{"id":5538,"date":"2013-10-24T00:00:00","date_gmt":"2013-10-24T05:00:00","guid":{"rendered":"https:\/\/institutionalinvestorsecuritiesblog.blawgcloud.com\/2013\/10\/sec_wants_comments_about_finra"},"modified":"2022-03-10T16:38:50","modified_gmt":"2022-03-10T22:38:50","slug":"sec-wants-comments-about-finra","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/","title":{"rendered":"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision"},"content":{"rendered":"\n<p>The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision rules. The latter wants to change the rules by consolidating some of them, including NASD Rule 3010 and NASD Rule 3012 into its proposed Rules 3110 and 3120 that have to do with supervisory controls and the supervision of supervisory jurisdictions\u2019 office and branch offices. The proposed rule change would eliminate NYSE Rule 342, which is related to supervision, approval, and controls, Rule 401 about business conduct, and Rule 354 regarding control persons, Rule 351e about reporting requirements. The consolidation is taking place because the SEC says some of the rules are duplicative.<\/p>\n<p>FINRA also wants to eliminate proposed Rule 3110.03, which is a provision about the supervision and control of registered principals at one-person OSJs by a designated senior principal on the site. The SRO also is proposing to amend rule 3110.05 so that an Investment Banking and Securities Business member doesn\u2019t have to perform detailed reviews of transaction if the member is using risk-based review system that is designed in a way so it can focus on areas that have the greatest risks of violation. <\/p>\n<p>Meantime, proposed Rule 3110(b)(6)(D) will be changed so that it is clear that the rule doesn\u2019t establish a strict liability to identify and get rid of all conflicts as they relate to an associated person that is supervised by supervisory personnel. There will have to be procedures to make sure that conflicts of interest don\u2019t compromise the supervisory system.<\/p>\n<div class=\"read_more_link\"><a href=\"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/\"  title=\"Continue Reading SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision\" class=\"more-link\">Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision rules. The latter wants to change the rules by consolidating some of them, including NASD Rule 3010 and NASD Rule 3012 into its proposed Rules 3110 and 3120 that have to do with supervisory controls and [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3783,3760,3761],"tags":[],"class_list":["post-5538","post","type-post","status-publish","format-standard","hentry","category-broker-misconduct","category-sec-enforcement","category-securities-and-exchange-commis"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision &#8212; Investor Lawyers Blog &#8212; October 24, 2013<\/title>\n<meta name=\"description\" content=\"The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision &#8212; October 24, 2013\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision &#8212; Investor Lawyers Blog &#8212; October 24, 2013\" \/>\n<meta name=\"twitter:description\" content=\"The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision &#8212; October 24, 2013\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision &#8212; Investor Lawyers Blog &#8212; October 24, 2013","description":"The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision &#8212; October 24, 2013","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/","twitter_card":"summary_large_image","twitter_title":"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision &#8212; Investor Lawyers Blog &#8212; October 24, 2013","twitter_description":"The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision &#8212; October 24, 2013","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision","datePublished":"2013-10-24T05:00:00+00:00","dateModified":"2022-03-10T22:38:50+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/"},"wordCount":409,"articleSection":["Broker Misconduct","SEC Enforcement","Securities and Exchange Commission"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/","url":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/","name":"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision &#8212; Investor Lawyers Blog &#8212; October 24, 2013","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"datePublished":"2013-10-24T05:00:00+00:00","dateModified":"2022-03-10T22:38:50+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"The Securities and Exchange Commission wants comments on a proposed amendment to the Financial Industry Regulatory Authority\u2019s broker-deal supervision &#8212; October 24, 2013","breadcrumb":{"@id":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.investorlawyers.com\/blog\/sec-wants-comments-about-finra\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.investorlawyers.com\/blog\/"},{"@type":"ListItem","position":2,"name":"SEC Wants Comments About FINRA\u2019s Proposed Rules About Broker-Dealer Supervision"}]},{"@type":"WebSite","@id":"https:\/\/www.investorlawyers.com\/blog\/#website","url":"https:\/\/www.investorlawyers.com\/blog\/","name":"Investor Lawyers Blog","description":"Published By Investment Fraud Attorneys \u2014 Shepherd Smith Edwards &amp; Kantas, LLP","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.investorlawyers.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431","name":"Shepherd Smith Edwards &amp; Kantas, LLP","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/c7f8f04990816cd4044977eb59908da8c8d1ae487cc919cebd7027b74a0740a3?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/c7f8f04990816cd4044977eb59908da8c8d1ae487cc919cebd7027b74a0740a3?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/c7f8f04990816cd4044977eb59908da8c8d1ae487cc919cebd7027b74a0740a3?s=96&d=mm&r=g","caption":"Shepherd Smith Edwards &amp; Kantas, LLP"},"sameAs":["https:\/\/www.investorlawyers.com\/"]}]}},"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/pedX9K-1rk","_links":{"self":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/5538","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/comments?post=5538"}],"version-history":[{"count":2,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/5538\/revisions"}],"predecessor-version":[{"id":23788,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/5538\/revisions\/23788"}],"wp:attachment":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/media?parent=5538"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/categories?post=5538"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/tags?post=5538"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}