What is FINRA 2242?
Rule 2242(j) exempts debt research reports distributed solely to eligible institutional investors from most of the provisions regarding supervision, coverage determinations, budget and compensation determinations and all of the disclosure requirements applicable to debt research reports distributed to retail investors.
What is a solicitation period?
Solicitation Period means the period during which votes to accept or reject the Plan are being solicited.
What is debt research?
(3) “Debt research report” means any written (including electronic) communication that includes an analysis of a debt security or an issuer of a debt security and that provides information reasonably sufficient upon which to base an investment decision, excluding communications that solely constitute an equity research …
What finra 2111?
FINRA Rule 2111 requires that a firm or associated person have a reasonable basis to believe a recommended transaction or investment strategy involving a security or securities is suitable for the customer. Brokers must have a firm understanding of both the product and the customer, according to Rule 2111.
What are finra rules?
FINRA’s rules and guidance strive to protect investors and ensure the integrity of today’s rapidly evolving market. FINRA’s rules and guidance strive to protect investors and ensure the integrity of today’s rapidly evolving market. FINRA is here to help keep investors and their investments safe.
What is institutional debt?
Institutional loan means a loan made by collegeinvest from bond proceeds, or other available moneys, to one or more institutions of higher education, to a nonprofit corporation acting on behalf of one or more institutions of higher education, to the division, or to purchasers, and made for the purpose of funding …
What is the difference between Rule 2111 and Rule 2330?
[1] Weirdly, Rule 2330 does NOT explicitly cover recommendations involving a “strategy,” as Rule 2111 does. If you read Rule 2330, it only “applies to recommended purchases and exchanges of deferred variable annuities and recommended initial subaccount allocations,” i.e., actual transactions, not strategies.
Which of the following is the intended purpose of Regulation AC?
Regulation AC is intended to complement other rules governing conflicts of interest disclosure by research analysts, including NYSE Rule 472, NASD Rule 2711, and the anti-fraud provisions of the federal securities law.
Is there a research report rule for FINRA?
As FINRA further noted in the Rule 5280 filings, because of the differing objective of Rule 5280, the definition of research report in the rule is intended to be broader than the definition of research report in the equity research rule and, by extension, the new debt research rule.
When to use physical separation in FINRA rules?
As FINRA noted in its rule filing, however, FINRA would expect such physical separation except in extraordinary circumstances where the costs are unreasonable due to a firm’s size and resource limitations.
Is there a rule for separating research and investment banking?
A1. The rule does not mandate physical separation between the debt research department and the investment banking, sales and trading and principal trading departments (or other persons who might seek to influence research analysts).
When does FINRA consider a solicitation period to end?
In general, FINRA considers a solicitation period to begin when the issuer makes known that it intends to proceed with an IPO and ends when there is a bona fide awarding of the underwriting mandates.