FINRA Provides Effective Date for Expanded Dissemination of CMO Trade Information (FINRA Reg. Notice 16-38)

FINRA notified member firms that the SEC approved a FINRA proposal to amend FINRA Rule 6700 Series and the Trade Reporting and Compliance Engine ("TRACE") dissemination protocols. The FINRA proposal (i) requires the dissemination of transactions in collateralized mortgage obligations ("CMOs"), (ii) shortens the trade-reporting timeline for CMO transactions executed after issuance from end-of-day to within 60 minutes of execution, and (iii) simplifies the reporting requirements for transactions in CMOs executed prior to issuance.

The amendments will become effective on March 20, 2017.