As part of its routine examinations, FINRA will often coordinate with the MSRB to ensure its members are complying with applicable rules. MasterComplaince is posting this blog to remind MSRB members of their obligations and to share recent inquiries.
In August 2018, the U.S. Securities and Exchange Commission (the âSECâ) announced that it has adopted amendments to Rule 15c2-12 of the Securities Exchange Act of 1934, as amended (the âExchange Actâ), in an effort to enhance transparency in the municipal securities market. The SEC has stated that the commission believes the amendments will provide investors access to important information relating to obligated persons by increasing the amount of information that is publicly disclosed about material financial obligations incurred by obligated persons. Background Direct placements by issuers and obligated persons as financing alternatives to public offerings of municipal securities have Read more about SEC Adopts Amendments to Rule 15c2-12 to Improve Municipal Securities Disclosure[…]
Millions of investors participate in municipal bond ownership. It pays to do your homework. Learning more about the features and risks of an investment is important for all investors. Investors who own municipal bonds or who are considering adding them to their portfolios have access to a free online library of information. The Electronic Municipal Market Access website (âEMMAâ) is the official repository for information for municipal bonds, and can help you learn about, evaluate and monitor over 1.2 million outstanding municipal bonds. Read More…
As summarized below, the MSRB recently issued a reminder to remind member firms that engage in municipal advisory activities of the obligation to ensure that every Associated Person with your firm that engages in municipal advisory activities is appropriately qualified. Specifically, Associated Persons who engage in municipal advisory activities on behalf of a municipal advisor firm is required to be qualified as a âmunicipal advisor representativeâ by passing the Municipal Advisor Representative Qualification Examination (Series 50 exam). Read More…
As summarized below, the MSRB recently announced the effective date of amendments to MSRB Rules G-12, on uniform practice, and G-15, on confirmation, clearance, settlement and other uniform practice requirements with respect to transactions with customers, to define regular-way settlement for municipal securities transactions as occurring on a two-day settlement cycle (T+2). The SEC approved the MSRBâs proposal to make these rule amendments and other technical amendments in April 2016 and the effective date will be September 5, 2017. Read More…
The MSRB is requesting comment on draft amendments to MSRB Rule G-26 related to customer account transfers. The draft amendments are primarily designed to modernize the rule and promote a uniform customer account transfer standard for all broker-dealers. Rule G-26 requires broker-dealers to cooperate in the transfer of customer accounts and specifies procedures for carrying out the transfer process. Such transfers occur when a customer decides to transfer an account from one broker-dealer, the carrying party to another, the receiving party. The rule establishes specific time frames within which the carrying party is required to transfer a customer account; limits Read more about MSRB requests comment on draft amendments to MSRB Rule G-26 on Customer Account Transfers[…]