Mutual Fund Sales & Trading

Task Force Reports

 

• Report of the Mutual Fund Task force on Mutual Fund Distribution
  • Sample Profile Plus
  • Investor Usability Testing Report
• Status Report: Implementation of Recommendations
• Soft Dollars and Portfolio Transaction Costs
• Report of the Joint NASD/Industry Task Force on Breakpoints
• Report of the Omnibus Task Force (market timing in mutual funds)

 

News

 

• 9/23/05 Speech by Robert Glauber, Chairman and CEO, NASD, at the SIA Soft Dollars and Institutional Brokerage Conference in New York, NY
• 4/13/05 NASD Foundation Funds CFA Project to Increase Investor Knowledge of Mutual Funds
• 4/04/05 NASD Endorses Concise, Web-Based Point of Sale Mutual Fund Disclosure
• 3/23/05 NASD Fines Citigroup Global Markets, American Express and Chase Investment Services More Than $21 Million for Improper Sales of Class B and C Shares of Mutual Funds
• 2/16/05 NASD Charges American Funds Distributors, Inc. with Arranging $100 Million in Directed Brokerage Commissions for Top Sellers of American Funds
• All Past News Releases

 

Rulemaking

 

• Disclosure of Fees and Expenses in Mutual Fund Performance Sales Material (SR-NASD-2004-043)
• NASD Comment Letter to SEC Regarding Disclosure for Transactions in Certain Mutual Funds and Other Securities

 

Education & Training

 

• Classroom Learning: Mutual Funds and Regulation
• Webcast: Mutual Funds: Share Classes & Breakpoint Discounts
• Breakpoints Training Outline 

 

FINRA Investor Resources

 

• Information About Mutual Funds: Classes, NAV Transfers, Breakpoints, Online Tools and More
• Investor Alerts on Mutual Funds
• Mutual Fund Breakpoint Search Tool
• FINRA Mutual Fund Expense Analyzer 

 

Notices to Members & Guidance

 

• Notice to Members 05-04
• Notice to Members 04-72
• ICI Letter to Members Regarding the Breakpoint Refund Process (4/4/04)
• Member Alert: Missed Breakpoint Discounts (03/30/04)
• Notice to Members 03-77
  Disclosure of Mutual Fund Expense Ratios in Performance Advertising: NASD Requests Comment on Proposed Amendments to Rules 2210 (Communications With the Public) and 2211 (Institutional Sales Material) (12/09/03)
• Notice to Members 03-50
  NASD Reminds Member Firms of their Obligations Regarding Mutual Fund Transactions and Directs Review of Policies and Procedures (09/05/03)
• Notice to Members 03-48
  SEC Approves Extension of Pilot Relating to Bond Mutual Fund Volatility Ratings (08/28/03)
• Notice to Members 03-47
  Refunds to Customers Who Did Not Receive Appropriate Breakpoint Discounts in Connection with the Purchase of Class A Shares of Front-End Load Mutual Funds and the Capital Treatment of Refund Liability (Notice posted on 08/25/03)
• Special Notice to Members 02-85
  Mutual Fund Purchases and Breakpoint Schedules
• Notices to Members Subject Index 

 

Tools & Resources

 

• Mutual Fund Breakpoint Search Tool
• FINRA Mutual Fund Expense Analyzer
• Task Force recommendations regarding common definitions for mutual funds to use in describing breakpoint discount rules
• Task Force recommendations regarding confirmation content, including breakpoint legends and disclosing sales charges
• Interest Refund Calculator helps member firms determine interest due on missed breakpoint discounts
• Breakpoint Checklist and Worksheet helps members and associated persons gather the information necessary to deliver breakpoint discounts on sales of Class A shares of front-end load mutual funds
• New Customer Notification Letters and Customer Breakpoint Claim Forms
• Sample Written Disclosure Statement that should be given to customers who purchase mutual funds
• Frequently Asked Questions