Week of May 18 - 14, 2026

🗓️ May 18, 2026

• SEC Files Settled Action as to Two New Jersey Residents Charged with Insider Trading. The Securities and Exchange Commission filed settled insider trading charges against Oskar Elmgart and Raymond Leibman for illegally trading in advance of CoStar Group, Inc.’s acquisition announcement of Matterport, Inc. on April 22, 2024. Elmgart and Leibman allegedly used nonpublic information from a Matterport employee to trade, resulting in illicit profits of $63,050 and $30,581, respectively. They agreed to final judgments without admitting or denying the allegations, with Elmgart ordered to pay $132,276 and Leibman $63,957. 🔗 Read more
• SEC Rescinds Policy Regarding Denials of Settlements in Enforcement Actions. Washington D.C. - The Securities and Exchange Commission has rescinded Rule 202.5(e), which required defendants to agree not to publicly deny allegations in settlement agreements, aligning with most federal agencies and allowing more flexibility in settlements. This change conserves resources, provides certainty, and potentially speeds up the return of money to investors, while recognizing that public interest effects from such denials may be minimal. The rescission does not alter the Commission’s practice of not requiring admissions in settlements and will not enforce existing no-deny provisions. 🔗 Read more
• CFTC Chairman Selig Announces DJ Hennes as Director of the Market Participants Division. Washington - Commodity Futures Trading Commission Chairman Michael S. Selig announced that DJ Hennes will be the director of the Market Participants Division. Hennes, who joins from KPMG LLP, brings extensive experience in financial services, governance, risk, compliance, and enforcement, as well as expertise in crypto assets and prediction markets. He expressed his honor in joining the Commission and his eagerness to contribute to its mission of fostering integrity, innovation, and liquidity in derivatives markets. 🔗 Read more
  

🗓️ May 19, 2026

• Agencies Request Comment on Financial Institutions Rating System. The Federal Financial Institutions Examination Council (FFIEC) has invited public comment on proposed revisions to the CAMELS rating system to focus on material financial risk and enhance transparency. The revisions, prioritized by FFIEC Chair Michelle W. Bowman, aim to strengthen the link between ratings and a financial institution’s safety and soundness, with modifications to the composite and component rating definitions and evaluation factors. The public has 90 days to submit comments through the Federal eRulemaking Portal. 🔗 Read more
• SEC Proposes Transformative Reforms to Help Public Companies Conduct Registered Offerings and Simplify Reporting Requirements. Washington D.C. - The Securities and Exchange Commission proposed amendments to its rules and forms for registered offerings to enhance efficiency, flexibility, and cost savings for public companies while maintaining investor protections. These amendments aim to modernize the registered offering framework, extend disclosure scaling to more companies, and simplify the public company reporting framework, with the goal of incentivizing companies to remain public. The proposals include changes such as allowing more companies to conduct shelf offerings, preempting state securities law requirements, and raising the threshold for large accelerated filers, with a public comment period of 60 days following publication. 🔗 Read more
• CFTC Staff Issues Advisory on Cooperation in Enforcement Matters. Washington - The Commodity Futures Trading Commission issued a staff advisory outlining the Division of Enforcement’s new policy on cooperation, which supersedes all prior advisories. The policy provides a path for potential declination when a respondent voluntarily self-reports, fully cooperates, effects timely remediation, and provides full restitution, while also detailing cooperation credit levels for those ineligible for declination. Chairman Michael S. Selig and Director of Enforcement David I. Miller emphasized that the policy encourages prompt compliance, enhances market policing, and promotes transparency and fairness in enforcement practices. 🔗 Read more
• CFTC Sues Minnesota to Block State Law. Washington - The Commodity Futures Trading Commission (CFTC) has filed a lawsuit against Minnesota to block a new state law that criminalizes operating or assisting in prediction markets, effective August 1, 2026. This law, signed by Governor Tim Walz, is the most aggressive state action against CFTC-regulated markets, impacting weather-related event contracts and potentially turning lawful participants into felons. The CFTC argues that this move undermines the federal regulatory regime and harms Minnesota farmers who rely on hedging products for risk mitigation. 🔗 Read more
• FINRA Announces Review of Higher-Risk Structured Products. FINRA announced it will review firm practices regarding higher-risk structured products, specifically non-principal protected “worst-of” structured notes, to ensure compliance with Regulation Best Interest and FINRA rules. The review will focus on how firms supervise concentrations in these complex products, which can expose investors to significant risks, and encourages all firms recommending them to evaluate their practices. Guidance on compliance is available in FINRA’s Annual Regulatory Oversight Report and other resources. 🔗 Read more‍
  

