Regulatory Notice 09-64

Verification of Instructions to Transmit or Withdraw Assets from Customer Accounts

Executive Summary

As part of their duty to safeguard customer assets and to meet their supervisory obligations, FINRA firms must have and enforce policies and procedures governing the withdrawal or transmittal of funds or other assets from customer accounts. Among other things, the policies and procedures should be reasonably designed to review and monitor all instructions to transmit or withdraw assets from customer accounts, including instructions from an investment adviser or other third party purporting to act on behalf of the customer. FINRA firms are required to test and verify their procedures for adequacy and to update them when necessary.

 

Questions concerning this Notice should be addressed to:

• Mike Rufino, Senior Vice President and Deputy,Member Regulation, at (212) 858-4487; or
• Patricia Albrecht, Assistant General Counsel, Office of General Counsel, at (202) 728-8026.