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SEC nears settlement with financial services firms over WhatsApp

The latest settlement is likely to see firms finalising deals that would include an admission of wrongdoing and commitment to fixing the issues

Around 16 broker-dealers noted SEC probes into their communications
Around 16 broker-dealers noted SEC probes into their communications Photo: NurPhoto via Getty Images

The US watchdog is near finalisation of settlements with about two dozen financial services firms over probes involving poor record-keeping and the use of unauthorised messaging tools.

The probes, which have netted several firms including investment advisers and broker-dealers and resulted in fines totalling more than $2bn, are the latest in the Securities and Exchange Commission’s crackdown on firms’ monitoring of staff and compliance around electronic communication.

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