Press Releases

Release Date: March 14, 2008
Contact:
Katrina Cavalli, (212) 313-1181, kcavalli@sifma.org

SIFMA Commends SEC for Auction Rate Securities Guidance

New York, NY, March 14, 2008—The Securities Industry and Financial Markets Association (SIFMA) today issued the following statement on the Securities and Exchange Commission’s guidance regarding dealer and issuer involvement in the auction rate securities market:

“SIFMA commends the SEC for its quick response and recognition of the importance of providing participants in the auction rate securities market with clarification on its views regarding dealers and issuers involvement in auctions,” said Tim Ryan, president & CEO of SIFMA.  “Specifically, we are pleased that the SEC granted a ‘no action’ position in the event that municipal issuers, conduit borrowers and participating dealers participate in bids for municipal auction rate securities, providing this activity is adequately disclosed.  We believe this action will alleviate some of the recent dislocation in the auction rate securities markets.”

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The Securities Industry and Financial Markets Association brings together the shared interests of more than 650 securities firms, banks and asset managers. SIFMA's mission is to promote policies and practices that work to expand and perfect markets, foster the development of new products and services and create efficiencies for member firms, while preserving and enhancing the public's trust and confidence in the markets and the industry. SIFMA works to represent its members’ interests locally and globally. It has offices in New York, Washington D.C., and London and its associated firm, the Asia Securities Industry and Financial Markets Association, is based in Hong Kong.