Brokerage industry (1 - 10 of 69 items)
Financial Audit: Securities and Exchange Commission's Fiscal Years 2016 and 2015 Financial Statements
GAO-17-158R: Published: Nov 15, 2016. Publicly Released: Nov 15, 2016.
GAO found (1) the United States Securities and Exchange Commission’s (SEC) and its Investor Protection Fund’s (IPF) financial statements as of and for the fiscal years ended September 30, 2016, and 2015, are presented fairly, in all material respects, in accordance with U.S. generally accepted accounting principles; (2) SEC maintained, in all material respects, effective internal control over...
Financial Audit: Securities and Exchange Commission's Fiscal Years 2013 and 2012 Financial Statements [Reissued on December 23, 2013]
GAO-14-213R: Published: Dec 16, 2013. Publicly Released: Dec 16, 2013.
GAO found (1) the United States Securities and Exchange Commission's (SEC) and its Investor Protection Fund's (IPF) financial statements are presented fairly, in all material respects, in accordance with U.S. generally accepted accounting principles; (2) SEC maintained, in all material respects, effective internal control over financial reporting as of September 30, 2013, although internal control...
Securities Regulation: Opportunities Exist to Improve SEC's Oversight of the Financial Industry Regulatory Authority
GAO-12-625: Published: May 30, 2012. Publicly Released: May 30, 2012.
Historically, the Securities and Exchange Commissions (SEC) oversight of the Financial Industry Regulatory Authoritys (FINRA) programs and operations varied, with some programs and operations receiving regular oversight and others receiving limited or no oversight. Through its inspection process, SEC conducted routine and special inspections of various aspects of FINRA regulatory progr...
401(K) Plans: Improved Regulation Could Better Protect Participants from Conflicts of Interest
GAO-11-119: Published: Jan 28, 2011. Publicly Released: Feb 28, 2011.
Recent volatility in financial markets highlights the need for prudent investment decisions if 401(k) plans are to provide an adequate source of retirement income. While plan sponsors and participants may receive help in assessing their investment choices, concerns have been raised about the impartiality of the advice provided. GAO was asked to describe circumstances where service providers may ha...
Regulation SHO: Recent Actions Appear to Have Initially Reduced Failures to Deliver, but More Industry Guidance Is Needed
GAO-09-483: Published: May 12, 2009. Publicly Released: Jun 3, 2009.
The Securities and Exchange Commission (SEC) adopted Regulation SHO to, among other things, curb the potential for manipulative naked short selling in equity securities. Selling a security short without borrowing the securities needed to settle the trade within the standard 3-day period, can result in failures to deliver (FTD), and can be used to manipulate (drive down) the price of a security. To...
Securities Markets: Decimal Pricing has Contributed to Lower Trading Costs and a More Challenging Trading Environment
GAO-05-535: Published: May 31, 2005. Publicly Released: Jul 1, 2005.
In early 2001, U.S. stock and option markets began quoting prices in decimal increments rather than fractions of a dollar. At the same time, the minimum price increment, or tick size, was reduced to a penny on the stock markets and to 10 cents and 5 cents on the option markets. Although many believe that decimal pricing has benefited small individual (retail) investors, concerns have been raised t...
SEC Mutual Fund Oversight: Positive Actions Are Being Taken, but Regulatory Challenges Remain
GAO-05-692T: Published: Jun 7, 2005. Publicly Released: Jun 7, 2005.
Trading abuses--including market timing and late trading violations--uncovered among some of the most well-known companies in the mutual fund industry permitted favored customers to profit at the expense of long-term shareholders. Questions have also been raised as to why the New York State Office of the Attorney General identified the trading abuses in September 2003 before the industry's primary...
Securities Markets: Preliminary Observations on the Use of Subpenny Pricing
GAO-04-968T: Published: Jul 22, 2004. Publicly Released: Jul 22, 2004.
In 2001, U.S. stock and options markets, which had previously quoted prices in fractions, began quoting in decimals. Since then, various positive and negative effects have been attributed to the transition to decimal pricing. As part of this transition, the major stock markets chose one penny ($.01) as the minimum price variation for quoting prices for orders to buy or sell. However, some electron...
Follow-up Report on Matters Relating to Securities Arbitration
GAO-03-162R: Published: Apr 11, 2003. Publicly Released: May 13, 2003.
Our June 2000 report Securities Arbitration: Actions Needed to Address Problem of Unpaid Awards revealed that, although investors had won a majority of awards against brokers, a high proportion of those awards had not been paid. Nearly all of the unpaid awards involved cases decided in the National Association of Securities Dealer's (NASD) arbitration program and most involved brokers that had lef...
Securities Markets: Competition and Multiple Regulators Heighten Concerns about Self-Regulation
GAO-02-362: Published: May 3, 2002. Publicly Released: May 3, 2002.
In the securities markets, competition among self-regulatory organizations (SRO) and their members for customer orders has heightened concerns about conflicts of interest in their roles as both market operators and regulators. Nasdaq--the market run by the National Association of Securities Dealers (NASD)--has been in competition with NASD members that run electronic communications networks. For y...