Regulators Issue Best Practices Report for Working with Seniors
The staffs of the SEC, FINRA and NASAA released a best practices report for working with senior investors. The Report is intended to offer guidance, not to alter current regulatory obligations. The Report highlights the special needs of senior investors. Some of the best practices used by firms includes a firm element continuing education course devoted to senior issues, designating a supervisor and/or a compliance professional for addressing senior issues, and enhancing the account opening process to include a third party contact and additional suitability criteria. The Report also lauds ongoing testing and surveillance efforts such as identifying reps with a large senior client base and denoting senior investors on trade blotters.