Dual registrant regulatory roundup - August 2026

SEC Proposes Regulation E-Delivery

• On July 16, 2026, the SEC proposed Regulation E-Delivery, a new rule that would expand the ability of issuers, broker-dealers, investment advisers, and other market intermediaries to use electronic delivery to satisfy information delivery requirements under the federal securities laws. Comments are due on the proposal by September 21, 2026.
• Currently, regulatory information generally must be delivered in paper format unless the recipient has affirmatively elected to receive it electronically. Regulation E-Delivery would reverse this default by permitting “covered entities” – including issuers, broker-dealers, and investment advisers – to deliver “covered information” (information required to be delivered under the federal securities laws) to “covered recipients” electronically as the default method, without first obtaining affirmative consent, and would generally supersede the SEC’s decades-old, guidance-based e-delivery framework.
• To rely on the new default, a covered entity would need to satisfy several conditions: (1) the covered recipient must have provided an electronic address; (2) the covered entity must have prominently disclosed that it will send covered information to that address; and (3) the covered entity must comply with specified requirements governing the method and timing of delivery, the recipient’s ability to opt out of e-delivery at any time, the recipient’s right to request paper copies free of charge, and the accessibility of any website on which covered information is posted. The rule would permit two delivery methods: (1) direct electronic transmission of covered information for most disclosures; and (2) for information containing personal financial information, delivery of a statement of availability (such as an email with a link) directing the recipient to where the information can be accessed.
• The range of information that could be delivered electronically under the proposal would be broad, including fund prospectuses, shareholder reports, proxy statements, trade confirmations, Form CRS disclosures, and Form ADV Part 2 Brochures. For recipients currently receiving paper delivery, the proposal includes a transition process requiring two paper notices before a covered entity may switch them to e-delivery, providing advance notice of the change and a continuing right to opt out and receive paper. 

SEC Publishes 2026 Regulatory Flexibility Agenda

• On July 3, 2026, the Office of Information and Regulatory Affairs published the semiannual Unified Agenda of Regulatory and Deregulatory Actions, which includes the SEC’s 2026 Regulatory Flexibility Agenda (Spring 2026 Agenda). Chairman Paul S. Atkins issued a statement on the agenda on July 7, 2026, describing it as reflecting the "robust rulemaking" pursued under his chairmanship and returning the agency to its core mission of protecting investors, facilitating capital formation, and maintaining fair, orderly, and efficient markets.
• The agenda includes several items of note for both broker-dealers and investment advisers. For advisers, these include amendments to the custody rules under the Advisers Act and Investment Company Act (to modernize safeguarding of client and fund assets, including treatment of crypto assets), amendments to the investment adviser recordkeeping rule under Advisers Act Rule 204-2 (to address the scope of electronic communications recordkeeping in light of recent off-channel communications enforcement activity), and a new pay-to-play reform item under Advisers Act Rule 206(4)-5. For broker-dealers, the agenda includes amendments to financial responsibility and recordkeeping rules to address crypto assets, as well as a new item addressing the regulatory status of “finders” under Exchange Act Section 3(a)(4)(A). 

FINRA Publishes Regulatory Notice Seeking Comment on Amendments to Rule 2210 (Communications with the Public)

• On July 9, 2026, FINRA published Regulatory Notice 26-14, seeking comment on proposed changes to modernize Rule 2210, FINRA’s principal rule governing member communications with the public. The comment period expires September 11, 2026. FINRA explains that the proposal is intended to reflect evolving communications practices and technologies, including the growth of social media and generative artificial intelligence, and is part of FINRA’s broader "FINRA Forward" rule modernization initiative.
• The primary impact of the proposal would be to replace the current requirement that a registered principal approves each retail communication before it is used or filed with a modernized, risk-based supervisory framework, allowing firms to calibrate their review procedures to the level of risk a given communication presents. The proposal would also streamline FINRA’s retail communication filing requirements and would more closely align the content standards applicable to broker-dealer communications containing recommendations with the standards that already apply to investment advisers.
• FINRA notes that aligning broker-dealer and investment adviser communications standards may reduce compliance friction and promote competitive parity between the two regimes. 

FINRA Amends Rule Proposal Allowing Projected Performance (Amendment No. 1 to SR-FINRA-2026-004)

• On February 10, 2026, FINRA filed a proposed rule change with the SEC to amend Rule 2210 to create a new exception to the rule’s general prohibition on projecting performance or providing targeted returns, allowing members to include such projections in communications subject to specified conditions. Under the original proposal, to qualify for the exception a member would be required to: (1) adopt and implement written policies and procedures reasonably designed to ensure that the communication is relevant to the likely financial situation and investment objectives of the intended audience; (2) have a “reasonable basis” for the criteria used and assumptions made in calculating the projected performance or targeted return; and (3) provide sufficient information for investors to understand the criteria and assumptions made, including fees and expenses, and the risks and limitations of using the projection, including the “reasons why” a projection might differ from actual performance.
• The SEC published the proposal for comment in the Federal Register on February 25, 2026. On May 20, 2026, the SEC issued an order instituting proceedings to determine whether to approve or disapprove the proposal, inviting interested persons to submit additional written data, views, and arguments. In July 2026, FINRA filed an amendment to the proposal. The amendment removes the express "reasonable basis" requirement for projection criteria and assumptions, relying instead on Rule 2210’s existing general content standards to ensure projections are properly supported. In its place, FINRA is amending Rule 2210’s recordkeeping requirements to require that communications records identify the source of any projection or targeted return. FINRA also removed the initial filing’s specific requirement to disclose the "reasons why" a projection might differ from actual performance, relying instead on Rule 2210’s general standards requiring that disclosures be understandable, properly supported, and not misleading.

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