MyComplianceOffice Blog

During the webinar Conduct, Compliance and Ethics in Capital Markets, an executive panel with speakers from FINRA, Northern Trust Corporation, MCO and Greenwich Associates discussed how technology and data management are key to an effective conduct risk strategy.

The U.S. Securities and Exchange Commission (SEC) recently released it’s report of enforcement actions for their fiscal year 2021 ending on September 30. 697 companies were hit with violations this year.

New actions were included against emerging threats in the crypto and SPAC spaces, but there was still plenty of enforcement in more traditional areas like insider trading, inadequate disclosure and breaching of fiduciary duty.

What types of misconduct landed individuals and firms on the SEC’s radar this year?

A consulting firm partner who was advising a global bank on the acquisition of a FinTech loan processing firm was charged by the U.S. Securities and Exchange Commission on two counts of securities fraud for illegal trading using material nonpublic information (MNPI). In a parallel action, criminal charges were also filed in the state of New York that bring a maximum sentence of twenty years in prison.

It’s that time of year again! The end of the year brings opportunity for corporate gift giving and holiday events—and with that ample risk for conflicts of interest.

Are your gifts and entertainment policies wrapped up in anticipation of the upcoming holiday season?

Special Purpose Acquisition Companies (SPACs) are a hot topic in the news right now—and an issue that’s been on the mind of SEC Chair Gary Gensler as well. In remarks at several events over the past few months he’s voiced concerns that SPACs can leave investors vulnerable and at risk.

The SPAC process leaves individuals and firms open to conduct risk and conflicts of interest along the way. And even as SPACs are in the limelight these days, it’s important to remember that there’s ample room for conduct risk in a traditional Initial Public Offering (IPO) as well.