FINANCIAL INDUSTRY AND REGULATION 

FINRA Rule Review Starts with Improving Capital-Raising: AltsWire reports that the Financial Industry Regulatory Authority’s comprehensive review of its rules and regulations is starting with an initial focus on improving the capital-raising process for businesses.

Iowa Firm Agrees to Pay SEC $15 Million: ThinkAdvisor reports that the Securities and Exchange Commission last week reached a final judgment by consent against Cambridge Investment Research Advisors Inc. of Fairfield, Iowa, for failing to disclose material conflicts of interest and breaching its duty of care related to its selection of mutual funds and wrap accounts for clients.

SEC Signals Greater Clarity on Crypto Rules: CoinDesk reports that SEC Acting Chair Mark Uyeda and Commissioner Hester Peirce signaled a collaborative shift toward setting clearer crypto rules at the agency's first digital assets roundtable last week.

FINRA Wants to Update Broker Side Hustle Rules: Financial Advisor reports that FINRA says it wants to update its rules governing brokers’ outside business activities and private securities transactions to focus on high-risk activities rather than those that do no impact customers.

FinCEN Exempts US Businesses from CTA Reporting: Forbes reports that the Financial Crimes Enforcement Network has issued an interim final rule that rewrites major portions of the Corporate Transparency Act, that domestic companies — and U.S. citizens who are beneficial owners of foreign entities — are now exempt from the beneficial ownership reporting requirements originally mandated under the CTA.

Barriers to Private Company Investments Being Lowered: The Wall Street Journal reports that it is getting easier for individual investors to invest in high-risk, high-reward private companies as two marketplaces for trading shares in these companies are lowering investment minimums to as little as $5,000.

Alts Firm Offers Advisors Easier Client Alts Access: AltsWire reports that alternative giant CAIS has launched a new Models Marketplace that aims to make it easier for financial advisors to incorporate alternative investments into client portfolios using model-based strategies designed to simplify allocation to private markets and hedge funds.

SEC Shifting to Traditional Cases Under New Leadership: Reuters reports that the SEC will likely focus on more traditional cases under incoming leadership, including those involving individual wrongdoing and fraud targeting elders, the agency's acting enforcement director said on Monday.

FINRA Aims to Boost Compliance, Reduce Burden: Investment Executive reports that modernizing its rules, enhancing industry compliance and combating cyber threats are on FINRA’s agenda for the months ahead.

Stanger Says Alts Fundraising Headed Higher: AltsWire reports that alternative investment fundraising amid illiquid and semi-liquid offerings totaled approximately $28.8 billion through February 2025, as Robert A. Stanger & Company Inc. projects that alts fundraising for the year may reach $175 billion.

POLICY AND LEGISLATION

House Chairman Asks DOL to Withdraw Biden Fiduciary Rule: Financial Advisor reports that House Education and Workforce Committee Chairman Tim Walberg has called on newly appointed Labor Secretary Lori Chavez-DeRemer to rescind the Biden administration’s fiduciary rule.

Tax Policy Takes Center Stage on Capitol Hill: ThinkAdvisor reports that Congressional Republicans this week began tackling their toughest test yet, negotiating a massive tax bill package to renew President Trump’s landmark 2017 tax cuts and secure additional reductions he’s promised.

NASAA Defends State Regulators in House Committee Hearing: Investment Executive reports that while the federal regulatory climate has shifted sharply under the Trump Administration, the North American Securities Administrators Association called on the House Financial Services Committee Tuesday to uphold the role of state regulators.

Senate Leader Pushes Estate Tax Repeal: Financial Advisor reports that Senate Majority Leader John Thune (R-SD) endorsed a full repeal of the estate tax, identifying the elimination of the levy on the fortunes of some of the wealthiest Americans as Republicans draft a massive economic package.

Federal Debt Default Possible in August, CBO Says: The Hill reports that the federal government could default on its debt as soon as August without action from Congress, the Congressional Budget Office estimated on Wednesday.

Biden Crypto Tax Rule Repeal Finalized: Axios reports that the Senate cleared a $4 billion measure repealing a last-minute Biden administration rule that would have subjected firms that handle cryptocurrency transactions on decentralized finance platforms, but don't hold customer assets, to tax reporting rules.