Tag Archives: Joseph M. Toner

CFTC Year in Review: 23 Takeaways From 2023 and Predictions for 2024

by Matthew B. KulkinElizabeth L. Mitchell, Gretchen Passe Roin, Timothy F. Silva, Tiffany J. Smith, Dino WuMatthew Beville, and Joseph M. Toner

Photos of the authors

Top (left to right): Matthew B. Kulkin, Elizabeth L. Mitchell, Gretchen Passe Roin, and Timothy F. Silva
Bottom (left to right): Tiffany J. Smith, Dino Wu, Matthew Beville, and Joseph M. Toner (photos courtesy of Wilmer Cutler Pickering Hale and Dorr LLP)

At an industry event in early 2023, Commodity Futures Trading Commission (CFTC or the Commission) Chairman Rostin Behnam set out a comprehensive agenda.[1] When Chairman Behnam detailed the CFTC’s 2023 work plan, the CFTC was building on its first year with a full slate of Commissioners, new Division Directors, and senior leadership. As we look back on the recently completed calendar year and turn our attention to the rapidly approaching 2024 presidential and congressional elections, the CFTC seems poised for another year packed with a flurry of regulatory, policy, and enforcement activity. This article lays out 23 of our key takeaways from the past year and offers insights on what might take place in the coming months.

Continue reading

Recent Exemptions From Rule 206(4)-5 Demonstrate the Importance of Strong Compliance Policies and Quick Corrective Action

by Benjamin Neaderland, Joseph M. Toner, and Thomas K. Bredar

Author photographs

From left to right: Benjamin Neaderland, Joseph M. Toner, and Thomas K. Bredar. (Photos courtesy of Wilmer Cutler Pickering Hale & Dorr LLP)

Recently, the Securities and Exchange Commission (SEC) has demonstrated its willingness to largely forgo the strict consequences of Investment Advisers Act Rule 206(4)-5 (the “Pay-to-Play Rule”) in circumstances where investment advisers can demonstrate that they have effective compliance policies and took action when confronted with a potential violation. These recent exemptive orders are the first such orders since 2020.

The Pay-to-Play Rule is intended to deter investment advisers, and their covered associates, from using campaign contributions to exert improper influence over existing or prospective investments by public sector clients. Violations of the Pay-to-Play Rule can lead to fines and prohibitions on investment advisers receiving any compensation from a government entity for two years following the date of the violative contribution.[1]
Continue reading

CFTC Publishes Examination Priorities for 2019

By Seth Davis, Paul M. ArchitzelPetal P. Walker and Joseph M. Toner

On February 12, 2019, the Commodity Futures Trading Commission (CFTC or Commission) published for the first time its examination priorities for the coming year.[1] The release of the priorities will provide legal and compliance staff of CFTC-regulated entities greater insight into the Commission’s examination programs and assist them in better preparing for, and successfully navigating, an examination. The Commission bases its priorities on four pillars: (1) effective communication, (2) a risk-based determination of priorities, (3) continuous improvement and (4) efficiency. Continue reading