A broker-dealer agreed to settle FINRA charges for several rule violations, including conducting a securities business below its net capital requirements and failing to maintain blanket fidelity bond coverage.
The SEC Division of Trading and Markets granted the Financial Information Forum and its registered broker-dealer members an exemption from the requirement to issue trade-by-trade confirmations for orphaned fractional share trades.
MSRB published investor education materials on mark-up and mark-down disclosures in municipal securities trade confirmations. The materials provide additional guidance for complying with new rules scheduled to take effect May 14, 2018.
FINRA reminded member firms that funding for the Governmental Accounting Standards Board ("GASB") comes from the GASB Account Support Fee, collected on a quarterly basis from member firms that report trades to the MSRB.
At an upcoming webinar, MSRB will review "key provisions" of amendments to requirements concerning (i) confirmation, clearance, settlement and other uniform practices and (ii) prices and commissions related to disclosure of markups and markdowns.
The MSRB provided guidance to investment advisers on the application of certain investor/customer protections. The new guidance relates to transactions for managed accounts in which a registered investment adviser is exercising discretion to buy and sell municipal securities on behalf of the account holder.
The SEC extended the 45-day review period for a FINRA proposal requiring members to disclose markups on retail customer confirmations of certain transactions in fixed-income securities. The SEC notice of designation for an extended review period was published in the Federal Register.
The SEC requested comments on MSRB-proposed amendments to MSRB Rules G-15 and G-30 that would require dealers to provide retail investors with "meaningful and useful pricing information" in order to help them assess the cost of their municipal bonds transactions. The request for comments was published in the Federal Register.
The MSRB proposed a rule change that would require dealers to disclose to retail investors the dollar value and percentage of compensation to customers, as well as references to trade price data about the bonds.
The SEC solicited comment on a FINRA proposal to require members to disclose markups on retail customer confirmations for certain transactions in fixed income securities. The request for comment was published in the Federal Register.