FINRA Issues Interpretive Letter Regarding Related ... 1 Based on feedback received during the review, FINRA is proposing amendments to Rule 3240 to: emphasize that the rule generally prohibits registered persons from entering into borrowing or lending . On May 12, 2015, the Financial Industry Regulatory Authority (" FINRA ") issued an interpretive letter (the " Letter ") [1] permitting the use of Related Performance Information (as defined below) in communications distributed solely to institutional investors regarding registered funds. The GAO identified deficiencies in the SEC's oversight of FINRA and offered recommendations for enhancing SEC oversight. PDF Comment Letter to FINRA Retrospective Rule Review (Autosaved) Process for Requesting No-Action, Interpretive and Exemptive Letters from the Division: The Division welcomes written requests for no-action, interpretive and exemptive letters relating to the areas of the federal securities laws, rules and regulations that the Division administers and interprets. Sign Act,11 and the guidance provided by FINRA staff through interpretive letters.12 In addition to the proposed changes described above, FINRA is proposing to amend Rule 4512(a)(3) to clarify that the rule is limited to discretionary customer accounts maintained by a member for which associated persons of the member are FINRA is seeking comment on a proposal to expand prohibitions against outside borrowing and lending agreements between registered individuals and their customers. The second letter, OCC Interpretive Letter 1172, concluded that banks may hold deposits that serve as reserves for stablecoins that are backed on a 1:1 basis by a single fiat currency and held in . While the Notice to Members only specifies these instances, FINRA has issued guidance in the form of interpretive letters allowing the use of negative response letters in other limited situations. Professional Designations | FINRA.org Certified Interpretive Guide™ Our Certified Interpretive Guide (CIG ™) certification is a training level certification designed for interpreters who are seasonal, temporary, new hires, or volunteers just starting in the field or for those who would like a refresher on the fundamentals.If you conduct tours, The SEC staff sometimes responds in the form of an interpretive letter to requests for clarifications of certain rules and regulations. See Herbruck, Alder & Co. (May 3, 2002)(Firm denied no-action relief where all . In August 2019, FINRA launched a retrospective review that, among other things, sought stakeholders' input on the effectiveness of Rule 3240 (Borrowing from or Lending to Customers). In 2020 and 2021, the OCC issued several interpretive letters, including 1170, 1172, and 1174. The staff of Financial Industry Regulatory Authority ("FINRA") recently issued an interpretive letter[simple_tooltip content='Letter from Joseph E. Price, Senior Vice President, Corporate Financing/Advertising Regulation, FINRA to Edward P. Macdonald, Hartford Funds Distributors, LLC (May 12, 2015)']1[/simple_tooltip] (the "Letter") permitting the use of related account performance information . In addit ion, FINRA has published an interpretive letter providing guidance on bereavement gifts , which has not been adopted by the MSRB . Interpretive Letter 1172 concluded that banks may hold deposits that serve as reserves for stablecoins that are backed on a 1:1 basis by a single fiat currency and held in hosted wallets. On March 20, 2020, FINRA announced in Regulatory Notice 20-10 that it has amended FINRA Rule 5110 (the "Corporate Financing Rule" or the "Rule"). The amendments institute substantive, clarifying, organizational and terminology changes, while preserving the basic principles of the FINRA corporate financing Rule and FINRA equity. Summary. NASD Interpretive Letter to Michael D. Udoff, Securities Industry Association (Oct. 2, 2003); FINRA Interpretive Letter to ALPS Distributors, Inc. (Apr. FINRA has issued an interpretive letter stating that a Capital Acquisition Broker (CAB) may accept equity securities issued by privately held companies as compensation for its services. 