FINRA has launched a series of initiatives to support members, markets and investors

Features

• FINRA Forward Announced on Monday 
  As we relayed in a special edition of the Weekly Update on Monday, FINRA has launched a series of initiatives to support members, markets and investors. Robert Cook, FINRA President and CEO, detailed the initiatives in a blog. They include: 
   

  • Modernizing FINRA Rules 
    FINRA is conducting a broad review of its rules to modernize requirements, facilitate innovation and eliminate unnecessary burdens. 
     
  • Empowering Member Firm Compliance 
    FINRA is working to enhance how it supports member firm compliance to better protect investors and safeguard markets. 
     
  • Combating Cybersecurity and Fraud Risks 
    FINRA is expanding its cybersecurity and fraud prevention activities to support member firms’ risk management capabilities and resilience against emerging threats and to better protect them and their investors from harm.

  “To serve its mission—promoting investor protection, market integrity and vibrant capital markets—FINRA must continuously improve its regulatory policies and programs to make them more effective and efficient. During my time as CEO, we have worked hard to build a culture of continuous improvement across FINRA—and we have come a long way… But continuous improvement means our work is never done, especially since capital markets are constantly evolving and new opportunities to do better are always emerging,” Cook wrote.

  In connection with this effort, FINRA has published the following Regulatory Notices:

  • Regulatory Notice 25-04 on a broad review of FINRA’s regulatory requirements;
  • Regulatory Notice 25-05 on outside activities requirements;
  • Regulatory Notice 25-06 on promoting capital formation; and
  • Regulatory Notice 25-07 on the modern workplace.

  We will be providing ongoing updates on FINRA Forward and welcome the input of member firms. To that end, we will be hosting a webinar on Monday, April 28, detailed below, to provide an overview of how to respond to FINRA requests for comment.

• Cybersecurity Advisory: Fast Flux 
  Member firms should be aware of fast flux, a technique threat actors use to disguise the activity of their malware on target networks. Read the recent Cybersecurity Advisory for an overview of the technique and effective practices all organizations can implement to defend against fast flux-enabled malicious activity. 
   
• Six Tips for Managing Investments Through Divorce 
  In a recent Investor Insight, FINRA covered how investors can better understand—and stay in control of—their investments amid divorce. The article is available here, and firms are welcome to share it and other FINRA Investor Insights with customers. 
   
• ICYMI: SEC Request for Comment 
  The SEC requests comment on FINRA’s proposed rule change to adopt FINRA Rule 6152 (Disclosure of Order Execution Information for NMS Stocks) to require members to submit their order execution reports for NMS stocks to FINRA for publication on the FINRA website. Comments are due by May 2.