The Financial Industry Regulatory Authority Inc. (“FINRA”) Board of Governors voted to propose a rule during the December board meeting that would require brokers to disclose their recruitment incentives to customers. The suggestion is obviously getting a sharp reaction from … Read More
Over the past couple of years, examiners with the Financial Industry Regulatory Authority, Inc. (“FINRA”) have focused on how broker-dealers sell nontraded real estate investment trusts (“REITs”). Specifically, Susan Axelrod who is the Executive Vice President of Member Regulation Sales … Read More
In Regulatory Notice 12-32, the Financial Industry Regulatory Authority (“FINRA”) says it needs to increase its fees to cover the costs of regulating an increasingly complex industry. It plans to achieve this by raising the fees on a staggered schedule. … Read More
On May 31, 2012, FINRA filed a notice of the proposed rule change that would amend FINRA Rule 4210. Rule 4210 details the margin account requirements and collateral deposits required to be maintained. Specifically, the rule elucidates margin requirements for … Read More
FINRA’s new Know Your Customer and Suitability rules give rise to certain additional obligations that will require broker-dealer firms to revisit their internal controls and educate their staff on the new requirements. The rules, which were initially announced in this … Read More
Pursuant to Rule 17a-5(d) under the Exchange Act, all SEC-registered broker-dealers must submit annual audit reports to the SEC and the firm’s designated examining authority (such as FINRA) no more than 60 days after its fiscal year-end. Accordingly, firms with … Read More
The SEC recently published Release No. 34-64984, concerning a FINRA proposal to adopt FINRA Rules 2210 and 2212 through 2216 governing communications by member firms. Currently, NASD Rules 2210 and 2211, and the related interpretive materials, generally govern all FINRA … Read More