SEC AI Guidance in Financial Services
Effective date
Penalty
Existing SEC penalties including disgorgement and civil fines.
Obligations mapped
Tracked
Overview
SEC enforces existing fiduciary duties and disclosure requirements as applied to AI. Pursuing AI washing enforcement against companies overstating AI capabilities in securities filings. Proposed rule on predictive data analytics (2023-17958) unlikely to be finalized under current administration.
This is federal agency guidance interpreting existing statutes and rules.
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Who this applies to
This regulation applies to the following roles:
- Developers of covered AI systems
- Deployers and users of covered AI systems
- United States federal law
This regulation applies to both companies that build AI products and companies that use AI tools from other vendors.
See enrolled statute text at the official source.
AI categories covered
- Financial services AI
- Consumer-facing AI
- Automated decision-making
Specific AI use cases:
- Credit scoring and risk assessment
- Customer profiling and segmentation
- Recommendation engines
What this requires you to do
Detailed obligation packs are not yet mapped for this entry in XIRA. Obligation areas from the catalog are listed below.
What this requires you to do
Disclosure to users required
Disclose AI use. Make it clear to users when they are interacting with AI-generated content or AI-driven systems.
Transparency notice required
Provide transparency notices. Inform affected individuals that AI is being used and how it influences decisions.
Record-keeping required
Maintain records. Keep documentation of your AI systems, decisions made, and compliance activities.
Regulation summaries are simplified for readability and may not capture every nuance of the underlying statute. Verify important details against primary sources linked on this page.
Enforcement and penalties
Existing SEC penalties including disgorgement and civil fines.
Penalty amounts are based on statutory text and may be subject to adjustment, judicial interpretation, or enforcement discretion.
Legislative history
effective
Ongoing SEC application of fiduciary and disclosure duties to AI-related claims
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Effective
This rule references NIST AI RMF practices. See the federal NIST AI RMF entry for context and source links.
Regulation summaries are simplified for readability and may not capture every nuance of the underlying statute. Verify important details against primary sources linked on this page.