Regulator launches target examination to gauge values and how they influence brokerages’ ability to adhere to securities rules
Feb 18, 2016 @ 1:10 pm | By Mark Schoeff Jr. | Investment News
Finra has launched a target examination designed to evaluate brokerages’ “firm culture.”
The Financial Industry Regulatory Authority Inc. posted on its website Thursday the examination letter, which outlines eight questions the organization’s examiners will use to assess a firm’s “cultural values” and how they influence its ability to adhere to securities rules.
Firms will be asked to summarize how they establish, implement and measure policies that form their culture, how they find and respond to compliance violations, and how they identify rogue “subcultures.”
The well-attended Blue Vault session at the recent National Planning Holdings National Conference was very well received. The value of their products was evidenced by the volume of questions from the attendees. Stacy Chitty, Managing Partner, did an excellent job of explaining the history, strategy and value of Blue Vault data.