The SEC recently adopted a set of rule amendments removing certain personally identifiable information (PII) from a group of SEC forms, including Forms MA and MA-I (and their variants). Specifically, the amendments eliminate portions of the forms that request filers to provide certain PII, including Social Security numbers, dates of birth, or Foreign ID numbers.…
Category: Municipal Advisor Regulatory Regime
To facilitate conversations about the Municipal Advisor (MA) rule, BDA produced a market document available to members, that summarizes how the MA Regulatory Regime impacts issuers and borrowers in the municipal securities market.
Update: BDA Sends Joint Letter with NAMA and SIFMA to SEC on MSRB’s Proposed Advertising Rule Change
On May 4, 2018, the BDA, along with the National Association of Municipal Advisors and the Securities Industry and Financial Markets Association, sent a letter to the SEC requesting that they disapprove proceedings with respect to the MSRB’s proposed amendments to Rule G-21 and new Rule G-40 until the MSRB further clarifies and addresses key issues…
BDA Submits Comment Letter: MSRB Seeks Input on a Compliance Resource to Help Distinguish Advice and Recommendations (Rule G-42)
The BDA has submitted a comment letter to the MSRB concerning municipal market participants and the public on a draft compliance resource about core requirements for municipal advisors related to providing advice on, and making recommendations of, municipal securities transactions or municipal financial products. The final comment letter can be viewed here. The letter states that…
BDA Submits Comment Letter: MSRB Seeks to Establish Rule for Municipal Advisors and Update Dealer Standards on Advertising
On February 28, 2018, the BDA submitted a comment letter to the SEC in response to the MSRB’s proposed new rule, MSRB Rule G-40, on advertising by municipal advisors, and amendments to MSRB Rule G-21, on advertising by municipal securities dealers. You can view our final comment letter here. BDA’s comment letter focuses on the following topics: The BDA…
BDA Comment Letter: MSRB Request for Comment on Amendments to MSRB G-21 and Advertising Standards for Municipal Advisors (MSRB G-40)
The MSRB has released a request for comment on proposed amendments to MSRB G-21 standards applicable to dealers and to establish proposed MSRB G-40, an advertising standard for municipal advisors. BDA’s comment letter is here. BDA Comment Letter Summary BDA urges the MSRB to harmonize MSRB G-21 with FINRA 2210, which has different requirements for retail, institutional, and correspondence…
New York Federal Reserve Staff Report on Regulation and Bond Market Liquidity
Recently, the New York Fed issued a staff report about the relationship between increased regulation and bond market liquidity entitled, Dealer Balance Sheets and Bond Liquidity Provision. The full report can be accessed here. The authors conclude that new bank regulatory constraints faced by the most active bond traders in the market have impacted bond market liquidity.…
BDA Submits Comment Letter on Proposed Rule G-42 to Establish Core Standards of Conduct for MAs
Proposed Rule G-42 would establish core standards of conduct for municipal advisors, provide guidance on the obligations and prohibitions that accompany their federal fiduciary duty to state and local governments, and clarify their duties of care and fair dealing to all clients. BDA’s letter focuses on the following issues: Timing of disclosure of conflicts of interest Principal transactions Documentation…
Comments Filed on MSRB Rule G-42
Today BDA filed comments to the MSRB regarding their proposed Rule G-42 on duties of non-solicitor municipal advisors, available [here]. BDA will host a conference call Wednesday, March 12 at 4pm ET to discuss these comments, the outcome of a recent meeting with MSRB and also the status of a second round of SEC…
The Bond Buyer: Municipal Advisors Seek Changes, Clarifications on MSRB's MA Rule
by Kyle Glazier WASHINGTON — The Municipal Securities Rulemaking Board’s proposed standards of conduct for municipal advisors would unnecessarily prevent banks from providing normal banking services as well as muni advice, the American Bankers Association is warning. The ABA raised the concerns in one of more than 12 comment letters filed prior to Monday’s deadline…
BDA Members Meet with MSRB & SEC: Discuss SEC's Muni Advisor Rule and MSRB's Regulatory Regime for Municipal Advisors
Meeting with the MSRB BDA members primarily discussed concerns with MSRB proposed Rule G-42 on duties of non-solicitor municipal advisors. Specifically, we discussed the following items: Principal Transactions – We expressed our concern that the language contained in proposed Rule G-42 creates a potentially unworkable paradigm, which may cause an underwriter to be precluded from certain…