NSCP National Membership Meeting / October 20, 21, 22

October 20, 21, 22
Marriott Downtown
1201 Market Street
Philadelphia, Pennsylvania 19107
Phone: 1-215-625-2900
Directions

Important note about hotel reservations

Click here to register with a credit card now!

If you need to pay by check or if you have any questions please email Liza Wentworth

Q. What does "OPEN" mean?
A. It means that Regulators and Press may be present.
All NSCP Workshops are closed to regulators and the press
unless specifically designated as OPEN in the Agenda.

Monday, October 20

REGISTRATION AND BREAKFAST ::: 7:30 – 8:45

PRE-CONFERENCE COURSES ::: 8:00 – 9:00
(1) BD — Compliance for Beginners (Elementary Level)
• Role of a Chief Compliance Officer
• Comparing compliance and supervisory functions
• Registration and licensing requirements
• Serving as your firm’s regulatory interface
• How to say no and still be viewed as an advocate for your firm
Mary E. Cobb, M.E. Cobb Consulting
Diane P. Novak, Washington Mutual
Pamela S. Fritz, MWA Financial Services, Inc.
 
(2) IA — IA Compliance for Beginners (Elementary Level)
• Role of a Chief Compliance Officer
• Comparing compliance and supervisory functions
• Serving as your firm’s regulatory interface
• How to say no and still be viewed as an advocate for your firm
Ndenisarya M. Meekins, K & L Gates
Katie S. Kloster, Thrivent Financial for Lutherans

General Session

9:20 – 9:45 ::: Welcome Address
John J. Brennan, Chairman and CEO, The Vanguard Group, Inc.

9:45 – 10:45 ::: Compliance Implications of the Distressed Credit Markets OPEN
• Implications of the liquidity and credit crisis for broker-dealers and custodians
• What instruments have been at risk and what instruments are at risk in the future
• The impact on money markets, auction-rate instruments and other securities
Elizabeth M. Knoblock, Mayer Brown LLP
John H. Walsh, U.S. Securities and Exchange Commission
Michael G. Rufino, FINRA
William Chan, Credit Suisse

11:00 – 12:30 ::: BD Regulatory Panel OPEN
• Current SEC and FINRA focus
• Consequences of principle based regulation within the industry
• Impacts of the declining mortgage market on Broker Dealers
• The future of Dutch auctions: auction rate securities
• Suitability and the aging investor: retirement and senior concerns
Harry J. Weiss, Wilmer Cutler Pickering Hale and Dorr LLP
Robert L. D. Colby, U.S. Securities & Exchange Commission
Robert C. Errico, FINRA

Lunch ::: 12:30 – 1:30 OPEN

CONFERENCE COURSES ::: 1:30 – 2:45
(1) BD — Compliance Overview (Small Firms)
• Compliance oversight v. supervision – clarify roles
• Policies and procedures – make sure the “shoe fits”
• Books and records – what’s required
• What is required on a set schedule (CE, OSJ audits, annual meetings)
• How to survive in an environment of “rulemaking by enforcement”
Richard C. Szuch, Bressler, Amery & Ross, P.C.
Patricia M. Harrison, Simmons & Company International

(2) BD — Compliance Overview (Large Firms)
• Compliance oversight v. supervision – clarify roles
• Policies and procedures – make sure the “shoe fits”
• Books and records – what’s required
• What is required on a set schedule (CE, OSJ audits, annual meetings)
• How to survive in an environment of “rulemaking by enforcement”
Thomas J. McGonigle, LeClairRyan
Henry Sanchez, Jr., LPL Financial Corporation

(3) IA — Compliance Overview (Small Firms)
• Examining the activities of your firm
• When to self-report
• Customizing your annual review
• Compliance involvement in the credit process
• Key requirements and current “hot” topics
Michelle L. Jacko, Core Compliance and Legal Services, Inc./Jacko Law Group, PC.
Jane E. Bates, Global Financial Services, LLC

(4) IA — Compliance Overview (Large Firms)
• Examining the activities of your firm
• When to self-report
• Customizing your annual review
• Compliance involvement in the credit process
• Key requirements and current “hot” topics
Joseph Hanczor, Ascendant Compliance Management, Inc.
David H. Lui, FAF Advisors, Inc./ First American Funds.

