The Financial Industry Regulatory Authority Board of Governors will consider a proposal on July 11, 2013 to solicit comment via Regulatory Notice on proposed rules and related forms governing funding portals pursuant to Title III of the JOBS Act. After the July 11 meeting, FINRA will notify firms via email about the Board’s actions on these items and anticipated next steps, if any.
Rulemaking Items for Discussion at the July 2013 Meeting
The FINRA Board of Governors will consider the following rulemaking items at its July 2013 meeting. After the July 11 meeting, FINRA will notify firms via email about the Board’s actions on these items and anticipated next steps, if any.
ATS Reporting and Transparency
The Board will consider a proposal to require alternative trading systems to report aggregate transaction volume information to FINRA on a delayed basis, and to use unique market participant identifiers when reporting order and trade information to FINRA. Under the proposal, FINRA would disseminate reported equity volume information on its website.
The Board will consider a proposal to meet a statutory requirement by disclosing through BrokerCheck information about firms and individuals registered with a national securities exchange that are not registered with FINRA. As proposed, the amendments would include in BrokerCheck both the firm and its registered personnel.
The Board will consider a proposal to address debt research conflicts of interest. The proposal applies to debt research the significant protections given to equity research, while providing an exemption for sophisticated institutional investors that elect the exemption. The Board will consider the categories of institutional investors that would be eligible to receive research by means of negative consent.
Disclosures Related to Recruitment Practices and Account Transfers
The Board will consider an updated proposal to require disclosure of the receipt of added compensation by a registered representative in connection with changing firms and other important considerations for a customer deciding whether to follow the representative to the new firm. (Note: This item was deferred to a later date.)
Dissemination of Additional Asset-Backed Securities Transactions
The Board will consider a proposal to disseminate transaction information in additional types of asset-backed securities, including Rule 144A transactions in such securities, subject to a dissemination cap, and related amendments, such as a proposed reduction in the applicable reporting period.
Funding Portal Rules
The Board will consider a proposal to solicit comment via Regulatory Notice on proposed rules and related forms governing funding portals pursuant to Title III of the JOBS Act.
Uniform Branch Office Registration Form (Form BR)
The Board will consider proposed amendments to Form BR to eliminate duplicate sections, apply some information items to all filers and clarify existing questions.
[Source: CFIRA http://www.cfira.org/?p=2872]