Social media policies take on importance in today’s political climate (FinancialPlanning)

In today’s heated political environment, firms should have strong social media policies that include monitoring and oversight of employees’ use. Policies that are part of a firm’s overall compliance program should prevent problematic social media statements that could turn off clients and potentially damage a firm’s reputation. Amy Lynch, FrontLine’s Founder and President, states that a social media policy should be part of a firm’s written marketing policies and thus subject to the SEC’s Marketing Rule. She explains that the policy should cover the permitted uses of social media by employees, approved channels and the process employees should follow to submit posts to compliance for review and approval. Ms. Lynch adds that social media posts should also be captured within a firm’s electronic communications surveillance platform. These various mechanisms should help keep controversial and politically toned posts from occurring and from firms having to deal with their consequences. See Financial Planning (subscription required), “Strong social media policies shield wealth firms from potential fallout”