FiSolve Weekly News Digest: October 30, 2026

Here is what we are reading in the news this week...

SEC 2027 Exam Priorities Emphasize Fiduciary Duty, AI Governance, Cybersecurity, and Retail Investor Protection

In its Fiscal Year 2027 Examination Priorities, the SEC Division of Examinations signals an intensified focus on investment advisers’ fiduciary obligations, compliance programs, conflicts of interest, fee and expense practices, and oversight of private funds, while continuing to scrutinize never-examined and newly registered advisers. The Division also highlights key risks across investment companies, broker-dealers, self-regulatory organizations, clearing agencies, municipal advisors, transfer agents, funding portals, and security-based swap market participants. Particular attention will be paid to compliance with Regulation Best Interest, anti-money laundering controls, financial responsibility rules, and supervisory systems. Cross-industry priorities include cybersecurity preparedness, operational resiliency, identity-theft and privacy safeguards under Regulations S-ID and S-P, technology governance, and the growing use of artificial intelligence and other emerging technologies in investment, compliance, surveillance, and client servicing functions. The SEC also notes increased coordination with other regulators, expanded compliance outreach, and the use of data-driven and technology-enabled examination tools, underscoring a broader regulatory expectation that firms maintain strong governance, risk management, and investor-protection controls amid ongoing technological innovation and growing market complexity. Read more here.

FINRA Streamlines Oversight of

Outside Activities with New Rule 3290

FINRA's Regulatory Notice 26-20 announced the adoption of new Rule 3290 (Outside Activities Requirements), effective October 25, 2027, which replaces existing Rules 3270 and 3280 with a single framework governing registered persons’ outside investment-related activities and associated persons’ outside securities transactions. The new rule narrows the reporting regime by focusing only on investment-related activities, eliminating the need to report many low-risk non-investment pursuits, while preserving customer-protection safeguards. Rule 3290 continues to require prior written notice for outside activities and outside securities transactions, and prior written approval for securities transactions involving selling compensation. It also introduces several exclusions for family transactions, certain personal investments, and activities conducted on behalf of a member or affiliate. Most notably, the rule changes the treatment of activities conducted at an unaffiliated SEC- or state-registered investment adviser, classifying them as outside activities rather than private securities transactions, thereby removing the automatic supervision and recordkeeping obligations that previously applied under longstanding FINRA guidance. Overall, FINRA describes Rule 3290 as part of its FINRA Forward initiative to modernize regulation, reduce unnecessary compliance burdens, and maintain core investor protections. Read more here.

Study: AI Productivity Gains Rarely Translate into Expected Cost Savings

New research from Gartner found a significant gap between boardroom expectations and actual AI-driven results: while 77% of board members expect AI to deliver productivity improvements and cost savings, only 3% of organizations are exceeding their cost-savings goals through productivity gains alone. The study found that many organizations are increasing AI spending despite limited financial returns, suggesting that AI’s greatest value may lie not in reducing costs but in enabling new capabilities, innovation, and growth. Gartner advised HR leaders to focus AI efforts on areas of highest business value, accelerate organizational adaptability, and treat AI-created employee capacity as a strategic asset by redirecting time toward higher-value work and developing skills such as AI fluency, creativity, adaptability, and human collaboration. Read more here.

CFTC and National Basketball Association Sign MOU to Protect Integrity in Professional Basketball

The Commodity Futures Trading Commission and the National Basketball Association announced the signing of a Memorandum of Understanding intended to protect the integrity of professional basketball in prediction markets. Through the MOU, the CFTC and NBA will better share information by regularly communicating and discussing matters relating to integrity, as well as maintaining fair and transparent prediction markets. Read more here.

WSJ: Private Equity Faces a

$300 Billion Refinancing Challenge

The Wall Street Journal reports a wave of approximately $300 billion in risky loans owed by private-equity-backed companies is set to mature in 2028 and 2029, creating a significant refinancing challenge for borrowers that took on debt during the era of low interest rates. Roughly one-third of these obligations are tied to software companies acquired during the private equity boom, many of which now face higher borrowing costs, slower growth, and greater scrutiny from lenders. Market pricing is already signaling concern, with some leveraged loans trading at discounts that reflect doubts about repayment prospects. The article notes that years of debt extensions, refinancing transactions, and other measures have delayed maturity pressures, but a looming "debt wall" will ultimately require many companies to refinance at less favorable terms or undertake broader restructuring efforts. Read more here.

NYSE Expands Options Trading Beyond

Traditional Market Hours

The New York Stock Exchange announced the launch of extended trading hours for eligible NYSE American Options products, allowing investors to trade certain options from 7:30 a.m. to 9:25 a.m. ET before the regular market open and from 4:00 p.m. to 4:15 p.m. ET after the close. The initial rollout covers options on major ETFs, including SPY, IWM, and GLD, as well as several large-cap technology stocks such as Apple, Microsoft, NVIDIA, Alphabet, Amazon, and Oracle. According to the exchange, the initiative is designed to provide market participants with greater flexibility to manage risk and respond to market developments outside traditional trading hours, reflecting growing demand for extended-hours access across financial markets. Read more here.

NFA Reduces Retesting Wait Times for

Futures and Forex Qualification Exams

The National Futures Association (NFA) announced that, effective January 19, 2027, it will shorten the waiting periods for candidates seeking to retake the five futures and forex proficiency examinations administered by FINRA on NFA’s behalf, including the Series 3, 30, 31, 32, and 34 exams. Under the revised framework, candidates who fail an examination on their first or second attempt may retest after 15 days instead of 30 days, while the waiting period following a third failed attempt will be reduced from 180 days to 60 days. The changes, which align with broader updates being implemented by FINRA across its examination programs, are intended to provide candidates with greater flexibility and a faster path to qualification while maintaining the industry's proficiency standards. Read more here.

ESMA Proposes Simpler EU Taxonomy Reporting

The European Securities and Markets Authority (ESMA) published its Final Report providing technical advice to the European Commission on simplifying key performance indicators under the Taxonomy Disclosures Delegated Act. ESMA recommends narrowing the mandatory operating expenditure KPI to non-capitalized research and development expenditure. It also proposes simpler group Taxonomy reporting, including removing the weighted-average KPI, and targeted measures to make disclosures more proportionate, clearer and easier to use. The proposals support ESMA’s simplification and burden reduction objectives, while focusing reporting on information that is useful for decision-making, and preserving the relevance, comparability and reliability of Taxonomy disclosures. Read more here.

📣 WEBINAR ANNOUCEMENT 📣

COMPLIANCE ANONYMOUS

FiSolve's next Compliance Anonymous session is scheduled for 12 PM ET on December 2. This confidential forum brings together legal, compliance, and operations professionals to openly discuss real-world challenges without attribution or judgment. Participation is free, but to ensure meaningful engagement, seating is limited. Reserve your spot here.

💡FiSolve's Negotiation Tip of the Week💡

Making Amends

In negotiations, particularly after a mistake, misunderstanding, or damaged relationship, the strongest move is often not defending the past but repairing the future. Effective amends go beyond a simple apology; they combine acknowledgment, accountability, and a concrete commitment to corrective action. Executives who make amends well resist the urge to explain away their conduct and instead focus on the impact experienced by the other party, the lessons learned, and the steps being taken to prevent recurrence. In the financial services industry, where trust is often the most valuable asset at the table, a thoughtful effort to make amends can transform a difficult conversation from one focused on blame into one centered on restoring credibility, preserving relationships, and creating a foundation for productive future negotiations.

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