What is SEC Rule 17a-3?
Rule 17a-3 requires brokers and dealers to create and preserve comprehensive records of each securities trade, including copies of blotters, account statements, trade confirmations, cancelled checks and more.
What is SEC Rule 17a-4 F?
About SEC Rule 17a-4(f) The SEC defines rigorous and explicit requirements for regulated entities that elect to retain books and records on electronic storage media. It established 17 CFR 240.17a-3 and 17 CFR 240.17a-4 to regulate recordkeeping, including retention periods, for securities broker-dealers.
What is a 17a?
SEC Rule 17a-4 is a regulation issued by the U.S. Securities and Exchange Commission pursuant to its regulatory authority under the US Securities Exchange Act of 1934 (Known simply as the “Exchange Act”) which outlines requirements for data retention, indexing, and accessibility for companies which deal in the trade or …
What is 15c3 regulation?
Securities and Exchange Commission (SEC) Rule 15c3-3 requires brokerage firms to maintain secure accounts. Also known as the Customer Protection Rule, SEC Rule 15c3-3 is part of the Code of Federal Regulations. It ensures that brokerage clients can withdraw assets at any time, and a brokerage has to work to uphold it.
What is a finra firm?
Key Takeaways. The Financial Industry Regulatory Authority (FINRA) is an independent, nongovernmental organization that writes and enforces the rules governing registered brokers and broker-dealer firms in the United States.
What is 17a 11?
Adopted in 1971, SEC Rule 17a-11 requires broker/dealers to report net capital and other operational problems and to file reports regarding those problems within certain time periods.
What is the SEC books and records rule?
It requires issuers—companies that are required to file reports with the SEC or that have securities registered with the SEC—to “make and keep books, records, and accounts, which, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the issuer.”
What is the SEC customer protection rule?
The Customer Protection Rule requires registered broker-dealers to safeguard the investment assets of their customers. The rule is designed to protect those customers from monetary losses and delays that can occur when that firm fails.
The United States Securities and Exchange Commission is the agency in charge of this regulation and the Financial Industry Regulatory Authority (FINRA) protects the regulation. SEC Rule 17a-3 requires records to be made by certain exchange members.
Does rule 17a-3 affect broker-dealer Know Your Customer (SRO) rules?
Although paragraph (a) (17) (i) of Rule 17a-3 requires broker-dealers to periodically update customer records, the rule does not affect a broker-dealer’s obligations under any SRO “know your customer” rules.
What is Paragraph (II) of rule 17a-3 (a) (19) 53?
Paragraph (ii) of new Rule 17a-3 (a) (19) 53 requires that firms maintain a record of all agreements pertaining to the relationship between each associated person and the broker-dealer, including a summary of each associated person’s compensation arrangement or plan.
What is rule 17a-3 of the business records act?
Rule 17a-3 (and Rule 17a-4) states that firms must: Ensure the retention and preservation of all transactions and official business records – including all communications. Store these electronic records in a secure, non-erasable location. Ensure that original and duplicate copies of electronic records are stored in separate locations.