Ed Wilson and Andrew Bigart published "New Beneficial Ownership Rules Around the Corner: Are BDs Ready?" in ThinkAdvisor on October 27, 2017. Here is an excerpt:
Starting May 11, 2018, compliance officers at broker-dealers will have one more responsibility to add to their checklists. On that day, a new Financial Crimes Enforcement Network (FinCEN) rule goes into effect that requires broker-dealers (and certain other financial institutions) to identify and verify the identity of beneficial owners of legal entity customers at the time of account opening. With the new beneficial ownership rules right around the corner, now is the time for broker-dealers to incorporate the new requirements into their existing AML compliance policies and procedures.