Investment advisors get two more years before they must report suspicious activity

The US Treasury Department is delaying new rules that would require investment advisors to report suspicious financial activity. These advisors now have until 2028 to set up programs to detect and report potential money laundering or terrorism financing.

Investment advisors have been exempt from anti-money laundering rules that apply to banks and other financial institutions. This delay means they can continue operating without these compliance costs for another two years. It also means a significant portion of the financial system remains less transparent to regulators looking for illicit funds.