As today’s Fundfire headline shows (), compliance is being closely scrutinized by the SEC. The logic is that while failures in the compliance area do not necessarily mean fraud, this is the area where fraudulent activities can start.
Within our own system, iPM, we first expanded the definition of compliance to extend from front-to-back office. While this may sound like a lot of additional work for compliance officers, this is where technology comes in.
By demonstrating compliance procedures within the software itself as part of the investment process, firms can easily demonstrate compliance procedures and controls to regulators if ever needed.
An ounce of prevention is worth a pound of cure.