Agenda
(click here for pdf version)
Dine Around
Network with other Broker-Dealers, Investment Advisers, and
Hedge Fund Managers in a casual atmosphere at one of
Philadelphia’s finer restaurants. Pre-registration and pre-payment
is required for the Dine Around.
Investment-Adviser DineAround Form
If payment is received by: |
7/21/2009 | 8/31/2009 | 9/15/2009 | On Site |
|---|---|---|---|---|
| NSCP Member of Record | $750.00 | $825.00 | $900.00 | $1,200.00 |
| Member Associate (nonmember from same firm) | $850.00 | $925.00 | $1,000.00 | $1,300.00 |
| Non - Member | $1,150.00 | $1,225.00 | $1,300.00 | $1,600.00 |
| Guest (Receptions Only) | $150.00 | $150.00 | $150.00 | $150.00 |
**NATIONAL MEETING "3 FOR 1" REFERRAL PROGRAM*
Successfully refer a prospective member and receive 1/3 off your 2009 National Meeting registration, a savings of at least $250.00!
Any NSCP member that makes three or more successful referrals will get to attend the meeting at no charge.
Download this form to submit as many referrals as you'd like, and increase your chances of a free registration. Each prospective member must submit a completed membership application with payment by 9/15/09. Certificates are not transferable and have no monetary value. If you have any questions regarding the 3 for 1 Program, please contact Steve Szalewicz at sszalewicz@nscp.org.
CANCELLATION POLICY
Upon notification in writing on or before Tuesday, August 18th, 2009,
a full refund, less a $100 (USD) administrative fee, will be made. No
refunds will be issued after that date, but substitutions may be made
on or before Tuesday, September 15th, 2009. Substitutions are
subject to a $100 (USD) administrative fee.
CE CREDITS
NSCP National Meetings offer CLE/CE credits in connection with most
U.S. certifying organizations. This program, which covers 62 subjects,
may also qualify for the Firm Element of your SRO Continuing Education Program.
DRESS CODE is business casual
Because meeting room temperatures may vary, please dress casually,
in layers, to assure personal comfort.
Definition of IA Small Firm
Fewer than 50 staff overall, with only one or two folks serving in the compliance function.
Definition of BD Small Firm (per FINRA’s definition)
Any broker or dealer admitted to membership in the Corporation which, at the time
of determination, has at least 1 and no more than 150 registered persons.
Roundtables
Intimate conversations with no more than 20 people, led by an experienced
moderator.
Topics of discussion will be determined by participants. Registration
is on a first-come
basis. Participants will be polled for discussion points six
weeks out. CE credits do NOT apply.
Event Chairperson
Judy B. Werner, Gardner Lewis Asset Management, LP
What "open" means
Except where noted as “OPEN,” all workshops are closed to Regulators and members
of the press. Admission to closed workshops is restricted to meeting attendees.
Certified Securities Compliance Professional® (CSCP®) Program
The NSCP certification program, Certified Securities Compliance Professional®
(CSCP®), distinguishes individuals with intermediate to advanced proficiency
and a commitment to advancing securities compliance practices, lifelong
learning, and professional development.
The CSCP certification program is designed to meet the dynamic changes
and the increased responsibility and authority now carried by compliance
professionals in the financial services industry. The certification provides a
means for compliance professionals to demonstrate mastery of the two principal
regulatory regimes that currently govern industry participants. The CSCP
credential
acknowledges the importance to all compliance professionals of understanding
each of these regimes. The CSCP program certifies those who are leaders in the
knowledge of standards and best practices for the compliance profession
throughout the financial industry.
Please visit www.cscp.org for further details about the CSCP program.
SUNDAY, OCTOBER 4TH
8:00 pm – 9:30 pm: Optional nighttime registration: no need to stand in line Monday morning
MONDAY, OCTOBER 5TH
7:45 am – 8:45 am: 4 concurrent workshops
BD – Fundamentals for Compliance
• Role of a Compliance Officer
• Comparing compliance oversight and supervisory responsibilities
• Registration and reporting requirements
• Serving as your firm’s regulatory interface
• How to say no and still be an advocate for your firm’s initiatives
Carolyn R. May, CSCP, Compliance Consultant
David M. Sobel, Abel/Noser Corp.
