Proposed Supervision and Supervisory Controls Amendments

The Self-Regulation and Supervisory Practices Committee of SIFMA provides comments to the Financial Industry Regulatory Authority (FINRA) on proposed supervision and supervisory controls amendments, FINRA Regulatory Notice 08-24.  Specifically, FINRA is proposing to adopt new Rules 3110 and 3120 for the new FINRA consolidated rulebook, based in part on existing NASD Rules 3010 and 3012, and NYSE Rule 342. SIFMA fully supports rewriting the existing supervision and supervisory control rules to reflect more flexible, principles-based regulation while preserving FINRA’s core mission of investor protection and market integrity.  SIFMA believes that several provisions require further consideration and modification to fully achieve the goals of the consolidated rulebook.