2021 SEC Examination Priorities

On March 3, 2021, the Securities and Exchange Commission's ("SEC") newly renamed Division of Examinations (the "Division") released its annual list of examination priorities for 2021.¹  As has been true for several years now, the Division continues to focus on issues relating to retail investors, including risks specific to elderly investors and investors saving for retirement, information security and financial technology ("FinTech").  The Division's 2021 priorities also reflect new scrutiny on climate and Environmental, Social and Governance ("ESG")-related matters.

Of course, these priorities are not exhaustive, and the Division's examinations are likely to focus on many areas beyond this list.  Moreover, the Division continues to characterize its examination selection process and scope determinations as a risk-based approach that provides it with sufficient flexibility to allow for coverage of emerging and exigent risks as they arise.