For many broker-dealers, SEC Rule 606 reporting has become a quarterly fire drill. Data is pulled from multiple systems, reconciliations happen under time pressure, reports are generated, and everyone exhales until the next quarter begins. But the regulatory environment has changed. Today, compliance is no longer about simply filing a report. Regulators are analyzing, comparing, and cross-checking data at scale. And increasingly, they are using the CAT data to validate what firms publish in their 606 disclosures.
That shift fundamentally changes the risk equation.
The real question firms should be asking themselves is not whether they can generate a 606 report. It’s whether their CAT and 606 processes are integrated, and whether they can confidently compare what was reported to CAT versus what was disclosed under 606.
If those two data sets live in separate silos, inconsistencies are not a possibility. They are a probability. That’s where a smarter approach, and the right regtech like RSMS for CAT by Capital Market Solutions, makes all the difference.
The Integrated Advantage: Why CAT and SEC 606 Are Inseparable
Many firms overlook the underlying transactional data that feeds SEC Rule 606 reporting, which is the same data reported to the CAT. Yet at many firms, these processes live in separate silos, built by different teams, supported by different vendors, reconciled manually (if at all).
That separation creates risk.
Regulators already have access to CAT’s vast data warehouse. They are actively leveraging it to identify discrepancies between CAT submissions and published 606 reports. When numbers don’t align, questions follow.
This is where Capital Market Solutions’ RSMS differentiates itself.
Our smart regtech, RSMS, provides an integrated reporting environment where CAT and 606 reporting share the same validated data foundation. That means:
- One single source of transactional truth
- Built-in consistency checks between CAT and 606 outputs
- Easier reconciliation
- Stronger audit defensibility
Instead of scrambling to explain variances, you can demonstrate control.
Skip The Danger of Low-Cost Solutions
When discrepancies arise, firms relying on budget solutions often struggle to produce the granular audit trail necessary to defend their data. What seemed cost-effective can quickly become expensive in terms of remediation, regulatory exposure, and reputational impact.
CMS’s integrated, enterprise-grade RSMS solution is built for CAT and SEC Rule 606 accuracy, transparency, and defensibility; not just report generation. In an era of regulatory data analytics, precision is not optional.
606 Is Not a Quarterly Exercise; It’s a Daily Discipline
Another common mistake is treating SEC Rule 606 as a once-a-quarter obligation.
In reality, 606 compliance is built on daily transactional activity. Every order, every route, every execution contributes to the integrity of the final report. Delaying validation until quarter-end invites data inconsistencies and reconciliation challenges.
RSMS operates on a disciplined daily rhythm. By managing data collection, preparation, and integrity checks continuously, the platform eliminates end-of-quarter scrambles and positions your firm to remain audit-ready at all times.
SEC 606 compliance should be controlled, not rushed.
How RSMS Simplifies Your SEC Rule 606 Compliance
Data Ingestion & Processing
RSMS manages the heavy lifting of data collection and preparation. The platform ingests execution data, routing data, and fee/rebate data from your existing systems, then applies automated transformations and standardization rules. SEC-aligned integrity checks run throughout the process, ensuring that outputs are validated, enriched, and ready for reporting.
No more chasing down discrepancies across systems. No more last-minute scrambles before filing deadlines.
Consultation & Surveillance
RSMS delivers fully formatted public reports in both PDF and XML formats, ready for submission. As a comprehensive SEC 606 reporting tool, it also supports cross-regulatory 605/606 and CAT surveillance within a unified environment.
Every data point is traceable. When regulators come knocking, you are prepared.
Fully Integrated Workflows
RSMS unifies your entire compliance process into one streamlined, end-to-end workflow, making it simple to manage from data intake to final reporting. It seamlessly integrates firm-specific and reference data, including venue rates, so accuracy is built in and manual updates are no longer a concern.
Need customer on-demand reports? They’re generated quickly and effortlessly. Reviews and verification steps are embedded directly within the platform, ensuring nothing slips through the cracks. And when it’s time for public reporting, RSMS handles it smoothly.
SEC Rule 605 Compliance [Releasing Soon]
Rules 605 and 606 go hand-in-hand. While 606 focuses on order routing transparency, Rule 605 addresses execution quality, and together, they paint a complete picture of market structure accountability.
RSMS for SEC 606 reporting is fully operational today, delivering end-to-end compliance automation. The 605 module is coming in the next phase, giving firms a unified compliance platform that covers both rules under one roof. That’s not just efficiency; it’s strategic.
Insider Update: At Capital Market Solutions, we’re taking 606 compliance beyond just meeting regulatory requirements. Your SEC 606 reports are proof of your best execution practices and a way to build trust with your clients. Soon, we will begin publishing SEC 606 reports on our official website, turning transparency into a powerful marketing tool. It’s a great opportunity to show your customers why they should choose you. With CMS, compliance becomes a way to grow and strengthen your firm.
Take A Unified Path Forward with RSMS
RSMS by Capital Market Solutions is designed to bring structure and integration to regulatory reporting. By unifying CAT compliance and SEC 606 reporting within a common framework, our platform enables firms to standardize ingestion, apply integrity checks, and generate compliant outputs in both XML and PDF formats, all within a controlled environment.
After all, in an environment where regulators are connecting data across systems, your compliance solution should do the same.
Ready to see the difference for yourself?
BOOK RSMS DEMO and discover how streamlined, integrated SEC 605/606 compliance can strengthen both your operations and your regulatory posture. Let’s turn complexity into competitive advantage.