left-caret

Client Alert

SEC Broker-Dealer Record Retention Requirements

April 20, 2005

Kirby D. Behre, Jeremy Evans, Edward Griffin and Rebecca Snyder

Although SEC regulations have long required broker-dealers to retain records, recent focus on the retention of e-mail and instant messages, and a sweeping SEC examination of broker-dealers regarding this issue, have caused many broker-dealers to reconsider their electronic record retention policies and procedures. As the sidebar to this alert summarizes, SEC Rule 17a-4 requires broker-dealers to retain virtually every electronic document for certain individuals. These requirements are so technical, cumbersome and costly to implement that they can overwhelm even the most sophisticated companies.

Click here for a PDF of the full text