Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Revisions to the Series 82 Examination Program, 1387-1388 [E8-92]
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Federal Register / Vol. 73, No. 5 / Tuesday, January 8, 2008 / Notices
Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors,
or otherwise in furtherance of the
purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
pwalker on PROD1PC71 with NOTICES
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–FINRA–2007–030 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
Station Place, 100 F Street, NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–FINRA–2007–030. This file
number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for inspection and copying in
the Commission’s Public Reference
Room, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
Copies of such filing also will be
available for inspection and copying at
the principal office of FINRA. All
comments received will be posted
without change; the Commission does
not edit personal identifying
information from submissions. You
should submit only information that
you wish to make publicly available. All
submissions should refer to File
Number SR–FINRA–2007–030 and
should be submitted on or before
January 29, 2008.
VerDate Aug<31>2005
17:32 Jan 07, 2008
Jkt 214001
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E8–90 Filed 1–7–08; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–57079; File No. SR–FINRA–
2007–033]
Self-Regulatory Organizations;
Financial Industry Regulatory
Authority, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Relating to Revisions to
the Series 82 Examination Program
December 31, 2007.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on December
12, 2007, Financial Industry Regulatory
Authority, Inc. (‘‘FINRA’’) (f/k/a
National Association of Securities
Dealers, Inc. (‘‘NASD’’)) filed with the
Securities and Exchange Commission
(‘‘SEC’’ or ‘‘Commission’’) the proposed
rule change as described in Items I, II
and III below, which Items have been
prepared substantially by FINRA.
FINRA has designated this proposal as
constituting a stated policy, practice, or
interpretation with respect to the
meaning, administration, or
enforcement of an existing rule of the
self-regulatory organization pursuant to
Section 19(b)(3)(A)(i) of the Act 3 and
Rule 19b–4(f)(1) thereunder,4 which
renders the proposal effective upon
filing with the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
FINRA is filing revisions to the study
outline and selection specifications for
the Limited Representative—Private
Securities Offerings (Series 82)
examination program.5 The proposed
12 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(i).
4 17 CFR 240.19b–4(f)(1).
5 FINRA also is proposing corresponding
revisions to the Series 82 question bank, but based
upon instruction from the Commission staff, FINRA
is submitting SR–FINRA–2007–033 for immediate
effectiveness pursuant to Section 19(b)(3)(A) of the
Act and Rule 19b–4(f)(1) thereunder, and is not
filing the question bank for Commission review. See
Letter to Alden S. Adkins, Senior Vice President
1 15
PO 00000
Frm 00074
Fmt 4703
Sfmt 4703
1387
revisions update the material to reflect
changes to the laws, rules and
regulations covered by the examination
and to better reflect the duties and
responsibilities of a Limited
Representative—Private Securities
Offerings. FINRA is not proposing any
textual changes to the By-Laws,
Schedules to the By-Laws, or Rules of
FINRA.
The text of the proposed rule change
is available at https://www.finra.org, the
principal offices of FINRA, and the
Commission’s Public Reference Room.
The Series 82 selection specifications
have been submitted to the Commission
under separate cover with a request for
confidential treatment pursuant to Rule
24b-2 under the Act.6
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
FINRA included statements concerning
the purpose of and basis for the
proposed rule change and discussed any
comments it received on the proposed
rule change. The text of these statements
may be examined at the places specified
in Item IV below. FINRA has prepared
summaries, set forth in Sections A, B,
and C below, of the most significant
aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
Section 15A(g)(3) of the Act 7 requires
FINRA to prescribe standards of
training, experience, and competence
for persons associated with FINRA
members. In accordance with that
provision, FINRA has developed
examinations, and administers
examinations developed by other selfregulatory organizations, that are
designed to establish that persons
associated with FINRA members have
attained specified levels of competence
and knowledge. FINRA periodically
reviews the content of the examinations
to determine whether revisions are
necessary or appropriate in view of
changes pertaining to the subject matter
covered by the examinations.
Pursuant to NASD Rule 1032(h), each
associated person of a member who is
and General Counsel, NASD Regulation, from
Belinda Blaine, Associate Director, Division of
Market Regulation, SEC, dated July 24, 2000,
attached as Exhibit 3c to the proposed rule change.
The question bank is available for Commission
review.
6 17 CFR 240.24b–2.
7 15 U.S.C. 78o–3(g)(3).
