When three hapless employees inadvertently embezzle a bunch of cash in the movie “Office Space,” they decide the best way to cover it up is to launder it. But the thing is, they don’t even really know what money laundering is and they learned that even the dictionary couldn’t fill them in.If you want to understand what money laundering is, and more specifically, the efforts brokerage firms must take to prevent and detect it, stay tuned. We have something better than the dictionary: we have Blake Snyder and Jason Foye, two members of FINRA’s Anti-Money Laundering Investigative Unit.On this episode of FINRA Unscripted, the first of a two-part series, Blake and Jason explain what money laundering is, how it looks different in the securities industry, how that makes regulation different for the securities industry, what FINRA’s Anti-Money Laundering Investigative Unit does and more.Continue the conversation with part II. Resources mentioned in this episode:Key Topics: AMLAML FAQsAML Half-Day Seminars Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

With the cancellation of the 2020 FINRA Annual Conference and other in-person events throughout the year, we’ve gone virtual with a variety of on-demand conference panels on regulatory hot topics. On this episode, we’re dropping in for a quick listen to the latest FINRA Virtual Conference Panel with FINRA CEO Robert Cook, Member Supervision Head Bari Havlik and Chief Legal Officer Bob Colby, moderated by Chip Jones, head of Member Relations and Education, as they talk about the continued impact of the coronavirus on firm and FINRA operations, recent conversations around racial justice in America and more. You can watch this full panel and nearly a dozen more on the FINRA website at any time.Resources mentioned in this episode:FINRA Senior Leaders Fireside Chat on Current IssuesCOVID-19 FAQsRegulatory Notice 20-16Statement from the Board of Governors, June 2020 Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

As of June 30, 2020, the U.S. Securities and Exchange Commission’s Regulation Best Interest—or Reg BI—is officially in effect. That means brokerage firms now have to comply with a new standard of conduct when working with retail clients.On this episode we talk to Meredith Cordisco and Jim Wrona of FINRA’s Office of General Counsel about what a post implementation date world looks like for FINRA member firms and what FINRA has been doing to train staff to ensure a consistent approach to examining around and enforcing the new rule across the organization.And listen to the end for a special surprise from Jim. Resources mentioned in this episode:SEC Reg BI Resource PageFINRA Reg BI Resource PageVirtual Conference Panel: Reg BI and Form CRS: Where Are We NowVirtual Conference Panel: Reg BI: Compliance Inspections and ExaminationsEmail questions: [email protected] Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

You can't talk about investor protection without talking about senior investors, according to Chris Kelly, deputy head of FINRA Enforcement and head of Main Enforcement and Sales Practice Enforcement. In recent years, there has been a substantial increase in the number of cases involving the exploitation of senior investors and the results are often devastating, especially for seniors who may be out of the workforce and living on a fixed income. That’s why protecting senior investors is a priority for FINRA Enforcement. On this episode, Kelly shares how FINRA is working to protect this segment of the population and what firms can do to work with FINRA in this important effort.Resources mentioned in this episode:Episode 57: Securities Helpline for Seniors: Celebrating 5 Years Episode 59: Protecting Investors and Markets in Good Times and BadRegulatory Notice 19-36Under the Radar: New York State Elder Abuse Prevalence StudyCFPB: Suspicious Activity Reports on Elder Financial Exploitation Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The COVID-19 pandemic is unlike any other crisis in recent history, and that presents an opportunity to criminals who are flexible and adaptable. That means firms and regulators must be flexible and adaptable too. In his first week on the job, Greg Ruppert, the new head of the National Cause and Financial Crimes Detection Programs (NCFC), created a COVID-19 Task Force to help FINRA tackle emerging issues to quickly protect investors and to maintain the integrity of our markets.On this episode, Greg joins us to tell us more about the task force, how firms can identify, detect and mitigate emerging threats and the importance of adopting a “one team, one fight” approach. Resources mentioned in this episode:Episode 60: Introducing Greg Ruppert and the NCFCCOVID-19 Resource PageFraud and Your Investment Accounts During COVID-19 PandemicRegulatory Notice 20-13Virtual Conference Panels Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Between the level of interconnectedness on the web and the sheer about of data available, we’re living in an era ripe for the perpetration of financial fraud. That makes it more important than ever for FINRA to have a holistic view of emerging trends and risks—and the ability to coordinate closely with other regulators and law enforcement. FINRA’s new National Cause and Financial Crimes Detection Programs (NCFC) aims to be the nerve center to do just that. On this episode, we meet Greg Ruppert, the new Executive Vice President of the NCFC, to hear about his background and his vision for the new team.Resources mentioned in this episode:Episode 57: Securities Helpline for Seniors: Celebrating 5 Years of Senior Investor ProtectionEpisode 33: Beyond Hollywood: Money Laundering in the Securities IndustryEpisode 31: FINRA’s Point Guard: The Central Review GroupEpisode 23: Insider Trading: Finding the Needle in the Haystack Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