Workshop Session I ::: 3:05 – 4:20

I(a) BD — Advertising Issues
• Advertisements, sales literature, correspondence
• Conflict: business needs vs. compliance requirements
• Establishing an effective advertising review process
• Dealing with FINRA advertising reviewers
Michele L. Gibbons, Mayer Brown LLP
Mark Nicholas, ING Americas U.S. Financial Services

I(b) BD — Trading Practices Issues OPEN
• Equity market structure - Reg NMS, NYSE Hybrid, Best Execution
• Changing needs of institutional equity investors - best execution, research and unbundling
• Derivatives and hedging practices
• Fixed income fair pricing, markups and trade reporting (TRACE)
• The evolving fixed income market structure
Michael D. Wolk, Foley & Lardner LLP
Richard McDonald, Susquehanna Investment Group
Shelly Bohlin, FINRA

I(c) IA — Compliance Programs [Large Firms]
• Internal audit and risk management
• Assessing regulatory risks – developing internal controls and self-testing programs
• In-house audits – auditing compliance processes, procedures and controls
• Evolving examination priorities
• Outsourcing solutions
Jeffrey C. Morton, ACA Compliance Group
Janette L. Filbert, Prudential Financial

I(d) IA — Compliance Programs [Small Firms]
• Focusing on risk areas
• Assessing regulatory risks – developing internal controls and self-testing programs
• In-house audits – auditing compliance processes/procedures and controls
• Evolving examination priorities
• Outsourcing solutions
Michael L. Sherman, Dechert LLP
Lisa D. Crossley, Spectrum Asset Management, Inc.

I(e) GI — Ethics for Compliance Officers
• Your firm’s Code of Ethics – personal trading issues
• Escalation of unethical or non-compliant behavior
• Professional dealings with customers, intermediaries and peers
• Compensation and employment considerations
• New requirements for information disposal
Timothy M. Simons, Ashland Compliance Group LLC
M. Catherine Tuckwell, Scotia Cassels Investment Counsel Limited
Michele F. Lipschultz, Thrivent Financial

I(f) HF — Hedge Fund Compliance and Risk Management Issues
• Qualifying for registration exemptions
• Key disclosures in the offering and marketing documents: risks and conflicts
• Internal controls over valuation
• Establishing third party arrangements
• Bear raids, market manipulation, and non-public information
Mark P. Goshko, K&L Gates LLP
Martha J. Matthews, FISCO, LLC
Uzi Rosha, CarVal Investors, LLC

Workshop Session II ::: 4:40 – 5:55

II(a) BD — Regulatory Issues for Supervisors [Large Firms]
• Delegation of supervisory duties
• Supervision of branch offices and producing managers
• Supervisory red flag review: follow-up and documentation
• Supervisory controls and certification
Ellen J. Bessner, Gowling Lafleur Henderson LLP
Diane P. Novak, Washington Mutual

II(b) BD — Regulatory Issues for Supervisors  [Small Firms]
• Delegation of supervisory duties
• Supervision of branch offices and producing managers
• Supervisory red flag review: follow-up and documentation
• Supervisory controls and certification
Thomas K. Potter, III, Burr & Forman, LLP
Wesley L. Ringo, J.J.B. Hilliard, W.L. Lyons, LLC
Brian Applegate, ING Direct/Sharebuilder

II(c) IA — Conflicts of Interest [Large Firms]
• A systematic approach to identifying conflicts
• Disclosure – where and how
• Conflicts inventory checklist
• Focus: gifts, proxy voting, revenue sharing and outside business activities
Ivan P. Harris, Morgan, Lewis & Bockius LLP
Joseph McGill, UBS Global Asset Management (Americas) Inc.

