<p>The limited supervisory functions that can be properly delegated to registered representatives also may be assigned to persons registered as Foreign Associates under NASD Rule 1100. Foreign Associates, however, may not perform the functions that require a principal registration.</p>
We publish The Neutral Corner to provide arbitrators and mediators with current updates on important rules and procedures within securities dispute resolution. FINRA believes this newsletter provides its dedicated neutrals with a valuable learning tool that enables them to better serve parties and other participants in the FINRA forum.
The Neutral Corner Volume 2 - 2016
NASD Regulation, Inc., has filed with the SEC a proposed rule change to amend NASD Code of Procedure Rule 9216 and NASD Code of Procedure Rule 9270. The purpose of the proposed rule change is to substitute for Office of General Counsel review of proposed Acceptance, Waivers and Consents (AWCs) and proposed violation letters under the minor rule violation plan pursuant to SEC Rule 19d-1(c)(2)
August 2010 Supplement to the Security Futures Risk Disclosure Statement
FINRA seeks comment on proposed amendments to FINRA Rules 5110 (Corporate Financing Rule—Underwriting Terms and Arrangements), 5121 (Public Offerings of Securities With Conflicts of Interest) and 5123 (Private Placements of Securities) to make substantive, organizational and terminology changes to the rules.
Unregistered associated persons may not routinely take customer orders during periods of peak telephone call volume.<br/>
This index provides a categorized reference of FINRA regulatory notices pertaining to communications with the public, marketing materials and advertising practices. Financial professionals can locate specific guidance by topic to ensure compliance with FINRA's advertising standards and rules.Notices by TopicAccount Statements: 08-77Auction Rate Securities: 08-21Bond Mutual Fund Volatility/
Nomination of a Small Firm NAC Member Candidate
WASHINGTON—FINRA has fined Apex Clearing Corporation $3.2 million for violations related to its fully paid securities lending program. This is the first time FINRA has charged a firm with violating FINRA Rule 4330, which establishes permissible use of customers’ securities to ensure customer protection.
Summary
FINRA has recently observed an increase in fraudulent options trading being facilitated by (1) account takeover schemes (sometimes referred to as account intrusions), through which a bad actor gains unauthorized entry to a customer’s brokerage account; and (2) the use of new account fraud1 by a bad actor who fraudulently establishes a brokerage account through identity theft.