IA – Fundamentals for Compliance
• Role of a Compliance Officer
• Comparing compliance oversight and supervisory responsibilities
• Serving as your firm’s regulatory interface
• How to say no and still be an advocate for your firm’s initiatives
• How to use targeted risk assessments to enhance policies and procedures and the annual review process
Aaron D. De Angelis, Spring Mountain Capital, LP
William R. Meck, Meck Compliance Consulting LLC
GI – Primer on Complex Financial Instruments
• Wrap fee account/Financial planning issues
• Vetting products
• Credit default swaps
• Structured notes
• The risks of using these types of instruments
David C. Franceski, Jr., Stradley Ronon Stevens & Young, LLP
Mark T. Carberry, UBS Financial Wealth Management Americas
Selwyn J. Notelovitz, Wellington Management
HF – Portfolio Oversight: Operational Risk Assessment
(Investors, Plan Trustees, Pension Consultants)
• Legal and regulatory considerations: Investment structure, domicile, registrations
• Separation of operational functions: Valuation, risk management, trade reporting and compliance
• Internal controls to prevent misuse or theft
• Reporting and transparency
• Risk evaluation of third party arrangements: Auditors, prime brokers, custodians, administrators
Michael S. Chick, Stark Investments
Peter E. Schifsky, LaCrosse Global Fund Services LLC
8:15 am – 10:00 am: 2 concurrent labs
Labs are hands-on interactive format led by hand-picked facilitators.
Work with your colleagues in a group setting to share ideas, exercise
problem-solving skills, and amass real-world knowledge that can be readily applied back at the office.
LAB 1: IA – Compliance Testing
• Testing environment and firm-wide risk assessment
• Support for the annual compliance review and daily high risk functions
• Sampling techniques and use of limited resources
• Compiling an action plan and sharing analysis
• Reporting and follow-up processes and procedures
Craig Watanabe, Penniall & Associates, Inc.
Krista S. Zipfel, Advisor Solutions Group, Inc.
Tracy Webb, CSCP, INTECH
Timothy M. Simons, CSCP, Ashland Compliance Group LLC
LAB 2: GI – Lessons from the Business Side
(The Second Luckiest Guy in the Room, or Lessons when a CCO leads Business Strategy and Development)
• The half-life of a CCO on the business side? Find out!
• Three irrefutable truths? Attend!
• Three key correlations to happiness? You’ll learn ‘em!
• How to keep your sense of humor and sanity when you are in compliance
Christopher Kopka, Thrivent Financial for Lutherans
8:55 am – 10:10 am: 7 concurrent workshops
I(a) BD – Current Challenges for the Advanced Compliance Professional [Small Firms]
• Survival tips for “rapid-fire” rulemaking and enforcement
• Operating under resource constraints
• Vetting products and services
• How to integrate risk management into your supervisory system
• Re-examining compliance priorities in a rapidly changing environment
Lisa L. Tharpe, Foley & Lardner LLP
Cara Gressen, Allianz Life Insurance
I(b) BD – Current Challenges for the Advanced Compliance Professional [Large Firms]
• Survival tips for “rapid-fire” rulemaking and enforcement
• Operating under resource constraints
• Vetting products and services
• Defining the roles of risk management and compliance
• Re-examining compliance priorities in a rapidly changing environment
David A. DeMuro, O’Melveny and Myers LLP
Gwen Weithaus, CSCP, Northwestern Mutual Investment Services, LLC
Kurt Lofgren, Amerprise Financial
I(c) IA – Business and Regulatory Disclosures including the ADV
• Who needs disclosure? SEC? Clients?
• What do we disclose? Conflicts?
• Where do we disclose? ADV?
• When do we disclose? 10 days? Annually?
• City licenses and other unique filings you may not know about
Paul B. Uhlenhop, Lawrence, Kamin, Saunders & Uhlenhop, LLC
Pamela K. Ziermann, CSCP, Dougherty Financial Group LLC
I(d) IA – Your Compliance Empire
• Balancing masters: The IC Board, the IA Board, or other boards
• Territories you have to cover: Ethics, trading, hosting regulators, and others
• Staffing levels: Ideally, really, or what’s in the 2010 budget?
• Training your elite force or getting by?
• Join compliance and see the enterprise, plus other recruiting ideas
Richard M. Nummi, Accounting & Compliance International (ACI)
Jason Rein, Deutsche Bank
I(e) GI – Due Diligence on Vendors and Subadvisers
• Vendor utilization risks: Regulatory and otherwise
• New vendor due diligence for subadvisers, counterparties, etc.
• On-going due diligence – is it as good as it looks?
• Vendor clashes
• Vendor divorce: Planning for a broken relationship
Linda J. Hoard, PNC Global Investment Servicing
Katie S. Kloster, Thrivent Financial for Lutherans
Henry Sanchez, Jr., LPL Financial Services
I(f) HF Regulatory Panel
• Current and future examination and enforcement focus
• What is expected of compliance?
• Best practices ideas
• What will our industry look like in the future?