FINRA Enforcement works on the front lines of investor protection—not just now, as some look to take advantage of these uncertain time to defraud investors or manipulate the markets – but always. On this episode, we meet Jessica Hopper, FINRA’s new Executive Vice President and Head of Enforcement, to hear what her team is doing today, and every day, to prevent investor harm and to maintain the integrity of our markets. Plus, we hear what keeps Jessica motivated to do what she does. Resources mentioned in this episode:Episode 9: Introducing FINRA’s New Enforcement TeamMonthly Disciplinary ActionsIndividuals Barred by FINRA Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Market volatility in recent weeks has surpassed anything else in history in terms of both the extremity and duration. Despite that, the so-called plumbing of U.S. financial markets has held up remarkably well—even with most market participants working from home. On this episode, we talk to FINRA’s Executive Vice President of Market Regulation and Transparency Services Tom Gira, who walks us through the evolution of our market structure that has contributed to this resilience and how FINRA and others are handling the increased volumes. Resources mentioned in this episode:COVID-19 Resource PageCOVID-19 FAQsEpisode 13: How the Cloud and Machine Learning Have Transformed FINRA Market Surveillance Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

With about 10,000 Americans reaching 65 years old every day, FINRA is committed to the protection of senior investors and other vulnerable adults. That’s why FINRA launched the Securities Helpline for Seniors. Senior Helpline’s managers Brooke Hickman and Rob Mascio explain how the Helpline has developed not just as a resource for seniors, but as a resource for broker-dealers as well. On this episode, we celebrate the five-year anniversary of the Senior Helpline’s launch with a look at how the Helpline has helped senior investors, notable trends and themes and how the Helpline has evolved over the last five years. Resources mentioned in this episode:Protecting Senior InvestorsRegulatory Notice 19-36Toll-Free Number: 844-57-HELPS or 844-574-3577 Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The new coronavirus that causes COVID-19 has rapidly changed the way U.S. broker-dealers must conduct business as states implement various shelter-in-place and stay-at-home orders, forcing workers remote. The shift has a number of implications when it comes to business continuity plans, the security of firm’s networks and the ability to comply with various rules and requirements. On this episode, our first to be remotely recorded, we talk to FINRA’s Chief Legal Officer Bob Colby and Head of Member Supervision Bari Havlik to learn what FINRA expects at this time and how firms—and FINRA—are adapting to the current situation.Resources mentioned in this episode:Regulatory Notice 20-08: Pandemic-Related Business Continuity Planning, Guidance and Regulatory ReliefRule 4370: BCPs and Emergency Contact InformationCOVID-19 Resource PageCOVID-19 FAQsCybersecurity Alert: Measures to Consider as Firms Respond to the Coronavirus Pandemic Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Want to be a broker-dealer firm and conduct securities transactions in the U.S.? First, the firm and individuals need to register with FINRA, and that means working with FINRA’s Membership Application Program (MAP) Group. The MAP Group is the gatekeeper to the broker-dealer industry. It works both to protect investors by ensuring would-be firms meet FINRA’s standards of admission and to help new and existing firms grow and evolve, ensuring a vibrant market for all. On this episode, we talk to Lisa Robinson, senior director of FINRA’s MAP Group within the Member Supervision team, to learn more. Resources mentioned in this episode:Register a Broker DealerFINRA’s Standards of AdmissionMateriality ConsultationRegulatory Notice 18-23Episode 16: How FINRA Rules Get Made (And Reviewed) Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The biggest change to the Continuing Education program in 25 years is underway. The CE Council, FINRA and other CE Council members are working together to improve continuing education for broker dealers with a number of proposed changes, including moving to an annual CE requirement, working to reduce duplication between the firm and regulatory elements of continuing education and providing those who leave the industry a means of maintaining their qualification.On this episode, we hear both the firm and regulatory perspective from our guests, Jeff Freiburger, Chief Compliance Officer at Robert W. Baird and member of the CE Council, and John Kalohn, Senior Advisor to Registration and Disclosure at FINRA. Resources mentioned in this episode:Regulatory Notice 20-05 (Comments Due: April 20, 2020) Letter from the 2019 Council ChairCE CouncilKey Topics: Continuing Education Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

