To help members track the status of NASD®Rule filings submitted to the Securities and Exchange Commission (SEC), the NASD will publish this information bimonthly in Notices to Members.

For Your Information

SEC Limit Order Handling Rules Effective January 10, 1997

Nasdaq will be implementing the new SEC Limit Order Handling Rules on January 10, 1997. This will affect all Advanced Computerized Execution System (ACES^®) market makers because ACES limit orders will not be linked to the inside market calculation and will not automatically update your quotes.

Rule Filing Status As Of December 3, 1996

NASD Rule Filing Status

Use Of National Association Of Securities Dealers, Inc., Parent And Subsidiary Logos

In response to recent requests from member firms to use one of the corporate logo icons (logos) on their Web pages to indicate a link to one of the three corporate Web sites, this FYI is being issued to clarify the position of NASD Regulation, Inc. (NASD Regulation), the National Association of Securities Dealers, Inc. (NASD), and The Nasdaq Stock Market, Inc. (Nasdaq) on the use of their logos.

SEC Extends Time Period For Commenting On Proposed Changes To Rules 17a-3 And 17a-4 On January 17, 1997, the Securities and Exchange Commission (SEC) announced that it is extending, until March 31, 1997, the comment period for proposed changes to Rules 17a-3 and 17a-4. The proposed amendments clarify, modify, and expand broker/dealer recordkeeping requirements for purchase and sale memoranda, customer records, associated person records, customer complaints, and certain other documents.

Clarification Of Notice To Members 96-60

NASD Creates Two New Exams—Equity Trading And Government Securities

The NASD^® Board of Governors has approved the creation of two new qualification exams for securities industry personnel. The new exams, one for Equity Securities Traders and the other for Government Securities Representatives, join an existing battery of tests that NASD Regulation, Inc. (NASD Regulation^SM) administers to qualify registered representatives to conduct securities business.

Year 2000 Program Addresses Challenges Faced By Automated Systems

Disciplinary Action Corrections

The following corrections pertain to the August 1997 Notices to Members Disciplinary Actions section.

SEC Extends Arbitration Rules