Steven W. Hansen, Bingham McCutchen LLP
Gene A. Gohlke, SEC*
Bruce Karpati, SEC*
10:20 am – 11:35 am: 7 concurrent workshops
II(a) BD – The Road Map to Managing Regulatory Examinations
• Follow the map – exam priorities
• Before they arrive... They’ve arrived (preparation and management)
• Influence, manage, build rapport and resolve differences
• They’re exiting... The interview and follow up
• Did we do everything we said we would?... Tracking corrective actions
Kenneth I. Daniels, Compliance & Litigation Consulting
Alan J. Herzog, Wells Fargo Advisors, LLC
II(b) BD – Pay to Play or Pay for Playing!
• “It’s not just about giving the $250 and for whom you can vote for anymore”
• Colorado and other states’ pay to play rules dissected
• G-37 consequences, state consequences, if pay to play violations occur
• Best practices for political contributions
Thomas K. Potter, III, Burr & Forman, LLP
Kenneth L. Wagner, William Blair & Company, L.L.C.
II(c) IA: Applying the Fundamentals
• What are the IA fundamentals?
• Key requirements and current “hot topics”
• Disclosure, disclosure, disclosure
• Examining the activities of your firm
• Being an advocate for your firm’s initiatives
Kevin M. Gleason, The Northwestern Mutual Life Insurance Company
Sylvia M. Scott, Freeman, Freeman & Smiley, LLP
II(d) IA: New Issues in SEC Examinations
• Changes in the SEC examination process
• New focus on custody, due diligence, relationship with affiliates and other conflicts
• How to handle inadvertent disclosure of the attorney-client privilege
• What is the new enforcement process?
• How to best serve as your firm’s regulatory interface
Elizabeth M. Knoblock, Mayer Brown LLP
James A. Capezzuto, SEC
Kevin Goodman, SEC
II(e) IC – Money Market Funds Update
• Government intervention: Money market insurance and support of the commercial paper markets
• Update on proposals for further government intervention
• Lessons from the Reserve Primary Fund situation
• Current market conditions: Issues with negative returns and shortage of investment opportunities
• Audit committee reviews, valuation policies, and reliance on credit ratings
Alison C. Ryan, Dechert LLP
J. Christopher Jackson, Deutsche Asset Management
II(f) HF – Managing Conflicts of Interest
(Fund Managers and FoF Managers)
• Appropriate disclosures and consistent conduct
• Allocation of investment opportunities among clients
• Valuation, allocation, high water marks and performance fees
• Fund of fund manager relationships with underlying hedge fund managers
• Side letter agreements, side by side trading
Clifford J. Alexander, K&L Gates LLP
Marco A. Collazos, Quantek Asset Management LLC
11:50 am – 12:30 pm
Keynote Address - OPEN
John Walsh, SEC
20 min break
12:50 pm – 2:15 pm
Lunch
2:30 pm – 4:00 pm
BD - Regulatory Panel - OPEN
• Current and future regulatory focus
• Hot topics
• What is expected of compliance?
• Best practices ideas
• What will our industry look like in the future?
Harry J. Weiss, Wilmer Cutler Pickering Hale and Dorr LLP
Robert C. Errico, FINRA
Duer A. Meehan, SEC
William F. Reilly, Jr., Florida Division of Securities
4:15 pm – 5:45 pm
IA - Regulatory Panel - OPEN
• Current and future regulatory focus
• Hot topics
• What is expected of compliance?
• Best practices ideas
• What will our industry look like in the future?
Michelle L. Jacko, Core Compliance & Legal Services, Inc.
Kevin W. Goodman, U.S. Securities and Exchange Commission
Sarah A. Bessin, SEC Investment Management
Kelvin M. Blake, Maryland Division of Securities
6:00 pm :: Beer & Wine Reception
TUESDAY, OCTOBER 6
7:30 am – 9:15 am: 2 concurrent labs
Labs are hands-on interactive format led by hand-picked facilitators.
Work with your colleagues in a group setting to share ideas, exercise
problem-solving skills, and amass real-world knowledge that can be readily applied back at the office.
LAB 1: BD – Compliance Testing
• Conducting an annual risk assessment and identifying risks
• Lessons learned from prior deficiency letters and customer complaints
• Evaluating adequacy and effectiveness of internal controls
• Sampling techniques, methodology and use of limited resources
• Implementing and sharing a corrective action plan process
Jerry C. Danielson, Lincoln Financial Group
Cathleen Seneca, E*TRADE Clearing LLC
Craig Watanabe, Penniall & Associates, Inc.
David Sobel, Abel/Noser Corp.