E:\FR\FM\08JAN1.SGM
08JAN1
pwalker on PROD1PC71 with NOTICES
1388
Federal Register / Vol. 73, No. 5 / Tuesday, January 8, 2008 / Notices
included within the definition of
representative in NASD Rule 1031(b)
may register with FINRA as a Limited
Representative—Private Securities
Offerings if: (1) The individual’s
activities in the investment banking and
securities business of the member are
limited solely to effecting sales as part
of a primary offering of securities not
involving a public offering, pursuant to
Sections 3(b), 4(2) or 4(6) of the
Securities Act of 1933 and the rules and
regulations thereunder; (2) the
individual does not effect sales of
municipal or government securities, or
equity interests in or the debt of direct
participation program securities as
defined in NASD Rule 1022(e); and (3)
the individual passes the Series 82
qualification examination.
A committee of industry
representatives, together with FINRA
staff, recently undertook a review of the
Series 82 examination program. As a
result of this review, FINRA is
proposing to make revisions to the study
outline to reflect changes to the laws,
rules and regulations covered by the
examination and to better reflect the
duties and responsibilities of a Limited
Representative—Private Securities
Offerings.
Among other revisions, FINRA is
proposing to add sections on exchangetraded funds, Private Investment in
Public Equity (PIPE) offerings, NASD
IM–2110–7 (Interfering With the
Transfer of Customer Accounts in the
Context of Employment Disputes) and
NASD Rule 2370 (Borrowing From or
Lending to Customers).
FINRA is proposing to change the title
of Section 3 of the study outline from
‘‘Analyzing Corporate Securities’’ to
‘‘Analyzing Corporate Securities and
Investment Planning.’’ Further, as a
result of the revisions discussed above,
the number of questions on each section
of the study outline was modified as
follows: Characteristics of Corporate
Securities, no changes to the number of
questions (remains at 13 questions);
Regulation of The Market for Registered
and Unregistered Securities, no changes
to the number of questions (remains at
45 questions); Analyzing Corporate
Securities and Investment Planning,
increased from 15 to 16 questions; and
Handling Customer Accounts and
Industry Regulations, decreased from 27
to 26 questions.
FINRA is proposing similar changes
to the Series 82 selection specifications
and question bank. The number of
questions on the Series 82 examination
will remain at 100, and candidates will
continue to have 21⁄2 hours to complete
the exam. Also, each question will
continue to count one point, and each
VerDate Aug<31>2005
17:32 Jan 07, 2008
Jkt 214001
candidate must correctly answer 70
percent of the questions to receive a
passing grade.
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
2. Statutory Basis
FINRA believes that the proposed
revisions to the Series 72 examination
program are consistent with the
provisions of Sections 15A(b)(6) 8 and
15A(g)(3) of the Act,9 which authorize
FINRA to prescribe standards of
training, experience, and competence
for persons associated with FINRA
members.
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–FINRA–2007–033 on the
subject line.
Paper Comments
B. Self-Regulatory Organization’s
Statement on Burden on Competition
FINRA does not believe that the
proposed rule change will result in any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
Station Place, 100 F Street, NE.,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–FINRA–2007–033. This file
number should be included on the
C. Self-Regulatory Organization’s
subject line if e-mail is used. To help the
Statement on Comments on the
Commission process and review your
Proposed Rule Change Received from
comments more efficiently, please use
Members, Participants or Others
only one method. The Commission will
Written comments were neither
post all comments on the Commission’s
solicited nor received.
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
III. Date of Effectiveness of the
submission, all subsequent
Proposed Rule Change and Timing for
amendments, all written statements
Commission Action
The proposed rule change has become with respect to the proposed rule
change that are filed with the
effective pursuant to Section
19(b)(3)(A)(i) of the Act 10 and Rule 19b– Commission, and all written
communications relating to the
4(f)(1) thereunder,11 in that the
proposed rule change between the
proposed rule change constitutes a
stated policy, practice, or interpretation Commission and any person, other than
those that may be withheld from the
with respect to the meaning,
public in accordance with the
administration, or enforcement of an
provisions of 5 U.S.C. 552, will be
existing rule of the self-regulatory
available for inspection and copying in
organization. FINRA proposes to
the Commission’s Public Reference
implement the revised Series 82
Room, 100 F Street, NE., Washington,
examination program on February 12,
DC 20549, on official business days
2008. FINRA will announce the
between the hours of 10 a.m. and 3 p.m.
implementation date in a Regulatory
Notice to be published on December 12, Copies of such filing also will be
available for inspection and copying at
2007, the date FINRA filed SR–FINRA–
the principal office of FINRA. All
2007–33 with the Commission.
comments received will be posted
At any time within 60 days of the
without change; the Commission does
filing of the proposed rule change, the
not edit personal identifying
Commission may summarily abrogate
information from submissions. You
such rule change if it appears to the
should submit only information that
Commission that such action is
you wish to make publicly available. All
necessary or appropriate in the public
submissions should refer to File
interest, for the protection of investors,
Number SR–FINRA–2007–033 and
or otherwise in furtherance of the
should be submitted on or before
purposes of the Act.
