Financial Industry

Financial firms must keep business communications and records in approved, tamper-resistant ways — and be able to produce them quickly for regulators. That includes email, text/SMS, social media, and collaboration tools like Teams or Slack.

In plain English

If your team talks to clients over email, text, chat, or social, you need those messages saved and searchable. Broker-dealers and advisers must keep specific records for defined periods and supervise communications. The simplest way to stay safe is to capture everything in one archive that your compliance team can review and produce on request.

Why archiving matters for financial firms

Broker-dealers follow SEC Rules 17a-3/17a-4 for books-and-records and electronic recordkeeping, including the ability to promptly produce records. Recent updates allow a compliant audit-trail storage option in addition to traditional WORM, but the core requirement remains: records must be complete, accurate, and quickly retrievable.

FINRA adds two key layers: Rule 4511 (preserve required books and records — default six years where not otherwise specified, using 17a-4-compliant media) and Rule 3110 (supervise written communications, including electronic). For investment advisers, the Advisers Act Rule 204-2 requires retaining originals/copies of all written communications about advisory business.

Regulation quick notes

  • SEC Rule 17a-3 — What must be created: baseline “books and records” a broker-dealer must make and keep.
  • SEC Rule 17a-4 — How to preserve: electronic recordkeeping requirements and prompt-production standards; 2022 amendments allow an audit-trail alternative to WORM while keeping core protections.
  • FINRA Rule 4511 — Books & records: default six-year retention where not otherwise specified; storage must meet 17a-4.
  • FINRA Rule 3110 — Supervision: firms must review written (including electronic) communications as part of supervisory procedures.
  • Advisers Act Rule 204-2 — RIAs must retain originals/copies of all written communications about advice, orders, funds/securities, performance, etc.

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