FINANCIAL INDUSTRY AND REGULATION

Experts Say Alt Investors Should Focus on Four Areas: Financial Advisor reports that advisors looking to add alternatives to client portfolios right now would be wise to consider four areas in particular—private credit, infrastructure, the secondary market for private equity, say a panel of investment experts.

Private Credit ETFs Face SEC Scrutiny: ThinkAdvisor reports that as money managers push to bring private credit to public markets, the Securities and Exchange Commission is set to review three recent filings for private credit exchange-traded funds.

JPMorgan Pays $151 Million Combined SEC Fine: InvestmentNews reports that two JPMorgan Chase affiliates have agreed to pay a combined $151 million in civil penalties and investor payments to resolve multiple enforcement actions by the SEC, the regulator announced last week.

Exchanges Challenge SEC Trading Rule in Court: Bloomberg reports that Nasdaq and Cboe Global Markets are challenging the SEC's recent amendments to the Regulation National Market System, which alter the economic structure of stock trading, saying the changes could hinder price discovery and increase costs for attracting trade orders.

IRS Announces 2025 Retirement Account Contribution Limits: ThinkAdvisor reports that the Internal Revenue Service said last week that the amount individuals can contribute to their 401(k) plans in 2025 has increased to $23,500, up from $23,000 for 2024, and also issued technical guidance regarding all cost‑of‑living adjustments affecting dollar limitations for pension plans and other retirement-related items.

NASAA Proposes Adding Reg BI to its Model Rule: Investment Executive reports that the North American Securities Administrators Association Inc. is proposing revisions to its state model rule on broker-dealer misconduct to add a best interest standard and to prohibit the use of misleading titles.

Market Access Violations Cost Morgan Stanley $1 Million: The DI Wire reports that the Financial Industry Regulatory Authority has censured and fined Morgan Stanley & Co. LLC $1 million for violating market access rules by failing to establish, document, and maintain a system of risk management controls and supervisory procedures reasonably designed to manage the financial risks of its market access business activity, including controls designed to prevent the entry of erroneous orders.

Watchdog Says SEC Has to Prepare for Judicial Scrutiny: The Wall Street Journal reports that the SEC inspector general says the agency needs to prepare for more legal challenges to its rule making by developing a thorough administrative process.

POLICY AND LEGISLATION

DOL Likely to Shelve Some Regulations: National Association of Plan Advisors reports that with Donald Trump winning the Presidential Election, certain regulatory items at the Department of Labor will likely be modified or abandoned altogether, including DOL initiatives on environmental, social and governance investing, investment advice fiduciary standards, qualified professional asset manager eligibility, and the definition of independent contractor.

GOP Lawmakers to Focus on Taxes, Deregulation, Tariffs: Pensions & Investments reports that tax cuts, tariffs and deregulation will be key focuses for Republican lawmakers next year after President-elect Donald Trump’s decisive victory coupled with Republicans flipping control of the Senate and potentially retaining control of the House.

Poll Finds Bipartisan Support for Protecting Social Security: ThinkAdvisor reports that shoring up Social Security and protecting benefits should be a top priority for any incoming administration, regardless of party affiliation, according to a newly released survey by the National Institute on Retirement Security, a research group that supports pensions and other retirement programs.

SALT Cap Fight to Intensify: The Wall Street Journal reports that the $10,000 cap on state and local tax deductions, enacted in 2017, is poised to become a major issue after the upcoming election, as the cap is set to expire at the end of 2025.