Broker-Dealer Regulation: Understanding Compliance and the Current Enforcement Landscape

This CLE course will examine the regulatory framework governing broker-dealers. Our experienced faculty will review core concepts, including determining when registration is required, available exemptions, and compliance obligations.

The U.S. Securities and Exchange Commission (SEC) is responsible for establishing and enforcing laws governing broker-dealers, while the Financial Industry Regulatory Authority (FINRA) oversees broker-dealer registration, rulemaking, examinations, and disciplinary actions for member firms.

Understanding broker-dealer regulation is essential in today's securities practice. Routine transactions, from capital raising to investor solicitation, may trigger a registration requirement, with significant liability risk for improperly structured transactions. In addition, the treatment of digital assets and generative AI continue to complicate the practice landscape.

This course will provide a practical review of the federal regulatory framework governing broker-dealers in the U.S. Our faculty will help attorneys identify transactions requiring registration and navigate exemptions. Core compliance obligations for registered broker-dealers will be discussed, including supervisory structure requirements, sales practices, and financial responsibility requirements. Our faculty will also spotlight evolving areas of operational risk, current examination priorities, and enforcement trends in the broker-dealer space.