Specifically, our letter addressed the following: We asked that the MSRB supply minimum standards for municipal advisors of all sizes; We asked that the MSRB make clear within the language of Draft Rule G-44 that the firm itself remain ultimately responsible for any decisions made or affected by the CCO, whether this position is outsourced…
Author: Bond Dealers of America
BDA's Susan Collet on Tax-Exemption Fight
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FINRA TBA Margining Comments Filed
Today BDA filed comments, available [here], on FINRA Notice 14-02, “Proposed Amendments to FINRA Rule 4210” regarding TBA margining. Among other items, the comments assert that, in order to appropriately balance the essential liquidity provided by middle market dealers with its desire to address systemic risk: FINRA should consider exempting MBS specified pools, ARM and CMO markets from…
MSRB Draft Rule G-18 "Best Execution" Comments Filed
Today BDA filed comments, available [here], on MSRB Notice 2014-02, “Request for Comment on Draft Best- Execution Rule, Including Exception for Transactions with Sophisticated Municipal Market Professionals.” The comments assert: MSRB’s proposed rule should better reflect FINRA Rule 5310 by considering that in instances in which quotations are inaccessible, “reasonable steps” should be employed through the maintenance of appropriate policies and…
National Public Finance Guarantee is Newest BDA Member Firm
We are pleased to announce that National Public Finance Guarantee is the newest member of the Bond Dealers of America. The BDA continues to be your advocate, headquartered in Washington, DC and representing the interests of securities dealers with a primary focus on the US capital markets. National’s support of the BDA makes us a…
Municipal Time of Trade Disclosure & Suitability: A Paper Prepared by Lumesis Inc.
Rules focused on time of trade disclosures to investors, dealers’ dealings with sophisticated municipal market professionals and suitability of dealers’ recommendations of municipal securities transactions will be effective July 5, 2014. The executive summary is available here. Lumesis is making this paper available to all BDA Member firms. It can be found in the Members…
BDA Commentary: A Wrong-Headed Approach to Addressing the Nation's Infrastructure Needs
March 12 – “One of these things does not belong” is a catchy slogan — and it comes to mind when looking at the latest tax policy ideas coming from Washington. The proposal by House Ways and Means Committee Chairman Dave Camp, R-Mich., puts a 10% surtax on tax-exempt bond interest for high-earners, throwing municipal bonds…
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…