FINRA’s Intermediary Review Advisory Panel recently announced a recommendation to create an inter-agency oversight panel that would oversee intermediaries, which includes intermediaries that are regulated by FINRA.
The panel is tasked with establishing standards and guidelines to prevent abuse, and to help ensure financial intermediaries are doing their jobs.
The panel’s recommendation comes after a report from the Center for Public Integrity and the Government Accountability Office released a detailed examination of FINRA regulation, detailing systemic problems with its oversight of financial intermediary services.
The recommendations for a new inter-departmental oversight panel are part of a wider reform effort that FINRA is implementing to improve the oversight of the financial services industry.
In December, FINRA issued a plan to reform the way it regulates financial intermediators.
The plan calls for strengthening financial intermediation laws to ensure the public’s best interests are protected.