On December 23, 2019, the Securities and Exchange Commission approved the Financial Industry Regulatory Authority’s (FINRA) proposed amendments to Rule 5110, as modified by Partial Amendments No. 1 and No. 2 (Amended Rule 5110), on an accelerated basis in an effort to modernize, simplify and streamline the rule. Continue Reading SEC Approves Amended Rule Change to FINRA Rule 5110

On December 30, 2019, the Securities and Exchange Commission voted to propose amendments (the Proposal) to its auditor independence rules, many of which have not been updated since their initial adoption in 2000 and amendments in 2003. Continue Reading SEC Announces Proposed Amendments to Modernize Auditor Independence Rules

In December 2019, the staff of the Division of Corporation Finance of the Securities and Exchange Commission issued interpretive guidance on (1) confidential treatment applications and (2) intellectual property and technology risks that may occur when companies engage in international operations.

The guidance is available here and here.

The Securities and Exchange Commission (SEC) has approved amendments to Financial Industry Regulatory Authority (FINRA) Rules 5130 and 5131, which govern the offer and sale of “new issue” securities. The amendments went into effect on January 1. Please refer to Katten’s Financial Markets and Funds Advisory for more information.

The Financial Industry Regulatory Authority (FINRA) is requesting comment on whether to make changes to FINRA Rule 4530, which requires member firms to report specified events, internal conclusions of violations and customer complaint information to FINRA. Continue Reading FINRA Requests Comments on Rule 4530 Reporting Requirements

On January 10, Commodity Futures Trading Commission Commissioner Dawn D. Stump, the sponsor of the CFTC’s Global Markets Advisory Committee (GMAC), announced the members of the newly-established Subcommittee on Margin Requirements for Non-Cleared Swaps (the Margin Subcommittee). Continue Reading CFTC Announces Members of New ”Margin Subcommittee”

On January 9, the Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC) (together known as the Banking Agencies) published proposed rules in the Federal Register that are designed to make the regulatory framework related to the Community Reinvestment Act (CRA) more “objective, transparent, consistent, and easy to understand” (Proposal). The last major revisions to the CRA were made in 1995.

Continue Reading OCC and FDIC Release Proposed Revisions to Community Reinvestment Act

On January 13, the UK Financial Conduct Authority (FCA) released the findings of their multi-firm review of how asset management firms select, use and oversee the tools and models they use to manage portfolios (the Review).

Continue Reading FCA Releases Asset Management Portfolio Tools Feedback

On January 8, the Securities and Exchange Commission (SEC) released a proposed order to improve the governance of National Market System (NMS) data plans that produce consolidated equity market data and disseminate trade and quote data. Currently, the equities exchanges and the Financial Industry Regulatory Authority (the Participants) together collect, consolidate and disseminate information regarding trades and quotes in NMS stocks pursuant to three separate national market system plans. Continue Reading SEC Proposes Changes to Market Data Plans

On January 7, the National Futures Association (NFA) issued Notice to Members 1-20-01, announcing that a webpage devoted to Swaps Proficiency Requirements will become accessible on January 31, 2020.

Continue Reading NFA’s Swaps Proficiency Requirements Become Effective on January 31