Bond Regulation

	Bond Notice In 2004, we issued a Notice to Members reminding securities firms of their sales practice obligations when selling bonds and bond funds to investors.

FINRA is among a number of organizations that oversee bond issuers' and dealers' activities. Here is a breakdown of regulators and their responsibilities:

• FINRA licenses brokers and brokerage firms that sell stocks, bonds and other securities; writes rules to govern their conduct; conducts regulatory reviews of brokerage firm business activities; and disciplines violators. If you believe you have been the subject of unfair or improper business conduct by a brokerage firm or broker, you may file a complaint online at the FINRA Investor Complaint Center.

• The SEC registers and regulates stocks, bonds, and other securities and companies that issue securities. The SEC also regulates mutual fund products and companies, and financial advisers. If you believe that you were defrauded or encountered problems with the issuer of a bond, a mutual fund company, or a financial adviser, you may file a complaint at the SEC Complaint Center.



• The Municipal Securities Rulemaking Board (MSRB) develops rules regulating securities firms and banks involved in underwriting, trading and selling municipal bonds. Responsibility for examination and enforcement of MSRB rules is delegated to FINRA for all securities firms, and to the Federal Deposit Insurance Corporation, the Federal Reserve Board and the Comptroller of the Currency for banks.



• State securities agencies enact and enforce state rules and regulations, and register and regulate securities sellers and securities sold in their states.