II(d) IA — Conflicts of Interest [Small Firms]
• A systematic approach to identifying conflicts
• Disclosure – where and how
• Conflicts inventory checklist
• Conflicts focus: gifts, proxy voting, revenue sharing and outside business activities
Steven G. Lentz, Faegre & Benson LLP
Emme Devonish, Transamerica Investment Management, LLC

II(e) GI — Privacy Considerations - Regulation SP Amendments
• SEC Regulation SP amendments
• Information security procedures and safeguards
• Identifying, investigation and reporting on theft and privacy issues
• On-line account intrusions
• Building and maintaining an effective BCP
Michelle L. Jacko, Core Compliance and Legal Services, Inc./Jacko Law Group, PC.
Angela M. Mitchell, Capital Research and Management Company
Alan J. Herzog, Wachovia Securities, LLC

II(f) HF — Regulatory Panel: Perspectives from the Regulators OPEN
• Regulatory initiatives
• Enforcement focuses and trends
• Current examination focus
• What’s on the horizon
Steven W. Hansen, Bingham McCutchen LLP
Gene Golkhe, U.S. Securities and Exchange Commission
Bruce Karpati, U.S. Securities and Exchange Commission

Tuesday, October 21

Workshop Session III ::: 8:00 – 9:15

III(a) BD — Effectively Managing Regulatory Examinations
• Implications of the SEC and FINRA efforts
• Preparing for and managing the process
• Dealing with contingencies
• The exit interview and follow-up
• Don’t have repeat findings: tracking corrective action plans
David E. Rosedahl, Briggs and Morgan, P.A.
Craig R. Watanabe, Western International
Pamela K. Ziermann, Dougherty Financial Group LLC

III(b) BD — Regulatory Reporting
• Customer complaints and Forms U-4, U5 and FINRA 3070
• Additional disclosable events
• Forms U 4 and U-5 – other reporting requirements
• Insurance regulatory considerations
• Blue Sheet enforcement actions
• ACT, TRACE and OATS compliance
Richard C. Szuch, Bressler, Amery & Ross, P.C.
Margaret R. Sandridge, Wachovia Securities
Krien VerBerkmoes, III, VALIC Financial Advisors, Inc.

III(c) IA — Books and Records Modernization OPEN
• Impact of new requirements
• Approach for dual registrants
• Electronic communication retention and supervision
• Compliance challenges with multi-discipline portfolios
Clifford J. Alexander, K&L Gates LLP
Jennifer Sawin, U.S. Securities and Exchange Commission

III(d) IA — Compliance Rule Audits:  What the SEC Is Looking For [Small Firms]
• Changes in the SEC examination process
• The SEC’s relationship with the CCO
• Preparing for your next exam – tracking corrective action
• Prevention, detection and correction
• The exit interview – tips and recommendations, tracking corrective action plans
Timothy M. Simons, Ashland Compliance Group LLC
Judy B. Werner, Gardiner Lewis Asset Management, LP

III(e) GI — Risk Management for BDs and IAs OPEN
• Identifying conflicts of interest; what should be evaluated and disclosed
• Relationships between BDs and Issuers
• Research investment banking conflicts
• Vetting BD products; fee-based account issues
• Managing distress events
Robert Buhlman, Bingham McCutchen LLP
Richard T. Chase, RBC Capital Markets Corporation
Jonathan Sokobin, U.S. Securities and Exchange Commission
Fred Krieger, NYSE Risk Analyst

III(f) HF – Current Issues
• Maintaining and monitoring the private placement exemption
• Differential Treatment of Investors: Side letters, transparency, fees
• Generating Alpha: Choosing Benchmarks and Reporting Performance
• Activist Funds: Form filings and Proxy Battles
• Best Practices – President’s Working Group
Michael S. Caccese, K&L Gates LLP
Charles Lerner, Duff Capital Advisors

Keynote ::: 9:35 – 10:20 OPEN
Lori Richards

IA Regulatory Panel ::: 10:30 – 12:00 OPEN
• Form ADV Part 2
• Regulation S-P
• Mutual Fund summary prospectus
• Post-RAND Study – IA/BD regulatory framework
Richard D. Marshall, Ropes & Gray LLP
David Canter, Charles Schwab & Co., Inc.
Jennifer McHugh, U.S. Securities and Exchange Commission

12:00-1:15 — Lunch with NSCP Business Meeting OPEN

Session IV ::: 1:15 – 2:30

IV(a) BD — Variable Annuities and Other Insurance Products
• Recent SEC and FINRA scrutiny of insurance products
• Sales practices and suitability – FINRA Rule 2821
• Indexed annuities
• Monitoring replacements/1035 exchanges
• Market timing of sub-accounts
Frank A. Taylor, Briggs and Morgan, P.A.
Kenneth M. Cherrier, Woodbury Financial Services, Inc.

