Supervisory Responsibilities and Procedures

Under MSRB Rule G-27, dealers are obligated to ensure that their firms and all employees comply with MSRB and SEC rules and all applicable laws. To achieve this result, firms must establish and maintain written procedures as a guide for employee behavior and establish a supervisory system to oversee their compliance.

A supervisory system is a structure that defines who will carry out a firm’s oversight responsibilities and how the oversight w