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News Roundup: Business Preparedness and Compliance

Posted by FP Transitions on Mar 26, 2020 4:53:59 PM

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The last thing any business owner and professional needs is to deal with more ambiguity and uncertainty than the global situation has already dealt us. In our highly regulated industry, many advisors are asking questions about how to keep their teams safe and do their part to "flatten the curve" while remaining compliant in operations and client communication. Many industry experts and institutions are weighing in on how to maintain business continuity, protect your clients, and remain compliant during the COVID-19 pandemic. Below are some of the resources we found most valuable on these subjects:

Avoiding Compliance Pitfalls During the Coronavirus Pandemic – Wealth Management

Even as the tools are available, it’s the uncharted nature of the new business environment that is a challenge.

With some regulatory relief, there are still important practices and compliance steps to be taken when adapting your business operations, especially when it comes to communicating with clients electronically. What to watch out for and things to keep top of mind.  Read more on Wealth Management.

COVID-19 Could be a Harsh Test for Advisor Business Continuity Plans – Wealth Management

“Firms should also prepare for the potential loss of key personnel in the event that someone in the firm comes down with COVID-19…or has to care for someone who has, or, at the most extreme case, passes away.”

How to adapt your mindset and contingencies to encompass a longer-term change in business and how to prepare for workforce disruptions. Will this pandemic help advisors further understand the importance of continuity planning? Read more on Wealth Management.

Regulatory Notice 20-08 : Pandemic-Related Business Continuity Planning, Guidance and Regulatory Relief – FINRA

“Each member firm is also encouraged to review its BCP to consider pandemic preparedness and to review its emergency contacts to ensure that FINRA has a reliable means of contacting the firm….pandemic-related guidance and regulatory relief to member firms from some requirements.”

FINRA issued a notice with guidance regarding continuity plans, remote offices, and emergency office relocations as businesses and regulators adapt to the COVID-19 Pandemic. They have also established a page where advisors can find ongoing guidance and updates. View full list of resources at FINRA.

Business Continuity for Advisors in COVID-19 Crisis – Wealth Professional

“Don’t fool yourself into thinking because you can communicate with your clients via Skype that you’ve properly stressed tested your business continuity plan. That’s a false positive.”

This first of three articles on Business Continuity Planning comes out of Canada, but the important formal continuity reasons are true no matter which country you practice in. Trusted and consistent financial guidance is a global need, especially now. Read more at Wealth Professional.

Continuity Now : Don't Leave Your Business Unprotected – FP Transitions

“While finding a continuity partner who is a perfect fit should remain the ultimate goal, it’s important to have a “right now” plan in place until you do identify a partner and create a more formal agreement.”

Protecting your business and your clients is about more than operational contingencies, it’s about addressing the possibility of sudden death or disability that could cause serious disruption and loss of business value. There are many levels of continuity planning, what are your options and what can you do NOW to ensure your business is protected. Read more at FP Transitions.

How RIA Firms Can Prepare for Coronavirus Business Disruption – RIA in a Box

“While we often think about most emergencies as only a day or two, often we don’t consider catastrophic interruptions that may last months. It is important to make sure your BCP addresses those situations.”

The top preparation considerations and steps financial services practices should take to mitigate business disruptions: communication, compliance, technology, and security. Read more at RIA in a Box.

SEC Coronavirus (COVID-19) Response – SEC

We recognize the importance of our mission to America’s investors and our markets and believe it is a privilege to serve."

In their response to the COVID-19, the SEC has collected and extensive list of documents for regulatory guidance, initiatives, and ongoing actions for registrants that continue to protect investors during disruptions during the pandemic. Read more at SEC.


Keeping the industry informed and providing context has always been an important part of our FP company's mission. As our global financial and health situations unfold, we will strive to bring you important information and commentary from our experts and other industry thought leaders. Explore more News Roundups:

Communicating with Clients During a Crisis

Expert Tips for Working Remotely

Topics: Industry News, Continuity, Compliance, Leadership

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