As a compliance professional at an investment firm, you know how essential regulatory compliance is to the success of your business. However, it can be challenging to keep up with the ever-changing landscape of regulatory requirements while still ensuring the day-to-day operations of your business. This is where a regulatory compliance consultant can help.
A compliance consultant can assist your firm in identifying gaps in your regulatory compliance program, building a culture of compliance and staying informed on the latest industry trends and regulations. Mind you, those are just a few of the many ways a compliance consultant can help your firm. By relying on the expertise of a regulatory compliance consultant, you can mitigate risk and avoid costly fines and reputational damage.
So, when should your investment firm consider hiring a regulatory compliance consultant? Here are some indicators that your firm may benefit from the services of a compliance consultant.
Indicators that your investment firm should hire a regulatory compliance consultant
Last fiscal year, the SEC collected $6.4 billion in penalties and disgorgement for violations, many of which were for preventable rule violations. Such violations can cost your investment firm money and its hard-earned reputation. That’s where a third-party partner can help.
Your investment firm might need compliance consulting services if:
- A regulator rolls out a new rule or amendment that applies to your firm.
Regulators are constantly updating their rules and requirements, and it can be challenging to stay up-to-date with the latest changes. A compliance consultant can help your firm understand the impact of new regulations and ensure that you are fully compliant.
- Your firm hasn’t assessed its compliance program in over a year.
It is crucial to regularly assess your compliance program to ensure that it is effective and up-to-date. If your firm has not assessed its compliance program in over a year, it may be time to bring in a compliance consultant to evaluate your program and identify areas for improvement.
- Your firm is repeatedly experiencing the same compliance risks.
If your firm is repeatedly experiencing the same compliance risks, it may be an indication that your compliance program needs improvement. A compliance consultant can help you identify the root cause of these risks and develop strategies to mitigate them.
- Your firm has violated a regulation.
If your firm has violated a regulation, it is critical to take immediate action to address the issue and prevent future violations. A compliance consultant can help your firm understand the implications of the violation and develop a plan to address it. A compliance consultant can also help your firm ensure that it doesn’t commit the violation again.
If your investment firm is experiencing any of the above indicators, it may be time to consider hiring a regulatory compliance consultant to supplement your team and ensure that your compliance program is effective and up-to-date. With the help of a compliance consultant, you can mitigate risk, avoid costly fines and protect your hard-earned reputation.