Quarterly highlights

(NEW) Order Approving a Proposed Rule Change to Amend NYSE National Rules 7.37 and 7.44

The Exchange has proposed to amend NYSE National rules 7.37 (Order Execution and Routing) and 7.44 (Retail Liquidity Program) to adopt the Retail Price Improvement Seeking routing strategy, an optional routing strategy available for Type 1 Retail Orders. The Commission has received no comment letters on the proposed rule change. This order approves the proposed rule change.

• SEC Release No. 34-102912; file No. SR-NYSENAT-2025-05 (April 22, 2025): Order Approving a Proposed Rule Change to Amend NYSE National Rules 7.37 and 7.44

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FINRA Highlights Available Guidance and Resources Related to Regulation Best Interest

 

Regulatory Notice 23-20 discusses the guidance and other resources available to assist members with their compliance efforts in connection with the SEC’s Regulation Best Interest (Reg BI). In particular, FINRA highlights the SEC’s series of Staff Bulletins (Bulletins) reiterating standards of conduct for broker-dealers (BDs or members) and investment advisers (IAs): SEC Staff Bulletin: Standards of Conduct for Broker-Dealers and Investment Advisers Account Recommendations for Retail Investors; SEC Staff Bulletin: Standards of Conduct for Broker-Dealers and Investment Advisers Conflicts of Interest; and SEC Staff Bulletin: Standards of Conduct for Broker-Dealers and Investment Advisers Care Obligations.

FINRA encourages members to review these Bulletins closely, along with the Reg BI Adopting Release and the other guidance and resources identified in this Notice, as part of their ongoing efforts to meet their best interest obligations.

 

• FINRA Regulatory Notice: 23-20 (December 5, 2023): FINRA Highlights Guidance and Resources Related to Regulation Best Interest

This section provides upcoming effective dates and recently implemented dates.

FINRA Adopts Amendments to Rule 3240 FINRA Regulatory Notice 24-12 (October 23, 2024):

These amendments became effective on April 28, 2025.

FINRA Adopts Amendments to Rule 3240 FINRA has adopted amendments to Rule 3240 (Borrowing From or Lending to Customers) to strengthen the rule’s general prohibition against borrowing and lending arrangements between registered persons and their customers, narrow some existing exceptions to the general prohibition, modernize the “immediate family” definition, and enhance the notice and approval requirements related to permissible arrangements. The amendments become effective on April 28, 2025

 

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Regulation S-P: Privacy of Consumer Financial Information and Safeguarding Customer Information SEC Release Nos. 34-100155; IA-6604; IC-35193; File No. S7-05-23 (June 2, 2024):

The Commission is providing an 18-month compliance period after the date of publication in the Federal Register for larger entities, and a 24-month compliance period after the date of publication in the Federal Register for smaller entities.

The Securities and Exchange Commission (“Commission” or “SEC”) is adopting rule amendments that will require brokers and dealers (or “broker-dealers”), investment companies, investment advisers registered with the Commission (“registered investment advisers”), funding portals, and transfer agents registered with the Commission or another appropriate regulatory agency (“ARA”) as defined in the Securities Exchange Act of 1934 (“transfer agents”) to adopt written policies and procedures for incident response programs to address unauthorized access to or use of customer information, including procedures for providing timely notification to individuals affected by an incident involving sensitive customer information with details about the incident and information designed to help affected individuals respond appropriately. In addition, the amendments extend the application of requirements to safeguard customer records and information to transfer agents; broaden the scope of information covered by the requirements for safeguarding customer records and information and for properly disposing of consumer report information; impose requirements to maintain written records documenting compliance with the amended rules; and conform annual privacy notice delivery provisions to the terms of an exception provided by a statutory amendment to the Gramm-Leach-Bliley Act (“GLBA”).

 

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