Broker-Dealer Audits: Overcoming Costly Deficiencies in PCAOB Examinations, Avoiding Sanctions
Addressing Auditor Independence, Related-Party Transactions, SEC Net-Capital Rules and More
Recording of a 110-minute CPE webinar with Q&A
This course will provide audit professionals and advisers with practical guidance for conducting broker-dealer audits, offering tools to avoid the most common and costly risk areas in broker-dealer audits as identified in PCAOB annual inspections. The panel will outline their experiences and practical approaches to prevent or resolve audit deficiencies.
Outline
- Securing your auditor and auditor credentials
- Broker-dealer audit inspection overview
- Relevant regulations
- 2019 inspection report findings
- Small Business Correction Act
- Broker-dealer audit issues
- Revenue
- Receivables
- Net Capital
- Review of Exemption Report
- Related-party transactions
- Responses to Fraud Risks
- Fair Value Measurements
- Best practices for audit preparation/effective pre-planning
- Look-back: what worked/did not from past season
- Effective Pre-planning
- Problem areas to address prior to year end
- How to prepare for areas of audit focus:
- Revenue
- Adopting new standards--for example leases
- Financial reporting
- Challenges to anticipate/practical solutions
- Contractual support (discuss each type of revenue stream)
- Reconciled schedules
- Use of an experienced FINOP
- Security of support
- Common plan broker-dealer errors and Potential fixes for errors
- Other Updates
Benefits
The panel will review these and other notable issues:
- Understanding the areas of highest risk in broker-dealer audits
- Identifying and avoiding the most common mistakes in broker-dealer audits
- Pinpointing solutions to the most common errors after the fact
Faculty
J. Bradley Bennett
Vernon’s Gate Partners
Mr. Bennett served as EVP and Chief Enforcement Officer for FINRA for over six years. He has thirty years regulatory... | Read More
Mr. Bennett served as EVP and Chief Enforcement Officer for FINRA for over six years. He has thirty years regulatory and litigation experience encompassing corporate governance and white collar crime matters.
Close
Robert H. Cox
Of Counsel
Briglia Hundley
Mr. Cox is a trial attorney with over two decades of experience litigating all types of business cases in courts across... | Read More
Mr. Cox is a trial attorney with over two decades of experience litigating all types of business cases in courts across the nation. His experience covers a wide range of matters involving securities, business torts, contracts, antitrust, intellectual property, real estate, and white collar criminal issues. Mr. Cox has represented parties in class actions, multi-district litigation (MDLs), government enforcement actions, private business disputes, and appeals in federal and state courts.
Close
Steven E. Richards
Senior Managing Director
Ankura Consulting Group
Mr. Richards has over 20 years of experience involving internal and forensic accounting investigations and analysis,... | Read More
Mr. Richards has over 20 years of experience involving internal and forensic accounting investigations and analysis, issues surrounding Generally Accepted Accounting Principles, Public Company Accounting Oversight Board rules and standards, and independence matters. He has extensive litigation consulting, complex data analysis, forensic accounting, and auditing expertise. Steven has assisted in a variety of investigations, working with both internal and outside counsel in representing boards of directors, special committees, and senior management.
Close