2 Letter from Steven Wechsler, President and CEO, National Association of Real Estate Investment Trusts (''NAREIT''), to Ms. Marcia E. Asquith, Office of the Corporate Secretary dated November 11, 2011 . Investment Company Act Rule 24b-3, in effect, deems as . (b) Trading Ahead of Customer Limit Order Exchange members and persons associated with a member shall comply with NASD Interpretive Material 2110-2 as if such Rule were part of the Rules of the Exchange. On June 12, staff of the Financial Industry Regulatory Authority published an interpretive letter (Letter) regarding the inclusion of certain related performance information in a FINRA member firm's "institutional communications" (as such term is defined in FINRA Rule 2210 (Communications with the Public)) regarding a continuously offered closed-end fund. The no-action relief is provided to the requester based on the specific facts and circumstances set forth in the request. On April 22, the Financial Industry Regulatory Authority, Inc. (FINRA) issued an interpretative letter regarding the use of pre-inception index performance (PIP) data for exchange-traded products (ETPs). NASD Rules 2210 and 2211, and the Interpretive Materials that follow Rule 2210, generally govern all FINRA members' communications with the public. On May 12, 2015, the Financial Industry Regulatory Authority (" FINRA ") issued an interpretive letter (the " Letter ") [1] permitting the use of Related Performance Information (as defined below). the letters that sometimes follow a financial professional's name. circulars, form letters and other sales literature addressed to or intended for distribution to prospective investors. After taking office earlier this year, Acting Comptroller Michael J. Hsu announced a review of these . In some cases, the SEC staff may permit parties other than the requestor to rely on the . If you have any questions after reviewing this material, please contact Listing Qualifications Staff by telephone at +1 301 978 8008 or by email at StaffInterpretations@nasdaq.com. A. Troutman, Esquire, Muir & Troutman (Feb. 4, 2002).. See Securities Industry and Financial Markets Association (Nov. 19, 2008)(SEC grants no-action relief to a retiring representative structuring the sale of his book of business subject to more than ten conditions to be met.). on january 31, 2019, the financial industry regulatory authority, inc. ("finra") issued an interpretive letter (the "2019 letter") [1] extending previously issued guidance by permitting passively managed open-end registered investment companies including separately managed series of a business trust ("open-end funds") to use pre-inception index … In February, the US Financial Industry Regulatory Authority ("FINRA") proposed amendments 1 to its rule regarding communications with the public, Rule 2210, that would allow broker-dealers to distribute a customized hypothetical investment planning illustration that . Dear [ ]: This is in response to your request to confirm the authority of [ ] ("Bank"), a federal savings association, to purchase and hold through a wholly owned operating subsidiary . this letter responds to your letter dated december 21, 2012, addressed to the financial industry regulatory authority ("finra") and the securities and exchange commission ("sec"), in which you request regulatory relief and interpretive guidance arising from the inability of customers and broker-dealers to access securities held in physical form … This letter represents a shift from FINRA's prior position that . NAREIT to Ms. Marcia E. Asquith , Office of the Corporate Secretary FINRA, dated April 11, 2012 Exception Proposed to FINRA Communication Rule's Prohibition on Predictions or Projections of Performance Introduction. FinCEN issued its Anti-Money Laundering / Combating the Financing of Terrorism ("AML/CFT") priorities in accordance with the Anti-Money Laundering Act of 2020.. FINRA reminded firms that FINRA Rule 3310 ("Anti-Money Laundering Compliance Program") requires firm compliance with the . FINRA Utility Menu About FINRA Careers Media Center Contact BrokerCheck Log InFinProFor Industry ProfessionalsRegistered representatives can fulfill Continuing Education requirements, view their industry CRD record and perform other compliance tasks.LOG FINRA GatewayFor. FINRA Rule 2215, and NASD Interpretive Material 2210-8 as FINRA Rule 2216. COVID Coronavirus, click here. Staff No Action, Interpretive and Exemptive Letters. Interpretive Guidance | Texas Health and Human Events & Training | FINRA.org179D Commercial Buildings Energy-Efficiency Tax Deduction What is a Park RangerNurse Aide Training & . 