(SEC) Proposes Temporary Principal Trading Rule Extension Relating To Rule 206(3)-T:

Securities Law FINRA Arbitration and Litigation Attorney

October, 2012:

The Securities and Exchange Commission (SEC) Proposes Temporary Principal Trading Rule Extension Relating Rule 206(3)-T:

The Securities and Exchange Commission recently proposed extending the date on which Rule 206(3)-3T of the Investment Advisers Act will sunset from December 31, 2012 to December 31, 2014.  Rule 206(3)-3T is a temporary rule that allows investment advisers that are registered as broker-dealers to engage in principal transactions. Without the two year extension, the rule would expire on December 31, 2012. The Commission indicated that it believes that the issues raised by principal trading should be considered as part of the Commission's broader consideration of the regulatory requirements applicable to broker-dealers and investment advisers. Comments on the proposing release should be submitted to the Commission on or before 30 days after publication in the Federal Register.