FINRA Dispute Resolution

Dispute Resolution Statistics

Summary Arbitration Statistics March 2013

New Case Filings through March:

2011	2012	2013	2013 vs 2012
1,276	1,183	918	-22%

Number of Cases Closed through March:

2011	2012	2013	2013 vs 2012
1,634	1.375	1,130	-18%

Turnaround Time¹ (in months) through March:

	2011	2012	2013	2013 vs 2012
Overall	14.3	14.3	14.1	-1%
Hearing Decisions	16.2	16.5	17.0	3%
Simplified Decisions	6.2	7.2	7.4	3%

1 The timing of the arbitration process is heavily influenced by Code of Arbitration Procedures time limits, the parties, and the panel.

Summary Mediation Statistics March 2013

Mediation Cases in Agreement through March:

2011	2012	2013	2013 vs 2012
184	176	132	-25%

Mediation Cases Closed through March:

	2011	2012	2013	2013 vs 2012
Cases Closed	164	207	130	-37%
Percent Settled	82%	79%	76%

Turnaround Time (in Days) through March:

2011	2012	2013	2013 vs 2012
106	84	72	-14%

Arbitration Cases Filed

Year	Cases
1998	4,938
1999	5,608
2000	5,558
2001	6,915
2002	7,704
2003	8,945
2004	8,201
2005	6,074

Year	Cases
2006	4,614
2007	3,238
2008	4,982
2009	7,137
2010	5,680
2011	4,729
2012	4,299
Through March 2013	918

Yearly Volume Comparison Chart

Arbitration Cases Served by Controversy Involved

Type of Controversy¹	2009	2010	2011	2012	March 2013
Margin Calls	128	83	80	68	13
Churning	306	270	236	245	56
Unauthorized Trading	478	397	288	313	72
Failure to Supervise	2,691	2,372	2,007	1,657	363
Negligence	3,405	2,698	2,249	1,941	435
Omission of Facts	2,453	1,941	1,603	1,355	307
Breach of Contract	2,802	2,184	1,904	1,573	334
Breach of Fiduciary Duty	4,206	3,162	2,589	2,216	471
Unsuitability	2,473	1,974	1,619	1,354	320
Misrepresentation	3,408	2,601	2,102	1,769	387

1 Each case can be coded to contain multiple controversy types. Therefore the columns in this table cannot be totaled to determine the number of cases served in a year.

Security Types Involved in Arbitration Cases

Type of Security¹	2009	2010	2011	2012	March 2013
Corporate Bonds	373	239	179	124	23
Certificates of Deposit	71	41	31	31	4
Mutual Funds	1,556	863	652	392	86
Options	275	161	161	151	30
Common Stock	1,367	862	838	736	153
Limited Partnerships	73	80	104	70	26
Annuities	300	208	172	147	30
Preferred Stock	481	232	197	112	23
Variable Annuities	300	279	212	220	44
Derivative Securities	607	228	54	8	0
Auction Rate Securities	276	149	80	58	6

1 Each case can be coded to contain multiple security types. Therefore the columns in this table cannot be totaled to determine the number of cases served in a year.

Arbitration Cases Closed by Year

Year	Cases
1998	5,484
1999	4,767
2000	5,473
2001	5,582
2002	5,957
2003	7,278
2004	9,209
2005	9,043

Year	Cases
2006	7,212
2007	5,345
2008	3,757
2009	4,571
2010	6,241
2011	6,099
2012	4,877
Through March 2013	1,130

How Arbitration Cases Close

Cases Decided by Arbitrators	2009	% of Cases	2010	% of Cases	2011	% of Cases	2012	% of Cases	March 2013	% of Cases
After Hearing	839	18%	1,143	19%	1,065	18%	895	19%	197	18%
After Review of Documents	310	7%	258	4%	211	3%	182	4%	41	4%
Total	1,149	25%	1,401	23%	1,276	21%	1,077	22%	238	21%

Cases Resolved by Other Means	2009	% of Cases	2010	% of Cases	2011	% of Cases	2012	% of Cases	March 2013	% of Cases
Direct Settlement by Parties	2,170	47%	3,139	51%	2,998	50%	2,414	50%	611	55%
Settled Via Mediation	322	7%	590	10%	594	10%	502	10%	71	6%
Withdrawn	598	13%	621	10%	708	12%	428	9%	112	10%
All Others¹	358	8%	377	6%	464	8%	394	8%	79	7%
Total	3,448	75%	4,727	77%	4,764	79%	3,738	78%	873	79%

1 All Other reasons for closed includes cases closed by: Stipulated Award, Bankruptcy of Critical Party; Uncured Deficient Claim; Forum Denied; Stayed by Court Action, etc. Note cases counted as closed in this report do not include those cases that closed and were then reopened.

Results of Customer Claimant Arbitration Award Cases

Year Decided	All Customer Claimant Cases Decided (Hearings & Paper)	Percentage Decided of All Customer Claimant Cases Closed	Percentage (and Number) of Cases Where Customer Awarded Damages¹
2008	474	20%	42% (199 cases)
2009	669	21%	45% (304 cases)
2010	882	20%	47% (415 cases)
2011	670	16%	44% (297 cases)
2012²	570	18%	45% (255 cases)
2013	104	15%	38% (39 cases)

1 Percentage of customer claimant award cases reflects only instances in which investors as claimants recovered monetary damages or non-monetary relief.

2 In 2012, approximately 78 percent of customer claimant cases resulted, through settlements or awards, in monetary or non-monetary recovery for the investor.

Comparison of Results of All-Public Panels and Majority Public Panels in Customer Claimant Cases

Year Decided¹	Cases Decided by All-Public Panels²	Percentage (and Number) of Cases Decided by 3 Public Arbitrators Where Customer Awarded Damages	Cases Decided by Majority-Public Panels³	Percentage (and Number) of Cases Decided by 2 Public Arbitrators and 1 Non-Public Arbitrator Where Customer Awarded Damages
2011	13	54% (7 cases)	17	18% (3 cases)
2012	99	49% (49 cases)	111	33% (37 cases)
2013	25	44% (11 cases)	17	53% (9 cases)

1 An all-public option for arbitration panels was implemented on Feb 1, 2011. Statistics reflect cases heard with awards from that point forward.

2 Three public arbitrators.

3 Two public arbitrators and one non-public arbitrator.

Arbitrators by Type

This report lists all available arbitrators by Non-Public and Public Type.

Arbitrator Type	Total
Public	3,607
Non-Public	2,877
Total	6,484

Last Updated: 4/16/2013