Finra expected to adopt CARDS despite vocal industry resistance

Despite strong industry resistance, Finra is expected to adopt a controversial proposal to implement an automated tracking system to detect abusive broker conduct. “They’re going to go through with it,” said Linda Riefberg, a partner at Cozen O’Connor and a former chief counsel for Finra enforcement. “They don’t have to have firms’ approval. Finra, and presumably the [Securities and Exchange Commission], believes this is a way to strengthen their investor protection.” The Financial Industry Regulatory Authority Inc., the self-funded broker-dealer regulator, sees its Comprehensive Automated Risk Data System, or CARDS, as a way to use technology to make itself a more effective and nimble regulator. More on Investment News here.