The retention, storage, and supervision of these dynamic records present many challenges for financial services firms. The challenges are compounded by the ever increasing types and methods of communicating electronically, most recently via social networking websites. Both financial services firms and regulators struggle with how to use these sites to improve investor education and access to helpful information, while at the same time ensuring proper supervision and retention of the content disseminated.

SEC Rule 17a-4 continues to require the retention of all electronic communications in the WORM (write once, read many) format which is outmoded and technologically challenging to integrate into today’s document management systems.