Are you keeping pace with the hot topics of our industry? Staying current and compliant is not always easy with the frequency of regulatory change. In fact, it’s been said that our industry is a victim of “regulatory whiplash” these days.

Regulatory changes and examination priorities often lay the groundwork for continuing education priorities, changes in company procedures, and new exam topics. To keep you in the know about these priorities, below is a list of five of this year’s hot topics:

  • Recidivist brokers: These are reps with repeat disclosures or complaints in their backgrounds. Do firms have appropriate hiring and supervisory procedures for dealing with the added risks?
  • Senior investors: Every year, about 6 million of this over age-60 demographic are swindled out of more than $2.9 billion. Do firms have the right controls to protect senior investors from fraud, abuse and improper advice? Are they monitoring against microcap fraud schemes, which have recently targeted and been damaging to this vulnerable group?
  • Cyber Security: Is the industry responding to these threats as one of their top concerns? Are employees aware of new avenues of attacks, and are procedures in place to help reduce vulnerabilities?
  • Social media and electronic communications, retention and supervision: Have firms updated compliance and supervisory procedure for today’s communication channels? Do reps and associated persons know the rules and limitations?
  • Supervisory Controls: Although this topic is expansive, a couple of areas that are in the spotlight are whether firms can monitor and detect short-term trading of long-term investments, and concentrations of positions within accounts. These concerns relate to suitability obligations – a topic that is never far down the list.

Two Publications to Keep You Aware

The list above only scratches the surface. See below for two excellent resources that give you more depth on these and many other hot topics.

Why We Care

Knopman Marks Financial Training is committed to ensuring Series exam candidates are well prepared and confident about their exam experience. We carefully monitor regulatory changes and new areas of focus – like those listed above — to be sure our exam prep materials reflect the most current topics as test banks change.  We are here to help every step of the way. Check back often for more timely information to keep you in the know! Contact us at [email protected] with any questions.

Written by Marcia Larson
Marcia Larson is Vice President, Faculty, at Knopman Marks Financial Training, New York, NY. She has extensive experience in financial licensing and regulatory training, having authored, developed and presented courseware for numerous securities and insurance exam preparation and continuing education and compliance programs. Before joining Knopman Marks, Marcia was Director of Annuity Products and Business Development at CUNA Mutual Group, where she developed and marketed industry-leading annuity products and retirement solutions and implemented distribution relationships. She was previously VP, Securities Products for Kaplan Financial, managing securities training products and subsequently, international training and businesses development. Marcia has trained thousands of financial industry exam candidates throughout their careers, and also college students as an adjunct professor. Marcia was a summa cum laude graduate of Wartburg College with degrees in Business Administration and Piano Performance. Marcia also holds the designations of Chartered Financial Consultant® (ChFC®), Chartered Life Underwriter (CLU®), Certified Employee Benefit Specialist (CEBS), and Fellow Life Management Institute™ (FLMI®). She currently teaches the SIE, Series 6, 7, 24, 50, 52, 63, 65, and 66 exams.