FINRA Updates Codes of Arbitration Procedure for Arbitrator List Selection

November 19, 2025

Features

FINRA Updates Codes of Arbitration Procedure for Arbitrator List Selection
FINRA amended its Codes of Arbitration Procedure (Codes) to better balance the process for generating the list of public arbitrators sent to the parties in certain customer and industry disputes. Under the amendments, public arbitrators who are not chair-qualified will now have two chances for selection when generating public arbitrator lists in cases with three arbitrators. The amendments also make ministerial changes to codify certain current practices to increase transparency in the arbitration forum, establish new timeframes for objecting to and withdrawing requests for additional arbitrator information and filing arbitrator removal motions, and align expungement-related provisions in the Codes. The amendments become effective Jan. 26, 2026, as detailed in Reg. Notice 25-16 published on Nov. 18.
Trade Reporting Facilities to Open Earlier
We adopted rule amendments on Nov. 13 to extend the operating hours of the FINRA Trade Reporting Facilities, which provide members with a mechanism for reporting OTC trades in NMS stocks. Effective March 30, 2026, the FINRA/NYSE Trade Reporting Facility, the FINRA/Nasdaq Trade Reporting Facility Carteret, and the FINRA/Nasdaq Trade Reporting Facility Chicago will open at 4 a.m. ET each business day instead of 8 a.m. ET. This change will facilitate greater price transparency by aligning the facilities’ operating hours with the Securities Information Processors that consolidate all quotes and trades across U.S. equities trading venues into a single data feed. Please see Reg. Notice 25-15 for details.
SEC Amends Electronic Submission Requirements
The SEC adopted amendments on Nov. 14 to require firms to submit annual reports and other materials electronically to the agency. In particular, members should note that the SEC will no longer accept paper submissions of annual reports. Because FINRA already requires electronic submission of the annual report, the amendments do not affect how members submit these filings to us. The SEC also made changes to the FOCUS Report. Please see Information Notice 11/14/25 for details.
Reminder: Early Exercise Cut-Off Time for Expiring Options
The national options exchanges are closing at 1:00 p.m. ET on Nov. 28—the Friday after Thanksgiving—which will modify the exercise cut-off time for expiring options. Due to the early close, the deadline for an option holder to make a final decision to exercise or not exercise an expiring option will be 2:30 p.m. ET instead of 5:30 p.m. ET. Please see Information Notice 11/17/25 for details.
Reminder: Committee Elections Voting Deadline is Today
The deadline to vote for the Small Firm Advisory Committee (SFAC) New York region seat and for several contested Regional Committee seats is today, Nov. 19, so we encourage firms to cast their votes now. Firms eligible to vote should have received voting instructions and ballots from FINRA’s election agent ([email protected]). For more information, please see the SFAC Election Notice and the Regional Committee Election Notice, or contact FINRA’s Corporate Secretary via email.
New Podcast: Building Cybersecurity Resilience Through FINRA Forward
The latest episode of the FINRA Unscripted podcast dives into how FINRA Forward is transforming cybersecurity defense through collaborative intelligence sharing, practical exercises, and innovative programs designed to help member firms prevent, prepare for, and respond to evolving cyber threats. The episode highlights three key FINRA cybersecurity efforts that are supporting member firms, including tabletop exercises and workshops, the Cyber and Operational Resilience program, and the forthcoming Financial Intelligence Fusion Center.
Investor Insights on Defining the Value of an Investment
When making investment decisions, one potential factor to consider is whether a particular stock, bond, or fund seems like a good value. But there are many ways to define the value of an investment, according to a new Investor Insights. Member firms are free to share this article, and other Investor Insights, with customers.
ICYMI: FINRA Posts Report Filing Due Dates
FINRA last week issued Information Notice 11/10/25 listing the dates that member firms’ annual reports, FOCUS reports, form custody filings, and supplemental FOCUS filings are due in 2026 and the first quarter of 2027. As a reminder, all such filings that members submit to FINRA must be made through FINRA Gateway.
Editor’s Note
The Weekly Update will not publish next week due to the Thanksgiving holiday.

