Brattle Principal Joseph Belanger, Associate Ryan Leary, and Senior Consultant Hollie Mason have authored an article for Wolters Kluwer’s Securities Regulation Daily and Banking and Finance Daily on the effect of COVID-19 on the financial markets. The COVID-19 pandemic has affected every aspect of the economy, and there have been many changes to regulatory focus and potential litigation concerns.
Market volatility and economic uncertainty – for instance, as COVID-19 has caused – are catalysts for increased regulatory scrutiny and securities litigation, as we saw in the 2008 global financial crisis. Already, market regulators have broadened their policing for fraudulent activity, and securities-related litigation filings are already on the rise. Broker-dealers and financial service firms should seek to mitigate the risk associated with the rapidly changing regulatory conditions. The firms that fail to anticipate and respond to these developments many find themselves unprepared for the risks and challenges associated with the current economic crisis.
The full article, “Broker-Dealers and Financial Services Firms Should Expect Increased Regulatory Scrutiny and Litigation in Light of COVID-19,” can be found on the Wolters Kluwer website.View Article