LAB 2: GI – Soft Skills Workshop: Navigation of Networking in a Regulatory Landscape
• Enlisting support from upper management
• Communicate successfully with your c-level executives
• Carve out time to build your industry (or professional) network
• Break the ice and build instant rapport
• Value of connecting to your firm, your career, the industry
Nancy C. Creedon, Deloitte & Touche LLP
Michele Lipschultz, Thrivent Financial for Lutherans
8:00 am – 9:15 am: 7 concurrent workshops
III(a) BD – Annuities: Fixed, Indexed and Variable
• The New World Order – SEC Rule 151A indexed annuities
• Suitability across the board – fixed, indexed, variable and investor owned life insurance
• Supervision, understanding insurance sales culture
• Replacements/persistency/1035 Exchanges
• Intersection of state and federal regulation
John T. Doscher, Prudential Financial, Inc.
Steven M. Malina, Greenberg Traurig, LLP
III(b) BD – Arbitration – What to do when:
• A client sues
• An ex-employee wants expungement
• Dealing with outside counsel
• Documenting production
• The rules of arbitration
Richard C. Szuch, Bressler, Amery & Ross, P.C.
Al Vermitsky, CSCP, Hennion & Walsh Inc.
III(c) IA – “Regulatory Audits: What the SEC is Looking For” [Small Firms]
• How to prepare for and survive an SEC exam, what examiners look for
• Key differences among types of SEC exams
• How to present that your compliance program is dynamic
• What to relate to the examiners while they’re on-site and the exit interview process
• How to best respond to a deficiency letter
Keith Marks, Ascendant Compliance Management, Inc.
Manoj “Tito” Pombra, Matthews International Capital Management, LLC
III(d) IA – “Regulatory Audits: What the SEC is Looking For” [Large Firms]
• How to prepare for and survive an SEC exam, what examiners look for
• Key differences among types of SEC exams
• How to present that your compliance program is dynamic
• What to relate to the examiners while they’re on-site and the exit interview process
• How to best respond to a deficiency letter
Janette L. Filbert, Prudential Financial, Inc.
Jeffrey C. Morton, ACA Compliance Group
III(e) GI – Dealing with Regulatory Enforcement
• The changing enforcement landscape
• Who should deal with enforcement?
• Forecasting the results and cutting your potential exposure
• Settlement process – who, what, when and how?
• Publicity issues
A. Brad Busscher, Incapital, LLC
Ben A. Indek, Morgan, Lewis & Bockius LLP
Wesley L. Ringo, J.J.B. Hilliard, W.L. Lyons, LLC
Brian Carroll, SEC
III(f) HF – Legislative Landscapes and Reform Proposals Affecting Hedge Fund Managers
• Proposed reforms and industry best practices
• Proposed federal legislation
• Proposed state legislation
• Proposed rulemaking (federal agencies and SROs)
• Anticipated compliance costs
• Cayman Islands and EU Initiatives
Michael Byrne, Pennsylvania Securities Commission
Stuart J. Kaswell, Managed Funds Association
Ingrid Pierce, Walkers
David W. Porteous, Ulmer & Berne LLP
Mr. Porteous will be bringing together representatives of government
and spokespeople for the industry to discuss the future of
hedge fund regulation
III(g) Roundtable
CSCP (Certified Securities Compliance Professional)
• Why should I take the exam?
• How to navigate through the curriculum
9:35 am – 10:50 am: 6 concurrent workshops
IV(a) BD – Conflicts of Interest [Small Firms]
• Types of conflicts (e.g., “preferred” vs. other clients)
• Business-justifiable “need to know” exceptions
• Information barriers (research vs. other departments)
• Circulation of rumors and other regulatory developments
• Practice case on identifying conflicts at a firm
John V. Ayanian, Morgan, Lewis & Bockius LLP
Patricia M. Harrison, Simmons & Company International
IV(b) BD – Conflicts of Interest [Large Firms]
• Types of conflicts (e.g., “preferred” vs. other clients)
• Business-justifiable “need to know” exceptions
• Information barriers (research vs. other departments)
• Circulation of rumors and other regulatory developments
• Practice case on identifying conflicts at a firm
Susan L. Hoffman, Bingham McCutchen LLP
Christopher J. Mahon, Deutsche Bank Securities Inc.
IV(c) IA – Legislative Landscapes and Reform Proposals Affecting Investment Advisers
• Proposed reforms and industry best practices
• Proposed federal legislation
• Proposed state legislation
• Proposed rulemaking (federal agencies and SROs)
• Anticipated compliance costs
David H. Lui, FAF Advisors/First American Funds
Daniel F. C. Crowley, K&L Gates LLP
Mr. Lui will be bringing together representatives of government
and spokespeople for the industry to discuss the future of
investment adviser regulation
IV(d) GI Session – Electronic Communications
• Regulatory guidance and common deficiencies
• New and emerging technologies and their challenges
• Best practices and supervision for social networking, Internet use, LiveMeeting technology and Blackberrys, etc...
