When evaluating providers of broker dealer services in NY, compliance should be at the top of your list. Many firms focus too much on trading and execution, accounting systems, sales, underwriting, technology, and marketing when they should be paying greater attention to compliance matters such as their Written Supervisory Procedures (WSPs).
To a great extent, WSPs are at the heart of FINRA and SEC regulatory compliance. If you don’t have a manual of WSPs to show regulators when they come around for audits or investigations, or if your manual is sloppily inadequate as well as contradicting, many members of your firm could face serious consequences from these agencies. First of all, WSPs are mandatory; second, WSPs show how your firm supervises its registered representatives to ensure they’re being compliant themselves.
Your WSPs must show regulators that you have a plan in place to prevent fraud and ensure fair market practices. When your firm operates under well-crafted WSPs, you can easily identify and mitigate potential risks associated with your broker-dealer activities. Some guidelines should be followed when drafting these compliance documents, but the final document should be tailored to your specific business model and activities. Meeting regulatory requirements is fairly easy, but making them fit into what your firm wants to accomplish requires expertise. Then you have the matter of implementing WSPs, which may require training for principals and managers.
Want to get more information about how broker dealer services in NY can walk you through the various steps that lead to Wall Street? Visit Quadrant Regulatory Group today.
