SEC Sets FY 2027 Examination Priorities for Registrants

The Securities and Exchange Commission today released the Division of Examinations' Fiscal Year 2027 examination priorities, outlining the areas that will receive heightened scrutiny across its more than 34,000 registrants. The priorities were developed in coordination with SEC divisions and offices and are intended to guide the Division's risk-based program for the coming fiscal year.

Key focus areas include investment advisers' fiduciary duties and conflict-of-interest controls, retail investor protection for complex and illiquid products, private funds and private credit strategies, broker-dealer financial responsibility and anti-money-laundering compliance, operational resiliency and cybersecurity, emerging technologies such as super intelligence, market-infrastructure risks like Treasury clearing reforms and tokenization, and oversight of self-regulatory organizations.

"Examinations are one of the Commission's most important tools for promoting compliance with the federal securities laws and helping protect investors," said SEC Chairman Paul S. Atkins. "Examinations provide critical insight into emerging risks, evolving business practices, and market developments across our financial system." Keith Cassidy, director of the Division of Examinations, added that the program must evolve with the markets and that the approach enables the Division to "identify developing risk patterns, respond to emerging threats, and anticipate areas where investors and the markets may be vulnerable."

The release notes that the listed priorities are not exhaustive; examiners will continue to assess compliance across the full spectrum of registrant activities and may adjust focus areas in response to market events, investor concerns, new products, or other developments throughout FY 2027.

The Division also highlighted efforts to improve registrant access to examination observations, strengthen integration with SEC policymaking divisions, and coordinate with fellow regulators to promote consistency in applying the federal securities laws.