Title

SEC Office of Compliance Inspections and Examinations (OCIE) Issues Observations on Cybersecurity and Resiliency Practices
Client Memorandum

Created date

1/30/2020

The SEC Office of Compliance Inspections and Examinations (OCIE) recently published observations related to cybersecurity and operational resiliency practices observed in its examinations.  OCIE reiterated its continued focus on cybersecurity issues, citing eight risk alerts related to cybersecurity it has published over the last few years.  OCIE conducts examinations for compliance with Regulation S-P and S-ID, which apply to broker-dealers and investment advisers, and Regulation SCI, which applies to exchanges and other SCI entities.  The publication provides important guidance to regulated entities about the likely subjects of SEC exams, the expectations of its examiners, and the subjects of potential enforcement referrals.