• Monitoring and retention
Robert A. Buhlman, Bingham McCutchen LLP
Jeffrey O. Himstreet, Ameriprise Financial, Inc.
Peter von Maur, RBC Capital Markets Corporation
IV(e) GI – Outside Business Activities
• Reportable: the what, why and how?
• “What if game” – what if it’s non-profit? Passive activities or securities
• The independent contractor challenges and supervision
• Responsibilities for due diligence
• Best practices for review, approval and supervision
James B. Adelman, Commonwealth Financial Network
Nina S. McKenna, ING Americas US Legal Services
Holly H. Smith, CSCP, Sutherland
IV(f) Roundtable
Recent Experiences with Regulatory Audits
11:10 am – 12:25 pm: 6 concurrent workshops
V(a) BD – Legislative Landscapes and Reform Proposals Affecting Broker-Dealers
• Proposed reforms and industry best practices
• Proposed federal legislation
• Proposed state legislation
• Proposed rulemaking (federal agencies and SROs)
• Anticipated compliance costs
Charles V. Senatore, Fidelity Investments
Ira Hammerman, SIFMA
John Ivan, Janney Montgomery Scott LLC
Mr. Senatore will be bringing together representatives of government
and spokespeople for the industry to discuss the future of
broker-dealer regulation
V(b) IA – Compliance Programs [Small Firms]
• Internal controls, risk management, and fraud detection
• Assessing regulatory risks – developing systematic controls and self-testing programs
• Conducting a simulated SEC exam – auditing compliance controls, conflicts, preparing senior management
• Evolving examination priorities
• Outsourcing solutions
Michael L. Sherman, Dechert LLP
Judy B. Werner, Gardner Lewis Asset Management, LP
V(c) IA – Compliance Programs [Large Firms]
• Internal controls, risk management, and fraud detection
• Assessing regulatory risks – developing systematic controls and self-testing programs
• Conducting a simulated SEC exam – auditing compliance controls, conflicts, preparing senior management
• Evolving examination priorities
• Outsourcing solutions
Michelle L. Jacko, Core Compliance & Legal Services, Inc.
Joseph M. McGill, UBS Global Asset Management (Americas) Inc.
V(d) GI – Enterprise-Wide Risk Management for BDs and IAs
• How to identify the key risks that may prevent your firm’s overall success
• Who should be involved in the identification process?
• How do you rate and manage the risks once they are identified? (Heat maps, probabilities, statistical rankings)
• The business is changing so rapidly, how do we keep our risks up to date?
• Who should own the risk management responsibility in your firm?
Kerry E. Cunningham, ING Advisors Network
Deborah A. Lamb, CSCP, McKinley Capital Management, LLC
Richard D. Marshall, Ropes & Gray LLP
V(e) HF – Emerging Compliance Trends
(Fund Managers and FoF Managers)
• Managing referral and solicitor relationships: BDs, IAs and finders
• Auditing and review of sub-advisers
• Preparing marketing and performance information
• Risk evaluation of third party arrangements: auditors, prime brokers, custodians, administrators
• Implementing trade policies and monitoring trade practices
• ERISA: Monitoring 25% threshold and potential prohibited transactions
Charles Lerner, Fiduciary Compliance Associates LLC
Gregory T. Pusch, Pyramis Global Advisors
V(f) Roundtable
Managing Compliance Within a Budget Containing Environment
12:25 pm – 1:30 pm
Lunch
1:30 pm – 2:45 pm: 7 concurrent workshops
VI(a) BD – Your Compliance Empire
• Balancing masters: The Board, management and others
• Territories you have to cover: ethics, trading, hosting regulators, and others
• Staffing levels: ideally, really, or what’s in the 2010 Budget
• Training your elite force or getting by?
• Join compliance and see the enterprise, plus other recruiting ideas
Miriam Bahcall, Greenberg Traurig, LLP
Chad Estep, Stifel, Nicolaus & Company, Incorporated
VI(b) BD – Who is a Senior and What are the Regulatory Challenges?
