The Law of the Financial Markets from Top Securities Lawyers
Wednesday, October 9, 2024
A security is a form of ownership in an entity. While some believe that in order to be a security the instrument must be traded on a market, the legal definition of a security is much broader. The definition is important, because if the instrument is a security, then the federal and state securities laws apply to the purchase and sale of that instrument. We define and explain the different types of securities
Proposed NASD Rules Will Allow Allegations Against Brokers to be Made Public By Mark J. Astarita, Esq. Note: This column was originally published in 1997 in Research Magazine. Unfortunately, nothing changed, and in fact, the situation has gotten worse. If you have questions about your U-4 or U-5 filings, please […]
By Mark J. Astarita, Esq. FINRA Rule 8210 FINRA Rule 8210 (Provision of Information and Testimony and Inspection and Copying of Books) is the starting point of virtually every FINRA enforcement proceeding, as it gives FINRA the authority to request documents and testimony from firms, registered persons and, in FINRA’s […]
How you respond to an SEC subpoena makes a difference. Tips from an experienced securities attorney.
A Ponzi scheme is a fraudulent investment operation where the operator, an individual or organization, pays returns to its investors from new capital paid to the operators by new investors, rather than from profit earned by the operator. Operators of Ponzi schemes usually entice new investors by offering higher returns […]
As it relates to the United States securities law, an exempt transaction is simply a transaction for which registration is not required. To put this in context, virtually any time someone invests money, a securities transaction is involved, and all securities transactions require registration with the government, unless exempt. There […]
The term Blue Sky Law refers to the laws and regulations of the individual states regarding the registration of securities, brokerage firms and investment advisers. While the most well known securities laws are the federal laws, each state has its own rules and regulations. The blue sky laws of each […]
SEC Regulation Best Interest In June of 2019 the SEC approved Regulation Best Interest, which requires broker-dealers to act in the best interest of their retail customers when making recommendations as to securities or investment strategies. In adopting the regulation, the SEC stated that the regulation “enhances the broker-dealer standard […]
SEC investigations can be a harrowing experience for the witness as well as the targets. One of the first questions my clients ask when faced with a subpoena from the SEC is how long is this going to take? While I hate to give the typical lawyer answer, that answer […]
Discovery has always been a problem in litigation matters. In broad strokes, plaintiffs want to see every document that might possibly have any bearing on any issue in the case, and defendants don’t want to produce a single document. The courts and arbitration panels spend a significant amount of time […]
