Regulatory Notice 08-39

FINRA Requests Comments on Proposed New Rules Governing Communications About Variable Insurance Products

Comment Period Expired: September 30, 2008

FINRA requests comment on proposed changes to guidelines on illustrations of tax-deferred versus taxable compounding in advertising and sales literature (NASD Interpretive Material 2210-1) and communications with the public about variable life insurance and variable annuities (NASD Interpretive Material 2210-2). The proposal would:

  • shorten and simplify existing provisions regarding product identification, liquidity and guarantee claims;
  • consolidate previous FINRA staff guidance concerning variable insurance product communications;
  • address changes in variable insurance products and the manner in which they are advertised, particularly with regard to riders, hypothetical illustrations and investment analysis tools; and
  • codify FINRA staff guidance concerning comparative illustrations of The mathematical principle of tax-deferred versus taxable compounding.

Questions concerning this Notice should be directed to Joseph P. Savage, Vice President and Counsel, Investment Companies Regulation, at (240) 386-4534; or Thomas A. Pappas, Vice President and Director, Advertising Regulation, at (240) 386-4553.

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
8/14/2008Mutual Trust Co. of America SecuritiesPDF - 16.13 KB
8/14/2008H. Mark SaundersPDF - 13.83 KB
8/15/2008Ronald NelsonPDF - 13.18 KB
9/30/2008Investment Company InstitutePDF - 91.08 KB
9/30/2008ACLIPDF - 50.85 KB
9/30/2008Committee of Annuity InsurersPDF - 594.33 KB
9/30/2008NAVA, Inc.PDF - 23.98 KB
9/30/2008Public Investors Arbitration Bar AssociationPDF - 185.15 KB
9/30/2008Jefferson National Securities CorporationPDF - 117.68 KB
9/30/2008The Principal Financial GroupPDF - 27.2 KB
9/30/2008Cornell Law School Securities Law ClinicPDF - 2.43 MB
9/30/2008The Penn Mutual Life Insurance CompanyPDF - 12.85 KB
9/30/2008State of New York Insurance DepartmentPDF - 38.19 KB
9/29/2008Transamerica Capital, Inc.PDF - 54.9 KB
9/29/2008AARPPDF - 1.17 MB
9/29/2008AARPPDF - 1.17 MB
9/29/2008David Lerner Associates, Inc.PDF - 15.33 KB
9/23/2008People's SecuritiesPDF - 15.79 KB