Resources You Can Use

Check out these websites for compliance information that can keep you and your clients out of harm’s way.

Dave Willis

Staying current on the compliance issues has never been more important. These website and resources are a starting point for you to keep up-to-date on federal and state issues that may impact your practice, in addition to information that your clients and prospects may be reading.

Regulatory Resources:

Financial Industry Regulatory Authority
www.finra.org
FINRA was formed in July 2007 through the consolidation of NASD and the member regulation, enforcement and arbitration functions of the New York Stock Exchange. It is the largest nongovernmental regulator for all securities firms doing business in the United States and contains a wealth of information and resources for financial advisors. The site also has a public education/information section at www.finra.org/InvestorInformation/index.htm. Visit this site regularly to find out what FINRA is telling your clients and prospects.

U.S. Securities and Exchange Commission
www.sec.gov or www.sec.gov/info.shtml
SEC’s mission is to protect investors, maintain fair, orderly and efficient markets and facilitate capital formation. Its website contains up-to-date, authoritative and useful information

National Association of Insurance Commissioners
www.naic.org
NAIC helps state insurance regulators serve the public and achieve insurance regulatory goals that protect the public, promote competitive markets, facilitate fair and equitable treatment of consumers, promote the reliability, solvency and financial solidity of insurance institutions and support and improve state insurance regulation. NAIC’s website has a broad range of consumer and industry information, as well as a page (www.naic.org/state_web_map.htm) that offers links to state insurance departments’ websites, where state-specific rules may be posted.

Legal Resources:

Law Firm Websites
Large law firms—and even some smaller ones—provide white papers and other resources that focus on compliance and related issues. To get started, search websites of firms in your area or use resources like FindLaw (www.findlaw.com) or PublicLegal, a site run by the Internet Legal Research Group (www.ilrg.com).

Real Corporate Lawyer
www.realcorporatelawyer.com
This website, sponsored by RR Donnelley Global Capital Markets, is a go-to source for attorneys and others following SEC and its regulations. Current news—including a look at daily changes to the SEC’s website, latest SEC developments and emerging legal issues—is augmented with a resources area that features expert analysis, reference materials and more. Among its more popular offerings is a collection of law-firm papers on various regulatory issues.

Company and Association Resources:

Companies and Broker-Dealers
A first place to turn to is your insurance carrier or broker-dealer. Many offer a range of sources addressing generic compliance issues. More than that, they are the definitive source on their company-specific compliance requirements and practices.

Practice Management Help
AdvisorToday.com, the site you are on, has a wealth of information, ranging from advice on how to manage your business to how to identify customer needs and more. It also has several articles that address compliance-related issues.

Risk Management Advice
www.naifainsurance.com
This is the site where you can get information on the NAIFA-endorsed errors and omissions (E&O) program. Aon’s Affinity Insurance Services, the broker for the program, works with AIG’s New Hampshire Insurance Co. to educate insureds on key issues, including compliance. Existing resources and materials are being revamped and now ones are being developed to help your customers better manage their risks.

Affinity Insurance Services and AIG’s New Hampshire Insurance Co. are also working to develop a train-the-trainer module that will allow more risk-management education programs to take place around the country—in individual firms, at chapter meetings and in other venues. Existing materials and assistance are also available.

As a NAIFA member, you can call Affinity Insurance Services at 800-247-3448 to learn more about the E&O insurance program.

(Remember that state and federal laws and regulations and the rules of insurance and other financial-services companies can change frequently. In the end, it’s each advisor’s responsibility to make sure that the ways in which he solicits and sells insurance and other financial products, and the advertising and sales materials he uses, comply with state, federal and NASD/SEC requirements, as well as with the compliance rules of the companies he represents. If in doubt about any compliance issues, please check with your company, your compliance officer or your attorney.)

Dave Willis is a frequent contributor to Advisor Today.

 

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