Jacob Frenkel Speaks with Financial Planning about RIA Investigations

Jacob Frenkel (Member, Washington, D.C.) recently spoke with Financial Planning for an article titled “Is the SEC up to its $84-trillion RIA challenge?” The article considers the situation the Securities and Exchange Commission currently finds itself in; amid the disappointing results of the SEC’s latest annual performance review, which found a notable rise in the share of Registered Investment Advisors receiving exams coinciding with two missed goals around enforcement, and the loss of over 400 positions to contract cuts and a hiring freeze, the number of SEC-registered RIAs has soared by 13% over the past five years. Jacob argues, however, that the agency is in fact improving the efficiency of its investigations.

“Even when the Division of Enforcement was at its most robust staffing levels, there was always a clamoring for more investigative resources,” he said. “What we’re seeing now with the more limited resources is an effort to prioritize and bring cases that are consistent with the Chairman’s priorities and the agency’s mission.”

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