Potential Legislative Regulatory Changes: What You Should Know

Posted on 08.02.18

Potential Legislative Regulatory Changes: What You Should Know

By Chris Wallace, Business Assurance & Advisory Services Partner | Financial Services Industry Team Leader

President Trump’s administration continues to push forward with its economic agenda, including a focus on deregulation to stimulate the economy and small businesses. On July 11, 2018, the House Financial Services Committee pushed forward with a bundle of bipartisan deregulatory bills that will “ensure small businesses have increased access to capital, enhance investor protections and improve investors’ ability to make informed decisions”. The panel delayed a vote on one of the bills – the Small Business Audit Correction Act of 2018, which would exempt privately held introducing broker dealers from being subject to audits under the standards of the Public Company Accounting Oversight Board (PCAOB).  

A parallel version of this measure is working its way through the Senate.  If it passes through the Senate, there appears to be sufficient support from the House and President Trump to change this aspect of the Dodd Frank Act. Keiter works with numerous introducing broker dealer organizations and we support this measure. We believe the PCAOB has had a positive impact on audit quality for all broker dealers since the PCAOB began regulating these audits in 2014 which has improved awareness for public accounting firms, introducing broker dealers, and the users of these financial statements with regard to the value of high quality audits. 

Regardless of whether or not the PCAOB regulation is discontinued, we will to continue to deliver the high quality audit services that our broker dealer clients have come to expect.


Our Financial Services Industry team will keep you updated on this topic as well as other accounting and tax changes that are relevant to your business. Contact us if you have any questions. We are here to help. Email | Phone 804.747.0000

Additional Resources for Financial Services Firms:

Economic Growth, Regulatory Relief, and Consumer Protection Act: Impact on Financial Services Businesses

How Do You Get Investors Comfortable with Cryptocurrencies?

FINRA to Focus on High Risk Firms and Brokers for 2018

Tax Reform: The Impact on a Financial Services Business

Potential Financial Industry Regulatory Authority Changes

The information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.

Posted by: Christopher L. Wallace, CPA

Chris serves as the leader of the Firm’s Financial Services Industry Team, and in that role oversees services to the Firm’s broker dealer, hedge fund, private equity fund, real estate fund, and other financial service clients. Chris has over 15 years of experience in public accounting providing audit and consulting services to clients in various industries. He is also the Practice Leader of the Business Assurance and Advisory Services Group. Read more of Chris’ insights on our blog.