By the age of five most children understand that there are two parts to this common elementary school activity and that one without the other can leave everyone in the room a bit bewildered. Based on what we hear from the compliance community, it appears that the individuals at the SEC responsible for proposing rules and establishing best practices must have been pretty lousy at this game as kids. Either that or they were so unimaginative in what they were showing, that there was no reason to tell anything about it.
A common lament from investment advisers is that regulators have been superb at telling them what they are required to do, but less so when it comes to showing them how to do it. A perfect example of this is with conducting the risk assessment or undertaking compliance testing. Advisers know they need to satisfy these important compliance requirements, but are often in the dark when it comes to the mechanics of how to actually complete them. More so when it comes to understanding how all the separate compliance requirements fit together.
We have made our User’s Guides freely available to the public on this blog. Yes, they are geared toward using the resources found on CCO Companion (after all, we are not a charity), but even if you, for some inexplicable reason, do not choose to benefit from the tremendous resources found on CCO Companion at this time, the information in these User’s Guides can still help you with understanding the mechanics of conducting these important compliance tasks.