It can be a big decision for retail investors to decide how and where to invest their hard-earned cash. After all, their savings are on the line. It’s important that when making this big decision investors understand the risks—not just the hype. That’s where FINRA’s Advertising Regulation Group comes in, overseeing broker-dealer communications to ensure that they are fair, balanced and not misleading. On this episode, we talk to Amy Sochard, senior director of FINRA’s Advertising Regulation Group within the Office of General Counsel, to learn more.Resources mentioned in this episode:Advertising Regulation Topic PageRule 2210: Communications with the PublicRegulatory Notice 19-31: Disclosure Innovations in Advertising and Other Communications with the Public Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

This episode originally aired in December 2018.When it comes to detecting insider trading, it really is like finding a needle in a haystack with more than 15,000 different stocks, options and bonds trading every day across millions of transactions. Yet, Sam Draddy and the Insider Surveillance team in the Office of Fraud Detection and Market Intelligence manage to find those needles.The Insider Surveillance team does it by combining a lot of data—20 years’ worth of data on thousands of actively traded bonds, stocks and equity options—with a mix of sophisticated surveillance technology and good old-fashioned detective work.On this episode of FINRA Unscripted Sam Draddy walks us through the process. Plus, he shares details of some of the most interesting cases of his career and attempts to answer the real question: why do people do it?Resources mentioned in this episode:SEC’s Edgar DatabasePro Golfer Agrees to Repay Trading ProfitsSEC’s Perk Hixon CaseDid Somebody Just Eat a Post-It? Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

How many Americans are investing in non-retirement accounts? How are they making decisions about where to put that hard-earned cash? How much do they truly understand about investing? And how has this all changed over time?The FINRA Foundation’s latest study, Investors in the United States 2019, looks to uncover the answers to these questions and more to get a pulse on the investing habits of AmericansOn this episode of FINRA Unscripted, Gerri Walsh, president of the FINRA Foundation and senior vice president of Investor Education at FINRA, and Gary Mottola, director of research at the FINRA Foundation, tell us more.Resources mentioned in this episode:Investors in the United States 20192018 National Financial Capability Study38: Financial Capability Study, Part I: Does a Rising Tide Lift All Boats? FINRA FoundationInvestor Knowledge Quiz Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The 1920s was a period of great change and transition and the 2020s are shaping up to be the same—at least for FINRA’s Examination and Risk Monitoring program.We’re kicking off the new Roaring 20s with three members of the Member Supervision senior leadership team to learn what to expect from the Examination and Risk Monitoring program in the year ahead.On this episode of FINRA Unscripted, Ornella Bergeron, senior vice president of the carrying and clearing and diversified firm groups; Tom Nelli, senior vice president of exams and standards; and Bill St. Louis, senior vice president of the retail and capital markets firm groups, join us to tell us more.Resources mentioned in this episode:Episode 49: A Career Highlight: Exam and Risk Monitoring Program Transformation UpdateEpisode 45: Regulation Best Interest: Preparing for a New Standard of ConductFINRA Announces Senior Leadership Team Under New Examination and Risk Monitoring Program StructureFINRA Examination Program ImprovementsA Few Minutes with FINRA: Creating a Single, Unified Examination Program Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

In 2018, FINRA embarked on a large-scale transformation of its examination and risk monitoring program to make FINRA a more effective, agile and risk-focused regulator. A lot of progress has been made in the last year. The group is in the process of realigning around the business models of FINRA member firms, introducing a new single point of accountability and installing a new senior leadership team.On this episode of FINRA Unscripted, Bari Havlik, Executive Vice President of Member Supervision, tells us more. Resources mentioned in this episode:Episode 21: Introducing Bari HavlikFINRA Examination Program ImprovementsA Few Minutes with FINRA: Creating a Single, Unified Examination Program Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

