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Challenges Persist: Firms Struggle to Comply with Regulation Best Interest

February 20th, 2024 at 1:26 PM
FINRA's annual report for 2024 reveals a concerning trend among broker-dealers, with numerous instances of violations of Regulation Best Interest (Reg BI).
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FINRA Flags Violations in 70% of Broker-Dealers' Crypto Communications

February 19th, 2024 at 1:54 PM
During a two-year-old targeted examination, the Financial Industry Regulatory Authority (FINRA) has identified potential violations in 70 percent of broker-dealers' communications about cryptocurrencies.
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Major Investors Opt Out of Class Actions, Pursue Larger Recoveries

February 16th, 2024 at 1:59 PM
Large shareholders increasingly are choosing to opt out of class-action settlements, a trend that has gained momentum since a pivotal US Supreme Court ruling altered the landscape.
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New Jersey Advisor Faces Charges for Alleged $89 Million Investor Fraud Scheme

February 15th, 2024 at 2:42 PM
Raymond John Pirrello Jr., a barred New Jersey advisor, has been indicted on three counts, including securities fraud conspiracy and wire fraud conspiracy, for allegedly defrauding investors of nearly $89 million.
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FINRA Adopts New Rules for Remote Inspections and Home Offices

February 14th, 2024 at 11:50 AM
The Financial Industry Regulatory Authority (FINRA) has implemented new rules to enhance its remote inspections pilot program and address home offices as "residential supervisory locations."
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Robinhood Settles Regulatory Action and Agrees to Overhaul Gamification Practices

February 13th, 2024 at 1:44 PM
After a prolonged legal battle with the Massachusetts Securities Division, Robinhood has agreed to pay $7.5 million and revamp its digital engagement practices, according to Secretary of the Commonwealth William Galvin.
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FINRA Sanctions Former Edward Jones Financial Advisor for Unauthorized Trades

February 12th, 2024 at 10:57 AM
A former Edward Jones financial advisor in San Francisco, Jilena Yuen-Han Mok, has been fined and suspended by the Financial Industry Regulatory Authority (FINRA) for engaging in unauthorized trading.
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New "XXXX" Exchange-Traded Notes Draw Attention

February 9th, 2024 at 11:21 AM
A recently introduced investment strategy in the United States is gaining attention for its amplified stock leverage.
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FINRA Issues Warning Amid Surge in "Investment Group" Frauds on Social Media

February 8th, 2024 at 2:27 PM
The Financial Industry Regulatory Authority (FINRA) reports a surge in investor complaints related to fraudulent "investment groups" exploiting social media platforms.
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FINRA Takes Action Against Former Cambridge Advisor for Annuity Exchange Violations

February 7th, 2024 at 3:10 PM
Malay Kumar, a former advisor affiliated with Cambridge Investment Research, recently agreed to settle a disciplinary matter brought by FINRA. The AWC (Acceptance, Waiver, and Consent) reflects a $10,000 fine and a 12-month suspension. The settlement revealed that Kumar recommended a series of variable annuity exchanges that violated Reg BI.
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