The company, which self-reported the issue, signed separate consent orders with Finra and the New Hampshire Bureau of Securities Regulation.
The law is the 'farthest-reaching' of the actions various states have taken to restrict the use of environmental, social and governance considerations.
The firm will fold the $70 million of assets it bought from Community Capital Management into its first ETF, an ESG-focused product, which it recently launched with acquired assets.
The firm allegedly failed to supervise Joseph Crespi, whose trading activity prompted 135 internal alerts over 12 months, according to the office of Massachusetts Secretary of the Commonwealth William Galvin.
Interest income brought the firm's revenue to a record high during the quarter ended in March, offsetting lower income from asset management fees.
Blass, the former head of the SEC's division of investment management, led external affairs at BlackRock for two years.
A new name is forthcoming, and the firm's eight independent broker-dealers will be merged under that new name in 18 months.
Higher stock and option awards notched chief executives' pay even higher last year, according to a report from ISS Corporate Solutions.
Some of Hill's responsibilities will be handed off to Jeff Busconi, who holds the newly created position of head of wealth management strategy, products and services.
The plan feature is provided by Global Trust Co. and Annexus Retirement Solutions.
