Compliance

The Financial Industry Regulatory Authority announced Thursday it has reached settlements with units of HSBC and U.S. Bancorp related to the sale of auction-rate securities that became illiquid when auctions froze in February 2008.

The civil suit filed against Goldman Sachs by the Securities & Exchange Commission alleging securities fraud could strengthen the argument to establish a universal fiduciary standard, according to legal experts.

The Department of the Treasury on Friday issued a questionnaire to primary dealers asking them how the SEC’s new money market fund rules, which take effect on May 5, could impact demand for Treasuries and the broader Treasury repo and cash market functioning. Treasury is seeking the information ahead of a meeting with the dealers on April 30.

Dodd calls for study on performance information in advertisements.

Senate Banking Committee Chairman Chistopher Dodd (D-Conn.)’s financial overhaul bill takes issue with performance information in mutual fund advertisements and asks for a review of the practice by the comptroller general.

The regulator fined units of the two banking companies $1.5 million and $275,000 respectively for auction rate securities violations.

Brokers voice concerns at Mutual Fund Directors Forum.

The federal government’s Financial Crisis Inquiry Commission has subpoenaed Moody’s Corp. for allegedly failing to provide requested information.

The Justice Department is seeking to intervene and temporarily halt fact-finding by a group of localities in their class action suit against Wells Fargo & Co. and 15 other banks, broker-dealers and investment brokers for allegedly conspiring to rig bids and fix prices of investment and derivatives contracts in the municipal market.

Despite recent tough talk about problems with the regulatory reform bill, Republicans are unlikely to win significant concessions as the legislation moves to the Senate floor.

The federal government’s Financial Crisis Inquiry Commission has subpoenaed Moody’s Corp. for allegedly failing to provide requested information.

WASHINGTON – The Securities and Exchange Commission’s proposed large trader reporting system would seriously hinder large floor traders and brokerages, according to industry executives.

WASHINGTON — The Senate Agriculture Committee has voted 13 to 8, mostly along party lines, to approve a bill to regulate over-the-counter derivatives. The bill would impose a fiduciary duty on dealers who pitch, advise or enter into swaps with localities, endowment funds, or pension funds.

The Securities and Exchange Commission's (SEC) actions against Goldman Sachs have sent credit default swap spreads spiraling wider not only for Goldman, but for the entire banking sector, according to Fitch Solutions.

Lawmakers split Tuesday on whether the regulatory reform bill should include a "financial crisis responsibility fee" charged on the largest institutions.

After more than a week of escalating partisan rhetoric over regulatory reform, Senate Republican leaders significantly changed their tone on Tuesday, suggesting a bipartisan bill was now within reach.

Seeking to win Republican votes for regulatory reform legislation, Senate Banking Committee Chairman Chris Dodd and other Democrats suggested Monday that they are open to eliminating a proposed $50 billion resolution fund for systemically important institutions.

As lawmakers continue to spar over regulatory reform legislation, a separate push to charge the largest banks a "financial crisis responsibility fee" is gaining momentum.

XBRL US is working on applications for Apple’s iPhone and newly release iPad. The goal is to demonstrate the power of XBRL in a simple and accessible way, said XBRL US President and Chief Executive Mark Bolgiano.

As mutual fund companies turn out derivatives- and leveraged-laden offerings, regulators are becoming increasingly concerned that funds, and the financial industry at large, are forgetting the lessons of the Great Recession by returning to complicated, high-risk products.