NASD Special Notice to Members 98-015 - January 1998

NASD Regulation Requests Comment on Proposal to Adopt Recommendation and Disclosure Rules for Over-the-Counter (OTC) Equity Securities; Comment Period Expires February 16, 1998

Executive Summary

NASD Regulation, Inc. (NASD RegulationSM) requests comment on two proposed rules, National Association of Securities Dealers, Inc. (NASD®) Rules 2315 and 2350, which would require members to review current issuer financial statements prior to recommending a transaction to a customer in an over-the-counter (OTC) equity security, and to deliver a disclosure statement to a customer prior to an initial purchase of an OTC equity security, respectively.