SEC Warns Advisors To Be “Vigilant” As Market Volatility Expands

Posted on March 17th, 2022 at 10:57 AM
SEC Warns Advisors To Be “Vigilant” As Market Volatility Expands

From the Desk of Jim Eccleston at Eccleston Law:

The Securities and Exchange Commission (SEC) has warned financial advisory firms and broker-dealers to be vigilant in analyzing trading risks as market volatility continues to surge.


The SEC has specifically urged firms to review and update their risk management policies. The SEC additionally stated that firms should stress test trading position amid “current events and potential market movements.” In essence, the SEC is reacting to heightened market volatility as investors respond to the rapidly-changing geopolitical atmosphere following Russia’s invasion of Ukraine.


The SEC has further recommended that advisory firms should collect margin from counterparties as much as possible. Also, firms are expected to regularly make efforts to determine counterparty aggregate positions, according to SEC staff.


Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

 
 

Tags: eccleston, eccleston law, SEC

Return to Archive

TESTIMONIALS

Previous
Next

You are the best attorneys in the country.

CC

LATEST NEWS AND ARTICLES

October 8, 2025
Northern Trust Sues Former Advisor for Alleged Fraud and Breach of Fiduciary Duty

According to ThinkAdvisor, Northern Trust Company has filed suit against former wealth management relationship advisor Christopher Walters, alleging that he engaged in “blatant fraud” and breached his fiduciary duty to both the firm and a longtime client.

 

October 7, 2025
Tricolor Bankruptcy Sparks DOJ Probe and Distress in Subprime Auto Loan Market

Tricolor Holdings, a subprime auto lender that combined used-car sales with high-interest financing for borrowers with limited or no credit history, has collapsed into bankruptcy amid a federal investigation into alleged fraud.

October 6, 2025
Judge Allows Widow's $8 Million FINRA Arbitration Claim Against JPMorgan to Proceed

JPMorgan Chase & Co. failed in its effort to block an 85-year-old widow from pursuing claims in FINRA arbitration over allegations that the bank failed to prevent her son from siphoning more than $8 million from her accounts.