Back to Basics: Fundamentals of FINRA Rule 2210

This session is designed for compliance and marketing professionals who are new to FINRA’s advertising rules or experienced practitioners interested in a refresher. A panel of FINRA Advertising Regulation Department experts provides an overview of FINRA’s Communications With the Public rule, including filing requirements, internal approval and supervision, and content standards. Panelists answer questions about how to apply the rules to financial services communications and marketing materials.

Launch Conference Panel

Back to Basics: Fundamentals of FINRA Rule 2210 Bios:

Moderator:

Stephanie Gregory is Associate Director of the Complex Review Team in FINRA’s Advertising Regulation Department. Ms. Gregory’s primary responsibility is managing staff members dedicated to the review of matters involving complex products and novel regulatory concerns. Her team provides support to other FINRA departments in connection with firm examinations and enforcement proceedings that involve communications with the public. Ms. Gregory joined the Advertising Regulation Department in 2004. She received her bachelor’s degree in Economics and Political Science from Boston University, and her law degree from Pennsylvania State University Dickinson School of Law.

Speakers:

Derek Ashworth is Associate Director in FINRA’s Advertising Regulation Department. The department protects investors by ensuring broker-dealer members of FINRA use communications that are fair, balanced and not misleading. Mr. Ashworth’s primary responsibility is managing staff members dedicated to the routine review of member firm communications. Mr. Ashworth also participates in the department’s outreach efforts including serving as a panelist in prior FINRA conferences and presenting during selected FINRA Compliance Boot Camps. He has been with the Advertising Regulation Department for 21 years. Prior to joining FINRA, Mr. Ashworth was a program manager for a business and education partnership at Nova Southeastern University in Fort Lauderdale, FL. Previous to this role, he was a specialty banker and registered representative with First Union in West Palm Beach, FL. Mr. Ashworth received his bachelor’s degree from Stetson University and completed his M.B.A. at Johns Hopkins University.

Steven Choi is Associate Director in FINRA’s Advertising Regulation Department. Mr. Choi’s primary responsibility is managing staff members dedicated to the routine review of member firm communications. Prior to joining FINRA/NASD in 2006, he worked in the Private Client Management Group at Legg Mason, and as a Financial Advisor in the Global Private Client Group at Merrill Lynch. Mr. Choi holds a bachelor’s degree in Art History from Williams College.

Kimberly Flanders is Associate Director in FINRA’s Advertising Regulation Department. Her chief responsibility is managing staff members dedicated to the review of matters involving complex products and novel regulatory concerns. Ms. Flanders joined FINRA (f/k/a NASD) in March 1995 as an examiner in the Enforcement Department. She joined the Advertising Regulation Department in March 1996. In January 2001, Ms. Flanders joined Bisys Services as a senior advertising regulation consultant. Ms. Flanders returned to the Advertising Regulation Department in September 2001. Prior to joining FINRA, she was an investigator with the Resolution Trust Corporation. Ms. Flanders received a B.A. from the University of Georgia.

Resources:

Back to Basics: Fundamentals of FINRA Rule 2210

FINRA Advertising Rules

• FINRA Rule 2210. Communications with the Public
• FINRA Rule 2211. Communications with the Public about Variable Life Insurance and Variable Annuities
• FINRA Rule 2212. Use of Investment Companies Rankings in Retail Communications
• FINRA Rule 2213. Requirements for the Use of Bond Mutual Fund Volatility Ratings
• FINRA Rule 2214. Requirements for the Use of Investment Analysis Tools
• FINRA Rule 2215. Communications with the Public Regarding Security Futures
• FINRA Rule 2216. Communications with the Public about Collateralized Mortgage Obligations
• FINRA Rule 2220. Options Communications
• FINRA Rule 2241. Research Analysts and Research Reports
• FINRA Rule 2242. Debt Research Analysts and Debt Research Reports
• FINRA Rule 3110. Supervision
• FINRA Rule 3160. Networking Arrangements between Members and Financial Institutions

SEC Advertising Rules Enforced by FINRA

• SEC Rule 482 – Advertising by an Investment Company as Satisfying Requirements of Section 10
• SEC Rule 34b-1 – Sales Literature Deemed to be Misleading
• SEC Rule 135A – Generic Advertising
• SEC Rule 134 – Communications Not Deemed a Prospectus
• SEC Rule 433 – Conditions to Permissible Post-Filing Free Writing Prospectuses

MSRB and SIPC Advertising Rules Enforced by FINRA

• MSRB Rule G-21 - Advertising by Brokers, Dealers or Municipal Securities Dealers
• SIPC Advertising By-Law Article 10, Section 4 – Member Advertising