Regulatory Notice 07-63

FINRA Adopts Rule Amendments Relating to Reporting of Odd-Lot Transactions; Effective Date: March 3, 2008

Executive Summary

Effective Monday, March 3, 2008, when reporting odd-lot transactions¹  to a FINRA Trade Reporting Facility (TRF), the Alternative Display Facility (ADF) and the OTC Reporting Facility (ORF) (collectively referred to as the "FINRA Facilities"), firms:

 

1. will no longer use the special ".RO" trade report modifier to indicate that an odd-lot transaction is reported for regulatory transaction fee purposes and
2. must report odd-lot transactions marked for media dissemination (i.e., "for publication" or as "tape eligible"), as applicable.

The text of the amended rule language is available at www.finra.org/Industry/Regulation/RuleFilings/2007/P037160.

Questions regarding this Notice may be directed to the Legal Section, Market Regulation, at (240) 386-5126; or the Office of General Counsel, at (202) 728-8071.

 

1 For purposes of the trade reporting rules, an odd lot is less than a "normal unit of trading," which is defined as "100 shares of a security unless, with respect to a particular security, NASD determines that a normal unit of trading shall constitute other than 100 shares." See NASD Rules 4200, 4200A, 4200C and 4200E.