Category
Financial Services

Unlike market risk, operational risks are largely linked to the internal processes and policies of an insurance company. On occasions, losses arising from the organization’s operational risks may exceed those stemming from credit losses. 

The insurance industry lately is facing consistently increasing regulatory obligations along with the rising demand to adopt new technologies and exceed customer expectations.
With rising inflation, perpetual war, and the constant loom of a major recession, the insurance industry is facing the heat to navigate through uncertainty and chaos.

No business is risk-proof, and financial services are no exception. While you cannot make your business completely risk-proof, you can take measures to mitigate the risk and safeguard your business. Risk assessment and analysis are the first steps in understanding your risks and their impact on your business. Once you know this, you can take appropriate measures to mitigate the risks.

The banking industry is going through a tectonic shift and 2023 is set to become one of the most exciting years in the banking events. The market downturn and economic volatility, the emergence of fintech and neo-banking,  all have set the notion for unprecedented and uncertain times ahead.

Since 2009, financial services’ compliance functions have undergone drastic changes and modifications and the pandemic only elevated them further. Banking institutions are now looking for a more efficient and streamlined compliance model to actively define and shape the firm’s next strategy and operational excellence. 

The purpose of compliance in banking is to detect and prevent any abnormality, criminality, and noncompliance in the bank’s functioning. Banks must operate with integrity and follow regulations, internal policies, and applicable laws.

If the recent proposal for amending the RIA advertising rules becomes a reality, RIAs (Registered Investment Advisers) can start using testimonials and third-party ratings in their advertisements very soon! Just like how lawyers woo their prospects using their clients’ stories of million-dollar settlements in their favor, investment advisers can soon advertise testimonials of how their clients have benefitted through their services.

The Securities and Exchange Commission has laid down various rules and regulations for registered investment advisors (RIA.s), to prevent fraud and unlawful activities. One of the activities that a RIA must undertake to ensure that they comply with all of SEC’s requirements is an internal risk assessment of their firm.

What is RIA Compliance?

As financial planners and money managers for wealthy individuals and corporations, registered investment advisors or RIAs are required to comply with a set of rules and regulations laid down by the Securities and Exchange Commission (SEC).