• How firms define a “senior”
• Lessons learned from sweep examinations (e.g. free lunch seminars, designations, 72(t) distributions)
• Dilemma concerning diminished capacity (NtM 07-43)
• Education and awareness campaigns/examples
• Best practices and policies and procedures
Norman L. Ashkenas, Fidelity Investments
Ivan B. Knauer, Pepper Hamilton LLP
VI(c) IA – International Compliance Concerns
• Impact of global policies and procedures
• Understanding cross-border regulatory hurdles (registration)
• Impact of MiFID - Markets in Financial Instruments Directive
• Regional supervision (regulatory differences)
• Business travel concerns
Karen L. Anderberg, Dechert LLP
Mark D. Pratt, Mackenzie Financial Corporation
VI(d) IA – Valuation of Fixed Income
• How are fixed income securities valued?
• Policies, procedures and oversight responsibilities
• What is an appropriate valuation methodology for fixed income?
• What can you do if you disagree with your pricing service?
• How can you test valuations?
Stuart Fross, Wilmer Cutler Pickering Hale and Dorr LLP
Mary Ann Iudice, BNY Mellon Asset Management
VI(e) GI – Got Ethics?
• My (rep)(employee)(boss)(company)(competitor) is a crook. What do I do?
• We fired the crook, but I don’t want to get sued. The fine art of U-5’s and reporting.
• What do a Code of Ethics and morality have in common?
• Cooperating with regulators: silver platter or inch by inch?
• How do I spot tomorrow’s ethical disaster in today’s “everyone does it?” environment?
Brian T. Applegate, ShareBuilder Securities Corporation/ShareBuilder Advisors
Lee D. Augsburger, Prudential Financial, Inc.
Glen Barrentine, Cadwalader, Wickersham & Taft LLP
VI(f) GI – Advanced ERISA
• The Pension Protection Act of 2006: its impact on Advisers and Brokers
• The Act’s proposed 408(g) annual audits
• What rules are applicable to IRAs?
• Recent DOL interpretative bulletins on cross trades, exercising of shareholder rights, socially responsible investing
• Taft – Hartley Plans
Jason Roberts, Reish & Reicher
Kenneth Wagner, William Blair & Company, LLC
Bruce D. Gallant, JPMorgan Chase Bank, N.A.
VI(g) Roundtable
How to Start a Local Compliance Roundtable
3:05 pm – 4:20 pm: 7 concurrent workshops
VII(a) BD – International Compliance Concerns
• Impact of global policies and procedures
• Understanding cross-border regulatory hurdles (registration)
• Impact of MiFID - Markets in Financial Instruments Directive
• Regional supervision (regulatory differences)
• Business travel concerns
Ellen Bessner, Cassels Brock & Blackwell LLP
Torstein M. Braaten, CSCP, ITG Canada Corp.
Edan Howell, ScotiaMcLeod
VII(b) BD – Anti-Money Laundering
• Risk assessment: how often, and what do you look at?
• What is a reasonable system to detect and prevent?
• Electronic vs. manual systems and AML software
• AML in relation to OFAC
• Recent developments
James E. Ballowe, Jr., E*TRADE Brokerage Holdings, Inc.
Theodore J. Sawicki, Alston & Bird LLP
VII(c) IA – Investment Adviser Trade Desk Oversight
• Policies and procedures you should have
• Monitoring trading activity and controls
• What is best execution?
• What to monitor in different products (equities, bonds, derivatives, currency trading)
Joseph D. McDermott, CSCP, Alaric Compliance Services, LLC
Aaron D. De Angelis, Spring Mountain Capital, LP
VII(d) IA – Managing Personal Securities Trading: Automated Systems and Ethics Issues
• Should you preclear?
• Who should preclear?
• What do you do with the information?
• Relating this to outside business and conflict reviews
• What kind of monitoring should you do?
Nancy J. Ross, OMERS Administration Corporation
Scott N. Sherman, Baker, Donelson, Bearman, Caldwell & Berkowitz, PC
VII(e) GI – Fiduciary Compliance and ERISA Plan Governance
• Roles and responsibilities of stewards, advisers and managers
• Reviewing plan governance procedures
• ERISA 404(a) and 404(c) compliance
• Investment due diligence process
• Fee analysis and vendor benchmarking
Jason C. Roberts, Reish & Reicher
Robert Toth, Giller and Calhoun
Phyllis Klein, CAPTRUST Financial Advisors
VII(f) IC – Current Investment Company Issues
• Use of derivatives
• Fraud valuation
• Selective disclosure
• Money Market Funds
• Pay to Play
J. Christopher Jackson, Deutsche Asset Management
Eric S. Purple, K&L Gates LLP
VII(g) Roundtable
Insurance Compliance
• State insurance exams – what’s hot, what’s not.
• Selling group agreements for indexed annuities
• Whatever happened to principal review under 2821?
• Any information on IRS AML audits?
