MSRB Requests Comment on Alternative Standard of Independence for Investor Representative on its Board (Regulatory Notice 2015-08)
The MSRB issued a regulatory notice requesting comment on a proposal to amend MSRB Rule A-3 ("Membership on the Board"), which would modify the application of the standard of independence for the one public member of its Board of Directors designated to be representative of institutional or retail investors in municipal securities.
The proposal modifies only the standard of independence that applies to applicants for the investor representative position on the Board to allow the Board to undertake additional analysis to ensure that applicants for the investor representative role do not have material business relationships with regulated entities.
The MSRB is also requesting comment on whether it should (i) modify the length of Board member service and (ii) remove or modify the requirement to publish the names of all Board applicants. This aspect of the request for comment is intended to elicit input from all interested parties to assist the MSRB in determining whether to consider these modifications.
Comments must be submitted by July 13, 2015.