The Financial Industry Regulatory Authority (FINRA) is requesting public comment on a proposed rule that generally would prohibit registered persons from serving as a customer’s beneficiary, executor or trustee, or holding a power of attorney or similar position for or on behalf of a customer. The proposed rule also would provide two exceptions from this general prohibition, including (1) instances in which the customer is a member of the registered person’s immediate family and (2) instances in which the member firm approves in advance the relationship. In addition, the proposed rule would require member firms to review and assess these relationships.

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The Commodity Futures Trading Commission announced the creation of a new Subcommittee on Margin Requirements for Non-Cleared Swaps under the Global Markets Advisory Committee (GMAC). The subcommittee will be responsible for examining the implementation of margin requirements for non-cleared swaps and recommending actions to the CFTC to mitigate any related challenges.

Commissioner Dawn Stump, sponsor

The Commodity Futures Trading Commission will hold an open meeting on Tuesday, November 5 at 10:00 a.m. EST to discuss (1) the CFTC’s proposed amendment to CFTC Regulation 160.30 (Privacy of Consumer Financial Information); (2) the foreign board of trade applications of Euronext Amsterdam, Euronext Paris and European Energy Exchange; and (3) other CFTC business.

On October 24, the Commodity Futures Trading Commission (CFTC) joined the Federal Deposit Insurance Corporation (FDIC), Office of the Comptroller of the Currency (OCC), and the Securities and Exchange Commission in announcing that it will be joining the Global Financial Innovation Network (GFIN). The GFIN was formed to establish a framework for cooperation among financial services regulators on innovation-related topics and a vehicle for sharing different experiences and approaches. It also seeks to provide a more efficient way for innovative firms to interact with regulators and navigate among jurisdictions as they look to scale new ideas.
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The Securities and Exchange Commission (SEC) has proposed to amend Rule 15c2-11, which governs the publication and submission of quotations by a broker-dealer in the over-the-counter (OTC) market. The proposed amendments would prohibit a broker-dealer from publishing quotes in a security not listed on a national securities exchange unless documents and information about the issuer are current and publicly available.


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The Financial Industry Regulatory Authority (FINRA) has amended its Rule 2210 (Communications with the Public) and Rule 2241 (Research Analysts and Research Reports) to conform to the requirements of the Fair Access to Investment Research Act of 2017 (FAIR Act) and subsequent rules adopted by the Securities and Exchange Commission (SEC). As background, the FAIR Act and related SEC rules establish a safe harbor under which unaffiliated broker-dealers may publish and distribute research reports on “covered investment funds” without the publication or distribution being deemed an offer of securities. For these purposes, the term “covered investment funds” generally includes registered investment companies, business development companies, and certain commodity- and currency-based trusts and funds.

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On September 19, the Financial Industry Regulatory Authority (FINRA) issued Regulatory Notice 19-31 (Notice) addressing disclosure innovations in advertising and other communications with the public. The Notice responds specifically to questions that FINRA has received from member firms about how they can comply with FINRA rules when communicating with their customers. FINRA’s goal in issuing the Notice is to help facilitate simplified and more effective disclosures.
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