Regulatory Notice 18-39

Unexpected Close of Securities Markets

Summary

On occasion, the securities markets may unexpectedly close for business, for example, on the national day of mourning declared in memory of President George H.W. Bush on December 5, 2018. This Notice provides guidance to members regarding SEA Rules 15c3-1, 15c3-3, 17a-5(a) through (d), Rule 204 under Regulation SHO, FINRA Rules 4210, 4230(b), 4521 and 4524, and Federal Reserve Board Regulation T in the event of such an unexpected close. The Notice addresses, among other things, the circumstances under which the day of the unexpected close should be considered a regular business day versus a non-business day for purposes of these rules.

This Notice replaces the guidance previously set forth in Notice 05-47.

Questions concerning this Notice should be directed to:

  • Yui Chan, Senior Director, Risk Oversight and Operational Regulation (ROOR), at (646) 315-8426;
  • Ann Duguid, Senior Director, ROOR, at (646) 315-7260;
  • Adam Rodriguez, Director, Credit Regulation, at (646) 315-8572; or
  • Theresa Reynolds, Senior Credit Regulatory Coordinator, Credit Regulation, at (646) 315- 8567.