🗓️ May 20, 2026

• Federal Reserve Board requests public comment on a proposal to establish a "payment account," which legally eligible financial institutions could use for the specific purpose of clearing and settling their payments. The Federal Reserve Board has requested public comment on a proposal to establish a “payment account” for eligible financial institutions to clear and settle payments, aiming to reduce costs and increase speed while mitigating risks. The proposal, similar to a December 2025 prototype, would not provide intraday credit, interest, or expand legal eligibility, but includes changes like increased closing balance limits based on expected activity. Additionally, the Board is encouraging a temporary pause on Tier 3 access requests to ensure consistent implementation after public input is considered. 🔗 Read more
• Minutes of the Federal Open Market Committee, April 28-29, 2026. The Federal Reserve released the minutes of the Federal Open Market Committee meeting held on April 28-29, 2026. These minutes, typically published three weeks after the meeting, describe economic and financial conditions based on the information available at that time. 🔗 Read more
• FINRA Fines Pictet Overseas and Blue Ocean ATS for AML and Supervisory Violations Involving Low-Priced Securities. Washington D.C. - FINRA fined Pictet Overseas Inc. $610,000 and Blue Ocean ATS $550,000 for anti-money laundering and supervisory violations related to low-priced securities transactions. Both firms failed to implement effective AML compliance programs, leading to inadequate monitoring and failure to detect suspicious activities. Despite warnings and the known risks, Pictet and Blue Ocean did not take timely corrective actions, resulting in significant fines and compliance failures. 🔗 Read more
• Results of the March 2026 survey on credit terms and conditions in euro-denominated securities financing and OTC derivatives markets (SESFOD). Credit terms and conditions eased slightly for most counterparty types, driven by improved market liquidity, competition among institutions and strong counterparty financial positions. Securities financing markets saw higher demand for funding and funding availability, with largely unchanged haircuts and higher financing rates/spreads. Compared with a year earlier, credit terms for securities financing and OTC derivatives were broadly stable in non-price terms, with minimal changes in stringency of terms and haircuts for secured funding. 🔗 Read more
• ESMA publishes shortlist of candidates for position of Chair. The European Securities and Markets Authority (ESMA) has published a shortlist of candidates for the position of Chair, which includes Karen Dortea Abelskov and Carlo Comporti. The candidates were selected based on merit, skills, knowledge of financial markets, and experience in financial supervision and regulation. The Council will appoint the Chair after confirmation by the Parliament, with the start date set for 1 November 2026. 🔗 Read more‍
  

