Exam Alert: FINRA amends trading halt rules

Effective May 9, 2013, FINRA revised its rules for imposing trading halts. The changes rules clarify the following… Continue reading

Effective May 9, 2013, FINRA revised its rules for imposing trading halts. The changes rules clarify the following:

-FINRA may start a trading halt for an OTC equity security based on a foreign regulator halting trading in that security, assuming the halt is based on news pending or public interest concerns.

-FINRA may keep such a trading halt going for more than 10 days if a foreign regulator has kept a trading halt going past 10 days.

-FINRA may also keep a trading halt caused by an extraordinary event going for more than 10 days if the halt if there is an ongoing basis for the halt.

 

Source: FINRA Regulatory Notice 13-13: SEC Approves Amendments to Rule 6440 Relating to Trading and Quotation Halts in OTC Equity Securities

This alert applies to the Series 7, Series 24, Series 55, and Series 62.

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