January 29, 2008.
IV. Solicitation of Comments
For the Commission, by the Division of
Interested persons are invited to
Trading and Markets, pursuant to delegated
submit written data, views, and
authority.12
arguments concerning the foregoing,
Florence E. Harmon,
including whether the proposed rule
Deputy Secretary.
8 15
U.S.C. 78o–3(b)(6).
U.S.C. 78o–3(g)(3).
10 15 U.S.C. 78s(b)(3)(A)(i).
11 17 CFR 240.19b–4(f)(1).
9 15
PO 00000
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[FR Doc. E8–92 Filed 1–7–08; 8:45 am]
BILLING CODE 8011–01–P
12 17
E:\FR\FM\08JAN1.SGM
CFR 200.30–3(a)(12).
08JAN1
]]>Agencies
[Federal Register Volume 73, Number 5 (Tuesday, January 8, 2008)]
[Notices]
[Pages 1387-1388]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-92]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-57079; File No. SR-FINRA-2007-033]
Self-Regulatory Organizations; Financial Industry Regulatory
Authority, Inc.; Notice of Filing and Immediate Effectiveness of
Proposed Rule Change Relating to Revisions to the Series 82 Examination
Program
December 31, 2007.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on December 12, 2007, Financial Industry Regulatory Authority, Inc.
(``FINRA'') (f/k/a National Association of Securities Dealers, Inc.
(``NASD'')) filed with the Securities and Exchange Commission (``SEC''
or ``Commission'') the proposed rule change as described in Items I, II
and III below, which Items have been prepared substantially by FINRA.
FINRA has designated this proposal as constituting a stated policy,
practice, or interpretation with respect to the meaning,
administration, or enforcement of an existing rule of the self-
regulatory organization pursuant to Section 19(b)(3)(A)(i) of the Act
\3\ and Rule 19b-4(f)(1) thereunder,\4\ which renders the proposal
effective upon filing with the Commission. The Commission is publishing
this notice to solicit comments on the proposed rule change from
interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(i).
\4\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
FINRA is filing revisions to the study outline and selection
specifications for the Limited Representative--Private Securities
Offerings (Series 82) examination program.\5\ The proposed revisions
update the material to reflect changes to the laws, rules and
regulations covered by the examination and to better reflect the duties
and responsibilities of a Limited Representative--Private Securities
Offerings. FINRA is not proposing any textual changes to the By-Laws,
Schedules to the By-Laws, or Rules of FINRA.
---------------------------------------------------------------------------
\5\ FINRA also is proposing corresponding revisions to the
Series 82 question bank, but based upon instruction from the
Commission staff, FINRA is submitting SR-FINRA-2007-033 for
immediate effectiveness pursuant to Section 19(b)(3)(A) of the Act
and Rule 19b-4(f)(1) thereunder, and is not filing the question bank
for Commission review. See Letter to Alden S. Adkins, Senior Vice
President and General Counsel, NASD Regulation, from Belinda Blaine,
Associate Director, Division of Market Regulation, SEC, dated July
24, 2000, attached as Exhibit 3c to the proposed rule change. The
question bank is available for Commission review.
---------------------------------------------------------------------------
The text of the proposed rule change is available at https://
www.finra.org, the principal offices of FINRA, and the Commission's
Public Reference Room. The Series 82 selection specifications have been
submitted to the Commission under separate cover with a request for
confidential treatment pursuant to Rule 24b-2 under the Act.\6\
---------------------------------------------------------------------------
\6\ 17 CFR 240.24b-2.
---------------------------------------------------------------------------
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, FINRA included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. FINRA has prepared summaries, set forth in Sections A,
B, and C below, of the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
Section 15A(g)(3) of the Act \7\ requires FINRA to prescribe
standards of training, experience, and competence for persons
associated with FINRA members. In accordance with that provision, FINRA
has developed examinations, and administers examinations developed by
other self-regulatory organizations, that are designed to establish
that persons associated with FINRA members have attained specified
levels of competence and knowledge. FINRA periodically reviews the
content of the examinations to determine whether revisions are
necessary or appropriate in view of changes pertaining to the subject
matter covered by the examinations.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78o-3(g)(3).
