The Securities and Exchange Commission (SEC) has issued new rules for broker-dealers requiring them to search for securities holders if they lose contact with them.\u00a0 The rules require for the first time that broker-dealers attempt to find securities holders that they have lost touch with.\u00a0 Broker-dealers and other participants in the securities market must also notify people who have not processed checks that were issued to them in association with their securities.<\/p>\n<\/p>\n
Record-keeping transfer agents, who function as intermediaries between broker-dealers and the clearing house, were already subject to a similar rule.\u00a0 The SEC was required to apply the same requirement to broker-dealers under the Dodd-Frank Wall Street Reform and Consumer Protection Act.<\/p>\n<\/p>\n
Elisse Walter, the Chairman of the SEC, said that the new rules have a common-sense objective and would help investors receive funds that they may not realize they are owed.<\/p>\n<\/p>\n
Specifically, under the new rules, broker-dealers must conduct the same searches (more…)<\/span><\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":" The Securities and Exchange Commission (SEC) has issued new rules for broker-dealers requiring them to search for securities holders if they lose contact with them.\u00a0 The rules require for the first time that broker-dealers attempt to find securities holders that…<\/span><\/p>\n