FINRA Issues 2025 Regulatory Oversight Report

In its 2025 Annual Regulatory Oversight Report, FINRA summarized findings on key regulatory topic areas to help member firms "incorporat[e] relevant elements into [their] compliance programs in a manner tailored to [their] activities and applicable regulatory requirements." 

In the Report, FINRA outlines best practices and highlights emerging and continuing trends and risks. This year's Report builds on previous editions and covers:

• Financial Crimes Prevention – including cybersecurity threats, AML compliance and emerging risks such as AI-enabled fraud and ACH fraud.
• Crypto Asset Compliance – including regulatory expectations for crypto asset offerings, trading and firm communications.
• Firm Operations – including risk management practices related to third-party vendors, technology oversight and supervisory procedures for outside business activities and private securities transactions.
• Communications and Sales – including oversight of Reg BI and Form CRS, misleading retail communications and improper social media marketing by influencers.
• Market Integrity – including, manipulative trading schemes, market access violations and order handling requirements.
• Financial Management – including, updated regulatory expectations for liquidity risk management, net capital compliance and customer asset segregation.

New topic areas for 2025 include:

• Registered Index-Linked Annuities – including, increased scrutiny of retail communications and product suitability.
• Extended Hours Trading – including, new compliance risks and oversight considerations.
• AI Risks – including regulatory concerns over AI-driven fraud and improper use of AI tools in investment recommendations.