MSRB Provides Guidance on Continuing Education Requirements for Municipal Advisors

The MSRB provided answers to frequently asked questions ("FAQs") on the continuing education requirements for municipal advisors under MSRB Rule G-3 (see previous coverage).

The FAQs included the following:

1. Municipal advisors will have until December 31, 2018 to conduct a needs analysis and develop a written training plan;

2. Municipal advisors must provide training on fiduciary duty obligations owed to municipal entities regardless of whether they have municipal entities as clients;

3. There is no minimum hour requirement for a continuing education program;

4. Sole proprietors have considerable flexibility in implementing continuing education requirements, including the option to utilize existing content to save costs;

5. All covered persons must participate in the continuing education program;

6. Firms may disseminate materials to covered persons from a webinar attended by one such covered person;

7. There is no specific type of training required for municipal advisor principals; rather, a firm may determine that training in specific areas is needed and appropriate based on its needs analysis;

8. Municipal advisors may use vendors to administer continuing educations programs, although municipal advisors retain responsibility for full compliance;

9. Dealer-municipal advisors must conduct separate needs analyses for their municipal advisory activities and dealer activities;

10. Municipal advisors must maintain evidence that covered persons completed training programs; and

11. Municipal advisors must document the content of their training programs.

The FAQs also contain additional resources and materials that support compliance with continuing education requirements.