Compliance ReporterFeatures Interview with Investment Management Partner on SEC Shifts Towards Prudential Regulator

In The News
April 28, 2016

The recent establishment of the Office of Risk and Strategy by the SEC to better monitor market-wide risks and support examiners aligns with the “broader trend of risk management becoming a more regulated function,” stated investment management partner George Raine (Boston) in Compliance Reporter. In the April 22 piece, Mr. Raine outlines that “the SEC has increasingly been moving from being a pure market or disclosure regulator into more of a prudential regulator.” Further highlighting this trend are a number of recent regulatory initiatives, including the liquidity risk management proposal and the emphasis on cyber security, Mr. Raine continued. The new agency “should have a big effect on how [the SEC] look[s] across the industry from a surveillance perspective, and they will likely also tap into this group during exams,” cautioned Mr. Raine.