IV(b) BD — Outside Business Activities
• Regulatory developments
• Supervision
• Policies and procedures – what do you allow
• Selling away: surveillance and prevention
• Handling customer complaints related to these issues
Paul B. Uhlenhop, Lawrence, Kamin, Saunders & Uhlenhop, LLC
Kerry E. Cunningham, ING Advisors Network

IV(c) IA — Amendments to Part 2 of Form ADV OPEN
• New disclosure requirements
• Practical Issues
• Brochure Supplement
Steven W. Stone, Morgan, Lewis & Bockius LLP
Jeannette L. Lewis, Driehaus Capital Management, LLC
Miriam Lefkowitz, Shufro, Rose & Co., LLC
David Blass, U.S. Securities and Exchange Commission

IV(d) IA — Building and Managing a Compliance Department
• Structure of the compliance department
• Components of an effective compliance program
• Robust testing and independent reporting
• Recruiting and compensation
• Building an effective compliance training program
Joseph D. McDermott, Alaric Compliance Services, LLC
Aaron D. De Angelis, Spring Mountain Capital, LP
Karen Morais, General Re-New England Asset Management, Inc.

IV(e) GI — The Regulatory Enforcement Process  OPEN
• The evolution of enforcement matters
• Dealing with enforcement settlements
• Handling publicity
• Forecasting and surviving the results
• Recent cases
Ben A. Indek, Morgan, Lewis & Bockius LLP
A. Brad Busscher, Mesirow Financial
James B. Adelman, Commonwealth Financial Network

IV(f) Investment Company Compliance Oversight
• Valuation
• Auction rate preferred shares
• Money market sweep exam
• Anti-money laundering
Dexter S. Buck, FAF Advisors, Inc.
Steven Howard, Bingham McCutchen LLP

Session V ::: 2:50 – 4:05

V(a) BD — Building and Managing a Compliance Department
• Structure of the compliance department
• Components of an effective compliance program
• Robust testing and independent reporting
• Recruiting and compensation
• Building an effective compliance training program
Brian Underwood, Wachovia Securities
Charles V. Senatore, Fidelity Investments
Al Vermitsky, Hennion & Walsh Inc.

V(b) GI — Marketing to Seniors
• The regulatory focus - source and nature of concerns
• Marketing, sales practices issues, and suitability
• Alternative investments combining insurance and securities
• Suggested responses and best practices
• Hot topics: free lunch seminars, senior specialist designation, assessing mental competence
Theodore J. Sawicki, Alston & Bird LLP

V(c) IA — International Compliance Issues
• Doing business in the global marketplace
• Impact of MiFID – Markets in Financial Instruments Directive
• Cross-border registration/compliance issues
• Sales and marketing issues
Stuart E. Fross, Wilmer Cutler Pickering Hale and Dorr LLP
Douglas A. Keech, Prudential Investment Management, Inc.

V(d) IA — IA Trading Desk Activities
• How do you test for best execution?
• Brokerage committees, practical application, procedures and documentation
• Side-by-side management
• Brokerage allocations, trade allocations and aggregation – what is fair and equitable?
Tina Mitchell, Dynamic Compliance Consulting LLC
David C. Prince, Stephens Investment Management Group, LLC

V(e) GI — ERISA Compliance for Advisers and Broker-Dealers
• At what point do you become a fiduciary?
• Prohibited transactions and exemptions
• QPAMs and service providers
• Issues in working with individual retirement accounts
• Difficulties with certain products
Jeanie Cogill, Bingham McCutchen LLP
Patricia E. Flynn, INTECH
Kenneth L. Wagner, William Blair & Company, LLC