This episode originally aired in August 2018. Schoolhouse Rock taught us how a bill up on Capitol Hill becomes law. Unfortunately, they never got around to explaining how a FINRA rule proposal becomes regulation.In this episode, Phil Shaikun from FINRA’s Office of General Counsel and Jonathan Sokobin, FINRA’s Chief Economist, fill that gap and explain how lawyers and economists are working together to ensure FINRA’s rules are as effective and as tailored as possible.Plus, Shaikun and Sokobin give an inside look into how the FINRA Retrospective Rule Review process works, how rules are selected for review and the myriad of possible outcomes.Resources mentioned in this episode:Retrospective Rule ReviewSEC Federal RegisterFINRA Advisory CommitteesSpecial Notice on EngagementRegulatory Notice on Membership Application ProcessRegulatory Notice and Comments on Outside Business Activities Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Hackathons aren’t new. Silicon Valley has been using them for years and they’ve become commonplace among technologists. But what about a Buildathon?On this episode of FINRA Unscripted recorded at the first ever Buildathon in Boston, we hear from three leaders who pulled together a unique collaboration between FINRA, the private sector and academia. They discuss FinTech and the investor literacy landscape, how this event is different from other hackathons and why cross-sector partnerships can lead to better technology solutions.Joining us on this episode are: Kevin McGovern, managing partner of Deloitte’s New England office; Charles Senatore, senior advisor at Fidelity Investments' Devonshire Investors unit; and Haimera Workie, the head of FINRA’s Office of Financial Innovation.The Buildathon, part of FINRA’s Innovation Outreach Initiative, challenged some of the world’s best technology students at MIT and Harvard to solve common problems faced by everyday investors. On this episode, we learn more.Resources mentioned in this episode:Deloitte’s “Closing the gap in fintech collaboration”FINRA Foundation’s National Financial Capability StudyFINRA Foundation and GLEC’s “New Evidence on the Financial Knowledge and Characteristics of Investors” Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The way Americans think about and plan for retirement is changing. Gone are the days when Americas drop out of the workforce at 65 and hit the golf course, according to the University of Pennsylvania Wharton School’s Dr. Olivia S. Mitchell, the 2019 recipient of the Ketchum Prize. Sitting at home for 30 years or longer simply isn’t financially viable anymore. Dr. Mitchell’s research into the evolving world of retirement security earned her the 2019 Ketchum Prize, the FINRA Foundation’s highest honor, which looks to recognizes outstanding service and research to advance investor protection and financial capability in the U.S.On this episode of FINRA Unscripted, Dr. Mitchell walks us through her research into everything from pensions, Social Security, annuities and more, and discusses how the issues have changed – and what Americans can do about it. Resources mentioned in this episode:FINRA Foundation Awards 2019 Ketchum PrizeDr. Mitchell’s Latest ResearchKnowledge@Wharton High SchoolFollow Dr. Mitchell on Twitter Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Next year, brokerage firms will have to comply with a new standard of conduct when working with retail clients with the implementation of the U.S. Securities and Exchange Commission’s new Regulation Best Interest. If you haven’t yet had time to comb through the 1,363 page rule package, on this episode we have FINRA’s Chief Legal Officer Bob Colby walk us through the rule and steps FINRA member firms will need to take to prepare for its implementation. Resources mentioned in this episode:SEC Small Entity Compliance GuideFINRA Reg BI Resource PageReg BI and Form CRS ChecklistRegulation Best Interest Conference Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

What happens if a brokerage firm doesn’t report trading information appropriately? At first, it might seem like it isn’t a big deal – just a data issue. But is vital. Accurate market data is at the foundation of FINRA’s efforts to ensure the integrity of our markets.On this episode of FINRA Unscripted, we are joined by Lizzie Hogan, senior vice president of Market Regulation Enforcement, to learn what her group does, how it fits under the broader Enforcement team umbrella and why market data cases matter.Resources mentioned in this episode:FINRA Enforcement Group StructureEpisode 9: Introducing FINRA’s New Enforcement TeamDisciplinary Actions Online Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

It’s easy for any company to get caught up in the status quo, too busy focusing on the challenges of today to anticipate the challenges of tomorrow. The Createathon, FINRA’s take on a hackathon, looks to prevent that by allowing employees across the organization a chance to step away from their day jobs to think differently.On this episode, we speak to two members of FINRA’s Technology team to hear how the Createathon keeps FINRA innovating and helps break down silos across the organization. Then, we talk to the winning team of the 2019 Createathon to hear about their idea and what the event means to them.Resources mentioned in this episode:FINRA Open SourceFINRA Technology Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

From Ireland to Malta to Colombia, foreign markets are global, so too must be FINRA’s presence. That’s where the International Group comes in as FINRA’s central point of contact for relations with foreign regulators. On this episode, we talk to FINRA’s ambassador abroad, Gloria Dalton, to hear how the group supports FINRA in seeking and sharing information, raises awareness of FINRA’s regulatory programs and contributes to the development of global securities regulation and policy. Resources mentioned in this episode: SEC Office of International Affairs Episode 10: ERI: Introducing FINRA’s Weatherman Episode 27: The Future of RegTech Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Corporate culture is defined as the way people act. But what helps people understand how to act, how to behave and how to make decisions? That’s the organization’s values. To shape the FINRA of the future, this year FINRA introduced four new corporate values—collaboration, expertise, innovation and responsibility. On this episode of FINRA Unscripted, we learn why values matter, the challenges involved with introducing new organizational values and how FINRA hopes these new values will help drive the organization forward. Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Extraordinary,* adjective*, very unusual or remarkable. But what does that really mean when it comes to FINRA members, both firms and individual registered representatives alike, looking to receive credit for cooperating on FINRA enforcement matters? On this episode, Susan Schroeder, executive vice president and head of FINRA Enforcement, joins us to discuss new guidance on credit for extraordinary cooperation and to dig into what kind of cooperation is expected and what is considered by FINRA Enforcement. Plus, we hear how FINRA will work to provide more transparency around credit for extraordinary cooperation going forward. Resources mentioned in this episode: Regulatory Notice 19-23: Updated Guidance on Credit for Extraordinary Cooperation Regulatory Notice 08-70: Guidance on Credit for Extraordinary Cooperation Episode 14: Enforcement Guiding Principals Rule 4530: Reporting Requirements Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

