US Securities and Exchange Commission Developments
Speeches and Statements
Clayton invites comments on conduct standards for investment advisers and broker-dealers. SEC Chairman Jay Clayton invited the public to submit comments by web form or email on possible standards of conduct applicable to investment advisers and broker-dealers. The request poses several questions addressing various aspects of possible standards for investment advice as well as other potential regulatory actions by the SEC. (6/1/2017) Clayton statement.
Selected Enforcement Actions
Brokerage firm charged with violating anti-money laundering compliance requirements. The SEC brought contested civil charges against a Salt Lake City-based brokerage firm for failing to comply with anti-money laundering requirements in connection with transactions for microcap stocks that allegedly were used in manipulative schemes. The SEC alleged that the firm systematically failed to file Suspicious Activity Reports for transactions it flagged as suspicious. In cases where it did file SARs, the firm often omitted the information that formed its basis for suspecting that a transaction was suspicious. The SEC charged the firm with thousands of violations of Section 17(a) of the Securities Exchange Act and Rule 17a-8. (6/5/2017) SEC press release.
Investor Advisory Committee meeting. The SEC announced that a public meeting of its Investor Advisory Committee will take place on June 22, 2017. Written statements to the Committee are due on or before June 22, 2017. SEC meeting notice.
SEC report on internal supervisory controls. The SEC published the annual report it submitted to the Senate Banking Committee and House Financial Services Committee on its internal supervisory controls applicable to staff who conduct examinations of registered entities, enforcement investigations, and reviews of corporate financial securities filings. (6/5/2017) SEC report.
SEC adjusts transaction fee rates. The SEC announced that, beginning on July 4, 2017, the fee rate applied to most securities transactions under Sections 31(b) and (c) of the Securities Exchange Act will be set at $23.10 per $1,000,000. The assessment on security futures transactions will remain unchanged at $0.0042 for each round turn transaction. (5/31/2017) SEC order.
Staff announcements. The SEC announced the appointment of Peter Uhlmann as the managing executive in the Office of Chairman Jay Clayton. (5/25/2017)
SEC report details plans for fiscal year 2018 budget request. The SEC submitted its Congressional budget request for fiscal year 2018. The SEC explained that it would use the requested $1.602 billion budget to adopt technologies to support the SEC’s economic and risk analysis functions; maintain the investigative and litigation capabilities of the SEC’s enforcement program; and continue risk-based examinations of investment advisers and other entities, among other priorities. (5/23/2017) SEC report.
April 2017 money market fund statistics. The SEC’s Division of Investment Management published updated money market fund statistics, which include data as of April 30, 2017. (5/23/2017) Money market fund statistics.
SEC, MSRB announce webinar on professional qualification requirements for municipal advisors. The SEC and the Municipal Securities Rulemaking Board will co-host an educational webinar on June 15, 2017, to assist municipal advisors in understanding their professional qualification requirements, including the new requirement that municipal advisor representatives pass the MSRB's Municipal Advisor Representative Qualification Exam. (5/23/2017) SEC press release.