Municipal Securities Rulemaking Board (MSRB)
The MSRB was established to promote a fair and efficient municipal securities market and conduct rulemaking for the municipal securities industry. It is a self-regulatory organization that is subject to oversight by the SEC.
The MSRB is composed of 21 members knowledgeable about municipal securities markets, each member serving a term of three years. At the time of this writing, the MSRB has proposed increasing the terms from three years to four years.
Eleven members must be public representatives independent of the industry, and they must include at least one institutional or retail investor in municipal securities, one representative of municipal entities, and one knowledgeable member of the public. Of the ten regulated representatives, at least one non-bank broker-dealer, one bank dealer, and one municipal advisor must be in the mix. Additionally, not less than 30% of the regulated representatives in total must be municipal advisor representatives.
MSRB rules fall into five general categories:
- • Professional qualification rules provide operational standards t