Regulatory Information, Upcoming Deadlines, Effective Dates

New

Early Exercise Cut-Off Time for Expiring Options: The national options exchanges are closing at 1:00 p.m. ET on Nov. 28—the Friday after Thanksgiving—which will modify the exercise cut-off time for expiring options. See the feature above for details.
Arbitration Codes Changes: FINRA amended its Codes of Arbitration Procedure to better balance the arbitrator list selection process in certain customer and industry disputes with three-arbitrator panels. As detailed in Reg. Notice 25-16, the amendments become effective January 26, 2026. See the feature above for more details.
Trade Reporting Facilities: FINRA adopted rule amendments to extend the operating hours of the FINRA Trade Reporting Facilities. Effective March 30, 2026, the FINRA/NYSE Trade Reporting Facility, the FINRA/Nasdaq Trade Reporting Facility Carteret, and the FINRA/Nasdaq Trade Reporting Facility Chicago will open at 4 a.m. ET each business day instead of 8 a.m. ET. See the feature above for details.
SEC Electronic Submission Requirements: The SEC recently adopted amendments to require firms to submit annual reports and other materials electronically to the agency. Please see the feature above for details.

Reminders

SFAC and Regional Committee Elections: Today is the last day to vote in elections to fill the open seat on the Small Firm Advisory Committee and several vacancies on the Regional Committees. Firms eligible to vote in the elections should have received voting instructions and ballots from FINRA’s election agent ([email protected]) and will have until today, Nov. 19, to cast their votes.
2026 Regulatory Element: FINRA Rule 1240 requires registered persons to complete the Regulatory Element annually by Dec. 31 for each registration they hold.
Notice on 2026 Renewal Program: Preliminary statements for firm, individual, and branch renewals for 2026 were posted in E-bill on Nov. 10, and final statements will be available on Jan. 2, 2026. Full payment of the preliminary statements by Dec. 8, 2025 is mandatory. Late payments will incur fees and may result in business ineligibility in certain jurisdictions. Please visit the FINRA Fee Adjustment Schedule page for additional information.
Report Filing Due Dates: FINRA issued a Notice listing the dates that member firms’ annual reports, FOCUS reports, form custody filings, and supplemental FOCUS filings are due in 2026 and the first quarter of 2027. As a reminder, firms must submit these filings electronically through our systems.
Time Extension Filing Schedule: FINRA posted a filing schedule to assist firms in submitting accurate requests for extensions of time as contemplated by the Federal Reserve’s Regulation T, Securities and Exchange Act Rule 15c3-3(n), and FINRA Rule 4210.

Disciplinary Actions

FINRA publishes disciplinary actions to remind members of specific conduct that violates FINRA rules and may result in disciplinary action. The November 2025 Monthly Disciplinary Actions are available here.

Education and Compliance Programs

FINOP Focus: Annual Reporting Updates Part II | Dec. 4 | Virtual Event

Resources

FINRA Forward – An overview of our work in action for becoming more effective and efficient at pursuing our mission is available on FINRA.org. The webpages include information and videos about our efforts to modernize our rules, empower member firm compliance, and combat cyber and fraud threats.

Member Firm Hub – Latest guidance, resources, educational opportunities and more.

Comment Process – On-demand webinar on how to provide comments on FINRA Forward proposals, as well as the impact of comment letters and how they are used.

Involvement and Election Process – How to engage with FINRA to help carry out our mission of protecting investors and safeguarding market integrity. Members can contribute their unique perspectives and skillsets with rotating terms on FINRA committees and other opportunities. Submit an indication of interest to be considered to join a FINRA advisory committee or speak at a FINRA event by clicking here.

Membership Application Program (MAP) Tools – Guidance and other resources to help current members prepare for their continuing membership application (CMA) and new applicants prepare for a new member application (NMA).

FINRA Unscripted – Monthly podcast on a range of topics important to FINRA members and other stakeholders.

Investor Insights – Feature articles on timely topics for investors, which firms are welcome to share with customers.

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About FINRA
FINRA is a not-for-profit organization dedicated to investor protection and market integrity. FINRA regulates one critical part of the securities industry—member brokerage firms doing business with the public in the U.S. FINRA, overseen by the SEC, writes rules, examines for and enforces compliance with FINRA rules and federal securities laws, registers broker-dealer personnel and offers them education and training, and informs the investing public. In addition, FINRA provides surveillance and other regulatory services for equities and options markets, as well as trade reporting and other industry utilities. FINRA also administers a dispute resolution forum for investors and brokerage firms and their registered employees. For more information, visit www.finra.org.

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