4:40 pm – 5:55 pm: 7 concurrent workshops
VIII(a) BD – Advanced Broker Dealer Advertising – Beyond the Definitions
• Current advertising issues and regulations
• Hands-on review of filed FINRA marketing pieces, acceptable and unacceptable examples
• Creative conflict resolution and negotiations with business partners
• Maintaining effective and positive relationships with FINRA advertising reviewers
• How to become the “eyes and ears” of sales practices to mitigate risk to your firm
Dean M. Jeske, Foley & Lardner LLP
Pamela S. Fritz, CSCP, MWA Financial Services, Inc.
VIII(b) BD – Trading Practices Issues
• Understanding how trading works
• Municipal and equity reporting
• How to read and use report cards?
• OATS, TRACE, RTRS, NMS, SHO, short sales
• New issue information dissemination system “NIIDS”
Timothy B. Nagy, Bingham McCutcheon LLP
Dave CHapman, FINRA
Justin Pica, MSRB
VIII(c) IA – Conflicts of Interest [Small Firms]
• How to approach conflicts?
• Do I need a conflicts officer or a conflicts committee?
• Sample conflicts inventory, disclosure
• Practice case on identifying conflicts at a firm
• Outside business activities
Holly A. Butson, DundeeWealth US, LP
Steve G. Lentz, Faegre & Benson LLP
VIII(d) IA – Conflicts of Interest [Large Firms]
• How to approach conflicts?
• Do I need a conflicts officer or a conflicts committee?
• Sample conflicts inventory, disclosure
• Practice case on identifying conflicts at a firm
• Outside business activities
Patricia E. Flynn, CSCP, INTECH
Ivan P. Harris, Morgan, Lewis & Bockius LLP
VIII(e) GI – Privacy Considerations and Safeguarding Client Information - Regulation SP Amendments
• Update on regulatory changes
• FACT Act and its impact on broker-dealers and investment advisers
• Information security procedures and safeguards
• Theft and privacy issues - identifying, investigating and reporting
• Business continuity concerns regarding privacy and safeguarding
Jennifer Woods Burke, AXA Equitable
William E. Donnelly, LeClairRyan
Miriam Lefkowitz, Shufro Rose & Co., LLC
VIII(f) HF – Portfolio Oversight: Post-Madoff Due Diligence
(Investors, Plan Trustees, Pension Consultants)
• Evaluating hedge fund management and investment skills
• Understanding conflicts of interest
• Portfolio level dynamics: Investment return, risk, allocation, diversification
• Understanding valuation practices and performance reporting
• Ongoing monitoring
Scott A. Meyers, Ulmer & Berne LLP
Martha J. Matthews, FISCO, LLC
VIII(g) Roundtable
Fund Brokerage Issues
• Issues with broker solvency: managing the risks
• SEC guidance on fund board oversight of brokerage practices
• Latest issues with soft dollars: CSAs and beyond
• Challenges in the new markets: Implications of Reg NMS and use of dark pools
• Due diligence, are you doing enough?
6:00 pm :: Open Bar Reception sponsored by Pepper Hamilton LLP
WEDNESDAY, OCTOBER 7
8:00 am – 9:15 am: 7 concurrent workshops
IX(a) BD – Branch Office Compliance Examinations [Small Firms]
• Requirements for OSJs, branch offices and personal residences
• Characteristics and practices of great branch supervisors
• Frequency and a risk-based approach, to schedule or not to schedule?
• Importance of Form BR’s information
• Homework before an on-site visit, examples of what to cover
Ethan H. Cohen, Schiff Hardin LLP
Jennifer Woods Burke, AXA Equitable
IX(b) BD – Branch Office Compliance Inspections [Large Firms]
• Requirements for OSJs, branch offices, and personal residences
• Characteristics and practices of great branch supervisors
• Frequency and a risk-based approach, to schedule or not to schedule?
• Importance of Form BR’s information
• Homework before an on-site visit, examples of what to cover
Alex W. C. Cecil, Scott & Stringfellow, LLC, a BB&T Corporation Affiliate
Thomas J. McGonigle, LeClairRyan
IX(c) IA – Best Execution for Investment Advisers
• Regulatory requirements and obligations made simple
• Partnering with a third party vendor
• Know what activities your desk engages in
• Best execution process, policies and supervision
• Documentation is king
Michael S. Caccese, K&L Gates LLP
Toni D. Evans, TD Asset Management Inc.
