FINRA Seeks Comments on its Engagement Programs

March 31, 2017

The Financial Industry Regulatory Authority (FINRA), on March 21, 2017, published a Special Notice soliciting comments on various existing FINRA engagement programs (Notice). This request for comment is one component of FINRA’s recently announced undertaking to review various aspects of its operations and programs with an eye towards greater efficiency. The Notice follows closely on the heels of the rule proposal, filed by FINRA on March 8, 2017 with the Securities and Exchange Commission, which seeks to simplify competence exams and facilitate the entry and re-entry of professionals to the securities industry.

The Notice identifies and discusses six categories of current and/or proposed engagement initiatives: committees; rulemaking; member outreach and compliance resources; investor education; FINRA transparency; and other communications. The Notice further asks specific questions regarding FINRA’s existing and proposed engagement programs, with a comment period expiring on May 5, 2017. The Notice provides an opportunity for FINRA members and others to comment on a wide range of FINRA activities and programs (albeit not its membership, enforcement or examinations programs). Although the Notice is not limited to small broker-dealers, FINRA directed many of its questions to the impact on smaller firms.

This OnPoint provides a brief summary of the Notice.

Read "FINRA Seeks Comments on its Engagement Programs."