National Examination Initiative.
The report has gathered attention not merely for its findings, but for the structured presentation of the Committee’s analysis and the identification of activities labeled as, “presumptive breaches” of Reg BI. The report, prepared by the experienced team of Bressler, Amery & Ross, P.C., could serve as a valuable resource for professionals working in the field.
The key areas of concern highlighted in the report include, among others, the formulation of policies and procedures, disclosure of conflicts of interest, and the upkeep and enhancement of systems and controls. There has been an increased governmental emphasis on transparency and accountability in financial services, with regulators seeking to upgrade standards, particularly around customer protection and satisfaction.
With an evolving legal landscape, it is crucial for legal professionals working with corporations and law firms to stay updated on changes to regulations and related legal proceedings. This report’s findings could aid in refining current approaches and anticipating future legal and regulatory requirements.