The SEC's 2026 Exam Priorities: How Examiners Will Look at Advisers' AI
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What happened: on November 17, 2025, the SEC's Division of Examinations released its fiscal year 2026 examination priorities (Foley & Lardner). Artificial intelligence stays on the list, with examiners checking whether advisers' claims about AI are accurate and whether firms supervise how they use it. Compliance with the amended Regulation S-P is also named as a focus.
Why it still matters: the SEC's fiscal year runs through September 2026, and these priorities shape the exams happening now. Firms adopting AI notetakers, meeting assistants and automated planning tools are exactly who the AI items are aimed at. The Division also says it will prioritize advisers that have never been examined, especially recent registrants, which law firms describe as "welcome to the neighborhood" exams (Dorsey & Whitney).
Not legal or compliance advice. Exam priorities describe focus areas, not new rules. Work with your CCO or compliance consultant on your own exam readiness.
The AI items, in plain English
| What examiners will look at | What it means for your practice |
|---|---|
| Accuracy of AI claims | If your website, ADV brochure or pitch deck says you use AI, examiners may ask you to show how. Overstating it is "AI washing." |
| Automated tools and advice | Automated investment tools, AI systems and algorithms, especially automated advisory services and recommendations, including whether algorithms give advice consistent with each investor's profile and stated strategy (Katten) |
| Policies and supervision | Whether you have written policies to monitor and supervise AI, including in back-office operations, fraud detection, AML and trading |
| Disclosures vs reality | Whether disclosures, supervisory frameworks and controls match what you actually do |
| Cybersecurity | Governance, incident response and data protection, plus new risks tied to AI and to polymorphic malware that changes its code to evade detection (Debevoise & Plimpton) |
Sources: Foley & Lardner; Dorsey & Whitney.
Regulation S-P is on the list too
Examiners will review firms' preparation for the amended Regulation S-P: policies, internal controls, oversight of third-party vendors, governance, and incident response programs for unauthorized access to customer information (Foley & Lardner). Smaller advisers have had to comply since June 3, 2026, and examiners will also review identity-theft programs under Regulation S-ID (Katten). Every AI vendor that touches client information is a service provider under that rule. What Reg S-P means for your AI vendors.
Where AI notetakers fit
AI notetakers sit at the overlap of three exam themes at once:
- Disclosure accuracy: do clients know meetings are transcribed, and do your disclosures describe the tool accurately?
- Supervision: who reviews AI-drafted follow-ups and summaries before they reach a client or become the record?
- Vendor oversight and data protection: the notetaker vendor holds sensitive client conversations, which brings in Regulation S-P.
FINRA's 2026 oversight report sets similar expectations for member firms, from prompt and output logs to human review (our explainer), building on its June 2024 Regulatory Notice 24-09.
Exam-prep checklist for AI
- Find every AI claim in client-facing material (website, ADV Part 2, social posts, proposals) and make sure each is literally true today.
- Write an AI policy: approved tools, permitted uses, who reviews outputs, what's prohibited, such as entering client data into consumer chatbots.
- Document supervision: keep evidence of reviews (sampled notes checked, emails approved).
- Vendor file per tool: security report, data-use and training terms, retention settings, breach-notice commitment.
- Recordkeeping: confirm AI-drafted client communications and meeting notes are archived under your books-and-records process (how SEC Rule 204-2 applies).
- Train staff on the policy, and record the training.
FAQ
Will examiners actually ask about AI notetakers?
The priorities don't name notetakers specifically, but they cover AI use, supervision, disclosure accuracy and vendor oversight, all of which a notetaker touches. Expect questions if you mention AI anywhere client-facing.
What is "AI washing"?
Claiming more AI capability than you actually have, or describing tools inaccurately. Examiners will review AI representations for accuracy.
We're a newly registered RIA. Does this matter more for us?
Yes. The Division says it will prioritize advisers that have never been examined, with an emphasis on recent registrants.
Sources
Pages we used for this article, checked on or before the update date above.
- Foley & Lardner · foley.com
- Dorsey & Whitney · dorsey.com
- Katten · katten.com
- Debevoise & Plimpton · debevoise.com
- Regulatory Notice 24-09 · finra.org
Changelog: Oct 13, 2026: first published.