Regardless how often FINRA updates its frequently asked questions (FAQs) page, the section remains a valuable everyday resource.  C-I visited the Web page and noted the following, which we hope you'll find useful: Trade Reporting FAQs. FINRA recently updated trade reporting for: "Obtaining Security Symbols for Trade Reporting Purposes" (Section 105). Q105.5: Trade Reporting Notice 9/23/2011 reminds firms of their trade reporting obligations relating to customer sales of low-value OTC Equity Securities.  Does this Notice apply when a firm removes from a customer's account securities once they have been revoked by the SEC or canceled pursuant to a bankruptcy proceeding or final liquidation plan, and are firms required to obtain OTC symbols in such instances?

A105.5: No, this Notice does not apply when a firm removes from a customer's account securities once they have been revoked by the SEC or canceled pursuant to a bankruptcy proceeding or final liquidation plan. As such, firms should not request (and FINRA will not issue) OTC symbols in such instances.

Portfolio Margin FAQs. There are no apparent recent changes.  FINRA has received questions regarding FINRA's portfolio margin pilot program set forth in NASD Rule 2520(g) and incorporated NYSE Rule 431(g).  The portfolio margin program permits member firms to margin certain products according to a prescribed portfolio margin methodology, on a pilot basis, as explained in NYSE IM 06-86 and NASD NtM 07-11.  To facilitate compliance with the program, FINRA addresses questions that have been raised with respect to the application of NASD Rule 2520(g) and NYSE 431(g) to particular circumstances. This Web page builds on Q&A published by NYSE-Reg. in March 2007.  New and updated items are marked as such.

FINRA Contacts. Direct questions to:  Rudolph Verra, MD, Credit Regulation - (646) 315-8811;   Glen Garofalo, Director., Credit Regulation - (646) 315-8464; or Steve Yannolo, Principal Credit Specialist, Credit Regulation - (646) 315-8621.

SEC Reg. M-Related Notice Requirements Under FINRA Rules FAQs. No recent changes are apparent.  The following FAQ is provided to facilitate firms' compliance with FINRA Rules 5190, Notification Requirements for Offering Participants, 6275, Withdrawal of Quotations, and 6435, Withdrawal of Quotations in an OTC Equity Security in Compliance with SEC Regulation M. A comprehensive overview of these rules and related guidance is set forth in Regulatory Notice 08-74.

Firms are reminded that, in addition to the Reg. M-related notice requirements under FINRA rules, they may have other obligations - e.g., under FINRA transaction reporting rules or Reg. M-related rules of another SRO (NYSE or Nasdaq).

For additional information re: FINRA's Reg. M-related rules or assistance in completing and submitting the forms required thereunder, firms should contact FINRA's Market Regulation via email or at (240) 386-5560.

Non-Traditional ETFs FAQs. In June 2009, FINRA issued Regulatory Notice 09-31 to remind firms of their sales practice obligations relating to leveraged and inverse exchange-traded funds (ETFs).  At the same time, the Investment Industry Regulatory Organization of Canada (IIROC) issued guidance to the Canadian industry that is substantially similar to FINRA's Notice.

In July, FINRA released a compliance podcast concerning that Notice and some of the issues it raised.  On 8/18/09, the SEC and FINRA issued a joint Investor Alert addressing concerns that investors - particularly buy-and-hold investors - may not understand the performance objectives and risks of these non-traditional ETFs. State regulators also have expressed concerns about the manner in which these funds are sold to investors.

Given the attention that this issue has generated, FINRA is publishing the following frequently asked questions concerning leveraged and inverse ETFs.