Expert Analysis

• Understanding The Insider Trading Gap In Prediction Markets

  

  While the first-ever insider trading indictment involving a prediction market — the recent prosecution of a service member involved in the capture of Nicolás Maduro — comprised extreme facts and straightforward legal theories, future cases will test the bounds of insider trading law, say attorneys at Baker McKenzie.

• Heppner Ruling Left AI Privilege Risk For Lawyers Unresolved

  

  While a New York federal judge’s recent ruling in U.S. v. Heppner resolved a privilege question surrounding client-side artificial intelligence use, it did not address how to mitigate the risks that can arise when confidential information enters the operative context of an AI system used by an attorney, says Jianfei Chen at Quarles & Brady​​​​​​​.

• The Growing Importance Of Nature-Related Disclosures

  

  The International Sustainability Standards Board's recent vote to develop nonmandatory nature‑related disclosure guidance reduces immediate compliance pressure, but it does not eliminate the practical relevance of such risks for companies that already prepare sustainability reports or operate across jurisdictions with differing expectations, say attorneys at ArentFox Schiff.

• Expect US Enforcers' Cartel Crackdown To Continue

  

  Since agencies’ coordinated enforcement efforts targeting cartel-related activity have not slowed, U.S. companies in Latin America should assess new business lines for designated-cartel ties, scrutinize highest-risk third parties, and enhance training and internal investigation practices, say attorneys at Miller & Chevalier.

• How To Limit Accounting Fraud Risk As SEC Focus Persists

  

  Despite the U.S. Securities and Exchange Commission's pullback on crypto, cybersecurity and recordkeeping cases, accounting fraud remains a core enforcement priority, making it important for public companies and auditors to strengthen controls, investigations and whistleblower processes, say attorneys at Pillsbury.

• The Ethics And Practicalities Of Representing AI Agents

  

  With autonomous artificial intelligence agents now able to take action without explicit instructions from — or the awareness of — their human owners, the bar must confront whether existing frameworks like informed consent and client privilege will be sufficient on the day an AI agent calls seeking counsel, say attorneys at Morrison Cohen.

• OCC Proposal Frames Key Genius Act Implementation Issues

  

  The Office of the Comptroller of the Currency's recently proposed rule under the Genius Act previews federal expectations on permissible activities for stablecoin issuers, offering an early guide to potential compliance burdens and state-federal equivalency debates as the stablecoin regulatory regime continues to take shape, say attorneys at Alston & Bird.

• Surveying The CFTC Campaign To Control Prediction Markets

  

  The U.S. Commodity Futures Trading Commission is simultaneously asserting exclusive jurisdiction over prediction markets and signaling aggressive enforcement within them, a combination that will reshape the regulatory landscape for event contract platforms — pending the outcome of several court cases throughout the country and a likely circuit split, say attorneys at Paul Weiss.

• Opinion

  The SEC Should Institute A New Enforcement Scorecard

  

  Amid controversy over the recent release of the U.S. Securities and Exchange Commission's annual enforcement statistics, the SEC should use a new scorecard that measures how well the Division of Enforcement detects and stops intentional fraud in order to refocus on its core mission of investor protection, says Peter Chan at Baker McKenzie.

• Series

  Speed Jigsaw Puzzling Makes Me A Better Lawyer

  

  My passion for speed puzzling — I can complete a 500-piece jigsaw puzzle in under 50 minutes — has sharpened my legal skills in more ways than one, with both disciplines requiring patience, precision and the ability to keep the bigger picture in mind while working through the details, says Tazia Statucki at Proskauer.

• How To Reconcile AI Opacity And Advisers' Fiduciary Duties

  

  Firms that treat fiduciary compliance as a foundation for responsible artificial intelligence adoption will be best positioned when the U.S. Securities and Exchange Commission moves from implicit expectations to explicit rules regarding advisers' core duties, as those are unlikely to change, says Ivor Wolk at Manatt.

• Insider Trading Safeguards Can Mitigate Sports Betting Risk

  

  As the rapid growth of sports betting heightens the risk that sensitive information held by coaches, players and staff may be improperly exploited, sports organizations can look to the securities context to safeguard information and address potential misconduct, say attorneys at Patterson Belknap.

• Bet On Prediction Market Regulation To Accelerate

  

  Watershed developments concerning prediction markets — such as the first insider trading charges, major speeches from U.S. Commodity Futures Trading Commission leadership, and the introduction of rulemaking and legislation — dominated the first quarter of 2026, a trend that will likely continue throughout the rest of the year, say attorneys at K&L Gates.

• New Risks Emerge As States Push Proxy Voting Legislation

  

  Recent state proxy voting laws have increasingly emphasized financial returns while intensifying scrutiny of proxy advisory firms and stewardship practices, creating new compliance challenges and risks, according to attorneys at Morgan Lewis.

• Framing Membership Filings To Anticipate FINRA's Concerns

  

  Recent updates to the Financial Industry Regulatory Authority’s membership application program should remind firm management to treat the filing process not as a compliance chore, but as a test of operational and regulatory readiness where they can anticipate and address FINRA's concerns, says Andrew Mount at Eversheds Sutherland.