The Financial Industry Regulatory Authority (FINRA) announced on June 13th the establishment of their Innovation Outreach Initiative, focused on understanding financial technology innovations and the impact they have on the securities industry. The initiative is carried out by a cross-departmental team in FINRA, led by their Office of Emerging Regulatory Issues.
FINRA dedicates itself to market integrity and investor protection through regulation of brokerage firms dealing with the US public, offering trade reports, surveillance, and other industry utilities. Overseen by the U.S. Securities and Exchange Commission, FINRA also writes, examines, and enforces compliance with federal securities laws.
Robert W. Cook, FINRA’s CEO and President, said in a press release that, “The Innovation Outreach Initiative will enable us to better track fintech developments across the rapidly changing industry environment in order to support innovation in the industry while maintaining investor protection and market integrity.”
The team leading the initiative will increase collaboration with domestic and international regulators, build a Financial Technology Industry Committee to foster discussion on the impact of FINRA’s regulations on technology innovators, release timely publications on financial technology topics, and conduct regional roundtables to allow market participants a forum for thoughts, concerns, and ideas.
