Series 28: Chapter Three: Financial And Risk Management Reports

Chapter Three

Financial and Risk Management Reports

Reports. They’re everywhere in the securities industry. And with good reason—written documentation is one of the best ways for that industry to manage and minimize risk.

To assure that broker-dealers comply with financial responsibility rules, for instance, the SEC demands a confusing assortment of periodic reports, which may be categorized into three general groups. The first comprises a series of monthly and quarterly financial reports (also known as “FOCUS reports,” for reasons that will be explained in a