New Rules to be Released by Department of Labor that will Require Brokers to Act in Investors’ Best Interests

Written by: Brielle Killmartin, Dennis Murray, & Anisa Lakuriqi

The United States Department of Labor has enacted new regulations for brokers who get paid to offer investment advice to their clients. In the past, brokers were only required to recommend products that were “suitable” to their clients. Now, the new rule requires a broker to act solely in the best interest of his or her client when making a recommendation for that client’s retirement account.

This change will also shift <Read More>

Chair White Gives Insight on SEC Agenda

Written by: Josephine Bahn

Each year, the Chair of the SEC gives their outlook and what they would like to accomplish that year. Normally towards the beginning of the year, the SEC Chair makes a few statements that set the tone for the year to come. The current SEC Chair, Mary Jo White has been active in protecting investors, and this past month, gave a speech where she provide some color to what the SEC will work on this <Read More>

SEC Announces New Office Creation, New Strategy for National Exam Program

Written by: Josephine Bahn

The SEC has made drastic changes to how it protects investors over the last few years. From changing and enacting rules in conjunction with Dodd-Frank and the JOBS Act to enacting new crowd-funding rules, the SEC has been at the forefront of investor protections. Earlier this month the Securities and Exchange Commission announced the creation of a new office to be housed within its Office of Compliance Inspections and Examinations (OCIE). The Office of Risk <Read More>

Recent House Session Changes Securities World

Written by: Josephine Bahn

This recent session of Congress is being touted as the providing the most active period of securities legislation in recent history. With new regulations being considered by Congress almost weekly, the House has fixed its eyes on revamping the securities world. With three new House bills passing in the first few months of 2016 alone, this year is shaping up to be filled with lots of changes to how securities markets are overseen. The new <Read More>

Messaging Apps are Latest Platform for Delivering ‘Pump-And-Dump’ Scams

Written By: Dennis Murray

In the latest twist to the world of fraud perpetrated through new forms of technology, certain relatively new messaging applications, such as WhatsApp, are being used to deliver fraudulent messages to investors. Scammers have been using those messaging apps to deliver messages about penny or “microcap” stocks. Those messages claim to be sent by a broker or representative from a well-known brokerage firm. In the message, the “broker” conveys his or her belief that the <Read More>

A New Way to Watch Sports: Fantex IPO

Written By: Anisa Lakuriqi

A new player in the investment markets is offering something different to the die-hard sport fans, or to those looking to invest in something unique. Fantex, Inc. (FXSP) is a FINRA registered broker-dealer, which allows you to invest in the contracts entered into by professional athletes.


How does it work?

First, Fantex will estimate the value of an athlete’s contract by looking at comparable players and salary cap growth. Fantex also uses these factors “to estimate the <Read More>

Technology Tests Regulators’ Rules

Written By: Terrence Griffiths

In an age where lost time is lost money, brokerage companies and investment advisory firms have employed hundreds of MIT and other top engineering school graduates to implement what is known as high frequency trading (or “HFT”) platforms as a means of obtaining an edge over their counterparts by being able to trade faster and in a higher volume. With the skill of these engineers, brokerage firms are able to deploy algorithms that aggregate countless <Read More>

SEC Crowdfunding

Written By: Josephine Bahn

In recent weeks, the Securities and Exchange Commission (“SEC”) has expanded individual investors opportunities to invest in new capital ventures. This new form of investment is known as crowdfunding. This expansion comes at the end of a long notice and comment period by the SEC that resulted as a term of the Jumpstart Our Business Act (JOBS), which was originally signed into law during the beginning of President Obama’s second term in office. Crowdfunding was <Read More>

Amidst a Recent Decline in FINRA Arbitration Cases, Year-End Arbitration Filings Statistics May Prove to Tell a Different Story

Written By: Brielle Kilmartin

There is a decline in arbitration proceedings when statistics from this time last year are compared to current figures. 2,538 cases were filed year-to-date through September 30 2015, a 14% drop from the same period in 2014. But a former FINRA official reports that there may be more to these statistics than is inherently obvious.


Some of the more common arbitration cases involve negligence, failure to supervise, and misrepresentation. The change in statistics on a basic <Read More>

Investing in Bonds: Understanding Liquidity and Asking the Right Questions

Written By: Brielle Kilmartin and Annette Cordasco


As the bond market booms again amidst investor’s increasingly restored faith in the U.S. economy, it is important to consider the liquidity of the bonds you buy and sell. Liquidity, which refers to the ease with which an investment can be bought and sold, is critical information to be aware of when investing in the bond market. Liquid investments are classified as such because they can be bought and sold relatively easily <Read More>