How many Americans participate in the gig economy? Do you regret paying what you did for college? Would you avoid a medical service due to its cost? The economic concerns of Americans shift over time. That’s why the FINRA Foundation Financial Capability Study is always asking new questions to get a pulse on recent changes to American financial capability and well-being. On this episode of FINRA Unscripted, the second part of our two-part series on the 2018 Financial Capability Study, we dig into these questions and emerging trends and more. Resources mentioned in this episode: 2018 National Financial Capability Study FINRA Foundation NFCS Financial Literacy Quiz Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The U.S. economy is improving, but not all Americans are benefiting equally. Many Americans are failing to save money, struggling with student loan debt and facing decreasing financial literacy, according to the new FINRA Foundation Financial Capability Study. On this episode of FINRA Unscripted, the first of a two-part series, Gerri Walsh and Gary Mottola of the FINRA Foundation join us to delve into the study results and their implications for researchers, policymakers, advocates and more. Resources mentioned in this episode: 2018 National Financial Capability Study FINRA Foundation Episode 19: Debunked: 7 Myths about Millennials Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Every day, FINRA processes roughly 66.7 billion market events. This includes stock orders, modifications, cancellations and trades from the moment orders are placed, as they move through the markets and are executed. And FINRA not only processes a massive amount of data each day, but also must analyze it to uncover misconduct. How does FINRA surveille this enormous volume of data to find instances of abusive activity? With exceedingly sophisticated technology and highly adept analysts in FINRA’s Market Regulation and Transparency Services group. Today we sit down with Tom Gira the head of the department and a 25-year veteran of FINRA. Tom explains how FINRA’s use of technology, specifically the cloud and machine learning, has improved FINRA’s quality of regulation, furthering the organization’s mission of market integrity and investor protection. This episode originally aired in July 2018. Resources mentioned in this episode: Options Clearing Corporation FINRA Market Regulation FINRA Ad Hoc Committees 12: How the Cloud Has Revolutionized FINRA Technology Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

FINRA is in the middle of a wide-ranging, multi-year effort to revolutionize the digital experience that firms have when interacting with FINRA. The Digital Experience Transformation (DXT) is a transformation driven by firms for firms. The initiative is focusing on six solution areas that have been identified as priorities by FINRA member firms, including a simplified user experience and flexibility and automation when it comes to user-defined access to FINRA data. On this episode of FINRA Unscripted, two members of FINRA’s Technology team tell us how this project can enhance compliance and reduce costs for member firms. Resources mentioned in this episode: DXT Website Episode 29: CRD Transformation Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The Annual Conference in Washington, DC, is FINRA's premier event, bringing together practitioners, peers and regulators to exchange ideas on compliance and regulatory topics and trends. On this episode of FINRA Unscripted, we take you behind the scenes of this year’s event to listen in on the first session of the three-day event: a fireside chat with FINRA’s President and Chief Executive Officer Robert Cook and Executive Vice President of Member Supervision Bari Havlik, moderated by Chip Jones, Senior Vice President of Member Relations and Education. It’s not too soon to reserve your spot for the 2020 event. Don’t miss out, register today. Resources mentioned in this episode: FINRA360 Progress Report How to Get Involved: FINRA Committees 2019 Annual Budget Summary Report on Use of 2018 Fine Monies Episode 21: Member Supervision: Introducing Bari Havlik and the Exam Program Transformation Episode 14: Enforcement Guiding Principles Reg Notice 18-08: Outside Business Activities CAT Website Reg Notice 19-17: Protecting Investors from Misconduct Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The world of money laundering is a fast-paced and ever evolving as we learned on the last episode of FINRA Unscripted. That can make it difficult for a financial firm to develop and maintain a robust anti-money laundering program. But maintaining a strong program is essential, making AML a perennial priority for FINRA’s examination staff. A robust AML program will not only safeguard the investing public and our financial markets, but it will also protect a firm’s reputation. On this episode of FINRA Unscripted, we are joined once again by Blake Snyder and Jason Foye of FINRA’s AML Investigative Unit to discuss current priorities and best practices when it comes to anti-money laundering regulation. Resources mentioned in this episode: FINRA Senior Helpline 2019 FINRA Priorities Letter FINRA CDD Rule Requirements Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

