SEC rule on broker-dealers must be equivalent to the EU Directive on Financial Conglomerates, says SIA

According to a comment letter filed with the SEC on March 2, the SIA believes the CSE proposal fully meets the forthcoming EU standard. The SIA said the rule was an important step in the modernisation of the SEC’s approach to net capital.

The SIA said that while potentially reducing regulatory capital requirements, [the SEC] proposal would require group-wide adherence to rigorous risk management practices and introduce commission supervision of such practices, thereby reinforcing the

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