V(f) GI — Anti-Money Laundering
• Suspicious activity reporting
• Customer identification programs (CIP)
• OFAC considerations
• Privacy concerns – information sharing under Rule 314(b)
• The Foreign Corrupt Practices Act
Satish Kini, Goodwin Procter LLP
Mike McVoy, U.S. Bancorp Fund Services, LLC
Jerry C. Danielson, Lincoln Financial Group

Session VI ::: 4:25 – 5:40

VI(a) BD — International Compliance Concerns
• Policies and Procedures
• Understanding cross-border regulatory hurdles
• Impact of MiFID – Markets in Financial Instruments Directive
• Supervision
• Business travel concerns
Holly H. Smith, Sutherland
Evan J. Charkes, Citigroup

VI(b) BD — On-Line and Electronic Brokerage
• Regulatory expectations regarding supervision
• On-line business models
• Unique compliance challenges
• Know-your-customer processes
• Fraud concerns
Linda Lerner, Debevoise & Plimpton LLP
James E. Ballowe, Jr., E*Trade Brokerage Holdings, Inc.

VI(c) IA — Compliance Rule Audits:  What the SEC Is Looking For [Large Firms]
• Changes in the SEC examination process
• The SEC’s relationship with the CCO
• Preparing for your next exam – tracking corrective action
• Prevention, detection and correction
• The exit interview – tips and recommendations, tracking corrective action plans
Robert G. Bagnall, Wilmer Cutler Pickering Hale and Dorr LLP
Chih-Pin Lu, Raymond James Financial, Inc. Asset Management Group

VI(d) GI — Sampling techniques for Compliance Testing
• Acceptable standards regarding samples
• Approaches to test the Firm’s internal controls – what is reasonable
• Documenting the process
• Building a plan that leads to the CEO Certification
Kenneth I. Daniels, Compliance & Litigation Consulting
Martha J. Matthews, FISCO LLC
Ken Bell, ING Advisors Network

VI(e) GI — Electronic Communications
• FINRA guidance
• Common deficiencies
• BlackBerrys and instant messaging – are you capturing what you need?
• Vendor solutions
• Partnering with your IT Department
Daniel Earles, WaMu Investments, Inc.
Nina S. McKenna, ING Americas – Legal Services
Steve Malina, Greenberg Traurig, LLP

VI(f) GI — Current Investment Company Issues
• Current issues with valuation and liquidity
• Latest new products: ETFs, life-cycle funds, leveraged funds
• Board oversight of trading/soft dollar arrangements
• Portfolio analysis/due diligence on pricing agents/pricing methods and
  ability to analyze relevance to the market
Alison Ryan, Dechert LLP
J. Christopher Jackson, Deutsche Asset Management

Wednesday, October 22

Session VII ::: 8:00 – 9:15

VII(a) BD — Regulatory Developments without the Regulators
• Recent decisions, no-action letters and interpretations
• Current examination experiences and processes
• Update on new and proposed regulations
• Getting involved with regulatory initiatives
Harry J. Weiss, Wilmer Cutler Pickering Hale and Dorr LLP
David A. DeMuro, Lehman Brothers

VII(b) BD — Clearing Arrangements for Introducing Firms
• Written supervisory procedures
• Allocation of AML responsibilities
• Best execution for introducing brokers
• Outsourcing
• New and old Clearing Agreement Issues
David C. Franceski, Jr., Stradley, Ronon, Stevens & Young, LLP
Gwen K. Weithaus, Northwestern Mutual Investment Services, LLC
Peter von Maur, RBC Capital Markets Corporation

VII(c) IA — Regulatory Developments Without the Regulators
• What’s new on the horizon
• Recent SEC examination trends
• 12b-1 reform
• Changes to Rule 2a-7
• New Soft Dollars disclosure standards
David W. Porteous, Levenfeld Pearlstein, LLC
David H. Lui, FAF Advisors, Inc./First American Funds

VII(d) GI — Gifts, Entertainment, and Non-cash Compensation Issues
• Regulatory considerations for IAs and BDs
• What should be in your written policies and procedures
• Surveillance and coordination efforts
Michael King, K&L Gates LLP
Scott E. Richter, JPMorgan Chase & Co.
Gigi K. Szekely, Eaton Vance Distributors, Inc.