When three hapless employees inadvertently embezzle a bunch of cash in the movie “Office Space,” they decide the best way to cover it up is to launder it. But the thing is, they don’t even really know what money laundering is and they learned that even the dictionary couldn’t fill them in. If you want to understand what money laundering is, and more specifically, the efforts brokerage firms must take to prevent and detect it, stay tuned. We have something better than the dictionary: we have Blake Snyder and Jason Foye, two members of FINRA’s Anti-Money Laundering Investigative Unit. On this episode of FINRA Unscripted, Blake and Jason explain what money laundering is, how it looks different in the securities industry, how that makes regulation different for the securities industry, what FINRA’s Anti-Money Laundering Investigative Unit does and more. Resources mentioned in this episode: Key Topics: AML AML FAQs AML Half-Day Seminars Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

FINRA’s 2019 Budget Summary provides a unique view into FINRA’s budget for the current calendar year – providing greater transparency not just into FINRA’s operations, but also the self-regulatory organization’s financial guiding principles. The 2019 Budget Summary includes no fee rate increase for member firms, but projects a shortfall of $185.8 million – the result of a projected increase in operating expenses while revenues stay largely flat. But FINRA Chief Financial and Administrative Officer Todd Diganci isn’t worried. He explains how it is all part of FINRA’s long-term financial plan. On this episode of FINRA Unscripted, we learn more. Resources mentioned in this episode: Financial Reports and Policies 2019 Budget Summary Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The Central Review Group is the nerve center of FINRA’s Office of Fraud Detection and Market Intelligence (OFDMI), triaging tens of thousands of matters every year. The group combs through everything from investor complaints, external tips and employee tips to disclosure events, routine regulatory filings and more to look for red flags of fraud or other concerns. If something of concern is spotted, the group determines how to escalate the situation, whether internally within FINRA or through a referral to other regulators. On this episode of FINRA Unscripted, Tony Cavallaro joins us to tell us more. Resources mentioned in this episode: Reg Notice 11-06: Consolidating Reporting Requirements Information Notice: Phishing Emails Targeting Member Firms Investor Alert: Beware Fake Checks 23: Insider Trading: Finding the Needle in the Haystack Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

As a self-regulatory organization, FINRA is uniquely positioned to gain meaningful insights from its members to ensure FINRA’s regulatory programs are working for everyone. Tasked with maintaining that relationship and keeping an open dialogue is FINRA’s Office of Member Relations and Education. The Member Relations and Education team routinely engages with firms through conferences, roundtables, boot camps and more. And because they recognize that regulation isn’t simple or easy, they offer a host of educational tools and resources. On this episode of FINRA Unscripted, Chip Jones, FINRA’s Senior Vice President of Member Relations and Education, joins us to tell us more about how FINRA works to make regulation smarter. Resources mentioned in this episode: Get Involved Committee Lists and Membership Conferences & Events Schedule 28: A look at the FINRA Institute at Georgetown CRCP Program Small Firm Resources Report Center Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

FINRA’s Central Registration and Depository (CRD) system is the central licensing and registration system not just for FINRA, but also for U.S. securities exchanges and all 50 states . But the system is still partying like it’s 1999. Twenty years after the CRD system’s last major update, FINRA is in the middle of a multi-year effort to overhaul the registration and disclosure system that is the backbone of the BrokerCheck, the free tool that allows investors to research the background of their financial professionals and firms. On this episode of FINRA Unscripted, FINRA’s executive vice president of Registration & Disclosure, Derek Linden, tells us more about the transformation and what users can expect. Resources mentioned in this episode: CRD Transformation Website Announcement: CRD Transformation BrokerCheck 12: How the Cloud Has Revolutionized FINRA Technology Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The FINRA Institute at Georgetown Certified Regulatory and Compliance Professional (CRCP) Program is designed to give careers a shot in the arm, whether you are a compliance professional, investment advisor, regulator or just someone in the financial services space. The two-week program is the premier professional development program for compliance professionals, providing not just a comprehensive look at current securities laws and regulations, but also an understanding of the regulatory trajectory and where things are going. On this episode of FINRA Unscripted, Jim Angel, an associate professor at Georgetown University’s McDonough School of Business, and FINRA’s Patricia Albrecht join us to tell us what makes the CRCP program a can’t-miss opportunity. Resources mentioned in this episode: FINRA Institute at Georgetown Small Firm CRCP Scholarship CRCP Program: Week I 23: Insider Trading: Finding the Needle in the Haystack FINRA Annual Conference Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

