Conflicts of Interest

Corporate Gifts - Avoiding Potential Conflicts of Interest

Conflicts of interest may arise when corporate gifts are given or received by broker- dealers and investment advisors. The NASD (now FINRA) has imposed restrictions for broker-dealers with the implementation of Rule 3060 to ensure that corporate gifts do not exceed the per year rule of $100 per individual. Most investment advisors have adopted similar rules to prevent conflicts of interest for the firm and its employees.

Benefits of Conflicts of Interest Tracking Software

Monitoring corporate gifts and making sure they do not create conflicts of interest is important to any firm, regardless of its size or the clients it serves. Compliance11's Supervisory Suite software automates the monitoring process and establishes limits and thresholds as they pertain to conflicts of interest. Compliance11's Supervisory Suite software helps firms manage and monitor all activity regarding corporate gifts given and received by employees. The software's reporting capabilities provide an accounting of all corporate gifts throughout the entire organization ensuring there are no potential conflicts of interest. By eliminating these potential conflicts of interest before they occur, management can be assured that equal attention is paid to all the firm's clients regardless of the corporate gifts given and received.