5 AI-related steps to take before the SEC examiner knocks

Another regulation is the SEC's books-and-records rule, which requires advisors to keep accurate records of their finances, operations and dealings with clients. Di Florio said it is an open question what firms should do with client-meeting summaries generated by AI notetakers. "Are these transcripts books and records?" he said. "There's a very specific pain point where they would like to have some clarity."

The SEC's list of examination priorities for 2026 lists AI as a top focus. The consultant firm Comply wrote in its 2026 AI Regulatory Rundown that examiners will ask firms to show their AI use falls in line with existing obligations like the fiduciary duty. "Compliance teams need to have defensible proof around how and where AI is leveraged and how it's making decisions," Comply wrote.

Adam Spiegelman, founder of Spiegelman Wealth Management in California, said he has been cautious in his AI use. He pays for the Enterprise version of Anthropic's Claude to keep client data private. He also checks any AI-generated content against the original transcript. "The client got back to me and said, 'Wow, you really understand the concept,'" he said, describing a relationship-building use of the technology.

Di Florio said the SEC does not expect firms to check every AI output. Regulators want to see that firms have tested enough to have a reasonable expectation of avoiding misleading answers or hallucinations. "They want to see firms adopt it, so they're not going to come down with a heavy hand on AI adoption," he said. "They are looking at it in exams, and they are going to find those cases where they're going to say, 'Hey, this is stepping over the line.'"