Climate risk, digital assets climb to top of SEC priorities list (IGNITES)

When Gary Gensler takes the helm of the SEC, the agency’s exam focus and rulemaking should quickly look at risks associated with the evolving areas of climate events and digital assets. On the first priority area, exams will likely assess firms’ business continuity and disaster recovery plans, as well as operational and cybersecurity practices. Additionally, Gensler has stated he would pursue rulemaking around climate risk disclosures. On the second area, FrontLine’s Founder and President Amy Lynch comments that the SEC’s reviews of digital asset use by firms have evolved and she expects Gensler to issue new guidance followed by increased scrutiny of firm practices. See IGNITES (subscription required), “SEC Zeroes In on Climate Change, Portfolio-Shielding ETFs”