RegTech tools can present both tremendous opportunities and tremendous challenges for firms and regulators alike. They can also pose some interesting philosophical questions when it comes to their implementation. On this special episode of FINRA Unscripted recorded at FINRA’s RegTech conference in New York, we hear three unique perspectives on these opportunities and challenges. Joining us on this episode are: Nick Cook, head of RegTech and Advanced Analytics at the United Kingdom’s Financial Conduct Authority (FCA); Michael Pieciak, Vermont’s Commissioner of Financial Regulation and the president of the North American Securities Administrators Association (NASAA); and Haime Workie, FINRA’s senior director of Emerging Regulatory Issues. Listen to hear Nick, Mike and Haime discuss some of the most common ways firms are currently using RegTech, the challenges in implementation, key areas to watch and more. Resources mentioned in this episode: RegTech White Paper FinTech at FINRA Innovation Outreach Initiative RegTech | FCA NASAA Vermont Website Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

The Annual FINRA Priorities Letter is a great resource for firms looking to improve their compliance, supervisory and risk management programs. But the 2019 Letter is a little different—this year focusing on materially new areas of focus so readers can better identify areas for program improvement. On this episode of FINRA Unscripted, we’re joined by Bari Havlik, FINRA’s executive vice president of Member Supervision, Steve Polansky, a senior director in Member Supervision, and Gene DeMaio, a senior vice president of options regulation and the trading and financial compliance exam program, to learn more about the changes to the letter and to drill into a few key topics. Stay tuned to hear more about new priorities such as fixed income mark-up disclosure and supervision of digital assets business, as well as some new takes on existing priorities, including suitability, best execution, market manipulation and more. Resources mentioned in this episode: 2019 Priorities Letter 2018 Priorities Letter 2018 Exam Findings Report Fixed Income Confirmation Disclosure FAQs SEC Statement on Digital Asset Securities Issuance and Trading SEC Issues Investigative Report on DAO Tokens Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Academics, economists, CEOs. FINRA’s Board of Governors is made up of a diverse group of individuals with diverse perspectives—a must for a group responsible for overseeing a complex organization such as FINRA. But how does someone become a member of FINRA’s Board of Governors? And what does this group do? What are its priorities for 2019? On this episode of FINRA Unscripted, Marcia Asquith, FINRA’s executive vice president of Board and External Relations answers these questions and more. Resources mentioned in this episode: 2: Building A More Transparent Organization FINRA Governance Board Composition FINRA360 Budget Summary and Financial Guiding Principles Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Cybersecurity is a major challenge for everyone – companies and individuals alike. But it can be a particularly big challenge for those in the financial industry. After all, it isn’t just firm data at risk—customer data and customers’ life savings may be at stake. Cybersecurity is such a big obstacle for financial firms that this month FINRA released the “Report on Selected Cybersecurity Practices – 2018.” The new report sheds light on some effective practices for FINRA member firms when it comes to branch office controls, phishing attacks, insider threats, penetration testing programs and mobile devices. On this episode of FINRA Unscripted, Steve Polansky, a senior director in FINRA’s Member Supervision Shared Services group, Dave Kelley, a surveillance director out of our Kansas City office, and Yolanda Trottman, an examination director in the regulatory review group in New York join us to discuss the report’s findings. Resources mentioned in this episode: Report on Selected Cybersecurity Practices 2018 Examination Findings Report 2015 Report on Cybersecurity Practices Phishing Investor Alert Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

When it comes to detecting insider trading, it really is like finding a needle in a haystack with more than 15,000 different stocks, options and bonds trading every day across millions of transactions. Yet, Sam Draddy and the Insider Surveillance team in the Office of Fraud Detection and Market Intelligence manage to find those needles. The Insider Surveillance team does it by combining a lot of data—20 years’ worth of data on thousands of actively traded bonds, stocks and equity options—with a mix of sophisticated surveillance technology and good old-fashioned detective work. On this episode of FINRA Unscripted Sam Draddy walks us through the process. Plus, he shares details of some of the most interesting cases of his career and attempts to answer the real question: why do people do it? Resources mentioned in this episode: SEC’s Edgar Database Pro Golfer Agrees to Repay Trading Profits SEC’s Perk Hixon Case Did Somebody Just Eat a Post-It? Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Contrary to popular belief, many millennials aren’t too keen on robo-advisors and would actually prefer to work with a professional—but don’t feel confident enough to know where to begin. What does that actually mean for young, would-be investors? On episode 19, Gerri Walsh and Gary Mottola of the FINRA Foundation joined us on the first part of this two-part series to discuss these and other misconceptions and roadblocks that millennials face in their paths to becoming investors as revealed by the new study, "Uncertain Futures: Seven Myths about Millennials and Investing." In this second part of the series, Gerri and Gary are back to turn some of those myths into actionable information. If you haven’t yet started investing because you have too much debt, you lack confidence or don’t even know where to begin, stay tuned, because Gerri and Gary have tips for you on this episode of FINRA Unscripted. Resources mentioned in this episode: Uncertain Futures: Seven Myths about Millennials and Investing CFA Institute BrokerCheck IRAs 101: What You Need to Know Investor.gov FINRA.org – Prepare to Invest The True Value of Time for Young Investors Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