10/2/2015 Interpretive Letter to Edward P. Macdonald, Hartford Funds Distributors, LLC | FINRA.org https://www.finra.org/industry/interpretive­letters/may­12­2015 . See NASD Interpretive Letter to Ted. Division of Investment Management. After a two-year silence, the Financial Industry Regulatory Authority (FINRA) has proposed amendments to Rule 3220 (Influencing or Rewarding the Employees of Others) (Gifts Rule) and Rule 3221 (Restrictions on Non-Cash Compensation) (Non-Cash Compensation Rule) and issued a new Proposed . On January 31, 2019, the Financial Industry Regulatory Authority, Inc. ("FINRA") issued an interpretive letter (the "2019 Letter") extending previously issued guidance by permitting passively managed open-end registered investment companies including separately Interpretive Material ("IM") 2110-2. (a) Standards of Commercial Honor and Principles of Trade A member, in the conduct of its business, shall observe high standards of commercial honor and just and equitable principles of trade. Division of Corporation Finance. The amended Rules became effective January 1, 2020, and were highlighted as a priority in FINRA's . SIFMA submitted supplemental comments to FINRA on its concept proposal to develop the Comprehensive Automated Risk Data System ("CARDS"). 8 Existing Rules G -8 and G -9 Existing Rules G -8 and G -9 require dealers to make and retain certain records relating to their Rule G -20 obligations. Division of Investment Management no-action letters issued before that date may be obtained for a copy and processing fee. The FAQs affirm, among other things, the SEC's broad interpretation of Rule 15a-6 confirming the applicability of both the "Seven Firms" and "Nine Firms" to foreign broker-dealers, including those that use unaffiliated US-registered broker-dealers to intermediate transactions in accordance with Rule 15a-6 (a) (3). January 20, 2012 [ ] [ ] [ ] [ ] [ ] Subject: Purchase of Auction Rate Securities . ANALYSIS AND INTERPRETIVE ISSUES The relief granted by FINRA in the Letter further assists member firms regarding their compliance with Rule 2210 Interpretive Letter #1135 February 2012. Certified Interpretive Guide™ Our Certified Interpretive Guide (CIG ™) certification is a training level certification designed for interpreters who are seasonal, temporary, new hires, or volunteers just starting in the field or for those who would like a refresher on the fundamentals.If you conduct tours, demonstrations, lead hikes and . June 19, 2019 Important Note: This page contains Division of Investment Management no-action letters dated on or after January 1, 1993. 3 Letter from . The Financial Industry Regulatory Authority recently issued an interpretive letter that allows distributors of mutual funds to include related performance information in communications with institutional investors, including registered broker-dealers and investment advisers. The Financial Industry Regulatory Authority ("FINRA") has amended Rules 5130 and 5131 (together, the "Rules") to help facilitate capital raising and to ease the administrative burden of the new issue 1 distribution restriction. are concerned that interpretive ambiguity relating to the application of Rules 2210 and 2214 to FINRA filed for immediate effectiveness a proposed update to the trade reporting fees for broker-dealers that use the FINRA/NYSE Trade Reporting Facility. FINRA encouraged members to incorporate FinCEN's published AML priorities into broker-dealer compliance programs. The letters provide general guidance on the staff's views as to the application of particular NASD rules under specific circumstance. FINRA Utility Menu About FINRA Careers Media Center Contact BrokerCheck Log InFinProFor Industry ProfessionalsRegistered representatives can fulfill Continuing Education requirements, view their industry CRD record and perform other compliance tasks.LOG FINRA GatewayFor. You can also see whether the issuing organization requires continuing education, takes . NASD Interpretive Letter to Michael D. Udoff, Securities Industry Association (Oct. 2, 2003); FINRA Interpretive Letter to ALPS Distributors, Inc. (Apr. FINRA 1735 K Street, NW Washington, DC 20006-1506 . If adopted as proposed, the rules will largely expand supervisory resources needed to oversee compliance. FINRA Utility Menu About FINRA Careers Media Center Contact BrokerCheck Log InFinProFor Industry ProfessionalsRegistered representatives can fulfill Continuing Education requirements, view their industry CRD record and perform other compliance tasks.LOG FINRA GatewayFor. On May 12, 2015, the staff of the Financial Industry Regulatory Authority ("FINRA") issued an interpretive letter to Hartford Funds Distributors, LLC ("HFD") that allows mutual fund . 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