Risk Alert: Broker-Dealer Controls Regarding Retail Sales of Structured Securities Products
Aug. 24, 2015
This Risk Alert summarizes deficiencies that OCIE staff observed in the controls that certain broker-dealers put in place to comply with obligations related to sales of structured securities products (“SSPs”) to retail investors, including
1) controls related to determining suitability of SSP recommendations and
2) written supervisory procedures related to reviews of representatives’ suitability determinations with regard to SSPs.