VII(e) GI — US Firms Doing Business in Canada
• Registrations and exemptions from registration
• Impact of registration reform on current registrants
• What "Canadian" policies and procedures do you need?
• How Canadian subsidiary's business affects its U.S. parent
• Dealing with Canadian pension plans
Mark D. Pratt, McMillan Binch Mendelsohn LLP
Torstein M. Braaten, ITG Canada Corp.

VII(f) HF — Managing Non-Public Information
• Selective disclosure practices
• Product challenges: PIPES, distressed debt and bank loans
• Personal trading policies
• Side-by-side trading different strategies
• Big-boy letters
Scott A. Meyers, Levenfeld Pearlstein, LLC
Nancy J. Ross, Ontario Municipal Employees Retirement System

Session VIII ::: 9:35 – 10:50

VIII(a) BD — Internal Compliance Examinations [Large Firms]
• Requirements for internal inspections
• OSJs, branches, and other offices
• Reporting on and tracking corrective action plans
• How to conduct in-house compliance reviews and risk assessments
• Designing review procedures
Paul A. Merolla, LeClairRyan
Christopher J. Kopka, Thrivent Financial for Lutherans
Tracy Peebles, Washington Mutual

VIII(b) BD — Internal Compliance Examinations [Small Firms]
• Requirements for internal inspections
• OSJs, branches, and other offices
• Reporting on and tracking corrective action plans
• How to conduct in-house compliance reviews and risk assessments
• Designing review procedures
Carolyn R. May, Consultant
David Sobel, Abel/Noser Corp.

VIII(c) IA — Portfolio Valuation, Pricing and Liquidity
• Policies and procedures and fund boards’ participation/oversight responsibilities
• How do you fair value for market events – build or outsource modeling?
• Fair valuing individual securities/illiquid securities
• Compliance role in valuation issues
Terrance O’Malley, Fried, Frank, Harris, Shriver & Jacobson LLP
Timothy B. Parker, Matthews International Capital Management, LLC

VIII(d) IA Roundtable
• Comparisons of recent experiences in inspections,
• Managing compliance in a budget-constrained environment
• Investigating and documenting violations
William R. Meck, Meck Compliance Consulting LLC
Manoj Tito Pombra, Matthews International Capital Management, LLC

VIII(e) GI - Compliance Risk Assessments
• Conducting a risk assessment; identifying your firm’s most likely deficiencies
• Lessons learned from prior deficiency letters and customer complaints
• Evaluating adequacy and effectiveness of internal controls
• Conducting a gap analysis and implementing a corrective action plan process
• Case study example
William E. Donnelly, LeClairRyan
Deborah A. Lamb, McKinley Capital Management Inc.
James F. McGuire, LPL Financial Institution Services/UVEST

VIII(f) GI - Protecting the CCO from Regulatory and Civil Liability
• Understanding the elements of legal liability
• The Regulators' approach to CCO liability
• Avoiding liability and arbitration awards
• Cases where liability has been imposed
Glen Barrentine, Cadwalader, Wickersham & Taft LLP
Robert M. "Bud" Slotky, U.S. Bancorp Fund Services, LLC
David E. Fischer-Lodike, Wachovia Securities LLC

General Session ::: 11:10 – 12:35

GI - Illegitimi non Carborundum  OPEN
(or How to Be An Effective CCO and Keep Your Sanity)
• The barbarians at the gates
    Addressing sales practice disasters
• Gone With The Wind
    "You don't really need all those budgeted positions, do you?"
• What do you mean "This new sub-prime Z Traunch is a great fixed income product for our post-70 clients?"
    Product introductions that test your mettle.
• "Just put a coat of paint on it, it still works just fine."
    Overcoming management resistance to modernizing surveillance programs
Michael K. Wolensky, Schiff Hardin LLP
Anne C. Flannery, Morgan, Lewis & Bockius LLP
Janet Epstein, Charles Schwab & Co., Inc.
Judy B. Werner, Gardner Lewis Asset Management, LP
Mark T. Carberry, UBS Financial Services Inc.

Click to view the 2007 Agenda