One of the SEC latest initiatives resonates with the experience of Lucile Corkery, Associate Regional Director for Examinations, Boston Regional Office, U.S. Securities and Exchange Commission. That’s enhancing the licensing, education, and oversight of back office personnel. Corkery and her colleague, Melissa Clough, senior staff accountant, discussed a list of SEC initiatives on the first day of the CFA Institute’s GIPS (Global Investment Performance Standards) two-day conference in Boston on September 22. Both speakers gave the standard SEC disclaimer that their statements were strictly their personal opinions.
Lesson from the back office
Prior to joining the SEC, Corkery worked in an industry back office where she knew an aggressive registered rep who made her suspicious.
One day the rep came in with his cousin the lawyer and conservatorship papers for aunt, who had to be alive for the this purpose. Just one week later, the rep came in a death certificate for the aunt dated prior to his coming in with the conservatorship papers.
When Corkery challenged the rep, he said “I’ll give you whatever you want. What does it take?”
It’s no wonder that Corkery believes the licensing, education, and oversight initiative for back office personnel is “long overdue.”
Other SEC initiatives discussed by Corkery and Clough included:
- Investor Advisory Committee
- Proposed amendments to custody rules, including annual surprise exam and added controls when custody is provided by a related person
- Revamping handling of complaints and tips
- Advocating for a whistle blowing program
- Conducting risk-based examinations of financial services firms
- Establishing a new division of Risk Strategy and Financial Innovation, announced on Sept. 16
- Enhancing examiners’ knowledge of fraud detection techniques and recruiting staff with specialized skills
- Seeking resources to hire more examiners
- Integrating broker-dealer and investment advisor examinations
Job opening in Boston–posting closes this ThursdayThere’s an opening in the SEC’s Boston office for a senior specialized examiner, according to Corkery.
Act fast, if you’re interested. The posting closes on Thursday, Sept. 24. I think that means that Thursday is the last day you can apply.
Posts from last year’s GIPS conference:
- New GIPS standards will change the rules for marketer of separate accounts
- Better client reporting on investments is coming
- Financial crisis will change client reporting