Page 33 - 期货和衍生品行业监管动态（2024年9月刊）

期货和衍生品行业监管动态

SEC 的命令发现 First Horizon 违反了最佳利益规则的合规义务。First Horizon

对 SEC 指控的情况既不承认也不否认，对停止令表示同意，并接受谴责，支付

上述民事罚款。

SEC Charges Broker-Dealer First Horizon With Regulation Best Interest

Violations（2024/9/18）

Firm’s structured note recommendations violated Reg BI’s compliance

obligation

The Securities and Exchange Commission today announced charges against

registered broker-dealer First Horizon Advisors, Inc. for failing to maintain and

enforce policies and procedures reasonably designed to achieve compliance with

Regulation Best Interest (Reg BI). The charges relate to First Horizon’s

recommendations of a type of derivative security called a structured note. First

Horizon agreed to pay a civil penalty of $325,000 to resolve the SEC’s charges.

The SEC’s order finds that First Horizon failed to comply with its Reg BI

policies and procedures in multiple ways. For example, in 2021, First Horizon

migrated more than 5,000 customer brokerage accounts to its system from that of a

broker dealer with whom First Horizon had merged. Because of incompatibilities in
the two systems First Horizon did not have accurate customer information necessary

to review structured note recommendations for compliance with First Horizon’s Reg

BI policies and procedures. In addition, the registered representatives who joined First

Horizon from the merging broker-dealer did not have access to First Horizon’s

exception reporting site to review structured notes transactions flagged as

non-compliant, as required by First Horizon’s Reg BI policies and procedures. The

SEC’s order also finds that, in 2023, the firm approved structured note

recommendations without all the documentation required by its Reg BI policies and

procedures.

22