Overview – Broker Dealers

If you are the CEO or CCO of a Broker Dealer, it is time to pitch the shovel and invest in an Earthmover. Why? The new regulatory environment created by Rules 3010, 3012 and 3013 requires securities firms to install a system of internal controls to organize and supervise their activities. The onslaught of regulatory action stems from the Grattadauria cases as well as the parade of scandals over the last several years—which provide substantial evidence that the securities industry lacks sufficient internal controls. Additionally, we should note the new NASD rules and regulations regarding insurance products.

Regulators have continued to establish systemic changes in the organization, management and oversight of SRO member firms, calling for a proactive compliance culture.

In order to achieve a “Proactive Compliance Culture” regulators have mandated that firms build supervisory systems designed to “detect, prevent and correct” incompliance. Moreover, the firm should constantly review and update the system of controls. An integral part of such systems constitutes specific processes, role identification, and accountability.

Broker/Dealers must re-engineer their technology in order to survive

In the past, many firms have manually shoveled away the piles of compliance work. However, the new Megaton of SEC and NASD rules, regulations and NtMs require each Firm to build an internal control structure based upon their unique business model, operations, and personnel.

Automating your compliance infrastructure is the most reliable, efficient and cost-effective alternative. TurboCompliance^® specializes in building customized, automated compliance solutions for a specific firm that reduces the regulatory workload and costs by 50% to 85%. TurboCompliance uses a team-based model that integrates:

• The experience of your CCO, law firm and/or compliance consultant, and
• Our customizable, suite of technologies that automate your Written Supervisory Procedures, AML Procedures and Ethics Code.