FINRA emphasized that its investigation into securities lending programs is ongoing, and Apex’s case was particularly significant because the firm itself entered into lending agreements and borrowed customer securities.
Compliance and Investor Protection at the Forefront
The FINRA fine against Apex Clearing underscores the regulatory body’s commitment to protecting investors and enforcing transparency in securities lending practices. With customer protection and regulatory compliance under increasing scrutiny, firms engaged in securities lending must ensure clear disclosures, appropriate suitability determinations, and adherence to FINRA rules to avoid facing similar penalties.
