Fresh from SIFMA: Regulatory Collaboration on the Rise

March 17th, 2016

Regulatory Collaboration on the Rise

Recurring Theme:  Changing Regulatory Tide


Summary Analysis: 

As Clutch Group continues its coverage of the Securities Industry and Financial Markets Association’s (SIFMA) Compliance and Legal Society Annual Seminar, the team has observed the emerging theme of regulatory pile-on. Throughout conference discussions, several government officials have noted their agency’s awareness of this concern and steps to address the challenges of overlapping oversight and enforcement from both domestic and global regulators.

Representatives from the Commodity Futures Trading Commission (CFTC), Department of Justice (DOJ), Financial Industry Regulatory Authority (FINRA) and Securities and Exchange Commission (SEC), said they have increased their consideration of parallel regulatory initiatives and opportunities to collaborate to alleviate the burden on regulated entities. DOJ officials said their agency considers the adequacy of other enforcement actions in calculating their own enforcement decisions.  Representatives from the SEC said they worked closely with peers at the CFTC and in the Financial Stability Oversight Council (FSOC) to better align regulatory decisions and supervision.  In his remarks during the conference, Richard Ketchum, FINRA Chairman, aptly noted, “Communication among regulators is as important now as it has ever been.”