Stephanie Avakian, co-director of the SEC Division of Enforcement, said that the agency’s retail strategy task force will use data analytics to find widespread problems involving inadequate fee disclosure and unsuitable product recommendations. It will parse data about products, types of fees and investors, advisory office locations and sales practices. In addition to market data, it will draw on the thousands of tips, complaints and referrals that come into the SEC as well as findings from adviser examinations.
“The goal of the task force is to find the problems [and] think creatively about potential solutions,” Ms. Avakian said at the Securities Enforcement Forum in Washington.
via SEC task force targets retail investor fraud at the adviser level — InvestmentNews
