The U.S. Securities and Exchange Commission has released its 2024 examination priorities.
The United States Securities and Exchange Commission released its 2024 examination priorities report on Oct. 16. The agency’s Division of Examinations has been publishing similar reports for over a decade to let its registrants know the emerging risks it will be focusing on. Crypto dealer-brokers, among others, have been given notice.
The division was looking at registrants that offer new practices, “particularly technological and online solutions that service online accounts aimed at meeting the demands of compliance and marketing,” such as “automated investment tools, artificial intelligence, and trading algorithms or platforms.”Examinations will look at how well registrants meet standards of conduct regarding customer advice and their understanding of the products the registrants offer.
Interesting to see that the SEC has identified prep for T+1 as an examination priority for brokers in 2024. The list is usually focused on things less plumbing-related, but it shows they're going to be getting the red pens out before May next year.The Division of Examinations has published examination updates before, but this is the first time one has appeared at the beginning of the new fiscal year.