Notice to Members 04-75

NASD Seeks Comment on Enhanced Disclosure for Subordination Agreements

Comment Period Expired November 26, 2004

In 2002, NASD adopted a requirement that firms submitting subordination agreements to NASD staff for approval provide each investor with a Subordination Agreement Investor Disclosure Document (Disclosure Document), a signed copy of which must be provided to NASD staff before the agreement will be approved.

The purpose of the Disclosure Document is to help investors understand what a subordination agreement is and what risks investors assume when they enter into such agreements.

Questions concerning this Notice may be directed to Gary L. Goldsholle, Associate Vice President and Associate General Counsel, Office of General Counsel, Regulatory Policy and Oversight (RPO), at (202) 728-8104; or Brant K. Brown, Counsel, Office of General Counsel, RPO, at (202) 728-6927.

The views, expressions, findings and opinions expressed in the comments on this Web page are solely those of the author(s) and FINRA accepts no responsibility for the content of the comments: 
DateCommenterFormat - Size
11/24/2004John MoloneyPDF - 25.46 KB
11/24/2004The Jeffrey Matthews Financial Group, LLCPDF - 11.6 KB
10/21/2004Nancy P. MillsPDF - 27.8 KB
10/14/2004Caldwell Securities, IncorporatedPDF - 28.76 KB
11/26/2004Integrated Management SolutionsPDF - 16.8 KB