In addition to the ongoing work and activities of the MSRB, specific initiatives for fiscal year 2012 focus on particular aspects of the MSRB’s mission to protect investors and municipal entities and ensure a fair and efficient market. Current initiatives are summarized below.
Retail Investor Protection
- Evaluating retail investor protection measures that focus on disclosure and pricing
- Examining how dealers might help investors better understand features of municipal bonds and how to ensure investors have information they need to make sound and appropriate decisions
- Developing toolkit to provide online information for municipal securities investors
Municipal Entity Protection
- Progressing on fulfillment of Congressional mandate to protect municipal entities through rulemaking for municipal advisors
- Implementing state and local government toolkit on MSRB.org with resources directed at small to mid-sized issuers to help them learn more about rules dealers and municipal advisors must follow. The goal of the toolkit is to help state and local governments understand what to expect from financial professionals and about the EMMA® website.
- Engaging in education and outreach to state and local governments to help them better understand the obligations of financial professionals
- Assessing increased functionality on the EMMA website to empower issuers and help them understand its role in continuing disclosure and communication to investors
Market Transparency Programs Long-Range Plan
- Developing a long-range plan for MSRB market transparency programs that 1) Facilitates investor access to information to make informed decisions; 2) Assists issuers in their capital markets activities; 3) Ensures that access to information and submission of data and documents is as efficient as possible; and 4) Ensures EMMA remains aligned with the needs of the municipal market and responsive to changes
New EMMA Initiatives
- Developing a straight-though processing system for new issue data on EMMA to eliminate need for municipal underwriters to submit data associated with new securities both to EMMA and to the New Issue Information Dissemination System operated by the Depository Trust and Clearing Corporation. The new system will increase market efficiency and reduce chances for data errors.
- Calculation and display of yields on inter-dealer trades so that EMMA will display the same yield and price information currently available for customer trades
529 College Savings Plans
- Evaluating transparency of 529 college savings plans information
- Seeking to ensure investors have the information they need to make informed decisions regarding 529 plan investments
Electronic Trading, Brokerage and Social Media
- Examining relevant MSRB rules in the context of a changing electronic market environment to determine if rule changes or additional guidance is needed
- Inquiry includes examination of sophisticated municipal market professional designation, electronic trading/brokerage and use of social media
Professional Qualifications for Municipal Advisors
- Developing a professional qualification exam for municipal advisors to establish baseline knowledge and qualifications for municipal advisors
- Constructing a survey for municipal advisors that will help establish a content outline for an exam