Regulatory Notice 11-24

SEC Approves Consolidated FINRA Customer Order Protection Rule

Effective Date: September 12, 2011

Executive Summary

On February 11, 2011, the SEC approved new FINRA Rule 5320 (Prohibition Against Trading Ahead of Customer Orders) for the consolidated FINRA rulebook (the Consolidated FINRA Rulebook). Rule 5320 consolidates, updates and simplifies NASD IM-2110-2 (Trading Ahead of Customer Limit Order) and NASD Rule 2111 (Trading Ahead of Customer Market Orders). Rule 5320 becomes effective on September 12, 2011. 

  

Text of new FINRA Rule 5320 is available in the online FINRA Manual.

 

Questions regarding this Notice should be directed to Racquel Russell, Assistant General Counsel, Office of General Counsel, at (202) 728-8363.