At least one employee benefits plan purchased large numbers of structured securities products that were later liquidated well below face value, possibly to the benefit of the broker-dealer that marketed the products, according to a risk alert issued by the Security and Exchange Commission's National Exam Program.
Staff at the SEC's Office of Compliance Inspections and Examinations analyzed over 26,000 sales of SSPs totaling $1.25 billion in principal transactions at 10 branch offices of registered broker-dealers.
The SEC's review of transactions made between January 2011 and December 2012 found structural compliance issues in all the firms involved.
Continue Reading for Free
Register and gain access to:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Nick Thornton
Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.
