Name Change Effective May 2002 By Rick Weinberg First Union Securities will announce Wednesday that it has been renamed Wachovia Securities, Registered Rep. magazine has learned. The name change is effective May 2002. First Union is the retail brokerage arm of Wachovia Corporation, along with IJL Wachovia. The firm, the […]
Brokers
Commentary, news and links of interest to financial advisers.
Merrill, Brokers and Retention Bonuses
Bank of America’s Lousy Retention Bonus Gets Worse By Mark J. Astarita, Esq. In a blog post I commented on the odd retention bonus program being offered by Bank of America to Merrill Lynch brokers. Odd because it was a small amount of money, it was structured badly, and because […]
SEC Concern Over Margin, Whisper Numbers
Analysts, Margin, Chat Rooms Come into Focus, But is the Focus Correct? By Mark J. Astarita, Esq. While many analysts and brokers ponder how much higher the market can go, and some industry professionals continue to call for the bursting of the bubble, Securities and Exchange Commission Chairman Arthur Levitt […]
Disclosure Issue Would Snag Brokers
New NASD Proposal will require more disclosures by retail brokers. The war on analysts is now threatening brokers. In proposing heightened disclosures from analysts, the NASDR has included retail brokers as well. The July proposal, NASD Notice to Members 01-45, broadens disclosure obligations for public appearances by analysts and brokers […]
SEC Position on Mutual Fund Fair Value Released
New Obligations for Mutual Fund Directors? By John M. Baker, Esq. The staff of the Securities and Exchange Commission recently issued an interpretive letter on the obligation of investment companies and their directors to determine in good faith the fair value of the funds’ portfolio securities when market quotations are […]
Attempt to Void Settlement
Arbitration Panel Orders Return of Settlement Payment, and Awards Nothing. WEINBERG v. BEAR STEARNS & CO., INC., NYSE ID #2000-008216 (Los Angeles, 10/18/00): Recently confirmed, this Award presents an unusual outcome in a “two-bites-of-the-apple” scenario. According to the “Case Summary” section of the Award, Israel and Molly Weinberg entered into […]
Broker and Supervisor Liable for Customer Conduct
Failing to Stop Wash Sales and Matched Orders Leads to Disciplinary Proceedings By John M. Baker, Esq. The U.S. Court of Appeals for the D.C. Circuit on Friday affirmed an SEC</div><div class=glossaryItemBody>The United States Securities and Exchange Commission is the federal agency charged with the regulation and oversight of the securities markets, public companies and securities professionals.(…)</div>” href=”https://www.seclaw.com/glossary/sec/” data-gt-translate-attributes='[{“attribute”:”data-cmtooltip”, “format”:”html”}]’>SEC order finding a registered representative and her supervisor responsible for a customer’s improper trades. Graham v. SEC, No. 99- […]
Suitability and Whisper Numbers under Attack
New Proposals for a New Millennium – Suitability and Whisper Numbers Mark J. Astarita The end of the millennium has further demonstrated the changes that are in store for the brokerage industry in the start of the new millennium. Last month I took a look forward, but since writing that […]
Day Trading Rules for Firms that Promote Day Trading
And unfortunately, for those who don’t – NASD Rules 2360 and 2361 By Mark J. Astarita, Esq. The NASD has announced that as of October 16, 2000, any NASD member firm that is promoting a day-trading strategy will be required to furnish a risk disclosure statement to a non-institutional customer […]
NASD Release on Unregistered Persons and Client Contact
NTM 00-50 Drops 1998 Proposal, Re-affirms NTM 88-50 By John M. Baker, Esq. The NASD posted a Notice to Members concerning marketing activities and supervision of unregistered persons. NASD Notice to Members 00-50 (August 2000). The Notice withdraws a pending rule proposal and provides guidance on the activities of unregistered […]
