Regulatory Notice 19-16

SEC Approves Amendments to FINRA Rule 4570

Effective Date: August 19, 2019

Summary

The Securities and Exchange Commission (SEC) approved a proposed rule change to amend FINRA Rule 4570 (Custodian of Books and Records) to: (1) provide a member firm that is filing a Form BDW (Uniform Request for Broker-Dealer Withdrawal) the option of designating another FINRA member firm as the custodian of its books and records on the form; (2) clarify the obligations of the designated custodian; and (3) require the designated custodian to consent to act in such a capacity.

These changes become effective on August 19, 2019.

The text of the amended rule is set forth in Attachment A. The Custodian Consent Form is set forth in Attachment B.

Questions concerning this Notice should be directed to:

  • Julia Bogolin, Counsel, Office of General Counsel, at (202) 728-8111.

Questions concerning submission of the Custodian Consent Form should be directed to:

  • Mario DiTrapani, Vice President, Registration & Disclosure Operations, CRD/Public Disclosure, at 240-386-4796.