Security Traders Association Responds To FINRA's Rule 5210

NEW YORK, Oct. 26, 2011 — Last week, the Security Traders Association (STA) filed its comment letter ( with the Financial Industry Regulatory Authority, Inc. (FINRA) regarding the Proposed Amendments to Rule 5210 Regarding Publication of Indications of Interest, commonly referred to as “IOIs.”
In May 2009, FINRA released Regulatory Notice 09-28 reminding firms that “their IOI’s must be truthful, accurate and not misleading.” STA believes that this guidance has been effective and the industry has responded accordingly.
STA’s letter expressed the opinions of a broad range of market participants, including many of the buyside and sellside firms who are the initiators and receivers of IOIs. “Our Trading Issues, Institutional and Compliance committees provided support for our position,” said in-coming Chairman Jennifer Setzenfand. “Our members strongly believe that additional regulation is unnecessary regarding IOIs.”
About the Security Traders Association (STA)
Founded in 1934, STA is a leading trade organization for individuals in the securities industry. The STA is committed to promoting the interests of its members in the legislative, regulatory and technological processes, while fostering goodwill and high standards of integrity in accord with its founding principle, Dictum Meum Pactum – “My word is my bond.”