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NPH purchase could pose compliance risks

LPL’s recently announced purchase of National Planning Holdings could present some compliance and recruiting troubles, according to an article at Financial Planning. The purchase is expected to add about 3,200 advisors (if they agree to move) to LPL’s advisor headcount. “The bigger you are, the more attention you’re going to get from regulators,” Todd Cipperman of Cipperman Compliance Services told the publication. See the full details below. Also, a recent NASAA survey on seniors and financial exploitation finds that cases of elder financial fraud have gone up, and state securities regulators say most cases “go undetected before serious harm is done,” ThinkAdvisor reports. In addition, three-fours of respondents said broker-dealers and advisors can do more to help prevent such fraud. See the story below.

Compliance risks lurk in LPL’s National Planning Holdings buy

By Tobias Salinger

Source: Financial Planning

LPL Financial faces risks around recruiting and compliance in its quest to make its headcount the largest of any advisory firm in the country. The firm last week purchased National Planning Holdings, turning LPL into the “800-pound gorilla” of independent broker-dealers, says Eric Aanes, the founder of the LPL-affiliated RIA Titus Wealth Management. If LPL adds the 3,200 advisors from NPH’s member IBDs, its brokerage force will bulge to nearly 17,500 advisors by next year.


Senior Financial Fraud Is on the Rise: NASAA

By Melanie Waddell

Source: ThinkAdvisor

Senior financial fraud is on the rise with most cases going undetected, according to a just-released survey of state securities regulators. The 2017 Pulse survey on seniors and financial exploitation conducted by the North American Securities Administrators Association found that while 97% of state securities regulators believe that most cases of senior financial fraud go undetected before serious harm is done, the same percentage of regulators also say there’s greater awareness of senior investment fraud and exploitation now than a year ago.


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