On January 28, FINRA published its 2025 FINRA Regulatory Oversight Report, which highlights areas identifying compliance gaps and observing emerging risks. The report introduced new topics such as the third-party risk landscape, emphasizing the increasing cyber threats and outages at third-party vendors that could impact firms. It also covered sales practices and Reg BI compliance, extended hours trading, and the cautious use of AI in financial services. Additionally, the report addressed investment fraud targeting investors, the Remote Inspections Pilot Program, and trade reporting enhancements for fractional share transactions.
