The NASD has proposed rule change which will clearing firms to report certain data to the Department of Member Regulation (“Member Regulation”) on a daily basis, regarding the activities of their own, and their introducing firms. NASD Regulation’s Department of Member Regulation is developing a new business model regarding the […]
Compliance
Duties of Advisor to Supervise Sub-advisor
Duties of Advisor to Supervise Sub-Advisor Addressed SEC speech reflects on obligations for conduct of sub-advisor By John M. Baker, Esq. Dec. 9 2001 – Stephen Cutler, Director of the SEC’s Division of Enforcement, on Thursday spoke at the Investment Company Institute’s Securities Law Developments Conference on potential pitfalls in […]
First Gramm-Leach-Bliley Deal Approved
First Gramm-Leach-Bliley Deal Approval Schwab Receives Approval to Become a Financial Holding Company and to Acquire US Trust By John M. Baker, Esq. The Federal Reserve on May 1 approved The Charles Schwab Corporation’s election to become a financial holding company and proposed acquisition of U.S. Trust Corporation and its […]
NASD Seeking Obsolete Rules
Modernization Project Continues, Suggestions due July 2, 2001 By John M. Baker, Esq. May 18, 2001 – NASD Regulation today gave an update on its review of the NASD rules, began in 1998, to (1) determine if there are obsolete or otherwise unnecessary rules that could be repealed or that […]
SEC Adopts Electronic Storage Rules
Agency responds to ESIGN By John M. Baker, Esq. The Electronic Signatures in Global and National Commerce Act, or ESIGN, encourages federal agencies to accommodate electronic recordkeeping. In response to ESIGN, the SEC today posted amendments to rules under the 1940 Act and the Advisers Act that expand the ability […]
NASD Proposed Change to ACAT Rules
Seeking TROs to stop transfers to be banned By John M. Baker, Esq. May 22, 2001 – NASD Regulation today posted a request for comment on a proposal to prohibit NASD member actions interfering with the transfer of customer accounts. NASD Notice to Members 01-36 (June 2001). As discussed in […]
Market Timing
Part of the problem is simply our society. There is a problem in the mutual fund industry, and it goes well beyond market timing. Some of the market timing allegations have merit, because it appears from the information that is coming to light that fund managers told investors that they […]
Insider Trading – The Legal and Illegal
Illegal insider trading is a serious securities law violation that carries potential civil and criminal penalties. Civilly, the penalties can be as large as three times the gross profit on the trading. An insider trading investigation by the SEC requires experienced securities counsel, as the initial investigation often dictates the […]
SEC’s Ignorance of Due Process
By Mark J. Astarita, Esq. Introduction The Securities and Exchange Commission decided in May to test it’s new procedure – the one where they get to be the judge, jury and prosecutor, at the same time, and get to impose whatever sanctions they deem appropriate on a broker-dealer. When […]
Registration of Cold Callers
Ed. This page discusses the original NASD proposal in 1997 for registration of cold callers. and is presented for historical purposes. FINRA’s telemarketing rule is Rule 3230. Today, basically all cold callers are required to be registerd with FINRA. FINRA’s Registration and Qualification Rules are in the Rule 1200 series. […]
