Compliance Solutions for Investment Advisers

Enforcement Report

An enforcement report from the North American Securities Association slated for release this Thursday (November 7, 2013) finds the following deficiencies among mid-sized firms that made the switch from SEC to State registration:

  • Unlicensed investment adviser representatives;
  • Failing to document suitability in their investment recommendation; and
  • Not providing appropriate privacy notifications to clients.

All easily rectified (and avoided).

2012 enforcement actions resulted in $694 million in restitution and $115 million in fines and penalties.

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