Investor Bulletins
New Rules Give Customers Option of All Public Arbitration Panels
01/31/2011
The Securities and Exchange Commission approved amendments to FINRA’s rules on January 31, 2011, that will provide customers in all FINRA arbitrations an option of selecting a panel comprised entirely of public arbitrators to serve in customer dispute cases.Read moreLife Settlements
01/20/2011
The Office of Investor Education and Advocacy is issuing this Investor Bulletin to highlight information about life settlements and some of the risks these types of transactions may pose for investors. Individual investors considering a life settlement transaction may wish to keep the following points in mind and seek guidance from an unbiased financial professional who will not receive a commission or any other financial benefit from the transaction.Read moreTrading in Cash Accounts
01/12/2011
The SEC’s Office of Investor Education and Advocacy is issuing this Investor Bulletin to help educate investors regarding the rules that apply to trading securities in cash accounts and to highlight the 90-day account freeze which may arise with certain trading activities in these type of accounts.Read moreNew Stock-by-Stock Circuit Breakers
09/24/2010
The Securities and Exchange Commission approved rules on Sept. 10, 2010, to expand the existing circuit breaker program that currently is triggered by large, sudden price moves in an individual stock. The new rules follow changes adopted on June 10, 2010, that impose a uniform market-wide pause in trading in individual stocks whose price moves 10% or more in a five-minute period. The trading pause, which was proposed by U.S. exchanges and the Financial Industry Regulatory Authority (FINRA), initially was limited to stocks in the Standard & Poor’s 500 Index, but has been extended to stocks in the Russell 1000 Index and to certain exchange-traded products.Read moreTrading in Stock After an SEC Trading Suspension — Be Aware of the Risks
08/30/2010
Investors should be very cautious when considering trading in stock after the SEC has suspended trading in the shares. An SEC trading suspension is a “red flag,” often indicating the SEC has concerns about the information that the company has been providing to the public. By law, an SEC suspension usually ends after ten business days, even if the company has not provided current, accurate information about itself. However, when a company does not provide current, reliable information about itself and its finances, trading its shares can be very risky.Read more