2026 SEC Examination Priorities: What Small RIAs Need to Know

Each year, the SEC's Division of Examinations publishes its examination priorities — a forward-looking document that signals where regulators intend to focus their attention. For small and mid-sized registered investment advisers, understanding these priorities is one of the most practical steps a firm can take to prepare for a potential examination.

The 2026 priorities continue several themes from prior years while introducing new areas of focus that reflect the current regulatory environment. This article summarizes the key themes most relevant to independent RIAs and explains what each one means in practical terms for your compliance program.

Cybersecurity and Information Security

Cybersecurity has appeared in the SEC's examination priorities for several consecutive years, and 2026 is no exception. The Division has signaled continued scrutiny of advisers' written information security programs (WISPs), vendor oversight practices, and incident response capabilities.

For small RIAs, the practical implication is straightforward: your firm should have a documented information security policy that is reviewed at least annually, reflects your actual technology environment, and addresses how you manage third-party service providers who have access to client data. Examiners are not expecting small firms to have enterprise-grade security infrastructure — but they do expect firms to have thought through their risks and documented their approach.

Regulation S-P, which governs the safeguarding of customer records and information, has also received increased attention following its 2024 amendments. Firms subject to the updated rule should ensure their policies and procedures reflect the revised requirements, including enhanced incident notification obligations.

Regulation Best Interest and Fiduciary Standards

The Division continues to examine how investment advisers fulfill their fiduciary duty to clients, with particular focus on conflicts of interest disclosure and management. Examiners have been reviewing whether advisers are recommending investment strategies, products, and share classes that are in the best interest of clients — and whether those recommendations are adequately disclosed in Form ADV and client agreements.

Common areas of examiner focus include: compensation arrangements that could create incentives to recommend certain products, revenue-sharing arrangements with custodians or third-party managers, and the use of affiliated products or services. Advisers should review their conflict of interest disclosures in Form ADV Part 2A to ensure they are specific, accurate, and current.

Artificial Intelligence and Emerging Technology

The 2026 priorities reflect the SEC's growing interest in how advisers are using artificial intelligence and automated tools in their practices. Examiners are expected to review whether firms using AI-driven tools for investment analysis, client communications, or portfolio management have adequately disclosed the use of those tools and have appropriate oversight in place.

This is a relatively new area of examination focus, and the regulatory framework is still developing. However, the core principle is consistent with longstanding fiduciary obligations: advisers are responsible for understanding the tools they use and ensuring those tools serve client interests. Firms using AI-assisted research, automated rebalancing, or AI-generated client communications should document their oversight processes and ensure their disclosures reflect actual practice.

Marketing Rule Compliance

The SEC's Marketing Rule (Rule 206(4)-1 under the Investment Advisers Act) has been in effect since November 2022, and examiners have been actively reviewing compliance in subsequent examination cycles. The 2026 priorities indicate continued scrutiny of adviser marketing materials, including websites, social media, performance presentations, and testimonials.

Key areas of examiner focus include: whether performance presentations comply with the rule's requirements, whether testimonials and endorsements include required disclosures, and whether advisers have adopted and implemented written policies and procedures reasonably designed to prevent violations of the Marketing Rule. Firms that have not yet conducted a thorough review of their marketing materials against the rule's requirements should prioritize doing so.

Fee and Expense Practices

The Division has consistently identified fee and expense practices as a priority, and 2026 continues this trend. Examiners review whether advisory fees are calculated and charged in accordance with client agreements, whether fee disclosures in Form ADV are accurate and complete, and whether clients are receiving the services they are paying for.

For small RIAs, this means periodically reconciling your actual fee billing practices against your fee schedule and client agreements. Billing errors — even inadvertent ones — can result in examination findings and, in some cases, restitution obligations. A periodic fee billing review is a straightforward compliance control that can prevent significant problems.

What This Means for Your Compliance Program

The SEC's examination priorities are not a guarantee that your firm will be examined, nor are they an exhaustive list of everything examiners review. However, they are a useful roadmap for prioritizing your compliance program's focus areas.

A practical approach for small RIAs is to use the examination priorities as an annual compliance calendar prompt: review your policies and procedures against each priority area, identify any gaps, and document your review. This kind of proactive, documented compliance activity is exactly what examiners look for when they assess whether a firm has a culture of compliance.