October 26, 2018 | Blog Article

The popularity and worldwide adoption of the the Global Investment Performance Standards (GIPS®) by investment management firms is largely due to demand by asset owners. In the interest of risk management, asset owners increasingly require external investment managers to comply with the GIPS standards. Recently, more asset owners have begun to apply the same principles to their own performance reporting and ACA Performance Services is seeing growing interest in attaining GIPS compliance among the asset owner community. 

October 26, 2018 | White Paper

Small banks face significant issues regarding the management of their third-party vendors and the risks they present. While the size of these financial institutions (FIs) may be smaller than their counterparts, the regulatory demands on them are just as extensive.

October 26, 2018 | Blog Article

The US Office of the Comptroller of the Currency (OCC) has indicated that it will be focusing on the effectiveness of anti-money laundering (AML) systems and controls after including the topic on its list of FY 2019 annual priorities. For OCC-regulated banks, this means exams will concentrate on how up-to-date AML and Bank Secrecy Act (BSA) programs are with evolving threats and new rules.   

October 25, 2018 | Blog Article

In early 2017, the Securities and Exchange Commission (“SEC”) approved rule-change proposals submitted by NYSE Arca, Inc. (“Arca”), Bats BZX Exchange, Inc. (“Bats”)1, and NASDAQ Stock Market LLC (“Nasdaq”), (collectively, the “Exchange”). The amended rules, which became effective January 1, 2018, establish continued listing standards for passively and actively managed exchange-traded products (“ETP”).

October 25, 2018 | White Paper

The popularity and worldwide adoption of the Global Investment Performance Standards (GIPS®) by investment management firms is largely due to demand by asset owners. In order to trust investment performance when hiring an outsourced manager, asset owners increasingly require investment managers to comply with the GIPS standards.

October 23, 2018 | Blog Article

Our homes are becoming increasingly connected to the outside world through "smart" devices, which work together over your Wi-Fi network to make your home more comfortable, safe, and convenient. Common smart devices include thermostats, televisions, light bulbs, and surveillance systems.

October 23, 2018 | Survey

We're pleased to announce that we've partnered with the National Society of Compliance Professionals (NSCP) to provide financial services firms with an opportunity to gain insight into cybersecurity compliance programs across the industry.

We invite you to participate in our anonymous survey which aims to aggregate data on cybersecurity program implementation. The survey takes approximately 15 minutes to complete. In 2017, we gathered data on nearly 300 firms. Survey results will be presented in a webcast hosted by ACA Aponix and NSCP.

October 18, 2018 | Article

ACA Compliance Group's Danielle Joseph and Anthony Frattone contributed the following article to the October 18, 2018 Hedge Fund Law Report.

October 17, 2018 | Blog Article

Have you ever downloaded an application on your mobile device and pressed the Next button continuously until the application launches? More often than not, these screens that you pass through without reading are authorization forms allowing the app to access information and execute actions on your device. However, granting apps all access to your phone is a bad idea and can put your privacy at risk. Below are some best practices for securing your mobile device and the apps you install.

October 17, 2018 | Cyber Alert

On October 16, 2018, the U.S. Securities and Exchange Commission (SEC) issued a press release regarding the results of the SEC’s investigative report on “business email compromises” (BECs) perpetrated against nine public companies.

October 16, 2018 | White Paper

Small banks and credit unions face significant issues regarding the management of their third-party vendors and the risks they present. While the size of these financial institutions (FIs) may be smaller than their counterparts, the regulatory demands on them are just as extensive.

October 16, 2018 | Compliance Alert

Recent activity points to the FCA rapidly increasing its focus on market abuse risk, trade surveillance and controls. This activity possibly pre-empts upcoming thematic work or supervision and enforcement work in this area.

October 12, 2018 | Blog Article

The release of the Exposure Draft of the 2020 Global Investment Performance Standards (GIPS®) in August has forced many firms to assess how the new requirements will impact their business, both from marketing and operational perspectives. Not only will this impact firms currently claiming compliance with the GIPS standards, but also those considering doing so.

