Dodd-Frank requires that the Office of Financial Research ("OFR") annually report the state of the U.S. financial system, the status efforts of the OFR, and key findings from research regarding a robust analysis of the financial system. The report found that threats to financial stability have "generally abated" since the previous 2012 report. However, it also found that the greatest threats that remain are the vulnerabilities in markets for securities financing transactions and credit, increases in interest rates, and uncertainty about the U.S. fiscal policy outlook. The OFR stated that there

SIFMA has submitted comments regarding proposed standards from six federal agencies to address the diversity policies and practices of regulated entities. In the letter linked below, SIFMA stated that achieving a diverse environment is an "evolutionary process" which requires the continued renewal of policies and practices. SIFMA explained that the proposed standards encompasses four key areas: organizational commitment to diversity and inclusion; workforce profile and employment practices; procurement and business practices and supplier diversity; and practices to promote the transparency of

The SEC announced that its enforcement actions in the fiscal year 2013 resulted in a record $3.4 billion in monetary sanctions ordered against wrongdoers from the 686 enforcement actions it filed. In addition, the SEC spelled out new initiatives for the upcoming year, including: new task forces - including the Financial Reporting and Audit Task Force and the Microcap Task Force; consolidated short-selling charges (the SEC stated that it will continue to conduct streamlined investigations to crack down on Reg. M violations); and technology improvements - including forming a Center for Risk and

Pursuant to Dodd-Frank, the GAO conducted its annual audit of the financial statements of the SEC and its Investor Protection Fund ("IPF"). Dodd-Frank Section 963 ("Annual Financial Controls Audit") requires that (1) the SEC annually submit a report to Congress describing management's responsibility for internal control over financial reporting and assessing the effectiveness of such internal control during the fiscal year, (2) the SEC Chairman and Chief Financial Officer attest to the SEC's report and (3) the GAO attest to and report on the assessment made by the SEC. In the report linked

FINRA has named two new public Governors, Dr. Brigitte C. Madrian and Dr. Luis M. Viceira, to its Board of Governors. Additionally, FINRA announced the creation of a new Investor Issues Committee. FINRA's newly created Investor Issues Committee will become active in January 2014 and will advise senior staff at FINRA on proposed rulemaking, policy initiatives, and other issues that significantly impact both retail and institutional investors. See: FINRA Press Release. See also: FINRA Announces Results of SFAB, NAC and District Committee Elections (Election Notice 12/17/13).