Comment Deadline Set for MSRB Proposal to Allow Testimonials in Muni Advisor Advertisements

Comments on an MSRB proposal to amend Rule G-40 to allow for the use of testimonial statements in municipal advisor advertisements are due by March 7, 2023. The Notice was published in the Federal Register.

As previously covered, the proposal would also (i) establish supervisory obligations specific to testimonial use, (ii) modify the definition of municipal advisory client with regard to soliciting municipal securities business to align with MSRB Rule G-38, and (iii) create a conforming obligation under MSRB Rule G-8 to keep any records relating to testimonial advertising, including any record of payment for testimonials.