Finra Submits Elder-Protection Rule to the SEC
October 24, 2016 | By Alex Padalka | Financial Advisor IQ
Finra has submitted a proposal for SEC approval on amendments to help prevent the financial exploitation of seniors and other vulnerable adults.
The industry’s self-regulator wants to require financial institutions to “make reasonable efforts” in getting contact information for a trusted person for each customer’s account, Finra says in a press release. In addition, the rule would let companies put temporary holds on suspicious disbursements and alert the trusted contact about the hold. The regulator’s current rules don’t explicitly let firms contact non-account holders nor place temporary holds, Finra says in the press release.
The regulator plans to add space for trusted contact information on its new account application templates, which brokerage firms can use on a voluntary basis.
BlueVault saves a lot of time and effort in obtaining good numbers for analysis and provides good insights to compare against my own.