Financial Services

The relentless upheaval of the past few years has uniquely affected the global financial services sector. And regulators are responding. With new rules proliferating, Rich Cooper of Fusion Risk Management says it’ll only get tougher from here, so organizations need to become proactive. Over the past several years, organizations across all industries have faced numerous unprecedented disruptions, including a global...

This April, FinCEN brought its first-ever enforcement action against a trust company since the agency’s founding in 1990 —a $1.5 million penalty that could change the shape of financial services compliance going forward. Ian Herbert and Leah Moushey of Miller & Chevalier break down the case and what other trust companies could learn from it. Namely that check-the-box compliance efforts...

Emojis are a common and valid form of modern expression, but like any other form of speech, companies need strict policies and procedures around their use. Don’t believe that? Ask the SEC about rocket ship and money bags emojis. Theta Lake’s Susannah Hammond breaks down a recent NFT-related court ruling and what it means for companies across all industries. When...

Financial institutions may have adopted methods of detecting fraud in real time, but money laundering detection remains an after-the-fact judgment. Finserv specialist Sujata Dasgupta explores how one bank’s adoption of EU guidance could chart a path forward for true money laundering prevention. Financial services have undergone tremendous transformation in terms of speed, channels, products and reach — and even expanded...

So far, financial institutions are mostly using AI to improve the customer experience. But as Alex Roberto of Phaxis argues, there may be some good reasons why banks and other institutions aren’t yet embracing AI — their systems and technology won’t let them. The potential for artificial intelligence to revolutionize our lives and enhance experiences is well-documented. Many of us...

The capital and credit access challenges facing many business owners in today’s turbulent inflationary environment mean that some may pursue questionable financing options offered by unscrupulous parties in the form of predatory lending. Jason Keller and Emily Redig of Wolters Kluwer look at the factors that can lead to predatory practices and how to mitigate those risks to foster compliant,...

Few issues shaping the private equity ecosystem promise to be as transformational as ESG. For the better part of the past decade, in one form or another, ESG has evolved from a “nice to have” item relegated to the final minutes of boardroom discussions and portfolio company management meetings to a new category of fraud risk and a material compliance...

Reg BI says brokers should act in the best interest of their retail customers, but are they? Sarah Hutchins and Corri Hopkins of Parker Poe dig into the details of the SEC’s first Reg BI enforcement action and consumer claims to reveal where advisers are still being tripped up. Broker-dealers face increasing risks tied to a 2019 regulation that had...

Financial institutions have enjoyed a fairly easygoing regulatory environment in recent years. Combined with strong economic performance, that’s meant a certain amount of coasting when it comes to enhancing their compliance management systems. But the time for relaxation is over, and as Capco’s Pamela Buckley explains, institutions need to take a hard look at all levels of their compliance programs....

Despite widespread efforts to ban problematic communication apps like WhatsApp and WeChat, only 3% of compliance leaders strongly believe those bans are effective, according to new research from compliance software provider Global Relay. Global Relay’s small survey of 39 global compliance officers, mostly in the financial services industry, found that while 59% had banned WhatsApp and similar apps as a...

A newly issued SEC Division of Examinations risk alert indicates that newly registered advisers may be failing to uphold several of their legally mandated requirements. Nutter’s Mark Tarallo digs into the agency’s alert — and what advisers need to know. For the past several years, the SEC’s Division of Examinations has prioritized examining newly registered advisers within a reasonable period...

Insights from investment industry sponsors, investors and service providers LP and GP Relations in Flux Amid Economic Volatility 2023 Investment Funds Outlook About this report from Barnes & Thornburg: After a several-year stretch of record gains and robust capital inflows, private investment funds are now navigating increasingly volatile economic terrain. As has been well publicized, 2022 saw double-digit decreases in...