Exam Alert: FINRA Changes TRACE Rules Regarding Trades in Asset-Backed Securities and Reduces Reporting Times

Effective April 27, 2015, FINRA will revise the definition of “asset-backed security” under its rules. Asset-backed securities will be required to be reported no later than 45 minutes from the time of execution, with minor exceptions. Continue reading

Effective April 27, 2015, FINRA will revise the definition of “asset-backed security” under its rules. The new definition will exclude mortgage-backed securities, certain SBA-backed securities, and collateralized debt, loan, and bond obligations. Dissemination of trades in asset-backed securities will be limited to this more narrow group of securities, but will include additional types of transactions. These transactions include Rule 144A transactions, list or fixed offering price transactions, and takedown transactions.

Asset-backed securities will be required to be reported no later than 45 minutes from the time of execution, with minor exceptions for transactions executed shortly before the TRACE system closes and when the TRACE system is closed.

Source: FINRA Regulatory Notice 14-34: SEC Approves Amendments to Disseminate Additional Asset-Backed Securities Transactions and to Reduce the Reporting Time for Such Transactions

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

Exam Alert: FINRA modifies TRACE trade dissemination and reporting rules

Effective July 22, 2013, FINRA will alter its rules for reporting and disseminating certain trades in mortgage-backed securities and asset-backed securities. Continue reading

Effective July 22, 2013, FINRA will alter its rules for reporting and disseminating certain trades in mortgage-backed securities and asset-backed securities. The transactions must be reported within 120 minutes of execution during a pilot period that lasts until January 20, 2014 – after the pilot period ends, they must be reported within 60 minutes. A new dissemination method for pool transactions will include various pieces of information about the pool, such as the weighted average coupon.

Source: FINRA Regulatory Notice 12-56: SEC Approves Amendments to TRACE Rules and Dissemination Protocols to Disseminate Specified Pool Transactions and SBA-Backed ABS Transactions and to Reduce the Time to Report Such Transactions

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

Exam Alert: FINRA amends TRACE reporting requirements, moves trade processing onto MPP

The SEC has approved amendments to FINRA’s reporting requirements for transactions in TRACE-eligible securities other than asset-backed securities. These amendments are associated with FINRA plans to move trade processing for TRACE-eligible securities that are not currently on the multi product platform (MPP) onto the MPP. Continue reading

The SEC has approved amendments to FINRA’s reporting requirements for transactions in TRACE-eligible securities other than asset-backed securities.  These amendments are associated with FINRA plans to move trade processing for TRACE-eligible securities that are not currently on the multi product platform (MPP) onto the MPP.  The affected securities include corporate bonds and agency debt securities.  The changes include:

-Firms can report the actual date of execution for transactions executed on non-business days.

-Firms must report the size of a transaction as the total par value or principal value traded.

-Firms must report the total dollar amount of the commission.

-Firms must report the date of settlement.

The amendments and the platform migration will take effect February 6, 2012.

 

Source: FINRA Regulatory Notice 11-53

 

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