Chairman and CEO, Finra
Richard Ketchum, 62, will have to continue leading the nation’s day-to-day securities regulator through a whirlwind of regulatory changes in 2013. The big issue for advisers is the Financial Industry Regulatory Authority Inc.’s push to gain jurisdiction over registered investment advisers if Congress decides to make the switch to a self-regulatory organization for investment adviser oversight — an effort that looks to be an increasingly uphill fight as opponents of an adviser SRO have gained traction in Washington.
But Mr. Ketchum may have a pro-SRO ally in recently designated Securities and Exchange Commission Chairman Elisse Walter, the former Finra regulatory-policy chief. And Finra continues to adopt more fiduciary-type standards, such as new suitability rules rolled out in 2012, while the broader question of whether to harmonize fiduciary requirements for all who provide retail investment advice lingers in the industry.
Finra also will have to focus on increasingly important market oversight issues such as high-frequency trading and a consolidated audit trail next year. At the same time, Mr. Ketchum is struggling with declining revenue at Finra, which has resulted in cost cuts and a reshuffling of its executive suite.—Dan Jamieson