SEC Delays Action on FINRA Rule Proposal Regarding Research Analysts and Reports

The SEC's "Notice of Designation of a Longer Period for Commission Action" was published in the Federal Register. The notice concerns FINRA's proposal to adopt Rule 2241 regarding research analysts and reports.

The proposal would incorporate, with modifications, NASD Rule 2711 ("Research Analysts and Research Reports") into the FINRA Rulebook as new FINRA Rule 2241, and would amend NASD Rule 1050 ("Registration of Research Analysts") to create an exception from the research analyst qualification requirement.

Previously, the SEC issued an order to determine whether to approve or disapprove FINRA's proposal and requested further comments on that proposal. The comment deadline closed on April 2, 2015. The SEC is delaying its decision on the rule proposal to consider issues raised by the additional comment letters.

See: 80 FR 30305.Related news: SEC Institutes Proceedings on FINRA Proposal to Adopt Rule Regarding Research Analysts and Reports (Fed. Reg.)(February 26, 2015); FINRA Proposes to Adopt NASD Rules Regarding Research Analysts and Research Reports into FINRA Rulebook (November 14, 2014).