---------------------------------------------------------------------------
Pursuant to NASD Rule 1032(h), each associated person of a member
who is
[[Page 1388]]
included within the definition of representative in NASD Rule 1031(b)
may register with FINRA as a Limited Representative--Private Securities
Offerings if: (1) The individual's activities in the investment banking
and securities business of the member are limited solely to effecting
sales as part of a primary offering of securities not involving a
public offering, pursuant to Sections 3(b), 4(2) or 4(6) of the
Securities Act of 1933 and the rules and regulations thereunder; (2)
the individual does not effect sales of municipal or government
securities, or equity interests in or the debt of direct participation
program securities as defined in NASD Rule 1022(e); and (3) the
individual passes the Series 82 qualification examination.
A committee of industry representatives, together with FINRA staff,
recently undertook a review of the Series 82 examination program. As a
result of this review, FINRA is proposing to make revisions to the
study outline to reflect changes to the laws, rules and regulations
covered by the examination and to better reflect the duties and
responsibilities of a Limited Representative--Private Securities
Offerings.
Among other revisions, FINRA is proposing to add sections on
exchange-traded funds, Private Investment in Public Equity (PIPE)
offerings, NASD IM-2110-7 (Interfering With the Transfer of Customer
Accounts in the Context of Employment Disputes) and NASD Rule 2370
(Borrowing From or Lending to Customers).
FINRA is proposing to change the title of Section 3 of the study
outline from ``Analyzing Corporate Securities'' to ``Analyzing
Corporate Securities and Investment Planning.'' Further, as a result of
the revisions discussed above, the number of questions on each section
of the study outline was modified as follows: Characteristics of
Corporate Securities, no changes to the number of questions (remains at
13 questions); Regulation of The Market for Registered and Unregistered
Securities, no changes to the number of questions (remains at 45
questions); Analyzing Corporate Securities and Investment Planning,
increased from 15 to 16 questions; and Handling Customer Accounts and
Industry Regulations, decreased from 27 to 26 questions.
FINRA is proposing similar changes to the Series 82 selection
specifications and question bank. The number of questions on the Series
82 examination will remain at 100, and candidates will continue to have
2\1/2\ hours to complete the exam. Also, each question will continue to
count one point, and each candidate must correctly answer 70 percent of
the questions to receive a passing grade.
2. Statutory Basis
FINRA believes that the proposed revisions to the Series 72
examination program are consistent with the provisions of Sections
15A(b)(6) \8\ and 15A(g)(3) of the Act,\9\ which authorize FINRA to
prescribe standards of training, experience, and competence for persons
associated with FINRA members.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78o-3(b)(6).
\9\ 15 U.S.C. 78o-3(g)(3).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
FINRA does not believe that the proposed rule change will result in
any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received from Members, Participants or Others
Written comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The proposed rule change has become effective pursuant to Section
19(b)(3)(A)(i) of the Act \10\ and Rule 19b-4(f)(1) thereunder,\11\ in
that the proposed rule change constitutes a stated policy, practice, or
interpretation with respect to the meaning, administration, or
enforcement of an existing rule of the self-regulatory organization.
FINRA proposes to implement the revised Series 82 examination program
on February 12, 2008. FINRA will announce the implementation date in a
Regulatory Notice to be published on December 12, 2007, the date FINRA
filed SR-FINRA-2007-33 with the Commission.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78s(b)(3)(A)(i).
\11\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
At any time within 60 days of the filing of the proposed rule
change, the Commission may summarily abrogate such rule change if it
appears to the Commission that such action is necessary or appropriate
in the public interest, for the protection of investors, or otherwise
in furtherance of the purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://
www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-FINRA-2007-033 on the subject line.
Paper Comments
Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, Station Place, 100 F
Street, NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-FINRA-2007-033. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for inspection
and copying in the Commission's Public Reference Room, 100 F Street,
NE., Washington, DC 20549, on official business days between the hours
of 10 a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at the principal office of FINRA. All comments
received will be posted without change; the Commission does not edit
personal identifying information from submissions. You should submit
only information that you wish to make publicly available. All
submissions should refer to File Number SR-FINRA-2007-033 and should be
submitted on or before January 29, 2008.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
Florence E. Harmon,
Deputy Secretary.
---------------------------------------------------------------------------
\12\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
[FR Doc. E8-92 Filed 1-7-08; 8:45 am]
BILLING CODE 8011-01-P
