FINRA Amendments to Trade Reporting Requirements

On August 29, the SEC approved amendments to FINRA Rules 6282, 6380A, 6380B, and 6622 that: (i) clarify the existing exception for transactions that are part of a distribution of securities by incorporating the definition of “distribution” as set forth under SEC Regulation M; (ii) impose notice requirements on members relying on the exception for transactions that are part of an unregistered secondary distribution; and (iii) exclude from the trade reporting requirements any transfer of securities for the sole purpose of creating or redeeming an instrument that evidences ownership of or otherwise tracks the underlying securities transferred. A revised Regulation M Trading Notification Form will be available as of November 1. FINRA Release. FINRA Amendments.