Experienced professionals assisting broker-dealer and registered investment adviser clients with membership applications, regulatory issues and inquiries, and compliance.
Experienced professionals assisting broker-dealer and registered investment adviser clients with membership applications, regulatory issues and inquiries, and compliance.
The 2026 FINRA Annual Regulatory Oversight Report provides broker-dealers with a comprehensive roadmap of current regulatory priorities and emerging risks. A significant highlight for this year
is the introduction of GenAI: Continuing and Emerging Trends, reflecting FINRA's focus on how new technologies impact firm operations. The report is categorized into critical areas including
Financial Crimes Prevention, which addresses cybersecurity, anti-money laundering (AML), and manipulative trading, as well as Firm Operations, covering third-party risks, books and records,
and the protection of senior investors.
The report further emphasizes Market Integrity and Communications and Sales practices, which are vital for maintaining compliance in a complex landscape. Key areas of focus include Regulation
Best Interest (Reg BI), Form CRS, and private placements, alongside market-specific issues like the Consolidated Audit Trail (CAT), best execution, and fair pricing in fixed income. Additionally,
the 2026 report continues to monitor Member Firms' Nexus to Crypto, ensuring firms manage the risks associated with digital assets effectively.
On the financial side, the report outlines expectations for Financial Management, specifically regarding net capital requirements, liquidity risk management, and the protection of customer assets.
Broker-dealers are encouraged to use the report's appendix as a guide for integrating these findings into their firm's internal compliance programs. By addressing these diverse topics-from outside
business activities (OBAs) to extended hours trading-the report serves as an essential tool for firms to proactively mitigate risk and meet their regulatory obligations.
Diles Consulting is uniquely positioned to help broker-dealers navigate these complex requirements, led by President Colleen Diles, who spent 22 years working on FINRA Examination and Risk Monitoring teams.
Our company provides expert assistance with New and Continuing Member Applications (NMA/CMA), ensuring a seamless process for firms seeking initial registration or membership changes. Additionally,
Diles Consulting offers specialized services such as mock regulatory examinations, independent AML testing, and expert witness consulting and testimony, providing firms with the precision and efficacy
needed to achieve regulatory excellence.
2026 Finra Annual Regulatory Oversight Report