The Securities and Exchange Commission's ("SEC") Division of Market Regulation recently posted its Compliance Guide to the Registration and Regulation of Brokers and Dealers ("Compliance Guide") on the SEC's Website. The Compliance Guide provides an overview of the Securities Exchange Act of 1934, and summarizes who is required to register as a broker-dealer, how and with whom broker-dealers should register, standards of conduct and financial responsibility rules for broker-dealers. The SEC staff cautioned that the Compliance Guide is "not comprehensive," and that broker-dealers must adhere to all regulatory requirements of the SEC and applicable self-regulatory organizations. The SEC further noted that while its staff is available to answer questions about rule compliance, it is unable to serve as a lawyer for an individual or a broker-dealer. Accordingly, the SEC advised broker-dealers to contact outside legal counsel for detailed advice on compliance with securities laws. *
The Compliance Guide may be accessed at http://www.sec.gov/offices/marketr/bdguide.htm.