Brokerages should watch for individuals and entities trading in shares of certain overseas companies either for themselves, or for others, immediately after the firms have been listed on the U.S. stock exchange, the securities industry's self-regulatory agency has warned. Foreign parties have taken to opening accounts at overseas banks, in their names or the names of nominees, for the sole purpose of trading stock in companies from China and other "restricted" markets during their initial public offering in the United States, or during "subsequent aftermarket trading," the Financial Industry Regulatory Authority claimed in a 46-page report. Individuals or entities that...
The Financial Industry Regulatory Authority published the 2021 Risk Monitoring and Examination Activities report, which looks at recent examination results, including on anti-money laundering compliance.
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