JOB TITLE: SENIOR SECURITIES COMPLIANCE EXAMINER AND ENFORCEMENT ADMINISTRATOR

JOB CODE: 04830

SERIES NATURE OF WORK: The Securities Compliance Examiner job series describes work in the regulation of securities entities regulated by the Department of Banking and Securities.

DEFINITION: This is advanced professional or supervisory work in the examination, investigation, and/or audit of securities entities and securities for compliance with laws, regulations, and sound management and sales practices; or in coordinating the statewide supervision, enforcement, and monitoring programs for securities entities and securities.

An employee in this job serves as Examiner-in-Charge of complex and/or multistate examinations, investigations, and/or audits of broker-dealer firms and agents, investment advisor firms and representatives, and securities; serves as the supervisor of a small examination or investigation unit; and/or serves as a securities enforcement administrator. Work includes explaining and interpreting changes in laws, regulations, rules, and policies affecting securities operations and practices to the securities community. Work may also involve leading task force projects. Work is performed independently under the general direction of an administrative supervisor, who reviews work through conferences and written reports.

• As an Examiner-in-Charge, work involves serving in an administrative and technical oversight role, with responsibility for all aspects of managing and directing an examination, investigation, or audit including planning, scheduling, and scoping the assignment and responsibility for the completion of all analyses, reports, and recommendations.

• As a supervisor, work involves supervising a small examination or investigation unit comprised of two or more Securities Compliance Examiners.

• As an enforcement administrator, work involves responsibility for overseeing and enforcing compliance with laws, regulations, and rules governing the regulated securities community; working with securities entities to resolve non-compliance issues identified through examinations, investigations, or audits; assisting legal staff with negotiating enforcement actions; assisting securities entities in implementing satisfactory corrective action or recommending appropriate departmental action to protect investors, creditors, and the general public; and recommending and implementing policies, regulations, standards, and procedures for the supervision and regulation of the securities community.

   DISTINGUISHING CHARACTERISTICS:

• Examiner-in-charge work is differentiated from the next lower level by the responsibility for serving as Examiner-in-Charge of complex or multistate examinations, investigations, or audits. Complex examinations, investigations, and audits are generally characterized by the involvement of new and unique business models or complex securities products. Complex securities products are characterized by nationwide issuance, large corporate structures, and complicated fee structures.

EXAMPLES OF WORK: (NOTE: The examples of work are representative of the work, but every position classified to this job may not perform all examples of work listed. Conversely, this is not an all-inclusive list of work examples.):

• Serves as Examiner-in-Charge by leading a group of examiners in the conduct of examinations, investigations, or audits through planning, organizing, scheduling, assigning, and reviewing work.

• Supervises a staff of professional employees engaged in examination or investigative functions relating to licensed or unlicensed securities activities.

• Conducts examinations, investigations, and audits of securities entities or securities products.

• Analyzes previous examination, investigation, and audit reports, correspondence, consumer complaints, and other available information to identify areas of concern and to prepare and plan for examinations, investigations, or audits.

• Assigns portions of examination, investigation, or audit to lower level examiners; reviews reports and recommendations made by examiners; and prepares the comprehensive examination report including recommendations for appropriate action.

• Provides guidance and direction to lower level examiners on rules, regulations, policies, standards, objectives, and obligations of the examination, investigative, or audit process.

• Conducts entrance conferences, interviews company principals, and discusses irregularities and violations discovered during examinations and investigations with firm officials.

• Participates in or serves as lead examiner for multistate examinations of identified high risk firms.

• Coordinates work with examiners from other local, state, or federal agencies.

• Reviews and analyzes examination reports and results of onsite and offsite monitoring of operations, and summarizes and interprets findings to firm officials, directors, legal counsel, and staff.

• Identifies the need for corrective action to ensure compliance with laws, regulations, and rules and develops recommendations and suggestions to correct deficiencies.

• Evaluates proposals from firms to improve financial conditions or to correct violations of laws, rules, or regulations and works with legal staff to determine appropriateness of proposals.

• Reviews and analyzes financial statements and other reports filed by registrants to determine compliance with examination report recommendations, existence of deficiencies, or non-compliance with rules and regulations.

• Monitors actions of broker-dealer and investment advisor firms to assess their efforts in effecting satisfactory corrective action.

• Consults with department legal counsel and firm solicitors on the disposition of findings of violations of laws, rules, and regulations.

• Plans and conducts conferences and meetings with officers and directors of firms to negotiate final enforcement actions in cooperation with department legal staff.

• Coordinates with legal staff to draft informal agreements, consent orders, fine letters, or other documents to be used in hearings or other legal actions.

• Conducts special studies to determine trends, problems, and issues in the securities industry and prepares reports for department management consideration and review.

• Recommends changes in policies, laws, regulations, and rules to improve the supervision and enforcement of securities entities.

• Conducts on-the-job-training for lower level examiners.

• Travels to various work locations and training sites.

• Testifies at administrative hearings or legal proceedings.

• Performs the full range of supervisory duties.

• An employee in this job may participate in the performance of subordinates’ work consistent with operational or organizational requirements.

• Performs related work as required.

ENTRY LEVEL KNOWLEDGES, SKILLS, AND ABILITIES:

• Knowledge of financial data analysis techniques and principles.

• Knowledge of accounting principles.

• Knowledge of business organization and practices, legal business entities, and corporate formation.

• Knowledge of the securities industry.

• Knowledge of the procedures, practices, and records employed in the operations of the securities business.

• Knowledge of laws and regulations governing operations of securities entities.

• Knowledge of financial investigative techniques.

• Knowledge of the use and functionality of standard software application programs, such as word processing, spreadsheet, e-mail, and database.

• Ability to compute net capital and apply standard accounting financial tests and ratios to financial data.

Commonwealth of Pennsylvania 4

• Ability to perform, analyze, and interpret mathematical calculations and expressions.

• Ability to analyze and interpret written information and numerical data.

• Ability to communicate effectively orally.

• Ability to communicate effectively in writing.

• Ability to establish and maintain effective working relationships.

FULL PERFORMANCE KNOWLEDGES, SKILLS, AND ABILITIES: (NOTE: These are expected of an employee performing the work of this job at the full performance level. These may not be evaluated by the State Civil Service Commission or used for Civil Service examination purposes and are not position-specific performance standards.):

• Ability to analyze financial data and reports for compliance with requirements and to develop corrective measures.

• Ability to conduct studies and prepare reports and recommendations.

MINIMUM EXPERIENCE AND TRAINING: (NOTE: Based on the Entry Level Knowledges, Skills, and Abilities):

• Two years as a Securities Compliance Examiner 2;

or

• Four years of professional accounting, auditing, financial securities investigative, financial securities compliance, or financial securities operations work experience in a financial securities entity or in the financial securities operation of a financial institution and a bachelor’s degree including or supplemented by nine credits in accounting, finance, economics, or a closely related field;

or

• Four years of professional experience in examining, auditing, or the financial investigation of financial securities entities or products for conformance to financial securities laws, financial securities rules, and financial securities regulations and a bachelor’s degree including or supplemented by nine credits in accounting, finance, economics, or a closely related field;

or

• An equivalent combination of experience and training that includes nine college credits in accounting, finance, economics, or a closely related field. A master’s degree in business administration, law, economics, accounting, finance, or a related field can be substituted for one year of the specialized experience.