By Mark J. Astarita, Esq. The following article has been adopted from an article distributed by the SEC’s Division of Market Regulation. The article was originally posted in December 2005. It’s last update by securities attorney Mark Astarita, for SECLaw.com was in September 2006 Table of Contents Introduction Who Is […]
Compliance
Who Needs to Register
By Mark J. Astarita, Esq. I am often asked by readers and visitors to my web site whether particular people have to register with the NASD. The question is not so easy to answer, and, like most things regulatory, often changes. So, while I attempt to discuss the categories of […]
SEC Inspection Report on the Soft Dollar Practices
Soft Dollar Arrangements are agreements between broker-dealers and their clients where the broker-dealer provides, in addition to other services, research to the client, in addition to execution services. The research, which includes reports, access to analysts, or third party reports is provided to the client by the broker-dealer at the […]
Market Timing Is Legal
Lying to Investors Is Not. By Mark J. Astarita, Esq. While you would never know it from the press reports, and some pretty irresponsible statements from some regulators, market timing is not illegal. It is a perfectly legal trading strategy, which has been in existence for years, with the knowledge […]
Perrino Report
NASD FILES “PERINO REPORT” AMENDMENTS: Responding to the Perino Report, NASD seeks revisions on arbitrator disclosure and removal standards, plus it is narrowing its “public” and “non-public” arbitrator classifications. The amendments NASD proposes to Rules 10308 and 10312 parallel those we described in last week’s report on NYSE’s rule changes […]
Forward looking statements create potential liability
If a company chooses to make projections and issue estimates despite the uncertainty of that information, it cannot duck liability for securities fraud by reliance upon the “soft” nature of the information it disclosed. Helwig v. Vencor, Inc., No. 99-5153, en banc (6th Cir., 5/31/01). Class Actions, Effect of * […]
NASD Listens and Speaks – Summary of NYCLA Meeting 2303
ASD Listens, and Speaks Summary of NASD Dispute Resolution Program at New York County Lawyers Association [Ed. This article is from 2003 and is presented for historical purposes] NASD LISTENS…AND SPEAKS: The Fourth Annual two-hour program with a representative of the NASD Dispute Resolution Section took place on February 3, […]
SEC Approves NASD, NYSE Analyst Rules – Who Benefits?
New regulations enacted to address analyst conflicts, and insure disclosure. Given the fact that such regulations already exist, who is benefiting from these new regulations? By Mark J. Astarita, Esq. On May 8, 2002, the SEC approved proposed rule changes by the NASD and the NYSE to address conflicts of […]
SEC Proposes Changes to Fund Advertising Rules
Changes increase the quantity and prominence of disclosures and reemphasis that advertisements are subject to the antifraud provisions of the federal securities laws. Comments due July 31, 2002 By John M. Baker, Esq. On May 17, 2002, the Securities and Exchange Commission proposed extensive changes to the rules governing […]
NASAA Opposes Account Transfer Interference
NASAA Opposes Account Transfer Interference Joins NASDR in supporting customer right to transfer account, regardless of broker/firm disputes By John M. Baker, Esq. [Ed. This post is from 2001 and is presented for historical purposes.] When registered representatives change their brokerage firms and try to take their customers with them, […]