IX(d) IC – Mutual Fund Governance
• Independent Directors, use of a nominating committee and holding shareholder meeting
• Annual contract renewal, Harris case implications, new disclosure requirements
• Best practices for board oversight of compliance and greater board responsibility
• Issues in an era of negative returns, monitoring share balances and fidelity bonds
• Use of credit ratings and review of brokerage
• Fund board minutes: privilege and litigation prevention issues
John Hunt, Goodwin Procter LLP
Timothy Knierim, Prudential Investment Management
IX(e) GI – Gifts, Entertainment, Political Contributions, Charitable Contributions and Non-cash Compensation Issues
• Regulatory considerations for IAs and BDs
• What should be in your written policies and procedures?
• Surveillance and coordination efforts
• What can be given and by whom?
• Conflicts regarding these items
Richard T. Chase, RBC Capital Markets Corporation
David E. Rosedahl, Briggs and Morgan, P.A.
Tracy Webb, CSCP, INTECH
IX(f) GI – Regulatory and Industry Differences between Canada and the US
• Regulators and how they regulate
• Market structure (multiple markets and trade through obligations)
• Regulatory reporting and examinations
• Enforcement and disciplinary actions
D. Grant Vingoe, Arnold & Porter, LLP
Torstein M. Braaten, CSCP, ITG Canada Corp.
M. Catherine Tuckwell, Scotia Cassels Investment Counsel Limited
IX(g) Roundtable
Creating a Culture of Compliance
9:35 am – 10:50 am
X(a) GI – Compliance in the Very Small Firms: 20 People or Less
• When compliance doesn’t operate independently from the rest of the organization
• “Consult your Legal Department for advice,” but we don’t have one
• How to balance your role when you do multiple jobs?
Mary E. Cobb, M. E. Cobb Consulting
Cheryl Dowsett, M&I Financial Advisors, Inc.
Miriam Lefkowitz, Shufro, Rose & Co., LLC
X(b) BD – Best Execution for Broker Dealers
• Regulatory requirements and obligations made simple
• Partnering with a third party vendor
• Challenges and obligations of an introducing broker
• Out of the box best execution process, policies and supervision
• Documenting and measuring (i.e. 605 reporting and Best Execution Committees)
Michael D. Wolk, Bingham McCutchen LLP
Scott Kursman, Citi
X(c) IA – Commission Sharing Agreements vs. Traditional Soft Dollar Agreements: What has Changed?
• What really is a soft dollar?
• What is commission sharing?
• How to monitor?
• What records should you have?
• What services qualify?
• Monitoring and best execution
David C. Prince, Stephens Investment Management Group, LLC
Steve W. Stone, Morgan, Lewis & Bockius LLP
X(d) IA – Advertising for Investment Advisers
• Advertising vs. Marketing
• Importance of GIPS compliance and/or verification
• No-action letters (the classics and the new)
• Website materials
• The down side
Timothy M. Simons, CSCP, Ashland Compliance Group LLC
Jason M. Gordon, Prudential Investment Management
X(e) GI – 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
• How can you test valuations?
Maureen A. Miller, Vedder Price P.C.
Cathleen Seneca, E*TRADE Clearing LLC
Timothy B. Parker, Matthews International Capital Management, LLC
X(f) GI – The Compliance Officer Self-Protection Plan
• Understanding your legal exposure – compliance function liability vs. supervisory liability
• Understanding, identifying and documenting your responsibilities
• Staying within the bounds and avoiding conflicts of interest
• The Regulators’ concepts of CO functions and keeping them straight
• Cases in which liability has been imposed
Anne C. Flannery, Morgan, Lewis & Bockius LLP
John M. Ivan, Janney Montgomery Scott LLC
Diane P. Novak, Toyota Financial Services
11:10 am – 12:35 pm
GENERAL SESSION – SEC Regional Directors’ Panel – “Not On My Watch!!!”
• What the Regional staff expects from compliance?
• Coping with austerity: Be frugal, not foolish
• Post-Madoff examinations and enforcement referrals
• Making the relationship work to meet everyone’s goal
• Two-minute drill: Practice pointers to live by
Katherine S. Addleman, SEC*
Merri Jo Gillette, SEC*
Daniel M. Hawke, SEC*
Donald M. Hoerl, SEC*
Michael K. Wolensky; Schiff Hardin LLP
Box Lunch begins at 10:50am
Conference concludes 12:35pm
Museums
African American Museum of Philadelphia
The Franklin Institute Science Museum
National Museum of American Jewish History
The Mutter Museum - "Distrubingly Informative"
Historic Places
Edgar Allen Poe National Historic Site (not that one, the other one)
Shopping
Animal Attractions
Other
Kimmel Center for the Performing Arts
Spirits of '76 - the Haunted Philadelphia Tour
Concerts at the Wachovia Complex
Zagat Philadelphia ($4.95 for 30 days' access)
Parks
Independence National Historical Park