A firm was recently fined $150,000 by FINRA for not monitoring their registered representatives’ use of social media sites. Additionally, this same firm did not have a mechanism for determining whether its representatives were using social media for securities-business purposes. (full case details)
The social media monitoring applications available today rely on an honor system. Companies must trust that their employees are reporting all the social media accounts with which they maintain and contribute. Unfortunately, there is a flaw in this system, not all representatives are so forthcoming with their social media accounts.
When it comes to social media how do you know that you are monitoring all of your reps’ accounts? Our Eagle Eye clients are continually finding social media accounts that have not been reported, as well as identifying other things like undisclosed OBA’s, websites, and blogs.
Eagle Eye's multi-query processes and dynamically designed algorithms provide more accurate results when monitoring the web. Eagle Eye saves time by eliminating the process of sifting through endless pages on Google or Bing when you are trying to monitor your advisors by hand. (Schedule a demo and we can show you in person how it will work for you.)
One of our clients found after implementing Eagle Eye, they immediately identified several OBAs and many missing social media accounts that their reps had failed to report. Now after utilizing Eagle Eye for the last couple of years, not only are they able to continually monitor their reps for new issues, but their reps have become more forthcoming about reporting their OBAs and social media usage.
Eagle Eye is just a fraction of the cost of a FINRA fine, and it was developed because of the feedback and requests that SiteQuest Technologies received from our clients. Not only does Eagle Eye identify and locate your representatives’ online presence but it also helps you document and report on your findings. With just a click, you will have everything you need including when a result was found, who reviewed it, comments that were made and time stamps on every action taken on the account.
Make sure that you are not missing anything that you are required to monitor. Contact us today for a demo!
About James Cella
James Cella is the President of a growing and innovative compliance technology provider called SiteQuest Technologies. James is a customer-centric individual and focuses on building and sustaining positive and lasting relationship with his clients and partners. James and his family are "super fans" of Utah Football and have attended nearly every home game since 2002. Go Utes!