🗓️ May 21, 2026

• Federal Reserve Board issues enforcement action with former employee of Commerce Bank. The Federal Reserve Board announced enforcement actions, including a consent prohibition order against Nakia R. Logan, a former employee of Commerce Bank in Kansas City, Missouri, for fraudulent customer transactions. 🔗 Read more
• SEC Obtains Final Consent Judgment as to former Alabama Investment Adviser. The United States District Court for the Middle District of Alabama entered a final consent judgment against James Blake Daughtry for allegedly breaching fiduciary duties related to the sale of his investment advisory business to Jared D. Eakes. The SEC’s complaint, initially filed in Florida and later transferred to Alabama, accused Daughtry of failing to monitor and review his clients’ accounts with Eakes’ firm, GraySail Advisors, LLC, which led to Eakes misappropriating approximately $2.6 million. Daughtry consented to the judgment without admitting or denying the allegations, agreeing to a permanent injunction and a $50,000 civil penalty, while the SEC’s litigation against Eakes continues in Florida. 🔗 Read more
• SEC and NFA Announce Memorandum of Understanding to Further Harmonize Regulatory Coordination. Washington D.C. - The Securities and Exchange Commission (SEC) and National Futures Association (NFA) have signed a Memorandum of Understanding (MOU) to enhance cooperation, coordination, and information sharing in areas of common regulatory interest. This agreement aims to improve information sharing on emerging risks, examination planning, and financial markets’ conditions, and will include periodic staff meetings to promote compliance with derivatives and securities laws. SEC Chairman Paul S. Atkins and NFA President and CEO Thomas W. Sexton both emphasized the importance of this collaboration in building trust in markets and protecting investors. 🔗 Read more
• CFTC and National Hockey League Sign MOU Related to Integrity in Professional Hockey. Washington - The Commodity Futures Trading Commission (CFTC) and the National Hockey League (NHL) have signed a Memorandum of Understanding to protect the integrity of professional hockey and maintain fair prediction markets. The MOU outlines their intent to share information and coordinate efforts, with designated representatives from both organizations communicating regularly to address integrity issues. The NHL has also implemented layered protections to monitor these markets, enhancing their ability to identify and deter potential risks. 🔗 Read more
• AUSTRAC steps in on suspected AML weaknesses at NSW club. AUSTRAC has ordered Bankstown District Sports Club Ltd to appoint an external auditor to assess its anti-money laundering (AML) controls, amid concerns that these controls may not be strong enough to prevent organised crime from exploiting poker machines and gambling venues. The audit, conducted at the club’s expense, will evaluate the club’s AML/CTF program, risk assessment, and monitoring systems to ensure compliance with the Anti-Money Laundering and Counter-Terrorism Financing Act 2006. This action is part of AUSTRAC’s broader efforts to regulate the gambling sector and prevent the use of gambling venues for money laundering. 🔗 Read more‍
  

🗓️ May 22, 2026

• Kevin Warsh takes oath of office as chairman and a member of the Board of Governors of the Federal Reserve System, and the Federal Open Market Committee unanimously selects Warsh as its chairman. Kevin Warsh took the oath of office as chairman and a member of the Board of Governors of the Federal Reserve System on Friday. He was unanimously selected as chairman by the Federal Open Market Committee and confirmed by the United States Senate, with his term as chairman ending on May 21, 2030, and his term as a member of the Board ending on January 31, 2040. 🔗 Read more
• Agencies publish resolution plan feedback letters for certain domestic and foreign banking organizations. The Federal Deposit Insurance Corporation and the Federal Reserve Board published feedback letters for resolution plans submitted in July 2025, finding no shortcomings in the plans from the eight largest domestic and 56 foreign banking organizations. Additionally, each derivatives-related weakness identified in the 2023 plans from Bank of America, Goldman Sachs, JPMorgan Chase, and Citigroup has been satisfactorily addressed. 🔗 Read more
• FDIC Board Approves Proposal to Address Bank Secrecy Act and Sanctions Compliance Standards for FDIC-Supervised Permitted Payment Stablecoin Issuers. Washington - The Federal Deposit Insurance Corporation (FDIC) Board of Directors approved a notice of proposed rulemaking to implement Bank Secrecy Act (BSA) and sanctions compliance standards for FDIC-supervised permitted payment stablecoin issuers (PPSIs) under the GENIUS Act. The proposed rule requires PPSIs to comply with AML/CFT and economic sanctions programs, including reporting requirements by FinCEN and the Office of Foreign Assets Control, and aligns supervision and enforcement provisions with FinCEN. Comments on the proposed rule will be accepted for 60 days after publication in the Federal Register. 🔗 Read more