FINRA Rule 4370 requires member firms to create, maintain and annually review and, if necessary, update a business continuity plan (BCP) relating to an emergency or significant business disruption. FINRA recently published Regulatory Notice 21-44 (RN 21-44) setting forth its observations after reviewing firm BCPs resulting from the Covid pandemic.<\/p>\n
Annual Testing.<\/strong> Rule 4370 doe not specify exactly what is to be done here. RN 21-44 suggested reviewing annually to include testing operations, business structure, and business locations.<\/p>\n Providing BCP To Customers at Account Opening.<\/strong> Member firms may meet by providing summary information about how the firm will address the [possibility of future significant disruptions, and may do so by using electronic media.<\/p>\n Triggering Events.<\/strong> While not required, FINRA indicated that including responses to a pandemic may be appropriate to include in a BCP.<\/p>\n Remote Work Arrangements.<\/strong> RN 21-44 suggested considering including in the BCP remote work arrangements.<\/p>\n FINRA Guidance.<\/strong> RN-21-44 lists a number of other Regulatory Notices and FINRA\u2019s 2021 Report on Examinations and Risk Monitoring that firms may consider.<\/p>\n","protected":false},"excerpt":{"rendered":" FINRA Rule 4370 requires member firms to create, maintain and annually review and, if necessary, update a business continuity plan (BCP) relating to an emergency or significant business disruption. FINRA recently published Regulatory Notice 21-44 (RN 21-44) setting forth its observations after reviewing firm BCPs resulting from the Covid pandemic. Annual Testing. Rule 4370 doe … Continue reading FINRA Strongly Suggests Actions on Business Continuity Plans<\/span><\/a><\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-235","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/posts\/235","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/comments?post=235"}],"version-history":[{"count":1,"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/posts\/235\/revisions"}],"predecessor-version":[{"id":236,"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/posts\/235\/revisions\/236"}],"wp:attachment":[{"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/media?parent=235"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/categories?post=235"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/securitiesregslawyer.com\/blog\/wp-json\/wp\/v2\/tags?post=235"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}