October 12, 2018 | Compliance Alert

On September 17, 2018, the Municipal Securities Rulemaking Board (“MSRB”) published a revised set of frequently asked questions (“FAQs”) regarding the application of MSRB Rule G-40 to advertising by municipal advisors.

October 11, 2018 | Blog Article

Chief compliance officers (CCOs) and risk and compliance teams know they need regulatory technology to meet ever-increasing regulatory obligations as well as establish best practices for their firm’s governance, risk, and compliance (GRC) program that reduce operational risk and increase operational efficiencies. While the value added by a RegTech solution is clear, understanding the full scope of a GRC technology implementation can be a significant challenge.

October 11, 2018 | Blog Article

In its latest issue of Market Watch published late September, the UK’s Financial Conduct Authority (FCA) outlined a number of observations relating to market abuse surveillance. These should serve as a reminder and encourage investment management firms to review their existing policies, systems and controls in this area.

October 11, 2018 | Blog Article

The implementation deadline for the Securities & Futures Commission (SFC) Fund Manager Code of Conduct (FMCC) is now less than one month away for fund managers with operations in Hong Kong. On November 17, 2018, this new set of rules will come into force, bringing additional governance, operational, and disclosure requirements.

October 11, 2018 | Compliance Alert

Investment advisers are increasingly leveraging technology as a part of their investment process to, among other things, identify sources of alpha, drive efficiencies, offer differentiated and innovative products and deliver investment management services to clients. While the ever-increasing utilization and reliance on technology by investment advisers is to be expected and is likely to continue to proliferate, it is not without risk. 

October 10, 2018 | Survey

Regulators and industry experts have long questioned the flexibility of rule-based monitoring systems to alert on potentially suspicious transactions. The large false positives generated by these systems, changing regulatory landscape and increasing costs only strengthen the need to adopt more advanced methods to find potentially suspicious transactions.

Recently, Artificial Intelligence (AI) and Machine Learning have become the most sought after technology to help with these problems.

October 9, 2018 | Blog Article

In the wake of the recent Facebook breach and other high-profile cyber incidents, cybersecurity experts are predicting that we may see aftershocks and secondary breaches for many years to come. How much personal data was stolen, and how it will be used by cyber criminals, is still unknown.

October 5, 2018 | Compliance Alert

On August 12, 2018, the Securities and Exchange Commission (“SEC”) sent a clarification letter to the Financial Industry Regulation Authority (“FINRA”) with respect to broker-dealers using a third-party recordkeeping service (“service provider”) to preserve records pursuant to Exchange Act Rules 17a‑3 and 17a‑4.

October 4, 2018 | Blog Article

October is National Cyber Security Awareness Month. Each year, ACA Aponix participates in the U.S. Department of Homeland Security's Stop.Think.Connect Campaign to further educate our clients and friends on measures they can take to protect their information, family, and business from cyber threats. Our 2018 theme is Online Safety for Children.

October 4, 2018 | Compliance Alert

The Financial Industry Regulatory Authority’s (“FINRA”) enforcement division brought 129 disciplinary actions against FINRA members during the first half of 2018. The number of fines FINRA assessed during the period represented a significant reduction from the amount in the first half of 2017, during which FINRA levied 168 disciplinary actions against members. The total dollar amount of fines year over year has stayed nearly the same, totaling roughly $30 million for each period.

October 2, 2018 | Cyber Alert

On September 28, Facebook announced that it had discovered a breach affecting nearly 50 million Facebook users. Bad actors exploited the “View As” feature of the site, combined with a video upload feature, to gain access tokens enabling account access.

September 28, 2018 | Cyber Alert

On September 25, the UK Information Commissioner’s Office (ICO) issued an enforcement action against a Canadian data analytics firm. The enforcement action alleges violations by the firm of the EU General Data Protection Regulation (GDPR) and the UK Data Protection Act (DPA). This represents the first GDPR-related enforcement action by the ICO.