When Bari Havlik joined FINRA as Executive Vice President of the newly named Member Supervision team, she did so with big plans for the examination and risk monitoring programs. After a more than 30 year career in compliance with the last 14 years spent as a chief compliance officer, Bari joined FINRA with a unique perspective on what FINRA could do to better leverage its staff and its talent and skills—while also eliminating duplication and improving the examination and risk monitoring experience for firms. In this episode of FINRA Unscripted, Bari joins us to share more about her vision for the future of FINRA’s exam and risk monitoring programs. Resources mentioned in this episode: Program Transformation Announcement FINRA360 Progress Report Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

In an era when much of our lives happen online, from banking to social media, cybersecurity is more important than ever. And we all have a role to play—not just in keeping ourselves safe, but also our employers and customers. As we become more connected, we also must also become more vigilant. But what do you do to remain secure? Whether you are a broker, an investor or just simply an internet user, we’ve got tips for you on this episode of FINRA Unscripted. In honor of National Cybersecurity Awareness Month, Barry Suskind and Eugene Mindel of FINRA’s Cyber and Information Security team join us to provide resources and best practices for keeping you, your family and your clients protected while online. Resources mentioned in this episode: Cybersecurity Resources Small Firm Cybersecurity Checklist Fake Phishing, Real Benefits Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Millennials are on the cusp of surpassing Baby Boomers as the largest adult generation in America. Yet the soon-to-be largest generation in the nation remains substantially under-invested. Why? That is the question the FINRA Foundation and CFA Institute teamed up to answer. What they learned about this avocado toast eating, "I still live with my parents," social media-fueled FOMO generation might surprise you. Today, Gerri Walsh and Gary Mottola join us for part one of a two episode series to discuss the misconceptions and roadblocks millennials face in their paths to becoming investors. In part one, Gerri and Gary debunk some of the most common myths about Millennial investors and could-be-investors as revealed by the new study, "Uncertain Futures: Seven Myths about Millennials and Investing." Are you a millennial with an uncertain financial future? A financial professional looking to expand or better serve your Millennial clients? Then tune in to this episode of Unscripted and gain insight into the minds of the soon-to-be largest and most under-invested generation in America. Resources mentioned in this episode: Uncertain Futures: Seven Myths about Millennials and Investing National Financial Capability Study CFA Institute Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

Looking to break into the financial services industry? It is about to get easier. On October 1, 2018, FINRA will launch a new exam that consolidates the fundamental knowledge shared across several of FINRA’s existing Series exams into a single Securities Industry Essentials (SIE) exam. Additional “top-off” exams, such as the Series 7, will be trimmed down to focus only on the specific knowledge needed for that qualification—eliminating overlap in licensing exams and creating a more efficient program. And the biggest change: you don’t have to be associated with a financial firm to take the SIE exam. So get your number two pencils ready and tune in to this episode of Unscripted, where John Kalohn, FINRA’s Vice President of Testing & Continuing Education, joins us to provide insight that just might help you ace the SIE exam. Resources mentioned in this episode: Registered Representatives Brochure SIE Exam Content Outline Find us:  X / YouTube /LinkedIn / Facebook /  E-mail

When you are growing up, you learn “sharing is caring.” At FINRA, Tom Gira’s Market Regulation and Transparency Services team takes that to heart when it comes to their surveillance data. In episode 13, Gira explained how the cloud and machine learning enable his team to sift through massive amounts of data–we're talking up to 101 billion market events in a single day–to detect misconduct. In this episode, we learn that Tom and his team aren't just keeping that data to themselves; they are sharing it with financial firms to help them better achieve and monitor compliance with FINRA rules. Learn how FINRA’s rapid remediation program and industry report cards are helping to foster stronger, fairer markets in this episode of FINRA Unscripted. Report Center Sweep Letter: Order Routing Conflicts Pricing Disclosure in the Fixed Income Markets Find us:  X / YouTube /LinkedIn / Facebook /  E-mail