FINRA released its annual regulatory oversight report outlining examination and risk monitoring priorities for 2025, providing broker-dealers with advance notice of the areas examiners will focus on.
Regulation Best Interest (Reg BI) compliance remains a top examination priority, with FINRA emphasizing the care obligation documentation, conflict of interest identification and mitigation, and Form CRS delivery and accuracy.
Off-channel communications continue to be a significant enforcement focus, with FINRA expecting firms to implement technology controls and supervisory systems to detect and prevent the use of unapproved communication platforms.
Cybersecurity and data protection are highlighted as critical areas, with examiners focused on incident response preparedness, third-party vendor oversight, and customer data protection practices.
The report also addresses developments in crypto assets, noting that firms with crypto-related activities should ensure compliance with existing regulatory requirements and monitor evolving regulatory guidance.